text: In recent years online advertising has become increasingly ubiquitous and effective. Advertisements shown to visitors fund sites and apps that publish digital content, manage social networks, and operate e-mail services. Given such large variety of internet resources, determining an appropriate type of advertising for a given platform has become critical to financial success. Native advertisements, namely ads that are similar in look and feel to content, have had great success in news and social feeds. However, to date there has not been a winning formula for ads in e-mail clients. In this paper we describe a system that leverages user purchase history determined from e-mail receipts to deliver highly personalized product ads to Yahoo Mail users. We propose to use a novel neural language-based algorithm specifically tailored for delivering effective product recommendations, which was evaluated against baselines that included showing popular products and products predicted based on co-occurrence. We conducted rigorous offline testing using a large-scale product purchase data set, covering purchases of more than 29 million users from 172 e-commerce websites. Ads in the form of product recommendations were successfully tested on online traffic, where we observed a steady 9 lift in click-through rates over other ad formats in mail, as well as comparable lift in conversion rates. Following successful tests, the system was launched into production during the holiday season of 2014.
  @cite_10: Determining the right audience for an advertising campaign is a well-established problem, of central importance to many Internet companies. Two distinct targeting approaches exist, the model-based approach, which leverages machine learning, and the rule-based approach, which relies on manual generation of targeting rules. Common rules include identifying users that had interactions (website visits, emails received, etc.) with the companies related to the advertiser, or search queries related to their product. We consider a problem of discovering such rules from data using Constrained Sparse PCA. The constraints are put in place to account for cases when evidence in data suggests a relation that is not appropriate for advertising. Experiments on real-world data indicate the potential of the proposed approach.
  @cite_4: Estimating a user's propensity to click on a display ad or purchase a particular item is a critical task in targeted advertising, a burgeoning online industry worth billions of dollars. Better and more accurate estimation methods result in improved online user experience, as only relevant and interesting ads are shown, and may also lead to large benefits for advertisers, as targeted users are more likely to click or make a purchase. In this paper we address this important problem, and propose an approach for improved estimation of ad click or conversion prob- ability based on a sequence of user's online actions, modeled using Hidden Conditional Random Fields (HCRF) model. In addition, in order to address the sparsity issue at the input side of the HCRF model, we propose to learn distributed, low-dimensional representations of user actions through a directed skip-gram, a neural architecture suitable for sequential data. Experimental results on a real-world data set comprising thousands of user sessions collected at Yahoo servers clearly indicate the benefits and the potential of the proposed approach, which outperformed competing state-of-the-art algorithms and obtained significant improvements in terms of retrieval measures.
summary: For any machine learning technique, features used to train a model typically have a critical influence on the performance of the deployed algorithm. Features derived from user events collected by publishers are often used in predicting the user's propensity to click or purchase @cite_4 . However, these features represent only a weak proxy to what publishers and advertisers are actually interested in, namely, user's purchase intent. On the other hand, commercial e-mails in the form of promotions and purchase receipts convey a strong, very direct purchase intent signal that can enable advertisers to reach a high-quality audience. According to the Direct Marketing Association's National Client E-mail Report" www.powerprodirect.com statistics, accessed June 2015 , an e-mail user has been identified as having over $10 recent work @cite_10 was among the first attempts to investigate the value of commercial e-mail data. The authors applied Sparse Principal Component Analysis (SPCA) on the counts of received e-mails in order to cluster commercial domains, demonstrating significant promise of e-mail data source.