Determining how application type moderates Gen Z consumers intentions to switch to paid mobile services: A study of the Push-Pull-Mooring Framework

OpenAlex İngilizce

This study investigates factors influencing Z generation consumers’ willingness to pay when switching from free to paid applications (apps). These factors include personal characteristics, product characteristics and availability, and perceived performances of the service providers. The study employs an exploratory approach to assess a structural model that organizes these variables within the framework of a push-pull-mooring (PPM) framework. In this empirical study, the SmartPLS was used for the purpose of model testing and moderator analysis. The survey results, which included 239 respondents, identified price value of premium apps, dissatisfaction with free apps, perceived performance risk of free apps, price-quality inference, positive reputation of apps, and free mentality as the factors most influencing consumers’ switching intention. A comparison of hedonic (pleasure-oriented) and utilitarian (productivity-oriented) apps showed significant differences in switching intentions, influenced by security and privacy related concerns. The study identified two factors that were found to differ between groups in terms of their impact on the intention to transition to paid apps: perceived security risks associated with free apps and consumers’ privacy concerns. The study’s original contribution lies in its formulation of a comparative model and subsequent findings, which address salient aspects that mobile apps developers should consider when formulating their pricing strategies.