What is ad mediation?
Ad mediation platforms help app publishers manage multiple ad networks on one centralized platform, which streamlines reporting and optimization. Without it, publishers need to manage each ad network through their individual SDKs and platforms.
Ad mediation platforms help publishers sell more inventory and increase fill rates by making each ad network bid against each other. The publishers accept the highest bid, reaching optimal fill rates, and effectively increasing eCPMs.
Why Mobile Ad Network Mediation Matters for App Monetization
As mobile advertising becomes increasingly competitive, it is no longer sufficient for app publishers to rely on a single ad network for the maximum amount of revenue generated from their applications. This is where the mediation of Multiple Mobile Ad Networks is essential; by integrating all ads into one central location, a publisher has access to significantly greater demand from various sources, rather than depending on any one ad network. Furthermore, the publishing industry’s performance across all regions, and different user segments will be much more stable, less prone to fluctuations.
A publisher without Mediation of Multiple Mobile Ad Networks typically experiences many challenges, including Fair Fill Rates, eCPMs that vary widely from month to month, and the expense associated with managing hundreds, if not thousands, of SDKs across different Ad Networks. Mobile Ad Network Mediation solves all these problems by providing a way for all Mobile Ad Networks to compete against each other for each individual impression, thus filling a publisher’s inventory at the highest possible price on every impression.
Another important benefit of Mediation of Multiple Mobile Ad Networks is the increased transparency into the performance of each Mobile Ad Network, including latency and revenue generated from various ad formats (Banner, Interstitial, Rewarded, Native, etc.). All of this data allows for quicker optimization of Monetization Strategies and better, faster decisions can be made based on the data available in real-time.
How does ad mediation work?
Ad mediation platforms help advertisers maximize revenue by selling ad space in two primary ways: waterfall bidding and in-app header bidding.
When Should Publishers Use Header Bidding Over Waterfall Mediation?
Although waterfall bidding remains in use in some contexts, the vast majority of today’s publishers are moving to in-app header bidding as part of their mobile advertising network mediation stack. By allowing for real-time auctions of each ad impression and eliminating the drawbacks associated with multiple sequential calls to ad networks, header bidding optimizes the way that publishers sell their ad inventory.
For applications that have large amounts of traffic and/or a large international audience, the speed and yield associated with header bidding are significantly better than those achieved with waterfall bidding, and header bidding allows for fair competition between all ad networks. Nonetheless, waterfall bidding is still a viable option when it comes to selling remnant inventory, as well as when working with ad networks that do not yet support real-time bidding. Many of today’s mediation platforms provide a hybrid option to give publishers as much flexibility as possible, depending on their inventory type and demand maturity.
How does in-app header bidding work?
In-app header bidding uses programmatic technology to have multiple advertisers bid in real-time for a certain ad space, where the highest bidder wins. The highest bidder then pays one cent above the 2nd highest bidder. This allows publishers to sell their inventory at the highest price possible and for advertisers to pay a competitive rate.
How does waterfall bidding work?
The older method is waterfall bidding, which is often used for publishers who need to sell remnant inventory quickly. Let’s break it down into 5 steps:
The mobile app calls the ad mediation platform via the SDK, indicating that a session started and will be requesting an ad.
The platform identifies which ad network is eligible to show the ad then organizes a sequence of ad networks.
The ad mediation platform compares each ad network and chooses the networks with the highest expected performance. Alternatively, ad networks can provide preference to specific ad networks and be locked in to a spot regardless of expected performance.
The mediation platform asks the top ad network to fill the ad request. If they don’t fill the request, it’s passed on to the 2nd ad network. This continues until the ad space is filled.
The SDK displays the winning ad on your mobile app.
Common Challenges in Mobile Ad Network Mediation
Ad mediation has several advantages, but it also presents some challenges. SDK growth, latency, and complex reporting can affect the performance of an app if they are not monitored correctly. To avoid these problems, you must choose a mediation platform with appropriate SDK optimization techniques, a trustworthy infrastructure, and a comprehensive reporting tool. In addition to selecting a good mediation platform, Publishers need to monitor network performance regularly, change their bid floors, and test their configurations to continue to get the best results from mediation. Setting up mobile ad network mediation properly is not just a one-time setup; it will always need to be optimized over time.
The top 4 mobile ad mediation platforms
There are many ad mediation platforms that offer a wide range of bidding options, reporting features, and integrations. The four most popular ad mediation platforms today are AdMob by Google, ironSource, MoPub, and Max.
How do you choose the right platform for you?
With so many platforms to choose from, how do you make a decision? Use these guiding questions to find the right ad mediation platform for you:
Which ad network is supported? Make sure the ad networks that you’re currently advertising on and the ad networks you want to use in the future are integrated with the platform.
How is the user experience? One of the greatest benefits of these platforms is to streamline campaign management. Ensure the reports are easily accessible and the workflow saves you time.
Is the server reliable? You don’t want to work with a platform with significant downtimes. The less reliable they are, the more money you’ll lose.
What additional campaign optimization capabilities do they offer? Ask for ways the platform can help you improve campaign performance. Do they provide audience segmentation and campaign testing capabilities? How is their customer support and data safety protocols?
FAQs
1. What is mobile ad network mediation and why is it important?
Mobile ad network mediation allows app publishers to manage multiple ad networks through a single platform, instead of integrating and optimizing each network separately. It’s important because it improves fill rates, increases competition for ad inventory, and helps maximize overall ad revenue without adding operational complexity.
2. How does ad mediation increase eCPMs for publishers?
Ad mediation increases eCPMs by allowing multiple ad networks to compete for the same ad impression. Whether through waterfall bidding or in-app header bidding, mobile ad network mediation ensures that the highest-paying ad network wins, leading to better pricing and improved monetization efficiency.
3. What is the difference between waterfall bidding and in-app header bidding?
Waterfall bidding follows a fixed sequence where ad networks are called one after another until an ad is filled, often used for remnant inventory. In-app header bidding, on the other hand, enables real-time bidding where multiple networks bid simultaneously. Most modern mobile ad network mediation platforms now prefer header bidding due to its transparency and higher revenue potential.
4. Do advertisers benefit from mobile ad network mediation?
Yes. Advertisers benefit because mobile ad network mediation provides fair access to premium inventory and ensures competitive pricing. With real-time bidding models like in-app header bidding, advertisers pay market-driven prices while reaching high-quality users more efficiently.
5. How do I choose the right mobile ad network mediation platform for my app?
To choose the right platform, evaluate supported ad networks, reporting transparency, server reliability, and optimization features. A strong mobile ad network mediation platform should simplify workflows, support scalable monetization, and offer robust analytics and customer support.