{"title":"Motivations in the adoption and conversion of freemium services: insights for digital entrepreneurship","authors":"","doi":"10.1007/s11846-024-00754-0","DOIUrl":null,"url":null,"abstract":"<h3>Abstract</h3> <p>Technological advancements have created opportunities for entrepreneurship and innovation and enabled the development of new products, services, platforms, and business models, including the freemium business model. The freemium business model is present in several digital services (e.g., music, social networking, and gaming), but, for businesses to succeed, it is of the utmost importance that users convert their subscriptions from free to premium. Previous research has endeavored to explain what motivations drive consumers to adopt different digital services and platforms and what motivations and user characteristics lead them to convert to the premium service, but little research has been dedicated to the motivations for consumers to distinguish between competing platforms. To enhance comprehension of these matters, this study analyzes a group of motivations and user characteristics as explanatory variables. Data was obtained via an online questionnaire, with a sample of 231 users of music streaming platforms. The main results suggest that satisfaction, perceived value, and ubiquity are statistically significant motivations that positively influence choosing a platform. Regarding subscribing to the premium service, the same motivations, as well as users’ age and occupation, present influential results, which are relevant from theoretical and managerial points of view, especially for entrepreneurs aiming to define the best strategy to successfully deploy their digital businesses.</p>","PeriodicalId":20992,"journal":{"name":"Review of Managerial Science","volume":"65 1","pages":""},"PeriodicalIF":7.8000,"publicationDate":"2024-03-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Review of Managerial Science","FirstCategoryId":"91","ListUrlMain":"https://doi.org/10.1007/s11846-024-00754-0","RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"MANAGEMENT","Score":null,"Total":0}
引用次数: 0
Abstract
Technological advancements have created opportunities for entrepreneurship and innovation and enabled the development of new products, services, platforms, and business models, including the freemium business model. The freemium business model is present in several digital services (e.g., music, social networking, and gaming), but, for businesses to succeed, it is of the utmost importance that users convert their subscriptions from free to premium. Previous research has endeavored to explain what motivations drive consumers to adopt different digital services and platforms and what motivations and user characteristics lead them to convert to the premium service, but little research has been dedicated to the motivations for consumers to distinguish between competing platforms. To enhance comprehension of these matters, this study analyzes a group of motivations and user characteristics as explanatory variables. Data was obtained via an online questionnaire, with a sample of 231 users of music streaming platforms. The main results suggest that satisfaction, perceived value, and ubiquity are statistically significant motivations that positively influence choosing a platform. Regarding subscribing to the premium service, the same motivations, as well as users’ age and occupation, present influential results, which are relevant from theoretical and managerial points of view, especially for entrepreneurs aiming to define the best strategy to successfully deploy their digital businesses.
期刊介绍:
Review of Managerial Science (RMS) provides a forum for innovative research from all scientific areas of business administration. The journal publishes original research of high quality and is open to various methodological approaches (analytical modeling, empirical research, experimental work, methodological reasoning etc.). The scope of RMS encompasses – but is not limited to – accounting, auditing, banking, business strategy, corporate governance, entrepreneurship, financial structure and capital markets, health economics, human resources management, information systems, innovation management, insurance, marketing, organization, production and logistics, risk management and taxation. RMS also encourages the submission of papers combining ideas and/or approaches from different areas in an innovative way. Review papers presenting the state of the art of a research area and pointing out new directions for further research are also welcome. The scientific standards of RMS are guaranteed by a rigorous, double-blind peer review process with ad hoc referees and the journal´s internationally composed editorial board.