Thai Millennials Purchase Behavior Towards Online Tv Streaming Services: Iflix, Netflix, and Viu

THAI MILLENNIALS PURCHASE BEHAVIOR TOWARDS ONLINE TV STREAMING SERVICES: IFLIX, NETFLIX, AND VIU

MISS ONPIMON CHAVALITCHEEVIN

AN INDEPENDENT STUDY SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF SCIENCE PROGRAM IN MARKETING (INTERNATIONAL PROGRAM) FACULTY OF COMMERCE AND ACCOUNTANCY THAMMASAT UNIVERSITY ACADEMIC YEAR 2018 COPYRIGHT OF THAMMASAT UNIVERSITY

Ref. code: 25616002040407UOH THAI MILLENNIALS PURCHASE BEHAVIOR TOWARDS ONLINE TV STREAMING SERVICES: IFLIX, NETFLIX, AND VIU

MISS ONPIMON CHAVALITCHEEVIN

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Independent Study Title THAI MILLENNIALS PURCHASEBEHAVIOR TOWARDS ONLINE TV STREAMING SERVICES: IFLIX, NETFLIX, AND VIU Author MISS ONPIMON CHAVALITCHEEVIN Degree Master of Science Program in Marketing (International Program) Major Field/Faculty/University Faculty of Commerce and Accountancy Thammasat University Independent Study Advisor Associate Professor James E. Nelson, Ph.D. Academic Years 2018

ABSTRACT

The online TV streaming service (OTSS) has been growing continuously in Thailand due to the increase of Internet speed and technological advances that enable new digital lifestyles (Kaveevivitchai, 2018). Big streaming players such as Iflix, Netflix and Viu have been launched in the region since 2015 onward, introducing a new era of video streaming, and traditional TV has been in decline. Similar trends have also reported worldwide. This major shift in media consumption habits has raised important questions about Thai consumers today, particularly about the critical factors that could influence their behavior to adapt to the global trend. Given this, this research is intended to understand the current trend of Thai millennial consumers toward using online TV streaming services. The objectives of this research are 1) to identify the profile and purchasing behavior of legal Thai millennial consumers of OTSS’s, and 2) to identify important factors that influence Thai millennials’ purchasing decision of OTSS’s. In order to gain an industry overview and consumer insights, exploratory and descriptive research was conducted. The target respondents are millennials aged between 18-34 years old living in Bangkok and metropolitan areas, who have watched movies or TV shows online via Netflix, Iflix and Viu within the past three months. Based on the exploratory study, availability of content, convenience and legal issues were concluded as the three most important factors that influence the use OTSS’s. These

Ref. code: 25616002040407UOH (2) variables were then tested further in descriptive research, which was completed with 309 valid respondents. As a result, there are three segments of OTSS users: 1) the Streaming Victim, the enthusiastic, entertainment-oriented trend follower who values a variety of content and is willing to pay more to increase user experience; 2) the Streamer Fan, the offline streamer who prefers to watch classic or older content using an OTSS as a way to support their favorite actors; and 3) the Streaming Initiator, the trendsetter who loves to be the first to watch the latest content and share about their experience and interest. Research findings also show that the most important attributes for OTSS users when choosing a service provider are 1) the original soundtrack, 2) a resume function, and 3) the freshness of content. Additionally, the majority of OTSS users are medium to heavy users who stream content from three to more than four times a week and tend to share their OTSS account with friends, family, partner, and even strangers.

Keywords: Online TV streaming service, Thai millennial TV streamer, Netflix, Iflix, Viu, TV streaming usage behavior, Online movies and series, TV streaming devices.

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ACKNOWLEDGEMENTS

I would like to express my very great appreciation to everyone who has contributed to the work presented in this independent study. A special mention goes to my beloved advisor, Associate Professor Dr. James E. Nelson. My journey under his supervision has been an amazing experience and I thank him wholeheartedly not only for his enormous academic support but also for giving words of encouragement and motivation. Similarly, a profound gratitude goes to Mr. Pongsakorn Tikapichart and Ms. Jinjutha Hematulin, who have helped me greatly in the data analysis process. I am really thankful for those long hours we have spent at Starbucks. I would also like to thank all the millennial online TV streamers who have taken their time completing in-depth interviews and my survey questionnaire. Lastly, but by no means the least, I thank my family for their endless love and support in during the difficult times as I completed this study. Miss Onpimon Chavalitcheevin

