Welfare Effects of Personalized Rankings

All authors certify that they have no affiliations with or involvement in any organization or entity with any financial interest or nonfinancial interest in the subject matter or materials discussed in this manuscript. The authors have no funding to report. The retailer has the right for a limited review of the manuscript prior to its circulation, during which it can request removing its intellectual property or trade secrets from the paper. This paper was previously circulated with the title “The Long Tail Effect of Personalized Rankings.” The authors thank a group of researchers whose insightful comments and suggestions have greatly improved the paper: Eric Anderson, Bart Bronnenberg, Hana Choi, Jean-Pierre Dubé, Brett Gordon, Rafael Greminger, George Gui, Wes Hartmann, Ella Honka, Yufeng Huang, Malika Korganbekova, Sanjog Misra, Harikesh Nair, Sridhar Narayanan, Navdeep Sahni, Stephan Seiler, Anna Tuchman, and Caio Waisman, as well as seminar participants at Stanford University, Kellogg School of Management, Chicago Booth, Virtual Quant Marketing Seminar, European Quant Marketing Seminar, and Consumer Search Digital Seminar. The authors also thank James Ryan for his excellent research assistance. All errors are our own.