Since Google launched Google AdX, publishers have been wondering what exactly is the difference between AdX and Google AdSense. This article will explore both tools to help you decide which one is better for your company.

Google AdX Overview

Google AdX is an ad exchange. This programmatic advertising platform offers real-time bidding (RTB) on ad inventory to demand-side platforms (DSPs), agencies, and ad networks, including AdSense.

What This Means for Publishers

Publishers can sell their ad inventory to advertisers, agencies, and ad networks through RTB (real-time bidding) software, allowing publishers to sell ad space to many potential buyers from a central platform.

An ad exchange provides publishers with access to a larger pool of advertisers, helping them obtain maximum profit for their ad space. In addition, because the ad prices are determined in a real-time auction, the ad exchange optimizes the ad allocation.

The Benefits of Using an Ad Exchange:

• Automate ad inventory monetization.
• Access a larger pool of advertisers.
• Maximize the yield by setting minimum CPMs for ad units.
• Block inappropriate or irrelevant ads.
• Decide the ad placement in the webpage.

What it means for advertisers

Ad exchanges offer advertisers access to more ad spaces and websites, increasing the variety of inventory choices. It also gives buyers more control over where their ads will run. Because the ad allocation process happens in real-time, advertisers can reach their target audience instantly.

Some benefits of using an ad exchange for advertisers:

• Automates the media buying process
• Gives control over the bidding process, including profiling, price settings, to targeting options.
• You can re-target their ads on multiple ad exchanges.
• Enables ad frequency customization.
• If you need it, you can blacklist an audience or website.

How to join Google AdX

The easiest way to join Google AdX is to ask you Google for an Account Manager. Google will assign an account manager to any publisher that uses the Google Ad Manager. If you are eligible, then your Account Manager will offer you to join Google AdX.

How do you know if you are eligible for Google AdX?

While Google doesn’t make their eligibility criteria, we can deduct some basic conditions to join the exchange:

• Your content should be brand-safe. This includes avoiding:
  • Health, medical or drug-related information
  • Racial or religious content
  • Adult content
  • Political or weapons-related content
  • Tobacco or alcohol sales.
• 5 million pageviews a month
• Your ads.txt file needs to be up to date with details of the inventory buyers.

If your site has one of the following criteria, you won’t be accepted: 

• Your content is non-supported language. There are several languages Google doesn’t monetize, for example:
  • Estonian
  • Greek
  • Hebrew
  • Romanian
  • Serbian
  • Latvian
  • Croatian
  • Lithuanian
• Your site alters its behavior without the users’ consent. Examples may include redirections or automatic downloads.

Why is so hard to gain access?

The reason the entry barriers are so high is that Google considers AdX as a premium ad exchange. Most of the campaigns running in Google AdX are priced according to the cost per mille (CPM). Google curates the ads are served on premium quality websites online.

How does it work?

Google Ad Exchange connects buyers and sellers of ad inventory. The platform is based on programmatic advertising technology. Therefore, the media buying happens in real-time. According to the target audience, the system offers bids based on the criteria set by advertisers. The ad exchange will then conduct a real-time auction for the ad inventory.

Google AdSense Overview

AdSense was originally an internal product when it was launched back in 2003. Its goal was to display content-based advertisements on partners’ sites. Today, Google AdSense is available to every website owner with a Google Account that meets the criteria. Unlike AdX, AdSense is an ad network.

How does it work?

Google AdSense matches ads to your site based on your content and target audience. The ads are paid for by advertisers who want to promote the products. All this process happens automatically.

Publishers make their ad spaces available by pasting the ad code in their website and choosing where they want the ads to appear. Advertisers bid for the ad space in a real-time auction, and the highest paying ads show on the website. Google AdSense then bills the advertisers and pays publishers for the ads on their sites.

Learn more about how to monetize your website with Google AdSense. 

How to join Google AdSense

To join Google AdSense you need first to have a website that meets the criteria. Here are some of the requirements:

• The website owner needs to be at least 18 years old.
• Your content needs to be unique and comply with Google policies: no adult, violent or inappropriate content.

