Even on eBay it Pays to Buy in Volume: An Imitation of a Controlled Experiment
Economics, Finance, & Quantitative Analysis
In this study, we replicate a controlled experiment setting by following a single established seller with a standardized method of listing items on eBay to investigate the effect that the quantity of items in a listing has on the bidder’s willingness to pay as captured by the realized auction price. The investigation focuses on a “commodity” like item, namely, a silver dollar coin in identical condition. Our results demonstrate that the per-item price in multi-item listings is a decreasing and non-linear function of the number of items in the listing. These results are important because they are the first to report on the effect of quantity of items in a listing on realized auction price on eBay.
The BRC Academy Journal of Business
Digital Object Identifier (DOI)
Melnik, Mikhail I.; Richardson, Paul; and Choong, Peggy, "Even on eBay it Pays to Buy in Volume: An Imitation of a Controlled Experiment" (2014). Faculty Publications. 3683.