eBay Partner Network - slide supplement

by Benjamin G. Edelman

Abstract

eBay considers adjustments to the structure and rules of its affiliate marketing program, eBay Partner Network (ePN). In particular, eBay reevaluates affiliate compensation structure, the role of bonuses for especially productive affiliates, and the overall rationale for outsourcing online marketing efforts to independent affiliates. The case presents the history and development of ePN, ePN's importance to eBay, and the mechanics of online affiliate marketing.

Keywords: History; Job Cuts and Outsourcing; Online Technology; Markets; Marketing Channels; Negotiation Participants; Marketing; Compensation and Benefits; Service Industry;

Format: Multimedia

1 pages

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Citation:

Edelman, Benjamin G. "eBay Partner Network - slide supplement." Harvard Business School PowerPoint Supplement 911-039, December 2010.

About the Author

Benjamin G. Edelman

Associate Professor of Business Administration, Marvin Bower Fellow

Negotiation, Organizations & Markets

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Working Paper | HBS Working Paper Series | 2013

Exclusive Preferential Placement as Search Diversion: Evidence from Flight Search

Benjamin G. Edelman and Zhenyu Lai

We analyze the incentives for a two-sided intermediary to divert consumers to its favored destinations. Applied to Internet search engines, we investigate a diversion mechanism based on Google's exclusive award of preferential placement to its own services. Using web traffic data from a quasi-experiment involving the introduction of Flight Search, a Google travel search service, we identify and measure the impact of diverting search away from non-paid algorithmic links to competing online travel agencies. Controlling for search intent, we find that Google's differential placement of Flight Search across similar search queries led to an 85% increase in click-through rates for paid advertising and a 65% decrease in click-through rates for non-paid algorithmic search links to competing online travel agencies. As search engines increase monetization of clicks by integrating specialized services into search results, our analysis suggests that exclusive preferential placement disproportionately impacts traffic to top sites most likely relevant to users' requests.

Citation:
Edelman, Benjamin G., and Zhenyu Lai. "Exclusive Preferential Placement as Search Diversion: Evidence from Flight Search." Harvard Business School Working Paper, No. 13–087, April 2013. (data appendix.)

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Supplement | HBS Case Collection | 2013

Distribution at American Airlines (C)

Benjamin Edelman

Presents 2011-2012 updates to American's distribution strategy including new challenges and disputes

Citation:
Edelman, Benjamin. "Distribution at American Airlines (C)." Harvard Business School Supplement 913-034, March 2013. (request a courtesy copy.)

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Supplement | HBS Case Collection | 2013

Distribution at American Airlines (D)

Benjamin Edelman

Supplements the (C) case

Citation:
Edelman, Benjamin. "Distribution at American Airlines (D)." Harvard Business School Supplement 913-035, March 2013.

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