{"id":113208,"date":"2014-08-25T08:33:00","date_gmt":"2014-08-25T15:33:00","guid":{"rendered":"http:\/\/feedproxy.google.com\/~r\/nusparkmarketing\/sitU\/~3\/ftNjH1qPHok\/"},"modified":"2014-08-25T08:34:23","modified_gmt":"2014-08-25T15:34:23","slug":"how-did-that-banner-ad-get-to-your-website","status":"publish","type":"post","link":"https:\/\/customerthink.com\/how-did-that-banner-ad-get-to-your-website\/","title":{"rendered":"How Did That Banner Ad Get To Your Website?"},"content":{"rendered":"<p><a id=\"dd_start\" name=\"dd_start\"><\/a><\/p>\n<p><span class=\"c5\">If you\u2019re a novice in the online advertising world and ever wondered how that banner ad showed up on the website you are looking at, I have written a new eBook on how online advertising works, how to plan campaigns, how to target and retarget, how to measure and more. (see below)<\/span><\/p>\n<p><span class=\"c5\">For this blog, I wanted to explain as best as I can in layman\u2019s terms how the online display landscape is currently structured from a national buy perspective. Feel free to <a href=\"mailto:pmosenson@nusparkmarketing.com\">email me<\/a> if any questions at all; it\u2019s technical.<\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\"><strong>Programmatic Advertising<\/strong><\/span><br \/><span class=\"c5\">Programmatic advertising buying is one of the newest buzzwords in the online display space. In its simplest form, it is the concept of using technology to automate online media buying with unprecedented efficiency. Because technology and software manages the campaigns, it eliminates a lot of the guesswork of media buying, such as human negotiation and manual insertion orders. When you use technology, you become more precise in your media placement tactics to drive effectiveness. It\u2019s a better user experience because website visitors will only see relevant ads, and that increases click rate and awareness.<\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\"><strong>Calling Servers to Find Ads to Deliver to You<\/strong><\/span><br \/><span class=\"c5\"><strong>Scenario A<\/strong>: Serve an ad sold directly to an advertiser from the publisher<\/span><\/p>\n<p><span class=\"c5\"><a href=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/dispblog1.jpg\"><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-7462\" src=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/dispblog1.jpg\" alt=\"dispblog1\" width=\"563\" height=\"239\" \/><\/a><\/span><\/p>\n<p><span class=\"c5\">\u00a0<\/span><\/p>\n<ul>\n<li><span class=\"c5\">You open up a website. Your web browser points to a Web publisher and communicates via a publisher Web server. The publisher Web server responds back to the browser with an HTML file.<\/span><\/li>\n<li><span class=\"c5\">In the HTML file is a pointer back to the publisher ad server. The browser calls an ad server looking for an ad. The ad server responds with the ad\u2019s file location. In this case, the file is sitting on a content delivery network (CDN).<\/span><\/li>\n<li><span class=\"c5\">The browser calls out to the CDN requesting the specific file containing the ad\u2019s creative content (JPG, GIF, Flash, etc.). The CDN sends the file back to the browser.<\/span><\/li>\n<\/ul>\n<p><span class=\"c5\"><strong>Scenario B<\/strong>: An ad is served not from a publisher but an <em><strong>Ad Network (see below)\u00a0<\/strong>\u00a0<\/em>server<\/span><\/p>\n<p><span class=\"c5\"><a href=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/dispblog2.jpg\"><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-7463\" src=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/dispblog2.jpg\" alt=\"dispblog2\" width=\"584\" height=\"269\" \/><\/a><\/span><br \/><span class=\"c5\">Instead of the publisher ad server pointing toward its own CDN, the ad server delivers a secondary ad tag, a simple piece of HTML that points toward an ad network server.<\/span><\/p>\n<ul>\n<li><span class=\"c5\">The browser calls the ad server, which returns the final location of the creative in its own CDN.<\/span><\/li>\n<li><span class=\"c5\">The browser calls to the ad network server CDN requesting the specific file with the ad\u2019s creative content (JPG, GIF, Flash, etc.). The CDN sends the file back to the browser.<\/span><\/li>\n<\/ul>\n<p><span class=\"c5\"><strong>Scenario C<\/strong>: Serve an ad that is purchased by <em><strong>DSP<\/strong><\/em> and <em><strong>Ad exchanges (definitions below)<\/strong><\/em><\/span><\/p>\n<p><span class=\"c5\"><a href=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/dispblog4.jpg\"><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-7465\" src=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/dispblog4.jpg\" alt=\"dispblog4\" width=\"570\" height=\"289\" \/><\/a><\/span><br \/><span class=\"c5\">Instead of the publisher ad server pointing toward its own CDN, the ad server delivers a secondary ad tag, a simple piece of HTML that points toward an <em><strong>SSP.<\/strong><\/em> Now the concept of real time bidding (RTB) begins, featuring DSPs, DMPs, and Ad Exchanges.<\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\">DSPs are used by marketers to buy ad impressions from ad exchanges as cheaply and as efficiently as possible, SSPs are designed by publishers to do the opposite: to maximize the prices their impressions sell at. \u00a0<\/span><span class=\"c5\">SSPs allow publishers to connect their inventory to multiple ad exchanges, DSPs, and networks at once. This in turn allows a huge range of potential buyers to purchase ad space and for publishers to get the highest possible rates.\u00a0<\/span><span class=\"c5\">When an SSP generates impressions into ad exchanges, DSPs analyze and purchase them on behalf of marketers depending on certain attributes such as where they\u2019re served, and which specific users they\u2019re being served to. By opening up impressions to as many potential buyers as possible via real-time auctions, publishers can maximize the revenues they receive for their inventory.<\/span><br \/><span class=\"c5\"><em>This process takes place in milliseconds as a user\u2019s computer loads a webpage.