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For sponsored search auctions, we consider contextual multi-armed bandit problem in the presence of strategic agents. In this setting, at each round, an advertising platform (center) runs an auction to select the best-suited ads relevant to…

Computer Science and Game Theory · Computer Science 2020-02-27 Kumar Abhishek , Shweta Jain , Sujit Gujar

Automated bidding, an emerging intelligent decision making paradigm powered by machine learning, has become popular in online advertising. Advertisers in automated bidding evaluate the cumulative utilities and have private financial…

Computer Science and Game Theory · Computer Science 2023-08-22 Yidan Xing , Zhilin Zhang , Zhenzhe Zheng , Chuan Yu , Jian Xu , Fan Wu , Guihai Chen

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

Ads on the Internet are increasingly sold via ad exchanges such as RightMedia, AdECN and Doubleclick Ad Exchange. These exchanges allow real-time bidding, that is, each time the publisher contacts the exchange, the exchange ``calls out'' to…

Computer Science and Game Theory · Computer Science 2015-03-13 Tanmoy Chakraborty , Eyal Even-Dar , Sudipto Guha , Yishay Mansour , S. Muthukrishnan

In online advertising, search engines sell ad placements for keywords continuously through auctions. This problem can be seen as an infinitely repeated game since the auction is executed whenever a user performs a query with the keyword. As…

Computer Science and Game Theory · Computer Science 2022-01-25 Francesco Belardinelli , Wojtek Jamroga , Vadim Malvone , Munyque Mittelmann , Aniello Murano , Laurent Perrussel

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

Most recent papers addressing the algorithmic problem of allocating advertisement space for keywords in sponsored search auctions assume that pricing is done via a first-price auction, which does not realistically model the Generalized…

Data Structures and Algorithms · Computer Science 2009-08-21 Yossi Azar , Benjamin Birnbaum , Anna R. Karlin , C. Thach Nguyen

Sponsored search adopts generalized second price (GSP) auction mechanism which works on the concept of pay per click which is most commonly used for the allocation of slots in the searched page. Two main aspects associated with GSP are the…

Information Retrieval · Computer Science 2014-03-26 Rahul Gupta , Gitansh Khirbat , Sanjay Singh

A platform commits to a search algorithm that maps prices to search order. Given this algorithm, sellers set prices, and consumers engage in sequential search. This framework generalizes the ordered search literature. We introduce a special…

Theoretical Economics · Economics 2025-03-06 Xiaoyu Chen , Jingmin Huang , Yibo Lian

We consider online procurement auctions, where the agents arrive sequentially, in random order, and have private costs for their services. The buyer aims to maximize a monotone submodular value function for the subset of agents whose…

Computer Science and Game Theory · Computer Science 2025-04-15 Andreas Charalampopoulos , Dimitris Fotakis , Panagiotis Patsilinakos , Thanos Tolias

Modern ad auctions allow advertisers to target more specific segments of the user population. Unfortunately, this is not always in the best interest of the ad platform. In this paper, we examine the following basic question in the context…

Computer Science and Game Theory · Computer Science 2019-07-16 Ashwinkumar Badanidiyuru , Kshipra Bhawalkar , Haifeng Xu

We initiate the study of an interesting aspect of sponsored search advertising, namely the consequences of broad match-a feature where an ad of an advertiser can be mapped to a broader range of relevant queries, and not necessarily to the…

Computer Science and Game Theory · Computer Science 2008-07-21 Sudhir Kumar Singh , Vwani P. Roychowdhury

Cost-per-click (CPC) in paid search is a volatile auction outcome generated by a competitive landscape that is only partially observable from any single advertiser's history. Using Google Ads auction logs from a concentrated car-rental…

Advertisement (abbreviated ad) options are a recent development in online advertising. Simply, an ad option is a first look contract in which a publisher or search engine grants an advertiser a right but not obligation to enter into…

Computer Science and Game Theory · Computer Science 2015-12-11 Bowei Chen , Jun Wang

Interactions between bids to show ads online can lead to an advertiser's ad being shown to more men than women even when the advertiser does not target towards men. We design bidding strategies that advertisers can use to avoid such…

Computer Science and Game Theory · Computer Science 2019-09-06 Milad Nasr , Michael Tschantz

In sponsored search advertising, keywords serve as an essential bridge linking advertisers, search users and search engines. Advertisers have to deal with a series of keyword decisions throughout the entire lifecycle of search advertising…

Information Retrieval · Computer Science 2022-03-01 Yanwu Yang , Bernard J. Jansen , Yinghui Yang , Xunhua Guo , Daniel Zeng

In recent years, Optimized Cost Per Click (OCPC) and Optimized Cost Per Mille (OCPM) have emerged as the most widely adopted pricing models in the online advertising industry. However, the existing literature has yet to identify the…

Computer Science and Game Theory · Computer Science 2024-09-06 Kaichen Zhang , Zixuan Yuan , Hui Xiong

We consider budget constrained combinatorial auctions where bidder $i$ has a private value $v_i$, a budget $b_i$, and is interested in all the items in $S_i$. The value to agent $i$ of a set of items $R$ is $|R \cap S_i| \cdot v_i$. Such…

Computer Science and Game Theory · Computer Science 2010-04-21 Amos Fiat , Stefano Leonardi , Jared Saia , Piotr Sankowski

On most sponsored search platforms, advertisers bid on some keywords for their advertisements (ads). Given a search request, ad retrieval module rewrites the query into bidding keywords, and uses these keywords as keys to select Top N ads…

Information Retrieval · Computer Science 2018-04-25 Su Yan , Wei Lin , Tianshu Wu , Daorui Xiao , Xu Zheng , Bo Wu , Kaipeng Liu

In the cost per click (CPC) pricing model, an advertiser pays an ad network only when a user clicks on an ad; in turn, the ad network gives a share of that revenue to the publisher where the ad was impressed. Still, advertisers may be…

Applications · Statistics 2023-08-10 Gabriele Tolomei , Mounia Lalmas , Ayman Farahat , Andrew Haines