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What Is Prebid And How it Works

What Is Prebid And How it Works

If you’re part of the online advertising industry, you’re undoubtedly aware of the impact header bidding had on it. This advanced programmatic technique enabled publishers to reduce latency, increase ad yield, diversify demand, and cut down on passbacks. Prebid is the main open-source header bidding wrapper used by most major publishers today. It forms the core of our Nucleus ad platform, helping maximize revenue and performance for all of our publishers.

 

Header bidding burst on the digital scene about 2015. It was a brand-new technology that dramatically changed the way digital advertising worked, allowing publishers to offer their ad inventory to many different partners at once through a simultaneous auction.

 

Instead of working with one or two partners, a publisher could now integrate with many more — skyrocketing potential ad revenue! But this increase in partners also led to increases in complexity. Every partner required custom code and getting all that code working in harmony was a real challenge.

Prebid offers publishers a rich library of effective adapters they can use to connect to thousands of demand partners to bid on their available ad inventory. When you combine this functionality with the customizability of its open-source software, you get the perfect header bidding solution publishers can adapt to their specific needs. That is why Prebid.js is the leading header bidding wrapper on the web currently.

 

How does this process work? Through a prebid wrapper!

 

The ad tag on that page will make a request to an ad server whenever a user accesses a website without a prebid wrapper on it. However, if your page's header has a JavaScript wrapper, your ad request will be delayed while competing DSPs compete in real-time bidding. The entire pre bid auction is carried out in a few simple steps:


- Once a user enters a website and an impression becomes available, the Prebid.js library starts fetching bids and creatives from ad exchanges and SSPs.

- Prebid.js forwards these ads and bids to the ad server.

- The ad server uses parameters like ad type, floor price, and ad format to evaluate these bids within the time limit set by the publisher.

- After evaluating all the bids, the ad server sends the winning bid’s details (if there is one) to the Prebid.js library to display the winning ad.

 

Closure

Pre Bidding is the most reliable way to boost your ad revenue while ensuring high fill rates. So if you’re aiming for long-term success and are prepared to invest some money, changing from programmatic to pre bidding is the way to go. Please contact us if you have any questions about Pre Bidding.

 

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