Athanasios Vlontzos, David Gustafsson, Michael O'Riordan +1stat.ML cs.LG stat.ME
Recommendation impressions are a finite resource, hence delivering a recommendation to a user who would discover the content organically yields no incremental value and displaces other recommendations that could. We address this by extending an existing production recommendation model to a causal architecture using holdback data that is already collected as part of routine experimentation infrastructure, requiring no new data collection. A central challenge is that attribution windows differ between treated and holdback observations: treated users are attributed a stream within a short direct-response window, while holdback users are attributed organic streams over a multi-day window. This mismatch makes naive treatment-effect subtraction invalid. We resolve this with a dual-threshold targeting policy that delivers a recommendation only when the probability of a treated stream is high and the probability of organic stream is low. In a production-scale A/B test on millions of Spotify users, this policy reduces recommendation impressions by 7% with no statistically significant reduction in overall recommended content consumption. We further show that joint training with holdback data improves calibration of the treated head relative to the production baseline, and argue this can be taken as evidence that causal models learn more generalisable representations than models trained on observational data alone.
Coupon campaigns seek to lift both conversion and revenue, but gross merchandise value (GMV) follows a deterministic funnel from conversion to conditional order value and is zero-inflated and heavy-tailed. We propose FunnelCausalNet, an uplift estimator coupling a binary conversion head with a nonnegative conditional-value head through $μ_{\mathrm{gmv}}=μ_{\mathrm{conv}}μ_{\mathrm{val}}$. Under explicit RCT, support, rate-gap, and cross-head covariance-control assumptions, an idealized leading-order MSE comparison identifies a regime in which funnel composition can reduce pointwise variance; this is a heuristic, not a guarantee for the shared-representation neural model. The estimator is paired with marginal split-conformal CATE summaries, combined through a Bonferroni union as audit bands, and a Lagrangian budgeted allocator using RCT-anchored estimates for subsidy-aware ROI accounting. On semi-synthetic multi-tier Criteo-MT7, FunnelCausalNet's mean AUUC_GMV is within one seed standard deviation of the leading feature-interaction baseline among eleven baselines, while a controlled ablation reduces GMV effect error versus direct GMV regression by 18--48% across tested zero-inflation regimes. On de-identified industrial Hotel-Coupon RCT logs with about 4.9 million hold-out exposure records per seed, expected-outcome evaluation sweeps full LP frontiers; FunnelCausalNet has the best seed-averaged mean DeltaROI at all seven correlated anchors from 10% to 60%, which we treat as descriptive frontier consistency rather than independent significance. On sparse binary-spend public benchmarks, revenue-focused rankers can dominate uplift-curve proxies, defining an explicit regime boundary.
Changshuai Wei, John Bencina, Phuc Nguyen +2cs.LG cs.AI
Large-scale targeting and recommendation systems are typically built around predictive scores fed into heuristic or local allocation. When the business goal is incremental impact, as in marketing campaigns, incentives, and notifications, this paradigm systematically misallocates resources toward users who would have acted anyway. We present a decision-centric framework that instead optimizes causal effects under global constraints, aligning three components under a single objective: a causal neural network with a Transformer backbone for individual treatment-effect estimation, a Bayesian neural-bandit layer for uncertainty-aware exploration, and a dual-based large-scale linear-programming layer for constrained allocation. The framework also supports sequential context and multi-outcome, attribute-conditioned scoring through a Transformer encoder and outcome embeddings. We evaluate it with offline simulations on a public bandit dataset, targeted architectural ablations, and an online A/B test on LinkedIn Feed marketing traffic. We also distill production lessons on causal training-data construction and cost and delivery control, which were critical to successful deployment. The end-to-end treatment policy delivered a statistically significant $+7.20\%$ lift in the primary long-term-value metric, demonstrating the feasibility of production-scale causal optimization under business constraints.
Yuanyuan Shen, Yiren Yan, Wenjie Li +1cs.IR cs.LG cs.SI stat.ME
On two-sided content platforms, symmetric two-sided isolation (assigning matched fractions of creators and viewers to isolated treatment and control submarkets) is widely used for creator-side and cold-start experiments because it removes cross-arm marketplace interference. Isolation, however, thins each viewer's candidate catalog, and intuition suggests the resulting engagement cost should fade as the platform grows: a small fraction of a vast catalog is still vast. We show that, in an order-statistics model of engagement, whether this intuition holds depends on the upper tail of match quality. Extreme-value theory yields tail-class loss laws with a sharp dichotomy: for light or bounded tails the loss vanishes as the candidate pool grows, whereas under heavy tails it converges to a size-independent constant, so expanding the candidate pool, even by orders of magnitude, does not asymptotically eliminate the cost. Evidence from two production experiments on a platform with millions of active creators is consistent with this picture: a pure A/A traffic sweep reveals a measurable, depth-graded engagement cost; a one-sided catalog ablation independently shows that per-viewer thinning contributes to the loss; and a tail index calibrated on the small exploration pool predicts an effect consistent with the one observed in the far larger full-catalog ablation. Isolation thus carries a price that experimenters should budget for, like any other cost. We give practitioners a preflight procedure that estimates it before launch, sizes traffic accordingly, and recommends a fallback design when the predicted cost exceeds a chosen tolerance.
