Papers for
online advertising engineers
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.
Mixture-weighted models improve offline ad policy evaluation without propensities
Beyond IPS: Reliable Counterfactual Evaluation in Multi-Stage Ad Systems without Logged Propensities
Abstract: Offline evaluation of ad-ranking policies in multi-stage delivery systems is challenging because action propensities are often unavailable, limiting inverse propensity scoring (IPS). Reward-model-based estimators such as the Direct Method (DM) avoid propensities but can be biased when candidate policies induce impression distributions that differ from the logged data. We formalize DM-based counterfactual replay and propose mixture-weighted reward modeling, which reweights logged data toward a mixture of candidate-policy distributions using density ratios from a multiclass domain classifier. We bound each candidate's value-estimation error by overlap, cold-start, and replay terms, and derive an asymptotic rule that uses the cold-start mass to decide whether to trust offline selection or route candidates to online A/B testing. On an ads-delivery simulator and on production traffic from a large-scale CTR ranking system, the mixture-weighted reward model improves policy selection over its unweighted counterpart in both settings, with the largest gains at low overlap in simulation. Combined with a doubly robust correction, it attains the highest Top-1 accuracy in production and at low and medium overlap in simulation.
Generative recommendation improves advertising revenue and efficiency
Towards Reliable, Scalable, and Value-Aligned Generative Recommendation for Large-Scale Advertising
Abstract: Generative recommendation (GR) reformulates item retrieval as autoregressive generation of discrete semantic identifiers (SIDs), offering a unified paradigm for personalized recommendation. GR4AD, as an industrial generative recommendation framework, has greatly improved advertising revenue while enabling efficient real-time serving in Kuaishou.However, continued deployment has exposed three limitations: deterministic SID assignment remains sensitive to semantic boundaries; conventional backbone scaling provides diminishing revenue gains under strict serving constraints; and sequence-level value optimization provides limited credit assignment to intermediate SID decisions, causing likelihood-based beam search to prematurely prune potentially high-value candidates. We present GR4AD-X, which addresses these limitations through reliable SID construction, serving-efficient capacity scaling, and unified value alignment. Specifically, GR4AD-X improves SID reliability through Multi-Path assignment. It expands model capacity along multiple complementary dimensions rather than relying solely on wider or deeper backbones, achieving a better effectiveness-efficiency trade-off under strict serving constraints. Finally, Unified Value-Guided Generation and Discrimination (UniVGD) aligns generation with commercial value through prefix-level reward optimization, value-guided beam pruning, and discriminative reranking within a unified model. Large-scale online A/B tests on the Kuaishou advertising platform demonstrate that GR4AD-X achieves a cumulative revenue improvement of 3.07% over the deployed GR4AD baseline while satisfying strict latency and throughput constraints.
Cross-day item embeddings improve click predictions and stability
Cross-Day Compatibility of Daily Item Embeddings: An Empirical Study of Alignment, Scale Management, and CTR Adaptation
Abstract: Daily item co-occurrence embeddings are paired with next-day behavior without future-behavior leakage. Multi-day click-through rate (CTR) training therefore mixes versions whose directions and norms may differ for the same item. We compare Word2Vec and an item-graph XSimGCL adaptation across initialization, inheritance, post-processing, training constraints, and downstream augmentation. The inventory contains 48 configurations, including 32 common-protocol CTR evaluations. Observed metrics are reported as relative percentage changes from the corresponding Word2Vec baseline (0%), with raw values and exact dataset sizes withheld. Three findings emerge. First, multiple upstream interventions improve compatibility and CTR. ID-init and orthogonal alignment increase cosine by 51.2% and 93.4%, and GAUC by 2.2% and 2.6%, relative to ordinary Word2Vec. Retrieval and geometry remain insufficient downstream surrogates. Second, warm starts perform strongly but accumulate scale. The day-matched norm increase over Word2Vec reaches 102.5% after eight days; daily global rescaling limits it to 8.2% and attains the highest observed GAUC increase, 4.0%. Third, CTR learning through a dimensionality-reducing encoder further adapts to residual drift. Against dimension-matched random-projection, SVD, and untrained-network controls, trained encoders attain the highest cross-day cosine for four of six upstream methods. The other two rank third and second in train-to-test cosine. These industrial results support complementary roles for upstream stabilization, inherited-scale management, and downstream task learning.
Balancing learning and inference in changing bandit problems
The Price of Current-Effect Inference in Nonstationary Multi-Armed Bandits
Abstract: Adaptive experiments use bandit algorithms to favor interventions with higher expected rewards. However, decision-makers also require reliable inference on current treatment effects: differences between intervention and reference-arm mean rewards at the present time, rather than historical averages. These objectives conflict: reward maximization favors better interventions, whereas current-effect inference requires continued exploration of potentially suboptimal interventions as outcomes change over time. We characterize this tradeoff for $K$-arm bandits with Hölder-smooth mean rewards of exponent $β\in(0,1]$ and constant $L$. Requiring high-probability simultaneous coverage of all current effects by confidence intervals of width at most $w$, we establish matching minimax bounds, up to logarithmic factors, on expected dynamic regret. Over horizon $T$, our algorithm TRACE (Tracking Rewards and Current Effects) achieves regret of order $\widetilde{O}_β\left(\sqrt{KT}+K^{β/(2β+1)}L^{1/(2β+1)}T^{(β+1)/(2β+1)}+Kw^{-2}(1+L^{1/β}w^{-1/β})\right)$, where the notation hides logarithms and constants depending only on $β$. This regret--precision tradeoff separates reward-learning regret from the cost of refreshing current-effect estimates, which remains unavoidable even when one arm is uniformly optimal. An empirical-Bernstein e-process extension adapts exploration to realized prediction errors while preserving worst-case guarantees. When within-block drift is negligible relative to sampling error, all observations, including reward-learning observations, can be reused for asymptotically normal pointwise inference and stronger local stationarity yields local asymptotic efficiency. Finally, we show that regret constraints can prevent honest adaptation to unknown smoothness and support our theory with extensive numerical experiments.
Progressive learning unifies content relevance and personalization for better ad clicks
Progressive Learning from Content to Relevance to Personalization for CTR Prediction
Abstract: Multimodal click-through rate (CTR) prediction is central to search systems, where ranking depends on item content, query relevance, and user preference. Existing approaches incorporate content through dense embeddings or coarse discrete IDs, yet effectively integrating fine-grained heterogeneous content with ID-based predictors remains challenging. We propose FineSID, a progressive learning framework that unifies content tokenization, query--item semantic pretraining, and personalized post-training via a shared fine-grained discrete representation. Each stage optimizes an explicit objective while preserving token-level access to content. First, a pretrained multi-scale visual tokenizer and text tokenizers convert heterogeneous content into fine-grained Semantic IDs (SIDs), explicitly aligning them with the ID features. Second, full-parameter semantic pretraining under query--item relevance supervision establishes a robust matching prior, jointly optimizing the interactions of multimodal SIDs and conventional fields within a shared predictor. Third, this initialized predictor is directly fine-tuned with user click supervision to capture implicit personalized preferences. Extensive offline and online evaluations demonstrate substantial gains in both standard CTR prediction and core business metrics. Furthermore, FineSID improves within-product creative discrimination, demonstrating its semantic generalization beyond conventional ID memorization.