Browse Definitions :
Definition

ad exchange

Contributor(s): Ivy Wigmore

An ad exchange is a software-based automated marketplace that allows publishers to sell their ad inventory and advertisers to bid on and purchase the inventory in real time. The system accesses preestablished criteria to enable transactions and ad placement through real-time bidding (RTB) and programmatic advertising.

When a site user navigates to a web page with available ad space, the page’s code sends a request to the ad exchange. In turn, the ad exchange requests bids for the associated impression from demand-side platforms (DSP) and passes along the publisher’s IP address or other identifier for consideration.

The DSP uses algorithms to find suitable matches between advertisers and publishers. Once a publisher has been selected, the DSP sends a bid for the impression, including an amount and the advertiser data. The ad exchange selects the highest bid from all DSPs that submitted bids, and the winning ad is placed. All of those processes are conducted within the time it takes for the user's requested page to load.

Ad exchanges include AppNexus, Google’s DoubleClick, Microsoft Media Network and OpenX.

This was last updated in February 2017

Continue Reading About ad exchange

Start the conversation

Send me notifications when other members comment.

Please create a username to comment.

-ADS BY GOOGLE

File Extensions and File Formats

Powered by:

SearchCompliance

  • compliance framework

    A compliance framework is a structured set of guidelines that details an organization's processes for maintaining accordance with...

  • regulatory compliance

    Regulatory compliance is an organization's adherence to laws, regulations, guidelines and specifications relevant to its business...

  • privacy compliance

    Privacy compliance is a company's accordance with established personal information protection guidelines, specifications or ...

SearchSecurity

SearchHealthIT

  • telemedicine (telehealth)

    Telemedicine is the remote delivery of healthcare services, such as health assessments or consultations, over the ...

  • Project Nightingale

    Project Nightingale is a controversial partnership between Google and Ascension, the second largest health system in the United ...

  • medical practice management (MPM) software

    Medical practice management (MPM) software is a collection of computerized services used by healthcare professionals and ...

SearchDisasterRecovery

  • disaster recovery (DR) test

    A disaster recovery test (DR test) is the examination of each step in a disaster recovery plan as outlined in an organization's ...

  • crisis management plan (CMP)

    A crisis management plan (CMP) is a document that outlines the processes an organization will use to respond to a critical ...

  • pandemic plan

    A pandemic plan is a documented strategy for business continuity in the event of a widespread outbreak of a dangerous infectious ...

SearchStorage

  • megabytes per second (MBps)

    Megabytes per second (MBps) is a unit of measurement for data transfer speed to and from a computer storage device.

  • zettabyte

    A zettabyte is a unit of measurement used by technology professionals and the general public to describe a computer or other ...

  • hybrid flash array

    A hybrid flash array is a solid-state storage system that contains a mix of flash memory drives and hard disk drives.

Close