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How Mobile Advertising is Evolving | Natalie Portier
The document discusses the evolution of mobile advertisement technology over several generations. It begins with traditional waterfall systems, then describes placements and frequency caps, static price floors, flat waterfalls, and dynamic price floors. The next generation discussed is soft header bidding, which allows simultaneous ad requests to networks to find the highest value placement efficiently without slowing app performance. The final section invites learning more about implementing soft header bidding.
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How Mobile Advertising is Evolving | Natalie Portier
- 1. © 2017 AppodealInc.© 2017 Appodeal Inc. Evolution of Mobile Advertisement HOW DID WE GET HERE? WHAT’S NEXT?
- 2. © 2017 AppodealInc. 4500 Publishers 29K Apps 130MM MAU 9B Impressions per month
- 3. © 2017 AppodealInc. 1st Generation THE TRADITIONAL WATERFALL
- 4. © 2017 AppodealInc. Traditional Waterfall Network A Network B Network C Ad Fill OrderFirst Last Ads’ eCPMs Low High
- 5. © 2017 AppodealInc. Inaccurate historical data Higher eCPM ads may be skipped No performance breakdown Traditional Waterfall: Downsides
- 6. © 2017 AppodealInc. 2nd Generation AD PLACEMENTS + FREQUENCY CAPS
- 7. © 2017 AppodealInc. Ad Placements and Frequency Caps 1st Tier WATERFALL Ad Fill OrderFirst Last Ads’ eCPMs Low High Ad Fill Order LastFirst Ads’ eCPMs Low High Ad Fill OrderFirst Last Ads’ eCPMs Low High 2nd Tier WATERFALL Leftover Tier WATERFALL
- 8. © 2017 AppodealInc. Better value for supply and demand Lower eCPM networks enter the waterfall 2nd Generation: Advantages
- 9. © 2017 AppodealInc. Inaccurate historical data Higher eCPM ads may be skipped No performance breakdown 2nd Generation: Downsides
- 10. © 2017 AppodealInc. 3rd Generation STATIC PRICE FLOORS
- 11. © 2017 AppodealInc. Ad Fill OrderFirst Last Price Floor (Hard) Ads Not Considered Ads’ eCPMs Low High 3rd Generation: Static Price Floors
- 12. © 2017 AppodealInc. 3rd Generation: Static Price Floors Ad Fill OrderFirst Last $15 Price Floor (Hard) Ad Placement Gets Unfilled NoBid Ads’ eCPMs Low High $15 Price Floor (Hard) Ad Placement Gets FIlled Ad Fill OrderFirst Last Ads’ eCPMs Low High iOS USA users in SF and NYC iOS USA users elsewhere
- 13. © 2017 AppodealInc. Soft Price Floor Ad Fill Order LastAd Fill Order Ads’ eCPMs Low High Ad Fill Order LastFirst Ads’ eCPMs Low High Ad Fill Order Ads’ eCPMs Low High $7 eCMP $6 eCMP $3 eCMP $7.02 eCMP $6.83 eCMP $2.15 eCMP Historical Data Price Floors
- 14. © 2017 AppodealInc. Flat Waterfall Ad Fill OrderFirst Last Ads’ eCPMs Low High Multiple Positions FLAT WATERFALL
- 15. © 2017 AppodealInc. Flat Waterfall: Advantages Historical data inaccuracy defeated Multiple positions in waterfall
- 16. © 2017 AppodealInc. Flat Waterfall: Downsides Inflating bid inefficiency Slow app performance
- 17. © 2017 AppodealInc. 4th Generation DYNAMIC PRICE FLOORS
- 18. © 2017 AppodealInc. Ads’ eCPMs Low High Winner Fills Impression No Fill (Too Expensive) No Request No Request No Request PriceFloorEntry (NotActualBid) Ad Fill Auction OrderFirst Last $12 $10$10.20 $9 $5 $11.30 Actual Bid Would’ve Entered At the $10 Price Floor Waterfall with Static Price Floors 4th Generation Dynamic Price Floors
- 19. © 2017 AppodealInc. 4th Generation Dynamic Price Floors Ads’ eCPMs Low High Winner Fills Impression No Request No Request No Request Ad Fill Auction OrderFirst Last PriceFloorEntry (NotActualBid)$10.01 $9.01 $9 $5 $11.30 $10.20 $5.01 No Request No Request Actual Bid Enters At the $10.01 Price Floor Waterfall with Dynamic Price Floors Actual Bid = $10.21 $10.21
- 20. © 2017 AppodealInc. 4th Generation Dynamic Price Floors Dynamic price floors win Same impression for less Ensure high value placements Slow app performance
- 21. © 2017 AppodealInc. The Next Generation SOFT HEADER BIDDING
- 22. © 2017 AppodealInc. Simultaneous Ad Requests Ad Networks Ad Mediator Header Bidding The Next Generation: Soft Header Bidding
- 23. © 2017 AppodealInc. Ads’ eCPMs Low High VS $10 Price Floor $17 Soft Bid $15 Soft Bid -20% +5% The Next Generation: Soft Header Bidding 1 2
- 24. © 2017 AppodealInc. VS $10 Price Floor $13.60 Likely Actual Yield $15.75 Likely Actual Yield Ads’ eCPMs Low High -20% +5% Soft bid $15 The Next Generation: Soft Header Bidding 3 4
- 25. User Opens App All AdNetwork SDKs are Activated Ad Mediation SDK is Activated Ad Mediation SDK Sends Request to Ad Mediation Server 1 2 3 4 © 2017 Appodeal Inc. Soft Header Bidding Workflow
- 26. BID BID BID BID BID BID BID BID AdMediation Server Conducts an OpenRTB Auction and Accepts Soft or Hard Bids from Ad Networks Ad Mediation Server Selects Winning Bid and Reports It Back to Ad Mediation SDK Ad Mediation SDK Requests Winning Ad Network SDK to Cache the Ad Winning Ad Gets Displayed 5 6 7 8 AD © 2017 Appodeal Inc. Soft Header Bidding Workflow
- 27. © 2017 AppodealInc. No more waterfalls Efficient and fair bidding Fast app performance The Next Generation: Soft Header Bidding
- 28. © 2017 AppodealInc. Learn more on how to implement soft header bidding: hi@appodeal.com