AAAI Publications, Workshops at the Twenty-Sixth AAAI Conference on Artificial Intelligence

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Variable Categorization and Modelling: A Novel Adversarial Approach to Mobile Location-Based Advertising
En-Shiun Annie Lee, Franky Kin-Wai Yeung, Tzu-Yang Yu

Last modified: 2012-07-15

Abstract


Location-based advertising has gained a lot of attention fromadvertisers in recent years because of the rapid increase the number of insmart phone users. Adversarial location-based advertising isa novel concept that stretches beyond conventional mobile advertising. Advertisers can promote their own products based on location and also compete for customers who are close-by. We determined a set of variables that influences the customer's purchasing decisions, as well as categorized these variables and ranked the important variables within each category. Our generic model matches the individual's profile of distance to the competitor's store and of coupon discount preference, which is then used to implement discount discrimination strategy. We conclude that customers will accept adversarial advertising and change their purchasing decisions. It is a powerful advertising toolto know that, given a predefined condition for the purchase, a customer will make the extra effort to accept a better offer.

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