Valuation of digital platforms: experimental evidence for Google and Facebook
- This article investigates the fundamental value of digital platforms, such as Facebook and Google. Despite the transformative nature of digital technologies, it is challenging to value digital services, given that the usage is free of charge. Applying the methodology of discrete choice experiments, we estimated the value of digital free goods. For the first time in the literature, we obtained data for the willingness-to-pay and willingness-to-accept, together with socio-economic variables. The customer´s valuation of free digital services is on average, for Google, 121 € per week and Facebook, 28 €.
Author of HS Reutlingen | Herzog, Bodo |
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URN: | urn:nbn:de:bsz:rt2-opus4-19340 |
DOI: | https://doi.org/10.3390/ijfs6040087 |
ISSN: | 2227-7072 |
Erschienen in: | International journal of financial studies |
Publisher: | MDPI |
Place of publication: | Basel |
Document Type: | Journal article |
Language: | English |
Publication year: | 2018 |
Tag: | choice experiment; digital platform; free goods; two-sided markets |
Volume: | 6 |
Issue: | 4 |
Page Number: | 13 |
First Page: | 1 |
Last Page: | 13 |
Article Number: | 87 |
DDC classes: | 330 Wirtschaft |
Open access?: | Ja |
Licence (German): | Creative Commons - CC BY - Namensnennung 4.0 International |