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TABLE OF CONTENTS

Page ABSTRACT (1)

ACKNOWLEDGEMENTS (3)

LIST OF TABLES (7)

LIST OF FIGURES (8)

LIST OF ABBREVIATIONS (8)

CHAPTER 1 INTRODUCTION 1

1.1 Background of the Study 1 1.2 Research Objective 2

CHAPTER 2 REVIEW OF LITERATURE 4

2.1 Definition of OTSS and Trends 4 2.2 Market Expansion of Leading OTSS’s in Southeast Asia 5 2.3 OTSS Providers in Thailand 6 2.4 OTSS’s Key Success Factors in International Markets 7 2.5 Reason for Signing Up 9

CHAPTER 3 RESEARCH METHODOLOGY 11

3.1 Research methodology 11 3.1.1 Secondary Data Research 11 3.1.2 Primary Data Research 11

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3.2 Sampling Plan 12 3.3 Data Collection 13 3.4 Data Analysis Plan 13 3.5 Theoretical Framework 14

CHAPTER 4 RESULTS AND DISCUSSION 15

4.1 Key Finding from Primary Method – Qualitative Approach 15 4.2 Key Finding from Primary Method – Quantitative Approach 16 4.2.1 General demographics’ profile of respondents 16 4.2.2 Factor Analysis 17 4.2.3 Cluster analysis and segmentation 19 4.2.4 Segmentation demographics’ profile 20 4.2.5 Segmentation behaviors’ profile 24 4.2.6 Factors that influence Thai millennials’ purchasing decision 25 of OTSS’s

CHAPTER 5 CONCLUSIONS AND RECOMMENDATIONS 27

5.1 Research Summary 27 5.1.1 OTSS consumer’s profile 27 5.1.2 Important factors that influence OTSS user purchasing decision 28 5.2 Recommendations 29 5.2 Limitations of the Study 30

REFERENCES 31

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APPENDICES

APPENDIX A – Target respondent selection criteria 33 APPENDIX B – Questions for an in-depth interview 34 APPENDIX C – Result of in-depth interviews 35 APPENDIX D – Questionnaire 39 APPENDIX E – Respondents’ demographic profile 47 APPENDIX F – Data summary 49

BIOGRAPHY 56

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LIST OF TABLES

Tables Page 2.1 Comparison of the basic starting package between 7 different OTSS providers in Thailand 3.2 In-depth interview sampling plan 13 3.3 Questionnaire sampling plan. 13 4.4 The summary of user attitudes towards the use of 17 online TV streaming services (n=309) 4.5 The result of factor analysis on the respondents’ 18 psychographic toward using an OTSS (n=309) 4.6 The result of K-means cluster analysis (n=309) 19 4.7 Number of respondents in each cluster (n=309) 19 4.8 Respondents’ demographic profile (n=309) 22 4.9 The result of One-way ANOVA – Identify different between 23 segments using demographic factors (n=309)

4.10 The summary of post hoc Tests table – Identify different 23 between segments using demographic factors (n=309)

4.11 Respondents’ behavior profile (n=309) 24 4.12 Summary of mean and standard deviation for tangible and 25 factors that influences each segment (n=309)

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LIST OF FIGURES

Figures Page 2.1 OTSS’s paying behavior (Fluent,2017) 4 2.2 Southeast Asia Internet Economy Market Size (Tan, 2018) 5 2.3 Netflix outdoor advertising and social media campaigns (NetflixTH, 2019) 8 2.4 Main reasons for signing up for OTSS (Fluent, 2017) 9 3.5 Research design sequence 11 3.6 The research key variables 14

LIST OF ABBREVIATIONS

Symbols/Abbreviations Terms

OTSS Online TV streaming service User People who have used at least one of the OTSS: Iflix, Netflix, and Viu. Paid User People who have used and paid to at least one of the OTSS: Iflix, Netflix, and Viu. Non-paid user People who have not paid but used at least one of the OTSS: Iflix, Netflix, and Viu.

