When Discounts Hurts Sales: The Case of Daily-Deal Markets

Online daily-deal platforms, such as Groupon and LivingSocial, have become a prominent price promotion venue. As two-sided markets, daily-deal platforms allow merchants to attract new consumers via discounts and consumers to explore a wide variety of products and services. In this joint study presented by Prof XU Hong, she will investigate whether the discounts offered by online daily deals help attract consumer purchases, and draw related managerial implications to merchants and platforms on how to design price promotions in the online environment.

XU, Hong

Assistant Professor
Information Systems, Business Statistics & Operations Management