Markets for Product Modification Information
Marketing Science
Individual Marketing with Imperfect Targetability
Marketing Science
Marketing Science
Competitive One-to-One Promotions
Management Science
Economics of an Information Intermediary with Aggregation Benefits
Information Systems Research
Personalized Pricing and Quality Differentiation
Management Science
Marketing Science
Research NoteThe Benefits of Personalized Pricing in a Channel
Marketing Science
Information Goods and Vertical Differentiation
Journal of Management Information Systems
The Impact of Internet Referral Services on a Supply Chain
Information Systems Research
A Model of Search Intermediaries and Paid Referrals
Information Systems Research
Information Personalization in a Two-Dimensional Product Differentiation Model
Journal of Management Information Systems
A diffusion mechanism for social advertising over microblogs
Decision Support Systems
Building a targeted mobile advertising system for location-based services
Decision Support Systems
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Individual targeting, a marketing strategy that firms target individual consumers with tailored offers, is currently a widespread practice. Customer data intermediaries (CDIs) have emerged recently to help firms learn their prospective customers and launch their target marketing campaigns. This paper uses a common-value auction framework to study how a CDI designs and differentiates its information services to help two competing firms identify and target valuable customers. We characterize the firms' equilibrium target marketing strategies. The results show that the CDI serves one firm exclusively in unpromising markets where the proportion of valuable customers is relatively low, and provides both firms with differentiated services in promising markets where the proportion of valuable customers is relatively high. In addition, the CDI differentiates its services less when the proportion of valuable customers is higher.