Digital Advertising

Real Time Bidding: Empowering Your Business's Advertising Strategy

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By Chantal India, on 11 September 2023

In the fast-paced world of digital marketing, staying ahead of the competition is crucial for business owners. Real time bidding (RTB) has become a game-changing technology that can completely alter how you approach advertising.

In this article, we'll demystify real time bidding, explain how it works, introduce the platforms facilitating it, and discuss its advantages and disadvantages. Whether you're an experienced marketer or new to digital advertising, embracing RTB can empower your business's advertising strategy and drive superior results.

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Real Time Bidding Empowering Your Businesss Advertising Strategy


What Is Real Time Bidding?

Modern programmatic advertising techniques like real time bidding, often known as RTB, allow marketers to place real-time bids on ad impressions. This auction-based system allows you to display ads to your specific target audience in mere milliseconds as they browse the web. RTB’s fast decision-making ensures that your ads are shown to the appropriate users at the right moment, boosting ad performance and fostering user engagement.


How Does Real Time Bidding Work?

The RTB process is relatively simple:

  • User Visits a Website: When a user visits a website that employs RTB, the website requests ad impressions to an ad exchange platform.
  • Ad Exchange Auction: The ad exchange platform conducts an auction where advertisers bid for the opportunity to display their ad to that specific user.
  • Bidding Algorithm: A powerful bidding algorithm evaluates each advertiser's bid based on audience targeting, ad relevance, and bid amount.
  • Winning Bid Display: The advertiser with the highest bid wins the auction, and the ad is instantly displayed to the user on the website.


Real Time Bidding Platforms

Several different RTB platforms are available, each with unique features and capabilities. Some of the most popular RTB platforms for business owners include:

  • Google Ad Manager: A powerful RTB platform that offers a wide range of features and capabilities. It is a good choice for businesses of all sizes.
  • AppNexus: A leading RTB platform known for its innovative features and commitment to data privacy. It is a good choice for businesses that want to reach a global audience.
  • MediaMath: This RTB platform offers user-friendly features to help businesses reach their target audience. It is a good choice for businesses who want to start RTB quickly and easily.
  • The Trade Desk: This RTB platform is known for its transparency and its commitment to brand safety. It is a good choice for businesses that want to reach a large audience with high-quality ads.
  • Amazon Advertising: Amazon's RTB platform, powered by vast data and reach, is a good choice for businesses that want to reach Amazon shoppers.
  • Verizon Media DSP: Verizon's RTB platform is a premium ad inventory for businesses who want to reach high-quality audiences.


Advantages of RTB

  • Precise Audience Targeting: RTB allows you to target your ads to specific audiences based on demographics, interests, and online behavior. This ensures that your ads are only seen by people likely to be interested in what you offer.
  • Cost Efficiency: With RTB, you only pay for impressions that are relevant to your target audience. This can help you maximize your ad spend and get a better return on investment.
  • Real-Time Optimization: Make data-driven decisions with the ability to monitor and adjust bids in real time, optimizing your ad campaigns for superior performance.
  • Access to Premium Inventory: RTB provides access to premium ad inventory from various websites and apps, helping you reach high-quality audiences.


Disadvantages of RTB

  • Ad Fraud: RTB may be vulnerable to ad fraud, where malicious actors generate fake ad impressions or clicks to exploit advertisers.
  • Brand Safety Concerns: In some cases, RTB may display ads on websites with inappropriate or harmful content, compromising your brand.
  • Limited Transparency: Advertisers may need more visibility into specific websites where their ads are displayed, making it challenging to assess ad performance accurately.
  • Increased Bidding Competition: The real time nature of bidding can lead to heightened competition, potentially increasing ad prices.

Real time bidding has changed advertising. It offers business owners like you powerful tools to reach your target audience effectively. By bidding in real time, you can make informed decisions, optimize ad performance, and enhance engagement.

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Chantal India

Graduada en Administración de Empresas en Lisboa y un posgrado en Gestión de Productos, Chantal se ha especializado en la Publicidad en Redes Sociales. En Cyberclick lleva la gestión de cuentas y conceptualización de estrategias digitales. .

Graduated with a Degree in Business Management in Lisbon and a Postgraduate degree in Product Management. Specialist in Account Management and Digital Marketing strategies, with special focus on Social Ads channel.