A demand side platform, also known as DSP, is an operating system that allows advertisers to buy digital advertising with a completely automated process. Mobile DSPs are indubitably a major part of the programmatic business, as they enable advertisers to purchase ads in a faster, cheaper and more efficient way.
The right mobile DSP partner enables mobile advertisers to locate available and relevant publishing inventory and utilize ad placing space through a combination of dedicated automation technology and professional know-how.
Understanding exactly what a DSP (demand side platform) is is imperative in any mobile user acquisition strategy. But what about knowing how to choose the right DSP for you? Now is the time to delve into this question, looking at the steps you need to take when choosing the right mobile DSP for your business.
Working with a DSP (demand side platform) has a number of significant advantages:
- Innovative approach: DSPs offer a more granular approach towards user acquisition, especially when measuring user LTV versus cost.
- Bigger reach: By collaborating with the right demand side platform you’ll be able to expand and diversify your portfolio while maintaining control over the targeted audience.
- Increasing profit: Partnering with the right mobile DSP will reduce costs by introducing more efficient and tailored workflows. This in turn will help you to better utilize your budget.
The right time to pick a mobile DSP partner
Scale-up time: It could be time to get in touch with a top demand side platform if your present user acquisition efforts could use a boost. It is recommended that you do this when you already have campaigns with positive ROAS (return on ad spend) on several platforms and defined benchmarks, so that you can begin the cooperation with a specific goal in mind.
Know who you are: When you are certain of your target audience's characteristics and the strategy you want to use to reach them, it is the right time to contact a demand side platform. Knowing this will mean the DSP's sophisticated targeting capabilities ought to be more successful.
Tips for choosing the right mobile DSP
Deciding which partner you want to collaborate with is no small task. With so many demand side platforms on the market, it’s important to determine which one is the best for you. We have outlined 4 key areas to consider during this process:
- Deciding between a self-serve DSP or fully-managed DSP
Of course this is the biggest decision, whether you want to go with a self-serve or fully-managed DSP (like Mapendo).
A self-serve platform requires you to do the technological integration yourself, and to know how to use the platform and how to assess performance, metrics, etc.
On the other hand, by choosing a managed DSP, there are very limited requirements because in managed DSPs there is a team of experienced people who run the platform and take care of everything, from integration to optimization. All managed DSPs need is: your goals, creatives and budget. They can set up an app install campaign in a few minutes and keep you constantly updated with results.
- Finding a trusted partner
Trust is the cornerstone of any successful partnership, but it is especially important when it comes to finding a mobile DSPs that is right for you. Since you'll be giving a third party access to private information, it is important to safeguard your data and avoid any unfavorable partnership decisions that could affect your app’s reputation. Another thing is to review the demand side platform’s data policy, and pay special attention to how they approve content and placement.
- Consider the DSPs data handling capabilities
Many demand side platforms offer their own unique technology, which includes features for DMP data enrichment as well as predictive modeling. This increases their scaling and targeting capabilities, but in order to make sure it meets your objectives, it's vital to look at which data characteristics are used from the ad exchange information and what the specific technology is focused on.
- Assess their technology
As we've already discussed, you'll be sharing a lot of data with your partner, so these capabilities are crucial. Make sure it can handle massive amounts of data and utilize this vast database of knowledge to its fullest potential.
So there we have it, from the advantages and right time to pick a mobile dsp, to the top tips for choosing your partner, we have covered it all. If you are interested in reading more, take a look at our series of demand side platform articles on our blog, starting with DSP: How does it work?.