Viewability has fast become one of the most important metrics for advertisers and over the years, there have been several studies showing that on average, 50% of all impressions are not seen at all by users; which means that advertisers are paying for impressions that are not seen by anybody. This has sparked off a trend where advertisers are inclined towards paying for viewable impressions instead of served impressions.

It is time for Publishers to consider viewability as one of the important metrics which cannot be ignored and figure out strategies to continuously improve the viewability of their inventory as well as the boost viewability of the campaigns they run on behalf of brands. …

As publishers grow skeptical of their programmatic revenue (increased privacy regulation, crumbling of third party cookies, mis-alignment of incentives along the value-chain, etc), a lot of them now prefer direct monetization over programmatic channels. As this happens, it is important for publishers to understand what are some of the things that advertisers look for when running ad campaigns directly with a publisher. This will help publishers focus on improving these key metrics (campaign goals or KPIs) which in turn improves the campaigns’ efficiency and brings in more budgets with better CPMs.

The kind of display campaign that an advertiser will run depends on the nature of the brand and the goal of the campaign. There are broadly two kinds of brands — mass market vs niche market and two goals of a display campaign — direct performance vs branding. The below 2x2 matrix shows the kind of campaigns that are run in each of these scenarios. Please note that this is just an indicative of the general trend and every marketer will have her own unique approach to running these campaigns. …

Simply put, Ad Request CPM is the revenue earned per thousand ad requests. Before going to details of ad request CPM, it is important to understand what an Ad Request is in the first place. Let us assume you have a website and you set up an ad slot where you want to show ads, now when a user visits your website or the page where this ad slot is located, then you have 1 page view and 1 ad request that is counted by your ad server. Now, let’s say you have 2 ad slots located in the same page, and when a user visits that page, you will have 1 ad request for each of the ad slots. Hence it is 1 page view and 2 ad requests that is counted.
Ad request is a good measure of your traffic but may not be same when you have multiple ad slots on your website. When there is an ad request, there is a potential to show an ad. And if you are a publisher, converting maximum ad requests into impressions (shown ad) and maintaining a high CPM number would be a challenge. This is because if you increase the base price for your inventory through Ad Exchange pricing rules, CPM may increase and coverage may reduce and vice versa if you lower your base price. So finding the optimum base / floor price would be a tedious task if you do not know which is the most suitable metric to measure the performance. …

As a publisher, what if you could set different floor prices in parallel (Google AdX Floor Prices) for the same inventory at the same time and know the best working floor price within couple of hours instead of wasting a day or two? …

What is a Second Price Auction?

Second Price Auction in Real Time Bidding is a model where the winner pays 1 cent more than the second highest bid in the auction instead of the price that won him the bid. For Example: If there’s a bid that is happening for an inventory and let us assume there are 4 advertisers and they bid the following price, Advertiser A: $2.00 Advertiser B: $2.50 Advertiser C: $1.75 Advertiser D: $3.50

Here, winner will be Bidder D but they pay $2.51 (Second highest bid + $0.01) instead of $3.50.

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How Ad Exchange floor price comes into play?

Vinay B Rao

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