This paper addresses price transparency on the consumer side in markets with behavioral price discrimination which feature welfare reducing brand switching. When long-term contracts are not available, an increase in transparency intensifies competition, lowers prices and profits, reduces brand...

We study long run effects of transparency on the consumer side in a differentiated market. Only some consumers know prices. Increasing transparency reduces the equilibrium price, profit and firm entry. This improves welfare and, in most cases, average consumer utility.