The Leadership Letter

Real correspondence from the people running real companies — and what it reveals about leadership.

Don't Give Away Your Best Weapon For Free

When competitors find a cheap workaround to your premium product, the real question isn't whether to fight it — it's whether your pricing power survives if you don't.

We do not want to fully embrace header bidding as we are giving away a cheap form of dynamic allocation for free to all our competitors. This would have a large distorting effect on our rate card as one of the largest advantages to AdX is real time competition. In many regions, especially EMEA we have given away DFP at huge discounts to get access to inventory via DA.

Jonathan Bellack added: "We definitely should not be endorsing header bidding. We believe it is not good for users."

Assaf Grabinsky noted: "This will affect a small % of impressions that are the most valuable in the auction as those will get sold before EDA. In EMEA we are getting partner questions on this topic almost daily now... Given the surge in interest it seems we need a clear story for our sales teams: are we ignoring this for now due to ramping up of FLD and EDA in sponsorship, or rather should we go with a public stance embracing header bidders as rate setting signals for DFP that are fully compatible with Dynamic Allocation?"

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Court Exhibit
United States v. Google LLC (Ad Tech)
1:23-cv-00108 (VAED), Trial Ex. PTX0234 — DOJ public archive
July 22, 2015
Public domain
View the primary source →