Detect recent trends quickly
Users often ask how we deal with recent trends. How quickly do we pick up on conversion rate changes (for example, because of seasonality or an external event such as a TV ad campaign)?Users also ask how we deal with data sparsity. These two concerns (picking up on trends vs. working with noisy data) seem to be at conflict; one requires us to look at long-term data, while the other forces us to look at just the most recent information.
Our answer: To deal with data sparsity, we look back at a long window (two months) of data. However, to make sure recent trends aren’t missed, we use exponential smoothing to place more weight on recent data. This way, we make use of all the data, but the contribution of recent data is greater.
DS now more accurately determines when there is a true trend change in conversion rates, instead of just the general noise in data. We do this by intelligently analyzing and weighing a mix of variables such as clicks, actions, and time.
React fast to big changes in bid strategy settings
Normally, changing bids by small, reasonable amounts is a good thing. You don’t want the DS bid system to vary your bids dramatically, moving them back and forth like a reading on an EKG monitor. However, there are some instances when you need the DS bid system to jump start your bids. If you change the bid strategy settings drastically (for example, change a $30 CPA to $300), you want DS to be able to change the bids quickly.Before this release, DS already jump started your bids in most situations like these. With this release, DS will now also jump start the bids when you add or remove significant position constraints to your ROI bid strategies. While it’s a small update to this existing technology, it makes the DS bid system even more flexible and powerful.
As we did with previous algorithm improvements, we’ll analyze these and other upcoming improvements, and determine how they’re improving your bid strategy experience. If you’re ready to see for yourself how our improved bid strategies can help you, please refer to the Help Center or email us at ds-support@google.com today!
Posted by the DoubleClick Search team
