DRIVE: Distributional and Retrieval-Augmented Bidding with Value Evaluation

Abstract:Auto-bidding is a core component of real-time advertising systems, where decisions must optimize long-term performance under budget and cost constraints, while online exploration is prohibitively risky. Offline reinforcement learning and, more recently, Transformer-based sequence modeling have shown promise for learning bidding policies from logged data, but their unimodal and purely parametric formulations often collapse multiple effective bidding strategies into suboptimal averaged actions and perform unreliably under sparse or long-tail traffic. To mitigate these limitations, we propose DRIVE (Distributional and Retrieval-Augmented Bidding with Value Evaluation), a unified Transformer-based framework that decouples candidate action generation from decision making for offline auto-bidding. DRIVE combines distributional action modeling, retrieval-augmented candidate generation from high-quality historical decisions, and value-based evaluation to select the most promising bid at inference time. Extensive experiments on AuctionNet and additional offline reinforcement learning benchmarks demonstrate that DRIVE consistently improves bidding performance and generalizes well across multiple Transformer-based methods.

Machine Learning (cs.LG)

arXiv:2606.14192 [cs.LG]

(or arXiv:2606.14192v1 [cs.LG] for this version)

https://doi.org/10.48550/arXiv.2606.14192 Focus to learn more arXiv-issued DOI via DataCite (pending registration)

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