Multi-form Online Advertising Strategies Of Online Retailers Under Resource Constraints

Today,online advertisement expenditure becomes one of the most important investment of the e-tailer.The portfolio of traffic ads,content ads and/or promotion ads is usually adopted by the e-tailer.This master's thesis separated out the major three advertising types from the shopping behavior,and abstracts the key factors of advertising strategy from the sales data of network platform to build the profit function different advertising types and portfolios.In addition,the elements of online advertising include not only the timing,content and form,but also the source of advertising.In numerous online advertising,this master's thesis found these advertising not only from the retailer itself.A few of the links are from competitors.Faced with fierce competition,to some extent,advertising among retailers can alleviate competition and achieve a win-win situation.However,there are obvious differences in the types of advertising between competitors,such as persuasive advertising and price advertising,which convey different messages.In this paper,through a two-stage game model with two heterogeneous retailers,this master's thesis investigates whether there exists an equilibrium for the retailer to refer consumers to the other one through persuasive or price advertisement.This master's thesis also refined and extended the applicable conditions of advertising by comparing the two kinds of advertising.When retailers do not consider other retailers,advertising optimization strategy does not involve game.This master's thesis study advertising strategies of a retailer under some cost constraints by comparing the benefits of different advertising portfolios.Then this master's thesis use the payment conversion rate as a basic indicator to divide the advertising decision interval of retailers.This reflects the economic efficiency of advertising(portfolio)and provides advice to retailers in different market conditions.It turns out that the type of consumers and the availability of information determine the timing of advertising(portfolio)and the applicable subjects(the source of ads).and the ads budget determines the number and type of the best portfolio,and the optimal advertising strategy can bring the e-tailer greatest benefitWhen the advertising strategy involves the game between two retailers,this paper not only investigates the equilibrium choice about advertisement,but also illustrates the impact of strategic and loyal customers on the referral strategy in order to demonstrate the retailer's referral motivations and the collusion between the two channels.It is not only the natural cooperation between two retailers that benefits both parties,but also the distribution of the benefits of the whole system can further deepen this cooperation.The disclosure of price reduces the cost of search,so that price advertising must be adopted in a more transparent market.It also needs higher commissions to compensate.