How Ad Auctions Work: What Happens in the Milliseconds Before an Ad Loads
By Adsonmarket Editorial Team ·
Every time a page loads, a quick auction decides which ad appears. Understanding it helps advertisers bid smarter and publishers set fair floors.
The sequence
The page requests an ad, eligible campaigns bid, the highest valid bid above the floor wins, and the ad is shown.
Floor prices
Publishers can set a minimum price. Bids below it don't win.
Beyond the highest bid
Targeting, budget pacing and quality can also decide which campaign is eligible.
Example
Three bids
Bids of $1.20, $0.90 and $0.60 compete for a slot with a $0.70 floor. The $1.20 campaign wins; the $0.60 bid was never eligible.
Step-by-step
- Know your target cost per result
- Bid enough to clear typical floors
- Watch win rate
- Raise bids gradually if delivery is low
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