This paper develops and estimates a structural model of differentiated-products demand in an environment with in-store displays and costly consumer price search. This investigation is motivated by two stylized facts on retail markets. First, the prevalence of retail “sales” means that...

The effect of variety on consumer choice has been studied extensively, with some stream of literature showing the positive effects on choice and others arguing that too many alternatives may result in negative consequences (i.e., choice deferral or no purchase at all), often referred to as...