Streaming Services and Media Consumption

• Main Authors: Hosseini, Seyedsiavash, Karmestål, Victor
• Format: Others
• Language: English
• Published: Umeå universitet, Företagsekonomi 2021
• Subjects: Consumer behavior; Technology Acceptance Model; Uses and Gratification Theory; Netflix; streaming; television; Business Administration; Företagsekonomi
• Online Access: http://urn.kb.se/resolve?urn=urn:nbn:se:umu:diva-185155

With the rapid pace of technological development, the way we consume media has changed drastically. Not too long ago, the very idea of never watching TV in the sense of broadcasted TV channels was absurd. Nowadays more and more people spend most if not all their media consumption time on streaming services like Netflix and Viaplay. We conducted a study on the reasons behind this change in media consumption, to find out why more and more people choose to spend their days watching Netflix instead of TV6 like they used to. We chose to perform our study through the lens of two different consumer behavior models: The Technology Acceptance Model (TAM) and the Uses and Gratification Model (UGT). With the concepts of perceived usefulness and perceived ease of use from TAM, and information seeking, affinity and accessibility from UGT. A quantitative study was conducted with 72 respondents. Our choice of method was a questionnaire which we designed to gather data on the respondents’ thoughts towards streaming services and towards the different behavior models. The survey, which was web-based, was distributed on different Facebook groups to reach potential respondents. The data gathered was then analyzed using Cronbach’s alpha and linear regression. From the results, we could gather that perceived usefulness was the most important factor of TAM, and the largest explanation behind a consumer’s usage of streaming services. Information seeking, affinity and accessibility were the largest contributing factors in the UGT model, although our results showed that UGT was not as significant as TAM in usage of streaming services. We were able to conclude that streaming services are an innovation that offers usefulness to the respondents that broadcast TV cannot compete with. We also found that TV broadcasts have a potential niche audience which they can reach with the right priorities. There were some aspects of information seeking which our respondents felt streaming services lacked, meaning if broadcast TV capitalizes on this type of informative content that streaming services lack, they can hopefully maintain a significant enough audience.