Data Price Determinants Based on a Hedonic Pricing Model

Abstract

Data have become an emerging factor of production; the development of the data trading market is accelerating, but data pricing remains in the initial exploration stage. Based on hedonic price theory, this paper analyzes the factors influencing data prices. From the perspective of data transactions, this paper proposes construction of a data price characteristic index system from three aspects: data objects, data demanders and data suppliers. An empirical analysis is conducted based on 1010 data commodity sample data points from the Jingdong Vientiane platform. Through testing and estimation, it is considered that the hedonic price models can be fitted by a logarithmic function, taken as the function form of data hedonic price analysis. According to the analysis of the sample data sources from the data market, the number of free trials, data specification and quantity, data attention (number of data visits), data demand (sales volume), and preferential policies for businesses are negatively correlated with data price. Data evaluation satisfaction (number of collected users), request parameters (business), return parameters (business), data range, and response speed are positively correlated with data price. In addition, further analysis is made on the reason of the processing complexity variable of the data algorithm which does not conform to the expected estimation.