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Bid Signal Enrichment in adtech: Part 2

Picture of Jonathon Shaevitz By  Jonathon Shaevitz  ·  2 minute read

Part 2: The Value of Bid Enrichment
(read Part 1)

Bid-Decoration-2

 

Challenges for Publishers and Technology Partners

 
The adoption of multiple universal IDs creates challenges for publishers. Implementing numerous technologies on their websites can be daunting. However, the real obstacle lies in ensuring data is structured and transmitted correctly to demand partners. For instance, some DSPs may require significant code reworked to interpret specific IDs correctly, leading to potential complications in bid enrichment. Additionally, some SSPs only accept a limited number of IDs in the bid request, thereby creating the need to track which IDs can be transmitted to which SSPs.
 
An inaccurate bid enrichment can severely limit the value of impressions and the effectiveness of ad targeting. This missed opportunity is driven by a variety of factors. 
 
  1. Data is called from UID provider, but not filled. 
  2. Data is filled, but not sent to some or all demand partners
  3. Demand partner only accepts a limited number of IDs, so the order transmitted become important
  4. Data is sent in the incorrect format (each demand partner may read the included data object with different parameters, if any parameter is incorrect, the bid will NOT be decorated).
  5. Data is sent to SSP but not forwarded to DSP 
 
Ensuring that the maximum number of IDs and other signals are transmitted accurately to demand partners becomes a crucial undertaking for publishers and their technology partners.
 
Bid enrichment Overview

The Value of Bid Enrichment

The actual value of bid enrichment lies not only in transmitting additional user information but also in increasing data density by offering any information potential buyers might require. As such, maximizing the number of IDs and signals to cater to multiple demand partners is becoming increasingly vital for publishers and technology providers. The monetary value of bid enrichment varies significantly; a recent case study reported: “that by leveraging an ID, UK publishers can expect to increase average win CPM by up to 406%, increase bid density by up to 1091% and decrease the percentage of no bids by up to -17%.” However, our experience is much more modest. 

Publishers working with GrowthCode can manage an A/B test of impression, including or excluding bid enrichment using our Prebid modules for RTD and Analytics (links) We see publishers 7%~15% uplift in eCPMs for programmatic impressions. The variation is dependent on site traffic but more closely linked to tuning the bid enrichment process for each demand partner. 

Its worth mentioning that while other vendors are offering black-box bid decoration services in, they do so without transparency (link) and take 50% of all uplift they deliver. With GrowthCode’s publisher-friendly infrastructure model, publishers keep 100% of the uplift and simultaneously build their own first party ID asset that can be used for other monetization activities (Link) 

Conclusion

Bid enrichment in advertising technology has evolved significantly, with universal IDs and first-party data taking center stage. Publishers face the challenge of managing multiple IDs and ensuring their accurate transmission to demand partners. However, with careful implementation and attention to detail, bid enrichment can unlock new possibilities for publishers, maximizing the value of their impressions and offering a more tailored advertising experience to consumers. As the advertising landscape transforms, staying informed and adaptable will be key for publishers and technology partners to succeed in this ever-evolving domain.