West LA Times

Research conducted by a team including UCLA has provided insights into bargaining dynamics on eBay. The study, published in the Proceedings of the National Academy of Sciences, highlights how response times from sellers can influence buyers' decisions.

The analysis involved examining a dataset from 2012 and 2013, as well as conducting experiments with offers on collectible items like Pokemon and baseball cards. Findings indicated that sellers who took longer to reject offers were more likely to accept subsequent offers. Corresponding author Ian Krajbich, a UCLA psychology professor, stated: “The finding adds a new element to game theory — the scientific study of strategic interactions — by considering not just what people choose, but how quickly they choose it.”

Led by Miruna Cotet, then a doctoral student at Ohio State University and now a postdoctoral scholar at Complexity Science Hub Vienna, the research suggested that slow responses might indicate seller interest in an offer close to their desired price. Conversely, quick rejections implied the buyer's offer was far from acceptable.

Despite these insights, buyers often misinterpret slow responses negatively. "Buyers seem to be discouraged by slow responses from the seller," Krajbich noted. He emphasized that buyers should view delayed rejections as an opportunity for negotiation rather than a setback.

The research suggests that both parties could benefit if sellers responded promptly and buyers remained persistent despite initial delays. Sellers risk losing potential deals with slow responses while buyers might miss favorable terms by withdrawing too soon.

“Take a slow response as a good sign rather than a bad sign,” advised Krajbich. He urged buyers not to be disheartened by delayed reactions from sellers and encouraged them to persist in negotiations.