Factors affecting intention to subscribe svod in vietnam

VIETNAMxNATIONALxUNIVERSITY, HANOI VIETNAMxJAPANxUNIVERSITY - LE PHU KHANH FACTORS AFFECTING INTENTION TO SUBSCRIBE TO SUBSCRIPTION VIDEO ON DEMAND SERVICES INxVIETNAM MASTER’S THESISx Hanoi, 2020 VIETNAMxNATIONALxUNIVERSITY, HANOI VIETNAMxJAPANxUNIVERSITY - LE PHU KHANH FACTORS AFFECTING INTENTION TO SUBSCRIBE TO SUBSCRIPTION VIDEO ON DEMAND SERVICES INxVIETNAM MAJOR:xBUSINESS ADMINSTRATION CODE:x8340101.01 RESEARCHxSUPERVISORS: Prof Dr MOTONARI TANABU Dr TRAN HUY PHUONG Hanoi, 2020 ACKNOWLEDGMENT First of all, I would like to give my thanks to Prof.Dr Montonari Tanabu and Doctor Tran Huy Phuong for helping and give me a lot of valuable advice during the time I was conducting this master thesis Second, I would like to thank Prof Matsui, Hanh sensei, Hino sensei, Tuan sensei for giving me comments to improve my thesis on internal defense on 20th May Moreover, I would like to thank the reviewers, including Prof Matsui, Prof.Morita, Hanh sensei Tuan sensei, Lien sensei for giving me comments on final defense on 24th June In addition, I would like to give many thanks to my family, who has supported me and motivated me a lot in the time I got difficult in doing the thesis Finally, I would like to give many thanks to my friends, the participants who have supported me to complete the survey Table of Content ACKNOWLEDGMENT LIST OF TABLES LIST OF FIGURES LIST OF ABBREVIATION CHAPTER 1: INTRODUCTION 1.1 Research Background 1.2 Research Objective 1.3 Research Question 1.3 Research Subjective and Research Scope 1.4 Research Contribution CHAPTER 2: LITERATURE REVIEW AND HYPOTHESIS DEVELOPMENT 2.1 Review of related definition and previous research 2.1.1 Definition of OTT platform 2.1.2 Definition of Streaming 2.1.3 Definition of Video on demand (VOD) 2.1.4 Definition of Subscription Video on demand (SVOD) 2.1.5 Related research & research gap 2.2 Review of the relevant theoretical model of technology adoption: 14 2.2.1 Theory of reasoned action (TRA) 14 2.2.2 Theory of planned behavior (TPB) 15 2.2.3 Technology acceptance model (TAM) 15 2.2.4 Unified theory of acceptance and use of technology (UTAUT) 16 2.2.5 Reason why the author choosing UTUAT2 as theoretical framework 18 2.3 Hypothesis development and conceptual model 18 2.3.1 Performance Expectancy 19 2.3.2 Effort Expectancy 20 2.3.3 Social Influences 21 2.3.4 Hedonic Motivation 21 2.3.5 Price Value 22 2.3.6 Facilitating condition 23 2.3.7 Consumer Innovativeness 23 2.3.8 Media exposure 24 2.4 Research conceptual model 27 CHAPTER 3: METHODOLOGY 28 3.1 Research process 28 3.2 Sampling and data collection 29 3.3 Sample Population 29 3.4 Variable and Measuring Instrument 29 3.5 Analysis Method 32 3.5.1 Descriptive analysis 32 3.5.2 Inferential analysis 33 CHAPTER 4: ANALYSIS RESULTS 36 4.1 Data Description 36 4.2 Reliability analysis 38 4.2 Explanatory Factor Analysis 38 4.3.1 Explanatory Analysis for independent variable 38 4.3.2 Explanatory Analysis for dependent variable 40 4.3.3 Explanatory Analysis for moderation variable 40 4.3 Regression Analysis 41 4.4 Moderation Analysis 42 4.5 Hypothesis tested results 44 CHAPTER 5: DISCUSSION AND CONCLUSION 46 5.1 Finding and Discussion 46 5.2 Contribution of the thesis 50 5.3 Implications for SVOD service providers 50 5.4 Limitation and future research direction 52 REFERENCES 54 APPENDIX 1: Questionnaire 65 APPENDIX 2: Cronbach’s alpha analysis 75 APPENDIX 3: Explanatory Analysis 80 APPENDIX 4: Pearson Correlation Analysis 84 APPENDIX 5: Regression analysis 85 APPENDIX 6: Moderation Analysis 86 LIST OF TABLES Table 2.1: Construct's definition 19 Table 3.1: Measurement Scale of thesis 30 Table 4.1: Cronbach’s alpha for all variable 38 Table 4.2: EFA Results for Independent variable 39 Table 4.3: EFA Results for Dependent Variable 40 Table 4.4: EFA Results for Moderator 40 Table 4.5: Results of Pearson Analysis 41 Table 4.6: Results of regression analysis 41 Table 4.7: Moderation analysis by Hayes 43 i LIST OF FIGURES Figure 2.1: Results study of Cerbeci et al (2019) Figure 2.2: Results study of Ramírez-Corre et al (2018) 10 Figure 2.3: Research results of Sardanelli et al (2019) 11 Figure 2.4: Theory of reasoned action (Fishbein & Ajzen, 1975) 14 Figure 2.5: Theory of planned behavior (Ajzen, 1991) 15 Figure 2.6: Technology acceptance model (Davis, 1989) 16 Figure 2.7: Unified theory of acceptance