Websites with ads need to satisfy the ad buyers. This means running a bunch of JavaScript that's adversarial to the website and fingerprints both the website and the browser to determine where and to whom the ad is actually shown. It's like a cloudflare bot challenge is happening behind the scenes. Of course all this stuff doesn't happen on the website's own domain, or the website could manipulate it.
And the ad that's originally delivered might not actually be the ad, but might be a script that fetches the real ad from a different server, if the incentives line up that way. Imagine you have a contract to advertise on a site, but someone else wants to advertise on the same site and pays you to forward their ad. Ad margins are razor thin, you'll do this for $0.00001 profit per impression. And your buyer might be doing the same thing to their customer. It's all a huge mess.
In ye old days, you had newspapers who sold ads, and had to at least satisfy their customers. What the newspaper advertised reflected on the newspaper, and where the advertiser advertised, reflected on the advertiser. Now we have a situation where no one is accountable. Spammy ad sites are a thing, because there isn't that direct relationship between advertiser and website.
(I used to work in this area, but my knowledge is ~4y out of date)
You don't have to run a marketplace. Back then, people were calling via phone to put an ad into the newspaper. The same concept can still apply today.
You can just place an ad _where you actually want it_ instead of having a shitty decision engine decide it for you. Marketing budgets are messed up all over the place since social media, because they're really inefficient in finding the customers that actually wants to buy their stuff.
If you don't believe me, just take a look at facebook, they're trying to shove ads up your feed 99% of the time. It's a feed of ads, not a feed of "friends" anymore. Good luck trying to catch the 1% of posts that were actually the reason why you used the platform in the first place.
Is it really? I would think targeted ads are way more efficient than traditional non targeted ads. Eg I've never seen menstrual pad (something I would never use) ads online.
> take a look at facebook, they're trying to shove ads up your feed
That's the consumers experience, not advertisers
Networks are only necessary if you want to run new ads for every year or tie into their browsing history or other algorithmic stuff. But if someone wants to pay you 3k to run a banner ad for a few weeks that would be pretty easy to just embed.
For many sites that is not the case, running adtech infrastructure is not even close to their primary business and taking the task on individually isn't worth the admin cost. Companies wanting to advertise don't just come along and say “my product is aligned with your content, could I pay for one of your advert slots?” because they don't want to just target the people who are actively looking at relevant content. They want to follow people who look at relevant content around like little stalkers, so the adverts can be put in front of you even when you've moved on to looking at less relevant content - and that requires tracking between sites which a smaller individual site can not do on its own or have the clout to negotiate a good exchange with other sites with.