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A classification of online bidders in a private value auction: evidence from eBay

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  • Jianwei Hou
  • Cesar Rego

Abstract

In traditional auctions, it is often assumed that bidders are a homogenous group. However, since most online bidders are average consumers instead of professional bidders, we suspect that online bidders are a heterogeneous group. The purpose of this paper is to explore the types of online bidders based on their real bidding behaviour in the context of consumer-to-consumer online auction market. A cluster analysis is employed and four types of online bidders are finally identified in a private value auction, namely, goal-driven bidders, experiential bidders, focused bidders, and opportunistic bidders. The profile and performance of each group are also discussed.

Suggested Citation

  • Jianwei Hou & Cesar Rego, 2007. "A classification of online bidders in a private value auction: evidence from eBay," International Journal of Electronic Marketing and Retailing, Inderscience Enterprises Ltd, vol. 1(4), pages 322-338.
    • Handle: RePEc:ids:ijemre:v:1:y:2007:i:4:p:322-338
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    Citations

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    Cited by:

    1. Vidyanand Choudhary & Shivendu Shivendu, 2017. "Targeted Couponing in Online Auctions," Information Systems Research, INFORMS, vol. 28(3), pages 490-510, September.
    2. Peter Boatwright & Sharad Borle & Joseph B. Kadane, 2010. "Common Value vs. Private Value Categories in Online Auctions: A Distinction Without a Difference?," Decision Analysis, INFORMS, vol. 7(1), pages 86-98, March.
    3. Hou, Jianwei & Elliott, Kevin, 2014. "How do online bidders differ from non-bidders?," Journal of Retailing and Consumer Services, Elsevier, vol. 21(1), pages 18-25.

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