and use of technology UTAUT (Venkatesh et al., 2003) 17 Figure 2.8: Unified theory of acceptance and use of technology UTAUT2 (Venkatesh et al., 2012) 18 Figure 3.1: Research Model Proposed by Author 27 Figure 4.1: Age group of respondences 27 Figure 4.2: Descriptive data of current users 37 Figure 4.3: Descriptive data of SVOD references channel 37 ii LIST OF ABBREVIATION OTT Over-the-top SVOD Subscription Video on demand TAM Technology Acceptance Model TPB Theory of Planned Behavior TRA Theory of Reasoned Action UTAUT Unified Theory of acceptance and use of technology UTAUT2 Extended Unified Theory of acceptance and use of technology VOD Video on demand iii CHAPTER 1: INTRODUCTION 1.1 Research Background Today, thanks to the advancement of technology, people have changed the way they consume media (Shim & Kim, 2018) The development of Broadband Internet paved the way for the multimedia industry to shift from traditional Cable TV to OTT Streaming (Over-the-top Streaming) OTT is superior to the traditional Cable TV because of characteristics: mobility and internet (Kim et al., 2016) Thus, OTT streaming has become the technology preferred by consumers to entertain (Shim et al., 2018) OTT streaming is well-known for its service called Subscription video on demand (SVOD) During 2010, the SVOD market was still in the early stage, with the domination of Netflix However, in 2019, there were a lot of big players joining the SVOD industry, such as Apple, Disney, and WarnerMedia, which pave a new era for the SVOD market known as the name “Streaming Wars” (Ben, 2019) The predict of Pwc Global Entertainment and Media Outlook report showed that the size of this market will be doubling up to $72.8 billion Other results showed that in 2018, traditional cable TV firms had less than million users, while SVOD services revenue increased from 30 billion USD by 2016 to 68 billion USD by 2018 (Yen, 2019) Despite the success of SVOD in the world, the number of people using this service is still limited in Vietnam According to the figure of Authority of Broadcasting and Electronic Information in 2020, the number of users of the whole SVOD market in Vietnam was 10 million users, which accounts for only 10% market penetration (VTV, 2020) Even the big firm in this industry like Netflix, which has 130 million subscribers in the world (Louis, 2018), is having a low number of users in Vietnam According to ictnew.vn, the number of Netflix subscribers in Vietnam was only 300.000 users, which accounts for just only about 0.31% of the total Vietnamese population (Minh, 2019) Despite the low adoption Degree of Group F: Facilitating Condition agree 18 I have enough resourced to use SVOD (Internet/ smart TV / card credit / online payment method) 19 I have enough knowledge to use SVOD 5 20 SVOD compatible with other technology I used (Smartphone/ Smart TV / laptop) 21 I can get help from other if I’m having trouble using SVOD Degree of Group G: Consumer Innovativeness agree 22 IfxIxheardxaboutxaxnewxinformationxtechnology, Ixwouldxlook for ways to experiment with it 23 Amongxmyxpeers, Ixamxusuallyxthexfirstxtoxtry out new information technology 24 In general, I like to try out new information technology 5 Degree of Group H: Subscription Intention agree 25 I intend to subscribe SVOD in future 26 I predict I would subscribe SVOD in future 27 I plan to subscribe SVOD in future PART C : MEDIA OPTION Please chose your opinion regarding this opinion: Never Rarely Sometime Frequently Very frequently 73 Degree of Group K: Media Exposure Duringxthexpastx30xdaysxwhenxyouxwatchxTV, howxoftenxdo you see advertisement for SVOD? Frequency 5 5 Duringxthexpastx30xdays, howxoftenxdoxyou see advertisement for SVOD in the e-newspapers or emagazines? Duringxthexpastx30 days, whenxyouxaccessxto the social media, how often you see advertisement for SVOD? 74 APPENDIX 2: Cronbach’s alpha analysis Performance Expectancy Effort Expectancy 75 Social Influence Hedonic Motivation 76 Facilitating Condition Price Value 77 Consumer Innovativeness Behavioral Intention 78 Media Exposure 79 APPENDIX 3: Explanatory Analysis EFA for Independent Variable KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy Bartlett's Test of Sphericity 789 Approx Chi-Square 2809.456 df 276 Sig .000 Total Variance Explained Extraction Sums of Squared Rotation Sums of Squared Loadings Loadings Initial Eigenvalues Compon % of