What is DSP in digital marketing? Is Google ads a DSP?

In the simplest of terms, DSP is a type of software that helps you buy digital advertising. More specifically, a DSP allows you to buy ad space on digital platforms like websites, apps, and video channels.

DSPs became popular with the rise of programmatic advertising, which is a type of digital marketing that uses technology to automate the buying and selling of ad space. Programmatic advertising is sometimes also referred to as real-time bidding (RTB).

With programmatic advertising, ads are not purchased through a traditional ad buying process. Instead, they are bought through an automated system that uses algorithms to purchase ad space in real-time, based on factors like the advertiser’s budget, the user’s demographics, and the user’s location.

DSPs are used to buy ad space on programmatic ad exchanges. These ad exchanges are similar to stock exchanges, in that they are platforms where buyers and sellers can trade ad space in real-time.

However, unlike stock exchanges, ad exchanges don’t necessarily have a set price for ad space. The price is determined by the factors mentioned above (the advertiser’s budget, the user’s demographics, and the user’s location), as well as the demand for ad space in that particular moment.

Advertisers can use DSPs to buy ad space on ad exchanges. However, they can also use DSPs to buy ad space direct from publishers (websites, apps, and video channels).

Google Ads is not a DSP. Google Ads is an ad buying platform that allows you to buy ad space on Google’s properties, such as Google Search, YouTube, and Gmail.

While you can use Google Ads to buy ad space on Google’s properties, you can’t use it to buy ad space on other websites, apps, or video channels. For that, you’d need a DSP.

Digital marketing Platform (DSP) is a tool that allows buying, managing and optimizing digital marketing campaigns in one place. It is an ecosystem that connects Advertisers, agencies, publishers, and technology providers.

A DSP can be used to buy inventory from multiple ad exchanges at once. This inventory can be impressions on websites, video ads, or even mobile ads. DSPs also allow for real-time bidding, which means that advertisers can bid on ad space in real-time, as opposed to the traditional way of negotiating prices with publishers ahead of time.

Google Ads is not a DSP, but it is a tool that can be used in conjunction with a DSP. Google Ads allows you to place ads on Google’s own properties, such as Google Search, YouTube, and Gmail. You can also use Google Ads to place ads on websites that are part of the Google Display Network. While you can use Google Ads to buy ad space on these websites, you will need a DSP to buy ad space on other websites.

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