Benefits for publishers

Some benefits of using Google AdSense for publishers: 

• Multiple ad formats
• Access to a large pool of advertisers.

Benefits for advertisers

• Can customize the criteria for their advertising.
• Access to publishers that cater to your target audience.

Adx vs AdSense Comparison

What’s the payment model of Google AdX and AdSense?

You may want to know how they pay and who pays more?

Google AdX pays once the threshold balance is reached, at the end of the month. On the other hand, Google AdSense initiates the payment process that takes 21 days to complete. Once the 21 days are over, the publisher gets the payment within 5 to 7 days.

It is hard to compare which one generates more revenue as it depends on too many factors. According to one study, AdX gets slightly ahead of AdSense.

However, if you want to get the maximum possible revenue, there are other alternatives, such as CodeFuel, which maximizes the yield for publishers.

Which is better for you?

Choosing the best alternative between AdSense and AdX will largely depend on your company’s size and what you want to achieve. But let’s summarize the differences between both platforms.

AdX enables multiple advertisers bid for the ad inventory in real-time. The platform is dynamic and geared to preferred deals. AdX is best for: Large publishers with a lot of traffic and the capability of managing ad placement and monetization.

AdSense is an ad network of small and medium publishers. Multiple ad formats are targeted to your site’s content and audience. AdSense is best for: publishers with a medium traffic, small to medium business size, without much technical knowledge.

An alternative to AdX and AdSense

CodeFuel, a complete monetization platform, offers better returns than both AdX and AdSense and a comprehensive approach for monetizing your digital properties. The platform delivers highly targeted contextual ads. The CodeFuel platform works with AdSense and other ad networks, so you have broader options.

A Brief History of Google AdX and AdSense

Google AdX started in 1996 as DoubleClick, an independent brand which offers ad serving. In 2008, Google acquired Double Click, expanding the platform into DoubleClick for Publisher (DFP) and DoubleClick Ad Exchange.

AdSense was released by Google in 2003, as a free service available to publishers. It allows them to display ads on their websites and it is easy to use for small and medium-size publishers. It became extremely popular among publishers since the entry barriers are lower than for AdX.

FAQs

Why CodeFuel Is a Better Alternative?

CodeFuel enables publishers to connect to high paying premium advertisers without steep entrance barriers. It is best suited for publishers with a medium to large traffic and provides contextual ads tailored to your target audience interests and needs. The seamless integration of the ads with the content enhances the user experience and effectively increases conversions. Start monetizing your digital processes with CodeFuel.

Viewability is one of the key aspects when assessing the value of digital advertising. While a few years ago, publishers could earn revenue simply by placing ads on their site without considering if the ad got any views. Today, with digital advertising, advertisers value viewable impressions. Publishers should understand how the costs of impressions are measured.

Wondering how to use vCPM to your advantage? Don’t worry. Here at CodeFuel, we’ve got you covered. This guide will explain how vCPM works and improve your revenue.

vCPM Definition

vCPM refers to the cost of a thousand viewable impressions. That means how many people see the ads on the web page.

What Exactly is Viewability?

The Interactive Advertising Bureau (IAB) uses the following criteria to define a view:

• The percentage of the ad visible on the user screen should be at least 50% and be displayed at least for one second.
• For large ads above  242,5 pixels, the percentage of the ad visible should be at least 30% for one second. 
• Users should at least see more than 50% of video ads for longer than one second.

For an ad to be considered “viewed” — and therefore, measured into the 1000 views, it should meet those conditions.

What You Should Know about vCPM

When an advertiser wants to bid on vCPM, they need to know the percentage of the ad visible and the number of viewable impressions, which will determine the actual vCPM. Any portion of the ad not visible on-screen (i.e., outside the screen) gets deducted from the total.

Ads Above the Fold

“Above the fold” refers to the section of your site that appears first to the users when they visit any page. For instance, the header, text, images, video, and ads appear before the user scroll down.

When you place an ad above the fold, more people will see the ad since 100% of the ad appears. However, the average ad viewability is only 68% because of the bounce rates.

