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Auction tiering in online advertising auction exchanges

  • US 9,947,029 B2
  • Filed: 06/29/2012
  • Issued: 04/17/2018
  • Est. Priority Date: 06/29/2012
  • Status: Active Grant
First Claim
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1. A computer-implemented method of holding an auction for one or more impressions in an online advertising platform, the method comprising:

  • providing an online advertising platform comprising a transaction management server in a data center, wherein the data center includes a local network over which co-located subsystems in the data center communicate;

    co-locating with the transaction management server in the data center plurality of bidder subsystems each associated with respective impression buyers to reduce latency and redirects in performing by the online advertising platform an auction to serve an impression to an impression consumer;

    defining, by the transaction management server, a plurality of auction tiers, each tier having associated tier attributes comprising;

    (i) a tier priority,(ii) an eligible bidder list, and(iii) a minimum bid threshold; and

    in a single auction event for a sale of one or more online advertising impressions;

    receiving, at the transaction management server, a request from an application executing on a device of an impression consumer for an advertisement to be served to the impression consumer; and

    performing in real-time by the transaction management server, during a period of time between receiving the request and the advertisement being served to the device of the impression consumer, an auction to determine an advertisement to serve to the impression consumer, wherein performing the auction comprises;

    receiving, at the transaction management server, over the local network, from one or more of the bidder subsystems, at least one bid for the impressions, each bid having associated bid attributes comprising an impression bidder and a bid value;

    for one or more of the bids;

    identifying, by the transaction management server, a respective first tier having a highest tier priority for which the tier attributes are satisfied by at least the bid attributes, the identifying comprising;



    (a) selecting, as an evaluated tier, a highest priority tier in the plurality of auction tiers;



    (b) validating that (i) the impression buyer of the bid is in the eligible bidder list for the evaluated tier, and (ii) the bid value satisfies the minimum bid threshold for the evaluated tier;



    (c) upon determining that the validating is successful, associating the evaluated tier with the bid; and



    (d) upon determining that the validating is unsuccessful, selecting, as the evaluated tier, a next highest priority tier in the plurality of auction tiers, and repeating step (b) until the validating is successful or there are no further tiers; and

    associating the identified first tier with the bid;

    selecting, as an active auction tier, a tier having a highest tier priority for which there is at least one associated bid;

    determining, by the transaction management server, whether a budget associated with the active auction tier has been exceeded based on one or more of the bids associated with the active auction tier, wherein the budget is a monetary spend budget or an impression volume budget; and

    determining, by the transaction management server, a winner of the auction event based on the bids associated with the active auction tier.

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