How Google Ads and Display & Video 360 work with Ad Exchange

We often get questions about how Google's display ad buying solutions, Google Ads (GDN) and Display & Video 360, work with the Ad Exchange. In this article we explain the three main benefits to publishers and advertisers when Google Ads and Display & Video 360 are used to buy ads on Ad Exchange.

Higher cookie match

Google Ads and Display & Video 360 perform best when buying inventory on Ad Exchange, because these buying platforms share the same infrastructure with Ad Exchange. That means the cookie matching loss that might occur when Google Ads and Display & Video 360 buy on other exchanges is minimized when buying on Ad Exchange. So, when Google Ads and Display & Video 360 buy on Ad Exchange, there is a higher likelihood they’ll find impressions that meet their targeting criteria, creating greater auction pressure and demand for the publisher’s inventory.

Lower latency

All exchanges and inventory pools have a time limit for buyers to submit bids to their auctions. Since Google Ads and Display & Video 360 run on servers in the same data centers as Ad Exchange, they can respond faster to Ad Exchange bid requests compared to other exchange requests. There are no network latency or timeout issues between either Google Ads or Display & Video 360 and Ad Exchange, which means publishers on Ad Exchange always receive bids from Google Ads and Display & Video 360 advertisers.  

When Google Ads and Display & Video 360 buy on other exchanges, they face the same network latency that all buyers do. We’ve found that in some cases, latency issues can prevent buyers from successfully submitting a bid on up to 25% of bid requests, preventing them from fully participating in the auctions of other exchanges.

Confidence in inventory

When Google Ads and Display & Video 360 are buying inventory on Ad Exchange, they can buy with full confidence in the quality of publisher inventory. Because of Google’s direct relationship with publishers, when we see issues with inventory -- whether associated with sensitive content, third-party spam attacks, or other things buyers are sensitive to -- we can alert the Ad Exchange publisher and work together to resolve them quickly.

On the other hand, when Google Ads and Display & Video 360 buy on other exchanges, it’s often the case that we don’t have a direct relationship with publishers, so the only recourse we have to protect our advertisers when we see a potential issue is to bid and buy conservatively, or in the worst case, forgo buying from the publisher entirely.

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