Optimal delivery in display advertising

In display advertising, a publisher targets a specific audience by displaying ads on content web pages. Because the publisher has little control over the supply of display opportunities, the actual supply of ads that it can sell is stochastic. We consider the problem of optimal ad delivery, where an advertiser requests a certain number of impressions to be displayed by the publisher over a certain time horizon. Time is divided into periods, and in the beginning of each period the publisher chooses a fraction of the still unrealized supply to allocate towards fulfilling the advertiser's demand. The goal is to be able to fulfill the demand at the end of the horizon with minimal costs incurred from penalties associated with shortage or over-delivery of ads. We describe optimal policies that are both simple in structure and easy to implement for several variations of this problem

Optimal delivery in display advertising

In display advertising, a publisher targets a specific audience by displaying ads on content web pages. Because the publisher has little control over the supply of display opportunities, the actual supply of ads that it can sell is stochastic. We consider the problem of optimal ad delivery, where an advertiser requests a certain number of impressions to be displayed by the publisher over a certain time horizon. Time is divided into periods, and in the beginning of each period the publisher chooses a fraction of the still unrealized supply to allocate towards fulfilling the advertiser's demand. The goal is to be able to fulfill the demand at the end of the horizon with minimal costs incurred from penalties associated with shortage or over-delivery of ads. We describe optimal policies that are both simple in structure and easy to implement for several variations of this problem

A Combinatorial Allocation Mechanism With Penalties For Banner Advertising

Most current banner advertising is sold through negotiation thereby incurring large transaction costs and possibly suboptimal allocations. We propose a new automated system for selling banner advertising. In this system, each advertiser specifies a collection of host webpages which are relevant to his product, a desired total quantity of impressions on these pages, and a maximum per-impression price. The system selects a subset of advertisers as winners and maps each winner to a set of impressions on pages within his desired collection. The distinguishing feature of our system as opposed to current combinatorial allocation mechanisms is that, mimicking the current negotiation system, we guarantee that winners receive at least as many advertising opportunities as they requested or else receive ample compensation in the form o