Thought Leadership

The Benefits of Estimated Market Rate

December 16, 2019
By Rubicon Project

Adam Henry, VP Business Analysis at Rubicon Project, explains why Rubicon Project continues to develop EMR, and how EMR can benefit both buyers and publishers.

VIDEO TRANSCRIPT:

What is Estimated Market Rate (EMR)?

EMR stands for Estimated Market Rate. So, what EMR is doing is it’s predicting, or estimating, the fair market price for a piece of inventory based on several characteristics of the inventory, and the bid landscape, both on our exchange and downstream.

What are the benefits of EMR for buyers?

The original vision for EMR was to help buyers without vast resources, or a data science team, to transition to this new, first-price world.

But here we are, a year and a half later, and we have over half of our buyers opted-in to EMR. And we have buyers of all types, and all sizes. They all see the value. It allows them to bid more confidently. They’ll know that they won’t be overpaying for inventory. They’ll be paying what is a fair market value for the inventory that they want, and it really helps them make more efficient use of their budgets.

How does EMR create a more liquid marketplace for buyers and publishers?

So, EMR 2.0 really brings more buyers to the table for an individual piece of inventory. You might have had buyers who were unprepared to bid in a first-price environment, and that’s what EMR is helping them do. These buyers are more confident that they’re going to be paying a fair market price.

So, more buyers, more bids, leads to higher bid density, which leads, ultimately, to more predictable streams of demand for publishers.

To learn more about EMR, email us: contact@rubiconproject.com


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