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Is Real-Time Bidding Mobile Advertising's Win-Win?

Win-win-RTBIt's been called a common buzzword that's part of everyone’s business plan in 2013: Real-Time Bidding (RTB). In the advertising world, RTB means that every online ad impression can be evaluated, bought, and sold instantly (well, less than 100 milliseconds). 

Mobile advertising buying platform Adfonic, describes RTB as the means by which mobile advertising achieves something of the fluidity, scale and dynamism of financial markets. Its value over traditional ad buying is RTB's ability to equip bidders with rich, timely user data to target specific and relevant audiences, and help them determine whether or not to bid for an ad impression. In this way, ad exchanges and buyers to work together to programmatically sell and place bids on ads.

Google offers this terrific introduction to real-time bidding video

In a recent quarterly report, Adfonic shows how RTB is out-performing traditional ad buying. In fact, for both advertisers and publishers alike, the company's results show RTB provided significantly stronger results across every industry channel. This interactive image below highlight's some of the company's findings.

So, how is this a win-win? RTB works for mobile advertising because it’s applying market dynamics to mobile advertising. Buyers (advertisers) get more access, targeting and transparency, while sellers (ie publishers) get a fair price because it’s driven by the most efficient mechanism there is – the market. In fact, without RTB, it's not uncommon for ad inventory to go untapped. That's the win-win.

It's been widely held that the success of mobile DSPs, like Adfonic's Madison platform, will help shift ad budgets from traditional media into the digital world as media buyers demand a deeper level of targeting. And what better platform to target than the one most of us are in arm's distance of throughout the day: mobile devices.

So go back and highlight that 2013 budget item for mobile advertising RTB, it may be your "win" as well.
image: photobucket


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