1/ Time for a follow-up to my earlier thread about how the internet works.
This time --> online advertising.
A massive shout out to J. Ball & his works "the System" & huffingtonpost.co.uk/entry/what-hap… beautifully explaining how this world actually works.
https://twitter.com/iamnew00/status/1445490338555043846?s=20
This time --> online advertising.
A massive shout out to J. Ball & his works "the System" & huffingtonpost.co.uk/entry/what-hap… beautifully explaining how this world actually works.
2/ Everything begins with you, the internet user deciding to visit a certain website. You either click a link or hit "enter/return" after writing a URL into your browser.
What happens then, in parallel to the page loading, may be summarised by:
What happens then, in parallel to the page loading, may be summarised by:
3/ Small files stored on your device help pair companies who wish to show their ads to a targeted audience with internet users who look like this desired audience.
These files are the famous cookies your computer or smartphone (the cookie monster) stores when surfing the web.
These files are the famous cookies your computer or smartphone (the cookie monster) stores when surfing the web.
4/ Advertisers hope to show their goods to internet users who may be potential customers.
Websites hope to get well compensated for presenting the ad to the visitor they just welcomed.
For this, while your page loads, both parties engage with different actors behind the scenes.
Websites hope to get well compensated for presenting the ad to the visitor they just welcomed.
For this, while your page loads, both parties engage with different actors behind the scenes.
5/ Advertisers have defined their target customer utilising information about existing customers & maybe about potential newsletter subscribers etc.
Data Management Platforms (DMPs) support them in enriching that information.
Data Management Platforms (DMPs) support them in enriching that information.
6/ DMPs may link up with Data Brokers for e.g. matching up postal codes to average income data.
These brokers basically buy up data on consumers/tax payers/internet users in order to sell these profiles they've created by matching up & aggregating their purchased data.
These brokers basically buy up data on consumers/tax payers/internet users in order to sell these profiles they've created by matching up & aggregating their purchased data.
7/ We are also dealing with so called DSPs, or Demand Side Platforms.
These companies try to find the right spots for advertisers for placing their adverts.
These companies try to find the right spots for advertisers for placing their adverts.
8/ Meaning, DSPs collect these hopefully ideal audiences for thousands of brands.
They search their database for a brand that hopes to advertise to an internet user/cookie that looks like you.
This is then sent to an ad exchange, like @AlkimiExchange $ADS.
They search their database for a brand that hopes to advertise to an internet user/cookie that looks like you.
This is then sent to an ad exchange, like @AlkimiExchange $ADS.
9/ Hence, DSPs are like bidders.
As I've understood it, DSPs gather data on brands and the brands' target groups and they offer their best bids to exchanges.
As I've understood it, DSPs gather data on brands and the brands' target groups and they offer their best bids to exchanges.
10/ On the other side of the picture we have SSPs, or Supply Side Platforms.
Visited websites request SSPs for ads.
This request leads to SSPs directly communicating with you, the website visitor.
Visited websites request SSPs for ads.
This request leads to SSPs directly communicating with you, the website visitor.
11/ SSPs are on the look for information about your cookies (incl. browsing history) as well as about your browser itself, about your IP address and more.
The data available to the SSP is bundled and delivered to the exchange.
The data available to the SSP is bundled and delivered to the exchange.
12/ The exchange then settles the question of how much advertisers are willing to pay to show an ad to the website visitor whose profile is more or less described via the cookies on their device.
13/ Here, rules are also taken into account for what kind of ads websites will accept (e.g. no explicit content to a wrong audience/on the wrong page).
So, it is clear there is A LOT more going on between the time I click to visit a certain website & the time the page loads.
So, it is clear there is A LOT more going on between the time I click to visit a certain website & the time the page loads.
14/ For "the internet people" to have come up with such tech is impressive. It really is! 👏
Is the tech purely positive? Well, no. Few things in life are purely positive. The tech may feel invasive for some. Others don't mind the cookies and tracking as much.
Is the tech purely positive? Well, no. Few things in life are purely positive. The tech may feel invasive for some. Others don't mind the cookies and tracking as much.
15/ All I need as an end user is a device and an internet connection which allow me to get a lot of interesting and/or entertaining content and information, basically for free.
So there surely is a place for online advertising.
So there surely is a place for online advertising.
16/ Content providers add value to our lives and they should be able to receive a return by providing popular platforms for parties desiring to present their products & services to a selected audience.
17/ Anyhow, the purpose of this exercise was not to dive into the question about who should be able to collect how much and what type of data.
For me, this was about better understanding the workings of the internet.
For me, this was about better understanding the workings of the internet.
18/ Sth to ask, though, may be "why have content creators / publishers been struggling while online advertisers have been bought up for hundreds of millions or billions even, while online giants have grown to rule the internet?"
The tech benefits one side notably less?
The tech benefits one side notably less?
19/ This is where these posts really found their inspiration for:
in a desire to grasp the vision of a highly interesting & unique #crypto known as @AlkimiExchange $ADS.
I had to learn about the landscape they aim to manoeuver in, and well, the landscape they aim to disrupt.
in a desire to grasp the vision of a highly interesting & unique #crypto known as @AlkimiExchange $ADS.
I had to learn about the landscape they aim to manoeuver in, and well, the landscape they aim to disrupt.
20/ And remember, the above example was one advert, one page.
Multiply these steps by the multitude of websites & website visitors and you quickly get overwhelmed by the volume an online ad exchange must handle!
Multiply these steps by the multitude of websites & website visitors and you quickly get overwhelmed by the volume an online ad exchange must handle!
21/ What a gigantic task @AlkimiExchange have taken on. Respect! I wish you nothing but the best!
And what a monster of a protocol @Conste11ation have on their hands!! #HGTP Hypergraph enabling this type of traffic on Distributed Ledger Technology #DLT 🔥
$DAG
Mindblowing.
And what a monster of a protocol @Conste11ation have on their hands!! #HGTP Hypergraph enabling this type of traffic on Distributed Ledger Technology #DLT 🔥
$DAG
Mindblowing.
Again. This thread is more than open to corrections and/or additions as the online ad space is still fairly new to me.
Anyhow, thank you for your time & attention! Hope you enjoyed it as much as I did =)
Anyhow, thank you for your time & attention! Hope you enjoyed it as much as I did =)
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