chapter  Chapter 5
30 Pages

Search Ad and Auction-Based Advertising

WithLiu Peng, Wang Chao

This chapter mainly introduces the auction-based advertising products (especially search ad and auction-based ADN) and the key product strategies. The discussion of search ad will focus on its leading points in the entire advertising market, and the most critical one is the generation of auction-based advertising products and the creation of corresponding mechanism design theory. The macro-market discussion has also become a well-studied topic in online advertising, and the chapter focuses on its problematic framework and practical approaches. In the whole online advertising market, search ad has been holding the largest market share. More importantly, the overall architecture of bidding and ad serving is developed from search ad. The search ad is based on general search engines. In fact, many vertical searches (especially e-commerce searches) also have strong ability of monetization, but the product forms may be somewhat different.