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Here’s how they differ. In traditional RTB, the program evaluates bid requests from advertisers sequentially — if Buyer 1 doesn’t meet the floor price, the request moves on to Buyer 2, and so on, until the floor price is met.
Advertisers are persons, brands, organizations and other entities that pay to have their ad content placed on the properties of publishers in order to advertise and promote their products or services to target audience.
As part of the ad process, DSPs often provide their advertisers with additional data from third-party providers and enable them to complement this data with data from advertisers own systems.
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Payment Processed: The advertiser pays the agreed bid price through the DSP. The SSP then collects the payment, deducts its fee, and remits the remainder to the publisher.
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Simplifying media buying: RTB eliminates the need to contact individual publishers, so advertisers don’t need to engage in long back-and-forth negotiations before purchasing digital ad space.
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RTB auction is read more similar to the functioning of financial markets and their exchanges, except that ad impressions are being traded instead of stocks or fixed income securities.
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It’s hard to believe that at one point—and not too long ago, either—ad inventory could only be bought or sold when two people picked up a phone to complete the transaction. Today, ad impressions are sold and purchased at an astonishing rate and at faster speeds than the human brain can comprehend.
Increasing ad space value: As real-time auctions are triggered, previously unwanted inventory increases in value for publishers, helping them to clear inventory faster.