Why Publisher Need Own Ad Server

As an advertiser, there is no better way to purchase massive amounts of online display ad inventory than directly from publishers or ad networks. Granted, there is more legwork involved when compared to programmatic buying, and the CPM rates can be quite high — but this is offset by the ability to reserve large amounts of inventory.

When you’re buying media in bulk, the need for a proper ad server is very important in terms of controlling your ad operations. You could say that it’s a best practice to use your own ad server, especially if you run a consistent volume of ad campaigns.

How Ad Servers Work Together

To illustrate why you need your own ad server, it is important to first understand how ad servers work. In the below example, the advertiser’s ad server is managing its campaigns across four different publishers. This is accomplished by providing each publisher with their own unique “ad tag” script (generated by the advertiser’s ad server), which the publisher then inserts into its ad server associated with the corresponding website.

You might be asking yourself: “If the publisher has an ad server, why would I need my own?” Here are seven reasons.

1. Accountability

Tracking your own campaign statistics is probably the most important reason you should have your own ad server. When you’ve been around the online advertising space long enough, you come to realize that some degree of discrepancy is inevitable. Mid single-digits percentages are pretty normal, though it can vary wildly in different cases. With so many different ad tags being served by so many different ad servers in various locations around the world, it really shouldn’t be surprising that reporting will differ to some degree.

Without your own ad server, you have no independent stats against which to audit the results being reported by the publisher. The old adage “trust, but verify” holds true when it comes to buying online media. Having your own ad server allows you to keep publishers and ad networks accountable.

2. Creative Control

Giving a publisher or ad network your ad tags to run in their ad server gives you control over what ads are served to which users, and how. From a creative perspective (depending on the ad server you use), you can have more control over the format of your ads, such as running text ads, video ads or expandable ads.

Beyond control of the ad formats being run, using your own ad server affords you the ability to optimize delivery of your ads as well. Your ad server can give you the ability to split-test different ads and weight which will be shown accordingly.

3. Insights

Not using your own ad server means that you are at the mercy of the publisher’s when it comes to mining campaign insights. The fact that reporting transparency differs from publisher to publisher means that you will likely be left with an incomplete picture.

Using your own ad server provides you with the greatest possible transparency into the performance of your campaigns, giving you insights that otherwise would not be visible. Using your own ad server, you can look at placement stats, geographic stats, creative stats, and hourly stats, all on multiple levels, to determine what is and what isn’t working.

4. Centralized Management

Without your own ad server powering your direct buys, you will oftentimes have to rely on the publisher’s ad operations team to create and manage your campaigns. Multiply this by the number of publishers you work with, and you can imagine how the logistical complexity increases dramatically.

With your own ad server, you centralize management of your campaigns across all the publishers that you work with. You also aggregate all of your campaign statistics in a single database. The benefit of this approach is invaluable, which leads to the next reason to have your own ad server.

5. Data Ownership

One of the strongest arguments for using your own ad server, in my opinion, is that you own and control all of your campaign data. If you don’t have your own ad server and simply rely on publishers, you forfeit ownership and control over your own reporting. Trust me on this one: you don’t want to be beholden to a publisher or ad network for your historical campaign data.

6. Data Freshness

Publisher reporting practices vary. Some will report campaign results daily, weekly, even monthly. Oftentimes, this will come in the form of an email attachment. For some advertisers, this delay is acceptable; for performance-driven marketers optimizing toward an effective goal, such delays can mean costly, wasted ad spend.

In most cases, 3rd-party ad server reporting is close to real time. Having your own ad server allows you to see exactly how your campaigns are performing – up to the minute. This real-time reporting is essential to making timely and actionable decisions.

7. Data Privacy

If the goal of your campaigns is return on ad spend (ROAS), you will obviously want to be tracking revenue. However, you probably don’t want publishers knowing how much you profit on their ad inventory (for obvious reasons). Your own ad server gives you a discrete platform to confidentially track your campaign performance metrics.

The Caveat: Cost

Having the luxury of your own ad server typically isn’t free. There are some ad servers that offer free ad serving up to a certain number of impressions, but any serious media buyer will blow those limits away fairly quickly. The general cost of ad serving is anywhere from $0.01 to $0.10 CPM. You will also need to factor in content delivery network (CDN) costs, which are passed along to advertisers and range from $0.02 to $0.06 per gigabyte of transfer.

Checks & Balances

By not using your own ad server, you are pretty much flying blind and giving publishers all the power in the relationship. From a business perspective, it’s simply not prudent. This fact becomes especially important if you are doing any degree of high-volume media buying across multiple publishers.

