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Dynamics of Mobile Service Adoption
Abstract
Many case examples in the mobile market have indicated that the success of mobile services (e.g. Internet browsing, email messaging or streaming video playback with mobile phones) is difficult to predict. Different factors serve either as drivers or bottlenecks in mobile service adoption. The present chapter has covered earlier research on mobile service adoption and utilized a newly developed handset-based mobile end-user research platform in obtaining data from 548 Finnish panelists in 2006. The main research goal is to understand the process of mobile service adoption by extracting new kinds of data straight from handsets. In addition to descriptive results, a path analysis model is developed that explains mobile service adoption contingent on a given set of explanatory variables. The chapter finds that user intentions have a strong impact on consequent adoption of the service. What is more, perceived hedonic benefits from the service are the strongest factor driving user intentions to use the service. The perceived technical capability to use the service and the role of the surrounding social network explain little why early-adopter kind of independent users intend to use services. Interestingly multimedia services are strongly driven by newer more capable handsets and mobile Internet browsing benefits significantly from block or flat-rate (instead of usage-based) pricing plans for transmitted data. The chapter develops several indices that measure time-varying characteristics of mobile services. Calculated indices for a set of mobile services in 2006 suggest that different mobile services are currently experiencing different phases in their life cycle.
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