Real Time Bidding is actually a new way for buying and selling ads online. Using Real time bidding an advertiser can bought impressions considering the data about the user who generates impressions.
How Real Time Bidding Works (RTB) ?
When a user visits a webpage and its get loaded, the website sends its bid request to the advertisers in its networks. Depending upon the information (user location, gender, its approximate age, its recent search activities and many more) of the user who is visiting the website.
Now the most important thing depends upon the audience information that the advertisers has received from the website, they will send bids for that impression through that network. The winning bid will have its ad displayed on that website.
Pros of RTB
- Advertiser can access wide range of inventory
- Can purchase the auidence that are relevent
- It is flexible & cost effective
Cons of RTB
- No Guarantees
- Optimization and monitoring is required
Myth About RTB
- Contans only Low Quality Inventory
- No idea where your ads were displayed
- It works only when cookie data is applied
- Huge budget is required