Auction Logic

Topsort supports first-price and second-price auctions. Both consider the bid amount and the quality score for ranking items. A quality score is a relevance metric. It includes factors like estimated click likelihood.

First-Price Auction

• Winning bidder pays their exact bid.
• Recommended for Auto-bidding.
• Algorithms optimize bids in real-time.
• Achieves efficient budget use through automated adjustments and quality score.

Second-Price Auction

• Highest bidder pays the second-highest bid plus a small increment.
• Recommended for Manual bidding.
• Encourages competitive bidding without overpaying.
• Benefits high-quality items with better placement due to quality score and bid.