In recent months, publisher consortiums have gained significant traction as publishers seek to offer brand advertisers premium content and audiences at scale. Publishers have been forced to compete with digital giants that are eating up more and more ad spend because of their ability to scale audience based buying. According to eMarketer, 54% of total digital ad spend is projected to go to Facebook and Google by 2018.
When mobile adoption and usage first exploded over a decade ago, most publishers and advertisers simply reformatted desktop content into smaller versions for mobile devices, which was not up to consumer expectations. However, throughout the past decade, the media and advertising industry has been steadily creating more compelling and engaging mobile experiences.
The shift toward header bidding technologies for premium publishers has dominated programmatic discussions for obvious reasons – increases in revenue and yield, optimized impressions and more control over inventory. The overwhelmingly positive impact of header bidding can be seen not only overall on PubMatic’s platform, where premium publishers see 53% higher CPMs, on average, but also across major content verticals, including news, retail / e-commerce, financial information and entertainment & lifestyle.
Earlier this month, PubMatic launched the industry’s first enterprise-grade wrapper solution for publishers, which solves for the inefficiencies in header tag management and measurement in header bidding strategies. As premium publishers continue to rapidly adopt header bidding, they need a complete wrapper solution that enables the holistic management of all header bidding partners and provides a transparent, real-time view into bid activity and volume, monetization and latency metrics.
The Story Behind the Success
A leading entertainment and news web property was in search of a reliable programmatic partner that could increase its fill rates and CPMs to maximize yield. At the time, header bidding was still a new technology that had not yet gained mainstream traction. The publisher partnered with PubMatic to leverage its Decision Manager header bidding product to gain an edge on the publisher’s competitors, in its ad sales efforts.
According to the billions of impressions from PubMatic’s platform, it’s been a very strong first quarter for the global mobile advertising space. Released today, PubMatic’s Q1 2016 Quarterly Mobile Index (QMI) report found that ad inventory value on both mobile app and mobile web increased substantially, with CPMs (cost per thousand ad impressions) on mobile app up 67 percent and on mobile web up 57 percent year-over-year. For publishers and advertisers, this demonstrates increasing ad quality and value across both mobile platforms.
Publishers grapple with various challenges in ad serving as they strive to take back control of ad decisioning. PubMatic is dedicated to servicing the needs of premium publishers, and recently released the white paper, “Lessons Learned in Header Bidding,” highlighting best practices in header bidding.
By Paul Chu, VP Advertiser Solutions, PubMatic
Close your eyes. Imagine walking into a store, with your eyes still closed, and trying to buy something without being able to see anything – the salespeople, the products, the shelves and racks… nothing. That’s what it’s like for digital advertisers and agencies buying in some programmatic marketplaces. In the past, this was acceptable for advertisers, because although they were buying inventory blindly, they could buy at scale, measure their campaigns and still achieve a reasonable return on advertising spend.
To header bid, or not to header bid? That has been the question on the minds of premium publishers over the past year as the programmatic tactic header bidding has permeated the media industry. Last year, PubMatic released the white paper, “Decision Manager: Your Inventory. Your Rules.,” that addressed the ways in which header bidding can solve key challenges for publishers, primarily created by the outdated “waterfall” process in inventory management. This year, we’re taking a look back at header bidding successes and challenges over the past twelve months in a white paper titled, “Lessons Learned in Header Bidding.”
As March Madness tips off this week, the first round teams lace up to step on the court, and employees in offices across the country prepare their brackets, we are reminded of the marketing power behind mega sporting events and why it’s important to begin thinking about them as immense marketing opportunities.