Reward strategies on competing content platforms

Publication Type

Conference Proceeding Article

Publication Date

7-2025

Abstract

Many content platforms offer monetary rewards to high-value creators with significant audience engagement. Recently, some platforms have extended these reward strategies to incentivize low-value creators. This study develops a game-theoretic model to analyze how extended reward strategies influence creators’ platform choices and whether competing platforms should offer rewards to low-value creators. We find that under different reward strategies, low-value creators will adjust their participation decisions, which can either benefit or harm existing high-value creators’ profits depending on platform differentiation, content substitutability, and the value gap between creators. Additionally, platforms are more likely to extend rewards if low-value creators generate high returns but are less inclined to do so if their contribution is minimal. When platform differentiation is low and low-value creators generate moderate returns, a differentiated reward strategy is preferred.

Discipline

Artificial Intelligence and Robotics

Research Areas

Intelligent Systems and Optimization

Publication

Proceedings of the 29th Pacific Asia Conference on Information Systems (PACIS 2025), Kuala Lumpur, Malaysia, July 5-9

City or Country

Kuala Lumpur, Malaysia

Additional URL

https://aisel.aisnet.org/pacis2025/dig_plat/di/4/

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