Working paper

Price Parity Clauses and Platform Data Acquisition

Andreea Enache, and Andrew Rhodes

Abstract

Many platforms have used a Price Parity Clause (PPC) to prevent sellers charging lower prices on other sales channels. PPCs are often considered anti-competitive and have been banned in some jurisdictions. We provide a novel rationale—centered on how PPCs affect platforms’ data acquisition—for why a complete ban on PPCs may harm buyers and sellers.

Keywords

Price Parity Clauses; Platforms; Data; Product Discovery;

JEL codes

  • D43: Oligopoly and Other Forms of Market Imperfection
  • D83: Search • Learning • Information and Knowledge • Communication • Belief
  • L13: Oligopoly and Other Imperfect Markets
  • L42: Vertical Restraints • Resale Price Maintenance • Quantity Discounts

Replaced by

Andreea Enache, and Andrew Rhodes, Price Parity Clauses and platform data acquisition, Economics Letters, vol. 256, n. 112635, October 2025.

Reference

Andreea Enache, and Andrew Rhodes, Price Parity Clauses and Platform Data Acquisition, TSE Working Paper, n. 25-1661, September 2025.

See also

Published in

TSE Working Paper, n. 25-1661, September 2025