skip to main content
10.1145/2740908.2742566acmotherconferencesArticle/Chapter ViewAbstractPublication PagesthewebconfConference Proceedingsconference-collections
research-article

Offline Evaluation of Response Prediction in Online Advertising Auctions

Published: 18 May 2015 Publication History

Abstract

Click-through rates and conversion rates are two core machine learning problems in online advertising. The evaluation of such systems is often based on traditional supervised learning metrics that ignore how the predictions are used. These predictions are in fact part of bidding systems in online advertising auctions. We present here an empirical evaluation of a metric that is specifically tailored for auctions in online advertising and show that it correlates better than standard metrics with A/B test results.

References

[1]
O. Chapelle, E. Manavoglu, and R. Rosales. Simple and scalable response prediction for display advertising. ACM Transactions on Intelligent Systems and Technology, 5(4), 2014.
[2]
O. Chapelle, J. Weston, L. Bottou, and V. Vapnik. Vicinal risk minimization. Advances in neural information processing systems, pages 416--422, 2001.
[3]
B. Edelman, M. Ostrovsky, and M. Schwarz. Internet advertising and the generalized second-price auction: Selling billions of dollars worth of keywords. American Economic Review, 97(1):242--259, 2007.
[4]
A. Ghosh, P. McAfee, K. Papineni, and S. Vassilvitskii. Bidding for representative allocations for display advertising. CoRR, abs/0910.0880, 2009.
[5]
P. Hummel and P. McAfee. Loss functions for predicted click through rates in auctions for online advertising. Unpublished, 2013.
[6]
L. Maaten, M. Chen, S. Tyree, and K. Q. Weinberger. Learning with marginalized corrupted features. In Proceedings of the 30th International Conference on Machine Learning (ICML-13), pages 410--418, 2013.
[7]
H. B. McMahan, G. Holt, D. Sculley, M. Young, D. Ebner, J. Grady, L. Nie, T. Phillips, E. Davydov, D. Golovin, S. Chikkerur, D. Liu, M. Wattenberg, A. M. Hrafnkelsson, T. Boulos, and J. Kubica. Ad click prediction: a view from the trenches. In Proceedings of the 19th ACM SIGKDD International Conference on Knowledge Discovery and Data Mining (KDD), 2013.
[8]
J. Yi, Y. Chen, J. Li, S. Sett, and T. W. Yan. Predictive model performance: Offline and online evaluations. In Proceedings of the 19th ACM SIGKDD international conference on Knowledge discovery and data mining, pages 1294--1302. ACM, 2013.
[9]
S. Yuan, J. Wang, and X. Zhao. Real-time bidding for online advertising: Measurement and analysis. In Proceedings of the Seventh International Workshop on Data Mining for Online Advertising, ADKDD '13, 2013.

Cited By

View all
  • (2024)Multi-armed bandits for performance marketingInternational Journal of Data Science and Analytics10.1007/s41060-023-00493-7Online publication date: 19-Jan-2024
  • (2023)Pairwise ranking losses of click-through rates prediction for welfare maximization in ad auctionsProceedings of the 40th International Conference on Machine Learning10.5555/3618408.3619375(23239-23263)Online publication date: 23-Jul-2023
  • (2023)ADVERTISING BIDDING OPTIMIZATION BY TARGETING BASED ON SELF-LEARNING DATABASEInformatyka, Automatyka, Pomiary w Gospodarce i Ochronie Środowiska10.35784/iapgos.537613:4(66-72)Online publication date: 20-Dec-2023
  • Show More Cited By

Index Terms

  1. Offline Evaluation of Response Prediction in Online Advertising Auctions

    Recommendations

    Comments

    Information & Contributors

    Information

    Published In

    cover image ACM Other conferences
    WWW '15 Companion: Proceedings of the 24th International Conference on World Wide Web
    May 2015
    1602 pages
    ISBN:9781450334730
    DOI:10.1145/2740908

    Sponsors

    • IW3C2: International World Wide Web Conference Committee

    In-Cooperation

    Publisher

    Association for Computing Machinery

    New York, NY, United States

    Publication History

    Published: 18 May 2015

    Permissions

    Request permissions for this article.

    Check for updates

    Author Tags

    1. auction
    2. metrics
    3. online advertising
    4. response prediction

    Qualifiers

    • Research-article

    Conference

    WWW '15
    Sponsor:
    • IW3C2

    Acceptance Rates

    Overall Acceptance Rate 1,899 of 8,196 submissions, 23%

    Contributors

    Other Metrics

    Bibliometrics & Citations

    Bibliometrics

    Article Metrics

    • Downloads (Last 12 months)13
    • Downloads (Last 6 weeks)2
    Reflects downloads up to 03 Mar 2025

    Other Metrics

    Citations

    Cited By

    View all
    • (2024)Multi-armed bandits for performance marketingInternational Journal of Data Science and Analytics10.1007/s41060-023-00493-7Online publication date: 19-Jan-2024
    • (2023)Pairwise ranking losses of click-through rates prediction for welfare maximization in ad auctionsProceedings of the 40th International Conference on Machine Learning10.5555/3618408.3619375(23239-23263)Online publication date: 23-Jul-2023
    • (2023)ADVERTISING BIDDING OPTIMIZATION BY TARGETING BASED ON SELF-LEARNING DATABASEInformatyka, Automatyka, Pomiary w Gospodarce i Ochronie Środowiska10.35784/iapgos.537613:4(66-72)Online publication date: 20-Dec-2023
    • (2023)The Early Impact of GDPR Compliance on Display Advertising: The Case of an Ad PublisherJournal of Marketing Research10.1177/0022243723117184861:1(70-91)Online publication date: 23-Jun-2023
    • (2023)A Comparative Analysis of Sampling Techniques for Click-Through Rate Prediction in Native AdvertisingIEEE Access10.1109/ACCESS.2023.325598311(24511-24526)Online publication date: 2023
    • (2023)PC-IEN: a click-through rate prediction method based on dynamic collaborative personalized interest extractionArtificial Intelligence Review10.1007/s10462-023-10447-x56:10(11123-11147)Online publication date: 11-Mar-2023
    • (2022)Arbitrary Distribution Modeling with Censorship in Real-Time Bidding AdvertisingProceedings of the 28th ACM SIGKDD Conference on Knowledge Discovery and Data Mining10.1145/3534678.3539048(3250-3258)Online publication date: 14-Aug-2022
    • (2022)Risk-Aware Bid Optimization for Online Display AdvertisementProceedings of the 31st ACM International Conference on Information & Knowledge Management10.1145/3511808.3557436(457-467)Online publication date: 17-Oct-2022
    • (2021)Deep User Segment Interest Network Modeling for Click-Through Rate Prediction of Online AdvertisingIEEE Access10.1109/ACCESS.2021.30498279(9812-9821)Online publication date: 2021
    • (2020)Online Display Advertising MarketsInformation Systems Research10.1287/isre.2019.090231:2(556-575)Online publication date: 1-Jun-2020
    • Show More Cited By

    View Options

    Login options

    View options

    PDF

    View or Download as a PDF file.

    PDF

    eReader

    View online with eReader.

    eReader

    Figures

    Tables

    Media

    Share

    Share

    Share this Publication link

    Share on social media