The 15 Commandments of Market Entrance Pricing for Differentiated Network Services: An Antagonistic Analysis of Human vs. Market

  • Patrick Zwickl
  • Peter Reichl
  • Andreas Sackl
Part of the Lecture Notes in Computer Science book series (LNCS, volume 8376)

Abstract

Confronted with soaring IP traffic demands and unsatisfying revenue prospects, charging and tariffing alternatives are about to regain significant attention in the telecommunications industry. While classical revenue optimization and customer perceptions, i.e., Quality of Experience (QoE), has been largely investigated by now, the understanding of customer valuations, i.e., willingness-to-pay, is still far from being sufficient. Hence, this paper revisits and extends the charging ecosystem by unifying empirically-backed demand and expenditure considerations with supply-side revenue optimization, and pays specific attention to the market introduction of new services, such as quality-differentiated network services. Finally, a series of (partially antagonistic) conclusions for Network Service Providers (NSPs) are derived and discussed.

Keywords

Quality of Experience Willingness-to-Pay Market Entrance Profit Optimization 

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Copyright information

© Springer International Publishing Switzerland 2014

Authors and Affiliations

  • Patrick Zwickl
    • 1
  • Peter Reichl
    • 1
    • 2
  • Andreas Sackl
    • 3
  1. 1.Faculty of Computer ScienceUniversity of ViennaViennaAustria
  2. 2.Université Européenne de Bretagne/Télécom BretagneCesson SévignéFrance
  3. 3.FTW Telecommunications Research Center ViennaViennaAustria

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