Negotiating discounts on deals

Publishers and buyers can use Post-Auction Discounts to negotiate discounts on deals without an impact to win rate. Both buyers and sellers may benefit from negotiating bulk spend discounts into their programmatic deals in the following ways:

  • Buyers use them to get more value out of their dollar.
  • Sellers use them to capture ad spend from large buyers.

How it works

Step 1

The publisher and buyer agree to a discount (%) for each deal (anywhere between 1%-99.9%).

Step 2

The publisher sets this discount in the IX app by switching the Discount toggle ON and entering a value in the Discount (%) field. To learn more, see Create a new deal.
Step 3 When a DSP submits a bid in an auction, it will compete as if the discount was not present. If the bid wins, the discount on the deal is processed after the auction is complete.
Step 4 When populating the win notification macro—${AUCTION_PRICE}— to the DSP, Index Exchange applies the discount to the paid price. For more information on how IX passes the disc field in the deals.ext object of a bid request, see the List of Supported OpenRTB bid request fields.
Step 5 The IX fee is allocated from the post-discounted price.

Note: Post-Auction Discounts is not supported for sellers with an exchange bidding or server-to-server integration.

Example

Review the table below to see examples of impressions competing in an auction with and without Post-Auction Discounts applied.

  Without Post-Auction Discounts impression 1 With Post-Auction Discounts impression 2

DSP bid price

$10.00

$10.00

Exchange fee %

15%

15%
Bid competes at $8.50 $8.50
Discount % n/a 10%
DSP pays $10.00 $9.00
Exchange fee $1.50 $1.35
Publisher Revenue $8.50 $7.65

Note: DSPs with discounted deals will see differences in bid price and paid price in reporting.