Digital Advertising
- Real-Time Bidding (RTB): This is the most frequent use of real-time auctions where a client competes for various spaces available on different websites in real-time auctions. These transactions are managed by ad exchanges so that advertisements are delivered to the targeted audiences at a suitable time.
- Programmatic Advertising: Employ the use of Internet-connected computers and sophisticated information technology algorithms to buy ad spaces instantaneously, hence saving time and correlating the ad spaces to the potential target audiences.
E-commerce
- Flash Sales and Deals: Retailers turn to real-time auctions since they are used to selling products in small quantities within a very short time. Customers can make offers to buy the shoes and each offer that has been made is competed against the other within a specific period to make the final sale.
- Dynamic Pricing: Prices of the products could be set to vary in real time depending on the demand and the competition is much in the same way as a live auction.
Stock Trading
- High-Frequency Trading (HFT): Traders can effect trades in fractions of a second using complex mathematical models which is akin to getting into an auction system whereby the highest bid or the lowest offer is affected.
Travel and Hospitality
- Last-Minute Deals: The airlines and hotels offer inventories through real-time auctions with a variable price for last-minute consumers, thereby making it desirable to both sellers and buyers.
What is Real-time Auction?| Mechanics, Applications, Benefits and Challenges