To download or not to download the app: app incentives and behavioural outcomes

This study investigates the effects of immediate and delayed financial incentives on the probability of users downloading a mobile shopping application (app) and the moderating effects of app confidence and app usage. The study uses an online experiment with 264 participants. Findings suggest that both immediate and delayed financial incentives (discount; double point rewards) result in a higher probability of app download compared to non-financial incentives (i.e. personalised experience). However, there is no significant difference between the immediate and delayed rewards. The study also found that the effects of the financial incentives are reduced for higher-app-usage respondents, and perceived app confidence has a negative effect on the probability of downloading the app, which challenges the existing understanding of self-efficacy effects on app adoption. The study advances conceptual understanding of users’ motivation in technology adoption and informs strategic marketing decisions in targeting users with different motivation needs.