PubMatic White Paper on Real-Time Bidding (RTB)

White Paper is a Guide for Online Publishers to Understand What Real-Time Bidding is, Why it Matters and How to Take Advantage of It

PALO ALTO, Calif. – (February 3, 2010) -- PubMatic today published a white paper focused on Real-Time Bidding (RTB).

Because RTB is one of the fastest growing segments of US online advertising, it’s imperative that publishers understand the RTB landscape and how to successfully harness RTB ad dollars to their benefit.

RTB allows advertisers to reach the right user, in the right place, at the right time by assigning an individual value to each individual ad impression. Advertisers bid to reach specific users dynamically, and on an impression–by-impression basis. Competitive bidding increases demand for ad space via highly targeted advertising. A comScore 150 U.S.-based entertainment publisher experienced a 106% increase in eCPM over a six-month period by utilizing PubMatic’s RTB platform. Ad impressions monetized via RTB resulted in a 64% higher eCPM in 2009 than those ad impressions monetized via non-RTB methods.

“By allowing campaigns to be bought through Real-Time Bidding, publishers are able to provide better performance and transparency to the agencies and ad networks they work with,” said Rajeev Goel, CEO of PubMatic. “However, publishers should be cautious because there are multiple business issues to account for to make RTB work for the sell-side in online advertising. This is the fastest growing segment of U.S. online advertising, and it’s imperative that publishers understand the landscape and how to successfully harness the rapidly growing RTB ad dollars to their benefit.”

PubMatic is a sell side platform that works with publishers to increase their advertising revenue and help manage ad inventory. Its Ad Auction EngineTM accepts real-time bids on behalf of the publisher, finding the highest possible price for each ad impression across non-RTB ad networks, publisher-sold campaigns, and RTB-based ad networks.

PubMatic’s RTB white paper provides a guide to:
• Best practices to lift eCPMs through RTB
• Best practices to protect publisher brands in an RTB environment
• RTB implementations and examples
• Entities capable of buying on an RTB-basis (agency buying desks, demand-side platforms, ad networks, ad exchanges)

In 2009, less than 1% of online ads were purchased via Real-Time Bidding. This is expected to grow to 3-5% in 2010. Advertising experts have predicted that RTB will fundamentally change the course of online advertising.

The PubMatic white paper can be downloaded at: www.PubMatic.com/real-time-bidding.

Source: PubMatic