Demand-side platform (DSP)
Demand-side platforms (DSP) allow advertisers to buy search, video, and mobile ads from a marketplace where publishers list their inventory. Advertisers can use these platforms to manage accounts across multiple real-time bidding networks, such as Facebook Ads Manager and Google Ads, instead of logging into each individually.
Because DSPs allow advertisers to buy advertising automatically, they are essential to digital marketing. Instead of manually contacting hundreds of publishers, DSPs help advertisers easily set up and manage campaigns. In this way, user acquisition experts can devote more time to areas that benefit long-term performance, such as segmenting user bases.
A DSP also offers real-time campaign management, which is particularly useful for marketers. Advertisers can easily adjust campaigns from DSPs without waiting until campaigns end.
A demand-side platform is different from a data management platform (DMP). The two are used together to improve overall advertising performance. A DMP aggregates customer data from various third-party and some first-party sources that have been anonymized. Then it analyzes the data and generates audience segments that improve ad targeting.
DMP sounds similar to a customer data platform (CDP), but they are different. DMPs support mainly advertising, while a CDP supports all marketing activities. Also, DMP data is short-term, continually updating as advertising data changes, while a CDP stores customer data long-term to improve the customer lifecycle.
Regarding privacy, CDPs create complete customer profiles and segment your data into audiences using first-party data with some second-party and third-party data. A DMP stores mostly third-party customer data, keyed on anonymous identifiers, like cookie ID (non-PII).
You may also like:
Data management platforms vs customer data platforms – 4 key differences
DSP vs DMP vs DMP-DSP Hybrid: What’s the difference?
Why first-party data is the most valuable to marketers
Customer data platform: what is it and how does it work?
April 22, 2024
“Cookieless future” is just a buzzword – Here is all you need to know about the end of third-party cookies
Key takeaways: The “cookieless” future won’t be entirely cookieless. While major browsers are transitioning away from third-party cookies in the face of user privacy and security concerns, first-party cookies remain an integral part of the web.The demise of third-party cookies will particularly impact digital advertising practices. Advertisers and marketers need to adapt to new methods […]
Read more
April 2, 2024
Implement your data privacy strategy with Piwik PRO Analytics Suite
In the third episode of our Masterclass for marketers series, organized in collaboration with Timo Dechau from deepskydata, our experts discuss designing a successful data privacy strategy.Siobhan Solberg, a privacy consultant and the founder of Raze, takes a look at implementing privacy-focused data collection strategies. She explains how privacy by design works and how to […]
Read moreOther definitions
- Dimension
- Data controller
- Data privacy
- Data processing agreement
- Data processor
- Data protection officer
- Data subject
- Device fingerprint tracking
- Double opt-in
- Dynamic content
- Data anonymization
- Data pseudonymization
- Data management platform (DMP)
- Data freshness
- Data sampling
- Data thresholds
- Data subject access request
- Data protection authority (DPA)
- Data protection impact assessment (DPIA)
- Data retention
- Direct traffic
- Data layer
- Data clean room
- The Digital Services Act (DSA)
- The Digital Markets Act (DMA)
- Dark patterns
- Data-driven attribution
- Data privacy breach
- Data activation
Recent posts from Piwik PRO blog
- “Cookieless future” is just a buzzword – Here is all you need to know about the end of third-party cookies
- Implement your data privacy strategy with Piwik PRO Analytics Suite
- Digital marketing analytics: The beginner’s guide to data-driven marketing success
- How you can drive growth for your business with an integrated analytics platform
- KPIs for ecommerce: Maximizing funnel performance