The future is here – we live in a highly-technological and rapidly-developing digital world. Nowadays, people who are offline are still affected by all kinds of gadgets and devices, or instant messengers and chats, etc. Real and digital worlds have mixed up and complement each other now. It is hard to say that the digital world is augmented or separate from the habitual activities we are involved in. This includes every sphere of human life, like entertainment, education, work, travelling, art, etc. Advertising is not an exception.
Ads follow us wherever we are and shape our behavior even if we don’t notice that consciously. At the first glance, this universe of influence and decision-making is a pretty complicated ecosystem. In this post, we will try to make things easier and explain some of the key points of the adtech universe.
How does the adtech market work?
The adtech market allows brands and publishers to set up and manage their advertising business. In general, its ecosystem includes the demand side (advertiser), the supply side (publisher), third-party vendors and ad networks. Advertisers want to run effective campaigns and measure their results. Publishers want to cooperate with advertisers and get income through ad monetization by displaying them on websites, in video streams, and other channels.
Ad platforms provide tools and tech capabilities to allow both sides to get what they want. This includes instruments for real-time analytics, customization, and the most crucial – transparency. The latter is all about trust, which is the most important aspect of every business. Transparency means total visibility of the ad selling/buying process. Accurate and full data about ad location and pricing allows advertisers to optimize their expenses and campaign delivery. Demand-side platforms report this data and make sure that buyers are aware of all features they pay for. Ads for publishers are a dominant income source, but only in case all the processes are transparent.
A lack of transparency affects both publishers and advertisers. Advertisers lose significant sums of money on fake traffic and ads located in blind areas or deserted sources. They have to pay for “nonhuman interactions” that don’t bring any cash at all. Every supply chain participant takes high fees. Due to the lack of transparency, publishers cannot predict their ad monetization revenues and understand who precisely and at what stage cut their profit, and overall how many transactions were involved in the entire chain.
How adtech platforms tackle the issue of transparency?
Whether you are an ads publisher or work with CTV in-stream promotions, there are several reasons to stick to an ad platform. This is how it solves the transparency problem:
- it provides the environment where advertisers and publishers can cooperate without third-parties i.e. directly;
- the usage of such platforms is based on a fixed fee;
- it brings increased monetization revenue due to the transparent business model that eliminates countless intermediaries.
The latest technologies and safety measures prevent publishers and advertisers from nasty surprises and dishonest games.
The world of digital advertising develops and changes, which means that new challenges and milestones will appear on advertisers’ and publishers’ journey to success. The main issue of the modern adtech world is lack of transparency – hidden fees, blurry details of the deal, and other hardships emerging at every step. The best way to avoid them is to use an adtech platform that regulates the entire purchasing process. Protocols, standards and safety files protect ad budgets from fraud actions, provide complete control over campaigns, while fixed fees make deals between publishers and advertisers safe and revenue-driven.