Experience Effect in the Impact of Free Trial Promotions
研究了免费样品促销对不同使用水平用户的影响，发现初始使用水平是兑换率和后续使用变化的关键决定因素，高使用率用户兑换率更高，但使用变化在特定百分位后不再显著。
Although the use of free samples is extensive across industries, the effects of free samples across individuals with varying levels of usage have yet to be systematically examined. The models discussed in the literature consider targeting only the current nonusers of a product. In this research, we examine the question of targeting the current users both analytically and empirically for an experience good. Our analytical discussions highlight the reasons why some current users may be effective targets for free-sample promotions. We then conduct an empirical analysis using a data set on pre- and post-free-sample promotion mobile data usage provided by a telecom firm. The empirical findings are consistent with our analytical results. Specifically, we find the initial usage level to be a key determinant of both the redemption rate of a free-sample offer and the subsequent change in usage owing to free-sample redemption. In our context, the redemption rate increased from the low-percentile users to the high-percentile users. We also find that the change in usage was (weakly) monotonically increasing up to the [Formula: see text] percentile of usage distribution. Beyond the [Formula: see text] percentile, the effect was generally not significant. We discuss the managerial and policy implications of our findings. This paper was accepted by Juanjuan Zhang, marketing.