Google: Growing the Display Advertising

The new DoubleClick Ad Exchange helps to open the ecosystem and establish a new marketplace for buyers and sellers. Google's plans to make display advertising more useful to users, advertisers, and publishers.

This is what, Google wrote in its official blog

We've been working hard to put these principles into practice, and today we're excited to announce the new DoubleClick Ad Exchange, a step towards creating a more open display advertising ecosystem for everyone. The Ad Exchange is a real-time marketplace that helps large online publishers on one side; and ad networks and agency networks on the other, buy and sell display advertising space.

These publishers and ad networks manage and represent large volumes of ads and ad space from lots of advertisers and websites. By bringing them together in an open marketplace in which prices are set in a real-time auction, the Ad Exchange enables display ads and ad space to be allocated much more efficiently. This improves returns for advertisers and enables publishers to get the most value out of their online content.

For a large publisher managing multiple sales channels and ad networks, the Ad Exchange provides real-time yield management to maximize returns. The small-time advertiser or business can now buy targeted display ads on thousands of DoubleClick ad-serving websites. In other words, this could be a major boom to marketers as highly targeted ad campaigns can reach everywhere. It will also increases Google's competition with Yahoo.

An explanation of the Ad Exchange is here (PDF).