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Platform Pricing at Sports Card Conventions

Author

Listed:
  • Marc Rysman

    (Department of Economics, Boston University)

  • Ginger Zhe Jin

    (University of Maryland and NBER)

Abstract

We study a new data set of US sports card conventions in order to evaluate the pricing theory of two-sided markets. Conventions are two-sided because organizers must set fees to attract both consumers and dealers. We have detailed information on consumer price, dealer price and, since most conventions are local, the market structure for conventions. We present several ndings: rst, consumer pricing decreases with competition at any reasonable distance, but pricing to dealers is insensitive to competition and in longer distances even increases with competition. Second, when consumer price is zero (and thus constrained), dealer price decreases more strongly with competition. These results are compatible with existing models of two-sided markets, but are dicult to explain without such models.

Suggested Citation

  • Marc Rysman & Ginger Zhe Jin, 2012. "Platform Pricing at Sports Card Conventions," Boston University - Department of Economics - Working Papers Series WP2012-015, Boston University - Department of Economics.
    • Handle: RePEc:bos:wpaper:wp2012-015
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    File URL: http://people.bu.edu/mrysman/research/PPSCC.pdf
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    References listed on IDEAS

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    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Charles Angelucci & Julia Cage & Michael Sinkinson, 2020. "Media Competition and News Diets," Sciences Po publications 2020-03, Sciences Po.
    2. Charles Angelucci & Julia Cage, 2019. "Newspapers in Times of Low Advertising Revenues," SciencePo Working papers hal-03391880, HAL.
    3. Bruno Jullien & Alessandro Pavan & Marc Rysman, 2021. "Two-sided markets, pricing, and network effects," Post-Print hal-03828345, HAL.
    4. Charles Angelucci & Julia Cagé, 2019. "Newspapers in Times of Low Advertising Revenues," American Economic Journal: Microeconomics, American Economic Association, vol. 11(3), pages 319-364, August.
    5. Genakos, Christos & Valletti, Tommaso, 2011. "Seesaw in the air: Interconnection regulation and the structure of mobile tariffs," Information Economics and Policy, Elsevier, vol. 23(2), pages 159-170, June.
    6. Francesco Angelini & Corrado Benassi & Massimiliano Castellani, 2021. "Platform competition and willingness to pay in a vertical differentiated two-sided market," Economics Bulletin, AccessEcon, vol. 41(2), pages 772-780.
    7. Charles Angelucci & Julia Cage & Michael Sinkinson, 2020. "Media Competition and News Diets," SciencePo Working papers Main hal-03393063, HAL.
    8. Vera Brenčič, 2016. "The impact of Craigslist’s entry on competing employment websites," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-15, December.
    9. repec:hal:spmain:info:hdl:2441/4ec86lkes59hv9tfv77ld1p5fr is not listed on IDEAS
    10. John Horton, 2021. "The Ruble Collapse in an Online Marketplace: Some Lessons for Market Designers," Papers 2104.06170, arXiv.org.
    11. Charles Angelucci & Julia Cage & Michael Sinkinson, 2020. "Media Competition and News Diets," SciencePo Working papers hal-03393063, HAL.
    12. repec:hal:spmain:info:hdl:2441/4edekc99or8n2bu86nu4ua8adl is not listed on IDEAS
    13. Charles Angelucci & Julia Cage, 2019. "Newspapers in Times of Low Advertising Revenues," SciencePo Working papers Main hal-03391880, HAL.
    14. Robert Seamans & Feng Zhu, 2014. "Responses to Entry in Multi-Sided Markets: The Impact of Craigslist on Local Newspapers," Management Science, INFORMS, vol. 60(2), pages 476-493, February.
    15. Xueke Du & Rui Dong & Wenli Li & Yibo Jia & Lirong Chen, 2019. "Online Reviews Matter: How Can Platforms Benefit from Online Reviews?," Sustainability, MDPI, vol. 11(22), pages 1-20, November.
    16. Yoshimoto, Hisayuki & Nakabayashi, Jun, 2019. "Search and resale frictions in a two-sided online platform: A case of multi-use assets," Journal of Economic Behavior & Organization, Elsevier, vol. 162(C), pages 85-105.
    17. Hui Li & Qiaowei Shen & Yakov Bart, 2018. "Local Market Characteristics and Online-to-Offline Commerce: An Empirical Analysis of Groupon," Management Science, INFORMS, vol. 64(4), pages 1860-1878, April.
    18. Jin Li & Gary Pisano & Yejia Xu & Feng Zhu, 2023. "Marketplace Scalability and Strategic Use of Platform Investment," Management Science, INFORMS, vol. 69(7), pages 3958-3975, July.
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    20. Robert Seamans & Feng Zhu, 2017. "Repositioning and Cost-Cutting: The Impact of Competition on Platform Strategies," Strategy Science, INFORMS, vol. 2(2), pages 83-99, June.
    21. Andre Boik, 2018. "Prediction and Identification in Two-Sided Markets," CESifo Working Paper Series 6857, CESifo.
    22. Rong, Ke & Xiao, Fei & Zhang, Xiaoyu & Wang, Jingjing, 2019. "Platform strategies and user stickiness in the online video industry," Technological Forecasting and Social Change, Elsevier, vol. 143(C), pages 249-259.
    23. Hui Li & Qiaowei Shen & Yakov Bart, 2021. "Dynamic Resource Allocation on Multi-Category Two-Sided Platforms," Management Science, INFORMS, vol. 67(2), pages 984-1003, February.
    24. Richards, Timothy J. & Hamilton, Stephen F., 2018. "Food waste in the sharing economy," Food Policy, Elsevier, vol. 75(C), pages 109-123.

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    More about this item

    JEL classification:

    • D4 - Microeconomics - - Market Structure, Pricing, and Design
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • L8 - Industrial Organization - - Industry Studies: Services

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