Source

Ads Below the Fold

When you place an ad below the fold, the ad viewability is reduced to 40%. Therefore, it is better to place it directly below the fold and figure out what position is best for you. You can use heatmaps to determine which ad placement works better with your website users.

What Are the Benefits of vCPM?

Advertisers look at viewability as a KPI that helps them assess the value of the impressions inventory. These days, advertisers demand 100% viewability, which is not feasible because a percentage of users will bounce.

vCPM provides cost savings for advertisers because they don’t have a non-viewable percentage like CPM.

For publishers, adding vCPM to your programmatic strategy can be an advantage since advertisers bid more on viewable impressions.

Moreover, because Google only pays for viewable ads, it is increasingly important for publishers to improve their vCPM to maximize their revenue.

vCPM vs. CPM

CPM

CPM stands for “cost per mille,” or the cost per a thousand impressions. In this case, advertisers should pay for every thousand served impressions, regardless of whether the ad is viewed or not.

The calculation formula for CPM is as follows:

CPM = Total Campaign Spend X 1000

---

Number of Impressions

CPM doesn’t account for viewability which is an advantage for publishers. A publisher with 20% viewability and others with 80% viewability gets the same payment.

vCPM considers the ads that are visible to the user. Therefore vCPM increases when the ad viewability decreases. When a publisher has 20% viewability, an advertiser needs to buy five times more impressions. But if the publisher’s viewability is over 50%, advertisers can buy one impression.

Learn more about pricing models here.

How To Calculate vCPM

VCPM stands for the cost per thousand viewable impressions. Advertisers pay based on 1000 viewable impressions on the ad placed, not only the ads served. Therefore, advertisers will only pay for active and visible ads on the user’s screen. As such, the viewability determines the actual cost of the campaign.

The formula for calculating VCPM is as follows:

vCPM = Total Spend  / 1000

---

 (Total impressions * % in-view)

Let’s explain it better with an example:

Let’s say we review our campaign data and find the following variables: 

• Budget: $100,000 as part of the total company’s advertising budget.
• CPM: $1.20 per click
• Total impressions: $ 20,000,000
• Viewable impressions: $10,000,000
• Maximum vCPM bid: $4.00
• Ad viewability: 68%

When we apply our formula: 

 (100,000) / (20,000,000 * 68%)  /1000 = $7.35

This result means each viewable CPM is $7.35.  

VCPM and Percent-in-View

Ad viewability is not the only factor to consider. For example, a buyer with a budget of $1000 can:

1. Buy 100,000 impressions with 25% viewability
2. Buy 30,000 impressions with 50% viewability.

The choice is clear when you calculate vCPM for both options.

For option A, vCPM is $40, and the B option is $66.6.  So for the advertiser, the second option will be more expensive.

What does it mean for publishers? For publishers, increasing the viewability can improve your bids in open marketplaces.

What Is a High vCPM?

A good viewability rate is above 68%, which is the industry standard. However, consider that the lower the viewability, the higher the vCPM. A high vCPM can deter advertisers or encourage them depending on your viewability rate.

An advertiser can be more likely to bid on impressions with low vCPM and high viewability.

How Can You Improve Your vCPM?

vCPM depends on ad viewability metrics. Here are some tips for publishers to improve viewability and increase the vCPM.

1. Experiment with different ad placements to improve your ad performance.
2. Compare the different placements’ data and use heatmaps to understand which positions work better. 
3. Avoid cluttering your webpage with too many ads since it will disrupt the user experience.
4. Try different ad formats. For instance, Google reports that vertical ads perform better than horizontal ads.

What’s Next?

Instead of seeing viewability as another metric, consider it your potential edge to compete with other publishers. By applying the tips we mention in this article, you can attract premium advertisers. Even better, you can leverage CodeFuel, a monetization platform that will increase your revenue as a publisher while keeping advertisers happy. Try CodeFuel today.