Using your own ad server adds checks and balances to the process of media buying. It also adds a level of consistency for the media buyer, allowing all campaigns to be managed from a single point of control. While the publisher ultimately controls the flow of traffic, you can keep things on an even keel by leveraging a platform of your own to control and monitor the ad campaigns that get served — and ensure you are getting what you paid for.

Source: marketingland.com

How to investigate discrepancies – Third Party

Reporting discrepancies are common and expected when multiple systems are used to measure line item delivery. If you want to investigate a reporting discrepancy, use the resources below for assistance. It's best to investigate discrepancies while a line item is still running, since there are fewer troubleshooting steps available after a campaign has ended.

Third-party discrepancies

When an ad server delivers line items that are hosted by a third party, reporting discrepancies between the two systems will occur, and it is common to see campaign variances of up to 20%. Check the lists in "More about third-party discrepancies," below, to learn why discrepancies may occur and what you can do to prevent them.

Discrepancies may result from:

Latency: Lag between an initial line item request and the appearance of the creative can lead to differences in counts. For instance, a user will often navigate away after the browser receives the DFP line item request but before the third party responds with the requested line item, or a user may click on a link but navigate elsewhere before the landing page has loaded.

Network connection and server reliability: A third-party ad server may fail briefly or encounter an issue that prevents it from logging an impression.

Ad blockers: Ad blocking software can prevent the line item from being delivered by the third party after DFP has already counted an impression.

Low impression goals: A small numerical discrepancy can cause a high percentage discrepancy if the line item delivered few total impressions. For example, if you have a campaign delivering 100 impressions per day, a single-day discrepancy of 30 impressions will lead to a single-day discrepancy of 30% even though the actual number of missed impressions is low.

Tracking methodologies: DFP counts line items requests, but a third party may record an impression at a different time (e.g., when a tracking pixel is rendered).

Filtering: Ad servers have different methods for filtering impressions from spammers, bots, spiders, back-to-back clicks, link analyzers, and other automated or non-representative web traffic.

Things to check:

1. Are macros implemented properly?

2. If DFP recognizes the third-party ad server you are using, let it automatically insert the macros. If you are unsure of where to place macros, talk to your creative developer, advertiser, or third party for guidance.

3. %%CACHEBUSTER%% -- Make sure there's a random number properly inserted in each call.

4. %%CLICK_URL_ESC_ESC%% or %%CLICK_URL_UNESC%% -- Verify that the click macro is included in the correct portion of the click-through URL in your code.

5. %%VIEW_URL_ESC%% or %%VIEW_URL_UNESC%% -- For interstitial creatives, ensure that this macro is included in your creative's code.

6. As a best practice, we recommend using an unescaped (...UNESC) click macro when the creative hosted by another server is a standard image file such as a GIF or JPEG. You should use the double-escaped (...ESC_ESC) click macro for Flash creatives and certain third parties.

7. If you are using Google Publisher Tags (GPT), have you defined more ad tags in the webpage header than you display in the body section of your webpage? Ad tags that are defined in the header but not displayed in the body will be counted as impressions whenever the tag is loaded, but they won't make calls to third-party servers. That will lead to discrepancies. Make sure that all ad tags defined in the header are also displayed in the body of the webpage.

8. Are you comparing the same date range across the third party and publisher?

Do both DFP and the third party use the same time zone? Ad servers that report based on different time zones will return different results.

9. Are you comparing the same line items/ads?

10. Do you use the same third-party tags in any other line items in your network?

11. Did you confirm with the third party that the same tags have not been provided to any other publishers?

12. How large is the creative asset? Large creatives can have long load times and can cause differences in impression count timing.

13. Does the DFP report include unfilled impressions? Unfilled impressions will inflate DFP’s numbers by including instances where the third-party ad server was not called. 

14. Is the line item using geographic targeting on the third-party ad server? Different ad servers map IP address location data differently, leading to significant discrepancies.

Is the line item day- or time-parted on the third-party ad server? Day- or time-parting on the third-party ad server can lead to DFP counting impressions in situations where the third party does not return a line item.

15. Does the creative require calls to multiple third-party ad servers (also known as "daisy-chaining")? Each third-party ad server can lead to campaign variances of up to 20%. If one third-party server points to yet another third-party server, the expected discrepancy increases. (With 80% accuracy between each server, this results in a normal discrepancy of up to 36%, as shown in the following calculation: 1 - (1 - 0.2) × (1 - 0.2) = 0.36).

