The Very Special People


Tuesday, November 26, 2013

Real Time Bidding (RTB) In Online Display Advertising

Today I stumbled over how the Real Time Bidding (RTB) in online display advertising world works, I must say it's quite fascinating stuff. The beauty of it is- "the response rate", it is soooo fast that you will be awestruck with this technology, anything between 300-500Millisecond !!

Check the steps I found from Wikipedia on how is the flow of Real Time Bidding (RTB)-
  • A user's browser requests a webpage of a site that uses real time bidding
  • The user's browser receives the HTML for the webpage. Embedded in this HTML is a URL tag for an ad request
  • The user's browser makes a call out to the ad server
  • The ad server calls out the SSP that this website is using. Sometimes SSP and the ad server are integrated such as 24/7 Real Media OpenAdstream or Google's DFP & AdX systems.
  • SSP makes a call out to one or more ad exchanges
  • An ad exchange makes multiple call outs (bid requests) to several DSPs trying to get the best price
  • DSPs evaluate the bid request and decide how much they want to bid and respond with bids to the exchange
  • The exchange selects the highest bid with a URL of the winning ad and returns that to the SSP
  • SSP returns the winning bid to the ad server
  • The ad server finally responds with an ad to the browser of the Internet user which started all these transactions
 The link to Wiki page is here.

I tried to capture the steps in the into graphical form so that it becomes more clearer with the explanation.

RTB Flow
Real Time Bidding (RTB) Flow

Please double click the image for a better view.