Consumer Dynamic Usage Allocation and Learning Under Multipart Tariffs

Consumer Dynamic Usage Allocation and Learning Under Multipart Tariffs

Does Uncertainty Matter? Consumer Behavior under Three-Part Tariffs

In communication, information, and other industries, three-part tariffs are becoming increasingly popular. A three-part tariff is defined by an access price, a usage allowance, and a marginal price for any usage in excess of the allowance. The nonlinear-pricing literature has focused primarily on two-part tariffs. We show that consumer behavior differs under three-part tariffs, in particular re...

A Model of Consumer Learning for Service Quality and Usage

Vol. XLIV (November 2007), 529–544 529 © 2007, American Marketing Association ISSN: 0022-2437 (print), 1547-7193 (electronic) *Raghuram Iyengar is Assistant Professor of Marketing, The Wharton School, University of Pennsylvania (e-mail: [email protected]. edu). Asim Ansari is Professor of Marketing, Columbia Business School, Columbia University (e-mail: [email protected]). Sunil Gupta is ...

Crowdsourcing New Product Ideas Under Consumer Learning

Crowdsourcing initiatives are becoming a popular tool for new idea generation for firms. On crowdsourced ideation initiatives, individuals contribute new product ideas and vote on other's ideas which they would like the firm to implement. The firm then decides which ideas to implement. Although such initiatives are widely adopted in many different industries, they face increasing criticism as t...

Learning Consumer Tastes Through Dynamic Assortments

How should a firm modify its product assortment over time when learning about consumer tastes? In this paper, we study dynamic assortment decisions in a horizontally differentiated product category for which consumers’ diverse tastes can be represented as locations on a Hotelling line. We presume that the firm knows all possible consumer locations, comprising a finite set, but does not know the...