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Quality Based Pricing

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Lizzy

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Dear valued TrafficZ clients,

Yesterday evening, we received notice from our upstream provider that, effective immediately, they would be implementing a new quality-based pricing system across their network, starting with the U.S. market. The notice provided the following brief explanation of the new pricing system:

“[Q]uality-based pricing is designed to adjust advertiser pricing based on the quality of traffic coming from our distribution network. Traffic is intended to be priced in a manner that is consistent with the quality delivered to advertisers, based on conversion rates and other proprietary factors.”

Under this new system, the traffic that you drive to the advertiser will be priced commensurate with the value that advertisers receive, i.e., clients with superior traffic quality should receive higher CPC rates than those with lower traffic quality. This calculation will be conducted on a daily basis and verified traffic and revenue data will be accurately updated during our nightly sync-up with our upstream provider. TrafficZ looks forward to this implementation with the expectation that domain holders with quality traffic will be more appropriately compensated for the high quality of traffic that they deliver. We also welcome this change as a necessary step to ensure the stability and long-term viability of our industry.

To further ensure that our clients have access to the most complete and up-to-date information possible with respect to their account traffic and revenues, we plan to integrate Traffic Quality (TQ) score reporting into your Domain Manager as soon as possible. These TQ scores, which range from 1 to 10 (with 10 being the highest), indicate the quality of traffic that our upstream provider believes your domains are delivering to its advertisers. As knowledge of your traffic quality is crucial under the new system, TrafficZ will strive to provide you with regular reporting of your TQ scores and will update these scores as soon and as often as possible.

As a result of this recent change, it was necessary for us to roll back all traffic and revenue data to estimated numbers for all days since June 1st. We expect that all data for past days will be verified by the end of the day today or early tomorrow. Our upstream provider has further indicated that they will continue to make modifications and upgrades to this new system over the coming weeks. We appreciate your patience and understanding throughout this process, and we will do our best to make the transition as smooth and seamless as possible.

If you have any questions regarding the new quality-based pricing or the estimated data, please feel free to contact us at [email protected].

Best regards,
the TrafficZ Team
[email protected]
 
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