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We develop an analytical framework to study experimental design in two-sided marketplaces. Many of these experiments exhibit interference, where an intervention applied to one market participant influences the behavior of another…

Methodology · Statistics 2021-09-28 Ramesh Johari , Hannah Li , Inessa Liskovich , Gabriel Weintraub

It is standard practice in online retail to run pricing experiments by randomizing at the article-level, i.e. by changing prices of different products to identify treatment effects. Due to customers' cross-price substitution behavior, such…

Applications · Statistics 2024-02-23 Lars Roemheld , Justin Rao

Recommender systems have become an integral part of online platforms, providing personalized recommendations for purchases, content consumption, and interpersonal connections. These systems consist of two sides: the producer side comprises…

Methodology · Statistics 2023-11-08 Yan Wang , Shan Ba

We build on theoretical results from the mechanism design literature to analyze empirical models of second-degree price discrimination (2PD). We show that for a random-coefficients discrete choice ("BLP") model to be suitable for studying…

General Economics · Economics 2025-10-03 Soheil Ghili , K. Sudhir , Nitish Jain , Ankur Garg

Online marketplace designers frequently run A/B tests to measure the impact of proposed product changes. However, given that marketplaces are inherently connected, total average treatment effect estimates obtained through Bernoulli…

Methodology · Statistics 2020-04-28 David Holtz , Ruben Lobel , Inessa Liskovich , Sinan Aral

Search Engine marketing teams in the e-commerce industry manage global search engine traffic to their websites with the aim to optimize long-term profitability by delivering the best possible customer experience on Search Engine Results…

Information Retrieval · Computer Science 2025-06-30 Purak Jain , Sandeep Appala

Interference between treated and untreated units is a source of bias in marketplace experiments. In this paper, we specifically consider pricing interventions, in which a platform seeks to adjust base pricing levels at the marketplace level…

Optimization and Control · Mathematics 2025-02-27 Arthur Delarue , Kleanthis Karakolios

Two-sided marketplace platforms often run experiments to test the effect of an intervention before launching it platform-wide. A typical approach is to randomize individuals into the treatment group, which receives the intervention, and the…

Methodology · Statistics 2021-04-27 Hannah Li , Geng Zhao , Ramesh Johari , Gabriel Y. Weintraub

Two-sided marketplaces such as eBay, Etsy and Taobao have two distinct groups of customers: buyers who use the platform to seek the most relevant and interesting item to purchase and sellers who view the same platform as a tool to reach out…

Information Retrieval · Computer Science 2019-05-17 Andrew Stanton , Akhila Ananthram , Congzhe Su , Liangjie Hong

Thick two-sided matching platforms, such as the room-rental market, face the challenge of showing relevant objects to users to reduce search costs. Many platforms use ranking algorithms to determine the order in which alternatives are shown…

General Economics · Economics 2023-08-29 Caterina Calsamiglia , Laura Doval , Alejandro Robinson-Cortés , Matthew Shum

Two-sided marketplaces are standard business models of many online platforms (e.g., Amazon, Facebook, LinkedIn), wherein the platforms have consumers, buyers or content viewers on one side and producers, sellers or content-creators on the…

Social and Information Networks · Computer Science 2021-10-28 Preetam Nandy , Divya Venugopalan , Chun Lo , Shaunak Chatterjee

Users worldwide access massive amounts of curated data in the form of rankings on a daily basis. The societal impact of this ease of access has been studied and work has been done to propose and enforce various notions of fairness in…

Information Retrieval · Computer Science 2023-03-07 Jia Ao Sun , Sikha Pentyala , Martine De Cock , Golnoosh Farnadi

Many online platforms today (such as Amazon, Netflix, Spotify, LinkedIn, and AirBnB) can be thought of as two-sided markets with producers and customers of goods and services. Traditionally, recommendation services in these platforms have…

Information Retrieval · Computer Science 2022-01-05 Arpita Biswas , Gourab K Patro , Niloy Ganguly , Krishna P. Gummadi , Abhijnan Chakraborty

We study the online constrained ranking problem motivated by an application to web-traffic shaping: an online stream of sessions arrive in which, within each session, we are asked to rank items. The challenge involves optimizing the ranking…

Optimization and Control · Mathematics 2017-02-24 Parikshit Shah , Akshay Soni , Troy Chevalier

This paper studies ranking policies in a stylized trial-offer marketplace model, in which a single firm offers products and has consumers with heterogeneous preferences. Consumer trials are influenced by past purchases and the ranking of…

Social and Information Networks · Computer Science 2021-02-11 Franco Berbeglia , Gerardo Berbeglia , Pascal Van Hentenryck

We develop a decision making framework to cast the problem of learning a ranking policy for search or recommendation engines in a two-sided e-commerce marketplace as an expected reward optimization problem using observational data. As a…

Information Retrieval · Computer Science 2024-10-08 Ehsan Ebrahimzadeh , Nikhil Monga , Hang Gao , Alex Cozzi , Abraham Bagherjeiran

This paper studies sequential search models that (1) incorporate unobserved product quality, which can be correlated with endogenous observable characteristics (such as price) and endogenous search cost variables (such as product rankings…

Econometrics · Economics 2021-11-22 Jiarui Liu

Rankings have become the primary interface in two-sided online markets. Many have noted that the rankings not only affect the satisfaction of the users (e.g., customers, listeners, employers, travelers), but that the position in the ranking…

Information Retrieval · Computer Science 2022-08-31 Yuta Saito , Thorsten Joachims

We address the challenging problem of dynamically pricing complementary items that are sequentially displayed to customers. An illustrative example is the online sale of flight tickets, where customers navigate through multiple web pages.…

Bayesian Personalized Ranking (BPR) is a representative pairwise learning method for optimizing recommendation models. It is widely known that the performance of BPR depends largely on the quality of negative sampler. In this paper, we make…

Information Retrieval · Computer Science 2018-09-24 Jingtao Ding , Guanghui Yu , Xiangnan He , Yong Li , Depeng Jin
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