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Estimating demand for fixed-line telecommunication bundles

Maciej Sobolewski () and Tomasz Kopczewski ()

Telecommunications Policy, 2017, vol. 41, issue 4, 227-241

Abstract: In this study, a stated preference discrete choice experiment is applied to model subscription choices between standardized packages of fixed-line telecommunications services in a sample of individuals in Poland. We provide willingness-to-pay (WTP) estimates for telephony, broadband and pay TV offered as stand-alone services and dual or triple-play bundles. The main goal of the paper is to investigate substitutability and complementarity between various component services based on estimated valuations. Considerable preference heterogeneity towards fixed-line services is identified and explained by service profile and usage intensity.

Keywords: Bundling; Discrete choice experiment; Willingness-to-pay; Fixed-line telephony; Fixed-line broadband; Pay TV; Fixed-to-mobile substitution (search for similar items in EconPapers)
JEL-codes: C25 D12 L96 (search for similar items in EconPapers)
Date: 2017
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Working Paper: Measuring reservation prices for bundles of fixed telecommunications services (2015) Downloads
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DOI: 10.1016/j.telpol.2017.01.011

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