Back in the days, we would only see and hear advertisements through newspapers, tabloids, radios, and televisions, now is the time to learn about real time bidding media buying. Because of this new form of advertising, products become more visible in the world of business. What are these two anyway? How will it help advertiser?
What is Media Buying?
Media buying plays a sub role in managing and advertisement. Regardless of the kind of media given, it secures the most probable position and price. As such, its main task can be seen once the position and price are negotiated. This will then make sure that the best value possible is protected.
The People behind Media Buying
In any kind of business dealings, manpower is indeed very important. So when it comes to advertising, it is no different. The people behind media buying are called media buyers.
Part of their responsibility is to buy time and space for advertising purposes. Before buying anything, they assess the following factors:
- Demographics
- Geographic and psychographics related to any particular product or service
- Pricing rates
- Station formats
Once they have purchased something, they will then have to maximize their purchase based on how much is the budget and what kind of medium such as the following:
- Internet
- Radio
- Television
Once the medium is recognized, the quality will then be considered:
- Who will be the target audience?
- What time of the day will it be broadcasted?
- How much time is needed?
- How much space is wanted?
So where do media buyers actually buy? They can procure either:
- Spot
- Regionally
- Nationally
Media buyers will consider the following factors as they will be different state by state:
- Rates
- Demands
- Space
- Time
- State licenses
What is Real Time Bidding?
After talking about media buying, real time bidding will now be discussed.
Aside from media buying, real time bidding is rather a comparatively new technology in the world of advertising. It allocates online advertising to be purchased and served. As each ad impression is served, advertisers may bid on it. Whoever bids the highest will have the advertisers’ advertisement served on the page.
This can be compared to stock market. Stocks can be compared to the online advertising slots. Once they are out for sale, the brokers or the advertisers will bid for it. Whoever gives the highest bid gets the stock. The cycle will then go on.
So how do the advertisers determine on what ad do they need to bid on? Across the web, real time bidding platforms purchase data about internet users. The data is in form of behavioral data gathering. Once the cookies are tracked, they are transferred into the real time bidding platform. This gives the advertisers an idea as to whom they should serve their advertisement.
Example of Real Time Bidding
An internet user usually goes to financial websites to check on stocks and look up on Morning star ratings. He comes across a webpage that has real-time bidding for advertisements. On the other end, a financial service provider mentioned that they are interested in users who like stocks. A car maker also indicated that they also like users who are into cars. The advertisers will bid on the ad. Whoever wins, theirs will be served.
Media buying real-time buying have definitely come a long way. For more information about real time bidding media buying, please visit this page.
