![]() Understanding app users’ behaviorWhile many popular apps do not explicitly charge for access to their platforms, there are nonetheless many ways that the “price” these apps charge could increase. And antitrust regulators, who have struggled to define competitive markets when evaluating possible tech mergers, could also benefit. These insights are of obvious interest to tech companies and marketers, who would benefit from a better understanding of how consumers substitute one app for another, Aridor says. Or in lieu of bothering to download a brand new app, you might chose not to substitute with another app at all. “If you can’t use Instagram, you will be more likely to substitute with apps that you habitually use,” Aridor says. He also found that the habit-forming nature of digital apps, a force he calls inertia, plays an important role in which apps people chose as substitutes. Would people substitute another app of the same category, an app from a different category, or cut down on their app use overall?Īridor found that people readily switched to other categories of apps, though this is in part because many apps span multiple categories: a social app can also be used for entertainment, for instance. So to better understand how app substitution works, Aridor ran an experiment to find out how consumers would react if they temporarily could not use Instagram or YouTube at all. Companies like Facebook, Twitter, and YouTube do not charge for access to their platforms but instead sell audience attention to advertisers within the so-called attention market. Yet there’s not an obvious price tag on most popular apps. ![]() TikTok to launch ad revenue-sharing program for creators
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