Adtech Companies are Powering Digital Advertising

1 minutes reading time
Published 2 Feb 2024
Author: Emil Persson
Reviewed by: Peter Westberg

Adtech is, as you might have guessed, short for advertising technology. In an age of ever-evolving digital communication and media consumption, staying ahead in the advertising game has become more complicated than ever. The advertising industry has evolved and changed in recent years, moving beyond traditional print and TV ads to more sophisticated digital ads, using data to offer targeted, personalized, and interactive advertising solutions. From the banner ads we see on websites to the video commercials that play before our YouTube content, Adtech is everywhere. Join us as we take a closer look at modern-day digital advertising, how it works, and what benefits it can bring.

Key Insights

  • Adtech explained: Learn more about what Adtech is and how it works.

  • The modern marketing method: The benefits of digital marketing.

  • Real-time bidding: Get an insight into how digital advertising space is bought and sold.

  • Adtech companies: An overview of some of the most important players in the industry.

Adtech - an Overview of Offered Functionality

Adtech refers to the digital tools, software, and platforms used to strategize, execute, manage, and analyze online advertising campaigns. It's an integral part of the modern advertising landscape, particularly in a world where digital platforms dominate consumer attention.

The core function is to enable advertisers to target their campaigns to specific audiences. This targeting is based on various data points such as user browsing habits, purchase history, and personal preferences which in turn enables advertisers to ensure that their ads are shown to the most relevant and receptive audience. Adtech platforms also enable the creation of personalized advertising content that resonates more with the target audience. This personalization is based on user data, including past brand interactions, personal preferences, and online behaviors.

In essence, adtech streamlines the process of delivering digital advertisements to consumers. It is crucial for the efficient and effective operation of online advertising, allowing for more precise targeting, better measurement of advertising effectiveness, and enhanced ROI for advertisers. Adtech also improves the user experience by delivering more relevant and engaging ads, moving away from generic, untargeted content to create a more personalized online landscape.

Ad Analytics at the Forefront

One key feature in the offerings supplied by companies such as Digital Turbine and Tremor is analytics. Having a platform that provides a complete overview and day-to-day updates on how campaigns are progressing, conversion rates, and much more is a key factor for companies when optimizing marketing campaigns. It allows them to see where their money is best spent, and where improvements can be made to boost results. Some companies such as Cardlytics and Amplitude have made various forms of analytics their specialty, while others make it a part of their larger offerings as a whole.

The Upsides and Necessity of Using Adtech

In today's digital marketing landscape, the use of adtech services has transitioned from being a luxury to an absolute necessity. With the digital world becoming increasingly saturated and competitive, the traditional methods of advertising no longer suffice. Adtech services provide a sophisticated toolkit that allows businesses to navigate this complexity with greater precision and effectiveness.

The core strength of adtech lies in its ability to offer targeted advertising. In an online space where consumer attention is fragmented across various platforms, reaching the right audience with a relevant message is crucial. Adtech enables this by leveraging vast amounts of data to identify and target specific user segments, ensuring that marketing efforts are focused and efficient. This data-driven approach allows for campaigns that resonate with the audience, leading to higher engagement and conversion rates.

The integration of adtech into digital marketing strategies also responds to the evolving consumer expectations for personalized and relevant content. Today's consumers are more likely to engage with ads that are tailored to their interests and behaviors, and adtech provides the tools to create such personalized experiences.

Real Time Bidding and The Digital Auction House

One of the standout features of the tech landscape is Real Time Bidding (RTB). Imagine a lightning-fast auction where, in milliseconds, advertisers bid to place their ads in front of a user as they load a webpage. By allowing advertisers to buy impressions on an individual basis, it ensures that users see ads that are relevant to them and advertisers reach their desired audience, and their desired audience only.

A good way to illustrate this is by the following example: a company wishes to advertise its newest car. Instead of (or as a compliment to) taking out a full page in a local newspaper and reaching all readers, even those with no interest in buying a car, the company in this example can buy advertising space on car videos or forums and in return ensure that their advertising reaches the most relevant audience possible. Adtech companies like The Trade Desk have emerged as leading players in this space, using RTB to offer advertisers access to prime digital real estate.

Closing Remarks

In essence, adtech streamlines the process of delivering digital advertisements to consumers. It is crucial for the efficient and effective operation of online advertising, allowing for more precise targeting, better measurement of advertising effectiveness, and enhanced ROI for advertisers.

For companies looking to grow in today's digital environment, utilizing modern advertising methods has more or less become a must. By using the tools provided by companies like Digital Turbine and Tremor, companies can ensure that they get seen by their target audience and potential customers on platforms that the customer is using in their day-to-day. The ability to run targeted campaigns and show relevant products and services to potential customers is more often than not the best way for a brand or company to get exposure to consumers.


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