Demand Side Platform Dsp System Market

Growing demand for digital advertisement inventories and programmatic advertising to increase profitability is driving the global demand side platform market.

According to projections, the demand side platform (DSP) system market will grow at a CAGR of 31.3% from 2022 to 2028, from US$ 8.1 million in 2021 to US$ 38480 million.

Covid-19 Impact & Market Status

Ever Since the COVID-19 pandemic took place in December 2019, world economies came to their knees and significantly influenced the global market of Demand-Side Platform (DSP) in 2020. The outbreak of coronavirus adversely impacted the markets in many aspects, such as restrictions on domestic & international movement of people and goods & services, shutdowns, quarantine, temporary shut on restaurants, all indoor events halted, over forty countries announced, the massive slowdown in the supply chain; stock market volatility; dropping business confidence, growing panic amongst the population, and unprecedented circumstances post COVID-19.
This report offers an exhaustive view of the global demand side platform market with detailed study of the current trends impacting market growth, market sizes, market growth estimates, strengths, weaknesses, and opportunities in the global demand side platform market focusing on the overall as well as the segment study.

Widespread use of Real-Time Bidding (RTB) in the Global Market

Real-Time Bidding (RTB) is the ubiquitously used DSP (Demand-Side Platform) in the market, which is worth approximately 67.17% of the entire DSP (Demand-Side Platform) market followed by the majority of core companies. It is owing to the introduction of RTB technology, the need to negotiate prices with the publishers has been eliminated and at the same time, all the processes are now being accomplished automatically. Real-time bidding happens in exchange for ads for displaying online advertisements. The marketers can manage their bids for the banners and the costing by adopting real-time bidding for the data that they are building for their audiences.

The Retail Segment Accounted For Grater Market Share

The Global Demand Side Platform market is classified into retail, automotive, financial, telecom managed services and others on the basis of application. Among these, the retail segment gathered highest market share of global demand side platform market owing to factors such as standardized service offerings, advertisers adopting DSPs to buy search ads, mobile ads, and video ads, easy management, and enhanced campaigning provided by the demand side platform to the retail enterprises is the key factor encouraging adoption of DSP in retail segment.   

The increasing need for implementing powerful marketing automation tool to sustain digital competitiveness and drive profitability is improving the reliance on demand side platform thus fostering remarkable progress in global demand side platform market.

Owing to benefits such as real-time bidding, easy management, enhanced campaign reporting, targeted user campaigning, consolidation of supply in single platform, the demand side platform is experiencing rapid adoption as opposed to other marketing platforms thus fostering remarkable progress in global demand side platform market.

The factors such as growing digital advertisement inventories, proliferated demand for programmatic advertising is driving the global demand side platform market.

A demand-side platform (DSP) is a cloud-based software system that enables brands, agencies, and app developers (buyers of advertising inventory from publishers) to manage multiple advertisement exchange and data exchange accounts through a single unified interface (SUI).

Demand-side platforms (DSPs) are advertiser campaign management products that enable features for buying ad placements over the internet in real-time. Buying ad placements in real-time with DSPs enables the advertisers to reach out to their target audiences while people are browsing websites. Generally, the DSPs are managed by in-house marketing teams, advertising agencies, or agency trading desks which are specialized in real-time advertising.

DSPs help advertisers in allocating their digital advertising funds more rationally and effectively by offering crystal clarity into impressions and conversions. Supply-side platforms (or SSP) are parallel to DSPs. To sell advertising inventory in ad exchanges, advertisers make use of SSPs. Some DSPs can directly be merged with SSPs to predict direct buys.

Furthermore, DSPs often collaborate with third-party data providers to provide enhanced tracking and reporting capabilities rather than a single network which is narrower. in the planning procedures, the targeting options are more personalized to offer better conversion rates, to consumers.

Earlier the emergence of DSPs, all these were segregated campaigns on Google and Facebook Ads, etc. which shows that one can advertise on as many platforms as they want, consisting of all the major publishers, moreover, the higher the number of networks, the wider the global reach.

A demand-side platform discloses all the participants of the supply-chain that are bringing transparency to the entire programmatic. It is due to the programmatic advertising platform, media buyers can see how their budget trickles down to the pockets of publishers and reallocate their ad expenditure to the good performing traffic sources.

The number of QPSs in a DSP refers to the speed of analyzing and implementing those bids. The high amount of QPS refers to non-duplicate impressions. It is nothing but just a game of numbers.

Despite offering multiple advantages, the DSPs also pose the greatest threat to its user.  fraudulent traffic circulated by publishers, Bot Farms, ad Spoofing, and injectors is some of the most common ways to falsify traffic. Moreover, it becomes challenging for marketers to reach the right audience and coordinate with various demand-side platforms hampering the global demand side platform market.

Furthermore, growing digital advertisement inventories, proliferated demand for programmatic advertising is anticipated to be growth opportunity to the global demand side platform market

The major participants of the global Demand-Side Platform (DSP) market are Amazon (AAP), Trade Desk, Adobe, Facebook Ads Manager, Double Click and Criteo among others. These players are playing a huge role in accelerating market growth by adopting advanced technology. This is also leading to tremendous competition among the market participants.

Major developments In the Global Demand-Side-Platform (DSP) Market: A Snapshot

• With the hike in demand for header bidding, the number of available impressions has been increased tremendously, and even a large number of DSP vendors multiplied evaluating and deduplicating them.

Demand-Side-Platform (DSP) System Market Scope

Key Segments of the Global Demand-Side-Platform (DSP) Market

Product Type Overview, (USD Million)

• Real-Time Bidding (RTB)
• Programmatic Premium Buying (PPB)

Applications Overview, (USD Million)

• Retail
• Automotive
• Financial
• Telecom
• Others

Regional Overview, (USD Billion)

North America

• U.S
• Canada

Europe

• Germany
• France
• UK
• Rest of Europe

Asia Pacific

• China
• India
• Japan
• Rest of Asia Pacific

South America

• Mexico
• Brazil
• Rest of South America

Middle East and South Africa