Abstract：Due to untrue advertisements appear in search results, the position auction mechanism with more attention on profit was criticized by public in China. To improve and normalize keyword search auction, we recommend a new position auction mechanism with consideration on advertiser reputations. Based on classical VCG auction, the winner determination approach is proposed. The computational formulas for all advertising slots are deduced and presented. Comparing with original position auction without reputations, the new mechanism may bring a little of profit loss to the web-search merchants in the same bidding levels of advertisers. However, in view of long-term perspective, the reputation raise of search engine with the new auction mechanism will bring much more daily browsing amounts. It certainly will make great profit to the web-search merchants.
汪定伟. 考虑广告商信誉的搜索引擎排位拍卖的机制设计[J]. 系统工程理论与实践, 2011, 31(1): 38-42.
WANG Ding-wei. Mechanism design of position auction with advertiser reputation for Web-search. Systems Engineering - Theory & Practice, 2011, 31(1): 38-42.