The Impact of OTT on Preferences for Mobile Services: A Conjoint Analysis of Users in Nigeria

Abstract

Although mobile phone subscription rates in Nigeria have grown significantly since its inception in the early 2000s, over half of the population remains unconnected. As the focus of governments and mobile carriers shift to driving Internet adoption, mobile phones serving as a facilitating condition for traditional and OTT services could have multiple implications. Using conjoint analysis, this paper presents evidence that access to OTT services has a positive impact on mobile phone adoption. In Nigeria, mobile users are significantly more likely to use OTT services than voice/text and are willing to pay more for Internet services, in general, than voice/text.