Dynamic bidding strategies in search-based advertising

Cataloged from PDF version of article.Search-based advertising allows the advertisers to run special campaigns targeted to different groups of potential consumers at low costs. Google, Yahoo and Microsoft advertising programs allow the advertisers to bid for an ad position on the result page of a user's query when the user searches for a keyword that the advertiser relates to its products or services. The expected revenue generated by the ad depends on the ad position, and the ad positions of the advertisers are concurrently determined after an instantaneous auction based on the bids of the advertisers. The advertisers are charged only when their ads are clicked by the users. To avoid excessive ad expenditures due to sudden surges in the keyword-search activities, each advertiser reserves a fixed finite daily budget, and the ads are not shown in the remainder of the day when the budget is depleted. Arrival times of keyword-search instances, ad positions, ad selections, and sales generated by the ads are random. Therefore, an advertiser faces a dynamic stochastic total net revenue optimization problem subject to a strict budget constraint. Here we formulate and solve this problem using dynamic programming. We show that there is always an optimal dynamic bidding policy. We describe an iterative numerical approximation algorithm that uniformly converges to the optimal solution at an exponential rate of the number of iterations. We illustrate the algorithm on numerical examples. Because dynamic programing calculations of the optimal bidding policies are computationally demanding, we also propose both static and dynamic alternative bidding policies. We numerically compare the performances of optimal and alternative bidding policies by systematically changing each input parameter. The relative percentage total net revenue losses of the alternative bidding policies increases with the budget loading, but were never more than 3.5 % of maximum expected total net revenue. The best alternative to the optimal bidding policy turned out to be a static greedy bidding policy. Finally, statistical estimation of the model parameters is visited

Stochastic make-to-stock inventory deployment problem: an endosymbiotic psychoclonal algorithm based approach

Integrated steel manufacturers (ISMs) have no specific product, they just produce finished product from the ore. This enhances the uncertainty prevailing in the ISM regarding the nature of the finished product and significant demand by customers. At present low cost mini-mills are giving firm competition to ISMs in terms of cost, and this has compelled the ISM industry to target customers who want exotic products and faster reliable deliveries. To meet this objective, ISMs are exploring the option of satisfying part of their demand by converting strategically placed products, this helps in increasing the variability of product produced by the ISM in a short lead time. In this paper the authors have proposed a new hybrid evolutionary algorithm named endosymbiotic-psychoclonal (ESPC) to decide what and how much to stock as a semi-product in inventory. In the proposed theory, the ability of previously proposed psychoclonal algorithms to exploit the search space has been increased by making antibodies and antigen more co-operative interacting species. The efficacy of the proposed algorithm has been tested on randomly generated datasets and the results compared with other evolutionary algorithms such as genetic algorithms (GA) and simulated annealing (SA). The comparison of ESPC with GA and SA proves the superiority of the proposed algorithm both in terms of quality of the solution obtained and convergence time required to reach the optimal/near optimal value of the solution

Adsorption hysteresis and capillary condensation in disordered porous solids: a density functional study

We present a theoretical study of capillary condensation of fluids adsorbed in mesoporous disordered media. Combining mean-field density functional theory with a coarse-grained description in terms of a lattice-gas model allows us to investigate both the out-of-equilibrium (hysteresis) and the equilibrium behavior. We show that the main features of capillary condensation in disordered solids result from the appearance of a complex free-energy landscape with a large number of metastable states. We detail the numerical procedures for finding these states, and the presence or absence of transitions in the thermodynamic limit is determined by careful finite-size studies.Comment: 30 pages, 18 figures. To appear in J. Phys.: Condens. Matte

Capillary condensation in disordered porous materials: hysteresis versus equilibrium behavior

We study the interplay between hysteresis and equilibrium behavior in capillary condensation of fluids in mesoporous disordered materials via a mean-field density functional theory of a disordered lattice-gas model. The approach reproduces all major features observed experimentally. We show that the simple van der Waals picture of metastability fails due to the appearance of a complex free-energy landscape with a large number of metastable states. In particular, hysteresis can occur both with and without an underlying equilibrium transition, thermodynamic consistency is not satisfied along the hysteresis loop, and out-of-equilibrium phase transitions are possible.Comment: 4 pages, 4 figure

A make-to-stock mountain-type inventory model

We consider the buffer content of a fluid queue or storage process. The buffer content varies in a way that depends on the state of an underlying three-state Markov process. In state 0 the buffer content increases at a rate a(x) that is a function of the current buffer level x; in states 1 and 2 it decreases linearly, with different speeds. We study the steady-state buffer content, by using level crossing theory and by exploiting relations between the fluid queue and queues with instantaneous input and/or output

