Download the PDF: https://www.demandmetric.com/content/online-advertising-technology-overview
“Half the money I spend on advertising is wasted. The problem is I don’t
know which half.” That quote attributed to John Wanamaker, a 19th-century
retail merchant, is familiar to many of us.
That’s the real beauty of Online Advertising platforms. Unlike Wanamaker,
modern marketers do know which of their ads are working, converting,
selling and driving revenue.
Often down to the last click. Even better, not only do marketers know
which Online Advertising programs are working and how well, but also
they can change the ads that aren’t performing-in real-time.
Today, Online Advertising can be characterized as fast, responsive and
immersive. Fast because online ads, especially those on mobile devices,
must catch the consumer at the very moment of consideration.
Responsive because the ads must respond to behavioral or interest triggers
to be relevant to clients. Increasingly, ads are also immersive, requiring
interactivity from the user to get the message and issue a call to action.
The two biggest trends in Online Advertising are Real-Time Bidding
(RTB) and Programmatic Media Buying.
RTB enables advertisers to bid for available ad space with publishers at the
precise moment a potential customer is looking for that type of solution.
Programmatic Media Buying enables marketers to automate the buying,
placement and optimization of advertising based on preset parameters
for budgets, audience segments, number of impressions and other key
criteria for optimizing advertising ROI and reach. This will be covered in
more detail later in this report.
In the ecosystem of Online Advertising, there are three main ways
companies can use to purchase their ads:
Directly from the site or publisher (or through that publisher’s affiliate
Through an ad network such as AdSense (Google) or The Destination
Through an online exchange (DoubleClick by Google, OpenX or Yahoo!
Ad Exchange) that matches advertisers to publishers.