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1 – 3 of 3Felix Friederich, Ramon Palau-Saumell, Jorge Matute and Jan-Hinrich Meyer
Digital natives constitute a substantial part of consumers nowadays. Yet, a theoretical understanding of the factors driving their engagement with new-age digital services is…
Abstract
Purpose
Digital natives constitute a substantial part of consumers nowadays. Yet, a theoretical understanding of the factors driving their engagement with new-age digital services is lacking. This study therefore aims to examine digital natives’ continuance usage of the proliferating over-the-top (OTT) services. To address these objectives, the study uses a comprehensive model that primarily integrates perceived value, cognitive absorption and customer brand engagement theories.
Design/methodology/approach
Data were collected using an online personal questionnaire targeting active digital natives OTT service users using the online software tool SurveyMonkey. A sample of 1,415 digital natives was analysed using structural equation modelling.
Findings
The findings indicated that continuance usage is predicted by all three theories. The results illustrate that cognitive absorption and customer brand engagement are the most critical in enhancing continuance usage. Gender effects on digital natives’ value perceptions were found. The model explains 57% of the variance in users’ continuance usage.
Originality/value
The study adds valuable contributions to the existing literature that are relevant to digital natives’ engagement with new-age digital services. The proposed integrated model and the role of gender in value formations provide managers with novel insights when designing effective strategies to increase continuance usage for the largest consuming generation.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/OIR-03-2022-0133
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Avil Saldanha and Rekha Aranha
A secondary research method was used to collect data for this case. The authors have made use of newspaper articles and published articles written by journalists and experts…
Abstract
Research methodology
A secondary research method was used to collect data for this case. The authors have made use of newspaper articles and published articles written by journalists and experts, which are available in the public domain.
Case overview/synopsis
This case discusses the hurdles faced by Netflix in India. Netflix experienced rapid growth ever since its entry into the Indian over-the-top (OTT) sector. The aggressive pricing strategies by OTT competitors put Netflix in a defensive position in India. Netflix introduced the low-priced mobile-only plan to attract price-sensitive Indian consumers. However, this was not sufficient. Netflix was forced to reduce the price of all its plans in December 2021. The dilemma faced by Reed Hastings (Founder and Co-CEO, Netflix) was whether the revised price was low enough to hold on to existing subscribers and attract new subscribers in India. Netflix was caught between the rock and the hard place in its pursuit to achieve its target of achieving 100 million subscribers from India versus continuing its skimming-pricing strategy. This case highlights the compound challenges of low household income in India and high-income inequality resulting in a lower available market for multinational service providers such as Netflix. The pricing plans and features of OTT competitors in India have also been discussed in sufficient depth to facilitate analysis and classroom discussion by the target audience.
Complexity academic level
Undergraduate students studying marketing management and basic marketing courses in business management and commerce streams can use this case. This case can also be used for marketing specialization courses at the undergraduate level.
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Carlos Diaz Ruiz and Angela Gracia B. Cruz
This study conceptualizes a form of luxury consumption in which luxury brands collaborate with unconventional non-luxury partners. These unconventional luxury brand collaborations…
Abstract
Purpose
This study conceptualizes a form of luxury consumption in which luxury brands collaborate with unconventional non-luxury partners. These unconventional luxury brand collaborations are growing in popularity among Chinese luxury consumers of the post-1990s generation. Luxury brands are exploring new branding strategies due to the growing commercial importance of Chinese luxury consumers.
Design/methodology/approach
An in-depth qualitative study informs this paper. Interviews with young adult luxury consumers self-identifying as Chinese reveal a growing interest for luxury brands that collaborate with odd partners in social media and online culture.
Findings
Unconventional collaborations between luxury brands and non-luxury partners catalyze shifting meanings of luxury through the following juxtapositions: ephemeral instead of timeless, trendy rather than inaccessible, and playful in contrast with traditional. First, young Chinese consumers construct luxury meanings through ephemerality, like digital possessions, social media fame and fleeting experiences. Second, luxury meanings emerge in trendiness among social media influencers and online culture rather than in the seemingly inaccessible taste regimes of the upper class. Third, younger consumers appreciate fun, rebellious and over-the-top aesthetics in luxury brands.
Originality/value
The study contributes to the nascent field of unconventional luxury by conceptualizing how unusual, odd and unexpected collaborations constitute new forms of luxury consumption. The shifting meanings of luxury consumption that this study conceptualizes raise new opportunities and challenges for luxury brands. One of such is the release of limited collections with non-luxury partners seemingly at the opposite spectrum of design, image and values. Moreover, the study adds nuance to the understanding of luxury consumption among young Chinese consumers.
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