Is Google Open Bidding better than Header Bidding？
Is Google Open Bidding better than Header Bidding？
If you have an app and haven’t yet tested Google Open Bidding, you’re missing out on a lot of ad revenue. In Dynamic Allocation, Open Bidding was previously called Exchange Bidder (EBDA).
Google OpenBidding is an ad exchange that allows publishers to add demand partners (ad networks) to a unified, server-to-server auction in order for them to begin bidding for impressions on their sites. Open Bidding includes comprehensive reporting and payment, and publishers who have Google Ad Manager (GAM) installed can begin using Open Bidding right away.
This post will help you distinguish Open Bidding from header bidding. Keep an eye out!
What exactly is Google Open Bidding?
Google’s latest alternative to header bidding is OpenBidding. It is a server-side unified auction available to publishers via GAM’s automated bidding platform. Publishers can use Open Bidding to invite demand/yield partners, such as ad networks and ad exchanges to bid in real-time for their ad inventory.
Publishers can choose to have their advertising displayed on Open Bids, allowing them to earn money from all of the ads displayed on the site. It enables publishers to integrate non-Google Demand Partners while also shortening page load times. Header bidding occurs in a user’s browser, whereas Open Bidding occurs on an ad server, making the total ad setup easier for the user’s device to load.
This signifies that the page loads faster, which results in higher Core Web Vitals scores. However, Open Bidding has a lower yield because cookie matching on this platform is ineffective when compared to header bidding.
Publishers can pick from multiple yield partners who bid on their content using Open Bidding. As a result, businesses should notice a higher ad-fill rate and eCPM than they would if they only used Google Ad Exchange.
Which Yield Partners Participate in Open Bidding?
The key yield partners are ad networks and ad exchanges that have a partnership with Google to participate as an open bidder. A contractual agreement is required for publishers that want to allow a yield partner to bid on their inventory. Google only provides a platform for publishers to run auctions on GAM; it does not support the contractual relationship between publishers and open bidders. Index exchange omnichannel demand can be accessed by publishers by enabling Index in Google AdMob and GAM.
How does Open Bidding function in Google Ad Manager?
Google Ad Manager enables publishers to manage their ad inventory across different platforms while also facilitating open bidding requests with demand partners.
Publishers can set up a GAM account and link it to their Adx account on Google. After linking their accounts, publishers can take bids from advertising.
Advertisers have the option of bidding on keywords, locations, devices, and time periods. Once a demand partner accepts a request, GAM divides them into yield groups that compete against one another.
The process begins when a user visits a website. A cookie is placed on their device when they visit the site. This cookie holds user information such as location, age, gender, interests, and other demographic information. This data is sent to GAM via the Google Publisher Tag and Google AdMob SDKs. GAM converts the data into bid requests and distributes them to demand partners.
How to Calculate the Best Yield
Google Ad Manager organizes unified auctions to ensure that publishers receive the maximum possible yield. The yield partner bids and an ad exchange bid dominate the unified auction. Other direct line items are added via dynamic allocation.
GAM works on numerous jobs at the same time to reach that goal:
- GAM selects the best line items to compete in unified auctions.
- The most relevant line item is then chosen to compete in the unified auction. Line items are instructions for how advertisements will be presented on websites, including which users and ad spots will be targeted. To optimize income, Ad Manager automatically selects the best line items to serve.
- The bid request is subsequently sent to targeted yield partners via Ad Manager. The targeted partner takes part in an auction in which the highest bidder wins the ad spot.
- When the dynamic allocation and unified auction are finished, GAM chooses the winning bid, and the server delivers the winning bid (ad creative) to the publisher.
Setting up Google Open Bidding and launching programmatic deals
Users of Google Ad Manager 360 can only access Open Bidding, prohibiting many publishers from taking advantage of it. You can gain access to Google Open Bidding by contacting us today, as we have been arranging Open Bidding, direct deals, and programmatic agreements for over a decade.
It operates as follows:
- Publishers and advertisers use synchronized data management systems (DMPs).
- Advertisers can preview and buy placements after learning about the publisher’s specialization, demand sources, and target audience.
- Each partner can propose a predetermined quantity of impressions for a predetermined fee.
- We send bid requests to the bidder once the bidder has authorized MonetizeMore’s requests. The bidder’s seller information is shared with the ads.txt lines that we later add to the publisher’s ads.txt file.
What exactly is the distinction between Google Open Bidding and Google AdSense?
GAM welcomes demand partners to participate in the Open Bidding process in order to boost yield. Buyers bid on ad space through Google AdSense based on the publisher’s desired audience. Open Bidding is only available to Ad Manager 360 users, but AdSense is available to all publishers.
