Interview Transcript

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Could you share the logic of having both under the same roof?

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Of course, and to be fair, from a number’s perspective, the general business model is you're usually one or the other except for the three largest players in the marketplace today. Google, Amazon, and Yahoo all have both an SSP and a DSP within their own offering. Tremor is somewhat mirroring some of their strategies. When you can do both successfully at scale and have somewhat of a Chinese wall between the two practices, there is a greater potential for both sides to partner, internally, with greater efficiency and efficacy.

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Slightly more than 50%. And if in my example, Coca-Cola works with Tremor, because Tremor is more efficient, the take rates are lower, how much, in your opinion, and of course, this is an estimation, will make it to ESPN?

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I don't think the math changes that much. The math changes in terms of the cost itself. From a percentage perspective, say I'm a publisher, and the expectation to suddenly see more of that $100, it's not going to budge dramatically. It will benefit me if I'm the client and I want access to that supply. Am I paying $20 for it, or am I paying $18 for it? That makes a bigger difference. At the end of the day, the publisher is still pricing out the inventory in the same way, regardless of how much the advertiser is paying for it. The publishers themselves are still probably getting the same amount of money. Maybe it goes up from 48% to 53% or 54%. The delta doesn't become that much, but a little 1% or 2% for the advertiser becomes a bigger deal for them. For the publisher, it's still a big deal, but as long as they're getting the expected price because they dictate the price no matter what, they’re setting the floors. So the publisher stays the same. The difference is whether or not the advertiser is overpaying for that supply.

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