Decision Support Systems - Special issue: Economics and information systems
Analysis of pricing strategies for e-business companies providing information goods and services
Computers and Industrial Engineering - Special issue: Computational intelligence and information technology applications to industrial engineering selected papers from the 33 rd ICC&IE
Marketing Models of Service and Relationships
Marketing Science
Pricing Diagnostic Information
Management Science
An economic model of portal competition under privacy concerns
Proceedings of the ninth international conference on Electronic commerce
A Markov-based collaborative pricing system for information goods bundling
Expert Systems with Applications: An International Journal
An economic model to compare the profitability of pay-per-use and fixed-fee licensing
Information and Software Technology
Comparison of Software Quality Under Perpetual Licensing and Software as a Service
Journal of Management Information Systems
Price Mechanism for Knowledge Transfer: An Integrative Theory
Journal of Management Information Systems
Risk Management of Contract Portfolios in IT Services: The Profit-at-Risk Approach
Journal of Management Information Systems
Analysis of pricing strategies for e-business companies providing information goods and services
Computers and Industrial Engineering
Risk aversion and information asymmetry in the pricing of capacity-on-demand and pay-per-use computing products
Decision Support Systems - Special issue: Economics and information systems
An Economic Analysis of the Software Market with a Risk-Sharing Mechanism
International Journal of Electronic Commerce
Use of Pricing Schemes for Differentiating Information Goods
Information Systems Research
Ex Ante Information and the Design of Keyword Auctions
Information Systems Research
Why give away something for nothing? Investigating virtual goods pricing and permission strategies
ACM Transactions on Management Information Systems (TMIS)
Information Goods vs. Industrial Goods: Cost Structure and Competition
Management Science
Non-separable, quasiconcave utilities are easy in a perfect price discrimination market model
WINE'10 Proceedings of the 6th international conference on Internet and network economics
Durable Products, Time Inconsistency, and Lock-in
Management Science
The Disruptive Effect of Open Platforms on Markets for Wireless Services
Journal of Management Information Systems
Pricing Digital Goods: Discontinuous Costs and Shared Infrastructure
Information Systems Research
Revisiting the incentive to tolerate illegal distribution of software products
Decision Support Systems
Sell by bundle or unit?: Pure bundling versus mixed bundling of information goods
Decision Support Systems
The pricing model of cloud computing services
Proceedings of the 14th Annual International Conference on Electronic Commerce
Research Note---Performance-Based Advertising: Advertising as Signals of Product Quality
Information Systems Research
Competitive implications of software open-sourcing
Decision Support Systems
How to Price Discriminate When Tariff Size Matters
Marketing Science
The Disruptive Effect of Open Platforms on Markets for Wireless Services
Journal of Management Information Systems
The Pricing Strategy Guideline Framework for SaaS Vendors
International Journal of Strategic Information Technology and Applications
Experience information goods: "Version-to-upgrade"
Decision Support Systems
A fuzzy supply chain contract problem with pricing and warranty
Journal of Intelligent & Fuzzy Systems: Applications in Engineering and Technology
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This paper analyzes optimal pricing for information goods under incomplete information, when both unlimited-usage (fixed-fee) pricing and usage-based pricing are feasible and administering usage-based pricing may involve transaction costs. It is shown that offering fixed-fee pricing in addition to a nonlinear usage-based pricing scheme is always profit improving in the presence of nonzero transaction costs, and there may be markets in which a pure fixed-fee is optimal. This implies that the optimal pricing strategy for information goods is almost never fully revealing. Moreover, it is proved that the optimal usage-based pricing schedule is independent of the value of the fixed fee, a result that simplifies the simultaneous design of pricing schedules considerably and provides a simple procedure for determining the optimal combination of fixed-fee and nonlinear usage-based pricing. The introduction of fixed-fee pricing is shown to increase both consumer surplus and total surplus. The differential effects of setup costs, fixed transaction costs, and variable transaction costs on pricing policy are described. These results suggest a number of managerial guidelines for designing pricing schedules. For instance, in nascent information markets, firms may profit from low fixed-fee penetration pricing, but as these markets mature, the optimal pricing mix should expand to include a wider range of usage-based pricing options. Minimum fees, quantity discounts, and adoption levels across the different pricing schemes are characterized, strategic pricing responses to changes in market characteristics are described, and the implications of the paper's results for bundling and vertical differentiation of information goods are discussed.