TY - JOUR
T1 - Cross-Side Network Effects, Brand Equity, and Consumer Loyalty
T2 - Evidence from Mobile Payment Market
AU - Gong, Xiang
AU - CHEUNG, Christy M K
AU - Zhang, Kem Z.K.
AU - Chen, Chongyang
AU - Lee, Matthew K.O.
N1 - Funding Information:
The work described in this study was supported by grants from the National Natural Science Foundation of China (Nos. 71671174 and 71801166) and the Hong Kong Research Grant Council (Nos. 7004777 and 9042584).
PY - 2020/7/2
Y1 - 2020/7/2
N2 - Given the intense competition in the mobile payment market, researchers have been exploring strategies to maintain brand equity and consumer loyalty. By considering the characteristics of mobile payment, we incorporate cross-side network effects (CNEs) and the complementarity actions (i.e., platform-application, application-service, and service-strategy complementarities) to examine mobile payment brand equity and consumer loyalty. We test the research model using survey data collected from Alipay Wallet (n = 647) and WeChat Wallet (n = 327). The results show that platform-application, application-service, and service-strategy complementarities positively influence brand equity, which in turn leads to consumer loyalty. In addition, service-strategy complementarity reinforces the impacts of platform-application and application-service complementarities on brand equity. This study contributes to the literature by introducing CNEs in the mobile payment context and examining the relations between CNEs, brand equity, and consumer loyalty. Furthermore, the results provide practitioners with insights into consumer loyalty in the mobile payment context.
AB - Given the intense competition in the mobile payment market, researchers have been exploring strategies to maintain brand equity and consumer loyalty. By considering the characteristics of mobile payment, we incorporate cross-side network effects (CNEs) and the complementarity actions (i.e., platform-application, application-service, and service-strategy complementarities) to examine mobile payment brand equity and consumer loyalty. We test the research model using survey data collected from Alipay Wallet (n = 647) and WeChat Wallet (n = 327). The results show that platform-application, application-service, and service-strategy complementarities positively influence brand equity, which in turn leads to consumer loyalty. In addition, service-strategy complementarity reinforces the impacts of platform-application and application-service complementarities on brand equity. This study contributes to the literature by introducing CNEs in the mobile payment context and examining the relations between CNEs, brand equity, and consumer loyalty. Furthermore, the results provide practitioners with insights into consumer loyalty in the mobile payment context.
KW - brand equity
KW - consumer loyalty
KW - cross-side network effects
KW - Mobile payment
KW - network effects
KW - perceived complementarity
KW - two-sided markets
UR - http://www.scopus.com/inward/record.url?scp=85088954036&partnerID=8YFLogxK
U2 - 10.1080/10864415.2020.1767427
DO - 10.1080/10864415.2020.1767427
M3 - Journal article
AN - SCOPUS:85088954036
SN - 1086-4415
VL - 24
SP - 279
EP - 304
JO - International Journal of Electronic Commerce
JF - International Journal of Electronic Commerce
IS - 3
ER -