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How Pricing Controls Can Prevent Revenue Leakage in the Era of COVID-19

Posted by Ashley J. Swartz on May 19, 2020 1:00:00 PM

I’d like to begin with a bold statement. If you haven’t redone your rate card across your entire portfolio of linear, spot-sold inventory during this lockdown period, you’re missing revenue opportunities.

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Topics: Yield Optimization, Inventory Management

How PROPHET Uses Data Science to Drive Portfolio Optimization

Posted by Ashley J. Swartz on May 5, 2020 1:00:00 PM

In a recent post, I described how every media seller should be focused on maximizing yield (i.e., the total revenue available from their pool of inventory), which represents an evolved way of doing business. Managing overall yield calls for continuously assessing the relative contribution of each ad product category to total revenue and rebalancing available inventory allocation to ensure that the greatest total revenue is achieved.  

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Topics: Yield Optimization

3 Tenets of Portfolio Optimization Every TV Seller Should Know

Posted by Ashley J. Swartz on Apr 21, 2020 1:00:00 PM

Similar to investors, sellers of TV advertising should be actively managing their individual “assets” (i.e., their ad products) to ensure they’re optimizing the value of their portfolio, as described in a previous blog post. This calls for continuously assessing the relative contribution of each ad product category to total revenue and rebalancing available inventory allocation to ensure that clients are well-served and the greatest total revenue is achieved.

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Topics: Yield Optimization, TV Advertising

Why Packaging Should Be Treated as a Yield Process, Not a Sales Function

Posted by JT White on Apr 14, 2020 1:00:00 PM

As a seller, you presumably have collections of content that you bundle together based on audience, event type, and other variables (e.g., programming related to birds or cars). Then, you offer those bundles to clients for a “package rate.” That rate is usually either discounted to entice clients to buy at volume, or it’s limited inventory that you can charge a premium for based on availability (think NFL games).

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Topics: Yield Optimization

5 Takeaways to Help TV Sellers Navigate Changing Macro Conditions

Posted by Ashley J. Swartz on Mar 17, 2020 1:00:00 PM

Changing audience behaviors and the infusion of data on both sides of the value chain are forcing programmers and distributors to evolve from pure content creators and infrastructure owners into technology companies, like it or not.

These companies are making tech investments that would have been unheard of a decade ago. Take NBCUniversal, which is betting big on its own streaming service instead of letting Netflix own the audience for beloved shows like “Friends” and “The Office” indefinitely. Or Dish and Sling, which launched their own vMVPDs to distribute live and on-demand linear TV over the internet.

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Topics: Yield Optimization, TV Advertising, Addressable TV, TV 101

Breaking Down What Truly Drives Yield

Posted by Ehud Trainin, PhD on Aug 13, 2019 1:00:00 PM

image credit: one photo/shutterstock.com

Now that we’ve established that maximizing yield is crucial for video advertising businesses, let’s break down what actually impacts yield—and what solutions exist to help media sellers maximize it. Yield has two levers: price and inventory allocation. Media yield management—and ultimately successful improvement in yield—requires a strong foundation in two key areas: forecasting and optimization.

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Topics: Yield Optimization, Addressable TV

7 Rules for Superior Video Yield

Posted by Ehud Trainin, PhD on Aug 6, 2019 1:00:00 PM

image credit: G-Stock Studio/shutterstock.com

The data is in: time spent with video each day is flattening—which means overall consumption is flattening as well. Tighter numbers mean now is the time to pay special attention to yield, making the most of revenue per spot. Since every media company is unique—with its own programming, ad inventory, and data—the business logic that predicts and determines the right pricing must be unique as well.

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Topics: Yield Optimization, Addressable TV

Building the TV Rate Card of the Future: Part 2

Posted by Ashley J. Swartz on Jul 30, 2019 1:00:00 PM

image credit: chainarong06/shutterstock.com

Change your sales processes (i.e., don’t hamper your rate card changes before you’ve begun)!

Last week, we talked in detail about building a TV rate card of the future, built on data-driven decision-making to result in more optimal pricing. But, as we advised, making improvements to your pricing logic will mean nothing if you don’t hold people to the integrity of your rate card.

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Topics: Yield Optimization, TV Advertising, Addressable TV

Building the TV Rate Card of the Future: Part 1

Posted by Ashley J. Swartz on Jul 23, 2019 1:00:00 PM

image credit: chainarong06/shutterstock.com

There are two levers you can pull to affect TV media yield: price and inventory allocation. Here, we’re going to focus on price. When working with clients who sell linear television on a spot basis, the most significant form of revenue leakage that we see is due to price variability—which itself is a symptom of pricing inefficiency. In other words, fixing your pricing optimization is the most meaningful, fastest way to make a significant impact to yield. And yes, if we’re talking about pricing efficiency, we’re going to be talking about TV rate cards.

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Topics: Yield Optimization, TV Advertising, Addressable TV

Video: Legacy TV Sales Systems Need Immediate Progress, Not Disruption

Posted by JT White on May 21, 2019 1:00:00 PM

 

 

Replacing legacy systems that were built to power linear television advertising sales isn’t the answer to cope with today’s increasingly complicated selling landscape. It’s complementing those systems with an enterprise offering that frees up manpower, according to Furious Corp. Chief Product Officer JT White.

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Topics: Yield Optimization, TV Advertising, Addressable TV