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Research On Pricing Strategy Of Online Short Video Platform Based On Two-sided Market Theory

Posted on:2021-12-14Degree:MasterType:Thesis
Country:ChinaCandidate:X Y FuFull Text:PDF
GTID:2518306353455604Subject:Management Science and Engineering
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With the revolution and update of computer technology and the vigorous development of mobile applications,the short video platform,as the hottest and most concerned product of the Internet industry,is slowly changing people's lives invisibly.Whether it is news,culture,entertainment or the shopping community,the emergence of a variety of innovative short video platforms has made people's access to information more convenient,diverse and efficient.The fragmentation needs of netizens are in free and flexible time.At present,the domestic short video platform is in a leading position,and the corresponding products have already had a large user scale in both domestic and foreign market environments.However,avoiding the "phenometic product" that is only sought after in a short period of time,allowing advanced technology to create greater value,it is necessary to explore the business model of the short video platform.Due to the rapid development of the short video industry and the potential for market development,domestic scholars' research on short video platforms is gradually increasing in recent years,mainly focusing on the discussion of industry background,communication characteristics and technical realization of product functions.This paper is quite lacking in the analysis of the business operation mode and pricing strategy of the short video platform from the perspective of theoretical model.This paper supplements this research field.This paper has carried out related research on the pricing problems of monopolistic market and short video platform adopting different profit models in the duopoly market,and completed the main research work as follows:Firstly,The short video platform under the monopoly market adopts the pricing model of advertising mode and value-added mode respectively.Considering the viewer's preference for video content quality,negative effects of advertising,cross-network externalities and other parameters on the platform's optimal pricing problem,based on consumer utility theory and bilateral market theory,respectively,the profit maximization model of short video platform under two profit modes is given respectively.Through the model solving,the optimal price and optimal profit of the short video platform in the two modes are obtained,and the factors affecting the optimal price and the optimal profit change under different modes are analyzed.Secondly,under the duopoly market,two short video platforms can be selected separately:advertising mode and value-added mode.Providing differentiated video content for two short video platforms,there are three possible market structures:both use advertising models,both use value-added models and one adopts an advertising model while the other adopts a value-added model.Based on the utility functions of free users and paying users,the profit models of platforms under different market structures are constructed respectively,and the optimal advertising price,optimal value-added service price,optimal payment cost and optimal profit are obtained.The research results show that in the monopoly market,when the platform adopts the advertising mode,the optimal advertising price is positively correlated with the video viewer's aversion cost coefficient,that is,the video viewer's dislike of advertising is greater,and the higher price of the ad that the platform charges advertisers;when the platform adopts the value-added model,the greater the viewer's perceived value of the video content and the greater the difference between the quality of free and paid content,the greater the profit of the platform;regardless of the profit model adopted by the short video platform,the unit payment fee given to the video provider decreases as the number of video providers increases,and the optimal profit of the platform increases as the intensity of network externalities between video viewers and video providers increases.In the duopoly market,a short-term video platform with a value-added model,in any competitive situation,the optimal value-added service price is only related to the difference between the platform's own free basic services and paid value-added services and the perceived value of the video viewers to the platform content;no matter in which market competition situation,for the platform,only when value-added services can provide viewers with a more significant value experience than free services,it is better to choose the value-added mode;on the contrary,when the value-added service can't make the viewer feel the obvious value difference,the platform chooses the advertising model to have more profit.The research framework of the short video platform proposed in the monopoly market and the duopoly market is based on the development status of the short video platform in the actual background and the practical problems faced by relevant industry decision makers.In addition,the research in this paper enriches the information product operation mode and optimal pricing problem,as well as the research content of the short video platform pricing strategy,which can provide some ideas and methods for further research work.
Keywords/Search Tags:Short Video Platform, Pricing Strategies, Advertising Mode, Value-added Model
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