Introduction: Why is ad yield management important?
Lesson Overview + Resources:
In this lesson, we'll walk through why ad yield management is important.
- Learn the primary goals and outcomes of ad yield management, why Pageview RPM is considered a key performance indicator (KPI) in reference to ad yield, and how to calculate this metric.
Here are additional resources pertaining to this lesson:
Read the Transcript:
Let’s talk about why the practice of yield operations is so important for your ad revenue.
The primary goal of the team is to optimize pieces of the ad tech stack, and the interplay of demand sources to maximize total ad revenue.
Ad yield management is, simply stated, the process of making small optimizations to your ad monetization setup in order to maximize revenue.
Page view RPM (or revenue per thousand impressions) is the gold standard metric for ad revenue for publishers. And, it is the primary metric on which yield operations teams will measure their success.
To get this amount, you’ll take your total ad revenue over a given period of time, divide it by your number of page views over the same time period, then multiply by 1,000 to get an effective page view RPM.
This metric helps to remove any effects of increases in page views from your calculation to help you truly understand how your ad setup is working or improving, separate from other factors.
First, we're going to walk through why ad yield management is important, cover some of the goals and outcomes the team is responsible for, and what KPIs they generally measure.
Then we'll jump into yield operations duties. We'll talk through some of the header bidding settings that the team is responsible for managing. We'll talk through price flooring, ad unit placements and settings, add quality and blocking, and supply path optimization.
And lastly, we'll talk about how yield operations teams typically structure their workflow from strategy and hypothesis building to testing, and all the way through continuous monitoring and management.