@inproceedings{00393fdd110e4d60bb6847f5c34bf58e,
title = "The economics of all-you-can-read pricing: Tariff choice, contract renewal, and switching for e-book purchases",
abstract = "E-book markets are currently moving through a period of disequilibrium as new pricing structures (i.e., flat-fee subscriptions) are rapidly embraced by major vendors. On the basis of a novel dataset, we investigate how the availability of {"}all-you-can-read{"} pricing programs influences consumers' tariff choice, contract renewal, and switching behaviors. Consistent with the rational choice framework, the findings suggest that most e-book consumers significantly gain from subscription-based tariffs. However, we also find some other intriguing results. Among the three subscription designs examined, the 1-week plan affords consumers more economic benefits than do 1-day or 1-month programs. The economic gains derived from subscription-based tariffs diminish as consumers renew their subscriptions under the same contract duration. Consumers who switch to other plans also suffer from reduced savings. Finally, iOS users are more inclined to select subscription models than are Android users because of the absence of in-App purchase functionalities for the former.",
keywords = "Digital good, E-book, Flat-fee, Pricing, Subscription duration",
author = "Han, {Sang Pil} and Jinpyo Hong and Moon, {Jae Yun} and Wonseok Oh",
year = "2015",
language = "English (US)",
isbn = "9780996683111",
series = "2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015",
publisher = "Association for Information Systems",
booktitle = "2015 International Conference on Information Systems",
note = "2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015 ; Conference date: 13-12-2015 Through 16-12-2015",
}