An ad exchange is a AI digitized platform where buying and selling of advertisements happen with multiple ad servers other than Google and facebook ad exchange. Here the advertiser can ping in multiple ad servers to bring in ROI for targeted users and campaigns. It enables the E-products to resound to multiple geographies and bring in user acquisition, retention and engagement.
Basically, an ad exchange is just a big pool of ad impressions. Publishers tip their ad impressions into the pool hoping someone will buy them. Buyers then pick which impressions they wish to purchase using technologies like demand-side platforms. Those decisions are often made in real time based on information such as the previous behavior of the user an ad is being served to, time of day, device type, ad position and more.
Publishers typically use SSPs to “plug in” multiple exchanges, as opposed to working with just one. It’s a way to open their inventory to as many potential buyers as possible, in the hope that more competition for their ads will result in them selling for higher prices.
The RTB ad exchange is a complex process, and like with most other complex concepts, the best way to completely understand them is to see them at work. Unfortunately, the RTB ad exchange happens virtually. But don’t fear – we’ve created an infographic to help illustrate the complex RTB ad exchange in the clearest way possible.