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ever wondered how many ads you see per day the truth is we are exposed to hundreds of ads while we browse through content on our mobile phone desktop or even our connected tv these ads are carefully curated to target one single individual you in fact ads differ from person to person even when they're looking at the very same content simultaneously so how do brands deliver targeted ads on thousands of websites and apps we call this programmatic advertising let's break it down programmatic advertising connects publishers and brands in milliseconds before the website is even loaded you're browsing through tons of content on the internet every day free of charge however in order to provide quality content some websites and apps also known as publishers or content creators need to generate revenue to do this they get help from ad exchanges also called ssps short for supply-side platforms but we'll come back to that ultimately brands want to reach internet users in order to promote their products and services their goal is to deliver targeted ads to their customers across the web and they do so by purchasing advertising space brands must use dsps or demand side platforms to facilitate this transaction dsps are media platforms used by advertisers and agencies to set up their digital campaigns let's take a step back here's what we've learned so far one publishers use ad exchanges or ssps to monetize their advertising inventory two advertisers use dsps to configure and deliver their digital campaigns now let's see it in action joe is eager to check out the results of the soccer game using a search engine he clicks on one of the results loading a web page what joe doesn't know is that while this page is loading a ton of stuff is happening in the background that he cannot see the website has dedicated space on the page to serve ads to users and they must send a request to add exchanges in order to get the best price the ad exchange in turn creates an ad request with information such as device type the url ip address category cookies and more once it's packaged the add request is sent to dsps this is where the brands come in while the dsp is receiving the request from the ad exchange brands have already pre-determined their campaign creatives targeting criteria and bidding price in the platform if there's a match the dsp submits their bids to the ad exchange the exchange validates all the bids by verifying publisher rules scanning for malware and finally chooses the winning bid once the winning bid is selected it travels straight to the publisher alongside the other bids the publisher then makes the final decision and picks a winning bid leveraging its own advertising software now it's time for the ad exchange to render the ad onto the page at this point joe can see both the publisher's content and the ad on the page and can choose whether or not to engage with it in a nutshell the programmatic advertising ecosystem uses automated technologies to buy and sell digital inventory across thousands of websites and apps in fact the entire process occurs in less than 400 milliseconds publishers leverage ad exchanges to monetize their inventory while advertisers leverage dsps to run their campaigns on top of this the possibilities for creative formats are endless bringing advertising campaigns to life through display video native and ctv thanks to programmatic advertising joe is able to access curated content almost everywhere whether he's on his phone passing a digital billboard on his way to work on his laptop or watching tv at home