Supply path optimisation: make your programmatic spend easier to explain

Review programmatic supply paths, fees and inventory quality. Use a practical supplier checklist to reduce duplication without sacrificing useful reach.

By MarTech Logic

Strategy, campaigns, technology and measurement

Green connections joining a dark geometric network

At a glance

Programmatic supply path optimisation should make every route to inventory explainable: what it adds, what it costs and how its quality is checked. Map the chain, compare total value rather than one visible fee, then simplify through controlled tests instead of abrupt cuts.

A programmatic impression can pass through several technology businesses before it reaches a publisher. If no one on the advertiser’s side can explain that route, duplicated access and hidden trade-offs are easy to overlook.

Supply path optimisation is not a contest to draw the smallest diagram. The useful question is whether each intermediary earns its place through distinctive inventory, stronger controls, better data or worthwhile commercial terms. That calls for judgement, not automatic consolidation.

Draw the route before negotiating it

Ask the agency or trading team to map the demand-side platform, exchanges, supply-side platforms, resellers and publishers involved. Identify which relationships are direct, which are intermediated and where reporting becomes incomplete.

The ANA’s programmatic transparency study recommends clearer ownership, better access to data and a more deliberate selection of supply partners. Its recommendations include reducing unnecessary sprawl and establishing direct contractual relationships with important technology providers.

Our position is that an advertiser should be able to explain its buying route in ordinary language. Complexity is sometimes necessary. Unexplained complexity should not be accepted as a sign of sophistication.

Ask what each route adds

A route might provide access to distinctive inventory, useful technical capabilities, reliable controls or better commercial terms. It might also duplicate inventory available elsewhere with another layer of cost.

Ask for evidence of the contribution. “Premium supply” is not a definition. Request the publisher coverage, placement types, auction mechanics and reporting access that support the claim.

Review areaQuestion
InventoryWhat useful placements are available through this route?
CostWhich fees are visible, and which are included elsewhere?
QualityHow are invalid traffic, suitability and viewability assessed?
DataCan we inspect enough detail to reconcile delivery?
DuplicationAre we reaching the same opportunity through several routes?

Do not optimise one fee in isolation

A lower platform fee can coexist with a higher effective cost for useful exposure. Conversely, a route with a higher explicit fee may provide better inventory or stronger controls. Compare the total arrangement.

Suppose two paths each spend £20,000. One delivers more impressions but a smaller share meet your agreed quality criteria. The other delivers fewer impressions with stronger placement quality. The raw CPM will favour the first even if the second better serves the campaign.

Use advertising quality measures alongside price. Agree what counts as acceptable before the test, then assess commercial outcomes separately from delivery metrics.

Reduce routes carefully

Start with a limited test rather than removing half the supply chain overnight. Compare a controlled selection of paths against the current setup, keeping audience, creative, time period and bidding approach as consistent as practical.

Watch for changes in reach, concentration, delivery, quality and cost. A simpler route is not automatically better if it cuts off valuable publishers or creates dependency on one supplier.

Document what the test can establish. Better delivery metrics do not prove incremental sales. If business impact is the question, plan an appropriate incrementality test rather than stretching the supply report beyond its purpose.

Make ownership explicit

Name the person who can approve supply partners and challenge exceptions. Put reporting requirements into the buying agreement. Review meaningful changes to the route, not just the monthly totals.

Ask for a short explanation whenever a new intermediary appears: what does it add, what does it cost and what evidence will show that it was worth including?

The aim is not the smallest possible diagram. It is a buying arrangement where every important step earns its place and the advertiser can understand where the money goes.

MarTech Logic newsletter

Know what deserves your attention.

The shifts in marketing worth understanding. The tools worth questioning. The ideas worth taking into your next meeting.

Get occasional MarTech Logic emails from ABM Logic Ltd. Unsubscribe at any time. Privacy policy.

Recent reads