Running a digital business or, specifically, running a digital marketing campaign requires the use of AdTech. To purchase, manage and evaluate digital advertising, advertisers use AdTech. Advertising technology, or “AdTech,” is defined as all technologies and techniques, as well as those used in the online advertising industry.

Online advertising has become increasingly popular due to a number of new issues that have emerged at a time when traditional marketing is no longer the only factor to consider and there is a need to rethink how to interact with consumers.

Actually, it’s with the help of AdTech:

  • The purchase and distribution of advertising space must be as automated and planned as possible.
  • The collection of customer data about their web browsing and online advertising behavior helps target and deliver the right message to the right audience.

About the technologies and solutions of AdTech

Essentially, AdTech technologies act as an intermediary between the advertiser and the website where the ad will be placed.

  • Data Management Platform (DMP)

A data management platform (DMP) gathers, organizes and creates active data on primary, secondary and third-party audiences. This collection can come from various online, offline and mobile sources.

It then makes extensive customer profiles using this data to support projects for targeted advertising and personalization. Publishers can feed data gathered from their websites and apps into DMPs using file uploads, APIs or pixels. DMPs can collect data for a client to use internally (first-party data) or compile data from various sources to package and sell (third-party data).

Customers of DMPs group audience identifiers into "segments" and categorize these segments according to behavior, demographics or interests. Below are a few examples of these segment types:

  • Behavioral: An e-commerce site may add the user's identifier to a segment marked "did not check out" if they added an item to their cart but then abandoned the checkout process. Being based on an action or behavior qualifies the segment as behavioral.
  • Demographic: By soliciting their voluntary participation in surveys, news websites can learn details about their audience, including age, gender and household income. Then, publishers can use these demographic data points to pinpoint particular users.
  • Interest: If a user frequently browses financial articles on a publisher's website or mobile app, the publisher may classify the user as being in a "financially savvy" interest-based segment. Some DMPs also offer tools for building compound segments using AND/OR operators.
  • Ad exchanges: Online markets where ads can be bought and sold are called “ad exchanges.” They establish a connection between publishers and advertisers through ad exchange networks and servers, where publishers can provide ad inventory and advertisers can set a budget for real-time bidding.
  • Search Engine Marketing (SEM): Ad visibility, target audience reach, and product purchases are frequently determined by carefully chosen keywords. With the help of search engine marketing (SEM), it is possible to buy ad space associated with valuable or well-liked keywords, expanding your target audience or reaching new ones. Additionally, SEM can be used in conjunction with SEO and SEA.
  • Tag management system: Tag management systems organize, manage and change marketing and advertising tags using automation and container logic. They make sure that only the essential changes—and not the entire source code—need to be made when brand-new marketing initiatives are launched or websites are redesigned.
  • Native ad platforms: Native advertising platforms serve more as a benchmark than a tool for seamlessly incorporating advertising content into web content, namely in the form of suggestions, counsel and in-feed marketing.
  • Ad forecasting software: You can make the most of your advertising budget by using “ad forecasting software.” It assesses consumer purchasing and usage patterns, provides an overview of anticipated costs for ad inventory and ad placement, and offers budget optimization based on anticipated costs and projected goals.

The Future of Advertising Technology

AdTech is rapidly developing and doesn't appear to be slowing down. Advertising must evolve along with consumer behavior. AdTech will be essential to the development of advertising and has the potential to completely transform the market.

The future of advertising technology appears promising, despite the impending recession.

Several factors make the future of AdTech look promising. The top three advantages are as follows:

  • AdTech is becoming more effective.
  • AdTech is becoming a lot more automated.
  • AdTech is moving more toward AI.

These three trends imply that businesses that invest in cutting-edge technology will weather the storm of the recession and emerge stronger.

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