Title :
Optimal Pricing Strategy of Keyword Auctions under wGSP
Author :
Li, Liangjun ; Wen, HaoYu
Author_Institution :
Sch. of Econ. & Manage., Xidian Univ., Xi´´an, China
Abstract :
Keyword auctions were widely used by search engines to sell the advertisement on the result pages. To date, the most widely used auction mechanism is wGSP (weighted and generalized second-price). This paper presents an optimal pricing strategy under wGSP for advertiser to bid keywords for their websites. In brief, the issues we addressed here were: (1) what is the wGSP mechanism, how does it work? (2) what is the optimal pricing strategy, how to select the combination of keywords and their placements?
Keywords :
advertising; electronic commerce; pricing; search engines; Web sites; auction mechanism; keyword auction; optimal pricing strategy; search engine; wGSP; weighted and generalized second-price; CTR; keyword auction; pricing strategy; wGSP;
Conference_Titel :
Information Management, Innovation Management and Industrial Engineering (ICIII), 2010 International Conference on
Conference_Location :
Kunming
Print_ISBN :
978-1-4244-8829-2
DOI :
10.1109/ICIII.2010.218