Website owners are busy improving their monetization strategies to adapt to a cookie-less market. While growing your customer base and producing high-quality content is necessary, choosing the right ad server is critical to maximizing your campaigns. An effective ad server streamlines campaign management. Publishers can track the ads’ performance on their sites so you can quickly demand changes and scale their digital marketing strategy.

We did the work for you and selected the top 5 ad servers. In this guide, we’ll explore each one as well as alternatives worth considering. Let’s start.

Short in Time? These Are Our Top 5 Ad Servers

What Types of Ad Servers Are There?

Ad Servers can generally be split into four categories according to two criteria:

• Hosted. An outside company hosts these. Their update is automatic and requires no maintenance on the publisher’s side.
• Self-hosted. The publishers do the maintenance. While they offer more control, the publisher is responsible for installing, maintaining, and updating the software.
• Third-party. Advertisers use these to track ad campaigns and collect audience data.
• First party. These are mainly used to serve ads and manage ad placement targeted to their audience.

As a publisher, ‌choose the best type of online advertising software based on your business goals and your company’s needs. For instance, if your business is growing, you should look for a solution that gives you the scalability you need.

What Is an Ad Server?

An ad serving platform is a type of advertising software that manages, selects, and serves ads on a website or app according to pre-defined criteria. Publishers and ad networks use ad servers to simplify ad management. 

Ad servers also generate reports from campaign metrics, such as the number of impressions and click-through rate. This helps publishers track advertising performance and target their audience effectively.

How Does an Ad Server Work?

Each ad-serving platform has its features. However, core functions are common to all solutions: The process starts when a user opens a web browser and goes to a website or a mobile app. The browser sends an ad request with specific criteria to the ad server, including the ad size, location, placement, and type of device. 

The ad server selects which ads can be right according to that criterion and the bidding, which then are displayed on the website or mobile app. The server also tracks the impressions and click-through rate, storing this data on the publisher’s ad server.

Benefits of Using Ad Servers for Publishers

Ad servers benefit advertisers but also help publishers gain more revenue and sell ad space more efficiently. Here are some of its benefits for publishers 

Ad servers can help publishers increase their revenue

Since ad servers are part of the programmatic advertising cycle, they allow multiple buyers to bid on an ad inventory in real time. This competition results in higher bids, increasing the publisher payouts. 

Ad servers help publishers manage and optimize their ad campaigns

Publishers use ad servers to help their inventory offer reach larger pools of advertisers. An ad server simplifies managing ad space, particularly for multiple websites or digital properties. 

An ad server provides a central interface to manage the ad placements. You also save time by leveraging automation. 

Ad servers help publishers achieve more accurate targeting. Ad servers offer a range of functionalities in the digital advertising ecosystem, and one of the main ones is delivering targeted ads. An ad server displays ads based on different targeting criteria and ensures the ads reach the most relevant users. 

Targeted advertising saves brands time, money, and effort by allowing them to send the right ad to the right customer. Accurate targeting helps brands understand customer needs and meet their expectations, thus increasing customer engagement and conversions.

6 Best Ad Servers For Publishers

There is a wide range of ad serving platforms

1. EPOM

Epom Ad Server is a complete ad management platform for the cross-channel advertising business. It offers extensive customization, multiple ad formats, auto-optimization algorithms, and a supply-side platform (SSP).

Key Benefits

• A white-label solution, easily customizable.
• Full of useful features, including targeting, analytics, campaign management, and optimization.
• Built-in cross-channel formats
• It can sell remnant inventory

Good for: Publishers and networks that need a customizable ad-serving platform.

Pros 

• Real-time campaign data
• Scalable and stable
• You can delegate work via the roles and permissions feature.

Cons

• The user interface has functionality but is not user-friendly.
• There are few analytic templates.
• It doesn’t have a ticket system.

2. Kevel

Kevel suite integrates a suite of APIs that facilitates publishers to build their ad servers. It delivers full control over its ad server. Supports multiple ad types and ani-ad blockers.

Key Benefits: 

• Its server-side serving means a fast serving of ads and monetization.
• The JSON API enables you to turn organic content into an ad.
• Access to a first-party data management platform.
• Granular reporting.

