Annexure A - Bidding Process

Last updated: September 24th 2026 Effective October 1st 2026 12:00am AEST (UTC+10)

These examples illustrate how bidding affects the Cost per Play. Actual Base Rates, CAASie Margins and applicable taxes may vary. For simplicity, the examples assume all bidders have the same CAASie Margin.

Pricing Formula

Cost per Play = (Base Rate + CAASie Margin) × (1.05 ^ Net Eligible Bidders) + Service Fee + applicable taxes

Scenario 1 – Auto-bidding

The Base Rate is $1.00 and, for this example, the CAASie Margin is 20% ($0.20).

ABC Pty Ltd: auto-bid, $10 hourly budget ZXY Pty Ltd: auto-bid, $5 hourly budget

With two Eligible Bidders: ($1.00 + $0.20) × 1.05¹ + Service Fee + applicable taxes

ABC is preferred because it has the higher available hourly budget. As ABC spends, ZXY may become the bidder with the higher available budget and be preferred.

If only one Eligible Bidder remains: ($1.00 + $0.20) × 1.05⁰ + Service Fee + applicable taxes

Scenario 1.1 – Bid too low

DEF Pty Ltd joins Scenario 1 with a manual bid below the minimum Cost per Play.

Because DEF's bid is below the minimum Cost per Play, including the Service Fee and applicable taxes, DEF is not an Eligible Bidder and does not affect the auction price.

Scenario 2 – Budgets and bid caps

The Base Rate is $2.00 and, for this example, the CAASie Margin is 20% ($0.40).

• Company 1: auto-bid, $10 hourly budget

• Company 2: auto-bid, $10 hourly budget

• Company 3: $10 hourly budget, manual bid capped at $2.90

Company 3's $2.90 cap is above the minimum Cost per Play, including the Service Fee and applicable taxes, so it is an Eligible Bidder.

With three Eligible Bidders: ($2.00 + $0.40) × 1.05² + Service Fee + applicable taxes

Company 3's $2.90 cap is below the resulting Cost per Play, so it cannot win. Companies 1 and 2 compete based on their available hourly budgets.

If Company 1 exhausts its available budget, two Eligible Bidders remain: ($2.00 + $0.40) × 1.05¹ + Service Fee + applicable taxes

Company 3's $2.90 cap can now meet the Cost per Play and it can win. Company 2 may still be preferred while it has the higher available hourly budget.

As available budgets, manual bid caps and the number of Eligible Bidders change, eligibility and the Cost per Play are recalculated accordingly.