Estimating Demand with Multi-Homing in Two-Sided Markets

Pauline Affeldt, Elena Argentesi and Lapo Filistrucchi ()

Working Papers from Dipartimento Scienze Economiche, Universita' di Bologna

Abstract: We empirically investigate the relevance of multi-homing in two-sided markets. First, we build a micro-founded structural econometric model that encompasses demand for differentiated products and allows for multi-homing on both sides of themarket. We then use an original dataset on the Italian daily newspaper market that includes information on double-homing by readers to estimate readers and advertisers demand. The results show that an econometric model that does not allow for multi-homing is likely to produce biased estimates of demand on both sides of the market. In particular, on the reader side, accounting for multi-homing helps to recognize complementarity between products; on the advertising side, it allows to measure to what extent advertising demand depends on the shares of exclusive and overlapping readers.

JEL-codes: C51 D43 L13 L82 M37 (search for similar items in EconPapers)
Date: 2021-09
New Economics Papers: this item is included in nep-com and nep-pay
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http://amsacta.unibo.it/6772/1/WP1165.pdf (application/pdf)

Related works:
Working Paper: Estimating Demand with Multi-Homing in Two-Sided Markets (2021)
Working Paper: Estimating Demand with Multi-Homing in Two-Sided Markets (2021)
Working Paper: Estimating Demand with Multi-Homing in Two-Sided Markets (2021)
Working Paper: Estimating Demand with Multi-Homing in Two-Sided Markets (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:bol:bodewp:wp1165

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