PRIVATE MARKETPLACE DEALS (PMPs)

A guide to Private Marketplace Deals in programmatic advertising

If you’re new to the world of digital advertising, you may have noticed that the industry is full (and we mean FULL) of buzzwords and acronyms. To help navigate this notoriously complex landscape, we thought we’d break down some of the most commonly used industry jargon. 

We’re starting off with one of our favourite TLAs (three-letter acronyms, that is): PMP. 

What is the meaning of  PMP?

PMP stands for Private Marketplace and is a programmatic media-buying method.

Compared to open auctions, PMP is an invitation-only bidding process where publishers invite selected buyers to take place in real-time bidding to purchase their inventory. 

The minimum price of the bids is referred to as ‘floor price’ and is negotiated before the auction starts. Private marketplace deals are more targeted and premium than open auction deals, which is reflected in the price. 

PMP Marketing: How Private Marketplaces Enhance Ad Campaigns

By providing a more curated and targeted advertising environment, PMPs allow brands to reach specific audiences with premium content. This approach ensures advertisers avoid the clutter of open marketplaces while focusing on high-quality placements. PMP deals are ideal for campaigns aiming for precision, brand safety, and control over where ads appear.

In programmatic marketing, PMP offers a way to leverage programmatic technology with greater transparency and trust between publishers and advertisers. Marketers use PMPs to refine their audience targeting while optimizing performance metrics like viewability and click-through rates.

What are the pros of private marketplace deals?

• Transparency: It gives both buyers and sellers transparency of the auction
• Relationship building: Publishers and buyers negotiate and agree on terms and pricing, which allows for mutual understanding and strong relationships to be built
• Premium inventory: Gives access to higher-quality inventory before it ends up on the open market
• Targeting: Allows advertisers to target specific audiences 

What are the cons of private marketplace deals?

• Only partly-automated, meaning the buying process can require more manual labour and time compared to open auctions 
• Non-guaranteed inventory: there is no guarantee you’ll get the inventory you want
• Pricing: Costs tend to be slightly higher than open auction deals

When to choose PMPs:

• When you have a whitelist of publishers you want to display your ads across 
• When you want access to higher-quality inventory before it ends up on the open market
• When you have a specific target audience for your campaign

When to avoid private auctions:

• When a campaign requires guaranteed ad impressions or ad placements
• When you want a fixed price for the inventory 

Launch your next PMP advertising campaign with Advant

If you’re looking to integrate PMP marketing into your digital strategy, or want to explore how programmatic advertising can elevate your campaigns, feel free to reach out to our team for personalised advice.