Types of Deals in Programmatic Advertising

In programmatic advertising, deals are agreements between advertisers (buyers) and publishers (sellers) outlining how ad inventory will be transacted. These deals dictate access, pricing, and buying methods for inventory.

Here are the different types of programmatic deals:

1. Open Auction (RTB)
   A real-time auction where multiple buyers bid for the same ad space. The highest bidder wins the impression.

   • Access: Open to all buyers

   • Pricing: Dynamic (varies)

   • Inventory Guarantee: Non-Guaranteed

   • Buyer Control: Low

   • Use Case: Broad reach, cost efficiency

2. Private Auction (PMP)
   A private, invite-only auction where a select group of buyers bids for premium inventory.

   • Access: Invite-only

   • Pricing: Dynamic (varies)

   • Inventory Guarantee: Non-Guaranteed

   • Buyer Control: Medium

   • Use Case: Premium campaigns, quality inventory

3. Preferred Deals
   An agreement where buyers get access to premium inventory at a fixed price before it hits the auction.

   • Access: One-on-one negotiations

   • Pricing: Fixed CPM

   • Inventory Guarantee: Non-Guaranteed

   • Buyer Control: High

   • Use Case: Priority access without commitment

4. Programmatic Guaranteed
   Direct negotiations for guaranteed impressions with a fixed CPM.

   • Access: Exclusive agreements

   • Pricing: Fixed CPM

   • Inventory Guarantee: Guaranteed Impressions

   • Buyer Control: Very High

   • Use Case: High-value campaigns with guaranteed delivery

Hierarchy of Deal Preferences:

• Programmatic Guaranteed: Highest priority, guaranteed inventory.

• Preferred Deals: Exclusive access at fixed pricing.

• Private Marketplace: Select buyers bid on premium inventory.

• Open Auction: Remaining inventory auctioned to all buyers.