What is Ad Mediation and How Does It Work?

Ad mediation is the usage of revenue generation techniques and methods that aim to optimize fill rates and CPM for publishers. Ad mediation is basically a technique where publishers can customize which networks they want to call in a specific sequence. They are also grouped depending on the particular CPM ad network. The mediation platform will then seek advertisements from the ad network outlets in the particular order selected.

An ad mediation platform has the role of a mediator between the publisher (app developer) and ad networks. When it gets ad requests from your app, it passes it on to multiple ad networks. That makes them compete for the ad slot and the highest bidder wins. What’s interesting is that the whole process is automated and happens in milliseconds.

Mobile Ad Mediation Benefits

Manage Multiple Ad Networks in One Place

Most publishers work with multiple ad networks. It’s a nightmare to manage 10, 15, or more individual ad networks manually. Moreover, it’s near impossible to track the performance of each one. So not only wasting a lot of time and effort, but publishers also not maximizing your ad revenue.

That’s where ad mediation comes in. It allows publishers to access and control all their ad networks on one centralized platform. In addition, ad mediation platforms offer insight into important metrics as well as detailed reports. That makes the app monetization process so much easier and effective for developers and frees up publishers to do other things.

One SDK Necessary Only

If publishers want to work with multiple ad networks without an ad mediation platform, they will need to integrate SDKs for each individual one. Not only that, but they will also need to take care of updates for each SDK.

However, if collaborating with a mobile ad mediation platform, publishers need only one SDK. Besides, integration is usually very fast and simple. All of that is a huge advantage for app developers.

Control of App Monetization

Before ad mediation technology came about, selling and buying ad space was extremely disorganized and hard to keep track of. Furthermore, the prices were all over the place which was also far from ideal.

Now, with ad mediation, publishers can control how and to whom they sell their ad inventory. Even though the mediation process is usually automated, most platforms still allow them to customize the waterfall by manually giving priority to desired ad networks.

However, it’s important to add that some ad mediation platforms may be biased. If an ad mediation platform has its own ad networks, it might prioritize others that are not fully transparent. To find out which are the best ones, publishers need to take a test with their apps and games.

Higher eCPM Rate

Hands down, one of the biggest ad mediation benefits is higher eCPM rates. That is achieved because an ad mediation platform connects app developers with multiple ad networks. And when more than one demand source competes for publisher’s impressions, the rates go up.

The same cannot be achieved without ad mediation because there would be no competition between ad networks. 

Better Fill Rate

Fill rate is another important metric for app developers. It refers to the percentage of answered ad requests. In other words, the fill rate tells app developers how much of their ad inventory is sold. The goal for publishers is to improve the fill rate as much as possible.

However, publishers can’t have a high fill rate if they have access to only one ad network or a couple of them.

On the other hand, with ad mediation, the publisher’s fill rate improves which is a huge benefit. Depending on the ad mediation platform, they can get access to 10, or 20 ad networks. Sometimes even more. If one ad network can’t fulfill the ad request, mediation will move on to the next network until that ad slot is filled. That ensures the fill rate goes up and your inventory gets sold.

Maximum Ad Revenue

As eCPM rates get higher and the fill rate improves, publishers are able to maximize their earnings. So ultimately, ad mediation brings more ad revenue to the app developers. It is without a doubt its biggest benefit. What app developer doesn’t want that? Wouldn’t it be great to finally have a considerable monthly income coming from your app? That’s when all the hard work pays off.