<\/em><\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\"><strong>Data Segments for Better Targeting<\/strong><\/span><br \/><span class=\"c5\">DMPs work with DSPs and exchanges to manage cookie IDs and to generate audience segments, which are subsequently used to target specific users with online ads. 3rd party data segments generally cost more as an overlay due to the increased targeting capability.<\/span><br \/><span class=\"c5\">Real Time Bidding<\/span><\/p>\n<p><span class=\"c5\">RTB works on an auction model. Each buying source makes their bid, highest wins, pays $0.01 more than the next highest bidder. Here\u2019s an example which illustrates this:<\/span><\/p>\n<ul>\n<li><span class=\"c5\">Bidder 1 $0.50<\/span><\/li>\n<li><span class=\"c5\">Bidder 2 $0.60<\/span><\/li>\n<li><span class=\"c5\">Bidder 3 (winner) $0.80<\/span><\/li>\n<\/ul>\n<p><span class=\"c5\">Price Paid $0.61<\/span><br \/><span class=\"c5\">The actual bidding process which takes less than 100 milliseconds looks like this:<\/span><br \/><span class=\"c5\">1. The Exchange makes a call to the DSP with an available impression.<\/span><br \/><span class=\"c5\">2. DSP checks to see if they want this impression \u2013 it could be someone in their retargeting pool, or in a desired audience segment according to a third party data vendor. If yes \u2026<\/span><br \/><span class=\"c5\">3. DSP makes a bid for it based on how much they think its worth or can afford to pay<\/span><br \/><span class=\"c5\">4. Exchange sells the impression to the highest bidder.<\/span><br \/><span class=\"c5\">5. Ad is delivered by the winning bidder.<\/span><\/p>\n<p><span class=\"c5\">\u00a0<\/span><\/p>\n<p><span class=\"c5\"><strong>Definitions<\/strong><\/span><br \/><span class=\"c5\">Ad Network: Ad networks connect advertisers to publishers. They aggregate ad inventory and offer it to advertisers<\/span><\/p>\n<p><span class=\"c5\">Ad Exchange\u00a8 Display space that\u2019s unsold by either sites or networks is usually collected by an ad exchange, where it is auctioned off to the highest bidder among advertisers, networks and agencies. Exchanges let buyers purchase very specific audiences, especially when using real-time bidding technology<\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\">DSP: A demand side platform (DSP) is a system that allows digital advertisers to manage multiple ad exchange and data exchange accounts through one interface. Real time bidding for display online ads takes place within the ad exchanges, and by utilizing a DSP, marketers can manage their bids for the banners and the pricing for the data that they are layering on to target their audiences.<\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\">DMP: A data management platform (DMP) is a centralized data management platform that allows advertisers to create target audiences based on a combination of in-depth first-party and third-party audience data. DMPs enable advertisers to consolidate online and offline customer data from various sources into a single location, then use it to create demographic and behavioral segments that can be used to target online advertising.<\/span><\/p>\n<p>\u00a0<br \/><span class=\"c5\">SSP: Allow publishers to jump into ad exchanges via DSPs to make their inventory available and optimize selling of their online media space. Through SSPs, publishers can gain the highest eCPM for their inventory rather than selling remnant space at lower costs<\/span><\/p>\n<p><span class=\"c5\">\u00a0<\/span><\/p>\n<p><span class=\"c5\"><strong>I know this summary is technical and hard to explain, but as an online marketer it\u2019s interesting to understand \u201chow that ad got there.<\/strong>\u201d<\/span><\/p>\n<p><span class=\"c5\">My new ebook explains these concepts further as well as the following:<\/span><br \/><span class=\"c5\">\u2022 Stating the case for display as a relevant advertising strategy<\/span><br \/><span class=\"c5\">\u2022 Campaign planning and KPIs to measure<\/span><br \/><span class=\"c5\">\u2022 Pricing and ad units to consider<\/span><br \/><span class=\"c5\">\u2022 Targeting tactics and retargeting overview<\/span><br \/><span class=\"c5\">\u2022 Mobile web and app campaigns<\/span><br \/><span class=\"c5\">\u2022 Campaign optimization strategies<\/span><br \/><span class=\"c5\">\u2022 A tour of the Google Display Network platform<\/span><br \/><span class=\"c5\">\u2022 B2B topics; lead nurturing, native advertising, LinkedIn advertising<\/span><br \/><span class=\"c5\">\u2022 Display measurement; View-throughs, attribution modeling<\/span><br \/><span class=\"c5\">Feel free to download a copy of the<\/span> <a href=\"http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/The-Great-Online-Display-Advertising-Guide.pdf\" onclick=\"javascript:_gaq.push(['_trackEvent','download','http:\/\/www.nusparkmarketing.com\/wp-content\/uploads\/2014\/08\/The-Great-Online-Display-Advertising-Guide.pdf']);\"><span class=\"c5\">Great Online Display Advertising Guid<\/span>e<\/a> he<span class=\"c5\">re:<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you\u2019re a novice in the online advertising world and ever wondered how that banner ad showed up on the website you are looking at, I have written a new eBook on how online advertising works, how to plan campaigns, how to target and retarget, how to measure and more. (see below) For this blog, [&hellip;]<\/p>\n","protected":false},"author":7199,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[128,36],"tags":[],"_links":{"self":[{"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/posts\/113208"}],"collection":[{"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/users\/7199"}],"replies":[{"embeddable":true,"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/comments?post=113208"}],"version-history":[{"count":0,"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/posts\/113208\/revisions"}],"wp:attachment":[{"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/media?parent=113208"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/categories?post=113208"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/customerthink.com\/wp-json\/wp\/v2\/tags?post=113208"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}