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DSPs continue to give Google shock
With two new DSPs removing the Google Open Bidding Supply, the struggle is becoming real. Yahoo and Amobee will choose a suit from The Trade Desk. They were the first to bid on Google Bidding. They detached Google’s service in the month of February.
To get a closer look at the Google Bidding system, we need to understand what it does to advertisers. Many believe that Google getting lashed out from DSPs will affect the browser. However, this is not the case.
DSPs are choosing to remove Google Open Bidding due to various reasons. It is not only the extra 5% fee for the bidding. It is also Google serving impression which has become more and more hostile. There is continuous scrutiny from European regulators. The main thing to note here is that it is basically run on money.
DSPs aim to reduce the inefficiency in the platform. However, the reduction in profitability is also one of the main issues with it. The same applies to Amobee.
To get a better idea, take a look at Jounce Media. They recently reported that 13% of all programs initiated from Google Ads and DV360. Open bidding also plays a part in the same. This generally leads to the duplication of bids. It is due to the type of the influence.
The real question is, what happens to those duplicate bids? We all are aware that it leads to the higher cost of advertisement for all the others. Chris Kane also clearly discussed the problem, “And if you are deduplicating, removing Open Bidding is by far the easiest and most natural first choice.”
Three DSPs removing Google Open Bidding made the picture clear. Tech industries are trying to reduce their dependencies on Google. The programmatic ecosystem is ever-growing. It removes the most prominent player in the ad market; Google Ads. They are ever functioning and offer the main source for all businesses. This is specifically for advertisers trying to widen the reach of the product.
With DSP diversifying the supply, things are going to change. There will be an increase in the visibility of ads. We can say that there are better days ahead for advertisers. It may all seem a little off-track for now, but there is an increasing need for the same. More expansion will give them a wider net to fish customers. The growth rate will be more profitable.
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