We develop a two-stage consumer-level model of paid search advertising response based on standard aggregated data provided to advertisers by major search engines such as Google or Bing. The proposed model uses behavioral primitives in accord with utility maximization and allows recovering...

The authors study the effect of word-of-mouth (WOM) marketing on member growth at an Internet social networking site and compare it with traditional marketing vehicles. Because social network sites record the electronic invitations sent out by existing members, outbound WOM may be precisely...