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CHAPTER 1 INTRODUCTION

1.1 Background of the Study

According to (Bhojwani, 2017), Asia Pacific is becoming the world’s largest market for Subscription Video on Demand (SVOD), with a forecast compounded annual growth rate (CAGR) of 21% between 2017 and 2022, generating US$46 billion. In Thailand, the revenue in the SVOD sector amounts to US$19 million in 2018 and is expected to show an annual growth rate (CAGR 2018-2022) of 27.5%, resulting in the market volume of US$51 million by 2022 with the average revenue per user around US$16 (Video Streaming (SVOD), 2018). The increase in internet speed and technological advances that enable new digital lifestyles have become the major driving forces of the rise of online TV streaming services in Thailand (Kaveevivitchai, 2018). Big streaming players such as Iflix, Netflix, and Viu have been introduced in the region since 2015. The number of paid subscribers in Southeast Asia is expected to grow at a 12% CAGR, from 2.2 million in 2017 to 6.2 million. Thailand accounts for 15% of those total paid users (Boulay, 2018). Online statistics, market research and business intelligence portal estimate that by 2020 there will be more than 546,000 Netflix subscribers in Thailand (statista, 2017). Meanwhile, Iflix had gained more than 1 million subscribers by the end of 2017 (Chucherd, 2017). A growing competition would benefit the consumers in the region in many ways. Not only would good quality entertainment be more accessible than ever, but consumers would also be supporting local productions and talents as many more companies look to produce localized content (Ariffin, 2018). Consumer behavior has also begun to shift. More people have stopped paying for more costly pay television subscriptions (Kaveevivitchai, 2018). A similar trend has been reported worldwide: Spectrum, Comcast and AT&T, the three-major pay TV service providers in the U.S. reported a decline in cable subscriber number by 3.4% in 2017, a faster decline than in 2015 and 2016 according to Morris (2018). In the U.K., the total number of subscriptions to the three most popular OTSS providers – Netflix, Amazon Prime, and Sky’s Now TV– reached 15.4 million in Q1 2018, overtaking the

Ref. code: 25616002040407UOH 2 number of pay TV subscription, at 15.1 million, for the first time (Ofcom’s Media Nations report, 2018). This major shift in media consumption habits has raised important questions about Thai consumers today: what are the critical factors that could influence their behavior to adapt to the global trend. The subject of this study is a contemporary one in applied marketing within the area of technology issues and opportunities. The study focuses on Thai millennials aged between 18-34 years old living in Bangkok and metropolitan areas and have watched movies or TV shows online within the past three months. Due to time constraints, the researcher has limited the respondents to Iflix, Netflix, and Viu users. The findings and implications will be beneficial to businesses in the online TV streaming market, media production and advertising that want to gain better insight and develop more effective marketing strategies to suit their target customers.

1.2 Research Objective

The research objectives of this study are addressed to marketers, advertisers and content creators, particularly in the online TV streaming business and traditional TV channels, who want to identify the right target audience and their purchasing behavior. The study will help them understand the key success factors that influence Thai millennials to make a purchasing decision, which will allow them to effectively plan a strategy and create content to attract this group of consumers. The research objectives are identified as follows: 1. To identify Thai millennial consumers’ profile and purchasing behavior of legal OTSS’s. a. Demographic factors e.g. gender, education level, occupation, income, marital status, and number of digital devices for TV consumption. b. Psychographic factors e.g. lifestyle, motivation, perception, beliefs, and attitudes. c. Behavioral factors e.g. average monthly spending for a service subscription, consumption pattern of OTSS’s, and media consumption habits.

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2. To identify important factors that influence Thai millennials’ purchasing decision of OTSS’s. a. Tangible factors e.g. account share-ability, content availability, download for offline viewing, free trial, payment channels, price, multiple device viewing, and subtitles. b. Intangible factors e.g. advertising, brand, promotions, and service quality.

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CHAPTER 2 REVIEW OF LITERATURE

2.1 Definition of OTSS and Trends

According to Rouse (2013), OTSS is an on-demand online entertainment source for TV shows, movies, and other streaming media. In order to stream the content, users have to pay the service provider, often on a subscription basis. The content is streamed on a cloud-based internet network and content availability and price may vary from one region to another. It has become increasingly convenient for users as OTSS providers offer support on multiple devices such as smart TVs, computers, tablets, and smartphones (Rouse, 2013). Gone are the days when consumers would go to video or DVD rental stores to get the latest movie releases. A new era of video streaming is on the rise and traditional TV the decline as streaming services allow subscribers to have greater control than ever over what they watch, when they watch, and how they watch (Nielsen, 2016). Fluent’s Streaming Services 2017 survey of 2,267 U.S. consumers aged 18 and above shows that, overall, video streaming service usage in the U.S. has exceeded cable subscriptions. Among millennials aged between 18-34 years old, more

Figure 2.1: OTSS’s paying behavior (Fluent,2017)

Ref. code: 25616002040407UOH 5 than three out of four have access to some form of streaming service. However, more than 60% of young viewers take the advantage of the ability to share passwords with friends and family, as shown in Figure 2.1: OTSS’s paying behavior (Fluent,2017). Nevertheless, Netflix CEO Reed Hastings has revealed that household account sharing is doable and oftentimes that leads to new customers. When teens leave for college or start earning, they tend to subscribe to the service on their own (Nieva, 2016).

