How the Big Mac Helped Team Bing Bang Take Home the Kabam Collider Prize

Earlier this year, the Sutardja Center hosted a Kabam Collider which challenged students to create a system to set prices for in-app purchases for Kabam’s games that worked in different countries around the world. Individuals in different countries have different relative purchasing powers (e.g. on average a worker in India has to work for 15 hours to earn the same purchasing power as an American working under 1 hour), so the goal was to make buying a credit “hurt” the same whether the user was buying it in China, Australia, or elsewhere. Team Bing Bang used the Big Mac Index as a baseline for their dynamic pricing model to help set global prices for Kabam’s digital assets.

See the recent project profile at Berkeley I School and the presentation from Team Bing Bang to learn more about how then they optimized their model using psychology and economic theory.