What is DMP?

This is a digital platform where data about internet product consumers is collected, integrates, organized, analyzed, interpreted and sent to target consumers. It is useful for providing data for DSPs.

 DSP Meaning

The demand-side platform on the other side is a real-time bidding software/platform where advertisers purchase ads related to web search, mobile and video. It offers to buy inventory to the advertiser.  It is responsible for connecting marketers, advertising agencies and brands to supply-side platforms (SSPs) and ad exchanges. It ensures that marketers access trending and useful media (impression) through a simplified media buying process from various sources.


How are DSPs used

DSPs are used to build campaigns on a particular medium. This way, the users of the platform are able to use data derived from DMPs to determine the clients they will target. Their integration with DMPs enables them to have a personal interaction with the target audience.

Since they are real-time bidding platforms, they have a large digital ad space, hence many exchanges and supply-side platforms engage them. These other platforms are updated with client information available.

Media impressions available in DSP are priced depending on the value they will add to your ad. Therefore, it enables buyers to weigh their budget and buy what can give them the highest value.

DSP also helps in regulating the number of times an advertisement reaches a client. It ensures that the customer is given frequent advertisement without being spammed by the same.


It is essential to combine the functionalities of DMPs and DSPs. This would help the advertisers make more informed moves. They give advertisements better meaning and usefulness when used together. It would be best if a DMP is combined with various DSP to get information reach a wider range of clients.



There are various similarities and differences that exist between these platforms. This occurs because they both deal with similar kinds of data, but executes their function differently. They are also used for a different but related purpose. Let us have a look at the similarities of DMPs and DSPs


Similarities of DMP and DSP

  1. They both collect audience data
  2. They have the ability to connect to other online platforms


Differences between DMP and DSP

There are so many differences between the two platforms. This is despite them handling the same kind of data. Much of these differences are in the functions of their features.

  1. Data collection

DMP collects data datafroall1st 2ndand3rd party sources while most DSPs are limited to collect 3rd party data. DSPs are left with the option of connecting to 3rd party data sources in order to have a larger target base.

  1. Data portability.

DMP data can be channeled to all media sources, including advertisement platforms and the actual target audience. This enables the data to have a great impact at the client level. On the other hand, a DSP can only channel their data to the clients interested in buying. This makes them miss the personal opinion of the final consumer

  1. Data management.

DMPs gives users the freedom to use the data they have from various sources to achieve any goal that they wish to. On the other hand, DSPs do not have the capability of managing any kind of data. Their main goal is to provide a platform for buying and selling of media.

DMP-Data Management Platform

  1. Customized data management

In DMPs data is customized to fit a certain client’s/target audience’s needs, this enables the marketers to reach the audience that is more likely to purchase the product. In DSPs, the clients are the ones who search for the data that they need, therefore. It is not necessary for data in DSPs to be customized.

  1. Data protection

In DMPs, consumer data is highly valued and protected. This data is only put to use during streamlining the implementation of audience fragments. On the other hand, data available in DSPs can be used to boost sales through media avenues and campaigns.

  1. Connectivity with other platforms

DSP connection is basically for enabling media buyers to access media. Therefore, they get connections with platforms interested in buying and selling of media.

DMPs, on the other hand, are considered neutral since they do not restrict themselves to buying and selling. However, they also connect with the target audience to get their opinions. These opinions are then used to improve media campaigns in a more customized manner.

Are advertisers shifting to DMP-DSP hybrids?

            DMP-DSP hybrid is a platform incorporating the DMP and DSP functions. It means that it is a DMP that can be used to buy and sell data or a DSP that can be used for data management. This enables the advertiser to have one platform instead of 2 separate ones. This setup, however, comes with its pros and cons. You will find that in such a setup, the DMP functions of a hybrid are to use data solely for buying and selling of media expressions. Data privacy in such a setup is compromised.

Before an advertiser settles on a DMP-DSP hybrid, they should analyze what they want and the goals of their advertisement.

However, this hybrid has a lot of advantages. It gives meaning to data in DMP. Puts it in immediate practical use, DSP, on the other hand, is enabled on getting a clearer target of their audience. No much effort will be used in trying to reach a useful audience that would lead to conversion.

For advertisers who want to save on the initial cost of installation of this software, they might consider a hybrid. However, they should also check the flexibility of the technologies use.