I estimate demand for auto insurance in the presence of two types market frictions: search and switching costs. develop an integrated utility‐maximizing model which consumers decide over how many companies to from company purchase. My modelling approach rationalizes observed consideration sets as being outcomes consumers' processes. find costs range $35 $170 average $40. Search are most important driver customer retention their elimination is main lever increase consumer welfare industry.

How does advertising influence consumer decisions and market outcomes? We utilize detailed data on shopping behavior choices over bank accounts to investigate the effects of different stages process: awareness, consideration, choice. formulate a structural model with costly search endogenous consideration sets, show that in U.S. banking industry is primarily shifter awareness as opposed or Advertising makes consumers aware more options, more, find better alternatives. This increases share...

We study the identification of search method consumers use when resolving uncertainty in prices alternatives. show that method—simultaneous or sequential—is identified with data on consumers’ consideration sets (but not sequence searches), for considered alternatives and marketwide price distributions. comes from differences patterns actual across methods. also provide a new estimation approach sequential model uses such data. Using consumer shopping behavior U.S. auto insurance industry...

Researchers are increasingly able to observe consumers' behavior prior a purchase, such as their navigation through store or website and the products they consider. Such pre-purchase (or search) data can be valuable researchers in variety of ways: an additional source information estimate consumer preferences, understand how firms influence search process marketing mix variables, analyze limited about affects equilibrium market outcomes. We provide overview these three research areas with...

This paper studies how word of mouth and product adoptions from friends the whole community affect individuals’ adoption decisions in context anime.

This paper documents that consumers frequently take breaks during their search (“search gaps”) and develops estimates a model rationalizes gaps caused by consumer fatigue.

In many markets, consumers visit stores and physically inspect products before making purchase decisions. We view the inspection of a product at retail location as search for fit. quantify cost benefit from searching fit using discrete choice model demand with optimal sequential search. these models, is measured by standard deviation has, heretofore, been fixed to one in estimation. show that, an exogenous shifter, both can be separately estimated. Our empirical setting U.S. automotive...

We provide a detailed overview of the empirical implementation sequential search model proposed by Weitzman (1979). discuss assumptions underlying model, identifica-tion cost and preference parameters, necessary normalizations utility counterfactuals that require framework, different estimation approaches. The goal this paper is to consolidate knowledge unified treatment various aspects models are relevant for work.

Many social platforms have recently enabled users to tip online content creators. We investigate how individuals decide whether and much Our novel data come from an board game platform, on which create consume content, react can sell purchase games. A unique aspect of our is that we observe all tipping incidences since the introduction platform. develop a model in make decisions as function their beliefs about evolving norm, quality, user characteristics, other factors. Users' norm are based...

I estimate demand for auto insurance in the presence of two types market frictions: search and switching costs. develop an integrated utility-maximizing model which consumers decide over how many companies to from company purchase. My modeling approach rationalizes observed consideration sets as being outcomes consumers’ processes. find costs range $35 $170 average $40. Search are most important driver customer retention their elimination is main lever increase consumer welfare industry.

The authors study how strangers become friends within an evolving online social network. By modeling the coevolution of individual users’ friendship tie formations (when and with whom) their concurrent activities, uncover important drivers underlying individuals’ decisions and, at same time, quantify resulting peer effects on actions. They estimate model using a novel data set capturing continuous development network entire action histories results reveal that similarity (homophily)...

We study the identification of search method consumers use when resolving uncertainty in prices alternatives. show that -- simultaneous or sequential is identified with data on consumers' consideration sets (but not sequence searches), for considered alternatives and market-wide price distributions are observed. comes from differences patterns actual across methods. also provide a new estimation approach model uses such data. Using consumer shopping behavior U.S. auto insurance industry...

Abstract The rapid adoption of online streaming and over-the-top services has fundamentally changed at-home entertainment media consumption given rise to new behaviors which are often characterized by a high intensity watching (e.g., binge-watching). In this paper, we investigate how the affects consumers’ engagement with franchises in two areas: personal interactive engagement. former involves franchise extensions latter concerns content generation related focal product they watched. Using...

We investigate the relationship between both advertising content and quantity several stages of consumers' decision-making, namely, unaided aided awareness, consideration, purchase. Understanding how amount advertisements affect decision-making is crucial for companies to effectively efficiently use their budgets. Spanning a time period from 2010 2016, we combine unique data set on TV quantities with individual-level containing information purchases, consideration awareness sets, demographic...

How does advertising influence consumer decisions and market outcomes? We utilize detailed data on shopping behavior choices over bank accounts to investigate the effects of different stages process: awareness, consideration, choice. formulate a structural model with costly search endogenous consideration sets, show that in U.S. banking industry is primarily shifter awareness as opposed or Advertising makes consumers aware more options, find better alternatives. This increases share smaller...

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Download This Paper Open PDF in Browser Add to My Library Share: Permalink Using these links will ensure access this page indefinitely Copy URL DOI

Researchers are increasingly able to observe consumers' behavior prior a purchase, such as their navigation through store or website and the products they consider. Such pre-purchase (or search) data can be valuable researchers in variety of ways: an additional source information estimate consumer preferences, understand how firms influence search process marketing mix variables, analyze limited about shapes market outcomes. We provide overview these three areas with particular emphasis on...

In many markets, consumers visit stores and physically inspect products before making purchase decisions. We view the inspection of a product at retail location as search for fit. quantify cost benefit from searching fit using discrete choice model demand with optimal sequential search. these models, is measured by standard deviation has, heretofore, been fixed to one in estimation. show that, an exogenous shifter, both can be separately estimated. Our empirical setting U.S. automotive...