Advertising campaign effectiveness: How DSP platforms can improve ROI

In the digital age, the importance of digital advertising is huge. The revolutionary shift from Waterfall to programmatic Header Bidding is transforming the advertising market. The changes are amplified by intelligent algorithms and machine learning that analyse user behaviour and identify target audiences. Whether your company is a barbershop on the corner or an international online consulting firm, you can’t do without online advertising. The statistics are inexorable: digital advertising, which is growing at a rapid pace, is gaining weight in the market and pushing out outdated methods. An example of an innovative method of promotion is DSP platforms like SmartyAds. It stands out among its counterparts, such as Amazon DSP, due to its user-friendly self-service interface that allows advertisers to efficiently manage targeted campaigns.

So, digital advertising has become the key to modern marketing. It allows companies to launch a variety of strategies to attract different target audiences, measure the effectiveness of advertising efforts, and make quick adjustments. If you’re interested, here’s a look at what ROI is and how DSP engines can help improve it.

What DSPs are and how they work

A DSP platform is a component of Header Bidding programmatic advertising technology, which on the advertiser’s side allows selling advertising inventory — ad spaces on websites or apps. Apart from engaging high-tech tools, the main advantage of DSP platforms is that the advertiser can react in real time to changes in audience behaviour and adjust their campaigns accordingly.

Here are the five basic steps an advertiser follows when working with a DSP platform:

1. Registering and setting up an account: creates an account on the chosen DSP platform and customises this, including adding payment information and preferences.

2. Creating an ad campaign: defines campaign objectives, target audience, budget, geographic focus and other key parameters.

3. Selecting ad inventory: you choose the right ad platforms and ad formats to place your adverts.

4. Optimisation and targeting: use DSP tools to adjust targeting by target audience portraits – demographics, interests, behaviour and other factors for maximum effectiveness.

5. Campaign Analysis and Adjustment: analyse campaign results in real time and make adjustments as needed to improve performance and achieve better ROI.

As an advertiser, following these five steps will enable you to leverage the power of DSP platforms to achieve your marketing goals. DSP platforms vary in the specifics of how they reach their target audiences; another difference is the complexity of the tools. For example, Google Display & Video 360, as part of the Google Marketing Platform ecosystem, offers rather complex tools for planning, creating and analysing ad campaigns. In contrast, SmartyAds offers a one-page interface and aims to simplify the process of launching ads. What are the differences and similarities between DSP systems? Find out from the experts at Business of Apps.

DSP helps ROI: How it works

Advertising venue owners are not only striving for the lofty goals stated in ‘Our Mission’, but also the more mundane goal of increasing return on investment (ROI). Flyer distribution and Waterfall promotion methods are giving way to a new approach: programmatic Header Bidding. This client-side interface, which works like a DSP platform, opens up high-tech opportunities for ROI growth. How? Let’s take a closer look.

For reference: Key Factors for Effective Online Advertising

• Reach is about the target audience where they spend a significant amount of their time, which is increasingly online.

• Engagement enables companies to connect with, convert, and retain their target audience effectively.

• Flexibility make quick adjustments based on real-time data.

• Cost-Effectiveness allows for daily success measurement and strategy pivoting. 

Audience targeting via DSP allows you to fine-tune your advertising campaigns. You can select geography, age, interests, behaviour, and even the types of devices used to access the internet. This focus helps you reach your target audience accurately. As a result, you reduce the cost of ineffective clicks and can save up to 50% of your budget.

Artificial intelligence and machine learning used on DSP platforms automate the optimisation of advertising campaigns. They analyse the target audience’s reactions to previous ads. For example, SmartyAds’ database includes approximately 3 million users, and the key metric to analyse is conversion. Companies with high ROI are recognised for their effectiveness and their strategies are repeatable, which can increase the conversion rate by up to 30%. Thus, DSP collects a database of both target audiences and interactions with them in order to operate on the data to develop effective strategies — to make informed decisions and improve ROI results.

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Bottom Line

To summarise, the digital advertising landscape is evolving rapidly and programmatic DSP platforms are becoming key tools for increasing ROI. Imagine you have a product or service — programmatic advertising can reach within 10% of the target audience of your offering. It works the other way round too — with DSPs you can find out which product is in demand so you can offer your audience what they are looking for. This example demonstrates: when you can’t do without online advertising, understanding and utilising DSP platforms can greatly improve marketing strategies and contribute to business success.

The DSP market will continue to grow, and their capabilities will continue to expand, including integration with artificial intelligence and machine learning for even more accurate data analysis and prediction of consumer behaviour. New technologies such as blockchain and advanced analytics algorithms may also strengthen programmatic approaches to advertising. Possible objections such as data protection and user privacy find answers in complying with regulatory laws GDPR, CCPA & PIPL (Forbes). In conclusion, DSPs not only confirm their status as an innovative advertising solution, but also demonstrate a willingness to evolve to overcome emerging obstacles and remain at the forefront of advertising technology. DSP architectures are an investment in a future that is already waiting around the corner.