| dc.description.abstract | Recently, the progress of network infrastructure and the popularity of the social media are fueling the prosperity of the video live streaming industry. Anyone in need of marketing can pay video live streaming platforms to advertise, or directly cooperate with streamers to broadcast product information during their live show, which is the substitute of the former dubbed as “advertorial”. Obviously, video live streaming platform needs the effort made by streamers, but they are vying for the ad interest at the same time, which can be recognized as a co-opetition relationship between them. Besides, most video live streaming platforms provide subscription-based services, allowing audiences to pay for removing ads. As an incentive, many platforms will share their subscription revenues with streamers. However, they also provide their own built-in reward systems to gain additional revenue by charging donors a commission fee, which will encroach a streamer’s deserved benefit.
The goal of this research is to analyze the various conflicts of interest mentioned above. First, we examine how the competition between advertisement and advertorial affects the decision-making of platforms and advertisers. Second, should the platform share subscription revenue with streamers but charge a commission fee when audiences use the built-in reward system to cheer their loved streamers up? Thus, we have established game-theoretic models to discuss whether sharing subscription revenue and charging a commission fee during the donation process will benefit the platform. We found the streamer’s revenue will decline if the platform only collects of the donation income. However, if both strategies are used at the same time, the donation loss caused by the reward system will be automatically compensated through a higher share of subscription revenue. | en_US |