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Why RTB?

Explorer ✭ ✭ ☆
# 1
Explorer ✭ ✭ ☆

Hello Ads PPL,

 

I see a lot of ppl are using RTB and I dont know why.

I have read some materiasl about RTB, what it is and how it works. So please dont send me links about  what is RTB Smiley Happy

What I would like to know is the reason or situation in which I should use RTB.

 

Thank you

 

Find me at Google+ l LinkedIn

- Lukas

Re: Why RTB?

Follower ✭ ☆ ☆
# 2
Follower ✭ ☆ ☆

Dear Lukas M

 

Rtb means Real-time bidding

Adjusting bids based on real-time (or auction-time) signals can have a large impact on return on investment (ROI).

RTB has taken off for one simple reason: Buyers see real benefits from it. For example, in a comparison of
ADX campaigns running in April and May of 2011 executed via RTB versus those executed through non-RTB mechanisms, RTB provided for a 19% savings on CPM rates and raised CTR performance by .06 percentage points, from .09% to .15% CTR

for example we use RTB in adwords

in that case our bid is decided on when query coming from which browser or operating system as well as which search location and text of query


Real Time Bidding Technology

As a technology, real-time bidding requires two distinct yet in
terconnected layers:

A real-time bidding API.

A real-time bidder.

The Two Technology Layers of Real-Time Bidding

 

The real-time bidding API (RTB API) is the “pipe” of RTB.


It provides a server-side connection to an inventory source and pushes out a real-time stream of impressions to eligible buyers. The “pipe” announces each impression individually as they become available for purchase. At Google, DoubleClick Ad Exchange’s RTB API is the pipe that makes all Ad Exchange inventory available for purchase via RTB.  The real-time bidder is the “brain” of RTB.
It connects to one or more “pipes” and evaluates every impression that’s announced. The real-time bidder is responsible for making the best inventory acquisition decisions possible, on behalf of the advertiser. At Google, Invite Media’ s Bid Manager is a real-time bidder and Google Display Network uses a real-time bidder of its own. In action, RTB takes place every time the “pipe” announces an impression and the “brain” evaluates it. By considering inventory in this manner—on a per impression basis—buyers get to be more selective about the inventory they buy. They can place premium bids on the inventory and audiences of the most value to the advertiser and can completely pass on inventory and audiences of the least value to the advertiser

Re: Why RTB?

Explorer ✭ ✭ ☆
# 3
Explorer ✭ ✭ ☆

Hello Umanga and thanks for all this information.


Maybe the bacground of the system is different and its real time, but still it sound same as normal Ad. I mean I set my max. CPC and keywords/remarketing and based on my CPC my ad is shown.
If I set my DoubleClick RTB, ad will be shown on the same placese and ADX?


So what is better or worst with RTB?

- Lukas