Demand-side platform (DSP)

A demand-side platform (DSP) is a technology that automates the purchase of digital advertising across publishers, supply-side platform (SSP), and exchanges, enabling advertisers to reach desired audiences in real time. With integrated advanced controls, advertisers choose relevant audiences, ad placements, and pricing. It also provides analytics to understand impact and for optimizing campaigns. DSPs streamline cross-channel ad buying, enhancing efficiency and return on investment (ROI). By using a DSP, advertisers can effectively monitor and manage their campaigns.

A demand-side platform (DSP) is a technology that automates the purchase of digital advertising across publishers, supply-side platform (SSP), and exchanges, enabling advertisers to reach desired audiences in real time. With integrated advanced controls, advertisers choose relevant audiences, ad placements, and pricing. It also provides analytics to understand impact and for optimizing campaigns. DSPs streamline cross-channel ad buying, enhancing efficiency and return on investment (ROI). By using a DSP, advertisers can effectively monitor and manage their campaigns.

A DSP works because it uses real-time bidding (RTB) to purchase ad inventory. When someone visits a webpage, the DSP evaluates the available ad inventory and bids on it within milliseconds, ensuring the ad reaches the right audience at the right time. This media-buying process is automated, and relies on sophisticated algorithms and digital analytics to make quick decisions. Additionally, advertisers gain advanced controls over reach, bidding, and placements, which helps them meet their specific advertising goals effectively. By leveraging RTB, DSPs can provide real-time adjustments and optimizations for ongoing campaigns.

To simply understand the programmatic lifecycle, let’s start with the audience, or consumers, an ad is ultimately served to:

Using a DSP is beneficial because it automates the media-buying process, saving time and effort. A DSP allows advertisers to access a vast network of inventory across publishers and the open web. DSPs help advertisers reach the right audience based on measurements, optimize ad performance through real-time bidding (RTB), and maximize the efficiency of advertising budgets.

With audience optimization, advertisers can reach specific groups of consumers who are most likely to be interested in their products or services. This ensures that ads are more relevant and effective. DSPs also provide comprehensive analytics and reporting, allowing advertisers to refine their programmatic advertising strategies and improve ROI.

A DSP enables advertisers to buy ads, while a supply-side platform (SSP) allows publishers to sell ad space. Think of it like this: DSPs are the shoppers at the auction, and SSPs are the sellers. Both DSPs and SSPs work together to ensure ads reach the right customers at the right time. While DSPs cater to advertisers, SSPs cater to publishers, facilitating the sale of their ad inventory.

Now that we’ve explored how a DSP transforms the ad buying process, let’s break down its core components to understand the mechanics behind this seamless operation.

There are two types of DSPs: self-serve and full service.

Here are some examples of how brands have used Amazon DSP.

Are you ready to transform your advertising strategy? Dive into the world of Amazon DSP, and see how it can simplify your media-buying process, reach the most relevant audience, and maximize your campaign performance. Don’t just keep up with the competition—outshine them.

If you’re ready to get started, Amazon DSP is available for you. Whether or not you sell products on Amazon, you can use the self-service and managed-service options available. You can register today to start using Amazon DSP, or contact an Amazon Ads account executive to learn more.

Pricing and buying options for Amazon DSP depend on the format and placement of your ads. You have no shortage of options when using Amazon DSP: You can purchase audio ads, display ads, and video ads. For self-service customers, there are no management fees, since you’ll have full control of your campaigns. For managed services, it typically requires a minimum spend of $50,000 USD (minimum may vary per country).