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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 (SSA) 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 spread-
ing 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.
International Conference on Electronic Commerce and Web Technologies (EC-Web 2010) , Bilbao, Spain, 2010

External authors: Michele Budinich (Institute for Advanced Studies, Lucca, Italy)
IIT authors:

Type: Article in proceedings of international peer-reviewed conference
Field of reference: Computer Science & Engineering

Activity: Algoritmica per tecnologie web
Economia computazionale