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Reputation and Prices on the e-Market: Evidence from a Major French Platform

Research output: Contribution to journalArticle

Original languageEnglish
Pages (from-to)59-75
Number of pages17
JournalInternational Journal of Industrial Organization
Volume45
Early online date22 Jan 2016
DOIs
DateAccepted/In press - 12 Jan 2016
DateE-pub ahead of print - 22 Jan 2016
DatePublished (current) - Mar 2016

Abstract

We use an exhaustive data set from one of France's largest e-commerce platforms, PriceMinister.com, to estimate a statistical causal effect of a seller's reputation (rating and size) on transaction prices. We go beyond the results currently available by tackling the issue of seller unobserved heterogeneity and the dynamics of reputation in price equations. We can also produce results for a large range of product categories (books, CDs, video games or DVDs), product conditions (used or new) and seller types (individual or professional sellers). Our results show large-scale empirical evidence of a significant, positive and strong effect of seller reputation on prices.

    Research areas

  • reputation, rating, consumer feedback, pricing, e-commerce

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  • Full-text PDF (accepted author manuscript)

    Rights statement: This is the author accepted manuscript (AAM). The final published version (version of record) is available online via Elsevier at http://www.sciencedirect.com/science/article/pii/S0167718716000059. Please refer to any applicable terms of use of the publisher.

    Accepted author manuscript, 496 KB, PDF-document

    Licence: CC BY-NC-ND

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