Nonmonetary customer value contributions in free e-services

Anderl, Eva; März, Armin; Schumann, Jan H.

doi:10.1080/0965254x.2015.1095219

Cited by 12 publications

(8 citation statements)

References 52 publications

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“…An important finding, which has particular managerial relevance, is that all players need not be payers for a service to be sustainable. Indeed, researchers have begun to recognize the importance of non-monetary contributions (Anderl et al, 2016). Our findings indicate that socially-oriented players may contribute only in non-monetary forms and attempts to persuade them to pay could have negative consequences.…”

Section: Discussionmentioning

confidence: 81%

“…Thus, the monetization challenge is twofold: critical mass and conversion. To generate critical mass, service providers need to support a sufficiently motivated community of users to contribute non-monetary value including content and participation (Kuppelwieser et al, 2013, Anderl et al, 2016. To ensure conversion, they must ensure a sufficient number of community members also feel motivated to make monetary contributions (Pauwels and Weiss, 2008).…”

Section: Introductionmentioning

confidence: 99%

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Overcoming the monetization challenge in freemium online games

Beltagui¹,

Schmidt

Candi

et al. 2019

IMDS

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Purpose Online games based on a freemium business model face the monetization challenge. The purpose of this paper is to examine how players’ achievement orientation, social orientation and sense of community contribute to willingness to pay (WtP). Design/methodology/approach A multi-method study of an online game community is used. Interviews and participant observation are used to develop an understanding of social and achievement orientations followed by the development of hypotheses that are tested using survey data. Findings The findings indicate that a sense of community is positively related to WtP, whereas satisfaction or dissatisfaction with the service provider is not. The authors examine the moderating role of players’ achievement orientation and social orientation and find that while a stronger connection to the community may encourage achievement-oriented players to pay, the opposite is indicated for socially oriented players. Practical implications Decision makers need to understand that not all players are potential payers; while socially oriented users can help to maintain and grow the community, achievement-oriented players are more likely to pay for the value they extract from the community. Originality/value While communities are held together by people with common interests, which intuitively suggests that WtP increases with the strength of connection to the community, the authors find this only applies in the case of players with an achievement orientation. For those with a social orientation, WtP may actually decrease as their connection to the community increases. These perhaps counter-intuitive findings constitute a novel contribution of value for both theory and practice.

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Section: Discussionmentioning

confidence: 81%

Section: Introductionmentioning

confidence: 99%

Overcoming the monetization challenge in freemium online games

Beltagui¹,

Schmidt

Candi

et al. 2019

IMDS

View full text Add to dashboard Cite

show abstract

“…The opening paper by Anderl, Mӓrz and Schumann (2015), which is titled 'Nonmonetary Customer Value Contributions in Free E-Services,' addresses the ways in which users of free e-services may contribute to value creation for the organisation. Based on a literature review and in-depth interviews with Senior Executives of free e-service providers, the authors present a typology of non-monetary value contributions in the free e-service sector, which includes word-ofmouth, co-production, and network value effects arising from non-paying customers.…”

mentioning

confidence: 99%

Non-monetary social and network value: understanding the effects of non-paying customers in new media

Hollebeek

Brodie

2016

Journal of Strategic Marketing

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“…Offering services for free to at least a segment of the customer base became a prevalent business model online, with consumers being able to choose from a multitude of free e-services (Anderl et al, 2016), especially within hedonic-oriented and entertainment online content (Chu and Lu, 2007). In the music industry, these online business models include streaming services (Sinclair and Tinson, 2017), which rely on either subscription fees (paid streaming services) and/or advertising (providing streaming free of charge) as sources of revenue (e.g., Spotify).…”

Section: Conceptual Backgroundmentioning

confidence: 99%

Drivers and deterrents of music streaming services purchase intention

Fernandes

Guerra

2019

IJEB

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Generalised access to online content, with no transfer of ownership, revolutionised consumer behaviour. The music industry is a paradigmatic example: physical product sales decreased and even online music stores are increasingly threatened by the rise of on-demand music streaming services (MSS). However, MSS find it difficult to persuade users to opt for the premium version. Therefore, the purpose of this study is to assess what drives (deters) users' intention to purchase MSS, as well as to examine the role of gender and age. Based on data collected from 318 MSS users, the study shows that both perceived value and perceived fee are significant predictors of MSS purchase intention, with the negative impact of the latter surpassing the positive one of the former, while the moderating effect of age and gender was supported. Our study contributes to a deeper understanding of MSS purchase intention, and offers important insights to MSS providers.

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Nonmonetary customer value contributions in free e-services

Cited by 12 publications

References 52 publications

Overcoming the monetization challenge in freemium online games

Overcoming the monetization challenge in freemium online games

Non-monetary social and network value: understanding the effects of non-paying customers in new media

Drivers and deterrents of music streaming services purchase intention

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