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How German Online Retailers Price Foods: An Empirical Analysis for Chocolate Products

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  • Fedoseeva, Svetlana
  • Grein, Theresa
  • Herrmann, Roland

Abstract

Despite the increasing importance of online grocery retailing, little is known about price dispersion across online providers, the relation between online and offline prices as well as the frequency of price adjustments. We employ means of descriptive and inductive statistics as well as panel econometrics to address these issues for German online food retailers. Daily online prices for twelve chocolate products charged by eight pure online and multichannel retailers and collected over three months are investigated. Information economics suggests that a maturing online market will call forth more price homogeneity online due to lower search costs by consumers as well as more flexible prices due to lower costs of price adjustments by retailers. Our results suggest, however, that neither homogenous prices nor frequent price adjustments do occur on the German online chocolate market.

Suggested Citation

  • Fedoseeva, Svetlana & Grein, Theresa & Herrmann, Roland, 2017. "How German Online Retailers Price Foods: An Empirical Analysis for Chocolate Products," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 8(1), pages 1-13, January.
    • Handle: RePEc:ags:ijofsd:254120
    DOI: 10.22004/ag.econ.254120
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    References listed on IDEAS

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    Cited by:

    1. Hillen, Judith, 2018. "Web Scraping For Food Price Research," 58th Annual Conference, Kiel, Germany, September 12-14, 2018 275840, German Association of Agricultural Economists (GEWISOLA).
    2. Dominici, Andrea & Boncinelli, Fabio & Gerini, Francesca & Marone, Enrico, 2021. "Determinants of online food purchasing: The impact of socio-demographic and situational factors," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    3. Klumpp, M. & Ruiner, C., 2018. "Digitalization and Work Organization in New Urban Food Delivery Systems," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276876, International European Forum on System Dynamics and Innovation in Food Networks.

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