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Related papers: Multiplicative Bidding in Online Advertising

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Diverse keyword suggestions for a given landing page or matching queries to diverse documents is an active research area in online advertising. Modern search engines provide advertisers with products like Dynamic Search Ads and Smart…

Information Retrieval · Computer Science 2020-12-02 Shreya Malani , Dinesh Gaurav , Anoop Vallabhajosyula , Rahul Agrawal

We conduct experiments with algorithmic pricing agents based on Large Language Models (LLMs). In oligopoly settings, LLM-based pricing agents quickly and autonomously reach supracompetitive prices and profits. Variation in seemingly…

General Economics · Economics 2026-03-09 Sara Fish , Yannai A. Gonczarowski , Ran I. Shorrer

Bidding optimization is one of the most critical problems in online advertising. Sponsored search (SS) auction, due to the randomness of user query behavior and platform nature, usually adopts keyword-level bidding strategies. In contrast,…

Artificial Intelligence · Computer Science 2018-03-02 Jun Zhao , Guang Qiu , Ziyu Guan , Wei Zhao , Xiaofei He

Over the past few years, more and more Internet advertisers have started using automated bidding for optimizing their advertising campaigns. Such advertisers have an optimization goal (e.g. to maximize conversions), and some constraints…

Computer Science and Game Theory · Computer Science 2023-02-01 Gagan Aggarwal , Andres Perlroth , Junyao Zhao

We consider the "Offline Ad Slot Scheduling" problem, where advertisers must be scheduled to "sponsored search" slots during a given period of time. Advertisers specify a budget constraint, as well as a maximum cost per click, and may not…

Computer Science and Game Theory · Computer Science 2008-01-21 Jon Feldman , S. Muthukrishnan , Evdokia Nikolova , Martin Pal

Simultaneous ascending auctions present agents with the exposure problem: bidding to acquire a bundle risks the possibility of obtaining an undesired subset of the goods. Auction theory provides little guidance for dealing with this…

Computer Science and Game Theory · Computer Science 2012-07-09 Anna Osepayshvili , Michael P. Wellman , Daniel Reeves , Jeffrey K. MacKie-Mason

Online advertising has been the major monetization approach for Internet companies. Advertisers invest budgets to bid for real-time impressions to gain direct and indirect returns. Existing works have been concentrating on optimizing direct…

Computer Science and Game Theory · Computer Science 2019-03-12 Hao Liu , Yunze Li , Qinyu Cao , Guang Qiu , Jiming Chen

Auto-bidding is crucial in facilitating online advertising by automatically providing bids for advertisers. While previous work has made great efforts to model bidding environments for better ad performance, it has limitations in…

Artificial Intelligence · Computer Science 2026-03-17 Jiahao Ji , Tianyu Wang , Yeshu Li , Yushen Huo , Zhilin Zhang , Chuan Yu , Jian Xu , Bo Zheng

Computing lower and upper bounds on the competitive ratio of online algorithms is a challenging question: For a minimization combinatorial problem, proving a competitive ratio for a given algorithm leads to an upper bound. However computing…

Computer Science and Game Theory · Computer Science 2022-12-19 Antoine Lhomme , Olivier Romane , Nicolas Catusse , Nadia Brauner

In this paper, we investigate the online allocation problem of maximizing the overall revenue subject to both lower and upper bound constraints. Compared to the extensively studied online problems with only resource upper bounds, the…

Machine Learning · Computer Science 2023-01-31 Qixin Zhang , Wenbing Ye , Zaiyi Chen , Haoyuan Hu , Enhong Chen , Yang Yu

Real-time bidding (RTB) has become a critical way of online advertising. In RTB, an advertiser can participate in bidding ad impressions to display its advertisements. The advertiser determines every impression's bidding price according to…

Machine Learning · Computer Science 2021-10-12 Mengjuan Liu , Jinyu Liu , Zhengning Hu , Yuchen Ge , Xuyun Nie

With the increasing scale of search engine marketing, designing an efficient bidding system is becoming paramount for the success of e-commerce companies. The critical challenges faced by a modern industrial-level bidding system include: 1.…

Computation and Language · Computer Science 2021-08-09 Cheng Jie , Da Xu , Zigeng Wang , Lu Wang , Wei Shen

In display ad auctions of Real-Time Bid-ding (RTB), a typical Demand-Side Platform (DSP)bids based on the predicted probability of click and conversion right after an ad impression. Recent studies find such a strategy is suboptimal and…

Information Retrieval · Computer Science 2022-03-01 Daisuke Moriwaki , Yuta Hayakawa , Akira Matsui , Yuta Saito , Isshu Munemasa , Masashi Shibata

Predicting click and conversion probabilities when bidding on ad exchanges is at the core of the programmatic advertising industry. Two separated lines of previous works respectively address i) the prediction of user conversion probability…

Machine Learning · Statistics 2017-07-24 Eustache Diemert , Julien Meynet , Pierre Galland , Damien Lefortier

The real-time bidding (RTB), aka programmatic buying, has recently become the fastest growing area in online advertising. Instead of bulking buying and inventory-centric buying, RTB mimics stock exchanges and utilises computer algorithms to…

Computer Science and Game Theory · Computer Science 2013-06-28 Shuai Yuan , Jun Wang , Xiaoxue Zhao

We present a number of models for the adword auctions used for pricing advertising slots on search engines such as Google, Yahoo! etc. We begin with a general problem formulation which allows the privately known valuation per click to be a…

Computer Science and Game Theory · Computer Science 2007-05-23 Garud Iyengar , Anuj Kumar

Online auction scenarios, such as bidding searches on advertising platforms, often require bidders to participate repeatedly in auctions for identical or similar items. Most previous studies have only considered the process by which the…

Computer Science and Game Theory · Computer Science 2024-02-28 Yudong Hu , Congying Han , Tiande Guo , Hao Xiao

Online advertising banners are sold in real-time through auctions.Typically, the more banners a user is shown, the smaller the marginalvalue of the next banner for this user is. This fact can be detected bybasic ML models, that can be used…

Computer Science and Game Theory · Computer Science 2024-07-16 Benjamin Heymann , Rémi Chan--Renous-Legoubin , Alexandre Gilotte

We present an algorithm for constructing an optimal slate of sponsored search advertisements which respects the ordering that is the outcome of a generalized second price auction, but which must also accommodate complicating factors such as…

Discrete Mathematics · Computer Science 2007-06-12 S. Sathiya Keerthi , John A. Tomlin

In this paper, we deal with the uncertainty of bidding for display advertising. Similar to the financial market trading, real-time bidding (RTB) based display advertising employs an auction mechanism to automate the impression level media…

Computer Science and Game Theory · Computer Science 2017-01-23 Haifeng Zhang , Weinan Zhang , Yifei Rong , Kan Ren , Wenxin Li , Jun Wang
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