Today’s column is written by Tom Manvydas, vice president of advertising strategy and solutions at Experian Marketing Services.
To improve the performance of their digital advertising campaigns, marketers can use yield-optimization practices, which are common in media supply sources.
Yield optimization employs a variable pricing strategy, based on understanding, anticipating and influencing consumer behavior in order to maximize revenue or profits from a fixed, perishable resource.
While this method has several benefits, there’s a big problem. The publishers – the outlets that provide the advertising space – and the marketers – who place the ads – both use yield optimization without considering the other party. I believe that in order to fully maximize this technology, marketers and publishers need to find middle ground.