Papers for

digital advertising platforms

Papers whose findings have a practical use for this group, as judged from the abstract. Open a paper to read what it means in practice.

Improved bounds on simple auctions for selling multiple items

On the Power of Determinism in Multi-Item Auctions

Abstract: We study the classical multi-item monopoly setting with a single additive buyer and $m$ heterogeneous items whose values are independent but not necessarily identically distributed. Optimal truthful auctions may be randomized and complicated. We analyze the approximation ratios of three simple deterministic auctions: selling all items separately, selling them as a single grand bundle, and choosing the better of the two. Our technical cornerstone is a nonlinear mathematical programming formulation of the worst-case approximation ratio of selling separately, in discrete auctions where values lie in the grid $\{0,1/K,2/K,\dots ,1\}$. For two iid items, we construct novel tight Lagrangian dual certificates that determine this ratio exactly for any discretization parameter $K$. Taking $K\to\infty$, we obtain the tight bound $1+W(1/e)\approx 1.278$ in the continuous-valued setting, where $W$ denotes the Lambert-W function, closing the $[1.278,1.368]$ gap from the work of Hart and Nisan [EC'12, JET 2017]. For $m\geq2$ independent items, a different dual construction gives an upper bound on the approximation ratio of selling separately in terms of basic statistics of the item values. Combining this bound with new inequalities relating optimal revenue (REV), separate-selling revenue (SREV), and grand-bundle revenue (BREV), we derive improved guarantees for all three auctions. Most notably, we prove \[REV\leq 3.5 \max\{SREV,BREV\},\] improving upon the $5.2$ factor of Ma and Simchi-Levi [AISTATS'21] and the $6$ factor of Babaioff, Immorlica, Lucier and Weinberg [FOCS'14, JACM 2020]. For iid items, we also prove $REV\leq 4.4534 BREV$.

Mon 28 SeptComputer Science and Game TheoryDiscrete Mathematics
The gist
Figuring out how to sell multiple different items to one buyer for the most money can be very complicated. The authors studied three simple, straightforward ways of selling these items: selling each separately, selling all as one bundle, or picking the better of these two choices. They used math to find the worst-case performance of selling separately and improved previous estimates on how close these simple methods come to the best possible income. Their work gives better guarantees that these simple auctions earn at least a certain fraction of the ideal revenue.
Open → 2609.35711v1

On-device privacy choices cause overspending in auction budgets

When Privacy Moves ML-Mediated Decisions On Device: Information and Incentive Misalignment in Auctions

Abstract: Moving ML-mediated decision making onto privacy-preserving clients decentralises the economic decision along with the inference. Shared budget constraints then depend on information that cannot be globally current, creating an information-structure failure that conventional pacing is not designed to solve. We study this information misalignment in an auction-logic-faithful on-device simulation with 36 campaigns and 50 devices. Accounting is in dimensionless integer score units; no currency semantics are claimed. Across 30 paired demand paths, proportional Even pacing overspends 17.77% after one tick of staleness and 1,669.31% after 50 ticks under the original 20-times budget pressure. The effect does not depend on that severe a budget: at two-times pressure, 50-tick overspend remains 106.95%. A visible-budget no-sale guard makes zero-lag compliance exact at this score-unit granularity, yet leaves 11.88% overspend at one tick because other devices' debits remain invisible. A declared bursty, heterogeneous-device sweep retains a strictly increasing mean lag curve. We derive a finite-window expected excess-debit bound under conditional charge caps and find positive paired slack in every bounded-value cell. A second, incentive misalignment arises when the ML/pacing score transformation is allowed to change payment units: 98.23% of rival auctions at one tick admit a profitable deviation. An executable implementation-level counterexample isolates the runner-up's multiplier in the winner's price. Critical-base-bid payment is per-auction DSIC conditional on current multipliers, but does not establish dynamic truthfulness and does not repair base-value ranking disagreement.

Sun 27 SeptComputer Science and Game TheoryDistributed, Parallel, and Cluster ComputingMachine Learning
The gist
The paper finds that when machine learning decisions about auctions are moved onto individual devices to protect privacy, the devices don't have the full picture of budgets and bids in real time. This causes spending beyond intended limits because the system isn’t set up to handle delays in information. The authors show that commonly used pacing methods overspend a lot when there is any lag or staleness in budget data. They also find that changes to how payments are calculated can create incentives for bidders to act strategically, which can disrupt fair auction outcomes.
Open → 2609.33312v1

OranSim simulates social media marketing to predict campaign results

OranSim: Simulating Social Media Marketing

Abstract: Social simulation studies how individual behavior and social interaction produce collective outcomes. In social media marketing, campaign actions shape which consumers encounter the content and how they respond; these responses then spread through the population. We propose OranSim, a social simulation framework that connects creative, creator, targeting, and budget choices to this process. Heterogeneous consumers receive exposure according to content matching and platform allocation and generate initial responses, which propagate among 60 population segments. Candidate campaigns share the initial population and aligned random numbers, making their response trajectories comparable under action changes. In a controlled synthetic campaign, doubling the budget approximately doubles reach while lowering mean content match and engagement probability among the reached consumers; mean 14-day cumulative simulated response mass rises to 1.96 times the baseline. LightGBM predictors fitted to 39,000 historical RedNote notes estimate platform engagement with log-scale $R^2$ of 0.56--0.62 in five-fold cross-validation; a separate 12,154-note corpus supplies temporal, unseen-creator, and held-out-niche test splits. Public-data experiments evaluate policy value and audience ranking, and paired synthetic outcomes test counterfactual scoring. Together, scenario trajectories and engagement estimates support campaign selection according to a prespecified marketing objective. Code is available at https://github.com/OranAi-Ltd/oransim.

Wed 23 SeptSocial and Information Networks
The gist
Social media marketing works by showing content to certain people and seeing how they react and share it. The authors developed OranSim, a tool that simulates how different marketing actions like budget and target choices affect who sees the content and how it spreads. Their simulation divides a population into segments and models responses over time to compare marketing campaigns. They tested it using real historical data and synthetic examples to show how it predicts reach and engagement based on campaign settings. OranSim helps marketers choose strategies before spending money on real campaigns.
Open → 2609.28388v1