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Related papers: Sponsored Search Auctions with Markovian Users

200 papers

In many online advertisement (ad) exchanges, ad slots are each sold via a separate second-price auction. This paper considers the bidder's problem of maximizing the value of ads they purchase in these auctions, subject to budget…

Computer Science and Game Theory · Computer Science 2020-03-16 Jonathan Amar , Nicholas Renegar

Sponsored search represents a major source of revenue for web search engines. This popular advertising model brings a unique possibility for advertisers to target users' immediate intent communicated through a search query, usually by…

Sponsored search auctions constitute one of the most successful applications of microeconomic mechanisms. In mechanism design, auctions are usually designed to incentivize advertisers to bid their truthful valuations and to assure both the…

Computer Science and Game Theory · Computer Science 2014-05-13 Nicola Gatti , Alessandro Lazaric , Marco Rocco , Francesco Trovò

We propose an auction for online advertising where each ad occupies either one square or two horizontally-adjacent squares of a grid of squares. Our primary application are ads for products shown on retail websites such as Instacart or…

Computer Science and Game Theory · Computer Science 2022-07-12 Jonathan Gu , David Pal , Kevin Ryan

The Generalized Second Price (GSP) auction used typically to model sponsored search auctions does not include the notion of budget constraints, which is present in practice. Motivated by this, we introduce the different variants of GSP…

Computer Science and Game Theory · Computer Science 2013-09-27 Josep Diaz , Ioannis Giotis , Lefteris Kirousis , Evangelos Markakis , Maria Serna

Internet search companies sell advertisement slots based on users' search queries via an auction. Advertisers have to determine how to place bids on the keywords of their interest in order to maximize their return for a given budget: this…

Data Structures and Algorithms · Computer Science 2007-09-24 S. Muthukrishnan , Martin Pal , Zoya Svitkina

Sponsored search auctions are commonly modeled as an assignment of a fixed set of slots (positions) to a set of advertisers, with welfare maximization being reducible to a standard matching problem. Motivated by modern ad formats, we study…

Computer Science and Game Theory · Computer Science 2026-05-13 Eleni Batziou , Georgios Birmpas , Georgios Chionas , Piotr Krysta

Sponsored Search Auctions (SSAs) arguably represent the problem at the intersection of computer science and economics with the deepest applications in real life. Within the realm of SSAs, the study of the effects that showing one ad has on…

Computer Science and Game Theory · Computer Science 2016-04-15 Nicola Gatti , Marco Rocco , Paolo Serafino , Carmine Ventre

We consider an online ad network problem in which an ad exchange auctions ad slots and intermediaries called demand side platforms (DSPs) buy these ad slots for their clients (advertisers). An intermediary represents multiple advertisers.…

Computer Science and Game Theory · Computer Science 2019-10-07 Rahul Meshram , Kesav Kaza

We consider the budget optimization problem faced by an advertiser participating in repeated sponsored search auctions, seeking to maximize the number of clicks attained under that budget. We cast the budget optimization problem as a Markov…

Computer Science and Game Theory · Computer Science 2012-10-19 Kareem Amin , Michael Kearns , Peter Key , Anton Schwaighofer

Sponsored search has more than 20 years of history, and it has been proven to be a successful business model for online advertising. Based on the pay-per-click pricing model and the keyword targeting technology, the sponsored system runs…

Machine Learning · Computer Science 2019-07-30 Xiao Yang , Daren Sun , Ruiwei Zhu , Tao Deng , Zhi Guo , Jiao Ding , Shouke Qin , Zongyao Ding , Yanfeng Zhu

The majority of online marketplaces offer promotion programs to sellers to acquire additional customers for their products. These programs typically allow sellers to allocate advertising budgets to promote their products, with higher…

Computer Science and Game Theory · Computer Science 2025-02-05 Anastasiia Soboleva , Alexander Ledovsky , Yuriy Dorn , Egor Samosvat , Andrey Tikhanov , Fyodor Prazdnikov

In e-commerce advertising, the ad platform usually relies on auction mechanisms to optimize different performance metrics, such as user experience, advertiser utility, and platform revenue. However, most of the state-of-the-art auction…

Computer Science and Game Theory · Computer Science 2021-01-11 Zhilin Zhang , Xiangyu Liu , Zhenzhe Zheng , Chenrui Zhang , Miao Xu , Junwei Pan , Chuan Yu , Fan Wu , Jian Xu , Kun Gai

We present a deterministic exploration mechanism for sponsored search auctions, which enables the auctioneer to learn the relevance scores of advertisers, and allows advertisers to estimate the true value of clicks generated at the auction…

Computer Science and Game Theory · Computer Science 2011-11-10 Sudhir Kumar Singh , Vwani P. Roychowdhury , Milan Bradonjić , Behnam A. Rezaei

We consider an extension to the classic position auctions in which sponsored creatives can be added within AI generated content rather than shown in predefined slots. New challenges arise from the natural requirement that sponsored…

Computer Science and Game Theory · Computer Science 2025-06-05 Santiago Balseiro , Kshipra Bhawalkar , Yuan Deng , Zhe Feng , Jieming Mao , Aranyak Mehta , Vahab Mirrokni , Renato Paes Leme , Di Wang , Song Zuo

The Generalized Second Price auction is the primary method by which sponsered search advertisements are sold. We study the performance of this auction under various equilibrium concepts. In particular, we demonstrate that the Bayesian Price…

Computer Science and Game Theory · Computer Science 2010-11-16 Brendan Lucier , Renato Paes Leme

Since 2019, most ad exchanges and sell-side platforms (SSPs), in the online advertising industry, shifted from second to first price auctions. Due to the fundamental difference between these auctions, demand-side platforms (DSPs) have had…

E-commerce platforms usually present an ordered list, mixed with several organic items and an advertisement, in response to each user's page view request. This list, the outcome of ad auction and allocation processes, directly impacts the…

Computer Science and Game Theory · Computer Science 2024-04-12 Xuejian Li , Ze Wang , Bingqi Zhu , Fei He , Yongkang Wang , Xingxing Wang

We investigate market forces that would lead to the emergence of new classes of players in the sponsored search market. We report a 3-fold diversification triggered by two inherent features of the sponsored search market, namely, capacity…

Computer Science and Game Theory · Computer Science 2007-11-05 Sudhir Kumar Singh , Vwani P. Roychowdhury , Himawan Gunadhi , Behnam A. Rezaei

We study a novel problem of sponsored search (SS) for E-Commerce platforms: how we can attract query users to click product advertisements (ads) by presenting them features of products that attract them. This not only benefits merchants and…

Information Retrieval · Computer Science 2019-07-30 Wei Zhao , Boxuan Zhang , Beidou Wang , Ziyu Guan , Wanxian Guan , Guang Qiu , Wei Ning , Jiming Chen , Hongmin Liu