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Netflix in Indonesia: Influential Factors on Customer Engagement among Millennials’ Subscribers

Z. HIDAYAT|Annisa AUDITYA
한국유통과학회 (Korea Distribution Science Association)|2021.01|유통과학연구 (Journal of Distribution Science)|제19권 제1호|pp. 89-103

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참고문헌

키워드

MarketingConsumer BehaviorMedia StreamingCustomer EngagementDistribution Science.

초록

Purpose: This study is to explore how Netflix Customers' Engagement was influenced by Instagram Content, Perceived Price, Exclusivity, and Motivation in the context of Media Streaming and the role of Willingness to Subscribe as the mediating variable. This study underlines millennial's willingness to engage and the form of engagement. Research design, data, and methodology: The data for this research were collected from 100 Netflix's Millennials subscribers who follow @netflixid Instagram. All the results were analyzed and verified using SEM-PLS. Results: Research findings indicated that Willingness to Subscribe, Exclusivity, Motivation, and Instagram Content positively influenced Customer Engagement among Netflix millennials' subscribers. In contrast, Perceived Price had a negative effect on Customer Engagement. Conclusions: As a consequence, the exclusivity that Netflix offers to its audience by a recommendation algorithm has been proven to increase the engagement. This study also disclosed that the most definite form of positive engagement shown by Netflix millennials' subscribers is a behavioral aspect, where they positively recommend Netflix (word of mouth). The study findings can be a reference for the media streaming industry in their efforts to strengthen the engagement with their customers, especially the millennials, and provide knowledge about consumer behavior in digital technology.

Abstract

Purpose: This study is to explore how Netflix Customers' Engagement was influenced by Instagram Content, Perceived Price, Exclusivity, and Motivation in the context of Media Streaming and the role of Willingness to Subscribe as the mediating variable. This study underlines millennial's willingness to engage and the form of engagement. Research design, data, and methodology: The data for this research were collected from 100 Netflix's Millennials subscribers who follow @netflixid Instagram. All the results were analyzed and verified using SEM-PLS. Results: Research findings indicated that Willingness to Subscribe, Exclusivity, Motivation, and Instagram Content positively influenced Customer Engagement among Netflix millennials' subscribers. In contrast, Perceived Price had a negative effect on Customer Engagement. Conclusions: As a consequence, the exclusivity that Netflix offers to its audience by a recommendation algorithm has been proven to increase the engagement. This study also disclosed that the most definite form of positive engagement shown by Netflix millennials' subscribers is a behavioral aspect, where they positively recommend Netflix (word of mouth). The study findings can be a reference for the media streaming industry in their efforts to strengthen the engagement with their customers, especially the millennials, and provide knowledge about consumer behavior in digital technology.

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