What Is A Demand-Side Platform (DSP)?
A demand-side platform (DSP) is a software solution that allows advertisers and marketers to purchase digital ad inventory across various ad exchanges, networks, and publishers in real-time, using a single interface. It streamlines the media buying process and helps advertisers to target specific audiences more effectively.
To understand what a DSP is and how it fits into the programmatic ad-buying process, one must understand the entire ecosystem. This diagram from Moloco illustrates it perfectly:
Credit: Moloco: DSP vs SSP
The diagram outlines the process of programmatic advertising and real-time bidding (RTB), illustrating the relationships between different elements in the ecosystem, such as advertisers, publishers, ad exchanges, DSPs, and supply-side platforms (SSPs).