Targeted display advertising: the case of preferential attachment
This addresses a data imbalance issue in digital advertising for platforms and advertisers, but it is incremental as it builds on existing domain-adaptation methods.
The paper tackles the problem of skewed data distribution in targeted display advertising, where low-budget partners have insufficient data for accurate user interest predictions, by developing domain-adaptation approaches that transfer information from high-budget partners to improve predictions for tail partners, and experimental results on a major platform show these approaches outperform others across 149 partners at various campaign stages.
An average adult is exposed to hundreds of digital advertisements daily (https://www.mediadynamicsinc.com/uploads/files/PR092214-Note-only-150-Ads-2mk.pdf), making the digital advertisement industry a classic example of a big-data-driven platform. As such, the ad-tech industry relies on historical engagement logs (clicks or purchases) to identify potentially interested users for the advertisement campaign of a partner (a seller who wants to target users for its products). The number of advertisements that are shown for a partner, and hence the historical campaign data available for a partner depends upon the budget constraints of the partner. Thus, enough data can be collected for the high-budget partners to make accurate predictions, while this is not the case with the low-budget partners. This skewed distribution of the data leads to "preferential attachment" of the targeted display advertising platforms towards the high-budget partners. In this paper, we develop "domain-adaptation" approaches to address the challenge of predicting interested users for the partners with insufficient data, i.e., the tail partners. Specifically, we develop simple yet effective approaches that leverage the similarity among the partners to transfer information from the partners with sufficient data to cold-start partners, i.e., partners without any campaign data. Our approaches readily adapt to the new campaign data by incremental fine-tuning, and hence work at varying points of a campaign, and not just the cold-start. We present an experimental analysis on the historical logs of a major display advertising platform (https://www.criteo.com/). Specifically, we evaluate our approaches across 149 partners, at varying points of their campaigns. Experimental results show that the proposed approaches outperform the other "domain-adaptation" approaches at different time points of the campaigns.