Facebook is expanding its support for header bidding, a technology that allows publishers to auction off ad impressions through real-time bidding between ad networks.
The company announced its support for header bidding on the mobile web last year. Today, it’s adding something similar for in-app advertising.
That means app publishers who use header bidding can include ads from Facebook’s Audience Network in their auctions. To enable this, Facebook is partnering with Fyber, MAX and Twitter’s MoPub.
Here’s how Facebook’s Vijay Balan laid out the benefits of the new approach:
Currently, ad networks are called one-by-one until an app ad is filled, determined by historical average CPMs rather than which buyer is willing to pay the most. This method often overlooks a network willing to pay more for an impression because it is lower in the chain.
App bidding enables app publishers and developers to establish an impartial and open auction over their ad inventory. All advertising networks are called simultaneously and the highest bidder for the placement wins, thereby providing publishers with opportunities to earn more. Publishers can maximize their access to high value advertisers, fueling the creation of sustainable ad businesses that help ensure people continue to enjoy access to high quality free content.
Balan said Facebook has already been testing this with publishers who have their own ad-serving technology, including Rovio, Talefun and GameInsight. Those early tests have seen revenue gains of up to 20 percent.
Let’s block ads! (Why?)