What is Different About Online Advertising?

What is Different About Online Advertising? Drawing on the literature on online advertising, I argue that the fundamental economic difference between online and offline advertising is a substantial reduction in the cost of targeting. This cost reduction informs what I view as the main themes in the online advertising literature: understanding advertising effectiveness, auctions, privacy, and antitrust. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Review of Industrial Organization Springer Journals

What is Different About Online Advertising?

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Publisher
Springer US
Copyright
Copyright © 2013 by Springer Science+Business Media New York
Subject
Economics / Management Science; Industrial Organization; Microeconomics
ISSN
0889-938X
eISSN
1573-7160
D.O.I.
10.1007/s11151-013-9399-3
Publisher site
See Article on Publisher Site

Abstract

Drawing on the literature on online advertising, I argue that the fundamental economic difference between online and offline advertising is a substantial reduction in the cost of targeting. This cost reduction informs what I view as the main themes in the online advertising literature: understanding advertising effectiveness, auctions, privacy, and antitrust.

Journal

Review of Industrial OrganizationSpringer Journals

Published: Aug 2, 2013

References

  • Skewed bidding in pay-per-action auctions for online advertising
    Agarwal, N; Athey, S; Yang, D
  • The impact of targeting technology on advertising markets and media competition
    Athey, S; Gans, JS
  • Information gatekeepers on the internet and the competitiveness of homogenous product markets
    Baye, MR; Morgan, J
  • Targeted advertising: The role of subscriber characteristics in media markets
    Chandra, A
  • Paid-placement: Advertising and search on the internet
    Chen, Y; He, C
  • Public goods, social pressure, and the choice between privacy and publicity
    Daughety, A; Reinganum, J
  • Optimal auction design and equilibrium selection in sponsored search auctions
    Edelman, B; Schwarz, M
  • The online advertising industry: Economics, evolution, and privacy
    Evans, DS

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