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Demand forecasting in the online fashion industry is particularly amendable to global, data-driven forecasting models because of the industry's set of particular challenges. These include the volume of data, the irregularity, the high…

Inspired by the success of deep learning (DL) in natural language processing (NLP), we applied cutting-edge DL techniques to predict flight departure demand in a strategic time horizon (4 hours or longer). This work was conducted in support…

Machine Learning · Computer Science 2021-11-08 Liya Wang , Amy Mykityshyn , Craig Johnson , Benjamin D. Marple

Demand response (DR) is becoming increasingly important as the volatility on the grid continues to increase. Current DR approaches are completely manual and rule-based or involve deriving first principles based models which are extremely…

Systems and Control · Computer Science 2016-11-17 Madhur Behl , Achin Jain , Rahul Mangharam

Auto-bidding is widely used in advertising systems, serving a diverse range of advertisers. Generative bidding is increasingly gaining traction due to its strong planning capabilities and generalizability. Unlike traditional reinforcement…

Machine Learning · Computer Science 2025-08-26 Yunshan Peng , Wenzheng Shu , Jiahao Sun , Yanxiang Zeng , Jinan Pang , Wentao Bai , Yunke Bai , Xialong Liu , Peng Jiang

We consider a novel formulation of the dynamic pricing and demand learning problem, where the evolution of demand in response to posted prices is governed by a stochastic variant of the popular Bass model with parameters $\alpha, \beta$…

Machine Learning · Computer Science 2021-03-10 Shipra Agrawal , Steven Yin , Assaf Zeevi

We consider a profit maximization problem in an urban mobility on-demand service, of which the operator owns a fleet, provides both exclusive and shared trip services, and dynamically determines prices of offers. With knowledge of the…

Optimization and Control · Mathematics 2018-02-13 Han Qiu , Ruimin Li , Jinhua Zhao

The proliferation of ride sharing systems is a major drive in the advancement of autonomous and electric vehicle technologies. This paper considers the joint routing, battery charging, and pricing problem faced by a profit-maximizing…

Systems and Control · Electrical Eng. & Systems 2020-10-05 Berkay Turan , Ramtin Pedarsani , Mahnoosh Alizadeh

Conventional Public Transport (PT) cannot support the mobility needs in weak demand areas. Such areas could be better served by integrating, within PT, Demand-Responsive Transport (DRT), in which bus routes dynamically adapt to user demand.…

Physics and Society · Physics 2025-01-06 Pierfrancesco Leonardi , Vincenza Torrisi , Andrea Araldo , Matteo Ignaccolo

Unexpected advertising items in sponsored search may reduce users' reliance on organic search, resulting in hidden cost for the e-commerce platform. To address this problem and promote sustainable growth, we propose a dynamic reserve price…

Computer Science and Game Theory · Computer Science 2025-08-26 Mang Li

Demand response (DR) leverages demand-side flexibility, offering a promising approach to enhance market conditions like mitigating wholesale price spikes. However, poorly chosen DR locations can inadvertently increase electricity prices.…

Systems and Control · Electrical Eng. & Systems 2024-08-06 Yufan Zhang , Honglin Wen , Tao Feng , Yize Chen

This paper provides a systematic comparison between Fitted Dynamic Programming (DP), where demand is estimated from data, and Reinforcement Learning (RL) methods in finite-horizon dynamic pricing problems. We analyze their performance…

General Economics · Economics 2026-04-16 Lev Razumovskiy , Nikolay Karenin

Short-term forecasting models typically assume the availability of input data (features) when they are deployed and in use. However, equipment failures, disruptions, cyberattacks, may lead to missing features when such models are used…

Machine Learning · Statistics 2025-06-30 Akylas Stratigakos , Panagiotis Andrianesis

This paper explores the application of a reinforcement learning (RL) framework using the Q-Learning algorithm to enhance dynamic pricing strategies in the retail sector. Unlike traditional pricing methods, which often rely on static demand…

Machine Learning · Computer Science 2024-11-28 Mohit Apte , Ketan Kale , Pranav Datar , Pratiksha Deshmukh

Auto-bidding services optimize real-time bidding strategies for advertisers under key performance indicator (KPI) constraints such as target return on investment and budget. However, uncertainties such as model prediction errors and…

Computer Science and Game Theory · Computer Science 2026-04-08 Linghui Meng , Chun Gan , Shengsheng Niu , Chengcheng Zhang , Chenchen Li , Chuan Yang , Yi Mao , Xin Zhu , Jie He , Zhangang Lin , Ching Law

Demand estimation plays an important role in dynamic pricing where the optimal price can be obtained via maximizing the revenue based on the demand curve. In online hotel booking platform, the demand or occupancy of rooms varies across…

General Economics · Economics 2022-08-12 Fanwei Zhu , Wendong Xiao , Yao Yu , Ziyi Wang , Zulong Chen , Quan Lu , Zemin Liu , Minghui Wu , Shenghua Ni

The last decade witnessed an explosion in the availability of data for operations research applications. Motivated by this growing availability, we propose a novel schema for utilizing data to design uncertainty sets for robust optimization…

Optimization and Control · Mathematics 2014-11-25 Dimitris Bertsimas , Vishal Gupta , Nathan Kallus

We study a demand response problem from utility (also referred to as operator)'s perspective with realistic settings, in which the utility faces uncertainty and limited communication. Specifically, the utility does not know the cost…

Optimization and Control · Mathematics 2017-08-11 Pan Li , Hao Wang , Baosen Zhang

We study the problem when a firm sets prices for products based on the transaction data, i.e., which product past customers chose from an assortment and what were the historical prices that they observed. Our approach does not impose a…

Optimization and Control · Mathematics 2022-03-18 Ningyuan Chen , Andre Cire , Ming Hu , Saman Lagzi

Managing millions of digital auctions is an essential task for modern advertising auction systems. The main approach to managing digital auctions is an autobidding approach, which depends on the Click-Through Rate and Conversion Rate…

Computer Science and Game Theory · Computer Science 2025-10-13 Andrey Pudovikov , Alexandra Khirianova , Ekaterina Solodneva , Gleb Molodtsov , Aleksandr Katrutsa , Yuriy Dorn , Egor Samosvat

We consider a periodical equilibrium pricing problem for multiple firms over a planning horizon of T periods. At each period, firms set their selling prices and receive stochastic demand from consumers. Firms do not know their underlying…

Computer Science and Game Theory · Computer Science 2024-06-07 Yongge Yang , Yu-Ching Lee , Po-An Chen
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