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- W2735260018 abstract "Search engines and many social advertising platforms use the so-called quality score tofavor certain advertisers in their advertising auction. While the standard justification forquality scores is the need to provide discounts to advertisers with higher click-through rates,this work examines the role of quality score in enticing heterogeneous advertisers to investin quality and its impact on ad platforms’ revenue. The results suggest that a qualityscore function that rewards bidders in excess of their click-through rates does increase thequality investments but in a non-monotonic way. Higher rewards of landing page qualitydo not necessarily mean higher investments. Furthermore, such an improvement in qualitylevels often comes with a sacrifice of the auction revenue despite the higher bids. While thepotential revenue impact for the auctioneer depends on the bidding strategies and auctionformats, there exists a quality score function that ensures increased revenues by rewardingquality improvement. Several managerial implications for both advertisers and publishersare discussed." @default.
- W2735260018 created "2017-07-21" @default.
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- W2735260018 date "2017-01-01" @default.
- W2735260018 modified "2023-09-28" @default.
- W2735260018 title "Quality Score that Makes You Invest" @default.
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- W2735260018 doi "https://doi.org/10.2139/ssrn.2954707" @default.
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