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FreeWheel accounts for these discrepancies automatically in our bidding algorithm to make the exchange's numbers and the FreeWheel DSP platform's numbers closer than they would be otherwise.

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Here's an example without a discrepancy allowance (zeroing out the FreeWheel DSP platform's fee for simplicity's sake):

• Customer spends $1,000 on exchange according to FreeWheel DSP's data
• Exchange sends customer a bill at the end of the month for $1020

The problem that arises from this flow of data is that there can be a significant and unexpected reduction in margin at the time of reconciliation. Instead, FreeWheel DSP the platform automatically applies a small discrepancy allowance when bidding:

• Customer "spends" $1,000 on MoPub according to FreeWheel DSP's data, but FreeWheel DSP the platform was bid-reducing by 2% so they only really spent $980 on the Exchange (according to FreeWheel DSP's data)
• Exchange sends Customer a bill at the end of the month for roughly $1000, since their numbers are generally 2% higher, and the net discrepancy is closer to zero.