Estimating the demand for voice over IP services: A contingent valuation approach

Abstract

The demand for Voice-over-IP (VoIP) services is receiving increasing attention as an alternative to traditional switched access based telephone services. This paper focuses on the underlying determinants of demand to assess the potential for VoIP. The authors utilise a model of demand based on a consumer's willingness to pay and provide estimates of the elasticity of demand for VoIP. The intent of the paper is to add to the discussion of VoIP and to stimulate analysis. © 2006 Physica-Verlag Heidelberg.