Advertising for attention in a consumer search model

Research, Preprint OPEN
Haan, Marco A.; Moraga-Gonzalez, Jose L.;
  • Publisher: Tinbergen Institute Amsterdam and Rotterdam
  • Subject: Konsumentenverhalten | consumer search | Werbung | Suchtheorie | Advertising | Werbewirkung | saliency | L13 | M37 | Advertising; attention; consumer search; saliency; | attention | Advertising, attention, consumer search, saliency | D83
    • jel: jel:D83 | jel:M37 | jel:L13
      ddc: ddc:330

We model the idea that when consumers search for products, they first visit the firm whose advertising is more salient. The gains a firm derives from being visited early increase in search costs, so equilibrium advertising increases as search costs rise. This may result... View more
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