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How CarGurus Scaled Their Private Marketplace Deals for a 160% Revenue Increase
Technology Category
- Application Infrastructure & Middleware - Data Exchange & Integration
- Platform as a Service (PaaS) - Connectivity Platforms
Applicable Industries
- Automotive
- Telecommunications
Applicable Functions
- Business Operation
- Sales & Marketing
Use Cases
- Demand Planning & Forecasting
- Inventory Management
Services
- Cloud Planning, Design & Implementation Services
- Data Science Services
The Challenge
CarGurus, a leader in providing online consumers with information to make smart car shopping decisions, was facing a challenge in finding the right balance for their traditional IO business and programmatic business. They were looking for ways to maintain ad quality while increasing competition from buyers at scale. Over the past 18 months, CarGurus had experienced massive impression growth but struggled to optimize to the best yield and fill rates without a platform solution. They also had concerns about viewability and latency in ad load.
About The Customer
CarGurus is a leading online platform that provides consumers with information to make smart car shopping decisions. They are committed to finding progressive ways to monetize their platform and connect with buyers relevant to their shopping audience. As a premium brand, CarGurus views quality ads as content and sought to find a way to increase yield and platform automation while maintaining high ad quality. They operate in the US, Canada, and UK sites and have experienced massive impression growth over the past 18 months.
The Solution
CarGurus partnered with OpenX to evolve their stack and introduce demand automation. They started using OpenX Ad Exchange and then added OpenX SSP combined with OpenX Bidder. This combination helped drive more competition for each impression and leveled the playing field. To ensure that OpenX Bidder wouldn’t introduce any latency to the ad load, they tested the page with and without Bidder. OpenX also brought in a dedicated yield team to explore solutions, starting with CarGurus’ Private Marketplace deals. They suggested re-prioritizing PMP deals (through Bidder) to compete on every impression, including inventory typically reserved for other buys. CarGurus also became one of the first publishers to co-innovate with OpenX’s new RealTime Guaranteed product, which brings audience syncing, forecasting, and a volume guarantee to Private Marketplace deals.
Operational Impact
Quantitative Benefit
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