It is focused on a novel mechanism for market segmentation and price discrimination based on consumers' use of online infomediaries. Using the automotive retailing context as the setting for the study, it is addressed the following question: Can online infomediaries serve as a viable mechanism for market segmentation and price discrimination? It is drawn on a unique and extensive data set of consumers who report on the information they found when using OBS (online buying services) as part of their new vehicle purchase process. The analysis of the data set shows that consumers who obtain price information pay lower prices for the same product, whereas consumers who obtain product information pay higher prices. Although this points to the existence of distinct consumer segments, this knowledge is of limited value without a viable mechanism that enables firms to identify and target these customer segments specifically. On the basis of consumer usage patterns of OBS, it is uncovered distinct OBS clusters and it is empirically demonstrated that the use of these different clusters is associated with predicted differences in consumer outcomes. it is also shown that the differential use of OBS clusters is systematically related to underlying consumer characteristics. It is discussed the relevance of the findings for automobile dealers and manufacturers and for other industries in which online infomediaries have established a significant presence.


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    Title :

    Online infomediaries and price discrimination: Evidence from the automotive retailing sector


    Contributors:

    Published in:

    Journal of Marketing ; 71 , 3 ; 89-107


    Publication date :

    2007


    Size :

    19 Seiten, 1 Bild, 5 Tabellen, 42 Quellen




    Type of media :

    Article (Journal)


    Type of material :

    Print


    Language :

    English





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