An audience member at Tuesday’s Programmatic Insider Summit in Scottsdale, AZ, told the private exchange panel that he has been told from some “open market exchange people” to look into private marketplaces because his company isn’t winning enough bids on the open exchanges.
How common is this, the ad buyer wondered, and is it a legitimate suggestion?
Brian Brownie, director of advertising operations at eBay, noted that a common misconception is that supply is limited in private marketplaces; that if an ad-buyer is worried about entering a private marketplace because it will limit their scope, that isn’t necessarily true. (Obviously, it depends on which private marketplaces are joined.)
“The supply is not necessarily limited by the fact that the priority has now changed,” said Brownie. “[On the open exchange], there are 10,000 buyers, and everybody is level,” he exclaimed. “Then you step into the private world, and you have 100 buyers. The inventory is the same — it just means they get to go in through the velvet rope.”