Real-Time Bidding (RTB): Reason To Believe Marketing
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Crafting a Believable Brand Story with RTB

Real-Time Bidding

Every marketer could use quicker time to market.

Real-time bidding has proven to be an efficient way to market brands toward target audiences.

Real-time bidding (RTB) has been dubbed “Reason to Believe Marketing” because of the impact it has made on the world of online advertising. Apart from creating a virtual auction setting with advertising companies, RTB advertising allows website owners to sell ad views on their websites through an online advertising exchange portal. RTB is in some ways like an auction: a publisher puts up display ad inventory, advertisers bid to purchase the inventory, and the highest bidder wins the auction.

All You Need to Know About Real-Time Bidding

Real-time bidding and real-time advertising have been established as main ways for advertising companies to get a brand on the map. When the ad impression loads on a web browser, the page information and the user viewing the page is passed on to a third-party ad exchange. The ad exchange then auctions it to other real-time bidding companies. This bidding war eventually grants the winner the opportunity to automatically upload its ad onto the web page.

Essentially, real-time advertising companies target users who consistently visit a page to get the most out of their ads. This is why we see target-specific ads on news feeds or web pages that we typically visit on a daily basis.

Online ads used to be a much more difficult process. Advertisers had to go to a specific site and choose the ads they want to promote on that particular site. Real-time bidding marketing has grown since then, and the need for real-time bidding advertising has become a necessity for online marketers. Sometimes, some individuals mistake programmatic RTB with programmatic advertising, but RTB is a type of programmatic advertising. Some programmatic platforms let publishers sell their unique inventory ahead of time for a fixed price instead of auctioning it off, hence the difference between advertising as we know it to be traditionally and RTB. The guarantee of purchase is what separates the two, but RTB has been recognized as the more popular method in recent years.

RTB advertising is the most efficient way to get online advertising to target audiences. With real-time bidding, ad buyers are given an easier workload by not having to work directly with publishers or ad networks to negotiate advertising prices and trafficking ads. With the ability to exchange, real-time advertisers are able to access an array of inventory across a wide variety of websites. With this method, they are able to specifically pick out those that are most valuable. This allows advertisers to be more effective with the ad spaces they purchase. If impressions are properly chosen, the profit is worth the work.

Some argue that real-time bidding is detrimental to publishers, but that assumption is arguably misunderstood. Although some publishers are concerned that RTB enables advertisers to pay less for inventory, it actually allows for a better exchange of goods that can help publishers dictate the minimum prices at which their inventory is sold. By having such a large demand for impressions, they are able to set the standard and price for how much they want to receive for the ads. Real-time bidding has proven to be profitable for both publishers and advertisers, and it doesn’t seem like either will cease to collaborate in today’s dominant advertising market.

Mohammad Ali Sultani
Mohammad Ali Sultani
Mohammad Sultani is currently an undergraduate at the University of San Diego pursuing a degree in Political Science and English. As an experienced writer for various technology, law, and political news outlets, he has shown great potential in his writings and hopes to continue developing his skills. With the goal of becoming an established lawyer and writer, Mohammad is determined to help those in need on both ends of the spectrum.

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