5 Price Floor Optimization Tips to Increase your Ad Revenue

5 Price Floor Optimization Tips to Increase your Ad Revenue

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Price Floor Optimization can Significantly Increase your Ad Revenue?

Since everyone is doing the guess work in media buying and there is no ‘set worth’ for the impressions that are being brought (which largely depends on first party and third party data, along with viewability and performance metrices)– the goldmine lies here. Also, as discussed in the article which is linked above, there remains a huge difference between first price and second price in the auction, and setting up price floors can significantly increase your overall ad revenue.

THERE ARE TWO WAYS OF SETTING UP A PRICING RULE

Set pricing and blocking for everyone

Publishers can enable this if they want to sell inventory at the same price to all advertisers and buyers.
This approach can also be used to block all ads from serving on specific inventory, by blocking all of the branding types.
Set pricing and blocking for specific buyers, advertisers, and brands

Publishers can enable this if they want to sell his inventory at a different price to one or a set of the advertisers and buyers.
This approach can also be used to block all ads from one or set of advertisers/buyers from serving on specific inventory, by blocking all of the branding types.

AD EXCHANGE OPTIMIZATION FEATURE

This is a feature which helps the publisher optimize their revenue by using Opportunities and Experiments.

Opportunities: are projections based on the previous seven days of data for your network. When you apply a change of a given blocking or pricing rule, the suggested changes are implemented right away.
Experiments: let you apply the suggested changes to a fixed portion of your traffic and compare the results to a control group where the rule changes haven’t been used. You can view the impact on your revenue without changing all of your inventory.

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