2.2 Market Expansion of Leading OTSS’s in Southeast Asia

As shown in Figure 2.2: Southeast Asia Internet Economy Market Size (Tan, 2018), Southeast Asia’s booming digital economy has attracted many streaming service providers to make their presence here. The region’s internet economy is among the fastest growing in the world and is expected to exceed US$240 billion by 2025 (Tan, 2018). Moreover, internet penetration rates have continued to grow, with 58% of the population being on the internet, and the number will only grow in the future as internet access and mobile devices become more affordable (Southeast Asia digital, social and mobile 2018, 2018).

Figure 2.2: Southeast Asia Internet Economy Market Size (Tan, 2018) The growth of middle class is another reason streaming companies want to invest in this region. Since their business model relies heavily on a monthly

Ref. code: 25616002040407UOH 6 subscription, the strong socio-economic middle class would give streaming companies a sustained revenue stream. Plus, they are the most open with the latest technology and trends, and hence the biggest consumers of television shows and movies (Ariffin, 2018).

2.3 OTSS Providers in Thailand

In 2019, there are three key service providers in Thailand. Each provider has a different mixture of service, policy, and rate of payment as shown in Table 2.1. The Malaysian video streaming company Iflix has a large footprint in the Southeast Asian region and was introduced to the Thai market in 2015. The service offers a monthly plan of as low as 100 baht per month. With their new strategy to penetrate the market starting 2018, Iflix now offers users to watch selected content for free instead of a 30- days free trial (Suvichai, 2018). According to Boulay (2018), Netflix has the highest market share in Southeast Asia, followed by Iflix, and Viu. An American media-service provider first launched in Thailand in 2016, Netflix offers three streaming plans: basic, standard and premium priced monthly at 280 baht, 350 baht, and 420 baht, respectively, and the highest in the market. Users can share up to four screens with the premium package while, with the basic package, they can watch on one screen at a time. In term of content, Netflix is known for its original series such as House of Cards, Stranger Things, and Orange is the New black, which command far higher viewership figures than any other OTSS providers (Husain, 2018). According to Ariffin (2018), another streaming service rapidly on the rise is Viu, initially launched in Thailand in 2017. Operated by Hong Kong-based company PCCW International, Viu is set apart from other streaming service providers with a “freemium” model. Users can enjoy the basic services for free, while more premium features require an affordable subscription of 119 baht per month. Viu provides users with extensive Asian content, having exclusive first rights to many Korean dramas, music videos and variety shows (Cunningham, 2017). In addition, all three OTSS providers choose to partner with the local telecommunication operators to reach broader audiences and facilitate billing since credit card penetration rate remains low in the region (Boulay, 2018).

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Table 2.1: Comparison of the basic starting package between different OTSS providers in Thailand

OTSS providers Iflix Netflix Viu Streaming Plan VIP BASIC VIP 280 THB/ Price 100 THB/ Month 119 THB/ Month Month Selected free Free trial period 30 Days 7 Days contents Partnership with telecommunication DTAC AIS AIS operator Device Desktop, Tablet, Mobile application, and Smart TV Yes, No, Account sharing policy Yes, sharing up to 4 watch on 1 (When signing in at the sharing up to 2 screens screen same time) screens (3 Mobile/ 1 at a time Desktop) 10 titles/device 100 Download (on the mobile app Unlimited titles/device only) Depends on Period to watch offline 7 days individual 7 days licenses Western and Asian Western and Content Asian content content Asian content

2.4 OTSS’s Key Success Factors in International Markets

To compete in the international landscape, many OTSS providers are trying to create more local language content in non-English-speaking markets to drive demand for their service (Deloitte, 2018). The market leader like Netflix has invested in local

Ref. code: 25616002040407UOH 8 language productions in multiple countries, including Mexico, India, Brazil, and Germany. According to Meza (2017), half of Netflix subscribers are outside of the U.S., especially in Europe, where they planned to spend up to $1 billion on original content and co-produced content. As more local language content is developed, OTSS services will broaden their appeal; fluency in English or willingness to consume subtitles content might no longer be necessary (Deloitte, 2018).

