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Extending variety seeking to multi-sided platforms: Impact of new retailer listing

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  • Vakeel, Khadija Ali
  • Fudurić, Morana
  • Malthouse, Edward C.

Abstract

This study uses theories of variety seeking to examine how a new retailer listing on a multi-sided platform (MSP) affects consumer buying behavior. Using a unique dataset from an online MSP, we evaluate changes in purchase frequency with individual retailers after a new one is listed. Contrary to expectations, the results indicate that consumers increase their purchase frequency at existing retailers. Moreover, compared to consistency seekers, variety-seeking consumers show a higher positive effect as they buy even more. This result is observed for retailers in both competing and non-competing product categories. Finally, we discuss the theoretical contributions and implications for MSPs and retailers.

Suggested Citation

  • Vakeel, Khadija Ali & Fudurić, Morana & Malthouse, Edward C., 2021. "Extending variety seeking to multi-sided platforms: Impact of new retailer listing," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).
    • Handle: RePEc:eee:joreco:v:59:y:2021:i:c:s0969698920313904
    DOI: 10.1016/j.jretconser.2020.102382
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