Exchange technology, or simply support for real-time bidding and related big data analytics, is being made available to both publishers and advertisers. We think it makes perfect sense to use one unified platform to supplement traditional buying and selling by making use of RTB as a core component of ad serving mechanics.
machine learning - optimization
For both publishers and advertisers, real-time bidding can offer more than simply an application of unreliable third-party data on top of remnant inventory. Recent advances in - and commoditization of - big data analytics solutions offers new, unprecedented options when it comes to campaign optimization.
As RTB matures, it is poised to become more than just a mechanism that faciliates arbitrage between intermediaries representing buyers and intermediaries representing sellers.
Buy-side and sell-side partners using AdGear have the possibility to relay impressions as bid requests to our third-party optimization partners, maximizing the performance of branding and direct response initiatives. Whether it's specific events such as conversions, or simply clicks and interactions, machine learning optimization algorithms leverage the power of data to dramatically improve performance in addition to reducing inventory waste.
One such partner, Datacratic, uses sophisticated mathematical models to predict what customers will want to buy next, which ad is most likley to entice a customer to purchase again, and what audiences will respond to an offer. The optimization service can be used "on tap" directly through the AdGear platform, relayed using our real-time bidding protocol.
In addition to using event data from conversions and building look-alike models for further retargeting, machine learning optimization services can also overlay third-party data in order to establish which third-party data segments are dominant within the group that has converted on the advertiser's site.
When you talk to a publisher about what is important to them, two themes invariably come up: profitability and quality of ads. Both of those can be offered to them by premium advertisers represented by agencies. When you talk to advertisers, there are also two things involved: quality of the environment and ability to reach the right audience (at scale).
A private exchange, powered by AdGear's real-time bidding mechanics yet directed by a strict set of pricing and access rules, can offer the optimal balance between automation and leverage of direct relationships that already exist between partners. As publishers and advertisers struggle to cut through the noise, private exchanges also allow for a different kind of business agreements that encompass not only the quality of environments where the ads run, but can also extend to make use of sponsorships, branded content and custom formats.
In addition, for publishers this represents an opportunity to bridge the gap between direct and automated sales, making impressions compete for the right buyer across the two spheres. Analytics will show what works and what doesn't, making sure that private exchange relationships are viable in the long term.
audience extension + retargeting
As publishers' and advertisers' needs for ad technology converge, audience extension and retargeting are increasingly used in various contexts. AdGear offers a possibility to build audience profiles for both groups of customers, allowing to overlay that data on top of inventory operated by networks using the platform, or on top of third party ad exchange inventory. Retargeting based on conversion events, previous clicks on ads and other customer lifecycle events are all made possible in a simple, integrated interface. The agency version of the platform offers a unified view of both traditional and real-time bidding placements.
Some restrictions apply as ad exchanges and premium publishers may explicitly require data to be isolated, preventing reuse of data exhaust from premium campaigns.