RARe: Raising Ad Revenue Framework with Context-Aware Reranking
Ekaterina Solodneva, Alexandra Khirianova, Aleksandr Katrutsa, Roman Loginov, Andrey Tikhanov, Egor Samosvat, Yuriy Dorn
TL;DR
RARe tackles revenue optimization in e-commerce recommender systems by balancing revenue and relevance via context-aware reranking. It introduces a two-model framework consisting of context-aware clickers (GBDT-C and SAINT-Q) and a lightweight MLP reranker trained with a revenue-aware loss, with revenue computed from predicted clicks and item revenues and a KL-like difference metric controlling perturbations to the original ranking. The paper provides formal definitions for revenue $\mathcal{R}(\theta)$ and the relevance difference $\mathcal{D}(\pi,\pi')$, and introduces the RAReD dataset for benchmarking. Experiments show revenue gains in the 4–12% range with modest drops in NDCG, demonstrating that context-aware clicks can significantly improve monetization while preserving user engagement.
Abstract
Modern recommender systems excel at optimizing search result relevance for e-commerce platforms. While maintaining this relevance, platforms seek opportunities to maximize revenue through search result adjustments. To address the trade-off between relevance and revenue, we propose the $\mathsf{RARe}$ ($\textbf{R}$aising $\textbf{A}$dvertisement $\textbf{Re}$venue) framework. $\mathsf{RARe}$ stacks a click model and a reranking model. We train the $\mathsf{RARe}$ framework with a loss function to find revenue and relevance trade-offs. According to our experience, the click model is crucial in the $\mathsf{RARe}$ framework. We propose and compare two different click models that take into account the context of items in a search result. The first click model is a Gradient-Boosting Decision Tree with Concatenation (GBDT-C), which includes a context in the traditional GBDT model for click prediction. The second model, SAINT-Q, adapts the Sequential Attention model to capture influences between search results. Our experiments indicate that the proposed click models outperform baselines and improve the overall quality of our framework. Experiments on the industrial dataset, which will be released publicly, show $\mathsf{RARe}$'s significant revenue improvements while preserving a high relevance.
