AdKnob: Ad Intensity Control and Labeling for LLM-Native Advertising

Large language model (LLM)-native advertising has emerged as a viable monetization channel as LLM service providers seek sustainable revenue streams. However, integrating native ads into LLM responses introduces two largely understudied challenges: (1) controlling ad intensity -- how prominently advertising content appears -- and (2) ad labeling -- identifying which segments of the generated text constitute advertising. We propose AdKnob, a framework jointly addressing both challenges. For ad intensity control, we introduce new ad control tokens without pretrained semantic associations and align the model via direct preference optimization to generate ads at each desired level. For ad labeling, we propose an attention rollout-based attribution mechanism that identifies ad segments by tracing their attribution to input ad-related tokens, requiring no additional inference cost. We further construct MI-KnobSet, the first multi-level ad intensity preference dataset for LLM-native ads. Experiments across six LLMs and human evaluations show that AdKnob achieves uniformly spaced ad intensities where baselines collapse to a narrow range, achieves the highest ad labeling accuracy while being over 500x faster than the strongest baseline, and is preferred over baselines by human evaluators up to 89.6% of the time.