Setting higher starting bid prices boosts final bid prices in online auctions.
The study looked at how different seller strategies affect final bid prices in online auctions. They focused on three strategies: using a buy-price, setting the starting bid price, and using an 'effective fixed price'. They also considered factors like the type of product being sold and whether it was sold as single units or multiple units. The researchers analyzed real auction data for 4 items and found that using a buy-price strategy increased final bid prices for experience products sold as single units. They also found that starting the auction at an 'effective fixed price' raised final bid prices in multi-unit auctions.