<p>As people grow more concerned about data privacy, they have become more hesitant to commit to long-term relationships with digital platforms. However, we know little about how these concerns affect their responses to everyday pricing options. Across seven experiments (four preregistered), we show that heightened privacy concern increases preference for subscriptions over lifetime access because it reduces temporal commitment to service providers. This effect weakens when subscriptions require longer commitment. These findings uncover a novel relational consequence of privacy concern, expanding the understanding of privacy spillover effects and offering actionable insights for firms navigating pricing strategy in an increasingly privacy-sensitive marketplace.</p>

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Monthly plans over lifetime access: how privacy concerns shape subscription preference

  • Yunqing Chen,
  • Xueming Yu,
  • Yinuo Xie,
  • Zhongtian Huang,
  • Hanyu Xie,
  • Huankai Lou

摘要

As people grow more concerned about data privacy, they have become more hesitant to commit to long-term relationships with digital platforms. However, we know little about how these concerns affect their responses to everyday pricing options. Across seven experiments (four preregistered), we show that heightened privacy concern increases preference for subscriptions over lifetime access because it reduces temporal commitment to service providers. This effect weakens when subscriptions require longer commitment. These findings uncover a novel relational consequence of privacy concern, expanding the understanding of privacy spillover effects and offering actionable insights for firms navigating pricing strategy in an increasingly privacy-sensitive marketplace.