Bid cap意思

"Bid cap" is a term used in the context of online advertising, particularly in real-time bidding (RTB) for display ads. It refers to the maximum amount an advertiser is willing to spend for a single ad impression.

In RTB, bids for ad impressions happen in real-time auctions, where advertisers place bids on individual ad impressions based on various factors such as the context of the webpage, the user's demographics, and their browsing history. The bid cap sets a limit on how much an advertiser is willing to pay for an impression, ensuring that they do not overspend or bid more than necessary for a particular campaign.

By setting a bid cap, advertisers can control their ad spend and ensure that their campaigns remain within budget. It also helps in optimizing campaigns by ensuring that bids are competitive but not excessively high, which can save costs without significantly impacting the ad's performance.

In summary, a bid cap is a tool used by advertisers to manage their ad spend and ensure that their bids for ad impressions do not exceed a predefined maximum amount.