Subscriber churn in the Australian ISP market
Rapid growth in Internet use, combined with easy market entry by Internet service providers (ISPs), has resulted in a highly competitive supply of Internet services. Australian ISPs range in size from a few large national operators to niche ISPs focused on specialised service. With many ISPs currently not profitable, subscriber retention is an important aspect of survival. This study develops a model which relates the probability of subscriber churn to various service attributes and subscriber characteristics. Estimation results show that churn probability is positively associated with monthly ISP expenditure, but inversely related to household income. Pricing also matters with subscribers preferring ISPs which offer flat-rate pricing arrangements.
|Date of creation:||1999|
|Publication status:||Published in Information Economics and Policy 11 (1999): pp. 195-207|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Gary Madden & Michael Simpson, 1997.
"Residential broadband subscription demand: an econometric analysis of Australian choice experiment data,"
Taylor & Francis Journals, vol. 29(8), pages 1073-1078.
- Madden, Gary G & Simpson, Michael, 1997. "Residential broadband subscription demand: an econometric analysis of Australian choice experiment data," MPRA Paper 11936, University Library of Munich, Germany.
- Katz, James E & Aspden, Philip, 1998. "Internet dropouts in the USA: The invisible group," Telecommunications Policy, Elsevier, vol. 22(4-5), pages 327-339, May.
- Shane Greenstein, 1998. "Universal Service in the Digital Age: The Commercialization and Geography of U.S. Internet Access," NBER Working Papers 6453, National Bureau of Economic Research, Inc.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:11450. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter)
If references are entirely missing, you can add them using this form.