Display Advertising Programmatic Display Advertising 1 — Questions and Answers
Question 1: What is programmatic display advertising?
- The automated buying and selling of digital ad inventory using software and algorithms (Correct answer)
- Creating display ads using programming languages like HTML5
- A method of manually negotiating ad placements with publishers
- Building dynamic ad creatives with coded animations
Correct answer: The automated buying and selling of digital ad inventory using software and algorithms
Programmatic advertising automates the purchase of display ad impressions through real-time bidding and algorithms, replacing manual insertion orders and direct deals between buyers and sellers.
Question 2: What is a Demand-Side Platform (DSP) in programmatic advertising?
- Software that lets advertisers buy ad impressions across multiple exchanges automatically (Correct answer)
- A platform that publishers use to sell their ad inventory
- A tool for managing ad creative design and production
- A network that aggregates demand from multiple advertisers for publishers
Correct answer: Software that lets advertisers buy ad impressions across multiple exchanges automatically
A DSP (Demand-Side Platform) is technology used by advertisers and agencies to purchase digital ad inventory from multiple ad exchanges through a single automated interface.
Question 3: What is a Supply-Side Platform (SSP)?
- Technology that helps publishers manage and sell their ad inventory programmatically (Correct answer)
- A platform that helps advertisers supply creative assets to exchanges
- A tool for setting minimum bid prices on the demand side
- Software that manages advertiser budgets across campaigns
Correct answer: Technology that helps publishers manage and sell their ad inventory programmatically
An SSP (Supply-Side Platform) allows publishers to make their ad inventory available to multiple ad exchanges and DSPs simultaneously, maximizing competition and revenue.
Question 4: What happens during Real-Time Bidding (RTB)?
- An automated auction for a single ad impression that occurs in milliseconds as a page loads (Correct answer)
- Advertisers manually submit bids daily for ad placements
- Publishers set fixed prices and advertisers accept or reject them
- Ad networks bundle impressions and sell them in daily batches
Correct answer: An automated auction for a single ad impression that occurs in milliseconds as a page loads
RTB is an automated auction process where, in the milliseconds it takes a webpage to load, multiple advertisers bid on a single available impression and the highest bidder's ad is displayed.
Question 5: What is a 'private marketplace' (PMP) in programmatic display?
- An invitation-only RTB auction where select publishers offer premium inventory to approved buyers (Correct answer)
- A marketplace where advertisers sell their unused ad budgets
- A closed network of first-party data available only to DSPs
- A private ad exchange operated by a single large publisher
Correct answer: An invitation-only RTB auction where select publishers offer premium inventory to approved buyers
A Private Marketplace is a curated, invite-only programmatic deal where publishers offer premium, often brand-safe inventory to a select group of advertisers at agreed-upon floor prices.
Question 6: What is a 'programmatic guaranteed' deal?
- A direct deal where a specific number of impressions is reserved at a fixed price programmatically (Correct answer)
- A guarantee that all programmatic ads will meet viewability standards
- An assurance that an ad will appear above the fold
- A contract ensuring a minimum ROAS from programmatic campaigns
Correct answer: A direct deal where a specific number of impressions is reserved at a fixed price programmatically
Programmatic guaranteed (also called automated guaranteed) combines the certainty of a traditional direct buy—reserved impressions at a fixed CPM—with the automation and targeting capabilities of programmatic technology.
What is programmatic display advertising?