Far from the catchy television spots and sleek magazine spreads are the comparatively modest ads that pop up on websites and in Internet searches. But don't befooled - online advertising is exploding. Growing at a compound annual rate near 20%, it is now the second-largest advertising channel in the United States.Part history, part guidebook, part prediction for the future, Targeted tells the story of the companies, individuals, and innovations driving this revolution. It takes readers behind the scenes - examining the growth of digital advertising, its enormous potential, and the technologies that are changing the game forever. Leading the way is real-time bidding, which offers advertisers unprecedented precision in targeting ads and measuring their effectiveness.From keyword micro-markets and ad serving systems to aggregated virtual audiences and new business models, Targeted is sweeping in scope and stripped of technical complexity. It is an essential resource for anyone interested in finding and connecting with customers in the vast and shifting Internet universe.
Mike Smith is a vice president at Hearst Magazines Digital Media, responsible for the platforms that support the creation and delivery of online advertising. Previously president of Forbes.com, he is a recognized thought leader in digital publishing.
CONTENTS Acknowledgments xi Introduction 3 Chapter 1: The Congested Online Ecosystem 13 Chapter 2: Search Engine Marketing 25 Chapter 3: Auctions and the Development of Paid-Search Advertising 33 Chapter 4: The Google Eclipse 43 Chapter 5: Display Advertising and the Advent of Ad Networks 49 Chapter 6: Real-Time Bidding and the Transformation of Online Advertising 59 Chapter 7: How Real-Time Bidding Works 69 Chapter 8: Right Media Builds Its Ad Server 79 Chapter 9: Real-Time Bidding in Action 99 Chapter 10: The Impact of Data on Digital Advertising 111 Chapter 11: Data Collection and Its Effect on Privacy 133 Chapter 12: New Technologies 157 Notes 187 Index 201 About the Author 209