advertising is a system that automates the processes and
transactions involved with purchasing and dynamically placing ads on websites
or apps. Programmatic advertising makes it possible to purchase and place
ads, including targeted advertising content, in less than a second.
Ads are placed through an auction system known as real-time bidding (RTB) that manages transactions between the site or app publisher (the supply side) and the advertiser (the demand side). The advertiser sets criteria for buying ads through a software interface, such as a demand-side platform (DSP). When a publisher's software notifies the system that they have ad inventory (spaces for ads) available, those spaces are offered for real-time bidding.
Through automated processes, advertisers bid for the impression (a single view of an ad by a single individual) based on its perceived value, according to established criteria. All these processes and the placement of the ad occur within the time it takes for the requested web page to load. The entire process takes place between the time that a user requests a web page and the time it takes for that page to load in the browser. (For a more in-depth explanation, see our definition of real-time bidding.)
Programmatic advertising has been promoted as a way of optimizing the advertiser's investment and the publisher's profit, while also automating tasks and making it possible to serve consumers with the most relevant purchase opportunities, which are more likely to result in sales. However, there are significant downsides to all this automation. Low bids on impressions can lead to ineffective ad purchases or placement on inappropriate websites, for example, and even ad fraud. Similarly, the publisher can end up with inappropriate ads appearing on their sites. From the customer's perspective, there are concerns about data privacy, as well as the annoyance of being targeted with ads that follow you from one site to another, possibly for something that you've already purchased elsewhere or decided not to buy.
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In addition to this blog, Netiquette IQ has a website with great assets which are being added to on a regular basis. I have authored the premiere book on Netiquette, “Netiquette IQ - A Comprehensive Guide to Improve, Enhance and Add Power to Your Email". My new book, “You’re Hired! Super Charge Your Email Skills in 60 Minutes. . . And Get That Job!” has just been published and will be followed by a trilogy of books on Netiquette for young people. You can view my profile, reviews of the book and content excerpts at:
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