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Estimating Consumer Inertia in Repeated Choices of Smartphones*

Lukasz Grzybowski and Ambre Nicolle

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Abstract: For a sample of 9,799 subscribers to a single mobile operator, we observe switching between mobile handsets between July 2011 and December 2014. We estimate a discrete choice model in which we account for disutility from switching to different operating systems and brands. Our estimation results indicate the presence of significant inertia in the choice of operating systems and brands. We use our model to simulate market shares in the absence of switching costs and conclude that the market shares of Android and smaller operating systems would increase at the expense of the market share of iOS in such context.

Keywords: Smartphones; Consumer Inertia; Switching Costs; Mixed Logit; iOS; Android (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-com, nep-dcm and nep-pay
Note: View the original document on HAL open archive server: https://telecom-paris.hal.science/hal-03235889v1
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Citations: View citations in EconPapers (3)

Published in Journal of Industrial Economics, 2021, 69 (1), pp.33-82. ⟨10.1111/joie.12239⟩

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Related works:
Journal Article: Estimating Consumer Inertia in Repeated Choices of Smartphones (2021) Downloads
Working Paper: Estimating Consumer Inertia in Repeated Choices of Smartphones (2018) Downloads
Working Paper: Estimating Consumer Inertia in Repeated Choices of Smartphones (2018) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03235889

DOI: 10.1111/joie.12239

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