Bid Optimization for Internet Graphical Ad Auction Systems via Special Ordered Sets
Source:
INFORMS International Meeting, Rio Mar, Puerto Rico (2007)
URL:
http://arxiv.org/abs/0706.3865
Abstract:
This paper describes an optimization model for setting bid levels for certain types of advertisements on web pages. This model is non-convex, but we are able to obtain optimal or near-optimal solutions rapidly using branch and cut open-source software. The financial benefits obtained using the prototype system have been substantial.
