Addressing the Issue of Transparency in Header Bidding

In spite of the COVID-19 crisis, the Digital Advertising market is expected to record high growth between now and 2023. One of the technologies contributing to this tremendous expansion has been Header Bidding, which allows Publishers to improve monetization efficiency by adding some competition for Google on fairer and more efficient terms.

Header Bidding is an essential part of the Programmatic approach; and more and more Publishers are widening the scope of SSPs with the use of internal solutions or third-party Header Bidding wrappers. Header Bidding is a very effective tool for driving additional revenue, but it does have downsides. One such downside is its lack of proper transparency in Header Bidding, especially when it comes to third-party solutions.

A black box of sorts

As many publishers do not possess either the technological skills or the human resources to create and manage Header Bidding on their own, they need to look for support on the market. Although there are many interesting solutions which they can easily implement and start using after a couple of days, most of these solutions come with provider demands and without the possibility of raw, granular data.

Because of the Header Bidding landscape, auction dynamics and configuration changes (which impact on performance), Publishers may in part lose control over their monetization strategy. Publishers will also have to accept the fact that at least in the dashboard they may not be able to assess all the metrics of their interest; and the only way to see these metrics is by asking a business partner for a customized report.

Another snag is the data itself, as Publishers using wrappers with third party SSPs within them will in most cases not be able to see the numbers presented directly by the platform, but only those aggregated by business-partner reporting tools. These numbers will also be visible when they differ from that which is accessible on the Google Ad Manager level (or other Ad Server); but unravelling the differences may take a long time.

Head and shoulders above the rest

The second issue regarding transparency and Header Bidding, and which is often mentioned by the Publishers and Ad Tech professionals we talk to, is the issue of using third-party solutions created by leading SSPs. There are plenty of benefits to such an approach, as those companies are usually to the fore when it comes to technological solutions, and they are able to provide stable and intuitive tools.

The one downside to this specific approach is whether the other buyers/bidders involved in a solution created by an SSP will be treated exactly the same way and on equal terms. Also, how will the auction-related data from those platforms be used by the SSP? And will the technology allow Publishers to perform optimally?

Most probably, in both cases the reps of those companies will say that there is nothing to worry about, but a hint of uncertainty always remains.

Looking for alternative solutions

Considering the above aspects, choosing a Header Bidding provider can be quite a challenge. Before choosing a specific player, we always like to carry out research and assess whether the partners we are considering share our values and goals.

You should also check whether the partner implementation strategy may affect your page latency, which is central to performance perspective. A company should also provide extensive documentation and ongoing support.

Last but not least, you should consider looking for solutions which offer the possibility of opening your own accounts with multiple SSPs, so as to then implement them within the external tech. In this way, you will have access to all the relevant metrics on your accounts, and will be paid directly by the platforms; which in these difficult times should also enhance your financial security and stability. What is more, the revenue share required by most Header Bidding providers for access to their demand is not always the most profitable solution for Publishers; and paying for the tool on CPM or on a flat-fee basis may be more beneficial, especially when you are looking to grow and improve your quality.

QuickWrap

In Yieldbird we believe in the best possible levels of transparency between business partners, that is why as a response to our Publishers’ needs and comments, we have created QuickWrap, a Header Bidding wrapper which gives Publishers the option of using either our demand or their own demand only, or a mix of both; and without the need for coding or developer support. We also support Publishers with the opening of direct accounts with the most relevant SSPs.

We at Yieldbird maintain that transparency is crucial for the Ad Tech industry, and that good business partnerships are only sustainable when both sides are fully aware of all cooperation details and parameters; and feel safe regarding both the knowledge they possess and when it comes to allowing access to the data of their interest.