releva.nz Knowledge Base - Ad Networks
Understanding how ad networks work
In dynamic retargeting, both the number and the selection of the right ad networks play a crucial role. The more networks in a provider's portfolio, the greater the market coverage. By targeting specific networks, in turn, personalized ads can be placed in the appropriate environments. We'll explain to you here, how ad networks work.
Compact knowledge about ad networks:
How ad networks work
An ad network, often also called a display network, manages ad spaces on websites and web applications (e.g. smartphone apps). Customers of ad networks can place their ads on these ad spaces in return for payment.
As a rule, the ad network's algorithm decides which ads are displayed on which ad space. A particularly relevant decision criterion is the bid submitted by the advertising customer. If, for example, two customers apply for the same banner space, the one who has submitted the higher bid is given preference.
Ad networks also offer the option of placing ads in specific environments. Selection criteria include thematic fit, location, website language, banner format and many more. The creation of campaigns in the display networks and the regular optimization of the bidding strategy and placement is usually handled by a media planner respectively an advertising agency.
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Important technical terms from the world of ad networks
SSP? DSP? Adserver? We explain what the terms mean and how they are related to each other.
Sell Side Platform (SSP): The sell side platform, also known as the supply side platform, is a virtual location to which publishers deliver their advertising space. Publishers are, for example, the providers of websites such as Spiegel Online or wetter.de. They decide where ads can be placed on their site and publish this information via the Sell Side Platform.
Demand Side Platform (DSP): Here, advertising customers buy ad space. This is done programmatically, i.e. controlled by software. The advertising customer exclusively defines the criteria for purchasing the ad spaces (e.g. ad budget, thematic environments, countries, language areas, etc.). The Demand Side Platform then buys and optimizes the ad spaces using algorithms.
Ad server: An ad server is ultimately nothing more than a cloud storage for online ads. The ads, either created by graphic designers or designed automatically, are uploaded to the ad server and made available to the ad networks. Here, the ads are integrated into a campaign and delivered to external websites.
Ad networks like Rubicon or AppNexus are tools to manage the process between SSP, DSP and the ad server. They are connected to all the above systems and simplify campaign and budget planning as well as ad distribution.
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