Like most publishers with a good degree of scale, the challenge is always not to compromise the guaranteed inventory with lower priced RTB placements. While all exchanges have the ability to set price floors and restrict access to certain advertisers, the private exchange idea essentially packages those abilities from the start, making it feel more comfortable to publishers.
At the same time, Vevo does have some challenges. The latest comScore Video Metrix September numbers show a 12.4 percent decrease year-over-year to 50.2 million uniques. That said, the site's place in comScore's top five is safe and, unlike the rest of its top 10 Video Metrix rivals, Vevo is the only one dedicated to music and entertainment, making its a clearer brand play for advertisers.
That combination of security and challenges make opening a private exchange an easy choice.
"We see the private exchange as a complement to our direct sales efforts," Chen told us. "As VEVO continues to expand internationally, it helps us grow revenue while maintaining high yields."
Vevo plans to limit its programmatic partnerships to Adap.tv, at least at the start.
"We are exclusively licensing Adap.tv technology for our private exchange platform," Chen said. "The Adap.tv team has been great to partner with and we look forward to evolving the partnership as VEVO continues to grow from our current based of 3.4 billion global views per month."