How auctions work on Yandex.Market
Yandex.Market uses the generalized second-price auction (GSP): the participant who offers the highest bid wins. However, the bidder actually pays less than their bid: the price they are charged equals the bid of the next competitor + 0.01 Yandex units. The auction takes place in real time, as a user loads a Yandex.Market page displaying stores' offers.
- Example
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Four offers are competing. The stores' bids are 1, 0.7, 0.5, and 0.2 Yandex units respectively (their non-financial indicators are identical).
The first offer will be placed in the first position. The cost of each click will be 0.71 Yandex units.
The second offer will get to the second position and each click will cost 0.51 Yandex units.
The third offer will occupy the third position and the store will pay 0.21 Yandex units per click.
Autobroker
The auction is implemented by the autobroker system, which takes the indicators of your offer and competitors' offers into account (CTR, user region, etc.). Autobroker is enabled for all stores by default. You can view the results of autobroker on the Summary page, in the Managing bids section: