The model will help analyze the performance of external demand-side platforms (DSPs) and send them only the most relevant ad requests.
The RTB auction involves SSPs and DSPs exchanging billions of ad requests and responses, which creates a huge strain on the servers on both sides. On top of that, not every request will end up being relevant for a given DSP, meaning a chunk of server capacity is essentially wasted because of inefficient traffic utilization.
To save resources of all those involved in the process and increase traffic conversion, we are launching Smart Throttling. This solution will help algorithms learn from partner results, predict ad request efficiency for a given DSP, and increase the buyout rate as a result.
A quick peek under the hood
Smart Throttling is powered by a machine learning model that analyzes more than 100 factors: from most general to per-user data. For each partner, the system determines individual traffic conversion criteria based on the placement, geography, format, and many other metrics. This helps personalize ad requests for each DSP.
Previously, when configuring standard pretargeting parameters, Yandex SSP sent requests at random (within the given QPS). Now the model aims to maximize the revenue. With knowledge about the behavior of the DSP partner's bidder, it can forecast the traffic conversion rate to send only the most relevant requests.
Server resource efficiency is an important focus for both sides of S2S integration. According to our data, the new solution has already helped reduce CPU (Central Processing Unit) usage. By training the model, we can reduce the strain on the servers for us and our partners, all while improving specific business metrics. For example, traffic personalization for DSPs increases the average conversion rate (winRate, showRate), resulting in a higher buyout rate.
Partner experience: Hybe.io boosts its in-app revenue thanks to Smart Throttling
After implementing Smart Throttling from Yandex, we noticed a significant growth in our key indicators. In just a month, we increased our total revenue by 20% and impressions by 70%. Such compelling figures highlight a positive effect of this novel technology on our campaign performance. We are confident that Smart Throttling will further boost our marketing effectiveness and plan to conduct more research to maximize the benefits of this feature.
The introduction of Smart Throttling is yet another milestone in our quest to make Yandex SSP more effective. We will continue to implement the best solutions on the global market to increase ad revenue for our partners.
