Blog

May 31, 2016

School of Programmatic Session Five: Selling Models for Publishers

Els De Witte, Marketing Director EMEA, OpenX

As automation transforms the way ads are bought and sold, publishers need to reconfigure the rules of ad trading to achieve maximum yield, efficiency, and appeal. Consequently, the fifth session in our School of Programmatic series focussed on the changing selling landscape and the most effective techniques to drive results.

Here are the session highlights, and tips for choosing the best selling model:

The rise of programmatic direct
Digital ad trading has undergone multiple shifts since programmatic arrived. First real-time exchanges brought greater scale, next Demand-side Platforms (DSPs) enhanced buyer efficacy, and then Data Management Platforms (DMPs) arose to enhance audience segmentation and targeting quality.

Now, advertisers and publishers are gravitating towards selling models that offer the security of traditional, direct deals without the old inefficiencies. As transparency moves up the agenda, methods such as programmatic direct — the streamlined version of manual trading — are taking over the digital space.

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Best selling models: the top three

1. Programmatic Direct
This model automates the process of negotiating direct deals between advertisers and publishers. Buyers receive a clear view of what they are purchasing, while sellers have a guarantee that a certain number of impressions will be sold, at a fixed price.

2. Private Marketplaces (PMPs)
PMPs allow buyers and sellers to make deals for specific inventory — often enhanced with additional data layers. Advertisers can access high-quality inventory that boosts targeting accuracy, and publishers get more control and a higher yield.

3. Real-time guaranteed 
A model that enables inventory to be bought according to the audience it reaches, in real-time and for a set price, with all demand sources in competition. This delivers high yield and guaranteed purchases for publishers, as well as providing flexibility, choice, and secure access for advertisers.

Meeting publisher and advertiser challenges
Historically, reconciling the differing priorities of buyers and sellers has been difficult. Publishers want scale and efficiency — mechanisms that quickly sell data-rich inventory, at the highest price, to a range of secure buyers. Advertisers want first pick of premium inventory that is not only viewable and fraud-free, but also transparent — in short, not a poor-quality market for lemons.

Programmatic direct models, especially real-time guaranteed, have the potential to meet all of these challenges. With advanced data capabilities, publishers can improve the quality of the inventory they provide, which in turn enhances its appeal. The greater the standard of inventory on offer and the more transparent the targeting options are, the more buyers will feel reassured and willing to place higher bids. What’s more, better quality ads will also mean happier users — good for retaining audiences and preventing ad blocking.

Choosing the best selling model: what to consider

1. Operational efficiency: Focus on systems that achieve the greatest scale and make the best use of internal resources.

2. Yield: Select a model that will allow inventory to be better packaged, and maximises the price of each impression.

3. Priority: Work with buyers to help them understand the priority access offered, and why it is beneficial for them.

4. Data: Establish how to marry first-party and third-party data to sync with the insight buyers have, ensuring optimal inventory appeal.

5. Support: Opt for a vendor that provides comprehensive support for all of the above, not just during implementation, but also on a continuous basis.

Keen to find out more? Check in again next month for the takeaway from our next session — Strategies for Success: Demand Side.