becoming data-driven - machine learning @ xing marketing solutions
TRANSCRIPT
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Becoming Data-drivenML @ XING Marketing Solutions
Big Data World Frankfurt
November 29th, 2017
Dr. Stefan Kühn
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werben.xing.com
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This talk is about
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werben.xing.com
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Create ads @ www.xing.com/xas/
Native Advertising• Different placements
• Multiple Ad Types
• Events• Groups• Jobs• User• BusinessPages• Websites• Video• …
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AdManagerFrom Heuristics to Algorithms
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Second Bid Auction
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We focus on• Relevance
• Predict expected Clickrate = eCTR
• Revenue• Predict expected
Revenue = eRPI
• Features• Targeting• Ad-related data• User-related data• Time• Channel• …
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Heuristics – Naïve Bayes (not quite)
Why?• Easy to implement
• No theoretic background needed
• No additional toolstack
• Can be implemented by Software Engineers
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Why not?• Hard to optimize
• No theoretic guarantuees
• Toolstack limited w.r.t advanced methods
• Cannot be re-used by Data Scientist
Imprecise predictions lead to suboptimal business decisions
“Visible” costs are low “Invisible” costs are higher
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Algorithms – Collaborative Filtering
Why not?• Significant implementation effort
• Complex theory
• New and unknown toolstack requires training and learning time
• Cannot be implemented by Software Engineers alone
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Why?• Allows for ongoing optimization
• Theoretic guarantuees are a prerequisite for reasoning, proper evaluation and testing
• Modern tooling enables learning from much more data
• Additional Data Science and Engineering skills enhance the team capabilities in many ways
Short term savingsLong term benefits
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Advanced Delivery Pipeline
Separation of Concerns
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Collaborative Filtering for Recommendations
Predict approximate scores for empty spots based on similarities between users and items
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Matrix Factorization
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Short term savings versus long term benefits
0
20
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Revenue per Impression [RPI]
Before ADP Start of ADP ADP today
+11%
+30%
• Development time 4 month (small team)
• In production for 4 months now and more to come
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AdManagerMore to come
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Algorithms – The Next Level
More Data = New Features• Natural Language Processing - Matching user
interests and ad descriptions
• Social Network Analysis - Recommendations based on interactions in the user’s network
• Interaction with other content
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New Methods = Better Predictions• Multiple methods in parallel (Multi-Armed
Bandit)
• Multiple theoretical approaches (LogReg, Tree-based)
• Ensembles
New data dimensions require Big Data solution
New algorithmic dimensions require powerful distributed computing system
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Algorithms – The Next Level
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New data dimensions require Big Data solution
New algorithmic dimensions require powerful distributed computing system
We are already prepared for that!
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Thank you for your attention.
www.xing.com
Dr. Stefan KühnSenior Data Scientist – XING Markting Solutions [email protected]/profile/Stefan_Kuehn46