In 2017 spend on digital video ads rose 33% and reached a figure of $11.9 billion. One of the main reasons behind the steep growth is the rising popularity of ad exchanges, which automated and refined online ad trade. The nearly 12 billion dollar figure attracted even more companies to the ad exchange field, ensuring a competitive variety of options.
We take a look at what video ad exchanges are, how they can maximize benefit for both publishers and advertisers, which are included in MOW Marketplace and which ones are leading the industry.10 best video ad exchanges for #publishers and #advertisers. @OpenX @RubiconProject @CedatoTech @GoogleAds @TritonDigital @FreeWheel @NOIZchain @AppNexus @oath Click To Tweet
What Are Ad Exchanges?
Digital advertising has two sides, publishers and advertisers. Publishers are selling the ad space on their websites or videos. Advertisers (companies or hired marketing agencies) are buying these ad spaces. That makes ad exchanges digital, automated middlemen in these constantly occurring interactions.
Instead for the members of the marketing departments negotiating about the rates and placements of ads directly like in the old days, now, ad trading is mostly done within a complex, programmed, fully automated systems, and in a matter of milliseconds.
Look at ad exchange as a marketplace for advertisers and publishers to come together and do their business.
How Do Ad Exchanges Work?
Advertisers have their own servers that are trying to get the best ad placements for the least amount of money possible. They are called DSPs or Demand Side Platforms.
Publishers have their own servers which want the highest bids for their ad inventory space. Publisher servers are called SSPs, or Seller Side Platforms.Look at ad exchange as a marketplace for #advertisers and #publishers to come together and do their business. Click To Tweet
An ad exchange buys up ad space from publishers. Then, when approached by the advertiser looking for a specific audience for its ad, it takes the ad and places it on publishers’ ad space for the particular viewer to see. By doing so, it ensures that the advertiser is getting the exactly desired impressions. Meaning, getting the exact type of users they are targetting.
What Is the Difference Between Ad Exchange and Ad Network?
The predecessor to ad exchanges, ad networks were the second step in the evolution of digital advertising, improving on the aforementioned direct ad trade. They’ve bought up the remaining ad inventory from the publishers, aggregated the audiences, and sold them to advertisers in packages.The switch from #adnetworks to #adexchanges enabled buyers and sellers to trade with audiences, not inventory. Click To Tweet
The multitude of ad networks meant that the logistics were complicated, and even more importantly, advertisers would on occasion buy the impressions of the same audience more than once.
The switch from ad networks to ad exchanges enabled buyers and sellers to trade with audiences, not inventory.
In other words, publishers would present their audiences on the ad exchanges, and the advertisers would pick who they like for each specific ad. If an advertiser placed the highest bid for that type of a specific audience member, their ad would’ve been displayed to that viewer.
Best Ad Exchanges For Publishers and Advertisers
A premium ad exchange which provides an independently-rated inventory. OpenX is the largest independent ad exchange but it’s only available to publishers who have more than 10 million page views per month. With 1,200 of them, 34,000 advertisers, and 60 billion of bids per day, it has the luxury of putting a steep entry rate.
Rubicon Project started as a Seller Side Platform and transformed into an ad exchange when it accumulated enough inventory. The trailblazer for video header bidding, Rubicon Project is also used on huge sites like Reddit, Spotify, Vox Media, SoundCloud, and many more.
PubMatic is a publisher-focused platform which has around 800M monthly unique users, delivers over 55 billion daily ad impressions, and process staggering 12 trillion advertiser bids per month.
Specializing in video advertising software makes it available for native videos to run on any screen and placement. Cedato enhances value, yield, and viewing experience in 100 countries of the world. Cedato’s private marketplace ensures that ads will be displayed on only quality videos, although it’s a marketplace that aims to help sellers and buyers both.
Google AdX, former Google Ad Exchange, is a real-time marketplace partnered with the Google Display Network for buying and selling ads. As it is by Google, buyers get access to more ad space and have more controls over where their ads run and don’t run. For publishers, it means their ad space will have a lot of people auctioning for it.
Specializing in digital audio, Triton Digital is riding the podcast revolution through its audio-first supply-side platform (SSP) for broadcasters, podcasters, and music streaming services.
FreeWheel is amongst the few that is combining monetization of digital and traditional linear TV screens. A feat like that demands a large team and experience, and FreeWheel is a Comcast company which has both in abundance.
Noiz focuses on ensuring that the buyers get accurate data for the reported impressions. They focus on what they call “cognitive ads” – interactive ads, and also on incentivizing viewer to take a more active stance towards advertisements.
The pioneer of the header bidding technology bravely states that it’s the choice of Roughly 90% of addressable comScore 200 digital publishers and all Ad Age 100 brands! It offers highly customizable platforms for both buyers and sellers and is also utilized by grand internet companies like Microsoft and Fandom.
Formerly known as One by AOL, and bought by AOL in 2015 for $238 million when it was Millenial Media, Oath offers a complete package for digital advertising. It’s recommended the most for companies based in the United States because of the parent’s company strong presence there.