Title
Internet Service Tiering as a Market Segmentation Strategy
Abstract
We consider Internet broadband access as an elastic service whose value varies across segments of the user population. We show that introducing multiple tiers of service can be an effective market segmentation strategy that can lead to an increase of profits for the ISP. We also develop an efficient dynamic programming algorithm for the problem of determining optimally both the service tiers and their prices. Our approach provides new insights into the selection and pricing of Internet tiered services, and our results indicate that exponential tiering structures adopted by ISPs are far from optimal.
Year
DOI
Venue
2009
10.1109/GLOCOM.2009.5425887
GLOBECOM
Keywords
Field
DocType
effective market segmentation strategy,internet broadband access,internet tiered service,multiple tier,elastic service,service tier,market segmentation strategy,internet service,internet service tiering,internet,efficient dynamic programming algorithm,new insight,dynamic programming algorithm,exponential tiering,dynamic programming,user population,exponential tiering structure,service model,pricing,market segmentation,cost function,bandwidth allocation,computer network,bandwidth
Dynamic programming,Population,Tiered service,Market segmentation,Computer science,Computer network,Broadband,Bandwidth (signal processing),The Internet,Profit (economics)
Conference
ISSN
ISBN
Citations 
1930-529X
978-1-4244-4148-8
1
PageRank 
References 
Authors
0.36
3
2
Name
Order
Citations
PageRank
Qian Lv110.36
George N. Rouskas299088.88