Dynamic Creative Optimization in Verizon Media Native Advertising

October 20, 2020

Abstract

Verizon media (VZM) native advertising serves billions of ad impressions daily, reaching a yearly run-rate of many hundred of millions USD. Driving VM native models for predicting ad event probabilities such as clicks and conversions is \offset\ - a feature enhanced collaborative-filtering (CF) based event prediction algorithm. The predicted probabilities are then used in VZM native auctions to determine which ads to present for each serving event. Dynamic creative optimization (DCO) is a new VM native product that was launched in 2020Q1 and is gaining increasingly more attention from advertisers. The DCO product allows advertisers to provide several assets per each native ad attribute, creating a plurality of combinations for each DCO ad. Since different combinations may appeal to different crowds, it may be beneficial to present certain combinations more frequent than others to maximize revenue. Inspired by the success of our Carousel asset optimization product, we present a post-auction successive elimination based approach for ranking DCO combinations according to their measured click trough rate (CTR). This reinforcement learning multi-arm bandit like solution was evaluated during an online beta test phase done with selected advertisers showing $21.8\%$ CTR and $21.5\%$ CPM (or revenue) lifts over a control bucket serving all combinations uniformly at random. The good performance of our DCO product, attracts advertisers and it already shows a yearly run-rate of several millions USD in revenue.

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Publication Type

Paper

Conference / Journal Name

IEEE BigData 2020, Industry and Government program

Authors

BibTeX


@inproceedings{
    author = {},
    title = {‌Dynamic Creative Optimization in Verizon Media Native Advertising‌},
    booktitle = {Proceedings of IEEE BigData 2020, Industry and Government program‌},
    year = {‌2020‌}
}