When compared to AdSense, Open Bidding provides publishers with advantages such as greater eCPMs, more money, and unified auctions. SSPs, ad networks, and numerous exchanges are all part of unified auctions. Because various ad networks compete on a publisher’s inventory, utilizing Open Bidding over Google AdSense is a win-win situation for publishers.
Google AdSense vs. Open Bidding vs. Header Bidding
- Payment terms for Open Bidding and header bidding are flexible, however, Google AdSense is NET30.
- For Open Bidding and AdSense, auctions are hosted by Google Server. Auctions are hosted in the user’s browser for header bidding.
- The cookie matching rate for Open Bidding and AdSense is low, while it is greater for Header bidding.
- Publishers gain the most ad revenue via header bidding, followed by Open Bidding and AdSense.
- When opposed to Open Bidding, Header Bidding is more transparent.
- When you add more demand partners to the header bidding wrapper, you will need to add an extra JScript code to the header bidding wrapper. OpenBidding makes these adjustments in Google Ad Manager easier.
What exactly is the distinction between Google Open Bidding and Header Bidding?
Google’s response to Header Bidding Lite was Open Bidding, which improved site speed/page load speed.
Header bidding began with a client-side configuration in which auctions took place in the user’s browser. Because of the latency concerns, it can cause, a server-side setup was implemented. Because Google possessed this information before launching Open Bidding, it proceeded straight to server-side auction.
Despite the fact that server-side Open Bidding demand partners do not have access to the same cookie information as client-side header bidding demand partners. This is why media buyers bid less with Open Bidding due to a lack of targeting accuracy as compared to Header Bidding’s targeting accuracy.
Because ad auctions take place in the background in Open Bidding, there is minimal page loading latency. Typically, the ad requests a timeout when it exceeds 160 milliseconds. Furthermore, its simple and granular data allows publishers to identify revenue-generating streams and optimize demand partner partnerships.
OpenBidding’s simplicity will appeal to users with low technical knowledge, whereas header bidding requires extensive technical competence in web building.
Publishers can monitor incoming bid prices and offers using header bidding. With this level of openness, they can see how winning bids are chosen and confirm that the top bids are winning fairly.
Because it does not reveal how the unified auction works, Open Bidding is not very transparent. The report does show the demand partners that contribute to the publisher’s ad RPMs, but there is no further breakdown of the same.
When it comes to cookie matching, Header Bidding triumphs over Open Bidding. It uses cookie matching to achieve the best match rate, which results in higher eCPMs.
Open Bidding does a good job of mapping people across platforms, but it does not have access to all of the cookie data that header bidding does. In this situation, the eCPMs are slightly lower.
Google pays on a NET30 basis (AdSense and Open Bidding included), and payments are computed using GAM reporting.
Managing header bidder payments for specific demand partners is incredibly hard, and some ad tech firms take more than 60 days to pay out.
How are Open Bidding impressions paid to publishers?
Payments for Open Bidding impressions are made net of Google’s gross revenue share. The Ad Exchange agreement and the Open Bidding contract amendment define how publishers will be compensated.
Google will send the publisher an itemized bill that breaks down revenue from third-party exchanges and AdX separately. They can use GAM reporting’s yield group dimensions and metrics to further categorize revenue by yield group.
Should I use Open Bidding or Header Bidding?
In comparison to Open Bidding, Header Bidding is more difficult to implement. If you’re tired of dealing with latency, try Open Bidding.
This is why:
- Open Bidding is less difficult to set up than header bidding. Use your existing website or app tags, or use an SDK. Open Bidding in Ad Manager has also decreased a significant amount of the delay related to header bidding.
- GAM communicates directly with third-party demand partners in Open Bidding, whereas header bidding requires custom JScript code to enable communication, which may create latency.
- For qualifying inventory transacted in GAM, Open Bidding can be employed without further technological development.
Is Open Bidding Compatible With Header Bidding?
Yes! You may obtain the best of both worlds by merging these auctions, which run separately on the server and client sides. Because publishers use both client-side and server-side header bidding, this auction becomes Hybrid Header Bidding.
Publishers can increase ad revenue by maximizing auction efficiency and performance.
How are you going to make this work?
Google Ad Manager returns the top bid from unified auctions, while the best bid from the header bidding auction is provided as a price priority line item.
Both of these offers are analyzed, and once GAM has chosen the highest bid, the ad creative is delivered to the publisher.
Because the two auctions operate independently, establishing and monitoring this configuration can be difficult, but it is far superior to the old waterfall method.
If you already have ties with several demand sources, you might approach them and inquire about Open Bidding.
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