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What is PPC and contextual advertising is all about?
The process that matches ads to relevant sites in the ads display network using your keywords or topics, among other factors. Here’s how it works: System analyzes the content of each web page to determine its central theme, which is then matched to your ad using your keywords and topic selections, your language and location targeting, a visitor’s recent browsing history, and other factors. Targeting subsystem uses contextual targeting when an ad group has keywords or topics and its campaign is set to show ads on the ads display network.
What is algorithmic marketing and programmatic advertising?
Programmatic media buying, marketing and advertising is the algorithmic purchase and sale of advertising space in real time. During this process, software is used to automate the buying, placement, and optimization of media inventory via a bidding system.
How Demand-Side-Platforms (DSP) work?
A publisher page loads with an ad slot on it. That ad slot is a piece of code from the SSP that (as quickly as possible) reads factors from the page/user (content, domain, browser and so on) and shares them with the DSP. The DSP checks those factors against the criteria set by the advertiser and decides whether to bid and how much.
This is complicated by the fact that each SSP connects to multiple DSPs and vice versa. So several parties will be comparing bids for each impression.
When you also account for each SSP running on many publishers and each DSP running for many advertisers, you reach a point where every impression triggers a flurry of activity, and the billions of impressions trigger billions of flurries. It all has to happen before the page finishes loading to the user.
As an advertiser, it means that running your activity through a DSP takes you from a direct relationship with a publisher to being a small cog in a very complex machine.
There are three typical reasons to run your display through a DSP: cost savings, efficiency and optimization.
- Cost Savings
- Buying Efficiency
- Real-Time Optimization
This is the real magic of using a DSP for your display buying. Instead of evaluating a campaign’s performance at the end of the campaign, within a day you can see which placements, which content, which re-marketing lists aren’t working.
You can tweak a bid for a target, and it’ll work across all websites. You can add a demographic filter, and it’ll work across all content.
By treating display across all ad networks the same way you’d treat PPC or the GDN, you can bring the benefits of ongoing campaign optimization to display campaigns.
A DSP also gives you access to third-party data, allowing you to create more targeting options than before, especially when those data points overlap.
Originating in computer science, algorithms are simply sets of “if–then” rules. But a number of factors — easy-to-use predictive analytics and data-visualization tools, the proliferation of mobile devices, and companies’ ability to track and measure customer behaviour — have helped companies find an astonishing variety of ways to use algorithms, particularly in marketing.
Algorithms help marketers utilize customer-specific knowledge — demographics, previous behaviour, fellow customers’ choices — to craft customized offers and deliver them, often in real time. They help companies track customers, cross-sell to them, and promote products. Banks use algorithms to suggest new products to customers, online retailers deploy them to set and change prices, and media companies rely on them to recommend and deliver streaming content and ads.