Good for: Companies that want to sell their ad inventory directly and not via programmatic.

Pros

• Easy to use interface
• Well documented API
• Frequent product updates

Cons

• The user interface is slow to load.
• The object hierarchy and terminology are complex and confusing.
• Reporting lacks features.

3. AdGlare

AdGlare is a self-service ad server. It has a pay-as-you-go pricing model depending on the number of ad requests in a month. The AdGlare platform supports different types of ads, such as banner displays, in-stream video ads, and rich media ads.

Key Benefits:

• It has a well-designed dashboard so users can track and manage the campaigns.
• It has targeting features such as geo-targeting and browser targeting
• It can be integrated with Content Management systems

Good for: Mid-market publishers looking to manage and directly sell ads.

Pros 

• Simple UI/UX
• Fast to launch campaigns
• Client dashboards
• Multiple ad types
• Good support

Cons

• You cannot sell your remnant inventory with other networks.
• You cannot customize the software.
• It has basic features, and the website inventory is somewhat limited.

4. Smart

Smart is a platform that offers a high level of control to publishers. They can run programmatic and direct campaigns across multiple digital formats and screens. The platform offers a unified auction functionality that helps.

Key Benefits: 

• Provides granular reporting, helping optimize the campaign performance.
• You can deliver custom ad experiences.
• Serves as an SSP
• Generates analytics in real-time, helping with forecasting
• Has advanced targeting options

Good for: Premium and large publishers with sizeable traffic.

Pros 

• Easy to use with an intuitive user interface
• It offers a free trial
• Works across multiple device types. 

Cons

• Lacks in-depth traffic stats
• The updates are too frequent
• The price is a bit on the higher side.

5. Google Ad Manager

Previously known as Double Click, Google Ad Manager is a complete ad serving platform providing flexibility to sell direct and remnant inventory. It serves ads immediately, and it is easy to use.

Key Benefits:

• Integrates with Google Adsense and Double Click Ad Exchange.
• You can monetize remnant impressions to maximize yield.
• Includes malware detection capabilities.
• It is free to use up to a specific limit.

Good for: The ad server comes in two versions: one for small businesses and a premium server. The basic tier is free and doesn’t have traffic requirements with an AdSense account. The premium tier is for sites with a minimum 90 million traffic requirement.

Pros 

• You can manage all your ads in one place.
• There are different attribution models on the platform.
• The data analysis is clear and useful.

Cons

• It lacks independent verification of metrics
• It has a learning curve
• The margins are not transparent

6. App Nexus (now Xandr)

Now rebranded as Xandr, AppNexus offers an online auction infrastructure with a built-in marketplace, Demand-side (DDP) and Supply-Side-Platform (SSP), and an ad server. The platform simplifies running a unified auction for all buyers so you can maximize your yield. Xandr also comes with analytic functionality so you can get historical data reports, yield forecasts, and inventory availability.

Key Benefits: 

• Supports multiple types of ads, including display, native, and video across different screen sizes.
• It comes with DSP and SSP.
• The dynamic allocation feature enables the demand to compete against direct deals.

Good for: Large publishers with sizeable traffic and impressions volume.

Pros 

• Exclusive supply deals
• Integration with internal platforms
• Custom audience segments
• Header bidding

Cons

• The platform seems dated
• Extremely complex to learn and use
• Poor support
• Higher CPM

The Best Ad Server Alternative

Now that we have gone over the best ad server platforms, we can explore some alternatives. You don’t ‌‌need to use an ad server and can generate revenue outside Google. Unlike most ad serving platforms, you can combine several ad networks and maximize your revenue.

CodeFuel

CodeFuel is a holistic solution for publishers, integrating ad management, search, and news monetization. The platform leverages AI and machine learning to provide highly targeted contextual ads that enhance the user experience.

With CodeFuel, you can monetize any digital property, website, application, and extension. The features include site and app monetization, search mediation, and news feed.

Pros

• Flexible, offering monetization options across several platforms and verticals
• All in one solution for all monetization needs.
• Integrates with several ad networks, including Bing, Yahoo, and premium Google AdSense programs

Cons

• Not suitable for small publishers.

