Summary: Real time advertising is a new way of serving ads that is a viable alternative to performance advertising.
Real time advertising, often referred to as real-time bidding or RTB, is perhaps the most advanced form of Internet advertising today which could one day replace entirely the more conventional performance advertising. However, is it time to consider getting into RTB?
Like it or not, the way businesses want to present their products to consumers will always evolve. Innovation will always transform the way we see ads being served, be it on TV, radio, print and on the Internet. That change is never more evident than on the Internet. We see they way ads have transformed, and we’re seeing more of these transformations as the years and technology progress.
Not all performance advertising networks have already forayed into real time advertising. This method is relatively new, and some of its aspects are still in the works. In fact, Facebook, the world’s largest social network, is still testing the technology. It may have been used by other bigger advertising network, but as to what extent consumers may not yet know.
You as an advertiser ought to know how this breakthrough technology works to see if it’s a viable advertising alternative.
Real-time bidding or RTB is a system that allows advertisers to dynamically bid impressions. This means that instead of paying a fixed amount on per thousand impression, you determine how much you are willing to pay per specific impression. This is as opposed to the more conventional pay per 1000 impression commonly used by many advertisers these days.
With real time advertising, your ads become much more efficient because you only pay for specific impressions served in real time. In the per 1000 impression, you could be paying even for impressions that appeared on sites that are not related to your ads. You could have wasted money on nothing.
Because ads are served in real time on RTBs, you can instantly measure the effectiveness of your ads. In real time bidding ads are served in less than 150 milliseconds. Suppose an internet user mentions or searches for “pepperoni pizza”, just as instantly, ads related to “pepperoni pizza” will appear.
This groundbreaking method helps you to learn precisely what works best for your product, allowing you to work on a more optimized process for your internet advertising campaign. Real time advertising gives you tremendous ability to customize ads in real time according to the user’s digital traces.
Also, more importantly, with RTB, advertisers can minimize loss of ad spent and can have absolute control over the cost that they spend on ads. With real time advertising you can reach precisely the audience that you are targeting for because you buy specific users that you are of interest to your business.
