  Auto-bidding plays an important role in online advertising and has become a
crucial tool for advertisers and advertising platforms to meet their
performance objectives and optimize the efficiency of ad delivery. Advertisers
employing auto-bidding only need to express high-level goals and constraints,
and leave the bid optimization problem to the advertising platforms. As
auto-bidding has obviously changed the bidding language and the way advertisers
participate in the ad auction, fundamental investigation into mechanism design
for auto-bidding environment should be made to study the interaction of
auto-bidding with advertisers. In this paper, we formulate the general problem
of incentive mechanism design for ROI-constrained auto-bidding, and carry out
analysis of strategy-proof requirements for the revenue-maximizing and
profit-maximizing advertisers. In addition, we provide a mechanism framework
and a practical solution to guarantee the incentive property for different
types of advertisers.
