Article in Journal ART-2010-09

BibliographyGerpott, Torsten J.: Pricing and collection preferences for navigation service offers by mobile network operators: A conjoint analysis.
In: International Journal of Services Sciences (im Druck).
University of Stuttgart : Collaborative Research Center SFB 627 (Nexus: World Models for Mobile Context-Based Systems).
pp. 1-21, english.
Inderscience Publishers, June 2010.
Article in Journal.
CR-SchemaH.2.8 (Database Applications)
Abstract

Navigation services based on the infrastructure of mobile network operators (MNO) are among the offerings which many MNO consider promising in order to increase their revenue streams arising from innovative non-voice services. A substantial number of previous studies has found that price levels of actual or hypothetical new mobile data applications such as mobile navigation services (MNS) are significantly negatively related to consumer service adoption. This "insight" is neither intriguing nor helpful in designing MNO pricing and settlement policies. Therefore, the present investigation attempts a closer look at pricing approach and collection procedure preferences for potential MNS offers of MNO in a sample of 583 German-speaking consumers. It applies the conjoint analysis method to assess effects of three pricing approach and four collection procedure attribute levels on consumer preferences in the context of fictitious MNS. The results reveal that the two focal attributes have a rather similar importance in shaping participants' MNS evaluations. At the aggregate sample level respondents favor MNS accompanied by a flat rate scheme and which incorporate the charges for the services in the invoice which MNO send anyway to their postpaid subscribers. Currently uncommon collection procedures (e.g. credit card or direct debit payment) have no strong positive or even considerably negative impacts on consumers' appreciation of MNS offers. The sample contains three internally homogeneous segments characterized by diverging pricing and collection preferences. The findings suggest there exists a small but probably affluent group of consumers to whom use-frequency or data-transfer volume dependent tariffs are appealing.

Department(s)Universität Duisburg-Essen, Mercator School of Management, Lehrstuhl für Unternehmens- und Technologieplanung (UTP)
Project(s)SFB-627, D6 (Universität Duisburg-Essen, Mercator School of Management, Lehrstuhl für Unternehmens- und Technologieplanung (UTP))
Entry dateJune 7, 2010