In the direct or guaranteed method of selling display advertising, how is pricing set?
The price is set in real time.
The price varies by impression.
The price is set in an auction.
The price is fixed and agreed upon.
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In the direct or guaranteed method of selling display advertising, how is pricing set?
Explanation: The selected answer option, **The price is fixed and agreed upon**, is correct because in the direct or guaranteed method of selling display advertising, pricing is predetermined and agreed upon by both the advertiser and the publisher through a contract or insertion order. This model ensures that the advertiser and the publisher have a clear understanding of the cost and the terms of the ad placement in advance, without the uncertainty of auctions or fluctuating prices. The price remains fixed for the duration of the agreement, making it ideal for advertisers who prefer certainty in their ad costs. In contrast to auction-based models like real-time bidding (RTB), where prices can vary by impression, the direct or guaranteed method offers stability and predictability in terms of pricing.
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