Deliverables 2003, Quarter 1-2

Some papers may only be accessible by members of the Trade Agents project.

[3D2.1] Bundling and Pricing for Information Brokerage: Customer Satisfaction as a Means to Profit Op timization. (restricted access only)
Traditionally, the study of on-line dynamic pricing and bundling strategies for information goods is motivated by the value-extracting or profitgenerating potential of these strategies. In this paper we discuss the relatively overlooked potential of these strategies to on-line learn more about customers' preferences. Based on this enhanced customer knowledge an information broker can -by tailoring the brokerage services more to the demand of the various customer groups- persuade customers to engage in repeated transactions (i.e. generate customer lock-in). To illustrate the duscussion, we show by means of a basic consumer model how, with the use of on-line dynamic bundling and pricing algorithms, customer lock-in can occur. The lock-in occurs because the algorithms can both find appropriate prices and (from the customers' perspective) the most interesting bundles. In the conducted computer experiments we use an advanced genetic algorithm with a niching method to learn the most interesting bundles efficiently and effectively.

[3D2.2] Bringing Haggling Back to the Market Place: How to Combine Bundling, Fairness and Win-Win. (restricted access only)
We present a novel system for selling single-day subscriptions on bundles of news items. Within the system, a news provider bargains with potential buyers using autonomous software agents that negotiate on the users' behalf. The advantage of the developed system is that it allows for highly flexible and customized subscriptions. We introduce the novel approach of decomposing bargaining strategies into a cooperative strategy. Non-cooperative strategies aim at obtaining the largest share of the pie, whereas cooperative strategies seek to maximize win-win opportunities. These win-win opportunities arise because bargaining involves multiple issues and trade-offs can be made. We furthermore present two cooperative strategies, the orthogonal and the orthogonal-DF strategy. Together they lead to win-win outcomes.

[3D3.1] Status Quo on Agent Technology. (restricted access only)

[3D6.1] Business Case "Financial Information Brokerage".

[3D9.1] Trade Agents Demonstrator (restricted access only)