waterfall strategy

Advanced 📣 Marketing / Advertising

Definition

An ad buying method where inventory is offered sequentially to buyers in descending priority order until someone bites. Like a retail clearance rack that goes through progressively less desirable shoppers.

Example Usage

Our premium inventory goes through waterfall strategy—first to direct deals, then PMPs, and finally whatever's left hits the open exchange.

Origin

Adapted from software development methodology; entered programmatic advertising vocabulary circa 2010

Fun Fact

Header bidding technology emerged specifically to disrupt waterfall strategies, allowing simultaneous bidding and better yields.

Source: Programmatic advertising terminology

Related Terms

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