Until the Exchange platform, commercial ad serving platforms ignored the two fundamental business goals of advertisers and publishers: ROI and yield. To achieve them, businesses had to create workflows and processes outside of the ad server. Trading on the Exchange platform, with built-in auto-optimization and a range of pricing models, including dynamic pricing, buyers and sellers reach these goals automatically, and maximize profit with far less effort.
Auto-optimization with dynamic pricing
Dynamic pricing changes the way marketers think about inventory. Inventory is not bad or good. Inventory is correctly or incorrectly priced. Historically, buyers try to optimize inventory against one set price rather than optimizing price against all inventory.
Dynamic pricing lets the ad server set a bid price for an impression, in real-time, based on the true value of that impression to the advertiser. If the system determines that a given impression has high value to the advertiser (weighing it against the advertiser's pre-set ROI goals), the advertiser bids high. Alternately, if an impression has lower value (for example, a lower likelihood of conversion), the advertiser bids lower.
Benefits:- for advertisers, increased reach, more efficient buying, and better ROI as a result
- for publishers, more competition for every impression and higher revenue as a result
- for networks, more value for your buyers and sellers, which means more revenue for you