Important improvements help supply partners generate higher yields and reduce channel conflicts
We all know that supply and demand drives pricing in all transactions, but when you’re on the seller’s side of the equation, you often want to set a floor below which you will not accept an offer. From Sotheby’s to eBay, this concept is where auctions get started.
We want to give our supply partners that same type of pricing control, so today, Right Media is excited to announce that our reserve price capabilities have been significantly enhanced. These capabilities can allow sellers to establish reserve prices at various profile levels; at the seat-wide, managed publisher and section level.
Today’s launch is a global release, benefiting all 90 of the markets we serve, and more than 320,000 buyers and sellers around the world.
Preserving the Value of Your Inventory
A reserve price is the lowest CPM that a supply partner will accept for impressions at the specified inventory dimension. Our enhanced reserve pricing capabilities enable sellers to control the floor price of their inventory in order to increase buyer accessibility, while still preserving inventory value. It can provide supply partners with a controlled method for exposing premium inventory, and for optimizing on an ongoing basis to maximize yield.
A little background: Before today, Right Media supported the ability for supply partners to set reserve prices at the link level between two entities. Today’s enhancement allows sellers to establish reserve prices on their inventory at various profile levels, including:
- Network level
- Managed publisher and section levels
- Buyer level (linked, managed, RTBD, custom-selected list)
- Ad size and rich media ad type
- User type (mobile vs. PC)
- Geographical parameters
Reserve prices apply across the various types of buys: CPM, dCPM, CPC and CPA. For any given inventory where a reserve price has been established in multiple dimensions, the highest price (the most restrictive) will apply as the reserve price for that inventory.
For example, if the seat has a $3 CPM reserve price for a particular managed publisher, and has established a $4 reserve price for a 300 x 250 ad size, then the $4 CPM minimum price will apply to inventory of that size. For inventory of a different ad size (e.g., 728 x 90), the $3 reserve price would apply.
A few of our supply partners had the opportunity to preview the new Reserve Price feature, and they’re very excited about the enhancements. “The granularity at which reserve prices can be set is fantastic,” says Tom Horsey, Co-Founder and COO at Creafi Online Media. “We’re seeing significant improvement in CPM rates for premium publishers.”
This is just a basic overview of the enhanced Reserve Price function. In a future blog post, we’ll offer some important best practices for using this feature. To learn more about the Reserve Price feature, please visit the Right Media Knowledge Base, where you can find videos providing an overview of the feature in the UI, about the rules for using Reserve Price, and much more.
– The Team