Today’s large premium publishers spend a lot of time closing small deals that only provide a minimal amount of revenue. How much time? We recently did a study that showed 50% of a typical publisher’s deals accounting for only 10% of its revenue.
Clearly, publishers could have a much larger margin if there was a more efficient and cost-effective way to do these smaller deals. And imagine the effect on the delivery and customer support on larger deals if publishers could redeploy most of that 50% of their operational cost back to the deals that make up 90% of their revenue.
The problem is actually even worse. Publishers give up millions of dollars in high-CPM, incremental revenue because they often turn down small to mid-sized buyers. They simply don’t have enough resources or time to close deals with all the buyers who want their inventory. At the same time, buyers are tired of spending time and wasting money trying to make deals through an endless stream of back-and-forth emails with publishers.
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