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In online ad markets, a rising number of advertisers are employing bidding agencies to participate in ad auctions. These agencies are specialized in designing online algorithms and bidding on behalf of their clients. Typically, an agency…

Computer Science and Game Theory · Computer Science 2023-06-14 Yurong Chen , Qian Wang , Zhijian Duan , Haoran Sun , Zhaohua Chen , Xiang Yan , Xiaotie Deng

Implicit feedback has been widely used to build commercial recommender systems. Because observed feedback represents users' click logs, there is a semantic gap between true relevance and observed feedback. More importantly, observed…

Information Retrieval · Computer Science 2022-07-27 Jae-woong Lee , Seongmin Park , Joonseok Lee , Jongwuk Lee

Bid leakage is a corrupt scheme in a first-price sealed-bid auction in which the procurer leaks the opponents' bids to a favoured participant. The rational behaviour of such participant is to bid close to the deadline in order to receive…

General Economics · Economics 2020-11-04 Dmitry I. Ivanov , Alexander S. Nesterov

Additive two-tower models are popular learning-to-rank methods for handling biased user feedback in industry settings. Recent studies, however, report a concerning phenomenon: training two-tower models on clicks collected by well-performing…

Information Retrieval · Computer Science 2025-06-26 Philipp Hager , Onno Zoeter , Maarten de Rijke

Real-Time Bidding (RTB) enables advertisers to place competitive bids on impression opportunities instantaneously, striving for cost-effectiveness in a highly competitive landscape. Although RTB has widely benefited from the utilization of…

Artificial Intelligence · Computer Science 2025-02-04 Leng Cai , Junxuan He , Yikai Li , Junjie Liang , Yuanping Lin , Ziming Quan , Yawen Zeng , Jin Xu

We propose a new method for flagging bid rigging, which is particularly useful for detecting incomplete bid-rigging cartels. Our approach combines screens, i.e. statistics derived from the distribution of bids in a tender, with machine…

Econometrics · Economics 2020-04-14 Hannes Wallimann , David Imhof , Martin Huber

Most modern ticketing systems rely on a first-come-first-serve or randomized allocation system to determine the allocation of tickets. Such systems has received considerable backlash in recent years due to its inequitable allotment and…

General Economics · Economics 2023-09-21 Boxiang Fu

The autobidding system generates huge revenue for advertising platforms, garnering substantial research attention. Existing studies in autobidding systems focus on designing Autobidding Incentive Compatible (AIC) mechanisms, where the…

Computer Science and Game Theory · Computer Science 2024-11-21 Bingzhe Wang , Ruohan Qian , Yuejia Dou , Qi Qi , Bo Shen , Changyuan Li , Yixuan Zhang , Yixin Su , Xin Yuan , Wenqiang liu , Bin Zou , Wen Yi , Zhi Guo , Shuanglong Li , Liu Lin

This paper presents a multi-agent reinforcement learning algorithm to represent strategic bidding behavior in freight transport markets. Using this algorithm, we investigate whether feasible market equilibriums arise without any central…

Machine Learning · Computer Science 2021-02-19 Wouter van Heeswijk

First-price auctions have recently gained significant traction in digital advertising markets, exemplified by Google's transition from second-price to first-price auctions. Unlike in second-price auctions, where bidding one's private…

Machine Learning · Computer Science 2025-10-07 Zihao Hu , Xiaoyu Fan , Yuan Yao , Jiheng Zhang , Zhengyuan Zhou

Traditional approaches to ranking in web search follow the paradigm of rank-by-score: a learned function gives each query-URL combination an absolute score and URLs are ranked according to this score. This paradigm ensures that if the score…

Machine Learning · Computer Science 2012-07-03 Or Sheffet , Nina Mishra , Samuel Ieong

The ad-trading desks of media-buying agencies are increasingly relying on complex algorithms for purchasing advertising inventory. In particular, Real-Time Bidding (RTB) algorithms respond to many auctions -- usually Vickrey auctions --…

Optimization and Control · Mathematics 2016-06-20 Joaquin Fernandez-Tapia , Olivier Guéant , Jean-Michel Lasry

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

Efficiently allocating treatments with a budget constraint constitutes an important challenge across various domains. In marketing, for example, the use of promotions to target potential customers and boost conversions is limited by the…

Machine Learning · Computer Science 2024-05-06 Toon Vanderschueren , Wouter Verbeke , Felipe Moraes , Hugo Manuel Proença

Digital advertising platforms operate millisecond-level auctions through Real-Time Bidding (RTB) systems, where advertisers compete for ad impressions through algorithmic bids. This dynamic mechanism enables precise audience targeting but…

Machine Learning · Computer Science 2025-08-11 Pusen Dong , Chenglong Cao , Xinyu Zhou , Jirong You , Linhe Xu , Feifan Xu , Shuo Yuan

Implicit feedback is widely leveraged in recommender systems since it is easy to collect and provides weak supervision signals. Recent works reveal a huge gap between the implicit feedback and user-item relevance due to the fact that…

Information Retrieval · Computer Science 2022-06-02 Can Chen , Chen Ma , Xi Chen , Sirui Song , Hao Liu , Xue Liu

In this paper, we develop a new method for finding an optimal biddingstrategy in sequential auctions, using a dynamic programming technique. Theexisting method assumes that the utility of a user is represented in anadditive form. Thus, the…

Computer Science and Game Theory · Computer Science 2013-01-14 Hiromitsu Hattori , Makoto Yokoo , Yuko Sakurai , Toramatsu Shintani

Recommender systems are used in variety of domains affecting people's lives. This has raised concerns about possible biases and discrimination that such systems might exacerbate. There are two primary kinds of biases inherent in recommender…

Information Retrieval · Computer Science 2018-09-25 Golnoosh Farnadi , Pigi Kouki , Spencer K. Thompson , Sriram Srinivasan , Lise Getoor

In markets such as digital advertising auctions, bidders want to maximize value rather than payoff. This is different to the utility functions typically assumed in auction theory and leads to different strategies and outcomes. We refer to…

Computer Science and Game Theory · Computer Science 2016-07-14 Salman Fadaei , Martin Bichler

In practice, most auction mechanisms are not strategy-proof, so equilibrium analysis is required to predict bidding behavior. In many auctions, though, an exact equilibrium is not known and one would like to understand whether -- manually…

Computer Science and Game Theory · Computer Science 2024-08-22 Fabian R. Pieroth , Tuomas Sandholm
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