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Assortment optimization is a fundamental challenge in modern retail and recommendation systems, where the goal is to select a subset of products that maximizes expected revenue under complex customer choice behaviors. While recent advances…

Machine Learning · Statistics 2026-03-11 Miao Lu , Yuxuan Han , Han Zhong , Zhengyuan Zhou , Jose Blanchet

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

Lately, personalized marketing has become important for retail/e-retail firms due to significant rise in online shopping and market competition. Increase in online shopping and high market competition has led to an increase in promotional…

Machine Learning · Computer Science 2020-10-19 Ankur Verma

We consider an assortment selection and pricing problem in which a seller has $N$ different items available for sale. In each round, the seller observes a $d$-dimensional contextual preference information vector for the user, and offers to…

Machine Learning · Computer Science 2025-03-18 Yigit Efe Erginbas , Thomas A. Courtade , Kannan Ramchandran

In this paper, we consider a Markov chain choice model with single transition. In this model, customers arrive at each product with a certain probability. If the arrived product is unavailable, then the seller can recommend a subset of…

Optimization and Control · Mathematics 2017-02-14 Kameng Nip , Zhenbo Wang , Zizhuo Wang

Selecting which products to display and at what prices is a central decision in retail and e-commerce operations. In many applications, these two choices must be made jointly under limited display capacity and uncertain customer demand. In…

Optimization and Control · Mathematics 2026-04-22 Yunfan Zhang , Yuxuan Han , Hongyu Shan , Jose Blanchet , Zhengyuan Zhou

In this paper, we study the assortment optimization problem faced by many online retailers such as Amazon. We develop a \emph{cascade multinomial logit model}, based on the classic multinomial logit model, to capture the consumers'…

Machine Learning · Computer Science 2020-07-15 Shaojie Tang , Jing Yuan

We study adaptive two-sided assortment optimization for revenue maximization in choice-based matching platforms. The platform has two sides of agents, an initiating side, and a responding side. The decision-maker sequentially selects agents…

Computer Science and Game Theory · Computer Science 2025-08-13 Mohammadreza Ahmadnejadsaein , Omar El Housni

In this paper we deal with stochastic optimization problems where the data distributions change in response to the decision variables. Traditionally, the study of optimization problems with decision-dependent distributions has assumed…

Optimization and Control · Mathematics 2023-10-05 Zifan Wang , Changxin Liu , Thomas Parisini , Michael M. Zavlanos , Karl H. Johansson

In the online sorting problem, $n$ items are revealed one by one and have to be placed (immediately and irrevocably) into empty cells of a size-$n$ array. The goal is to minimize the sum of absolute differences between items in consecutive…

Data Structures and Algorithms · Computer Science 2024-06-28 Mikkel Abrahamsen , Ioana O. Bercea , Lorenzo Beretta , Jonas Klausen , László Kozma

Finding the optimal product prices and product assortment are two fundamental problems in revenue management. Usually, a seller needs to jointly determine the prices and assortment while managing a network of resources with limited…

Optimization and Control · Mathematics 2022-04-12 Anton J. Kleywegt , Hongzhang Shao

Consider a storage area where arriving items are stored temporarily in bounded capacity stacks until their departure. We look into the problem of deciding where to put an arriving item with the objective of minimizing the maximum number of…

Data Structures and Algorithms · Computer Science 2020-06-11 Martin Olsen , Allan Gross

Ranking algorithms are deployed widely to order a set of items in applications such as search engines, news feeds, and recommendation systems. Recent studies, however, have shown that, left unchecked, the output of ranking algorithms can…

Data Structures and Algorithms · Computer Science 2018-07-31 L. Elisa Celis , Damian Straszak , Nisheeth K. Vishnoi

We study an online version of the max-min fair allocation problem for indivisible items. In this problem, items arrive one by one, and each item must be allocated irrevocably on arrival to one of $n$ agents, who have additive valuations for…

Computer Science and Game Theory · Computer Science 2021-11-16 Yasushi Kawase , Hanna Sumita

Retailers have significant potential to improve recommendations through strategic bundling and pricing. By taking into account different types of customers and their purchasing decisions, retailers can better accommodate customer…

Optimization and Control · Mathematics 2024-09-06 Maxime Bouscary , Mazen Danaf , Saurabh Amin

In this study, we investigate the problem of dynamic multi-product selection and pricing by introducing a novel framework based on a \textit{censored multinomial logit} (C-MNL) choice model. In this model, sellers present a set of products…

Machine Learning · Statistics 2025-04-04 Jung-hun Kim , Min-hwan Oh

The majority of online marketplaces offer promotion programs to sellers to acquire additional customers for their products. These programs typically allow sellers to allocate advertising budgets to promote their products, with higher…

Computer Science and Game Theory · Computer Science 2025-02-05 Anastasiia Soboleva , Alexander Ledovsky , Yuriy Dorn , Egor Samosvat , Andrey Tikhanov , Fyodor Prazdnikov

Online platforms, such as Airbnb, hotels.com, Amazon, Uber and Lyft, can control and optimize many aspects of product search to improve the efficiency of marketplaces. Here we focus on a common model, called the discriminatory control…

Computer Science and Game Theory · Computer Science 2019-08-21 Zhenzhe Zheng , R. Srikant

We consider a simple approach to solving assortment optimization under the random utility maximization model. The approach uses Monte-Carlo simulation to construct a ranking-based choice model that serves as a proxy for the true choice…

Optimization and Control · Mathematics 2025-10-02 Hassaan Khalid , Bradley Sturt

Price differentiation is a common strategy in many markets. In this paper, we study a static multiproduct price optimization problem with demand given by a discrete mixed multinomial logit model. By considering a mixed logit model that…

Optimization and Control · Mathematics 2023-04-05 Ahmadreza Marandi , Virginie Lurkin