Last modified: 14 March, 2022

Auction-Based Pricing

Commonly used in programmatic media, auction-based pricing is a dynamic pricing model that ensures the prices paid for ad impressions are based on market demand.

Pricing can be based on the first-price auction model (where the highest bidder wins and pays exactly what they bid) or on the second-price auction model (where the highest bidder still wins, but what they pay is equal to the second-highest bid plus one cent).