Cumulativ Variance e% Total % of Cumulativ Variance e% Total % of Cumulativ Variance e% ent Total 5.925 24.689 24.689 5.925 24.689 24.689 3.176 13.235 13.235 2.840 11.832 36.520 2.840 11.832 36.520 2.616 10.899 24.134 2.273 9.470 45.990 2.273 9.470 45.990 2.550 10.623 34.757 2.019 8.413 54.403 2.019 8.413 54.403 2.417 10.069 44.827 1.787 7.447 61.851 1.787 7.447 61.851 2.409 10.038 54.865 1.489 6.203 68.054 1.489 6.203 68.054 2.321 9.669 64.534 1.301 5.421 73.475 1.301 5.421 73.475 2.146 8.941 73.475 768 3.200 76.675 728 3.032 79.707 10 573 2.386 82.093 11 541 2.255 84.348 12 499 2.081 86.429 13 434 1.808 88.237 14 396 1.650 89.887 15 367 1.530 91.417 16 363 1.511 92.927 17 333 1.388 94.315 18 303 1.263 95.579 19 263 1.098 96.676 20 236 985 97.661 21 205 853 98.514 80 22 183 764 99.278 23 098 408 99.686 24 075 314 100.000 Extraction Method: Principal Component Analysis Rotated Component Matrix a Component PE4 879 PE2 872 PE3 858 PE1 822 EE3 844 EE1 794 EE2 754 EE4 731 PV3 888 PV2 854 PV1 847 CI3 878 CI1 867 CI2 827 SI2 864 SI3 859 SI1 855 FC1 810 FC3 780 FC4 770 FC2 645 HM2 821 HM1 788 HM3 783 81 Extraction Method: Principal Component Analysis Rotation Method: Varimax with Kaiser Normalization a Rotation converged in iterations EFA for Dependent Variable KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy Bartlett's Test of Sphericity 694 Approx Chi-Square 182.770 df Sig .000 Total Variance Explained Initial Eigenvalues Component Total % of Variance Extraction Sums of Squared Loadings Cumulative % Total 2.099 69.953 69.953 516 17.197 87.151 385 12.849 100.000 2.099 % of Variance 69.953 Cumulative % 69.953 Extraction Method: Principal Component Analysis Component Matrix a Component BI1 865 BI2 835 BI3 808 Extraction Method: Principal Component Analysis a components extracted EFA for Moderator KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy Bartlett's Test of Sphericity Approx Chi-Square df Sig .708 187.969 000 82 Total Variance Explained Initial Eigenvalues Component Total % of Variance Extraction Sums of Squared Loadings Cumulative % 2.123 70.769 70.769 461 15.357 86.126 416 13.874 100.000 Total 2.123 % of Variance 70.769 Cumulative % 70.769 Extraction Method: Principal Component Analysis Component Matrix a Component ME3 852 ME2 836 ME1 835 Extraction Method: Principal Component Analysis a components extracted 83 APPENDIX 4: Pearson Correlation Analysis 84 APPENDIX 5: Regression analysis b Model Summary Model R 729 R Square a Adjusted R Std Error of the Square Estimate 531 515 Durbin-Watson 36605 1.866 a Predictors: (Constant), Facilitating_Condition, Social_Influence, Effort_Expectancy, Consumer_Innovative, Performance_Expectancy, Hedonic_Motivation, Price_Value b Dependent Variable: Behaviour_Intention a ANOVA Model Sum of Squares df Mean Square Regression 30.968 4.424 Residual 27.335 204 134 Total 58.303 211 F Sig 33.017 000 b a Dependent Variable: Behaviour_Intention b Predictors: (Constant), Facilitating_Condition, Social_Influence, Effort_Expectancy, Consumer_Innovative, Performance_Expectancy, Hedonic_Motivation, Price_Value Coefficients a Unstandardized Standardized Collinearity Coefficients Coefficients Statistics Toleranc Model B (Constant) Std Error 1.292 303 Effort_Expectancy 060 049 Social_Influence 166 Price_Value Hedonic_Motivation Beta t Sig e VIF 4.263 000 063 1.229 220 862 1.161 033 267 5.049 000 822 1.217 161 030 305 5.437 000 730 1.370 181 058 174 3.128 002 740 1.351 098 047 113 2.086 038 786 1.273 Consumer_Innovative 122 036 183 3.378 001 781 1.280 Facilitating_Condition 007 046 008 162 871 983 1.017 Performance_Expecta ncy a Dependent Variable: Behaviour_Intention 85 APPENDIX 6: Moderation Analysis Performance Expectancy Hedonic Motivation Social Influence 86 Price Value Consumer Innovativeness 87 ... advertisement for SVOD? Behavioral Intention BI1 I intend to subscribe SVOD in future BI2 I predict I would subscribe to SVOD in Venkatesh et al (2003) future BI3 I plan to subscribe to SVOD in future... subscription intention of SVOD in Vietnam? 1.4 Research Subjective and Research Scope - Research Subjective The subject of the research will be ? ?Factors affecting intention to subscribe to SVOD of Vietnamese... potential factor to explain the intention to subscribe to SVOD in Vietnam In previous research, some scholar has developed and applied to support the influence of the user’s innovativeness in a different