Learn more about other alternatives here.

How to Choose the Best Ad Server?

Now that we have gone over the top ad servers and alternatives, here are some features you should look for when choosing an ad server.

1. It should be easy to deploy and use. 
2. Able to manage multichannel campaigns.
3. Integration with Google Ad Manager can help include remnant ad inventory.
4. Extensive analytics across campaigns.
5. Comprehensive targeting.
6. Support for multiple ad formats. 

Most ad servers cater to both advertisers and publishers. Therefore, it is best to choose a solution designed specifically for publishers, such as CodeFuel.

What Types of Ad Servers Are There?

Ad Servers can generally be divided into four different categories according to two criteria:

• Hosted. An outside company hosts these. Their update is automatic and requires no maintenance on the publisher’s side.
• Self-hosted. The publishers do the maintenance. While they offer more control, it also means the publisher is responsible for installing, maintaining, and updating the software.
• Third-party. Advertisers use these to track ad campaigns and collect audience data.
• First party. These are mainly used to serve ads and manage ad placement targeted to their audience.

As a publisher, ‌you should choose the type of online advertising software based on your business goals and your company’s needs. For instance, if your business is at a stage where it is growing, you should look for a solution that gives you the scalability you need.

Why Do You Need an Ad Server?

As a publisher, you need to be on top of the state of the content on your website. It should be unique, high quality, and tailored to your audience. A high-quality website that attracts high-paying advertisers enhances conversions, ultimately creating an impact on the bottom line.

However, even the best content and site design won’t suffice without proper ad management. If you want your ad inventory to attract good advertisers, you need to track performance. This is where ad servers come in.

Technologies such as real-time bidding simplify the bidding process for advertisers, but you still need to track the metrics and optimize the user experience. An ad server gives you a central interface to refresh ads, set frequency, and generate reports according to metrics.

How Does an Ad Server Work?

Each ad serving platform has its own set of features. However, core functions are common to all solutions: The process starts when a user opens a web browser and visits a website or opens a mobile app. Next, the browser sends an ad request with specific criteria to the ad server, including the size of the ad, the location, placement, and type of device.

The ad server selects suitable ads based on that criterion and the bidding; these ads are then displayed on the website or mobile app. The ad server also tracks the impressions and click-through rate, storing this data on the publisher’s ad server.

Ad Server vs. Ad Network

It’s not uncommon to confuse an ad server for an ad network and visa versa. However, these are two very different solutions.

An ad network is a software solution or service that connects advertisers to publishers. Ad networks collect the ad inventory from publishers and make it available to advertisers. 

An ad server is a technology that displays advertisements on publishers’ websites. The software “serves ads” on the websites.

First-Party vs. Third-Party Ad Servers

You may have heard of different types of ad servers, among them first and third-party servers. What are they, and which one should you choose for your strategy?

First-party ad servers are for publishers.

A first-party server places the ads in front of users on websites and applications. The ad code and tools live in a self-hosted ad server. 

Types of ad servers

There are different types of first-party ad servers, including

• Open source,
• Video,
• Mobile,
• Display,
• Native,
• Rich Media.

How do first-party ad servers work?

These publisher-side ad servers sit between the publisher’s website or application and the programmatic back-end tech. The ad server sends the ad requests to the programmatic bidding platform when the user visits the site or opens the app.

The programmatic advertising platform performs the real-time auction and sends the winning bid to the ad server. Then, the ad server serves the ad into the ad space on the publisher’s website or application.

As complex as this seems, it only takes a fraction of a second while the page loads or the application opens.

Third-party ad servers are for buyers and agencies.

Advertisers and agencies use third-party ad servers to manage and upload their campaigns. A first-party ad server connects with the third-party ad server to pull the winning ad creative after the programmatic auction.

Third-party ad servers, also called advertiser-side servers, include campaign management features, analytics, and reporting.

How do third-party ad servers work? 

The first-party server sends the ad request to the third-party server according to the ad tag and the contextual data surrounding the user. On its side, the third-party server uses this information to choose the best ad that meets the campaign requirements.

