Repurchase decision for music products in Taiwan: physical versus online media

Pages302-316
Date12 June 2017
Published date12 June 2017
DOIhttps://doi.org/10.1108/DPRG-09-2016-0044
AuthorChienHsing Wu,Yu-Hui Tao,Yu-Min Lin
Subject MatterInformation & knowledge management,Information management & governance,Information policy
Repurchase decision for music products
in Taiwan: physical versus online media
ChienHsing Wu, Yu-Hui Tao and Yu-Min Lin
ChienHsing Wu and
Yu-Hui Tao are Professor
both at the Department of
Information Management,
National University of
Kaohsiung, Nanzih
District, Kaohsiung,
Taiwan. Yu-Min Lin is
based at the National
University of Kaohsiung,
Kaohsiung, Taiwan.
Abstract
Purpose Consumer behaviors in internet are changing over time. The purpose of this paper is to
propose and examine a research model that describes the repurchase behavior for the legal and paid
music products of physical genre and online genre. The consumption value theory is used to develop
the research model. Comparison of physical genre with online genre is presented. Implications and
suggestions are addressed.
Design/methodology/approach The research model is examined empirically. The research
targeted music product consumers who had purchasing experience in the past one year. The research
results are obtained, and the findings are revealed on the basis of 728 valid music product consumers.
Findings The functional, emotional and epistemic value are the significant driving factors, though it
shows a limited distinction for the two types. In comparing of the concepts of designed functional value,
physical music consumers tend to have a stronger enthusiasm in music consumption. Social value and
conditional value are not the predicators of repurchase satisfaction, implying that the music
consumption is self-oriented for any normal amusement. The epistemic value shows significant on all
levels of significance for the physical type, whereas insignificant if a0.01 for the type of online.
Originality/value The research model is applied for the two contrariety product types, and to make a
comparison, trying to understand the reasons why music fans are still willing to spend money on music
products and what factors make them choose between product genres. After fluctuation and alternation
of the music industry within this decade, this research provides a reference and correlated results for the
future studies for the related studies, especially for the prosperous physical parallel imports items and
online music.
Keywords Consumption value, Music consumption, Online music, Physical music
Paper type Research paper
1. Background
In the age of the prolific development of information and communication technology (ICT),
the common use of mobile devices such as smartphones or tablets and high-speed internet
with cloud media make compact discs seem a type of old-fashioned data storage media.
The International Federation of Phonographic Industry (IFPI, 2014) recently reported that
the industry’s digital revenues increased by 6.9 per cent in 2014 to US$6.85bn, which
reached 46 per cent of the physical format sales. According to the Recording Industry
Foundation in Taiwan (RIT) (2014), the total revenue for copyrighted music sales was
around TW$1.78bn (or US$55.14m), of which the physical type was 55.42 per cent and the
online type was 44.58 per cent. These numbers account for approximately 87.94 per cent
of the sales in 2010, in which the physical type decreased to 55.6 per cent, whereas the
online type increased to 318.87 per cent of the sales in 2010. Apparently, in four years, the
market of the digital type of music products increased rapidly, and their sales will very
possibly be the majority in the music market in Taiwan.
As the physical records market reduced, most of the recent studies with various topics on
the Taiwanese market focus mainly on the online music domain, but many of which focus
on free online music file downloading, whereas limited studies concentrated on legal and
Received 26 September 2016
Revised 2 April 2017
Accepted 7 April 2017
PAGE 302 DIGITAL POLICY, REGULATION AND GOVERNANCE VOL. 19 NO. 4, 2017, pp. 302-316, © Emerald Publishing Limited, ISSN 2398-5038 DOI 10.1108/DPRG-09-2016-0044

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