A Multi-attribute Online Advertising Budget Allocation Under Uncertain Preferences

Anu Gupta Aggarwal, Aakash .


Introduction: The present research was conducted at the University of Delhi in 2017.

Method: Websites were ranked on the basis of feedback from unbiased experts. Later, we proposed an integrated approach by combining ordered weighted averaging (OWA) operator with fuzzy analytic hierarchy process (FAHP) for budget allocation.

Results: A numerical example related to a company, which deals with consumer goods and wants to advertise on few e-commerce websites is discussed at the end of the paper. Budget distribution is decided by solving multi-objective maximum-dispersion-minimum-variance (MDMV) OWA and FAHP method.

Conclusions: The proposed methodology aids managerial decisions made by handling multiple attributes simultaneously through industry experts’ opinion, and using a simple proportional rule for allocating budget.

Originality:  The conventional methods based on reach maximization, exposure or profit cannot meet the budget allocation needs of the modern advertising planning. Firstly, they do not take into consideration multiple attributes of media. Secondly, they do not incorporate the expert opinion and their preferences. To address these problems, we propose a multi-attribute method based on the advertising budget allocation method to divide the budget into individual websites. The attributes under consideration are: system quality, content quality, usage, trust, customer support, online customer feedback, and personalization.

Limitations: In this study, we used a mdmv-owa operator in fuzzy environment but in future occasions, it may be extended to intuitionistic fuzzy domain. 


budget allocation; electronic commerce; fuzzy analytic hierarchy process; maximum dispersion; minimum variance;

Full Text:



Digital-Usage-Trend. ComScore US Media Multi Platform Jun.2015 to Jun. 2016. 2016; Available from: (

Sadiq, R., M.J. Rodríguez, and S. Tesfamariam. (2010) Integrating indicators for performance assessment of small water utilities using ordered weighted averaging (OWA) operators. Expert Systems with Applications.37(7), pp. 4881-4891.DOI:

Merigó, J.M. and M. Casanovas. (2011) Induced aggregation operators in the Euclidean distance and its application in financial decision making. Expert Systems with Applications.38(6), pp.7603-7608.DOI:

Fruchter, G.E. and W. Dou. (2005) Optimal budget allocation over time for keyword ads in web portals. Journal of optimization theory and applications.124(1), pp. 157-174.DOI:

Danaher, P.J., J. Lee, and L. Kerbache. (2010) Optimal internet media selection. Marketing Science.29(2), pp. 336-347.DOI:

Yang, Y., D. Zeng, Y. Yang, and J. Zhang. (2015) Optimal budget allocation across search advertising markets. INFORMS Journal on Computing.27(2), pp. 285-300.DOI:

Yager, R.R. (1988) On ordered weighted averaging aggregation operators in multicriteria decision making. IEEE Transactions on systems, Man, and Cybernetics.18(1), pp. 183-190.DOI:

Yager, R.R. (1993) Families of OWA operators. Fuzzy sets and systems.59(2), pp. 125-148.DOI:

Filev, D. and R.R. Yager. (1998) On the issue of obtaining OWA operator weights. Fuzzy sets and systems.94(2), pp. 157-169.DOI:

O'Hagan, Michael. (1988). Aggregating Template Or Rule Antecedents In Real-time Expert Systems With Fuzzy Set Logic. Conference Record - Asilomar Conference on Circuits, Systems & Computers. 2. 681 - 689. DOI: 10.1109/ACSSC.1988.754637.

Fullér, R. and P. Majlender. (2001) An analytic approach for obtaining maximal entropy OWA operator weights. Fuzzy Sets and Systems.124(1), pp. 53-57.DOI:

Sivanandam, S. and S. Deepa, Introduction to genetic algorithms. 2007: Springer Science & BusinessMedia.,+Springer+(2008),+354073189X.pdf.

Briza, A.C. and P.C. Naval. (2011) Stock trading system based on the multi-objective particle swarm optimization of technical indicators on end-of-day market data. Applied Soft Computing.11(1), pp. 1191-1201.DOI:

Yeh, W.-C. and M.-C. Chuang. (2011) Using multi-objective genetic algorithm for partner selection in green supply chain problems. Expert Systems with applications.38(4), pp. 4244-4253.DOI:

Deb, K., Multi-objective optimization using evolutionary algorithms. Vol. 16. 2001: John Wiley & Sons.

Kwong, C.-K. and H. Bai. (2003) Determining the importance weights for the customer requirements in QFD using a fuzzy AHP with an extent analysis approach. Iie Transactions.35(7), pp. 619-626.DOI:

Bozbura, F.T., A. Beskese, and C. Kahraman. (2007) Prioritization of human capital measurement indicators using fuzzy AHP. Expert Systems with Applications.32(4), pp. 1100-1112.DOI:

Chang, D.-Y. (1996) Applications of the extent analysis method on fuzzy AHP. European journal of operational research.95(3), pp. 649-655.DOI:

Wang, J.-J. and D.-L. Yang. (2007) Using a hybrid multi-criteria decision aid method for information systems outsourcing. Computers & Operations Research.34(12), pp. 3691-3700.DOI:

Saaty, A., The analytic hierarchy process. 1980, Mc Graw Hill, Inc.

comments powered by Disqus

Article Metrics

Metrics Loading ...

Metrics powered by PLOS ALM

Revista indexada en:



Línea gratuita nacional

01 8000 420101


Facultad de Ingeniería
Avenida Caracas no. 37-15 
Bogotá, D.C.


(57) (1) 3323565

(57) 3004956353

Revista en OJS implementada por Biteca Ltda.