English

Optimizing Bidding Strategies in First-Price Auctions in Binary Feedback Setting with Predictions

Machine Learning 2025-07-09 v2

Abstract

This paper studies Vickrey first-price auctions under binary feedback. Leveraging the enhanced performance of machine learning algorithms, the new algorithm uses past information to improve the regret bounds of the BROAD-OMD algorithm. Motivated by the growing relevance of first-price auctions and the predictive capabilities of machine learning models, this paper proposes a new algorithm within the BROAD-OMD framework (Hu et al., 2025) that leverages predictions of the highest competing bid. This paper's main contribution is an algorithm that achieves zero regret under accurate predictions. Additionally, a bounded regret bound of O(T^(3/4) * Vt^(1/4)) is established under certain normality conditions.

Keywords

Cite

@article{arxiv.2506.15817,
  title  = {Optimizing Bidding Strategies in First-Price Auctions in Binary Feedback Setting with Predictions},
  author = {Jason Tandiary},
  journal= {arXiv preprint arXiv:2506.15817},
  year   = {2025}
}

Comments

Needs further refinement

R2 v1 2026-07-01T03:24:18.674Z