Both servers work together to complete the digital advertising cycle.

FAQs about Ad Servers for Publishers

What Is a Publisher Ad Server?

First-party ad servers enable publishers to manage the ad inventory on their websites by displaying ads sold to advertisers.

How Much Does an Ad Server Cost?

Many options are available on the market, and each has a different pricing scheme. Some, like Google Ad Manager, are free until a certain number of impressions. Others have a subscription model, and some others a pay-as-you-go.

How Do Ad Requests Work?

A user opens a website or app. The code added in the website requests ads from the ad server according to set criteria. The ad server responds by serving suitable ads based on that criteria.

Can You Set up an Ad Server From Scratch?

An ad server is more than serving the ad; returning a web file when called. An ad server also has management and targeting capabilities, analytics and forecasting, and tag management. You must hire a product manager even if you build one from scratch.

How Can I Increase My Ad Request?

Here are some tips:

• Experiment with different ad networks.
• Choose the right ad server for your needs.
• Try different ad formats.
• Invest in attracting more traffic to your website.
• Make your site mobile-friendly. 

How CodeFuel Can Help Publishers

At CodeFuel, we help publishers maximize their monetization yield by enhancing the user experience. Our solution suite leverages search, shopping ads, and newsfeeds to deliver highly targeted ads that improve the user experience and conversions. CodeFuel then presents a complete alternative to an ad server. Try CodeFuel today. Sign up.

As the digital advertising industry keeps growing, the myriad of agencies, companies, and publishers are forced to abide by some regulations and standards to be able to work together. The standard that regulates ads in the advertising industry is called the IAB standard. Keep reading to learn what are IAB standards, and how can publishers can benefit from them.

What does IAB Mean?

The Interactive Advertising Bureau (IAB) is a regulating body for the ad tech industry that sets standards and guidelines for the industry. The IAB was founded in 1996 as a non-profit. Its operations include developing industry standards, conducting research, and providing legal support for the digital advertising industry.

The IAB Global Network consists of 42 international organizations worldwide, with 27 national IABs only across Europe, covering over 500 companies. The organization produces many valuable resources like the IAB Annual Report 2021 study,

What are IAB standards?

IAB standards are a guide, a set of best practices, geared to guide publishers and advertisers to follow a common set of technical specifications. These standards are set with the goal of maintaining ad measurements consistency, protecting consumer privacy, and reducing ad fraud.

IAB standards according to their areas of focus 

The Typical Standard IAB Sizes

There are three standard sizes:

• Leaderboard (728×90).

It is a rectangular digital ad, also called a horizontal banner ad. It is one of the most popular ad units. Below is an example from Forbes.

 

• Medium Rectangle (300×250).

This size is commonly used by websites that monetize with display ads. Here is an example from CNN’s website.

This medium sized ad is one of the most used since 2017, back when Google allowed publishers to place 300×250 units above the fold.

Source

When the ad is placed above the fold it has more viewability.

• Skyscraper (160 x600).

These are vertical ads often displayed on the side of the screen.

Source

These ad units are not only the most popular but also often the most profitable as they are consistently in high demand from advertisers. But these aren’t the only ad sizes recognized by the IAB, among them are also the billboard ad (970×250), the smartphone banners (in two sizes, 300×50 and 320×50), and the portrait size ads (300×600).

As a publisher, you should experiment with using a mix of different ad sizes to see which ones yeild better returns.

IAB New Ad Portfolio

The IAB Tech Lab developed new guidelines for a New Ad Portfolio. These standards are geared to improve the ad experience on multiple platforms, such as mobile, websites, and social media. Moreover, these guidelines take into account new technologies such as virtual reality and augmented reality ads.

Another consideration of the new ad portfolio is the new privacy regulations and fraud protection, such as the phasing out of third-party cookies. Some of the New IAB Ad Portfolio guidelines include:

• Advertisements shouldn’t be disruptive‌.
• User experience is a top priority.
• Users should be given control over their advertising experience.
• Ads need to render as fast as possible.

