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We study approximation algorithms for revenue maximization based on static item pricing, where a seller chooses prices for various goods in the market, and then the buyers purchase utility-maximizing bundles at these given prices. We…

Computer Science and Game Theory · Computer Science 2017-05-03 Elliot Anshelevich , Shreyas Sekar

Learning effective pricing strategies is crucial in digital marketplaces, especially when buyers' valuations are unknown and must be inferred through interaction. We study the online contextual pricing problem, where a seller observes a…

Computer Science and Game Theory · Computer Science 2026-02-18 Joon Suk Huh , Kirthevasan Kandasamy

We consider a platform facilitating trade between sellers and buyers with the objective of maximizing consumer surplus. Even though in many such marketplaces prices are set by revenue-maximizing sellers, platforms can influence prices…

Theoretical Economics · Economics 2022-12-16 Yonatan Gur , Gregory Macnamara , Ilan Morgenstern , Daniela Saban

Showing items that do not match search query intent degrades customer experience in e-commerce. These mismatches result from counterfactual biases of the ranking algorithms toward noisy behavioral signals such as clicks and purchases in the…

Computation and Language · Computer Science 2020-05-08 Thanh V. Nguyen , Nikhil Rao , Karthik Subbian

In e-commerce advertising, it is crucial to jointly consider various performance metrics, e.g., user experience, advertiser utility, and platform revenue. Traditional auction mechanisms, such as GSP and VCG auctions, can be suboptimal due…

Computer Science and Game Theory · Computer Science 2021-07-15 Xiangyu Liu , Chuan Yu , Zhilin Zhang , Zhenzhe Zheng , Yu Rong , Hongtao Lv , Da Huo , Yiqing Wang , Dagui Chen , Jian Xu , Fan Wu , Guihai Chen , Xiaoqiang Zhu

This paper examines whether widely used online learning algorithms in pricing can independently reach competitive outcomes or instead foster tacit collusion. This issue has drawn considerable attention from competition regulators as…

Computer Science and Game Theory · Computer Science 2025-11-25 Martin Bichler , Julius Durmann , Matthias Oberlechner

In modern online platforms, incentives are essential factors that enhance user engagement and increase platform revenue. Over recent years, uplift modeling has been introduced as a strategic approach to assign incentives to individual…

Information Retrieval · Computer Science 2024-08-27 Zexu Sun , Hao Yang , Dugang Liu , Yunpeng Weng , Xing Tang , Xiuqiang He

As Internet-based commerce becomes increasingly widespread, large data sets about the demand for and pricing of a wide variety of products become available. These present exciting new opportunities for empirical economic and business…

Statistics Theory · Mathematics 2008-12-02 Anindya Ghose , Arun Sundararajan

The effectiveness of advertising in e-commerce largely depends on the ability of merchants to bid on and win impressions for their targeted users. The bidding procedure is highly complex due to various factors such as market competition,…

Information Retrieval · Computer Science 2023-12-29 Artem Betlei , Mariia Vladimirova , Mehdi Sebbar , Nicolas Urien , Thibaud Rahier , Benjamin Heymann

We consider the problem of supply and demand balancing that is stated as a minimization problem for the total expected revenue function describing the behavior of both consumers and suppliers. In the considered market model we assume that…

Optimization and Control · Mathematics 2021-06-29 Dmitry Pasechnyuk , Pavel Dvurechensky , Sergey Omelchenko , Alexander Gasnikov

On-Shelf Availability (OSA) of products in retail stores is a critical business criterion in the fast moving consumer goods and retails sector. When a product is out-of-stock (OOS) and a customer cannot find it on its designed shelf, this…

Machine Learning · Computer Science 2022-05-31 Dipendra Jha , Ata Mahjoubfar , Anupama Joshi

In this paper, we study multiple problems from sponsored product optimization in ad system, including position-based de-biasing, click-conversion multi-task learning, and calibration on predicted click-through-rate (pCTR). We propose a…

Information Retrieval · Computer Science 2023-04-19 Yanbing Xue , Bo Liu , Weizhi Du , Jayanth Korlimarla , Musen Men

In markets where customers tend to purchase baskets of products rather than single products, assortment optimization is a major challenge for retailers. Removing a product from a retailer's assortment can result in a severe drop in…

Optimization and Control · Mathematics 2025-11-18 Andrey Vasilyev , Sebastian Maier , Ralf W. Seifert

The relationship between demand and prices of a set of products can be modeled as a linear mapping from logarithmic price changes to logarithmic changes in demand. We consider the problem of estimating the coefficient matrix of this…

Optimization and Control · Mathematics 2026-04-15 Maximilian Schaller , Stephen Boyd

Promotions and discounts are essential components of modern e-commerce platforms, where they are often used to incentivize customers towards purchase completion. Promotions also affect revenue and may incur a monetary loss that is often…

Information Retrieval · Computer Science 2021-09-02 Javier Albert , Dmitri Goldenberg

Recommender systems are expected to be assistants that help human users find relevant information automatically without explicit queries. As recommender systems evolve, increasingly sophisticated learning techniques are applied and have…

Information Retrieval · Computer Science 2023-12-19 Zhengbang Zhu , Rongjun Qin , Junjie Huang , Xinyi Dai , Yang Yu , Yong Yu , Weinan Zhang

In large scale e-commerce marketplaces, duplicate product listings frequently cause consumer confusion and operational inefficiencies, degrading trust on the platform and increasing costs. Traditional keyword-based search methodologies…

Information Retrieval · Computer Science 2025-12-02 Aysenur Kulunk , Berk Taskin , M. Furkan Eseoglu , H. Bahadir Sahin

Matching markets face increasing needs to learn the matching qualities between demand and supply for effective design of matching policies. In practice, the matching rewards are high-dimensional due to the growing diversity of participants.…

Machine Learning · Statistics 2026-01-13 Zhiyuan Tang , Wanning Chen , Kan Xu

We consider a dynamic pricing problem where customer response to the current price is impacted by the customer price expectation, aka reference price. We study a simple and novel reference price mechanism where reference price is the…

Machine Learning · Computer Science 2024-07-23 Shipra Agrawal , Wei Tang

Recently, there is growing interest and need for dynamic pricing algorithms, especially, in the field of online marketplaces by offering smart pricing options for big online stores. We present an approach to adjust prices based on the…

Optimization and Control · Mathematics 2021-01-13 David Müller , Yurii Nesterov , Vladimir Shikhman