auction theory

What do toasters have in common with transparency and online advertising standards? Quite a lot, actually, says Ben Hovaness, chief media officer at OMD Worldwide. No, really.

As all online advertising exchanges – including Google – switch to a first-price auction format, marketers and publishers can trust they will be run fairly. The auction type ensures that the exchanges, acting as the auctioneers, have no incentive to cheat. “First-price auctions wipe out a lot of ways auctioneers would be tempted to bend […]

The switch to first-price auctions last year is causing programmatic buyers to pay more, according to research from media agency Hearts & Science. In one test, a first-price auction drove CPMs up by more than 50%. The Omnicom agency wants programmatic to create “clean” second-price auctions to remove the premium that buyers pay. It doesn’t […]