Sovrn Eliminates Take Rate with Bundled Offering

Results show a greater than 60% increase in bid win rate when Ad Management and Ad Exchange used together

Sovrn, a publisher technology platform that helps content creators remain independent and thrive on the open web, today announced that all customers using its Ad Management and Exchange products bundled together will have the advantage of the industry’s first zero take rate. Beginning on April 3, publishers using Ad Management and Exchange products bundled together will simply pay a usage-based fee.

According to a recent study by ISBA, only 65 percent of advertiser dollars make it back to the end publisher. Sovrn has created a direct path between a publisher and the more than 55 demand-side partners on the Sovrn Exchange. This immediately increases the revenue for its Ad Management customers. A direct zero take-rate path between publisher and demand ensures a more competitive auction by requiring other bidders, including Google’s AdX, to increase their prices in order to remain competitive.

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“Most SSPs charge a 10 to 20 percent revenue share for connecting publishers like Salon to DSPs,” said Justin Wohl, Salon’s Chief Revenue Officer. “In bundling its Ad Management service with its Exchange, Sovrn is directly increasing revenue for publishers, improving profitability that can be pumped back into operating and growing our digital media businesses.”

Starting in December 2022, Sovrn tested the savings and revenue impact of a bundled Ad Management and Ad Exchange solution with 20 publishers. The test revealed that marketers allocated more spend to the publisher via the more efficient direct-to-publisher Sovrn Exchange path.

Sovrn’s Ad Management product includes complete ad operations software plus a highly skilled, dedicated team of programmatic advertising specialists to help publishers do more with less. The software runs a unified page-level auction, offering individual auctions for each ad placement on the page. This improves advertising yield by utilizing bid responses more efficiently, thus requiring fewer bid responses and a more direct path.

Sovrn’s Ad Exchange delivers advertising revenue to publishers using private marketplaces and enhanced CPMs through the open market. Connections to the biggest and best advertising demand gives publishers access to a wide variety of buyers, from The Trade Desk to niche ad agencies.

“We are working to eliminate the ‘adtech tax’ so that more of the marketer’s dollar finds its way into the publisher’s pocket.” said Walter Knapp, Sovrn CEO.

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