The University of Southampton
University of Southampton Institutional Repository

Bidding Optimization for Display Advertising under Budget Constraint

Bidding Optimization for Display Advertising under Budget Constraint
Bidding Optimization for Display Advertising under Budget Constraint
This work is all about bidding optimization that can be used in display advertising. We study and investigate the problem of sequential second price auction that provides a partial observation to the winning agent. We also study bidding strategies can be used in a practical situation under budget constraint and uncertainty of market price for a single- sided auction. Besides, we assume the market price is random variable drawing from the gamma distribution. After that, we model and simulate the problem via MATLAB, and also decide to use the integer programming framework for the sake of simplicity of modeling, designing and evaluating the problem. Therefore, we propose our algorithms, heuristic approach, to tackle the problem that are comprised of three algorithms: Greedy, Greedy-Knapsack and Improved Greedy-Knapsack algorithms, which are improved step- by-step respectively. Therefore, we evaluate our algorithms and then compare ours with other existing algorithms such as simple, heuristic and also dynamic programming approach algorithms. The results show that the final version of greedy archive the best performance. We also evaluate the dynamic programming algorithm compared with our algorithms as a special case due to the processing time that take too long in practice. Obviously, our algorithms does not perform well as the dynamic programming does, but the results are not bad since our algorithms can be computed in polynomial time that contrast to the dynamic programming approach that computes in an exponential time.
auction, bidding optimization, multi-armed bandits, Agent based modelling, budget constrain, game theory
University of Southampton
Jeamwatthanachai, Watthanasak
08576ac1-124d-4bfa-8ca2-49e6663161c3
Jeamwatthanachai, Watthanasak
08576ac1-124d-4bfa-8ca2-49e6663161c3
Gerding, Enrico
d9e92ee5-1a8c-4467-a689-8363e7743362

Jeamwatthanachai, Watthanasak (2015) Bidding Optimization for Display Advertising under Budget Constraint. University of Southampton, Masters Thesis, 63pp.

Record type: Thesis (Masters)

Abstract

This work is all about bidding optimization that can be used in display advertising. We study and investigate the problem of sequential second price auction that provides a partial observation to the winning agent. We also study bidding strategies can be used in a practical situation under budget constraint and uncertainty of market price for a single- sided auction. Besides, we assume the market price is random variable drawing from the gamma distribution. After that, we model and simulate the problem via MATLAB, and also decide to use the integer programming framework for the sake of simplicity of modeling, designing and evaluating the problem. Therefore, we propose our algorithms, heuristic approach, to tackle the problem that are comprised of three algorithms: Greedy, Greedy-Knapsack and Improved Greedy-Knapsack algorithms, which are improved step- by-step respectively. Therefore, we evaluate our algorithms and then compare ours with other existing algorithms such as simple, heuristic and also dynamic programming approach algorithms. The results show that the final version of greedy archive the best performance. We also evaluate the dynamic programming algorithm compared with our algorithms as a special case due to the processing time that take too long in practice. Obviously, our algorithms does not perform well as the dynamic programming does, but the results are not bad since our algorithms can be computed in polynomial time that contrast to the dynamic programming approach that computes in an exponential time.

Text
Bidding Optimization for Display Advertising under Budget Constraint (One-sided) - Version of Record
Available under License University of Southampton Thesis Licence.
Download (2MB)

More information

Published date: 3 September 2015
Keywords: auction, bidding optimization, multi-armed bandits, Agent based modelling, budget constrain, game theory

Identifiers

Local EPrints ID: 443697
URI: http://eprints.soton.ac.uk/id/eprint/443697
PURE UUID: 76b57d1d-a14d-4768-ac0f-e602469112a3
ORCID for Enrico Gerding: ORCID iD orcid.org/0000-0001-7200-552X

Catalogue record

Date deposited: 09 Sep 2020 16:30
Last modified: 10 Sep 2020 01:36

Export record

Contributors

Author: Watthanasak Jeamwatthanachai
Thesis advisor: Enrico Gerding ORCID iD

University divisions

Download statistics

Downloads from ePrints over the past year. Other digital versions may also be available to download e.g. from the publisher's website.

View more statistics

Atom RSS 1.0 RSS 2.0

Contact ePrints Soton: eprints@soton.ac.uk

ePrints Soton supports OAI 2.0 with a base URL of http://eprints.soton.ac.uk/cgi/oai2

This repository has been built using EPrints software, developed at the University of Southampton, but available to everyone to use.

We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we will assume that you are happy to receive cookies on the University of Southampton website.

×