A make-to-stock mountain-type inventory model

We consider the buffer content of a fluid queue or storage process. The buffer content varies in a way that depends on the state of an underlying three-state Markov process. In state 0 the buffer content increases at a rate a(x) that is a function of the current buffer level x; in states 1 and 2 it decreases linearly, with different speeds. We study the steady-state buffer content, by using level crossing theory and by exploiting relations between the fluid queue and queues with instantaneous input and/or output

Evolutionary dynamic optimisation of airport security lane schedules

The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link.Reducing costs whilst maintaining passenger satisfaction is an important problem for airports. One area this can be applied is the security lane checks at the airport. However, reducing costs through reducing lane openings typically increases queue length and hence passenger dissatisfaction. This paper demonstrates that evolutionary methods can be used to optimise airport security lane schedules such that passenger dissatisfaction and staffing costs can be minimised. However, it is shown that these schedules typically over-fit the forecasts of passenger arrivals at security such that in actuality significant passenger delays can occur with deviations from the forecast. Consequently, this paper further demonstrates that dynamic evolutionary re-optimisation of these schedules can significantly mitigate this over-fitting problem with much reduced passenger delays

Status, sources and contamination levels of organochlorine pesticide residues in urban and agricultural areas: a preliminary review in central–southern Italian soils

Organochlorine pesticides (OCPs) are synthetic chemicals commonly used in agricultural activities to kill pests and are persistent organic pollutants (POPs). They can be detected in different environmental media, but soil is considered an important reservoir due to its retention capacity. Many different types of OCPs exist, which can have different origins and pathways in the environment. It is therefore important to study their distribution and behaviour in the environment, starting to build a picture of the potential human health risk in different contexts. This study aimed at investigating the regional distribution, possible sources and contamination levels of 24 OCP compounds in urban and rural soils from central and southern Italy. One hundred and forty-eight topsoil samples (0–20 cm top layer) from 78 urban and 70 rural areas in 11 administrative regions were collected and analysed by gas chromatography–electron capture detector (GC–ECD). Total OCP residues in soils ranged from nd (no detected) to 1043 ng/g with a mean of 29.91 ng/g and from nd to 1914 ng/g with a mean of 60.16 ng/g in urban and rural area, respectively. Endosulfan was the prevailing OCP in urban areas, followed by DDTs, Drins, Methoxychlor, HCHs, Chlordane-related compounds and HCB. In rural areas, the order of concentrations was Drins > DDTs > Methoxychlor > Endosulfans > HCHs > Chlordanes > HCB. Diagnostic ratios and robust multivariate analyses revealed that DDT in soils could be related to historical application, whilst (illegal) use of technical DDT or dicofol may still occur in some urban areas. HCH residues could be related to both historical use and recent application, whilst there was evidence that modest (yet significant) application of commercial technical HCH may still be happening in urban areas. Drins and Chlordane compounds appeared to be mostly related to historical application, whilst Endosulfan presented a complex mix of results, indicating mainly historical origin in rural areas as well as potential recent applications on urban areas. Contamination levels were quantified by Soil Quality Index (SoQI), identifying high levels in rural areas of Campania and Apulia, possibly due to the intensive nature of some agricultural practices in those regions (e.g., vineyards and olive plantations). The results from this study (which is in progress in the remaining regions of Italy) will provide an invaluable baseline for OCP distribution in Italy and a powerful argument for follow-up studies in contaminated areas. It is also hoped that similar studies will eventually constitute enough evidence to push towards an institutional response for more adequate regulation as well as a full ratification of the Stockholm Convention

Collective teacher efficacy as a mediator in the relationship between instructional leadership and teacher commitment

Empirical research advocates that the instructional leadership behaviors of school principals affect teachers’ collaboration, professional motivation and commitment. This study, conducted in Istanbul province of Turkey, focused on the mediating role of collective teacher efficacy with regard to the relationship between school principals’ instructional leadership behaviors and teacher commitment. The sample consisted of 247 teachers and the study adopted the survey method. The results of multiple regression analysis displayed that school principals’ instructional leadership behaviors could predict teacher commitment; thus, the collective teacher efficacy was found to be a mediator. More specifically, it was found that school principals’ instructional leadership behaviors increased collaboration between teachers, which contributed to their commitment to school. Finally, the results were discussed and a number of suggestions were made for researchers and practitioners. © 2020, © 2020 Informa UK Limited, trading as Taylor & Francis Group