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How does Real-Time-Bidding work?

Targeting and Retargeting

Every time a user visits a website, the information is automatically saved as cookies in their browser, but why is it important and what information is stored?
Simply put, those small text files contain a lot of information about the said user allowing you to create a clearer picture of the user journey to help improve your business.
One example is the products that were searched for during the user‘s time, which any ecommerce website knows, is extremely valuable to any business. When visiting other websites, these saved cookies are analysed painting a picture of the user; the user becomes a person rather than another number. Clocking traffic to your website is important, but having their personality (and trends in spending for ecommerce businesses) can be even more useful.
Not only is the user’s interests during their visit to your site tallied, but the search history becomes visible too.
So you have a user’s statistics from your site as well as their search history. What happens to it now? These users are then categorised into certain customer-groups meaning advertisers now have the chance, via specific targeting and retargeting, to place their ads. The result is your ads becoming far more targeted extending your potential reach.

 Real-Time-Bidding

Now let’s see why publishers should use this fairly new technology…
Having that knowledge of users is clearly valuable, but in terms of maximising the advertising side, it is of great interest to any business to place their ads on websites which their potential customers visit regularly.
To predict these websites is very hard, but with the help of cookies, you can make an educated guess on when a potential customer will visit a certain website and place your ads accordingly. This results in many advertisers wanting to place their ads on particular websites to optimise their business to specific users that are more likely to convert to the website and improve KPIs.

For example:

User Frank searches for a new car. He visits an online-portal for new cars and searches for the best models there. In this connection, the browser saves cookies that state his interest in a new car and his search histoy.
Afterwards Frank visits an informative news website. This news website analyses Franks cookies and generates an user profile for him. The information in this profile may now be used to show Frank ads of interest and relevance to him on the news website.

Optimising ads

This is when RTB and Geniad take action. Due to a innovative software, a particular space on a website can be offered to thousands of advertisers simultaneously within miliseconds in an online-auction. This happens everytime a new user visits a website with an implemented RTB software.
Within the auction, the advertisers bid a Thousand Ad Impressions (TAI) – the price on the available advertising space.The advertiser to bid the most wins the auction and may place his ad in said advertising space in the format stated.This process takes place while the website is loading for the user.

 

 

How is the global RTB-market going to develop in the future?

The RTB-market became a billionmarket in the last few years and it still offers a gigantic growth potential. IDC states that today up to 15% of the display market sales in the USA are generated with RTB with America and Britain both showing high expeansion rates. This equals a sum of 2.2 billion USD.
If that wasn’t enough facts, here is some important information from an IDC study about the estimated global development as seen below:

(Source: IDC 2012: „Real Time Bidding in the US and the world 2011-2016)
page 12, figure 1

 


Geniad Blog

Enjoy the latest news about Real Time Bidding

 

Platform Upgrade

A quick post to let you know that we have upgrade our platform last week and we have stopped supporting our legacy system which has been discontinued the 28th of August 2015. Please log in to the new platform using: http://www.ads1.geniad.net/login.html Your email Your Password To select the new tags, go to “my tag” page: http://www.ads1.geniad.net/tags.html to pick up the new...

New Google Search Ads on Geniad

We have partnered up with Google to give you some great looking ads that will 100% match the look and feel of your site. Custom Search Ads can be customized to the look and feel of your site. Size, location, color and font are all in your control. Here is an example from a partner site: These ads are 100% responsive and look great on mobile. Leverage the expertise and unique ad formats found on Google while accessing our partner network of over one million advertisers. They have a high click through rate and certain clients have seen over $1.50 CPM. If you are interested, please get in touch with our team or sign up...

Real Time Bidding in 2015

Since its recent introduction Real Time Bidding (RTB) has been making inroads in the online advertising community, and it’s impressive performance this year looks to continue well into next year and beyond with current projected figures looking promising. RTB is forecasted to account for a quarter of all display-ad spending in the US by 2015, with spending growing by 72% to over $3.4 billion, up on 2014. The outlook for next year and beyond highlights how this new approach to online advertising has revolutionised the market and suggests it will eventually surpass the old model. RTB is the way forward for online advertising The reason that RTB has become so popular is that is quite simply a much more efficient and effective form of online advertising over the previous method. With the new approach advertisers and publishers sign up to a RTB network where they can more easily communicate with each other. On these platforms the publishers will offer the ad space they have available up for sale, which the advertisers can then bid on in order to get their ads published in those spaces. The network structure has made it much easier for advertisers and publishers to find each other, enabling advertisers to find audiences that are better suited to their ads and increasing the revenue publishers receive in return for their ad space, as a result of the increased demand and bidding between advertisers. This one of the main reasons platforms like Geniad have become so popular amongst online advertisers and publishers. One of the key aspects of the system is the use of “cookies” that store...

