What is a DSP?
A DSP, or demand-side platform, is software that lets advertisers buy ad impressions across many publishers from one interface. It uses real-time bidding and audience data to decide which impressions to buy and how much to pay.
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How a DSP works
When a person loads a page with ad space, the publisher's system offers that impression to buyers. The DSP evaluates it against your targeting and budget, then bids for it automatically if it fits.
This takes place in a fraction of a second. The DSP also manages budgets, frequency, creative, and reporting for the campaign.
How a DSP differs from an SSP
A DSP serves advertisers who want to buy ad space. A supply-side platform serves publishers who want to sell it. They connect through ad exchanges, so buyers and sellers can trade impressions at scale.
What to consider when choosing a DSP
Look at the inventory it can reach, targeting options, measurement tools, fees, and how much control you get over bidding. Some DSPs focus on particular formats, such as video or connected TV.
Common questions
What is the difference between a DSP and an SSP?
A DSP is used by advertisers to buy ad inventory. An SSP is used by publishers to sell it. Both connect to ad exchanges.
Do I need a DSP to run programmatic ads?
Generally yes, or a platform that includes one. Some ad platforms such as Google's have buying tools built in, while others use a standalone DSP.
How do DSPs charge?
Models vary. Some take a percentage of media spend, some charge a flat fee or a platform fee, and some mix these. Check the terms before you commit.
Can a DSP buy video and connected TV ads?
Many can. Which formats are available depends on the DSP and its publisher relationships.
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