Publishers are experiencing a sudden drop in revenue this January, after a fruitful festive season. Well, this is a recurring issue and Publisher should find ways to mitigate this problem. In this blog, we will discuss the reasons behind the January ad revenue drop and how publishers can deal with it.
Reasons Behind the Ad Revenue Drop
There are three reasons affecting ad revenue, there will be one of the following reasons behind your revenue drop.
Drop in Ad Request
During the festive season, users tend to surf pages a lot for online shopping and gift purchasing. But after this holiday season, this behaviour gets back to normal or could be lower than publisher’s monthly averages. This sudden change in browsing behaviour has a direct impact on the number of ad requests, this results in low impressions. Publishers can find out this issue through their analytics.
Drop in Fill Rate
Publishers would not get Q4 floor prices in January. In order to stop dropping fill rate, publishers should readjust the floor prices of their ad inventory. This is because of less demand for ad inventory, as less number of users are engaged and, accordingly, advertisers prefer to spend less.
Drop in CPM
Even if the publishers maintain the number of impressions on their sites can experience a drop in CPM because of lower advertiser bids. Out of all three reasons, CPM drop is the most important problem that can impact the publisher’s revenue.
What Publishers Can Do About Revenue Drop?
Publishers should consider revenue drop as a seasonal effect that will be resolve with time. There are a few steps to deal with the revenue drop.
- Don’t panic as this is a seasonal effect.
- Understand what cause revenue to drop.
- Identify whether the revenue drop is normal for your website.
- Use this opportunity to experiment with different placements or new demands.
Revenue drop is a common issue. Publishers should not panic in this situation and take every single step wisely. Mahimeta worked with publishers across the globe and provided them with the best support in dealing with these types of issues. If you are facing a revenue drop and need any assistance then get in touch with us.