Abstract
We explore how Internet browsing behavior varies between mobile phones and personal computers. Using data on user behavior at a microblogging service (similar to Twitter), we exploit randomization in the ranking mechanism for the microblog posting feeds as a natural experiment to identify user search costs. We estimate a hierarchical Bayesian framework to better control for heterogeneity and show: (1) Search costs are higher on mobile phones: While links that appear at the top of the screen are always more likely to be clicked, this effect is much stronger on mobile phones; (2) The benefit of searching for geographically close matches is higher on mobile phones: Stores located in close proximity to a user are much more likely to be clicked on mobile phones. In this way, the mobile Internet is somewhat less “Internet-like”: search costs are higher and distance matters more.
Recommended Citation
Ghose, Anindya; Goldfarb, Avi; and PIL HAN, SANG, "How is the Mobile Internet Different: Search Costs and Local Activities" (2011). ICIS 2011 Proceedings. 8.
https://aisel.aisnet.org/icis2011/proceedings/economicvalueIS/8
How is the Mobile Internet Different: Search Costs and Local Activities
We explore how Internet browsing behavior varies between mobile phones and personal computers. Using data on user behavior at a microblogging service (similar to Twitter), we exploit randomization in the ranking mechanism for the microblog posting feeds as a natural experiment to identify user search costs. We estimate a hierarchical Bayesian framework to better control for heterogeneity and show: (1) Search costs are higher on mobile phones: While links that appear at the top of the screen are always more likely to be clicked, this effect is much stronger on mobile phones; (2) The benefit of searching for geographically close matches is higher on mobile phones: Stores located in close proximity to a user are much more likely to be clicked on mobile phones. In this way, the mobile Internet is somewhat less “Internet-like”: search costs are higher and distance matters more.