Pricing Models
AdCP supports multiple pricing models to accommodate different advertising channels and business objectives. Publishers declare which pricing models they support, and buyers select from available options.Publisher-Declared, Buyer-Selected Model
How It Works
- Publishers declare pricing options in their products via
pricing_optionsarray (each with uniquepricing_option_id) - Buyers discover available options through
get_products - Buyers select a specific option when creating a media buy via
pricing_option_id - Delivery is measured according to the declared
delivery_measurementprovider
Key Benefits
- Flexibility: Publishers can offer multiple pricing models for the same inventory
- Currency Support: Publishers specify supported currencies; buyers must match
- Market Standards: Each channel (TV, video, display, performance) can use its natural pricing unit
- Clear Expectations: Both parties agree on pricing before campaign launch
Measurement & Source of Truth
Measurement Provider as Source of Truth
The product declares the measurement provider, and the buyer accepts that provider as the source of truth for the buy. Publishers specify their measurement provider in the product:- Ad Servers: Google Ad Manager, Freewheel, SpringServe
- Attention Metrics: Adelaide, Lumen, TVision
- Third-Party Verification: IAS, DoubleVerify, Scope3
- TV/Audio Measurement: Nielsen, Comscore, iSpot.tv, Triton Digital
- DOOH: Geopath, Vistar, Place Exchange
Best Practices
For Publishers:- Clearly identify your measurement provider (ad server and any third-party verification)
- Explain your measurement methodology in plain language
- For DOOH, specify your audience measurement source (e.g., Geopath, venue sensors)
- Review the measurement provider before committing budget
- Ensure the provider meets your campaign requirements
- Negotiate audit rights in contracts if needed
Supported Pricing Models
CPM (Cost Per Mille)
Cost per 1,000 impressions - Traditional display advertising pricing. Use Cases: Display, native, banner advertising Example:vCPM (Viewable Cost Per Mille)
Cost per 1,000 viewable impressions - Payment only for impressions meeting MRC viewability standard. Use Cases: Display, native, video advertising with viewability guarantee Viewability Standard: MRC (Media Rating Council) standard requires:- Display ads: 50% of pixels in-view for at least 1 continuous second
- Video ads: 50% of pixels in-view for at least 2 continuous seconds
delivery_measurement field. Common providers include IAS (Integral Ad Science), DoubleVerify, MOAT, and Google Active View.
CPCV (Cost Per Completed View)
Cost per 100% video/audio completion - Payment only for fully completed views. Use Cases: Video campaigns, audio ads, pre-roll video Example:CPV (Cost Per View)
Cost per view at threshold - Payment when viewer reaches publisher-defined threshold. Use Cases: Video campaigns with shorter completion requirements Example:view_threshold: Decimal from 0.0 to 1.0 (e.g., 0.5 = 50% completion)
CPP (Cost Per Point)
Cost per Gross Rating Point - Traditional TV/radio buying metric. Use Cases: Connected TV, linear TV, radio, audio streaming Example:demographic: Target demographic (e.g., “A18-49”, “W25-54”, “M35+”)min_points: Minimum GRP commitment required
grps: Total Gross Rating Points deliveredreach: Unique individuals reachedfrequency: Average frequency per individual
- Nielsen DAR/TV: Industry-standard TV measurement
- Comscore: Campaign Ratings for CTV
- iSpot.tv: Advanced TV analytics
- Triton Digital: Audio/streaming measurement
CPC (Cost Per Click)
Cost per click - Performance-based pricing for engagement. Use Cases: Direct response campaigns, search ads, social advertising Example:Flat Rate
Fixed cost - Single payment regardless of delivery volume. Use Cases: Sponsorships, takeovers, exclusive placements, branded content Example:Digital Out-of-Home (DOOH) Pricing
DOOH advertising uses existing pricing models—typically CPM or flat_rate—with optional parameters to describe the inventory allocation.Basic Concepts
- CPM for DOOH: Priced per thousand impressions, where impressions are calculated based on venue traffic (e.g., Geopath data)
- Flat rate for DOOH: Fixed cost for specific duration or allocation (hourly, daily, or exclusive takeover)
Simple Example: Billboard Takeover
DOOH Parameters (Optional)
Publishers may include additional parameters to describe DOOH inventory allocation:duration_hours: Duration for time-based pricingsov_percentage: Share of voice (% of available plays)daypart: Specific time periods (e.g., “morning_commute”)venue_package: Named collection of screens
delivery_measurement field.
Multi-Currency Support
Publishers can offer the same product in multiple currencies:Fixed vs. Auction Pricing
Fixed Pricing (is_fixed: true)
- Publisher sets a fixed rate
- Rate is guaranteed and predictable
- Common for guaranteed inventory
- Requires
ratefield
Auction Pricing (is_fixed: false)
- Final price determined through auction
- Publisher provides
price_guidancewith floor and percentiles - Common for non-guaranteed inventory
- Buyer submits
bid_pricein media buy request
Buyer Selection Process
Each package specifies its own pricing option, which determines currency and pricing model:- Package selects
pricing_option_idfrom product (e.g., “cpcv_usd_auction”) - Pricing option determines currency, pricing model, and fixed vs auction
- Package
budgetis in the pricing option’s currency - Auction-based pricing requires
bid_price - Sellers validate currency compatibility across packages
Reporting Metrics by Pricing Model
Different pricing models report different primary metrics:| Pricing Model | Primary Metric | Secondary Metrics |
|---|---|---|
| CPM | impressions | clicks, ctr, spend |
| vCPM | viewable_impressions | impressions, viewability_rate, spend |
| CPCV | completed_views | impressions, completion_rate, spend |
| CPV | views | impressions, quartile_data, spend |
| CPP | grps | reach, frequency, spend |
| CPC | clicks | impressions, ctr, spend |
| Flat Rate | N/A | impressions, reach, frequency |
Example: Multi-Model CTV Product
A publisher offering Connected TV inventory with multiple pricing options:Best Practices
For Publishers
- Offer relevant pricing models - Match pricing to your inventory type and buyer expectations
- Set appropriate minimums - Use
min_spend_per_packageto ensure campaign viability - Provide price guidance - For auction pricing, give realistic floor and percentile data
- Consider multi-currency - Support currencies of your target markets
- Document parameters - Clearly explain thresholds, demographics, and action types
For Buyers
- Select appropriate model - Choose pricing that aligns with campaign objectives
- Match currency - Ensure you select a currency the publisher supports
- Set realistic budgets - Account for minimum spend requirements
- Align goals with pricing - Set delivery goals that match your pricing model
- Monitor relevant metrics - Focus on the metrics that matter for your pricing model
Related Documentation
- Media Products - Product model reference
- Creating Media Buys - How to select pricing when buying
- Delivery Reporting - Understanding metrics by pricing model
- Glossary - Pricing and metric definitions