Is a Supply Side Platform the Same as a Demand Side Platform

When it comes to digital advertising, there are two main types of platforms: supply-side and demand-side. Each has its own set of capabilities and functions, and understanding the difference is key to ensuring your campaigns are successful.

What Is a Supply-Side Platform (SSP)?

A supply-side platform (SSP) is a type of advertising technology that helps website publishers and app developers sell ads on their inventory. SSPs provide tools to automate the ad sales process, including ad serving, tracking, and reporting. In addition, SSPs often offer features such as audience targeting and programmatic guarantees.

By using an SSP, publishers can increase their yield by optimizing their ad inventory and making it available to buyers through real-time bidding (RTB). SSPs are an important part of the programmatic ecosystem, and many major publishers use them to monetize their inventory.

In essence, SSPs act as an intermediary between publishers and advertisers, helping to create a more efficient and transparent marketplace.

While SSPs were originally designed for display advertising, they are now also being used for video, mobile, and native advertising. One of the key benefits of using an SSP is that it can help publishers to maximize the value of their ad inventory.

By connecting with multiple DSPs, publishers can ensure that their ad space is being bought by the highest bidder. This can help to increase both revenue and profits.

In addition, SSPs can provide valuable insights into the performance of different ad campaigns, helping publishers to optimize their inventory and better serve the needs of their advertisers.

What Is a Demand-Side Platform (DSP)?

A demand-side platform, or DSP, is a type of software that allows advertisers to buy ad space on websites and other digital platforms. The application enables advertisers to bid on ad impressions based on specific criteria, such as target audience, keywords, and location. By using a DSP, advertisers can more easily find and purchase ad space that is likely to reach their target audience.

In addition, a DSP can also help to optimize an advertising campaign by automatically placing ads in the most effective locations. As a result, DSPs have become an essential tool for many businesses that are looking to reach their customers online.

While there are many different DSPs on the market, they all share one common goal: to help businesses more effectively reach their target audiences.

How Do SSPs and DSPs Differ?

When it comes to DSP vs SSP, there are several differences.

Supply-side platforms (SSPs) are technology platforms that help publishers sell advertising inventory to advertisers. SSPs typically provide publishers with tools to manage ad selection, pricing, and reporting.

Demand-side platforms (DSPs), on the other hand, are technology platforms that help advertisers buy advertising inventory from publishers. DSPs typically provide advertisers with tools to manage ad targeting, bidding, and reporting. While SSPs and DSPs share some similarities, they serve different purposes within the digital advertising ecosystem.

SSPs work on the supply side, helping publishers sell ad inventory, while DSPs work on the demand side, helping advertisers buy ad inventory. This distinction is important to understand when considering which platform is right for your needs.

If you are a publisher looking to sell advertising, an SSP may be a good option for you. If you are an advertiser looking to buy advertising, a DSP may be a better option for you. Ultimately, the decision of which platform to use depends on your specific needs and goals within the digital advertising ecosystem.

Which Platform Should You Use for Your Business’ Advertising Needs?

SSPs are typically used by publishers, while DSPs are used by advertisers. So, which one is right for your business?

If you’re primarily interested in advertising on websites and apps, then an SSP is probably a good choice. SSPs offer access to a wide range of inventory, including both standard and premium placements. They also provide advanced targeting options, so you can make sure your ads are being seen by the right people.

On the other hand, if you’re mainly interested in video or mobile advertising, then a DSP is probably a better fit. DSPs offer access to a large number of video and mobile inventory sources. They also provide powerful data management tools, so you can get the most out of your ad budget.

  • If you’re not sure which one is right for your business, here are a few things to keep in mind:
  • If you’re primarily focused on selling ad space, then an SSP will be a better fit for you. 
  • If you’re more interested in buying ad space, then a DSP will be a better option. 
  • If you want to have more control over the ads that are shown on your site, then an SSP will give you more flexibility. 
  • If you want to target a specific audience with your ads, then a DSP will be more effective.

SSPs and DSPs Can Work Together

SSPs help publishers sell their ad inventory, while DSPs help advertisers buy ad space. Although they serve different purposes, SSPs and DSPs can actually work together to create a more efficient and effective online advertising campaign.

For example, SSPs can provide valuable data to DSPs about the supply of available ad inventory. This data can help DSPs optimize their campaigns by targeting the right ad types to the right audiences. In turn, DSPs can provide data to SSPs about which ads are performing well and which ones are not. This feedback can help SSPs improve the quality of their ad inventory and make it more attractive to advertisers.

Similarly, SSPs and DSPs can also share data about ad fraud. By sharing this data, they can help each other identify and avoid fraudulent activity. This collaboration can ultimately lead to a cleaner and more efficient online advertising ecosystem.

Final Thoughts

SSPs and DSPs are two different types of technology platforms that serve different purposes within the digital advertising ecosystem. SSPs help publishers sell ad inventory, while DSPs help advertisers buy ad space. If you’re not sure which one is right for your business, make sure to consider your specific needs and goals.

Adam Hansen

Adam is a part time journalist, entrepreneur, investor and father.