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Facebook Introduces Bidding for In-App Advertising

07/06/2018
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Facebook has introduced the availability of Audience Network to bid into auctions for in-app advertising.

Now, publishers will be able to include Facebook Audience Network inventory in their in-app header bidding auctions.

Through a partnership with the selected group of partners- MoPub, Fyber and MAX, Facebook has tested the function and is ready to roll it out to marketers this week.

“We have been testing Facebook’s app bidding solution since last year and feel optimistic about the changes this will bring to the industry. We believe this is the right technology to create an open and transparent marketplace and are excited to see others moving in this direction.” Jarkko Rajamäki, Vice President, Advertising, Rovio Entertainment

In the testing phase, the publishers have seen promising revenue uplifts of up to 20%.

Header bidding lets publishers or developers set ad impressions up for auction through real-time bidding between ad networks.

“We believe the principles behind mobile web header bidding can improve the efficiency of app monetization. The app ecosystem is plagued by many of the same inefficiencies and lack of transparency, resulting in lost revenue for the app publisher, ad dollars that may generate a suboptimal return for the advertiser, and potentially a less relevant ad experience for people.”- said Vijay Balan, Facebook Audience Network head of publisher solutions partnerships

Facebook also incorporated a “Code of Conduct” for its in-app bidding strategies, declaring-

“Our strategy in-app is the same as in web; we want to support and work with any publisher or programmatic platform that can meet bidding best practices outlined in our code of conduct.”

Basic principles include in Code of conduct:
  • Principled Auction – Clear, unalterable, fair, and highest price
  • Access – All app bidding ad networks are called on every ad opportunity in the auction at the same time
  • Transparency – Auction logic is transparent and verifiable

According to the company, Industry-wide adoption of the idea has led to substantial increases in CPMs as much as 30 to 40% for many publishers.

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