Konduit Q3 Market Report – Video Start Rates: Trends and Takeaways

Konduit Video Start Rate

Everyday, publishers are challenged to maximize revenues while producing quality content and increasing audience.  Video monetization has increasingly become a key part of the publisher revenue story.  Ironically, a publisher’s most valuable asset, video views, can also be the most challenging to monetize effectively. There are several factors that contribute to this dichotomy:  

  • First, the path to successfully delivering a video ad is complicated.   There are many 3rd party services that are called during the successful delivery of a video ad; all of which must execute prior to the ad loading (and the publisher being paid).  
  • Second, discrepancies with 3rd party platforms can be significant.  Unlike display advertising, where the differences between the publisher and the adserver data is typically nominal, failure to start can lead to dramatic discrepancies that necessitate the use of aggregate level audit factors. In applying these blanket adjustments, creative specific issues and opportunities are often overlooked. 
  • Lastly, the domain expertise required to successfully maximize a publisher ad stack for video is often new territory for a revenue operations manager, and competes with the operations team for time and focus.

As a result, publisher revenue operations teams are forced to work with existing tools which are far too limited to provide the necessary insights to properly maximize revenue from their video stack.  

When we looked back at the Q3 activity across the Konduit platform, a number of interesting and impactful insights became clear.  We analyzed nearly 70,000 unique creatives across eleven video exchanges.  A large percentage of creatives never start, regardless of the amount of times they had an opportunity to serve.  In fact, over 20,000 creatives, or 28 percent of the creatives that we observed across the Konduit platform, never started!

In fact there is a very interesting distribution of creatives when looking at start rate at an individual creative level; as noted by the following chart:

As you can see from the above chart, while performance varies widely by creative, in many cases the creative is either a ‘good’ creative (one that always starts) or a ‘bad’ creative (one that never starts).  

Across exchanges, this performance varied widely.  The worst performing SSP saw 70% of their creatives never start, while the best performing SSP saw just 11% of their creatives never start.

Implications and Opportunities for Publishers

To date, publisher tools to date haven’t allowed for real time optimization at the creative level.  This creates headaches and revenue leakage.  Fortunately, with Konduit Accelerate, publishers are able to leverage Konduit’s optimization and predictive logic to prevent bad ads from serving!   In fact, when publisher’s use Konduit’s real time optimization; the amount of bad creatives with a zero percent start rate declined 28%.  Additionally, the number of creatives with a 100% start rate also improved by 9%. Most importantly, the overall start rate for Konduit publishers improved over 12%.  While these real time tools prevent low performing ads from running; these insights are shared with publishers so they can work directly with the SSPs to address poor performing creatives.   The combination of technology, insights, and expertise provides an unparalleled view into improving a publisher’s video revenue. 

About Konduit.me: Konduit provides easy-to-implement software solutions and analytics that improve video advertising performance across platforms. By reducing error rates and using real time decisioning at a creative level, Konduit improves fill rate and increases publisher revenue across all devices, including OTT.  to learn more about Konduit’s Prebid module, please contact us through our website or email our Chief Executive Officer David Jacobs at [email protected]

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