Estimation of Monetary Value of Information on the Internet

Document Type : Research Paper


1 Associate Prof., Faculty of Management, University of Tehran, Tehran, Iran

2 Ph.D. Candidate, Marketing Management, Faculty of Management, University of Tehran, Tehran, Iran


This research estimates the monetary value of internet information for each type of information and services by using Hedonic pricing method. The statistic social of this research is high-speed internet users in Tehran. Based on the results, high speed internet users of Tehran consider a positive monetary value for some information types in the internet, in descendent respect, such as film downloading, gaming, News, social network, and music. Also, the results indicates that people with higher education level and people who are subscribed to high speed internet earlier than other people consider more monetary value to use the internet. For generalizing the result of this research, it’s suggested to do this research at other cities of Iran. At last, some applicable suggestions made.


Main Subjects

Altmann, J., Rupp, B. & Varaiya, P. (2001). Effects of pricing on Internet user behavior. Netnomics, 3 (1): 67-84.
Apavaloaie, E. I. (2012). Marketing research regarding the Internet usage among the population of the Mures County. Procedia Economics and Finance, 3: 928 – 934.
Biczók, G., Kardos, S. & Trinh, T. A. (2010). Pricing Internet access in the presence of user loyalty. Netnomics, 11 (2): 119-147.
Gerrard, P., Cunningham, J. B. & Devlin, J. F. (2006). Why consumers are not using internet banking: a qualitative study. Journal of Services Marketing, 20 (3): 160-168.
Gholipour, A., Rasouli, H. (2011). Effect of IT on Organizational Behavior: Effect of e-mail on Professors` Evaluation of Students. Journal of Information Technology Management, 3 (7):115-132.(in Persian)
Grewal, D., Roggeveen, A. L., Compeau, L. D. & Levy, M. (2011). Evolving pricing practices: the role of new business models. Journal of Product & Brand Management, 20 (7): 510-513.
Lancaster, K. J. (1966). A New Approach to Consumer Theory. Journal of Political Economy, 74 (2): 132- 157.
Lee, H. S., Park, K. & Kim, S. Y. (2003). Estimation of information value on the Internet: application of hedonic price model. Electronic Commerce Research and Applications, 2 (1): 73-80.
Masoumi Lari, S.A., Hoseini, M. (2013). Web 2.0 Business Models Taxonomy and its Relation with Web 2.0 Features. Journal of Information Technology Management, 3 (7):169-190.(in Persian)
Mo, J., Kim, W. & Park, H. (2013). Internet Service Pricing: Flat or Volume? Journal of Network and Systems Management, 21 (2): 298-325.
Momeni, M., Fa'al Ghayumi, A. (2010). Statistical Analyses by SPSS Software, 3rd Edition. Tehran: Moalef Publication.
Nazari, M. & Tabatabaie Kalejahi, S. (2011). Comparing Laptop price estimators in the Iran Market: Hedonic Regression and Artificial Neural Network. Conference paper. Gottenheim, Germany.
PiranNejad, A., Gholipour, A., Pourezzat, A. & Hanafizadeh, P. (2013). Exploring the Effect of ICTs Penetration on Social Development. Journal of Information Technology Management, 5 (3):1-24.(in Persian)
Raeesi, I. & Farzaneh, M. (2011). A Comprehensive Evaluation of the Impact of Most Applied Services on News Websites Quality. Journal of Information Technology Management, 3 (7):37-54.(in Persian)
Rosen, S. (1974). Hedonic Prices and Implicit Market:Product Differentiation in Pure Competition. Journal of Political Economy, 82: 34-55.
Simsim, M. T. (2011). Internet usage and user preferences in Saudi Arabia. Journal of King Saud University – Engineering Sciences, 23 (2): 101-107.
Sohrabi-Haghighat, M. (2011). New Media and Social-political Change in Iran. Cyber Orient, 5(1). Available in: articleId=6187.
Steiger, D. M. (1997). Using Non-Traditional Approaches to Statistical Classification and Regression in DSS Model Analysis. Annals of Operations Research, 74 (0): 269-276.
Sundararajan, A. (2004, December). Nonlinear Pricing of Information Goods. Management Science, 50 (12): 1660–1673.
Taha, D. S. (2013). The influence of social networks in visiting, planning and living in cities. Alexplore: A pilot project in Alexandria. Alexandria Engineering Journal, 52 (3): 479-488.
Viswanathan, S. & Anandalingam, G. (2005). Pricing strategies for information goods. Sadhana, 30 (2-3): 257–274.
Zhang, Z., Ye, Q. & Law, R. (2011). Determinants of hotel room price: An exploration of travelers’ hierarchy of accommodation needs. International Journal of Contemporary Hospitality Management, 23 (7): 972-981.