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5 AdTech terms you need to know

In the world of digital advertising, staying ahead of the curve means understanding the constantly evolving landscape of Adtech (advertising technology). In particular, in the case of programmatic advertising, it can be challenging to understand specific terminology, a bunch of acronyms or the universe of AdTech platforms.

So whether you’re a seasoned marketer or just dipping your toes into the world of online advertising, understanding these five essential AdTech terms will allow you to navigate the digital advertising space more effectively.

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1. Programmatic Advertising

Programmatic advertising has revolutionized the way ads are bought and sold online, refers to the automation of digital advertising via software and data. Instead of traditional manual negotiations, programmatic advertising relies on automated processes and algorithms to purchase ad inventory in real-time. Data also plays a key role in programmatic advertising as it allows advertisers to improve the performance of their campaigns and reach their target audience in a more effective way maximizing the impact of their campaigns and allows publishers to increase their ad revenues by learning more about their audiences and helping advertisers reach them.

2. Demand-Side Platform (DSP)

DSPs are the software technological platform that makes it easier for buyers of programmatic digital advertising to optimize their programmatic ad buying efforts. These software platforms provide advertisers and agencies with the ability to manage and execute their ad campaigns across multiple ad exchanges and networks. The DSP allows you to connect with a wide range of global inventory sources (publishers who have ad space for sale). With advanced targeting options and real-time bidding capabilities, DSPs empower advertisers to maximize the efficiency and effectiveness of their advertising spend.

3. Supply-Side Platform (SSP)

Publishers also need a tool to efficiently manage and sell their inventory of ad space.SSPs are essential for publishers seeking to monetize their digital properties. These platforms enable publishers to manage and sell their ad inventory to advertisers via ad exchanges and networks. This helps streamline the media-selling process and guarantees publishers a greater yield on their ad-space inventory in the highly competitive digital advertising landscape.

4. Ad Exchange

Think of an ad exchange as a kind of stock market for the online ad industry. In essence, it is the place where DSP’s and SSP’s meet up to trade. These platforms connect advertisers, agencies, trading desks looking to buy ad space with publishers offering inventory on their websites or apps. Through ad exchanges, advertisers, agencies, trading desks can bid on available ad impressions in real-time auctions, ensuring that their ads reach the right audience at the right time.

5. Ad Server

An ad server is a technology platform used by advertisers, publishers, and ad networks to store, manage, and deliver online advertisements to websites, mobile apps, and other digital properties. Ad servers play a crucial role in the digital advertising ecosystem by facilitating the display and tracking of ads across various channels. After the real-time bidding process is complete, ads are distributed to be viewed by consumers. An ad server also gathers and reports all manner of data (number of impressions/clicks/conversions) on the advertising campaigns involving the ads in its possession.

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