16. Does the third-party ad server use frequency capping? A third-party frequency cap will prevent an ad request from being filled despite the fact that DFP has counted an impression.

Source: Google support

What is a macro and why is it so important when trafficking third party creatives?

A macro is a short command or shorthand for an instruction to the DoubleClick ad server. Macros usually follow the format of %%MACRO_NAME%% (examples: %%CACHEBUSTER%% %%CLICK_URL_UNESC%%). The DoubleClick ad server executes macros when the ad is served or clicked. Macros are most commonly used when a publisher traffics third-party creative code, but macros can also be used in custom creatives.

Every third party has a different ad tag format and the macros are inserted in different spots in the tag depending on the third party. Every time you work with a new third party, you should get documentation from them on where the macros go in their ad tags when trafficked in DoubleClick for Publishers (DFP).

The two most common macros are click tracking macros and cache-busting macros. The click tracking macro ensures that DFP is counting clicks when a user clicks on the creative. The cache-busting macro ensures that a fresh call is made to the ad server every time the code is executed, so you’re accurately counting impressions. It’s very important to make sure that you always insert the macros properly; the third party should provide you with guidance and support.

Click-tracking macro

A click-tracking macro ensures that DFP is counting clicks when a user clicks on a creative that is hosted by an ad server other than DFP. There are two types of click-tracking macros:

• Unescaped click macro: %%CLICK_URL_UNESC%%
• Double-escaped click macro: %%CLICK_URL_ESC_ESC%%

%c will still work for creatives trafficked in DART, but we strongly recommend using the new syntax for all new creatives trafficked in the DFP upgrade.

As a best practice, we recommend using an unescaped click macro when the creative hosted by another server is a standard image file (GIF/JPG). You should use the double-escaped click macro for Flash (SWF) creatives and for certain third parties. You can preview the ad and right-click it to determine its file type. If you see a “Save Image As...” or “Save Picture As...” option appear in the right-click menu, the creative is a standard image. If you see an “About Adobe Flash Player...” option, the creative is a Flash creative.

A small number of third parties use double escaping (%%CLICK_URL_ESC_ESC%%). For certified third parties, we’ll auto-insert this double-escaped click macro; however, if you’re unsure whether you need a single- or double-escaped macro, you should reach out to the third party for confirmation.

Warning: If you don't put a click-tracking macro in the correct place in your third-party code, you will most likely not track clicks on the creative. Talk to your third-party creative provider to learn where to put the click macro.

Cache-busting macro

The cache-busting macro ensures that a fresh call is made to the ad server every time the code is executed, so you’re accurately counting impressions. Here is what the cache-busting macro looks like:

Cache-buster macro: %%CACHEBUSTER%%

If you don't add the cache-busting macro to the creative code, you’re more likely to see impression counting discrepancies between DoubleClick for Publishers and the third party ad server.

Source: Google Support

Why Do Publishers and Advertisers Have Separate Ad Servers?

At first glance it might seem confusing why Publishers and Advertisers both maintain their own Ad Servers. After all, what’s the point of forcing a browser to make so many trips across the internet, bouncing from Ad Server to Ad Server when technically all you need is a single Ad Server to deliver an ad?

The answer is mostly convenience, but also so Advertisers and Publishers can audit each other when it comes time to bill.

Ad Servers are convenient because they allow Publishers and Advertisers to centralize the nuts and bolts of getting an ad on a web page. If an Advertiser bought media across ten different sites for example, without an ad server every time they wanted to change their creative assets they would have to talk to ten different publishers. Not only that, but when it came time to report on how well their campaigns did, they would have to compile ten different data sources into a single report. For a sophisticated advertiser advertising multiple products to multiple audiences with multiple messages, this quickly becomes unmanageable and is distasteful from the start.

However, with an Ad Server, an Advertiser can update their creative in a single place, whenever they want, and do so without needing to contact a publisher. Moreover, they can pull reporting on-demand from one place that uses the same tracking methodology.

Publishers maintain an Ad Server for the same reasons – they have multiple clients running multiple creatives for varying amounts and with different targeting requirements. Publishers also want a single source for reporting, and where they can efficiently track that they are delivering on schedule so they can bill clients in full.

Lastly, separate Ad Servers allow both parties to maintain their own independent set of reports. This forces both parties to rely on the technology when it comes time to bill rather than each other’s honesty. Of course, using two Ad Servers that count at different times, even milliseconds apart creates the possibility for Ad Serving Discrepancies, the bane of Publishers and Advertisers alike.

Source: www.adopsinsider.com