Impact of Charging Strategy on e-Loyalty: Failure Case of a Korean Portal Site

Abstract

ABC, a Korean Web-service provider, tried to make its users pay to use its service but gave up after one year. This study studies the effects of the strategic changes on user's loyalty via the ABC case why the survey participants had kept using the charging service and still used the site after one year. This study proves that a user's age and frequency of use of the site in a week should be considered as significantly important factors when the web portal sites plan the strategic changes. This study result can be an important reference to design Internet business models.