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This paper explores how a seller should transmit product information to bidders with horizontally differentiated preferences. Under cheap-talk, we show that, in an informative equilibrium, the seller provides less precise information for more popular product attributes. Second, for any given...
Persistent link: https://www.econbiz.de/10013250400
We analyze a large-scale randomized field experiment in which a search engine varied the prominence of search ads for 3.3 million US users: one group of users saw the status quo, while the other saw a lower level of advertising (with prominence of search ads decreased). Revealed preference data...
Persistent link: https://www.econbiz.de/10012244407
. We characterize the competitive equilibrium in the media markets and investigate the role of targeting for the price and … allocation of advertisements across media markets. An increase in the targeting ability leads to an increase in the total number … of purchases (matches), and hence in the social value of advertisements. Yet, an improved targeting ability also …
Persistent link: https://www.econbiz.de/10008540613
competitive equilibrium in the media markets and evaluate the implications of targeting in advertising markets. An increase in the … targeting ability leads to an increase in the total number of purchases (matches), and hence in the social value of advertising …. Yet, an improved targeting ability also increases the concentration of firms advertising in each market. Surprisingly, we …
Persistent link: https://www.econbiz.de/10008490303
competitive equilibrium in the media markets and evaluate the implications of targeting in advertising markets. An increase in the … targeting ability leads to an increase in the total number of purchases (matches), and hence in the social value of advertising …. Yet, an improved targeting ability also increases the concentration of firms advertising in each market. Surprisingly, we …
Persistent link: https://www.econbiz.de/10008607505
optimal pricing,advertising and link formation strategies of the players (platforms, advertisers and general users …
Persistent link: https://www.econbiz.de/10014190009
This paper empirically studies how social learning among consumers shapes firms' optimal strategies of using advertising to signal product quality. I present an equilibrium model that describes both consumers' and firms' learning and decision-making under quality uncertainty. My model allows me...
Persistent link: https://www.econbiz.de/10012964823
Advertising on e-commerce marketplaces, wherein sponsored product listings are interleaved with organic product listings, is a large and growing phenomenon. In this paper, we both theoretically and empirically study whether including sponsored listings improves or hurts the overall quality and...
Persistent link: https://www.econbiz.de/10012901427
Search engines and e-commerce platforms have substantial difficulty exposing new products to their users on account of … an information problem: new products typically do not have enough sales or other user-engagement that enables platforms … consumers and platforms in e-commerce, through its ability to reveal information that can be used by platforms to improve search …
Persistent link: https://www.econbiz.de/10013217432
technology through which advertising conveys information to consumers, considering in turn advertising costs, targeting, and …
Persistent link: https://www.econbiz.de/10014025249