2 ms·
There's a lot of literature on auction theory. I don't get the sense you've read any of it, or talked to anyone who has. Ad auctions happen in microseconds. Th
by AlbertCory 3y ago
There's a lot of literature on auction theory. I don't get the sense you've read any of it, or talked to anyone who has.
Ad auctions happen in microseconds. There's no possibility of changing your bid while it's underway.
- daveFNbuck 3y agoThey happen more than once. You'd change your bid for the aggregate effect of paying for many wins, not for an individual auction.
- AlbertCory 3y agoThey happen millions of time per day, for any single ad (in any case, it wasn't clear what he meant by "bid changes").
- marcinzm 3y agoI’ve been in the field for 20 years and I know the difference between what companies do and what theoretical papers say they do. As the other person said, bids repeat across multiple auctions on the same keyword and even in a generalized second price auction optimally your bids are adjusted based on the expected dynamics of each auction. Based on past information and so on. In a first price auction you’d keep lowering your average bid until it’s on average right above the next bid. The next bidder would then increase their bids. You’d then do so as well. Etc. Etc.
- AlbertCory 3y ago[flagged]
- marcinzm 3y agoYou’re moving the goal post from not knowing auctions to not knowing Google. Will the next question be if I made the decision at Google for this approach when they were competing with Overture?
- AlbertCory 3y ago[flagged]