With millions of applications and mobile sites present in the market, the mobile space is a crowded one.
This creates a huge competition among the players and advertising becomes the default choice to ensure sustenance. Mobile advertising delivers location, context, behavior and other dimensions that promise to make advertising more relevant for end users and more profitable for publishers. The real challenge though would be to have right set of ads targeted to your audience and filling your inventory at the same time.
What is a Fill rate?
When you send an ad request to an ad source (like an ad network); not every ad requests is returned with an ad. The percentage of ad requests that are returned with ads for a given site/app is called a fill rate. For an average ad network, fill rates do fluctuate and depends on several factors. The ad networks that specialize in particular type or targeting of audience (e.g. video ads, geo targeted ads, and category based ads) usually have an average fill rate of 30% – 40%. So for example, if you have a 50% fill rate that means half of your traffic is not seeing any ads and you are losing 50% revenue opportunity.
Fill Rate – The Game Changer!!!
Often publishers demand their ad sources for higher CPC rates. Which may not be a bad thing to do; but they miss out the larger picture. If you get only 50% of your inventory monetize at say $0.05 CPC that is worse than 70% of your inventory getting monetized at 33% lower CPC.
When you are looking at the data from any Ad Network the two main things you want to look at are fill rate and eCPM. eCPM is your earnings per thousand impressions which means if you get more impression you will end up earning more than having less impressions and high CPC. Fill rates and eCPMs vary greatly across ad networks, individual apps and geographies. This is an ever changing landscape and you need to be cold and calculating when it comes to managing this aspect of your business. Hence the next question arises
What can you do to increase fill rate?
The best method to increase fill rate is to choose an ad source that assure you high fill rate. A typical ad network offers fill rate anywhere between 25-50%. However an Ad Mediator can give you anywhere between 75%-100% fill rate. The perfect example being AdIQuity that offer its publishers 90%+ fill rate across geographies.
This is possible because of hundreds of worldwide partnerships we have with several Agencies, RTB Bidders and 80+ mobile ad networks. These partnerships put together becomes a consistent and steady source of ads no matter what kind of inventory a Publisher shares with us.
Is Fill rate enough to ensure maximize your revenue ?
The short answer is ‘NO’. While you should always look for maximum fill rate from your ad source, that may not be sufficient to generate highest revenue for your inventory. You should be looking for high fill rate combined with higher eCPM rates for your inventory.
At AdIQuity we ensure that we not just give you an ad for every ad request you share but we also make proper attempts to return highest paying ad for your request. This is possible as we have multiple ads for same request and our optimization engine ensures that only the highest paying ad for every ad request (within certain latency) is selected. Thus, the publisher gets the best paying ads with highest fill rates.
Ad mediation and RTB as a solution to increase Fill rates:
Although the movement towards RTB is promising to the current reality of mobile RTB, it is less encouraging for advertisers. The mechanics behind the RTB marketplace require a bidder platform like AdIQuity to which only premium ad sources have access. Even for those that have access, the inventory available is predominantly of premium quality. The major ad networks try to sell their premium inventory within their networks on a CPM basis, mainly to brand advertisers.
Ideally, publishers should utilize multiple ad networks to fill 100 percent of the inventory. This may be supported through client-side script in the site or app, or by using a mobile ad server, such as AdIquity, that can broker the ad requests.
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