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RTB (Real Time Bidding)

Real Time Bidding (RTB) is basically buying and selling of online ad impressions through real-time auctions that happen in milliseconds, while an application or website is loading. These real-time auctions are often facilitated by ad exchanges or supply-side platforms.

RTB is actually working quite similar to stock exchanges. Publishers make their inventory available for advertisers to bid on through ad networks or ad exchanges. The advertisers set their parameters such as bid price, network reach and desired target group and then bid on every single impression as it is served. Apparently, the impression always goes to the highest bidder and their ad is served on the page.

Real Time Bidding provides multiple advantages for managing online and mobile marketing campaigns:

  • Real Time management and visibility of campaigns
  • Cost Efficiency
  • Better Campaign Performance
  • Advanced targeting and measurement

The price for the inventories is usually determined by demand and supply in the Real-Time-Bidding process.