30.1 Empirical Studies

30.1.1 Applications of DID in Marketing

DID has been extensively applied in marketing and business research to measure the impact of policy changes, advertising campaigns, and competitive actions. Below are several notable examples:

  • TV Advertising & Online Shopping (Liaukonyte, Teixeira, and Wilbur 2015): Examines how TV ads influence consumer behavior in online shopping.
  • Political Advertising & Voting Behavior (Yanwen Wang, Lewis, and Schweidel 2018): Uses geographic discontinuities at state borders to analyze how ad sources and tone affect voter turnout.
  • Music Streaming & Consumption (Datta, Knox, and Bronnenberg 2018): Investigates how adopting a music streaming service affects total music consumption.
  • Data Breaches & Customer Spending (Janakiraman, Lim, and Rishika 2018): Analyzes how customer spending changes after a firm announces a data breach.
  • Price Monitoring & Policy Enforcement (Israeli 2018): Studies the effect of digital monitoring on minimum advertised price policy enforcement.
  • Foreign Direct Investment & Firm Responses (Ramani and Srinivasan 2019): Examines how firms in India responded to FDI liberalization reforms in 1991.
  • Paywalls & Readership (Pattabhiramaiah, Sriram, and Manchanda 2019): Investigates how implementing paywalls affects online news consumption.
  • Aggregators & Airline Business (Akca and Rao 2020): Evaluates how online aggregators impact airline ticket sales.
  • Nutritional Labels & Competitive Response (Lim et al. 2020): Analyzes whether nutrition labels affect the nutritional quality of competing brands.
  • Payment Disclosure & Physician Behavior (Guo, Sriram, and Manchanda 2020): Studies how payment disclosure laws impact prescription behavior.
  • Fake Reviews & Sales (S. He, Hollenbeck, and Proserpio 2022): Uses an Amazon policy change to measure the effect of fake reviews on sales and ratings.
  • Data Protection Regulations & Website Usage (Peukert et al. 2022): Assesses the impact of GDPR regulations on website usage and online business models.

30.1.2 Applications of DID in Economics

DID has also been extensively applied in economics, particularly in policy evaluation, labor economics, and macroeconomics:

References

Akca, Selin, and Anita Rao. 2020. “Value of Aggregators.” Marketing Science 39 (5): 893–922.
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Datta, Hannes, George Knox, and Bart J Bronnenberg. 2018. “Changing Their Tune: How Consumers’ Adoption of Online Streaming Affects Music Consumption and Discovery.” Marketing Science 37 (1): 5–21.
Fuchs-Schündeln, Nicola, and Tarek Alexander Hassan. 2016. “Natural Experiments in Macroeconomics.” In Handbook of Macroeconomics, 2:923–1012. Elsevier.
Guo, Tong, Srinivasaraghavan Sriram, and Puneet Manchanda. 2020. “‘Let the Sunshine in’: The Impact of Industry Payment Disclosure on Physician Prescription Behavior.” Marketing Science 39 (3): 516–39.
He, Sherry, Brett Hollenbeck, and Davide Proserpio. 2022. “The Market for Fake Reviews.” Marketing Science 41 (5): 896–921.
Israeli, Ayelet. 2018. “Online MAP Enforcement: Evidence from a Quasi-Experiment.” Marketing Science 37 (5): 710–32.
Janakiraman, Ramkumar, Joon Ho Lim, and Rishika Rishika. 2018. “The Effect of a Data Breach Announcement on Customer Behavior: Evidence from a Multichannel Retailer.” Journal of Marketing 82 (2): 85–105.
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Lim, Joon Ho, Rishika Rishika, Ramkumar Janakiraman, and PK Kannan. 2020. “Competitive Effects of Front-of-Package Nutrition Labeling Adoption on Nutritional Quality: Evidence from Facts up Front–Style Labels.” Journal of Marketing 84 (6): 3–21.
Pattabhiramaiah, Adithya, Shreya Sriram, and Puneet Manchanda. 2019. “Paywalls: Monetizing Online Content.” Journal of Marketing 83 (2): 19–36.
Peukert, Christian, Stefan Bechtold, Michail Batikas, and Tobias Kretschmer. 2022. “Regulatory Spillovers and Data Governance: Evidence from the GDPR.” Marketing Science 41 (4): 746–68.
Ramani, Nandini, and Raji Srinivasan. 2019. “Effects of Liberalization on Incumbent Firms’ Marketing-Mix Responses and Performance: Evidence from a Quasi-Experiment.” Journal of Marketing 83 (5): 97–114.
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