Click-through rate (CTR) prediction holds significant importance in the realm of online advertising. While many existing approaches treat it as a binary classification problem and utilize binary cross entropy (BCE) as the optimization objective, recent advancements have indicated that combining BCE loss with ranking loss yields substantial performance improvements. However, the full efficacy of this combination loss remains incompletely understood. In this paper, we uncover a new challenge associated with BCE loss in scenarios with sparse positive feedback, such as CTR prediction: the gradient vanishing for negative samples. Subsequently, we introduce a novel perspective on the effectiveness of ranking loss in CTR prediction, highlighting its ability to generate larger gradients on negative samples, thereby mitigating their optimization issues and resulting in improved classification ability. Our perspective is supported by extensive theoretical analysis and empirical evaluation conducted on publicly available datasets. Furthermore, we successfully deployed the ranking loss in Tencent's online advertising system, achieving notable lifts of 0.70% and 1.26% in Gross Merchandise Value (GMV) for two main scenarios. The code for our approach is openly accessible at the following GitHub repository: https://github.com/SkylerLinn/Understanding-the-Ranking-Loss.

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