Bid Rate is a Programmatic Auction measure that indicates the number of bids that occur in the Auction. The frequency cap and one’s bid price are commonly used to determine this. The advertiser will only pay for gained impressions.
Bid Rate Formula
(Number of impressions available / number of bids ) X 100 = Bid Rate %
For example, if there are 100,000 bids and 10,000 impressions available, the calculation would be as follows:
(10,000 / 100,000) × 100 = 10%
Increasing Your Bid Rate on the Buy Side
On the purchase side, there are three major techniques to raise your bid rate:
- the priority
- the pacing
- the price
Increasing one or more of these should have an immediate impact on your bid rate, and hence your win rate and delivery rate. Also, check for elements that can prevent bid rates from rising, such as Brand Safety, Pre Bidding solutions, and targeting. You may also use your DSP to perform a Bid Performance Report to identify underlying issues. If you want to study your long-term bid rate over time, bear in mind that most aggregated data is only retained on the platform for about 14 months, and hourly data rates are only preserved for up to 10 days. This performance report may reveal a lot about your win rate as well as your bid rate. Check to determine whether you’re seeing the type of activity you expected in different regions of your inventory. Is there anything to look into between the bid and win CPMs?
Increasing Your Sell Side Bid Rate
Setting up a Deal ID is one of the finest strategies to enhance a buyer’s bid rate. This should set aside funds for your inventory.
Another option is to reduce your floor price for that product or buyer. In the context of the Deal, this means decreasing the deal’s floor price. Examine where possible demand possibilities may have been missed, as well as which of your suppliers are aggressively bidding but not winning anything. If an advertiser’s bid rate is 90% but their win rate is just 10%, then price is most likely an issue that has to be addressed.
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