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The digital marketing glossary > F > What is Floor price definition?

What is Floor price definition ?

A floor price is a minimum selling price set by a publisher on ad exchanges or SSPs for selling an ad placement. Even if impressions are sold one at a time, the floor price is set per CPM (or CPC).

If bids don’t reach the floor price, the ad impression is not sold through the ad exchange and the placement is used through passbacks for in house ads or PSA.

Floor prices can be also used for selling renmant inventory when there is no ad exchange and when only alternative networks are used.

Floor prices are a way to protect inventory value.

Published on Wednesday 12 June 2013 (Authors)