The Birth and History of Real Time Bidding

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The internet advertising is a typical field of expertise where buying the right ad inventory and ad space moments before a website loads on the user’s screen. Before RTB, the prices of the ad inventory were placed at a fixed rate and impressions were sold on first come first serve basis. This posed a serious problem for several advertisers as during certain times of the day the impressions were entirely useless due to low traffic and most advertisers rushed to buy the best available inventory. Before internet advertising could succumb to the mindless buying frenzy of ad space, RTB was discovered as the means to rightfully distribute the ad inventory to post ads online. Discovered in 2009, RTB functions in a manner similar to a stock exchange where a marketplace known as the ad Exchange enables advertisers to buy and sell ad space and ad inventory from the publishers.
How RTB Works?
RTB works in the following steps:
A user clicks on a link to a webpage prompting it to load
Before the page loads the publishers send out a request for bidding that goes straight to the demand sources like the DSPs and SSPs. The request already contains the information related to each impression.
The various demand sources take this information into account and then calculates the value of each impression as per the various advertisers. The DSPs and the SSP then make bids for each ad inventory or impressions based on the data pre entered by the advertisers.
The highest bidder is rewarded the ad space and the winning ad is displayed in front of the user.
Understanding RTB
Despite of the several similarities RTB is way different from the stock market. The major difference being you can lose a lot of money in the stock market but not with advertising. There can be a case where the ad campaign fails due to poor quality and doesn’t live up to the expectations of the company. This is a potential failure for the company or the advertisers but the loss is pretty intangible as compared to the loss of physical money in the stock exchange. The ad campaigns usually work and are based on the overall ROI and the amounts of customers gained. Several platforms like mobile and facebook exchange (FBX) etc. are the potential RTB markets of the future and several users have already started exploiting their potential.
Optimization through Automation
Similar to a stock market, there has been a steady growth in the demand for ad inventory and impressions and it is only time before we experience a situation where we shall simply run out of supply. Implementing real time bidding as indeed optimized the growing demand while providing everyone a fair chance to bid on their desired ad inventory and impressions. The automation interface or the demand sources (DSPs and SSPs) have further channelized the procedure of buying impressions from the various publishers across the internet. The advertisers can now enter the various parameters according to the market analysis and the impressions that correspond to their target audience. The automation not only saves a lot of time but also saves on the number of wasted impressions. RTBs automation removes a lot of stress and workload from the head of the advertisers who are trying to get their ads placed just fractions of a second before a website loads.
The history of Real Time Bidding and its functions is indeed a vast and complicated topic, which cannot be entirely summed up into a single paragraph. The various users as we know are people who might not have a single clue about how an ad appears before them what goes between the few moments when they click on a particular website and it loads.

About Luke Peters
Luke is a gadget freak and staunch supporter of technology. He features quite often as a writer on various blogs, focusing on the technology & business startups. He can often be found, surrounded by his gadgets all working in cohesion to make his life ‘simply perfect’.

Does a College Degree Help or Hurt Young Entrepreneurs?

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I’ve been in the world of entrepreneurship for decades, and as long as I can remember there’s been a debate about whether young entrepreneurs need college degrees, or whether they can learn via “street smarts” everything they need to know to start a business.
But today, the college-or-no-college debate is taking on a whole new meaning. A recent post on the Kauffman Foundation’s blog asks whether the soaring cost of college is hamstringing young entrepreneurs by saddling them with debt before they even start businesses.
Ever since I can remember, the 20s and 30s have been considered ideal times to start a business. These young entrepreneurs are less likely to have the responsibilities of a home mortgage, spouse or family to contend with, and in the past, they’d usually have paid off any student loans or other college-related debt by their mid- to late 20s.
Today, of course, the landscape is much different. College students are graduating with hundreds of thousands of dollars in debt and, in many cases, few prospects for employment that can make any type of meaningful dent in that debt. Where in the past, you could live in your parents’ basement and save your salary to start up your business, today you’re more likely to have to put any salary you have toward paying down college debt.
The irony is that this is occurring at a time when there are more undergraduate and graduate entrepreneurship courses than ever before—all of which could make aspiring young entrepreneurs see a college degree as even more essential, despite the cost.
So is a college degree really needed to start a business? It’s crucial to weigh the costs. Here are some factors to take into account.
What type of business do you want to start? Some businesses, especially those based in professional services, may truly require a degree. Others, however, can be learned just as well (or better) with real-world experience.
What other educational options exist? If you’re concerned about learning things like basic accounting or marketing principles, there are plenty of ways to get that knowledge without a costly four-year degree, including community college courses, adult education or online courses (and, of course, advice from SCORE mentors).
What other advantages does college confer? In some cases, college connections confer entrée to sophisticated investors, entrepreneurs or advisors who can advance your startup at light speed. But these cases are few and far between and there may be other ways to make those same connections.
How much money do you have at your disposal and how is it best spent? If you’re fortunate enough to have some capital on hand, do the math. How much will your startup cost? How much would college cost? Could your college fund be better spent doing a startup? If so, can you convince your parents of that?
Starting a business or starting college—those are tough choices, and today’s economy isn’t making them any easier. Only you can choose what’s right for you.

About Rieva Lesonsky
Rieva Lesonsky is CEO of GrowBiz Media, a media and custom content company focusing on small business and entrepreneurship. Email Rieva at rieva@smallbizdaily.com, follow her on Google+ and Twitter @Rieva, and visit her website SmallBizDaily.com to get the scoop on business trends and sign up for Rieva’s free TrendCast reports.  

How To Turn Your Hobby And Passion Into A Profitable Business

By Brian

I’ve now invested over 7,000 hours trying to turn my enthusiasm into a full-time business– producing language-learning books and online language discovering webinars.

The suggestions I’m about to give you? It doesn’t matter if your company is more of a physical product and even a service. There are some insights to starting a company that can help us all.
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