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WTF is supply-path optimization? | Digiday

Look out, there’s new ad tech jargon coming your way. Meet “supply-path optimization.”

Supply-path optimization gives some ad tech aficionados a frisson of excitement. The basic idea: It gives media buyers the ability to bid on and win inventory at the most reasonable price, while it lets publishers maximize their revenue over the long run. Still confused? Read the explainer below to learn more.

So WTF is supply-path optimization?
It is essentially an algorithm used by demand-side platforms to streamline how they interact with supply-side platforms. Each DSP has developed its own strategy for supply-path optimization: Some use it to pick up the bids that are most relevant and have the highest chance of winning, while others use it to turn off SSPs that are not implementing second-price auctions, according to Tom Kershaw, CTO for ad exchange Rubicon Project.

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WTF is supply-path optimization? – Digiday.

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