Abstract

The proliferation of free on-demand music streaming services (e.g., Spotify) is offsetting the traditional revenue sources (e.g., purchases of downloads or CDs) of the music industry. In order to increase revenue and sustain business, the music industry is directing its efforts toward increasing paid subscriptions by converting free listeners into paying subscribers. However, most companies are struggling with these attempts because they lack a clear understanding of the psychological and social purchase motivations of consumers. This study compares and contrasts the two different phases of Millennial generation consumer behaviors: the alluring phase and the hooking phase. A survey was conducted with 73 paying users and 163 non-paying users of on-demand music streaming services. The authors' data analysis shows two separate behavioral dynamics seen between these groups of users. While social influence and attitude are primary drivers for the non-paying users in the alluring phase, facilitating conditions and communication control capacity play critical roles for the paying users in the hooking phase. These results imply that the music industry should apply different approaches to prospective and current customers of music streaming services.

Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.