License Agreement and Real-Time Bidding (RTB)
Real-Time Bidding (RTB) is a process where digital advertising inventory is bought and sold on a per-impression basis, through real-time auctions. This automated process allows advertisers to target specific audiences, using data to ensure that their ad is shown to the right person, at the right time. In RTB, a demand-side platform (DSP) is used to purchase ad impressions from a supply-side platform (SSP) in real-time auctions.
License agreements are critical in the world of digital advertising as they define the terms and conditions of how the technology can be used. Licensing agreements can help protect a publisher`s content and ensure that the technology is used properly for the benefit of both parties. License agreements also ensure that both parties are on the same page in terms of expectations and obligations.
When it comes to RTB, license agreements are essential in protecting the interests of all parties involved. License agreements are typically used between the DSP, the SSP, and the publisher. The license agreement outlines how the RTB technology can be used and what requirements must be met by all parties involved.
Some of the key components of an RTB license agreement include:
1. Fees and Payments – The license agreement should outline the fees that will be charged and how payments will be made. This includes the percentage of the revenue that the SSP will receive for every impression sold.
2. Use of Data – The license agreement should define how data can be collected and used. It`s important that the license agreement takes into consideration privacy laws and any regulations that may apply to data collection and usage.
3. Quality Control – The license agreement should include provisions that outline the quality control measures that will be put in place to ensure that ads are displayed correctly.
4. Liability – The license agreement should outline the liability of all parties involved. This includes any damages, losses, or claims that may result from the use of the RTB technology.
In conclusion, an RTB license agreement is essential for ensuring that the technology is used in a transparent and responsible manner. It`s important that all parties involved fully understand their obligations and expectations. By having a robust license agreement in place, digital advertisers can reduce their risk, protect their interests, and ensure that RTB technology is used correctly and effectively.