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Higher CPMs in Header Bidding – An Optimization Guide!

Higher CPMs in Header Bidding
The publisher sells inventory without directly communicating with the buyer in a programmatic selling. This may have an impression like automation, but it requires a lot of effort behind-the-curtain to connect the buyers with the sellers.

Publishers’ first-look at the Header Bidding raised a question – ‘How to get Higher CPMs in Header Bidding?’. Is it enough to just implement it?  

Of course, not. Publishers need to put some work and strategize the way they implement to get higher CPMs in header bidding. Let’s see what we mean.

Header Bidding and CPMs – The Dream Combo

The Digital ecosystem has gone very big and the industry has tried several times to streamline it. But it’s still in little trouble due to inefficiency and fragmentation.

The publisher sells inventory without directly communicating with the buyer in a programmatic selling. This may have an impression like automation, but it requires a lot of effort behind-the-curtain to connect the buyers with the sellers.

Header bidding is the techniques which have taken its inception out of this. Due to the inundation of the advertisers for the same time inventory, it’s bound to create a great competition among the advertisers and it leads to a great surge in the costing for a given ad impression.

Also, by this way, every buyer gets an equivalent opportunity to bid on the similar inventory, right on time leading to larger competition between publishers and the bidders for more ad revenue.

In short, Header bidding enables a more competitive, more dynamic programmatic ad stack. It’s known that by header bidding, publishers are boosting CPMs by as much as 60%. But, why your CPMs are still struggling to climb up?

Well, we’re going to take a look at the best practices to get higher CPMs in Header Bidding. So, you don’t need to worry about the CPMs anymore.

Higher CPMs in Header Bidding:

1. Choosing the number of header bidding partners

The supreme focus of the publishers nowadays is to manifold the revenue from their ad stock. This is actually possible in the process of header bidding. However, the overall concept, in fact, is not new. Publishers have begun to realize the monetary aspect and potential, so acquisition is taking a lift.

It’s recommended to work with more than 4 bid partners to get the ideal CPM rates. However, in general, it depends on the publisher’s specific site and some trade analysts suggest to work with more than this figure.

For instance, the revenue technology head At Graphiq, Mr.AJ Okereke, encourage publishers to start working with a pretty good number of quality bidding partners prescribing 10 or more.

As per the industry experience, Okereke commented that all publishers have distinctive content and size but over the years in this industry he learned that monetary gains of 35 % to 50 % have been witnessed by those publishers who have worked on increasing the number of bid partners.

But the flip side of increasing the bidding partners may result in low-quality user experience and increased site latency. It could be worse for the user experience when multiple partners are integrated which create more work, resource, and additional latency.

The publisher will have to make the right balance between the good user experience versus increasing revenue. So, to make the optimum balance, it’s recommended to work with minimum 4 and maximum 8 bidding partners.

Moreover, to dodge site latency, ensuring effectiveness and an upsurge in CPM rates, it is essential to work not only with the perfect count of bidders but also ensures to collaborate with the CORRECT bid partner.

Also read: 7 Proven ways to increase eCPMs

2. Discovering the ideal accomplice

The purpose of almost every header bidding associates is to get the exorbitant CPM and maximal fill rate.

But how to make sure it happens?

Simple. Publishers are advised to be careful about selecting their bidding partners and have an understanding of the capacity and types of available demands. 

The third party demand partner is equally important and the bidder provider publishers work with must be having a connection with the third party. A vigilant assessment of these association ensures the success rate of attaining higher fill rates.

First party demands ought to be on the checklist for selecting publisher’s partner, as this is time and again derived from premium advertisers at a greater CPM.

Higher CPMs in Header Bidding

3. Delivering the ideal user experience

The site visitors must get appreciative user experience and maintain this needs to be at the top of the checklist while finding the impeccable header bidding partner. Whenever it ‘s required to prevent site latency which jeopardizes a site’s user experience, the bad partners must be dropped and you should opt to work with the best partners only.

Publishers are required to choose partners who are having a strong pledge of the groundwork to deliver the scope, momentum, and trustworthiness which is required to keep the users happy.

When going on board with a header-bidding partnership, the prime concern is pace, supply illustrations, and requirement. The publishers need to be very careful of these three while gauging the partners to ensure expected support level.

4. Key is Experimenting

The publishers must lookout for such an associate who is able to deliver all of the above, but they don’t need to be content. It’s an ongoing process. To make sure of the return at its maximum and the goals are being accomplished the publishers must have to experiment with other partners.

Optimization, collection, and handling of bid date to fetch the correct penetrations entitle us to yield the publishers with the optimum output from the traffic.

Keep an eye on the data, changes and enhance the process.

Note that high CPMs in header bidding viability hinges on the lower latency. The most important value proposition is lower latency for the survival of header bidding.

5. Choosing the right partners to monetize inventory

Though there is no shortage of monetization and measurement/analytics providers in the market, following considerations shall be taken into account while evaluating one:

  1. Choose a monetization partner that brings in the right demand along with assisting in creating formats and better experiences that could engage users from mobile as well as the web.
  2. Look for partners who are authentic and have priority for mobile platforms than others
  3. Opt for partners with large-scale data from across the web that can optimize your content strategy and monetization.
  4. Select a partner that protects your user experience by allowing transparency & control over the content.

Conclusion

Header Bidding was created to increase CPMs in the first place. If done right, any publisher (regardless of size and geo) should see a significant lift in CPMs. However, as we highlighted in this article, you may need to consider to dig more and go beyond ‘standard implementation’ to get higher CPMs in header bidding.

If you need any help with the setup or looking for a header bidding partner, reach us at automatad.com. We’re glad to share our knowledge and expertise in ‘Header Bidding’.

Automatad Team

Brought to you by the brains of Automatad, Inc. Throw in your thoughts in and let us improve.

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