IIT Home Page CNR Home Page

On the Benefits of Keyword Spreading in Sponsored Search Auctions: An Experimental Analysis

Sellers of goods or services wishing to participate in sponsored
search auctions must define a pool of keywords that are matched
on-line to the queries submitted by the  users to a search
engine. Sellers must also define the value of their bid to the
search engine for showing their advertisements in case of a
query-keyword match.
In order to optimize its revenue a seller might decide to substitute a
keyword with a high cost, thus likely to be the object of intense
competition, with sets of related keywords that collectively have
lower cost while capturing an  equivalent volume of user clicks.
This technique is called keyword spreading and has recently attracted
 the attention of several researchers in the area of sponsored
search auctions. In this paper we describe an experimental benchmark
that through large scale realistic simulations allows us to pin-point
the potential benefits/drawbacks of keyword spreading for the players
using this technique, for those not using it, and for the search
engine itself. Experimental results reveal  that keyword spreading is
generally convenient (or non-damaging) to all parties involved.


IIT authors:

Type: Rapporti tecnici, manuali, carte geologiche e tematiche e prodotti multimediali

Activity: Economia computazionale