What is an ad exchange?

Understanding of an ad exchange

An ad exchange is an online marketplace where the advertisers and publishers will buy and sell the ad spaces through real-time bidding. An advertiser can purchase display, video and mobile ad inventories from the ad exchange.

What does an ad exchange mean?

 

An ad exchange is an online marketplace where the advertisers and publishers will buy and sell the ad spaces through real-time bidding.

An advertiser can purchase display, video and mobile ad inventories from the ad exchange.

To purchase the ad inventory, the advertiser or an ad agency should have access to DSP (Demand side platform) for facilitating the real-time bidding process.

The advertisers can bid on the ad inventories using the demand-side platform and the publishers can sell the ad inventories to ad exchange using supply side platform.

Why you choose an ad exchange?

 

Ad exchange allows advertisers to buy the ad impressions in real time based on the factors like user browsing behavior, device type, ad position and etc.

The advertisers can purchase the ad inventories from various websites automatically without negotiating with publishers.

The ad exchange is transparent to the users as it allows the advertisers to view the amount spent for the ad impressions.

Examples of major ad exchanges are Google, openx, yahoo and etc.