TY  - RPRT
CY  - Toulouse
ID  - publications49692
UR  - http://tse-fr.eu/pub/129704
A1  - D’Annunzio, Anna
A1  - Russo, Antonio
Y1  - 2024/09//
N2  - We study transaction fees applied by marketplace platforms where sellers (e.g., app developers) adopt freemium pricing. An ad valorem transaction fee reduces quality distortions introduced by the price-discriminating seller, thereby increasing consumer surplus. Moreover, a small fee increases welfare, implying that the agency model may be socially preferable to integration between platform and seller. However, the platform may set the equilibrium fee above the socially optimal level. Providing devices needed to access the marketplace (e.g., phones) induces the platform to raise the fee, whereas providing a product that competes with the seller induces a lower fee.
PB  - TSE Working Paper
T3  - TSE Working Paper
KW  - Transaction fees, price discrimination, marketplace platforms, apps
M1  - working_paper
TI  - Platform Transaction Fees and Freemium Pricing
AV  - public
EP  - 43
ER  -