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Paper · arXiv

Evaluating and Pricing Advertisements in AI-Generated Responses

As search increasingly shifts toward LLM-driven answer engines, advertising is becoming embedded within the generated response itself and should therefore be evaluated for both user utility and commercial value. The key challenge is click-through intent: behavioural logs are unavailable, human annotation resists calibration, and frontier LLM judges conflate intent with linguistic fluency. These gaps compound, as principled pricing presupposes a continuous intent signal, while generating such a signal presupposes supervision that is currently unavailable. We construct the missing supervision through a psychologically grounded agent simulation framework, and distil it into a parameter-effic...

AuthorsJohn L. Turner-Smith, Zimeng Huang, Yuhan Fu et al.
Primary categorycs.AI
Published30 July 2026
Last updated at source30 July 2026
cs.AI
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