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Assortment Planning with Sponsored Products

  • University of Texas at Dallas
  • University of North Texas
  • Soochow University

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

In the rapidly evolving landscape of retail, assortment planning plays a crucial role in determining the success of a business. With the rise of sponsored products and their increasing prominence in online marketplaces, retailers face new challenges in effectively managing their product assortment in the presence of sponsored products. Remarkably, previous research in assortment planning largely overlooks the existence and impact of sponsored products. Instead, they often simplify by assuming that all products are non-sponsored, allowing any product to be freely added to or omitted from the recommendation list. This research gap highlights the need for a more comprehensive investigation into the assortment planning challenge, particularly when sponsored products are involved. We formulate the assortment planning problem in the presence of sponsored products as a combinatorial optimization task. The ultimate objective is to compute an assortment plan that optimizes expected revenue while considering the specific requirements of placing sponsored products strategically.

Original languageEnglish
Title of host publicationComputing and Combinatorics - 30th International Conference, COCOON 2024, Proceedings
EditorsYong Chen, Xiaofeng Gao, Xiaoming Sun, An Zhang
PublisherSpringer Science and Business Media Deutschland GmbH
Pages227-238
Number of pages12
ISBN (Print)9789819610891
DOIs
StatePublished - 2025
Event30th International Computing and Combinatorics Conference, COCOON 2024 - Shanghai, China
Duration: Aug 23 2024Aug 25 2024

Publication series

NameLecture Notes in Computer Science
Volume15161 LNCS
ISSN (Print)0302-9743
ISSN (Electronic)1611-3349

Conference

Conference30th International Computing and Combinatorics Conference, COCOON 2024
Country/TerritoryChina
CityShanghai
Period08/23/2408/25/24

Keywords

  • Assortment optimization
  • Sponsored products
  • Submodular optimization

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