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Videogames and Freemium: which Drivers make Users buy Premium Content
Language: English This thesis is written in English
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Author
Massimo Dattoma, Università Commerciale Luigi Bocconi di Milano, 2014-15
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Massimo Dattoma
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Academic area
Economics
Abstract
This paper extends the knowledge about the freemium phenomenon in the videogame context. Through an in-depth analysis of the existing literature, a comprehensive outlook of this recent business model is provided, while an empirical research highlights the main drivers that let users buy premium content. The model, derived by the existing literature, was tested through a survey on 217 respondents. Data revealed an existing tendency to buy premium content, with factors such as immersiveness, competition, and ownership playing a positive influence, while the uniqueness has a mitigation role and achievement was found irrelevant. These findings support the decision process of developers about the features of the product to focus on. Moreover, publishers do not have to worry for the usual business (priced videogames) because freemium is just a differentiated product and does not cannibalize the former. They can indeed invest in both markets.