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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

Promotions play a crucial role in e-commerce platforms, and various cost structures are employed to drive user engagement. This paper focuses on promotions with response-dependent costs, where expenses are incurred only when a purchase is…

Machine Learning · Computer Science 2023-08-11 Hugo Manuel Proença , Felipe Moraes

The functional linear regression model with points of impact is a recent augmentation of the classical functional linear model with many practically important applications. In this work, however, we demonstrate that the existing data-driven…

Applications · Statistics 2020-01-14 Dominik Liebl , Stefan Rameseder , Christoph Rust

Click-through rate (CTR) prediction is a crucial task in online advertising to recommend products that users are likely to be interested in. To identify the best-performing models, rigorous model evaluation is necessary. Offline…

Information Retrieval · Computer Science 2024-06-27 Ramazan Tarik Turksoy , Beyza Turkmen

This research focuses on the bid optimization problem in the real-time bidding setting for online display advertisements, where an advertiser, or the advertiser's agent, has access to the features of the website visitor and the type of ad…

Machine Learning · Computer Science 2022-10-31 Rui Fan , Erick Delage

Calibration is defined as the ratio of the average predicted click rate to the true click rate. The optimization of calibration is essential to many online advertising recommendation systems because it directly affects the downstream bids…

Machine Learning · Computer Science 2023-03-22 Yewen Fan , Nian Si , Kun Zhang

In display advertising, advertisers want to achieve a marketing objective with constraints on budget and cost-per-outcome. This is usually formulated as an optimization problem that maximizes the total utility under constraints. The…

Computer Science and Game Theory · Computer Science 2024-09-09 Anoop R Katti , Rui C. Gonçalves , Rinchin Iakovlev

In light of the growing market of Ad Exchanges for the real-time sale of advertising slots, publishers face new challenges in choosing between the allocation of contract-based reservation ads and spot market ads. In this setting, the…

Optimization and Control · Mathematics 2012-09-25 Santiago Balseiro , Jon Feldman , Vahab Mirrokni , S. Muthukrishnan

Problem definition: Most of the display advertising inventory is sold through real-time auctions. The participants of these auctions are typically bidders (Google, Criteo, RTB House, Trade Desk for instance) who participate on behalf of…

Computer Science and Game Theory · Computer Science 2023-08-08 Martin Bompaire , Antoine Désir , Benjamin Heymann

We discuss a multi-objective/goal programming model for the allocation of inventory of graphical advertisements. The model considers two types of campaigns: guaranteed delivery (GD), which are sold months in advance, and non-guaranteed…

Computational Engineering, Finance, and Science · Computer Science 2010-08-23 Jian Yang , Erik Vee , Sergei Vassilvitskii , John Tomlin , Jayavel Shanmugasundaram , Tasos Anastasakos , Oliver Kennedy

We revisit the online dynamic acknowledgment problem. In the problem, a sequence of requests arrive over time to be acknowledged, and all outstanding requests can be satisfied simultaneously by one acknowledgement. The goal of the problem…

Data Structures and Algorithms · Computer Science 2023-05-30 Sungjin Im , Benjamin Moseley , Chenyang Xu , Ruilong Zhang

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

Online experiments are a fundamental component of the development of web-facing products. Given their large user-bases, even small product improvements can have a large impact on user engagement or profits on an absolute scale. As a result,…

Methodology · Statistics 2019-08-23 Jacopo Soriano

In markets for online advertising, some advertisers pay only when users respond to ads. So publishers estimate ad response rates and multiply by advertiser bids to estimate expected revenue for showing ads. Since these estimates may be…

Computer Science and Game Theory · Computer Science 2015-06-08 Ragavendran Gopalakrishnan , Eric Bax , Krishna Prasad Chitrapura , Sachin Garg

Click-Through Rate (CTR) prediction models are integral to a myriad of industrial settings, such as personalized search advertising. Current methods typically involve feature extraction from users' historical behavior sequences combined…

Machine Learning · Computer Science 2025-07-16 Lingwei Kong , Lu Wang , Changping Peng , Zhangang Lin , Ching Law , Jingping Shao

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

Industrial recommender systems are frequently tasked with approximating probabilities for multiple, often closely related, user actions. For example, predicting if a user will click on an advertisement and if they will then purchase the…

Information Retrieval · Computer Science 2021-09-01 Conor O'Brien , Kin Sum Liu , James Neufeld , Rafael Barreto , Jonathan J Hunt

Many web systems rank and present a list of items to users, from recommender systems to search and advertising. An important problem in practice is to evaluate new ranking policies offline and optimize them before they are deployed. We…

Machine Learning · Computer Science 2018-06-15 Shuai Li , Yasin Abbasi-Yadkori , Branislav Kveton , S. Muthukrishnan , Vishwa Vinay , Zheng Wen

We consider training a binary classifier under delayed feedback (\emph{DF learning}). For example, in the conversion prediction in online ads, we initially receive negative samples that clicked the ads but did not buy an item; subsequently,…

Machine Learning · Computer Science 2022-06-13 Masahiro Kato , Shota Yasui

Predicting user response is one of the core machine learning tasks in computational advertising. Field-aware Factorization Machines (FFM) have recently been established as a state-of-the-art method for that problem and in particular won two…

Machine Learning · Computer Science 2017-02-24 Yuchin Juan , Damien Lefortier , Olivier Chapelle