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Cited by 87Digital Platforms and EconomicsConsumer Market Behavior and PricingMerger and Competition Analysis

Platform Siphoning: Ad-Avoidance and Media Content

Open access
Anderson, Simon P, Gans, Joshua S·2011·American Economic Journal: Microeconomics
DOI 10.1257/mic.3.4.1
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Abstract

Content providers rely on advertisers to pay for content. TiVo, remote controls, and pop-up ad blockers are examples of ad-avoidance technologies that allow consumers to view content without ads, and thereby siphon off the content without paying the “price.” We examine the content provider's reaction to such technologies, demonstrating that their adoption increases advertising clutter (leading to a potential downward spiral), may reduce total welfare and content quality, and can lead to more mass-market content. We cast doubt on the profitability of using subscriptions to counter the impact of adavoidance.(JEL L82, L86, M37)

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  • Consumers often incur effort and costs to avoid watching advertisements.

    “This result is notable given the effort and costs consumers often incur to avoid watching advertisements (e.g., Anderson and Gans 2011).”

    From On or Off Track: How (Broken) Streaks Affect Consumer Decisions (2023) · cites this paper as Anderson and Gans 2011

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Cited by

Sorted by citations

Authors
Anderson, S. P., & Gans, J. S.
Affiliations
  • University of Virginia (US)
  • University of Toronto (CA)
ORCID
Venue
American Economic Journal: Microeconomics
Publisher
American Economic Association
Published
2011-11-01
Volume
3
Issue
4
Pages
1-34
ISSN
  • 1945-7669 (ISSN-L)
  • 1945-7685
DOI
10.1257/mic.3.4.1
OpenAlex
W3122744194
Cited by
87
References
1
Citations by year
2026: 3 · 2025: 4 · 2024: 7 · 2023: 2 · 2022: 5 · 2021: 7 · 2020: 6 · 2019: 6 · 2018: 10 · 2017: 12 · 2016: 4 · 2015: 6 · 2014: 1 · 2013: 7 · 2012: 4
FWCI
14.79
Type
journal article
Language
en
Open access
Locations
  • American Economic Journal Microeconomics (publishedVersion)
  • TSpace (University of Toronto) (submittedVersion)
  • RePEc: Research Papers in Economics (submittedVersion)
Funders
National Science Foundation (0452864)
Topics
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Digital Platforms and Economics
  • Social Sciences › Business, Management and Accounting › Marketing › Consumer Market Behavior and Pricing
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Merger and Competition Analysis
Keywords
ad blockers, content providers, advertising clutter, subscription models, media content quality, consumer welfare, TiVo, remote control

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