Sellers.json: A Key Element of Programmatic Ad

In the world of programmatic advertising, transparency has become increasingly important for both advertisers and publishers. As digital advertising evolves, so does the need for systems that build trust and accountability in the ecosystem. One such system is Sellers.json, an initiative led by the Interactive Advertising Bureau (IAB) aimed at bringing greater transparency to the buying and selling of digital ad inventory. In this blog, we’ll explore what Sellers.json is, how it works, and why it matters to both publishers and advertisers.

What is Sellers.json?

Sellers.json is a file that allows buyers (advertisers and demand-side platforms, or DSPs) to verify the entities who are either direct sellers or intermediaries of the ad inventory. This file is a part of the broader IAB initiative designed to increase transparency in programmatic advertising and combat fraud, which also includes standards such as ads.txt and app-ads.txt.

Sellers.json works by publicly listing the information about the entities involved in selling digital ad inventory on a publisher’s behalf. This may include direct publishers, networks, resellers, or any other intermediaries involved in the transaction. The data contained in the file helps buyers verify that they are purchasing legitimate inventory from reputable sellers.

Why Was Sellers.json Created?

The creation of Sellers.json was largely driven by the need to address the growing problem of ad fraud in the programmatic advertising industry. Ad fraud costs advertisers billions of dollars annually, and fraudulent practices such as domain spoofing and unauthorized reselling have become major concerns.

Prior to Sellers.json, there was little visibility into the intermediaries involved in the sale of digital ad inventory. Advertisers could often end up buying inventory from unauthorized or fraudulent sellers without realizing it. Sellers.json provides advertisers with a way to verify the legitimacy of the inventory they purchase, helping to reduce the risk of ad fraud and increasing overall transparency.

How Does Sellers.json Work?

At its core, Sellers.json functions similarly to the ads.txt initiative, but with a focus on the supply-side entities rather than the publisher. Here’s a simple breakdown of how it works:

1. Creation of the Sellers.json File: Supply-side platforms (SSPs), ad exchanges, and other intermediaries create a Sellers.json file that lists all the entities they are working with. This includes direct publishers and other intermediaries who are authorized to sell the ad inventory.
2. Data Disclosure: The Sellers.json file includes the following details about each entity:
   • Seller ID: A unique identifier for the entity.
   • Seller Type: Identifies whether the seller is a direct publisher, intermediary, or reseller.
   • Name: The name of the organization.
   • Domain: The domain of the entity involved in the transaction.

   This file is publicly available and can be accessed by advertisers or DSPs.

3. Verification by Buyers: Advertisers and DSPs can use the information in Sellers.json to verify the legitimacy of the entities involved in the sale of ad inventory. They can ensure that the sellers they are working with are authorized and trustworthy, thus reducing the risk of purchasing fraudulent or misrepresented inventory.
4. Transparency and Accountability: Sellers.json increases accountability by making it easier for buyers to identify who is involved in the sale of inventory. By promoting transparency, Sellers.json helps create a more trustworthy environment for programmatic advertising transactions.

Benefits of Sellers.json for Publishers and Advertisers

For Publishers:

1. Improved Trust and Credibility: By being listed in a Sellers.json file, publishers can establish themselves as legitimate sellers in the programmatic ecosystem. This transparency can help build trust with advertisers and demand partners.
2. Better Inventory Control: Sellers.json provides publishers with more control over who is authorized to sell their inventory. This helps prevent unauthorized reselling, ensuring that publishers maintain control over their ad space and revenue streams.
3. Reduced Fraud Risk: Sellers.json helps eliminate bad actors from the supply chain by making it easier to identify and exclude fraudulent sellers or resellers. This ultimately leads to a cleaner, more reliable programmatic marketplace.

For Advertisers:

1. Enhanced Transparency: Sellers.json allows advertisers to see exactly who is selling the ad inventory they are purchasing. This level of transparency reduces the risk of buying from unauthorized or fraudulent sellers, improving the overall quality of ad placements.
2. Increased Efficiency: With more visibility into the supply chain, advertisers can make more informed decisions about where to place their ads. This leads to more efficient campaigns, as advertisers can focus their spending on legitimate, high-quality inventory.
3. Reduced Fraud Exposure: Sellers.json helps to reduce the risk of ad fraud by giving advertisers the tools they need to verify the legitimacy of the sellers they work with. This results in less exposure to fraudulent practices, such as domain spoofing or unauthorized inventory sales.

Challenges and Limitations of Sellers.json

While Sellers.json is a valuable tool for increasing transparency in the programmatic ecosystem, it does have some limitations:

1. Adoption Rate: For Sellers.json to be effective, broad adoption is necessary across the industry. Although many major ad exchanges and SSPs have implemented Sellers.json, there are still gaps in adoption, particularly among smaller players.
2. Incomplete Data: The data in a Sellers.json file is only as accurate as the entities that publish it. Incomplete or outdated information can reduce the effectiveness of Sellers.json as a verification tool.
3. Complexity for Smaller Publishers: For smaller publishers or those with less technical expertise, creating and maintaining a Sellers.json file can be challenging. These publishers may need support from their demand partners or programmatic platforms to implement Sellers.json correctly.

Conclusion

Sellers.json is a critical step forward in improving transparency and trust in the programmatic advertising ecosystem. By providing visibility into the entities involved in selling digital ad inventory, Sellers.json helps combat ad fraud and ensures that advertisers are buying legitimate inventory from authorized sellers. For publishers, adopting Sellers.json enhances credibility and provides better control over their inventory.