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Before diving into the nitty-gritty of how mobile DSPs work, this post will focus on defining what exactly a demand side platform is and why they are so important in digital advertising for your mobile user acquisition.
What is a mobile DSP?
Well then, what exactly is a mobile DSP, (demand side platform)? To put it simply, it is a type of software that allows an advertiser to buy digital ad placements with the help of automation.
Before the dawn of mobile DSP, digital ads were manually commercialized by ad buyers and salespeople. This painstaking step of mobile user acquisition where you had to contact hundreds of publishers with advertising offers is now replaced with an automated system, called Demand Side Platforms.
A demand-side platform can automate the decision-making process on how much to bid for an ad in real-time. This optimizes your mobile user acquisition budget as DSPs make the ad-buying process significantly faster, cheaper and more efficient.
Why are DSPs important for your mobile user acquisition?
- Faster, cheaper, more efficient : Mobile DSPs are fundamental in mobile programmatic as they enable advertisers to purchase ads in a faster, cheaper and more efficient way. This process allows marketers to avoid spending time and energy on something that can be completed by an automated machine. They can focus their efforts on other aspects to increase mobile user acquisition and let the automated machine do its magic.
- Mobile DSPs target the right audience: Another major purpose of a mobile DSP is to enable advertisers to address ad campaigns directly to the target audience; not only at the right time, but also on the proper screen and with the adequate ad format. In addition DSPs optimize your mobile user acquisition by storing all the users’ data, which allows them to make future targeting more precise.
- DSP Real time optimisation: Not long after the campaign goes live, the performance indicators are ready to be viewed. Thanks to this quick feedback, the campaign is optimized in real time. You will be able to see where the ads have successfully turned in a sale or which ads have the most clicks almost instantaneously.
- Mobile DSPs reach thousands through a single platform: Another significant benefit is the unification of suppliers on a single platform. Using a mobile DSP allows Advertisers to reach a wider number of publishers through a single marketplace called Ad Exchange, resulting in a more diverse and global ad inventory than they could have achieved on their own. This inventory is frequently classified by several characteristics, allowing a brand to pick and choose where they want their ads to appear. This is important because advertisers may decide not to show their ads in specific publishers’ categories for brand-related reasons.
Allowing mobile advertisers to buy high quality traffic at scale with minimal friction makes mobile DSPs a powerful marketing automation tool. Ad buying and selling has never been so easy. By using demand side platforms, advertisers are able to have better tools to track ad performance while using less budget, all things that improve your mobile user acquisition strategy.
Want to learn how mobile DSPs work? Read our comprehensive article which walks through a step by step explanation of how DSPs work, the different types of DSPs, and also providing real life examples.
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