This paper empirically investigates the add-on or "drip" pricing behavior of firms. We present a model in which consumers purchase a base product and, with some probability, an add-on product from the same firm, but are not always attentive to their possible need for the add-on product. We show...

Advancements in mobile technologies mean that consumers can engage the digital world wherever they are and whenever they want. This intersection between the digital and the physical has important implications for consumer decision-making. We propose that mobile ecosystems vary in their...

We examine the role of price transparency in consumer preferences and demand. We assemble a detailed dataset on the driving school industry in Portugal to quantify how firms present the price of the course of instruction, and its individual components, to potential students. Our unique data...