Context-Based Third-Party Content Auction Mechanism
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Solution Overview
Problem
Existing online content delivery systems face challenges in reducing the amount of third-party content provided to client devices that have selected to receive context-based third-party content, which can lead to reduced revenue for publishers and unsatisfactory impression rates for third-party content providers, while also posing technical difficulties in maintaining user experience and operational efficiency.
Innovation Solution
A data processing system employs an auction mechanism with reserve prices to selectively display third-party content on client devices, using statistical parameters and optimization formulations to maximize economic welfare for publishers and third-party content providers, ensuring a minimum revenue for publishers, and reducing the number of third-party content items displayed on client devices that have selected to receive context-based content.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Object-affected harmful factors
If the amount of third-party content displayed on client devices is reduced, then user experience is improved, but revenue for publishers and impression rates for third-party content providers deteriorate
Solution Approach 1:
The patent applies parameter changes by dynamically adjusting the selection criterion threshold value based on statistical parameters derived from bid distributions. This allows the system to optimize the balance between reducing third-party content display (improving user experience) and maintaining publisher revenue, rather than using a fixed threshold approach.
Solution Approach 2:
The system performs preliminary actions by pre-calculating statistical parameters from bid distributions and determining optimal threshold values before the actual content selection process. This allows the auction mechanism to efficiently select third-party content that maximizes economic welfare while adhering to revenue constraints, rather than making decisions in real-time during content delivery.
2Loss of energy
If context-based third-party content is provided to client devices, then economic welfare for publishers and content providers is maximized, but the amount of third-party content displayed increases
Solution Approach 1:
The patent uses parameter changes by adjusting the selection criterion threshold based on the distribution of bids and statistical parameters. This dynamic threshold adjustment allows the system to select only the most valuable third-party content items that meet the economic welfare optimization criteria, rather than displaying all bid content indiscriminately.
Solution Approach 2:
The system applies local quality by implementing context-based content selection that tailors third-party content display to specific client devices and publishers. The auction mechanism evaluates bids locally for each device-publisher pair, selecting content that maximizes economic welfare for that specific context rather than applying a uniform display approach across all devices.
3Productivity
If a threshold mechanism is used to select third-party content, then operational efficiency is improved, but the precision of content selection deteriorates
Solution Approach 1:
The patent resolves this contradiction by making the threshold parameter dynamic rather than fixed. The selection criterion threshold value is adjusted based on statistical parameters derived from bid distributions, allowing the system to maintain operational efficiency through threshold-based filtering while improving selection precision by adapting the threshold to current market conditions and bid quality.
Data Source
AI summary
Systems and methods of the present disclosure can provide an improved user experience on client devices selecting to receive context-based third-party content by reducing the number of third-party content items presented for display on such client devices. A data processing system can be configured to employ an auction mechanism with selection criterion thresholds (such as minimum bid values) that result, when used in auctions, in enforcing a limit on the amount of third-party content presented for display on client devices that have selected to receive context-based third-party content. The selection criterion thresholds can result, when used in auctions, in enforcing minimum revenues for publishers. The selection criterion thresholds can be determined offline based on historical statistical parameters.