Personalized Pricing and Consumer Welfare

Previously circulated as “Scalable Price Targeting.” We are grateful to Ian Siegel and Je Zwelling of Ziprecruiter for their support of this project. We would also like to thank the the Ziprecruiter pricing team for their help and work in making the implementation of the field experiments possible. We are also extremely grateful for the extensive feedback and suggestions from Dirk Bergemann, Chris Hansen, Matt Taddy, Gautam Gowrisankaran and Ben Shiller. Finally, we benefitted from the comments and suggestions of seminar participants at the Bridge Webinar Series at McGill University, Cornell University, Columbia GSB, INSEAD, the 2017 Microsoft Digital Economics Conference, MIT, Penn State University, the 2017 Porter Conference at Northwestern University, Stanford GSB, the University of Chicago Booth School of Business, University of Notre Dame, the 2019 Triangle Microeconomics Conference at UNC Chapel Hill, University of Rochester, University of Wisconsin, the Wharton School, Yale University, the 2017 Marketing and Economics Summit, the 2016 Digital Marketing Conference at Stanford GSB and the 2017 Summer NBER meetings in Economics and Digitization. Dubé and Misra acknowledge the support of the Kilts Center for Marketing. Misra also acknowledges the support of the Neubauer Family Foundation. Dubé also acknowledges the support of the Charles E. Merrill faculty research fund. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.

• September 6, 2017