The Real Time Bidding market and its players

The Real Time Bidding (RTB) environment consists of a number of top players that provide a similar service allowing you to generate revenue for your website, but who are the best and who falls short? For a better understanding these top RTB players, it is easiest to split into are sorted six key categories:   Advertisers/Agencies This is advertisers using digital marketing to reach their audience online. Due to technical progress over the last couple of years, advertisers can “retarget” their customers on potentially any website which is using a RTB software. This decreases divergence loss by displaying the ad straight to customers who belong to a certain group of consumers, or those even searching for a certain product/service which is offered by the advertiser. Some advertisers take care marketing themselves, however most are represented by marketing agencies that take care of advertisement placement for them.   Publishers/Publisher Network Publishers offer free content online to the internet community. To monetize this content and generate revenue, there are different options available: –          Publish prewritten articles or press releases by advertisers –          Work with affiliate programs –          Start selling products –          Displaying ads on the website The last option is by far the most common and stable way of generating revenue. RTB has become a very big step for publishers to generate constant revenue without taking focus off their core product; generating content. RTB helps them to monetize their content all year around without having to pay anyone to take care of selling their free ad inventory. Depending on their size, publishers either work straight together with a Supply Side Platform...

Looking for an alternative to Google Adsense?

Has your Google Adsense account been disabled or temporarily banned? Are you looking to increase your online revenues without spending any money? Geniad is one of the best Google Adsense alternatives you will find that monetise your website. With an innovative system of serving banner ads alongside state of art reporting, Geniad has access to the major ad platforms such as AppNexus, BrightRoll, Facebook, Google and Tremor Video giving their customers the highest revenues possible. Geniad is one of the leading European companies to use Real Time Bidding (RTB). RTB is a technology which has been revolutionising the online advertising industry over the last couple of years. Due to innovative RTB software, websites and blogs ad-inventory are offered to thousands of premium advertisers at the same time within milliseconds in an online auction. During the auction, the bidding advertisers compete in displaying their ads to web users who are browsing the website. The highest bidder wins and displays their ads on the website in question. This whole process takes a few milliseconds while the user is loading the page. There are no fees, no contract to sign and within the first month, Geniad can uplift earnings between 10% and 30%. In some cases, websites can double and even triple their ad revenue. The best way to find out if Geniad is for you is to sign up. The size of the revenue we generate depends on many factors like demographic, location, period of the year or the size of...

European real time bidding market record constant growth

Since Real Time Bidding (RTB) technology reached the shores of Europe from the US, the market has been developing gradually, recording a constant growth. Latest reports (Q3/2014) show how generated revenue in almost all European markets has been increasing over the past few years. In total, the European market has seen a growth rate of 200% over the last year (Q3/2013-Q3/2014) with RTB ad spending increasing by 16%. Taking a closer look at each European country, the three biggest markets at the moment (the UK, Germany and France) have all registered strong evolution over the last year. The UK market grew by an astonishing 800%, Germany approximately 750% and France approximately 300%. The strongest market in Eastern Europe, Poland, also boasts an 800% increase of the RTB market. The Netherlands, as one of the earliest adopters of RTB technology in Europe, only has a market growth of less than 100% but still appears to be growing continually.   These are impressive RTB growths for all European countries mentioned, however it is Slovakia and Portugal who have seen a particularly exceptional growth with 1,400% and 1,200% respectively. To compare these stats with Q1/2014 and Q2/2014; the German market has shown a growth of 600% in Q2 compared to 400% from the beginning of the year in Q1. This continues to rise to almost 800% growth in Q3. Considering Germany’s strong economy and market size, it is one of the most interesting markets to explore in the next coming months. Team this with the Nordic countries showing a very strong increase this year and Eastern Europe becoming even more interesting for...