A demand-side platform is like an imaginary helper that helps companies to promote their products and services online. Think of it as a shopping list for a parent; it tells them what they need to buy for their home. The demand-side platform helps companies to decide where and how to advertise their products and services on the internet so that people can easily see and buy them.
It works by gathering data about people who are surfing the internet, which websites they visit, what they search for, what videos they watch, and what social media they use. The platform then uses this data to target ads to people who are most likely to be interested in the product or service. It's like knowing which toys a child likes and putting those toys in front of that child so they will want to buy them.
For example, if a company sells pet food, the demand-side platform will look for people who have pets, what pet sites they visit, and what they buy for their pets. It will then show ads for the pet food to those people when they visit websites, social media platforms, or other online places where ads are displayed.
The demand-side platform makes it easier for companies to reach their target audience and get the most out of their advertising budget. It helps companies to be more efficient with their advertising efforts, and as a result, they can get a better return on investment.