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We consider a setting where $n$ buyers, with combinatorial preferences over $m$ items, and a seller, running a priority-based allocation mechanism, repeatedly interact. Our goal, from observing limited information about the results of these…

Computer Science and Game Theory · Computer Science 2014-08-29 Avrim Blum , Yishay Mansour , Jamie Morgenstern

Correctly estimating how demand respond to prices is fundamental for airlines willing to optimize their pricing policy. Under some conditions, these policies, while aiming at maximizing short term revenue, can present too little price…

Machine Learning · Computer Science 2022-03-22 Giovanni Gatti Pinheiro , Michael Defoin-Platel , Jean-Charles Regin

We consider the problem of learning from revealed preferences in an online setting. In our framework, each period a consumer buys an optimal bundle of goods from a merchant according to her (linear) utility function and current prices,…

Data Structures and Algorithms · Computer Science 2014-12-02 Kareem Amin , Rachel Cummings , Lili Dworkin , Michael Kearns , Aaron Roth

We study dynamic pricing where a seller repeatedly interacts with a strategic, non-myopic buyer who has a fixed private valuation and discounts future utility. Prior work focused exclusively on posted-price mechanisms, which only extract…

Computer Science and Game Theory · Computer Science 2026-04-28 Shiliang Zuo

Price discrimination, which refers to the strategy of setting different prices for different customer groups, has been widely used in online retailing. Although it helps boost the collected revenue for online retailers, it might create…

Machine Learning · Computer Science 2023-07-31 Xi Chen , Jiameng Lyu , Xuan Zhang , Yuan Zhou

As a firm varies the price of a product, consumers exhibit reference effects, making purchase decisions based not only on the prevailing price but also the product's price history. We consider the problem of learning such behavioral…

Computer Science and Game Theory · Computer Science 2017-08-31 Abbas Kazerouni , Benjamin Van Roy

In this paper we study the single-item revenue management problem, with no information given about the demand trajectory over time. When the item is sold through accepting/rejecting different fare classes, Ball and Queyranne (2009) have…

Data Structures and Algorithms · Computer Science 2020-01-20 Will Ma , David Simchi-Levi , Chung-Piaw Teo

When sales of a product are affected by randomness in demand, retailers can use dynamic pricing strategies to maximise their profits. In this article the pricing problem is formulated as a stochastic optimal control problem, where the…

Optimization and Control · Mathematics 2017-10-17 Asbjørn N. Riseth , Jeff N. Dewynne , Chris L. Farmer

We consider a novel pricing and advertising framework, where a seller not only sets product price but also designs flexible 'advertising schemes' to influence customers' valuation of the product. We impose no structural restriction on the…

Computer Science and Game Theory · Computer Science 2024-12-12 Shipra Agrawal , Yiding Feng , Wei Tang

We consider a seller offering a large network of $N$ products over a time horizon of $T$ periods. The seller does not know the parameters of the products' linear demand model, and can dynamically adjust product prices to learn the demand…

Machine Learning · Statistics 2021-12-21 N. Bora Keskin , David Simchi-Levi , Prem Talwai

Motivated by the prevalence of ``price protection guarantee", which allows a customer who purchased a product in the past to receive a refund from the seller during the so-called price protection period (typically defined as a certain time…

Machine Learning · Statistics 2022-11-04 Qing Feng , Ruihao Zhu , Stefanus Jasin

In this paper, we study a class of revenue management problems where the decision maker aims to maximize the total revenue subject to budget constraints on multiple type of resources over a finite horizon. At each time, a new…

Optimization and Control · Mathematics 2022-03-18 Guanting Chen , Xiaocheng Li , Yinyu Ye

We study the revenue-maximizing mechanism when a buyer's value evolves endogenously because of learning-by-consuming. A seller sells one unit of a divisible good, while the buyer relies on his private, rough valuation to choose his…

Theoretical Economics · Economics 2022-09-07 Huiyi Guo , Wei He , Bin Liu

We study in this paper a revenue management problem with add-on discounts. The problem is motivated by the practice in the video game industry, where a retailer offers discounts on selected supportive products (e.g. video games) to…

Data Structures and Algorithms · Computer Science 2020-05-05 David Simchi-Levi , Rui Sun , Huanan Zhang

A ubiquitous learning problem in today's digital market is, during repeated interactions between a seller and a buyer, how a seller can gradually learn optimal pricing decisions based on the buyer's past purchase responses. A fundamental…

Computer Science and Game Theory · Computer Science 2021-10-06 Quinlan Dawkins , Minbiao Han , Haifeng Xu

The computation of equilibrium prices at which the supply of goods matches their demand typically relies on complete information on agents' private attributes, e.g., suppliers' cost functions, which are often unavailable in practice.…

Computer Science and Game Theory · Computer Science 2025-06-17 Devansh Jalota , Haoyuan Sun , Navid Azizan

Recently, there is growing interest and need for dynamic pricing algorithms, especially, in the field of online marketplaces by offering smart pricing options for big online stores. We present an approach to adjust prices based on the…

Optimization and Control · Mathematics 2021-01-13 David Müller , Yurii Nesterov , Vladimir Shikhman

We study the problem of learning shared structure \emph{across} a sequence of dynamic pricing experiments for related products. We consider a practical formulation where the unknown demand parameters for each product come from an unknown…

Machine Learning · Computer Science 2021-01-07 Hamsa Bastani , David Simchi-Levi , Ruihao Zhu

We address the challenging problem of dynamically pricing complementary items that are sequentially displayed to customers. An illustrative example is the online sale of flight tickets, where customers navigate through multiple web pages.…

We study contextual dynamic pricing problems where a firm sells products to $T$ sequentially-arriving consumers, behaving according to an unknown demand model. The firm aims to minimize its regret over a clairvoyant that knows the model in…

Machine Learning · Computer Science 2025-04-07 Zifeng Zhao , Feiyu Jiang , Yi Yu