Doubleclick Ad Exchange Auction
Yishay Mansour, S. Muthukrishnan, Noam Nisan
TL;DR
This paper discusses the design challenges of real-time web ad auctions and introduces the Optional Second Price auction, which is implemented in Doubleclick Ad Exchange to improve ad sale efficiency.
Contribution
The paper presents the OSP auction, a novel auction mechanism tailored for real-time ad exchanges, addressing key design challenges.
Findings
OSP auction is simple and effective for real-time ad sales
It is currently implemented in Doubleclick Ad Exchange
The auction improves efficiency and fairness in ad sales
Abstract
Display advertisements on the web are sold via ad exchanges that use real time auction. We describe the challenges of designing a suitable auction, and present a simple auction called the Optional Second Price (OSP) auction that is currently used in Doubleclick Ad Exchange.
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Taxonomy
TopicsAuction Theory and Applications · Consumer Market Behavior and Pricing · Digital Platforms and Economics