Home Publishers Rue Du Commerce Lets Direct And Programmatic Compete

Rue Du Commerce Lets Direct And Programmatic Compete

SHARE:

Direct-and-programmaticIf publishers allow programmatic to compete with direct-sold impressions within their ad server, they needn’t bother with header bidding.

French ecommerce site Rue du Commerce saw a sizable boost in yield when it did just that. It belongs to a family of ecommerce sites, Régie E-Commerce (REC), which together attract 14 million uniques a month. The sites monetize the majority of their impressions via direct deals, with a 70-30 split between direct and programmatic.

In order to improve the yield it gets from programmatic, it implemented a feature called holistic yield management in its ad server, Smart Ad Server’s SmartRTB+, that allows programmatic impressions to compete with direct-sold ones. Smart Ad Server scores a direct-sold campaign based on the likelihood that it will deliver. That score will determine if the programmatic impression can beat the direct-sold one.

Instead of waterfalling from one vendor to another, the RTB+ feature establishes server-side connections with the main DSPs, allowing them to quickly flow in bids. Publishers control the levers of RTB+, deciding which inventory and which partners they want to give the first look.

To test the impact of holistic yield management, Régie E-Commerce enabled and disabled the RTB+ feature on its Rue du Commerce site over a period of four days last November to test the lift. It used another three of its sites as a control for the market conditions.

Revenue increased 133% with holistic yield management enabled. CPMs rose 5%. Programmatic buyers bid more often, and they also won more impressions. Auctions went up 149%, and impressions increased 129%. And direct campaigns continued to fulfill on time, according to the audited study.

Buoyed by the results, REC is expanding its use of RTB+ to its other ecommerce sites, including Darty, Conforama, Auchan and Top Achat. The primary reason for the switch is greater ROI and better RTB revenues, according to REC Director Jacques Hemmendinger.

Smart AdServer’s US general manager, Romain Job, sees holistic yield management not only as a tool to boost yield, but a way to reduce the ad tech tax.

“Publishers need to be able to put pressure on their partners in order to reduce the margin of their intermediaries,” Job said. “It would benefit both the demand side and publishers to a have a more transparent, truly programmatic implementation.”

One example of that in practice: RTB+ brings in demand from DSPs making its tech similar to an SSP. But unlike an SSP, Smart AdServer doesn’t have a sales force setting up private marketplaces and funneling demand to its publishers. Instead, Job said publishers that create private marketplaces can own the relationships themselves.

Smart AdServer plans to add server-side connections to SSPs soon, since publishers like REC work with them. Job expects two to three SSP integrations completed by August. Currently, REC puts Rubicon and Google Ad Exchange into Smart AdServer waterfall-style, after the RTB+ auction.

“I always thought the final goal of programmatic was a more direct connection from supply and demand, more transparency, more control and higher margin for the publisher,” Job said.

Must Read

Meta’s NewFronts Message To Advertisers: Embrace The Noise

Can a good sales presentation offset the impact of a very bad news week? That’s a question for Meta, which collected two guilty verdicts in court this week for failing to protect children and creating additive products.

AI Helps Manscaped Trim Social Chatter Down To The Bare Essentials

Meet Clamor, a new social listening product that pulls cultural insights from online conversations in real time. Clamor helped Manscaped freshen up its marketing, including for this year’s Super Bowl.

A man talking to a robot

How Red Roof Is Bringing In More Customers With Zeta’s Voice-Activated AI Agent

Hotel chain Red Roof is using Zeta’s new voice-activated AI agent to guide its campaign creation, deployment timing and audience development.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters
Jean-Paul Schmetz, Chief of Ads, Brave

Why Ad-Blocking Browser Brave Introduced Its Own Ads

Brave’s chief of ads Jean-Paul Schmetz on competition in the search and browser markets, the fallout from the Google Search antitrust ruling and whether AI search will help smaller upstarts compete with Big Tech.

Vizio Helps Walmart Cut A Bigger Slice Of The CTV Ad Pie

Walmart and Vizio announced at NewFronts that unified account logins are coming to smart TVs using Vizio’s operating system.

Comic: CTV Tracking

Carl’s Jr. And Hardee’s Marketing Goes Regional With Amazon Ads’ Streaming Media

The age-old question for streaming TV advertisers is, how to target the viewers they want while reaching the scale their businesses need. The quick-serve restaurant operator CKE, which owns Carl’s Jr. and Hardee’s, sought an answer in a case study with Attain and Amazon Ads.