Online spending in the United States is expected to jump 45 percent in the next three years,from $ 226 billion this year to $ 327 billion in 2017,according to Forrester Research Inc. Nevertheless, researches into this prosperous market remain largely focused on the strategies of companies, rather than those shoppers. Conlon's study is,obviously, a rare exception.
Conlon got the idea for the study after considering the difference between two popular sites for hotels and airline flights, priceline.com, which takes bids, and hotwire.com,which provides offers. Using these two models,Conlon and his fellow researchers conducted a series of experiments with more than 850 people who were charged with booking a fictional hotel room and acquiring a fictional antique car. Not only did participants prefer to receive bids, Conlon said,but they also secured more deals in that receiver role. Further when they had to make the bids,they were left more mentally taxed and regretful.
From an industry perspective,putting customers in the receiver role may help fill more hotel rooms and airplane seats. “If you're a business with a lot of products,” Conlon said,“you may want to be the one making the offers. ” However, when selling single items, such as an antique car, accepting bids may be a better option since that typically drives up the price, he said.
1.What can we learn from Para. 1?
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