What Is Open Bidding in Google Ad Manager — A Publisher’s Guide

In the programmatic advertising world, maximizing yield (ad revenue) from your inventory is a top priority for any publisher — especially for platforms that rely on AVOD (Ad-Supported Video on Demand) and FAST channels like cAfrica. One advanced way to boost revenue within Google Ad Manager (GAM) is through a feature called Open Bidding. Let’s break down what it is, how it works, and why it matters for your monetisation strategy.
 

What Is Google Open Bidding?

Open Bidding is a programmatic auction mechanism inside Google Ad Manager that enables multiple demand partners — including third-party ad exchanges and networks — to compete for each ad impression in real time. Instead of relying solely on Google’s own ad exchange, publishers can invite other partners to bid, creating more competition, higher bid prices, and ultimately higher revenue potential for each ad impression.

Open Bidding is fully integrated server-side within GAM, which means the auction happens on Google’s servers rather than on the user’s device — helping reduce latency and improve overall ad performance.

How Open Bidding Works (Step-by-Step)

Let’s walk through the flow of an Open Bidding auction:

1. Ad Request Is Sent
   When a user loads your content (web page, app, or streaming player), Google Ad Manager receives an ad request. It includes context like ad size, user segment, device type, and more.

2. Bid Requests Go Out
   GAM sends out bid requests to all eligible yield partners — this includes AdX (Google Ad Exchange) and any third-party partners you’ve set up via Open Bidding.

3. Unified Auction Takes Place
   All responses are gathered in one unified, real-time auction. Direct deals you’ve set up, demand from AdX, and third-party bids compete together.

4. Winning Bid Is Selected
   The highest eligible bid wins the impression, and Google Ad Manager returns the corresponding ad creative to be shown to the user.

This unified auction ensures that each impression earns the maximum price possible — because multiple demand sources are competing for it instead of a single one.

Why Open Bidding Matters for Publishers

Here are the key benefits publishers experience when implementing Open Bidding:

Increased Competition = Higher Revenue Potential
With more demand partners bidding in the same auction, publishers often see improved eCPMs and fill rates, which means more revenue for the same inventory.

Server-Side Efficiency
Because the auction is handled server-side within GAM, ad load latency is reduced compared to client-side alternatives like header bidding. This improves user experience and performance.

Simplified Management
All bidding and yield optimisation can be controlled within Google Ad Manager, including reporting and billing, without complex client-side integrations.

Unified Auction Dynamics
By including all demand sources — Google AdX, direct deals, and third-party exchanges — in one seamless auction, you ensure the highest bid wins each impression.
 

Things to Consider Before Implementing

Although Open Bidding offers clear benefits, there are some factors to weigh:

Revenue Share
Google takes a share of the revenue from Open Bidding impressions as part of the cost for using the feature. The final earnings are net of this share.

Contractual Requirements
To enable specific third-party partners in Open Bidding, you must have contractual agreements with them — Google does not broker these contracts for you.

Limited Visibility
While GAM provides solid reporting, there may be less visibility into individual bids from third-party partners compared to other solutions.

How Open Bidding Fits into Your cAfrica Monetisation Strategy

For platforms like cAfrica that serve diverse content across web, mobile, and FAST/CTV, Open Bidding can be a powerful component of your monetisation stack:

• It enhances competition for impressions, especially in video and rich media formats.

• It integrates smoothly with your existing GAM setup once contracts with demand partners are in place.

• It works alongside direct deals, header bidding, and AdX in unified auctions.

By strategically selecting third-party yield partners and optimising yield groups, you can maximise revenue without adding complex client-side code.

Google Open Bidding isn’t just another feature — it’s a way to unlock more competitive demand for your ad inventory through unified, server-side auctions. By allowing multiple partners to bid together, you can improve eCPM, streamline ad operations, and deliver better monetisation outcomes for your content. As with all programmatic solutions, it’s essential to understand both the benefits and the setup requirements to get the most value out of it.

Google Open Bidding, Google Ad Manager, programmatic yield, unified auction, ad monetization, AdX, GAM, real-time bidding, publisher revenue strategy