Should Mobile Marketers Collect Data Other Than Geo‐Location?*
Autor: | Irina Baye, Geza Sapi |
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Rok vydání: | 2019 |
Předmět: |
Flexibility (engineering)
Economics and Econometrics media_common.quotation_subject 05 social sciences Advertising Social Welfare Price discrimination Discount points Geolocation Data quality 0502 economics and business Economics Quality (business) 050207 economics Duopoly Industrial organization 050205 econometrics media_common |
Zdroj: | The Scandinavian Journal of Economics. 121:647-675 |
ISSN: | 1467-9442 0347-0520 |
DOI: | 10.1111/sjoe.12275 |
Popis: | We take today's mobile marketing data landscape as a starting point and consider a duopoly model of third‐degree price discrimination in which firms can complement geo‐location information with data on consumer flexibility of varying quality. We show that, depending on consumer heterogeneity, higher‐quality flexibility data affect profits according to three different patterns. In equilibrium, both firms tend to acquire data if the data are of high quality, while only one acquires data if the data quality is low. Firms are likely to gain from additional data if consumers have similar preferences and/or when data are precise. Although social welfare (weakly) improves, consumers can be harmed. |
Databáze: | OpenAIRE |
Externí odkaz: | |
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