This post was most recently updated on September 6th, 2021
There could be many reasons behind the use of Unified Pricing Rules (UPR). Some publishers use it to exclude cheap paying ads which are usually causing redirects or popups on the site, or to simply push the bids up. Setting up a target CPM or floor CPM sends a message to advertisers on how valuable your inventory is – but there is a downside to it, when not properly done.
UPRs could make or break your overall monetization strategy. It takes careful planning and execution to ensure that you maximize the benefits. If you are only running Ad Exchange and nothing else, to monetize your ad inventory, assess whether it’s right for you or not.
UPRs are not prioritized, and their order is not important. The pricing rule that’s chosen in a given ad request is solely based on targeting.
The bidder pays the second-highest price in a second-price auction. In this case, the floor price may increase the closing price of the auction.
In a first-price auction, buyers pay what they bid, so the floor price is of no use in closing the gap between the highest bid and the second bid.
Google has now transitioned to first-price auction.
Running Ad Exchange alone doesn’t mean you can’t implement UPRs. Although this setup is a lot more fragile compared to having multiple demand sources in competition, it might be worth testing it out – with extreme caution.
Start conservatively and slowly (e.g. 1 to 2 ad units, 1 to 2 countries initially), then monitor the impact on overall performance.
Don’t let your impressions go to waste. Set up a passback or House line item to minimize unfilled impressions. Remember not to use Google demand as House though as it’s considered a policy violation. You can opt to use a 100% fill third-party Ad Network or use your own image creative and link to other sections of the site to increase pageviews.
Partner with MonetizeMore if you’d like to explore competing multiple demand sources to increase your ad revenues.
Learn more advanced ad optimization strategies at PubGuru University.
Kean Graham is the CEO and founder of MonetizeMore & a pioneer in the Adtech Industry. He is the resident expert in Ad Optimization, covering areas like Adsense Optimization,GAM Management, and third-party ad network partnerships. Kean believes in the supremacy of direct publisher deals and holistic optimization as keys to effective and consistent ad revenue increases.
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