Abstract
PurposeWorldwide In-app Purchase (IAP) revenues reached almost US$37 billion in 2017 and doubled that in 2020. Although the revenue from IAPs exceeds those from paid apps, only 5% of total app users make any IAPs. This paper investigates why some users will not make IAPs and develop a novel concept of users' Perceived Aggressive Monetization of IAPs as an alternative framework to explain IAP behavior.Design/methodology/approachGiven the newness of IAPs, this study uses qualitative research to understand the phenomenon and develop a model to explain the decision to spend on IAPs. In total, this study collected 4,092 unique user-generated comments from app user review sites and social media webpages where users discuss in-app purchasing.FindingsThe analysis reveals recurring themes that explain user unwillingness to make in-app purchases, such as conflicting meanings of free-to-play, perceived unfairness and aggressive monetization of IAP by app publishers, and self-control issues. Subsequent user interviews support the themes and suggest that IAP spending might be more impulsive.Originality/valueThe paper develops a new concept of perceived aggressive monetization. Additionally, it proposes a novel theoretical framework that future researchers can use to understand why some mobile game users are unwilling to pay for IAPs.
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