System and method for generating optimized bids for advertisement keywords

An apparatus comprising:

• a memory comprising instructions executable by one or more processors;
• and
• one or more processors coupled to the memory and operable to execute the instructions, the one or more processors being operable when executing the instructions to:
• access one or more keyword groups, each of the keyword groups comprising one or more keywords, each of the keywords in each of the keyword groups having one or more sets of metric values determined with respect to a set of advertising metrics and one or more advertising positions;
• for each of the keyword groups with respect to each of the advertising positions, calculate one or more advertising metric estimates for the keyword group with respect to the advertising position based on the sets of metric values of the keywords in the keyword groups;
• for each of the keywords in each of the keyword groups with respect to each of the advertising positions, calculate one or more advertising metric estimates for the keyword with respect to the advertising position based on the sets of metric values of the keywords in the keyword groups and the advertising metric estimates for the keyword groups with respect to the advertising positions;
• and
• for each of the keywords in each of the keyword groups:
• select one of the advertising positions as a target advertising position for the keyword based on the advertising metric estimates for the keyword with respect to the advertising positions;
• and
• generate a bid for the keyword with respect to the target advertising position that represents a recommended bid for having one or more advertisements corresponding to the keyword group to which the keyword belongs displayed in the target advertising position in response to one or more search requests matched to the keyword.

One or more computer-readable physical storage media embodying software operable when executed by one or more computer systems to:

• access one or more keyword groups, each of the keyword groups comprising one or more keywords, each of the keywords in each of the keyword groups having one or more sets of metric values determined with respect to a set of advertising metrics and one or more advertising positions;
• for each of the keyword groups with respect to each of the advertising positions, calculate one or more advertising metric estimates for the keyword group with respect to the advertising position based on the sets of metric values of the keywords in the keyword groups;
• for each of the keywords in each of the keyword groups with respect to each of the advertising positions, calculate one or more advertising metric estimates for the keyword with respect to the advertising position based on the sets of metric values of the keywords in the keyword groups and the advertising metric estimates for the keyword groups with respect to the advertising positions;
• and
• for each of the keywords in each of the keyword groups:
• select one of the advertising positions as a target advertising position for the keyword based on the advertising metric estimates for the keyword with respect to the advertising positions;
• and
• generate a bid for the keyword with respect to the target advertising position that represents a recommended bid for having one or more advertisements corresponding to the keyword group to which the keyword belongs displayed in the target advertising position in response to one or more search requests matched to the keyword.