E-commerce platforms must allocate fixed marketing budgets across multiple channels to maximize business utility. However, standard predict-then-optimize (PTO) paradigms fail in this compositional space due to observational confounding and severe extrapolation. We formulate this challenge as a simplex-constrained uplift decision problem and propose ReAlloc, a fast-slow causal framework. Specifically, an agile Orthogonal Teacher extracts unbiased local gradients from short-term logs, while an Explanation-Guided Student distills them into a structured marginal field over long-term horizons. This design enables support-aware, conservative decisions that capture cross-channel substitutions. Extensive simulations and large-scale online A/B tests on Taobao platform demonstrate that ReAlloc achieves simultaneous lifts in both pay order and income.
Large language models (LLMs) can summarize heterogeneous user evidence in natural language, but current LLM recommenders often collapse enduring preferences, transient intent, and exposure-induced behavior into one profile. This makes recommendation vulnerable to feedback loops: repeated exposure is mistaken for preference, immediate clicks dominate delayed satisfaction, and fluent explanations need not reflect the ranking decision. We propose our method, a model-agnostic framework for long-horizon recommendation. Our method uses a frozen multimodal language model to convert item content and feedback into evidence-grounded semantic atoms, then maintains separate short-term, long-term, and exposure memories. Propensity-weighted updates reduce policy-induced exposure bias, while a conservative offline critic reranks candidates for delayed satisfaction under a behavior-support constraint. Explanations use only influential evidence atoms and are checked by counterfactual deletion. We provide an identification result and evaluate the framework in e-commerce-like, news-like, and short-video-like environments. Across ten seeds, our method improves discounted long-term value over the strongest alternative by 6.1%, 7.6%, and 6.7%, respectively. Twenty-seed paired ablations show significant value drops after removing propensity correction (0.739 +/- 0.191) or conservative support regularization (0.523 +/- 0.234). A frozen instruction language model also more than doubles semantic-atom NDCG over TF-IDF on a held-out paraphrase benchmark.
Modern recommender systems are typically based on deep learning (DL) models, where a dense encoder learns representations of users and items. As a result, these systems often suffer from the black-box nature and computational complexity of the underlying models, making it difficult to systematically enhance their recommendation capabilities. To address this problem, we propose Probabilistic Residual Learning (PRL), a causal Bayesian recommendation model that models the residual between ground-truth and base predictions, enabling targeted refinement of existing systems. Specifically, PRL (1) probabilistically groups users for localized residual modeling, (2) models domain-level confounders that influence user and item representations, and (3) aggregates cluster-specific residual predictions over the confounders using do-calculus. Experiments demonstrate that our plug-and-play PRL is compatible with various base deep learning recommender systems, improving their performance while automatically discovering meaningful user clusters.
Clicks on homepage marketing blocks are driven by a dual-mechanism of content interest and access habits. However, habitual clicks often create Pseudo-Positives in marketing slots, where position advantage masks mediocre content quality, leading to biased recommendation ecosystems. We propose a framework called Orthogonal Disentanglement of Access habits (OrDA) to purify interest signals. OrDA utilizes a dual-tower structure with a gated allocation layer to adaptively route features and minimize interference. To ensure rigorous separation, we employ orthogonal regularization to constrain the latent interest and habit manifolds to be geometrically perpendicular. OrDA performs causal intervention (do-calculus) during inference to rank items solely by purified interest scores. Empirical online evaluations on large-scale datasets demonstrate that OrDA effectively eliminates access-habit bias, outperforming state-of-the-art methods in predictive accuracy. Online AB test 5.64% shows user click-through rates (UCTR) improvement on the Zhima homepage marketing block, Zhima rent-floor recommendation.
Junpeng Hou, XianXing Zhang, Sai Xiao +6cs.IR cs.LG
Pinterest is where people turn inspiration into action as users browse ideas, then take steps toward realization, often by discovering shoppable content. To support this journey, we must distribute commerce content when it helps, not when it distracts. We frame this as a causal decision of triggering shopping candidate generators in early retrieval and deploy a production system at Pinterest that learns personalized and contextualized triggering policies. A deep multi-task model jointly predicts outcomes and uplift of multiple events, trained with a doubly-robust pseudo-outcome alongside calibrated outcome losses for stable, single-robust uplift learning. A randomized data logging supplies counterfactual coverage, and the model is evaluated by both regular and reverse metrics for full assessment. A linear-time offline replay is designed to select thresholds and forecast policy impact with extremely high consistency with online results. For productionization, the model runs in parallel with remote retrieval calls without end-to-end latency regression. At web scale, we cut shopping triggers by up to 85% while holding key shopping sessions neutral, improving important total sessions (+0.26%) and Pin saves (+1.10%), with significant infrastructure savings. By unifying deep causal learning with reliable offline replay and demonstrating production-grade deployment, this work provides a generally practical recipe for early-retrieval optimizations in modern cascading recommenders beyond shopping, aligning exploration and cost with user intent at scale.
In large-scale paid acquisition and growth advertising systems, production attribution outputs are widely used for daily budget allocation and channel diagnosis. However, paid-attributed conversions such as daily new users (DNU) may systematically overstate true incremental growth when paid channels overlap with organic demand, brand-driven traffic, or other acquisition channels. This attribution-cannibalization mismatch can distort incremental ROI measurement and budget decisions at scale. We propose an experiment-calibrated attribution correction framework that uses incrementality experiments as causal anchors to convert sparse lift measurements into daily correction estimates. To make the corrected signal actionable at production granularity, we further allocate calibrated cannibalization volume across business hierarchies under structural consistency constraints. Offline forward-in-time validation against channel-level incrementality experiment readouts shows that the proposed framework substantially reduces calibration error relative to raw attribution and fine-grained ML baselines. Deployed across multiple global TikTok markets, the system supported budget and traffic strategy adjustments that were followed by an approximately 15-percentage-point reduction in the measured cannibalization rate.