PALO ALTO, Calif. – PubMatic (www.pubmatic.com), an ad revenue optimization company that works with over 5,500 online publishers, enhanced its Dynamic Default Optimization technology that allows publishers to ensure maximum revenue from every ad impression, despite ad network defaults. PubMatic also released a white paper, available for download at www.pubmatic.com, detailing the new technology.
Dynamic Default Optimization is a proprietary technology developed by PubMatic that provides publishers with management of defaults across multiple ad networks in real-time, resulting in 30 – 300% increase in revenue for publishers. Defaulting occurs when an ad network is unable to fill an ad impression on a Web site with a paying ad. By working with over 5,500 publishers and 300 ad networks, PubMatic has found that ad networks default 56% of the time on average and as much as 87% of the time. Prevailing trends in the online advertising industry indicate that defaulting will become even more commonplace in 2009.
Most publishers with significant inventory manage their ad networks’ default impressions by setting up a ‘static’ daisy chain of ad networks based on expected ad rates from these ad networks. However, setting up a static daisy chain is a very manual and cumbersome process that consumes a lot of time and is ineffective because ad network pricing is constantly changing. PubMatic’s technology can identify the ad network that can best monetize an impression in real-time, ensuring the publisher makes the most revenue possible from their ad space.
Benefits from Implementing Dynamic Default Optimization
* Increased revenue for publishers – Dynamic Default Optimization ensures that the publisher maximizes the value of every impression. Publishers who have deployed Dynamic Default Optimization have seen substantial increases in eCPM:
Entertainment: + 51.4 %
Gaming: + 148.3%
Men’s Interests: + 148.4 %
Music: + 121.8 %
Real Estate: + 138.6 %
Reference: + 177.9 %
Social Network: + 215.7
* Reduced complexity and ease of management for publishers – Dynamic Default Optimization removes the need for extra ad operations resources to manually manage a static ad network daisy chain, freeing them up to focus on their core business of providing online content to the user and higher value direct sales.
* Cost reduction and more access to premium inventory for ad networks – Ad networks save on ad serving costs by getting quality impressions and filling more of the impressions they receive with ads.
* Better user experience – Users are shown more relevant and better ads that load on a Web page in a more timely fashion, and therefore enjoy a better user experience.
“The status quo method of setting up a static daisy chain of ad networks to reduce money lost from ad defaulting is greatly flawed,” said Rajeev Goel, Co-Founder & CEO of PubMatic. “The only way a publisher can ensure maximum revenue from every single ad impression is to know which ad network can best monetize each impression in real-time – and PubMatic’s Dynamic Default Optimization is the only solution that makes that possible for publishers.”
The PubMatic-issued white paper entitled, “Death to the Ad Network Daisy Chain: Generating More Revenue from Default Ad Impressions,” is available at www.pubmatic.com for download. The white paper offers in-depth analysis of what defaulting is, why it happens, and how online publishers can employ a defaulting monetization strategy that will maximize the value of every ad impression.
PubMatic is an ad revenue optimization service. PubMatic provides more than 5,500 web publishers real-time ad optimization, which significantly increases revenue while simplifying ad network management. PubMatic works with hundreds of leading ad networks and has created thousands of new publisher/ad network relationships. PubMatic is venture backed by Draper Fisher Jurvetson, Nexus India Capital, and Helion Ventures.