Data Marketplace - Data Partner Remuneration

OVERVIEW

A transparent methodology for understanding how third-party data contributes to audience segments and how partner payouts are calculated in Spherical's data marketplace


At A Glance: Branded Partners define their taxonomy and set CPM rates for every taxonomy node. Spherical prices a client-created audience at the highest CPM among the data selected, then allocated monthly remuneration according to each partner's measured contribution to the audience composition 


The Methodology

1  Partner defines the offering

Each Branded Data Provider defines the taxonomy it makes available and sets a CPM price for each segment within the taxonomy.

2  Client builds an audience

Clients create third-party data audiences in Spherical using taxonomies available to them in the Audience Builder.

3  Spherical sets audience CPM

The audience segment CPM equals the highest CPM of any taxonomy node included in the audience definition.

4  Composition is measured monthly

Each month, the platform determines how much each included taxonomy node contributes to the audience segment’s overall size/scale.

5  Delivery is reported

Clients and partners report the total impressions delivered against the audience segment for the month.

6  Partner remuneration is allocated

The audience’s monetization is allocated to contributing partners based on the monthly audience composition, delivered impressions and the audience segment CPM.

Working Example

A client creates one audience using four taxonomy nodes. Each node contributes to 25% of the audience's monthly total size and scale

Partner

Node CPM

Monthly Composition

Partner Payout

Partner A

$0.75

25%

$312.50

Partner B

$1.25

25%

$312.50

Partner C

$1.00

25%

$312.50

Partner D

$0.75

25%

$312.50

AUDIENCE CPM

$1.25

Highest node CPM: Partner B

DELIVERED IMPRESSIONS

1,000,000

Reported monthly delivery

TOTAL PARTNER ALLOCATION*

$1,250.00

1,000,000 / 1,000 × $1.25

Partner payout formula:  (Delivered impressions ÷ 1,000 × Audience CPM) × Partner composition share

In this example: (1,000,000 ÷ 1,000 × $1.25) × 25% = $312.50 for each partner. The four payouts total $1,250.00.

 

*Important Considerations

MONTHLY RECALCULATION

Audience composition and partner allocations are recalculated each month. A partner’s share may change as the audience’s composition changes.

GROSS VS. NET PAYOUT

The example above shows gross partner allocation before the applicable contractual revenue share/hosting deductions between Epsilon Lotame and each data partner is applied.

REPORTED DELIVERY

The calculation relies on total monthly impressions reported against the audience segment.

NODE CPM ROLE

A taxonomy node’s CPM may set the overall audience CPM, but partner allocation is determined by measured composition share rather than the node CPM in isolation.