This New Portfolio (New Standard Ad Unit) replaces the previous guidelines, providing additional standards for new units. 

Flexible Ads

These ads are based on aspect ratio instead of fixed pixel sizes. The reasoning behind this is that today’s users connect to the internet using multiple devices, therefore, ads need to adapt to different devices and screen sizes.

Flexible ad units keep their aspect ratio regardless of the devices they are displayed. This ensures the ads are rendered across different screen sizes and integrated with responsive websites.

LEAN Ads

LEAN stands for Light, Encrypted, AdChoices supported, Non-invasive ads. By serving users with LEAN ads, the user experience gets priority, for instance, by minimizing the page loading time. LEAN ads don’t replace the current standard sizes but provide new guidelines in addition to size requirements.

IAB Guidelines for Display and Mobile

These guidelines aim to guide publishers on file size limitations as well as to serving ads in HTML5, with the goal to improve user experience.

• There is a limit of a maximum of 15 file requests for each initial file load so it won’t negatively impact page performance. Initial load is the total compressed file size of creative assets delivered to the browser for display. 
• IAB recommends publishers and ad servers use browser aching and shared libraries in HTML5 Ads. By doing this, you can improve the ad load performance.
• Creatives should build ads to perform without disrupting site or app performance. IAB recommends a max 30% CPU load per active ad. 
• For host-initiated file requests, the maximum number of file requests is ten, during initial file load. You can load additional files during sub loads and user-initiated loads.

New Ad Sizes

Source

• Smartphone Banner

This type of ad unit is between 200×200 for a small square to 320×320 for a mobile full page, according to the IAB standards. The most popular variations are 320×50, 300×50 and 300×10. 

• Billboard

It is an IAB standard and can be featured on every type of page, as well as on tablet devices. The standard size is 970 x 250. Digital publishers offer billboards as an ad option, such as this example from The Guardian.

• Portrait

A portrait ad unit is measured at 250 pixels in width but 1200 pixels in length vertically. As a result, this ad extends below the fold. The large size enables advertisers to incorporate multiple sections.

What is the IAB Tech Lab?

The IAB Technology Laboratory (Tech Lab), is a non-profit with the goal to develop standards, build growth and cultivate trust in the digital media industry. 

The Tech Lab consists of digital publishers, ad tech firms, agencies, and marketers. IAB Tech Lab delivers solutions to prevent ad fraud, protect consumer privacy and identity, and programmatic effectiveness. It also develops standards, specifications, and guidelines to standardize the industry and improve ad experiences.

The IAB Tech Lab is independent of the IAB, with a different board of directors. This structure enables it to accept members from outside the USA. The group has a compliance program organizations can adhere to implement protocols, specifications, and software.

Why are IAB Standards Important?

Because IAB ad units are used throughout the industry, they quickly turned into the most profitable sizes. These types of ads are always in high demand and are easy to implement, thus enabling publishers to increase their revenue. 

The Benefits of IAB Standards for Publishers

Publishers may benefit from adhering to the IAB Standards:

• They simplify creating ad inventory.
• The New Ad Portfolio adapts sizes based on aspect ratio, allowing the ad units to be consistent across multiple device types.
• They provide guidelines for new digital media formats, including social media, and virtual and augmented reality.
• The New Ad Portfolio focuses on delivering a better user experience through faster loading time.
• The IAB standard maximizes publishers’ ad earnings when monetized via ad networks.

General Ad Requirements

According to IAB standards, these are the general ad requirements:

• Ads need to include Interest-Based Advertising self-regulation controls by using behavioral targeting. 
• Ad space should be defined,  such users can distinguish it from unpaid content.
• No automatic audio play. There should be controls for the user to initiate audio.
• For slow connections, the file weight should be 30% less than recommended.

FAQ’s

Maximize your revenue with CodeFuel!

Leveraging a monetization platform can help you comply easily with IAB standards. CodeFuel works with display and native ads that follow IAB standards and guidelines. These popular ad units drive advertiser’s demand, therefore maximizing your revenue as a publisher.