Bidding strategy for Entertainment Ticket Auctions - Bhalchandra Agashe

Differentiating Characteristics of the Entertainment CDA Most Dynamic part of the TAC Scope for making substantial profit

How can the agent make profit ? Given Valuation = V Ask Price = P a Bid Price = P b Profit = P a – V Profit = V – P b

Reference Profit (M) In order to make a buy/sell decision, the current profit has to be compared with some projected figure. How do we calculate this figure ?

Satisfactory Profit The profit that an agent is willing to settle for Why is this different from the reference profit ? Is it time dependent ? M(t) = M*w(t)

Satisfactory Profit

Seller’s strategy Current profit = P a – V Satisfactory profit = M(t) When should the agent sell ? -Current profit >= satisfactory profit Otherwise ? - Revise the ask price

Mertacor “A long term profit seeking strategy” Two additional variables: –Target profit (Average profit to be made by the end) –Mean (Average profit made so far) Reference Profit = A*target + B*mean Profit = P a – 2*V

Mertacor Satisfactory Profit: M(t) = M * w(t)

How Mertacor fared at TAC 05 ?

Wrap up Questions and/or Comments ? Thank you!