Promoted’s ads work by first maximizing user experience in search and feed...
... and then running an ad auction to promote items at the top to increase revenue.
CPC, CPM, and mixtures of these are also supported.
Within a budget, Promoted auto-bids using real-time data.
First, Promoted computes the value to the advertiser if the item already appears in search or feed. If it doesn’t appear, this value is 0.
Next, Promoted computes the value to the advertiser to every higher position as the Advertiser Bid.
The difference between the [Advertiser Bid] and the [Value of No Ad] is the advertiser bid for each higher position.
Uses machine learning to predict the probability of conversion or click. It leverages maximization systems used for non-ads.
The Quality Score reuses search and feed optimization systems and adds controls for diversity and exploration.
If it is too negative, the ad is trimmed.
With User or Request properties that you send to Promoted, like repeat buyer retargeting and device type.