Paying For a Chance to Save Money: Participation Fees in Name-Your-Own-Price Selling

We report results of an incentive-compatible experiment that tests the economic-theoretical prediction that name-your-own-price retailers, such as Priceline, should benefit from charging upfront participation fees. As predicted, such fees are profitable. We propose and estimate behaviorally enriched models (involving risk-aversion and myopia) of the observed consumer entry and bidding behavior.


Robert Zeithammer, Martin Spann, Gerald Haubl, and Lucas Stich (2015) ,"Paying For a Chance to Save Money: Participation Fees in Name-Your-Own-Price Selling", in NA - Advances in Consumer Research Volume 43, eds. Kristin Diehl , Carolyn Yoon, and , Duluth, MN : Association for Consumer Research, Pages: 750-750.


Robert Zeithammer, University of California Los Angeles, USA
Martin Spann, University of Munich, Germany
Gerald Haubl, University of Alberta, Canada
Lucas Stich, University of Munich, Germany


NA - Advances in Consumer Research Volume 43 | 2015

Share Proceeding

Featured papers

See More


Doing Good by Buying from a Peer: When and Why Consumers Prefer Peer Economy Purchases

John P. Costello, Ohio State University, USA
Rebecca Walker Reczek, Ohio State University, USA

Read More


L11. Consumer Search Mode Produces Unintended Marketing Consequences

Dan King, University of Texas Rio Grande Valley, USA
Sumitra Auschaitrakul, University of the Thai Chamber of Commerce

Read More


The Best of Both Worlds: Androgyny in Consumer Choice

Niusha Jones, University of North Texas
Blair Kidwell, University of North Texas

Read More

Engage with Us

Becoming an Association for Consumer Research member is simple. Membership in ACR is relatively inexpensive, but brings significant benefits to its members.