Sunday, 29 June 2014

What is Mobile RTB Exchange?

Mobile RTB exchange has brought about a whole new dimension to mobile marketing. Wondering how? Before we look at how real time bidding (RTB) has affected the online marketing scenario, let us take a quick look at it basics.

In the past, when a company wanted to advertise a product online, they would identify the target audience group, study the demographics and identify the age group. After all these aspects were taken into consideration, a marketing strategy would be prepared. Based on the strategy, a website would be selected, and then the actual process of advertising will take place. The advertiser will contact the website publisher and request for permission and space to display the advertisement.

These days, however, the entire mobile marketing process is totally different. Now, website publishers “broadcast” the number of impressions the sites have on a real time basis. They advertise their reach and the number of impressions the websites receive on a real time basis. All this information is generally provided to the advertisers via an ad exchange that distributes the information to all the advertisers. Based on this information, the advertisers (in this case, the buyers) bid for a space on the website to display the website. The publishers review all the bids they receive and provide the ad space to the highest bidder. This is how the entire process of mobile RTB exchange takes place. The entire process could be completed in a matter of few seconds.

There are two types of platforms that regulate the entire process. They are called demand side platform and supply side platform. The demand side platform (DSP) allows advertisers to access different inventories, allowing them to create multiple advertising campaigns. Supply side platform (SSP), on the other hand, makes use of all the generated data about impressions and allow media agencies to customize their bidding.


With Smartphones becoming more popular, there has been a shift towards mobile websites. More advertisers are scrambling for space on the mobile apps and websites. So, the publishers find that bidding is a good way to optimize their revenue and also ensure the right type of advertisements is displayed to their visitors. Therefore, mobile RTB exchange creates a win-win situation, both for the website publishers as well as the media agencies. This method has also brought about a lot of changes in mobile marketing, which has brought about its own set of advantages and disadvantages.

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