What is an ad network?
An ad network is a platform that connects advertisers with publishers to facilitate the buying and selling of digital ad inventory. It connects websites and apps that have empty ad spaces, with businesses that want to show their ads. The ad network helps match the right ads with the right audience based on your targeting criteria, campaign goals, and budget.
How do ad networks work?
Here’s a general workflow of an ad network.
Why do ad networks matter?
Ad networks simplify the advertising process for e-commerce businesses by:
- Streamlining ad purchases: They offer a centralized platform to access ad spaces across multiple websites and apps.
- Reaching targeted audiences: Advanced targeting options allow businesses to focus on specific user groups.
- Cost efficiency: They enable advertisers to optimize budgets through bidding models like CPM (Cost Per Thousand Impressions) or CPC (Cost Per Click).
- Scale and reach: Ad networks connect businesses to a vast inventory, increasing visibility and brand awareness.
What are the types of ad networks?
There are 4 major types of ad networks.
Horizontal ad networks
These networks offer a broad range of ad inventory across various industries and formats. Examples include Google Display Network and Facebook Audience Network.
Premium ad networks
Premium networks focus on high-quality publishers and inventory, often catering to advertisers with larger budgets. Examples include LinkedIn Ads or direct deals with major publishers.
Vertical ad networks
Vertical networks specialize in specific niches, such as fashion, technology, or gaming, enabling advertisers to target highly relevant audiences.
Performance-based ad networks
These networks focus on measurable outcomes like clicks, leads, or sales, making them ideal for direct-response campaigns. Examples include Taboola and Outbrain.
FAQs
What’s different between Ad Networks vs. Ad Exchanges?
Ad Networks are like traditional marketplaces where you buy products at a fixed price, while Ad Exchanges are like online auctions where you bid on specific items.
| Ad network | Ad exchange | |
| Pricing | Fixed pricing (CPM, CPC) | Real-time bidding (RTB) |
| Control | Less control over ad placement | More control over ad targeting and placement |
| Transparency | Less transparent about pricing and ad placement | More transparent about pricing and ad placement |
| Complexity | Simpler for smaller publishers | More complex for setup and management |
| Examples | Google AdSense, Media.net | Google AdX, OpenX |
How to choose the right ad network?
Here are a few things to consider when choosing an ad network:
- Goals: Are you prioritizing brand awareness, conversions, or niche targeting?
- Inventory quality: Ensure the network offers placements relevant to your audience.
- Budget: Some networks, like premium ones, may require higher budgets.
- Analytics: Look for networks that provide robust reporting and transparency.
What is the largest ad network?
Google AdSense is widely considered the largest ad network globally with millions of advertisers and billions of customers.
