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Prior literature on pay-per-click advertising assumes that publishers know advertisers' click-through rates (CTR). This information, however, is not available when a new advertiser first joins a publisher. The new advertiser's CTR can be learned only if its ad is shown to enough consumers, i.e.,...
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We study a scenario in which firms offering products of different qualities can use persuasive advertising to influence consumers' preferences and perceptions about product quality. Consumers have an absolute and a relative component of utility from quality, and derive diminishing marginal...
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Advertising to a consumer moves her further along the purchase journey, and tracking the consumer's online activities enables the advertiser to infer her purchase journey stage and target her accordingly. However, many consumers dislike being tracked, and repeated advertising leads to ad...
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Recent privacy regulations and firm policies endow consumers with the choice of whether to allow firms to use their personal data for marketing (and other) purposes. We investigate the impact of consumer data privacy choices on the advertising ecosystem. We consider a scenario with competing...
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