Bidding in digital advertising refers to how advertisers compete for ad placements on various platforms, such as Google Ads, Facebook Ads, or programmatic advertising networks. Advertisers set a maximum bid amount they are willing to pay for specific actions, such as clicks, impressions, or conversions.

The advertising platform uses these bids and other factors like ad relevance and quality to determine which ads are shown and in what order.

Effective bidding strategies can help optimize ad spend, ensuring advertisers get the best possible return on investment (ROI) for their campaigns.