METHOD, ALGORITHM, AND COMPUTER PROGRAM FOR OPTIMIZING THE PERFORMANCE OF MESSAGES INCLUDING ADVERTISEMENTS IN AN INTERACTIVE MEASURABLE MEDIUM

Method, procedure, algorithm, system, and computer program for improving and attempting to optimize the performance of messaging campaigns, particularly to marketing campaigns in which advertisements or other messages are distributed over an interactive measurable medium such as the Internet. A goal is to allocate the message alternatives to the customer population to optimize business objectives. The includes reading prior stage message state data pertaining to a prior stage including a cumulative number of trials and a cumulative number of successes for a particular message. Message performance results representing message trials and message successes from the previous stage based on the prior-stage state are then read, and a current message state is computed. A current message allocation is generated based on the current message state. Desirably the cumulative number of trials and the cumulative number of successes are discounted based on the age of the information. This inventive procedure may be applied to various message types including, for example, web site banner advertisements, electronic advertisements generally, email messages and promotions, and the like. In one embodiment, the messages are internet web site banner ads, trials are impressions of the ads presented to the user, and successes are measured by clickthroughs from the banner ad to the web site associated with the banner ad. Computer system, computer program, and computer program product associated with the inventive method and procedures are also provided by the invention.