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Magazine subscription and intertemporal discounting : some further evidence

Resende, Marcelo; Ferioli, Eduardo - 2014

The paper's objective is to assess price discrimination in magazine subscriptions in the Brazilian market. Oster and Scott-Morton (2005) had advanced a price discrimination mechanism in which the ratio between subscription and newsstand prices would be positively associated to the extent that a...

Persistent link: https://www.econbiz.de/10010434131

Why Bundle Discounts Can Be a Profitable Alternative to Competing on Price Promotions

Balachander, Subramanian - 2011

Price promotions and bundling have been two of the most widely used marketing tools in industry practice. Past literature has assumed that firms respond to price promotions by promoting a product in the same category. In this paper, we extend this literature as well as the bundling literature by...

Persistent link: https://www.econbiz.de/10013123901

Does Uncertainty Matter? Consumer Behaviour Under Three-Part Tariffs

Lambrecht, Anja - 2011

In communication, information, and other industries, three-part tariffs are increasingly popular. A three-part tariff is defined by an access price, an allowance, and a marginal price for any usage in excess of the allowance. Empirical nonlinear pricing studies have focused on consumer choice...

Persistent link: https://www.econbiz.de/10012757055

The Consumer Psychology of Mail-In Rebates : A Model of Anchoring and Adjustment

Soman, Dilip - 2006

Consumers who buy a product intending to use an accompanying mail-in rebate often do not redeem the rebate. To explain … rebate. In keeping with previous research on anchoring and adjustment, for instance, we show that when presented with a …'s motivation to purchase the rebated product. In particular, we propose the anchor employed will be driven by the valence of a …

Persistent link: https://www.econbiz.de/10012734735

The Determinants of Coupon Discounts for Breakfast Cereals

Price, Gregory - 2008

This study identifies the determinants of coupon values at the brand level within the context of a complex marketing program. A two-equation, fixed-effects, panel-data model accounts for the bidirectional causality between brand prices and discount levels. The empirical model is fitted with data...

Persistent link: https://www.econbiz.de/10012723426

Protecting vulnerable consumers in "switching markets"

Beckert, Walter; Siciliani, Paolo - 2018

This paper studies regulatory policy interventions aimed at protecting vulnerable consumers who are disengaged and thus exposed to exploitation. We model heterogeneous consumer switching costs alongside asymmetric market shares. This setting encompasses many markets in which established rms are...

Persistent link: https://www.econbiz.de/10011912984

Protecting sticky consumers in essential markets

Beckert, Walter; Siciliani, Paolo - 2021

This paper studies regulatory policy interventions aimed at protecting sticky consumers who are exposed to exploitation. We model heterogeneous consumer switching costs alongside asymmetric market shares. This setting encompasses many markets in which established ﬁrms are challenged by new...

Persistent link: https://www.econbiz.de/10012583369

Strategic inattention in product search

Hillenbrand, Adrian; Hippel, Svenja - 2017

Online platforms provide search tools that help consumers to get betterfitting product offers. But this technology makes consumer search behavior also easily traceable for the platform and allows for real-time price discrimination. Consumers face a trade-off: Search intensely and receive better...

Persistent link: https://www.econbiz.de/10011737481

Price discrimination and salience-driven consumer preferences

Adrian, Nana - 2019

This paper generalizes the price discrimination framework of Mussa and Rosen (1978) by considering salience-driven consumer preferences in the sense of Bordalo et al. (2013b). Consumers with salience-driven preferences give a higher weight to attributes that vary more. This reduces the...

Persistent link: https://www.econbiz.de/10012029080

Price Discrimination by a Two-Sided Platform : With Applications to Advertising and Privacy Design

Jeon, Doh-Shin; Kim, Byung-Cheol; Menicucci, Domenico - 2015

We study price discrimination by a monopoly two-sided platform who mediates interactions between two different groups of agents. We adapt a canonical model of second degree price discrimination a la Mussa and Rosen (1978) to a two-sided platform by focusing on non-responsiveness, a clash between...

Persistent link: https://www.econbiz.de/10014035737