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The widespread adoption of online randomized controlled experiments (A/B Tests) for decision-making has created ongoing capacity constraints which necessitate interim analyses. As a consequence, platform users are increasingly motivated to…

Applications · Statistics 2025-11-11 Abbas Zaidi , Rina Friedberg , Samir Khan , Yao-Yang Leow , Maulik Soneji , Houssam Nassif , Richard Mudd

In the new digital age, information is available in large quantities. Since information consumes primarily the attention of its recipients, the scarcity of attention is becoming the main limiting factor. In this study, we investigate the…

Social and Information Networks · Computer Science 2014-11-26 Uzay Cetin , Haluk O. Bingol

Online media provides opportunities for marketers through which they can deliver effective brand messages to a wide range of audiences. Advertising technology platforms enable advertisers to reach their target audience by delivering ad…

Artificial Intelligence · Computer Science 2016-01-12 Shahriar Shariat , Burkay Orten , Ali Dasdan

Consumer behavior under social influence is a well-known phenomenon and computer scientists and economists are prevalently trying to analyze the dynamics behind decision making during the consumption process through agent-based modeling…

Social and Information Networks · Computer Science 2022-10-18 Eren Arkangil

Digital advertising markets are growing and attracting increased scrutiny. This paper explores four market inefficiencies that remain poorly understood: ad effect measurement, frictions between and within advertising channel members, ad…

General Economics · Economics 2020-02-25 Brett R Gordon , Kinshuk Jerath , Zsolt Katona , Sridhar Narayanan , Jiwoong Shin , Kenneth C Wilbur

Incrementality, which is used to measure the causal effect of showing an ad to a potential customer (e.g. a user in an internet platform) versus not, is a central object for advertisers in online advertising platforms. This paper…

Machine Learning · Computer Science 2023-01-18 Ashwinkumar Badanidiyuru , Zhe Feng , Tianxi Li , Haifeng Xu

This paper presents models for predicted click-through rates in position auctions that take into account two possibilities that are not normally considered---that the identities of ads shown in other positions may affect the probability…

Computer Science and Game Theory · Computer Science 2014-09-17 Patrick Hummel , R. Preston McAfee

A/B testing, or online experiment is a standard business strategy to compare a new product with an old one in pharmaceutical, technological, and traditional industries. Major challenges arise in online experiments of two-sided marketplace…

Machine Learning · Computer Science 2022-11-04 Chengchun Shi , Xiaoyu Wang , Shikai Luo , Hongtu Zhu , Jieping Ye , Rui Song

Difference-in-differences is a common method for estimating treatment effects, and the parallel trends condition is its main identifying assumption: the trend in mean untreated outcomes is independent of the observed treatment status. In…

Econometrics · Economics 2023-08-09 Philip Marx , Elie Tamer , Xun Tang

In the past decade, the technology industry has adopted online randomized controlled experiments (a.k.a. A/B testing) to guide product development and make business decisions. In practice, A/B tests are often implemented with increasing…

Methodology · Statistics 2023-03-27 Kevin Han , Shuangning Li , Jialiang Mao , Han Wu

As online shopping becomes ever more prevalent, customers rely increasingly on product rating websites for making purchase decisions. The reliability of online ratings, however, is potentially compromised by the so-called herding effect:…

Computers and Society · Computer Science 2018-03-05 Gael Lederrey , Robert West

In classical causal inference, inferring cause-effect relations from data relies on the assumption that units are independent and identically distributed. This assumption is violated in settings where units are related through a network of…

Artificial Intelligence · Computer Science 2022-07-05 Razieh Nabi , Joel Pfeiffer , Murat Ali Bayir , Denis Charles , Emre Kıcıman

Contemporary real-world online ad auctions differ from canonical models [Edelman et al., 2007; Varian, 2009] in at least four ways: (1) values and click-through rates can depend upon users' search queries, but advertisers can only partially…

Machine Learning · Computer Science 2024-04-11 Ming Chen , Sareh Nabi , Marciano Siniscalchi

Search Engine marketing teams in the e-commerce industry manage global search engine traffic to their websites with the aim to optimize long-term profitability by delivering the best possible customer experience on Search Engine Results…

Information Retrieval · Computer Science 2025-06-30 Purak Jain , Sandeep Appala

The causal effect of showing an ad to a potential customer versus not, commonly referred to as "incrementality", is the fundamental question of advertising effectiveness. In digital advertising three major puzzle pieces are central to…

Machine Learning · Computer Science 2022-08-30 Randall Lewis , Jeffrey Wong

Recent scholarly work has extensively examined the phenomenon of algorithmic collusion driven by AI-enabled pricing algorithms. However, online platforms commonly deploy recommender systems that influence how consumers discover and purchase…

Artificial Intelligence · Computer Science 2024-12-17 Xingchen Xu , Stephanie Lee , Yong Tan

In this paper, we examine the biases that arise when firms run A/B tests on continuous parameters to estimate global treatment effects on performance metrics of interest; we particularly focus on price experiments to measure the price…

Methodology · Statistics 2026-01-22 Ramesh Johari , Orrie B. Page , Gabriel Y. Weintraub

The rise of algorithmic pricing in online retail platforms has attracted significant interest in how autonomous software agents interact under competition. This article explores the potential emergence of algorithmic collusion -…

Computer Science and Game Theory · Computer Science 2025-04-24 Martin Bichler , Julius Durmann , Matthias Oberlechner

Online advertising platforms must decide how to allocate multiple ads across limited screen real estate, where each ad's effectiveness depends not only on its own placement but also on nearby ads competing for user attention. Such spatial…

Computer Science and Game Theory · Computer Science 2026-02-16 Gagan Aggarwal , Yifan Wang , Mingfei Zhao

Today's online advertisers procure digital ad impressions through interacting with autobidding platforms: advertisers convey high level procurement goals via setting levers such as budget, target return-on-investment, max cost per click,…

Information Retrieval · Computer Science 2023-07-13 Jason Cheuk Nam Liang , Haihao Lu , Baoyu Zhou