Media Owners 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
| The media owner and buyer agree to a discount (%) for each deal (anywhere between 1%-99.9%). |
| The media owner sets the discount in the Index UI by specifying a value in the Post-Auction Discount field. For more information on creating deals, see Creating and managing deals. |
 | 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. |
 | 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 Index passes the |
 | The Index fee is allocated from the post-discounted price. |
Note: Post-Auction Discounts is not supported for sellers with an Open 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 |
Media owner revenue | $8.50 | $7.65 |
Note: DSPs with discounted deals will see differences in bid price and paid price in reporting.
