Why should an ad network display relevant ads?

Ad networks and ad exchanges are the match makers between publishers and advertisers. They use ad serving technology behind the scene to place advertisements onto a website or blog. The reason a publisher uses an ad network or ad exchange is to make money from online advertising with their website, blog or mobile app. There are many ad companies that will provide webmasters and bloggers with ad tags to be placed directly alongside the content of their web pages. It is a shared goal to serve ads that make both the publisher and the ad network the most money.

For example, if your website or blog is about health, well-being and fitness, it is likely that you will see ads that are promoting services or products such as carrot juice, weights, slimming aids, sports equipment, clothing used in the gym or apps that keep records on your daily run. The ad server monitors the performance of different advertising campaigns in order to ensure ads are displayed to the correct target audience and they are generating a good return on investment for the advertisers. Low performance ads are switched out and replaced with new and fresh ads. High performance ads are displayed more often.

The network's adserver is constantly being updated with new data when a user visits a webpage or clicks on an ad so that they will see even more suitable ads each time they visit your pages. The data is analyzed and processed into actionable tasks such as setting a frequency cap, daily quota and most suitable segments or geographical locations. These ads are being constantly refreshed, recycled and measured by the ad server's algorithms. The adserver also helps the webmaster or blogger to monitor their available advertising inventory and gives statistics and reports for a wide range of ad metrics. Webmasters can track the ads' performance and how much revenue they are actually generating.

An ad server monitors the number of impressions and clicks a certain ad has produced and other ad metrics. This data will help to target specific visitors with ads that may be more relevant to them. For example, if a visitor is in London and browses websites about sports, fitness and health content. This visitor is more than likely to see a number of ads about gyms in the London area and how to become members of that gym. If your blog is about iPhone apps and reviews on those applications, the ads would be targeted specifically to show links to some great gaming apps that could be downloaded on the iOS platform. The more relevant the ad, the more likely your visitors will click on it to explore the advertiser's offer in more details.

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