April 14, 2023
15:00
Elena Argentesi (Bologna University)
will give a presentation on
Estimating Demand with Multi-Homing in Two-Sided Markets
Abstract
We empirically investigate the relevance of multi-homing in two-sided markets. We build a structural econometric model that allows for multihoming. We then estimate readers’ and advertisers’ demand using an original dataset on the Italian daily newspaper market that includes information on double-homing by readers. The results show that a model that does not allow for multi-homing produces biased estimates on both sides of the market. On the reader side, accounting for multi-homing helps to recognize complementarity between products; on the advertising side, it allows to measure to what extent advertising demand depends on the shares of exclusive and overlapping readers.