Related papers: An experiment in price perception error
Design is a factor that plays an important role in consumer purchase decisions. As the need for understanding and predicting various preferences for each customer increases along with the importance of mass customization, predicting…
When humans infer underlying probabilities from stochastic observations, they exhibit biases and variability that cannot be explained on the basis of sound, Bayesian manipulations of probability. This is especially salient when beliefs are…
Understanding consumer emotional experiences on e-commerce platforms is essential for businesses striving to enhance customer engagement and personalisation. Recent research has demonstrated that these experiences are more intricate and…
In contextual dynamic pricing, a seller sequentially prices goods based on contextual information. Buyers will purchase products only if the prices are below their valuations. The goal of the seller is to design a pricing strategy that…
Feature-based dynamic pricing is an increasingly popular model of setting prices for highly differentiated products with applications in digital marketing, online sales, real estate and so on. The problem was formally studied as an online…
There is a consensus that human and non-human subjects experience temporal distortions in many stages of their perceptual and decision-making systems. Similarly, intertemporal choice research has shown that decision-makers undervalue future…
We study consumer demand in large-scale retail settings with many products, multiple categories and repeated purchase behavior. While inertia and brand loyalty are well documented, existing discrete choice models typically focus on single…
Intertemporal choices involve making decisions that require weighing the costs in the present against the benefits in the future. One specific type of intertemporal choice is the decision between purchasing an individual item or opting for…
We study a pricing setting where each customer is offered a contextualized price based on customer and/or product features. Often only historical sales data are available, so we observe whether a customer purchased a product at the price…
Online stores can present a different price to each customer. Such algorithmic personalised pricing can lead to advanced forms of price discrimination based on the characteristics and behaviour of individual consumers. We conducted two…
We develop a nonparametric approach to identify and estimate consumer preferences and unobserved heterogeneity under nonlinear price schedules. Leveraging variation across multiple price schedules, we show that both the utility function and…
We conducted a qualitative user study with 77 consumers to investigate what social aspects are relevant when supporting customers during their shopping activities and particularly in situations when they are undecided. Twenty-five…
We consider a dynamic pricing problem for repeated contextual second-price auctions with multiple strategic buyers who aim to maximize their long-term time discounted utility. The seller has limited information on buyers' overall demand…
Online user reviews describing various products and services are now abundant on the web. While the information conveyed through review texts and ratings is easily comprehensible, there is a wealth of hidden information in them that is not…
Understanding user preference is essential to the optimization of recommender systems. As a feedback of user's taste, rating scores can directly reflect the preference of a given user to a given product. Uncovering the latent components of…
This paper contributes to the literature on parametric demand estimation by using deep learning to model consumer preferences. Traditional econometric methods often struggle with limited within-product price variation, a challenge addressed…
Cognitive biases have been studied in psychology, sociology, and behavioral economics for decades. Traditionally, they have been considered a negative human trait that leads to inferior decision-making, reinforcement of stereotypes, or can…
Cognitive psychologists have documented that humans use cognitive heuristics, or mental shortcuts, to make quick decisions while expending less effort. While performing annotation work on crowdsourcing platforms, we hypothesize that such…
The empirical evidence suggests that key accumulation decisions and risky choices associated with economic development depend, at least in part, on economic preferences such as willingness to take risk and patience. This paper studies…
Research on cognitive biases and heuristics has become increasingly popular in the visualization literature in recent years. Researchers have studied the effects of biases on visualization interpretation and subsequent decision-making.…