Self-Preferencing at Amazon: Evidence from Search Rankings

Chiara Farronato, Andrey Fradkin and Alexander MacKay

AEA Papers and Proceedings, 2023, vol. 113, 239-43

Abstract: We study whether Amazon engages in self-preferencing on its marketplace by favoring its own brands (e.g., Amazon Basics) in search. To address this question, we collect new micro-level consumer search data using a custom browser extension installed by a panel of study participants. Using this methodology, we observe search positions, search behavior, and product characteristics. We find that Amazon-branded products are indeed ranked higher than observably similar products in consumer search results. The prominence given to Amazon brands is 30 percent to 60 percent of the prominence granted to sponsored products.

JEL-codes: D12 D83 D91 L81 M31 (search for similar items in EconPapers)
Date: 2023
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Citations: View citations in EconPapers (5)

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DOI: 10.1257/pandp.20231068

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