Figure 2.3: Netflix outdoor advertising and social media campaigns (NetflixTH, 2019)

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Despite having a wide selection of content adapted to the local market, localized marketing campaigns are also important to win over local competitors. Netflix has undeniably done a good job in the Thai market considering multiple successful campaigns as shown in Figure 2.3: Netflix outdoor advertising and social media campaigns (NetflixTH, 2019). The company uses creative and catchy Thai messages on outdoor screens and billboards and social media. Their brand awareness among urban Thai consumers are extremely high, referring to the number of followers on Facebook of 55 million, compared to that of Iflix (6 million) and Viu (1.6 million).

2.5 Reason for Signing Up.

Price is the main reason for signing up for an OTSS: 38% of millennials said a low monthly price was the top factor for subscribing according to Fluent (2017). Other reasons are the convenience of being able to stream content on any device (29%), having access to exclusive original content (18%) and “breadth of programming” (7%) as shown in Figure 2.4: Main reasons for signing up for OTSS (Fluent, 2017).

Figure 2.4: Main reasons for signing up for OTSS (Fluent, 2017)

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A summary of the literature review: (1) Research on OTSS’s in Thai millennials’ purchasing behavior is minimal; (2) Research on OTSS’s in other countries has not yet examined the characteristics of paid users and non-paid users, whether there is any significant relationship or difference between the two groups; (3) Available research on OTSS’s has not yet examined factors that influence Thai consumers to subscribe to OTSS’s. The proposed study will provide useful information that contributes to these three observations.

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CHAPTER 3 RESEARCH METHODOLOGY

3.1 Research methodology

In order to achieve the research objectives, the study was conducted using both exploratory and descriptive research. See below in Figure 3.5: Research design sequence.

Exploratory Descriptive Proposal Report Research Research

• Secondary data: Literature review • Primary data: Survey questionnaires • Primary data: In-depth interview

Figure 3.5: Research design sequence.

3.1.1 Secondary Data Research The secondary research was conducted by using literature reviews, to explore the industry overview, current trend, and the availability of OTSS providers in Thailand. Also, consumer’s perception, attitude and purchasing behavior toward OTSS in the global landscape. The information was obtained from various research studies by credible institutions, online journal, article, and website. 3.1.2 Primary Data Research In-depth Interview: In order to validate the finding from secondary research, six in-depth interviews were conducted on Oct 24, 26 and Dec 5, 6 2018. Three respondents are paid users, and the other three are non-paid users of OTSS see Appendix A: Target respondent selection criteria. The length of time to complete interview was 20 minute. The information provides by each respondent are collected and analyzed to find linkage between each other and use to gain better insight from consumers. The result of this research will be used to develop a hypothesis for further test in the descriptive research. See Appendix B: Questions for an in-depth interview. Survey questionnaire: The purpose of quantitative approach was to find

Ref. code: 25616002040407UOH 12 the consumer profile, purchasing behavior and factors that influence purchase decision. It was designed based on the finding of exploratory research consist of four parts of the main questionnaire which are, part one: OTSS consumption (behavior) consists of eight questions, part two: OTSS consumer psychographic (attitude, motivation, lifestyle) consists of 18 questions, part three: product attributes (tangible/intangible factors) consists of 19 questions and part four: personal information (demographic) consists of six questions. To measure frequency and fact, Part one and part four were conducted using multiple choices, while part two and part three were measure the degree of opinion using Likert and importance scales. There are total of 51 questions and took around 10 minutes to complete. The survey questionnaires were distributed through an online channel and has collected a total of 200 respondents in two weeks. The data is used to gain statistical evidence and help ensure the result from a qualitative part, after that the data were used to determine a recommendation later in the report. See Appendix D: Questionnaire.

3.2 Sampling Plan

Both qualitative and quantitative were based on non-probability technique, where the sample is gathered in a process that does not give all individuals in the population equal chance of being selected. Therefore, the sample may or may not represent the entire population accurately. Due to time constraints, the convenience sampling was used for an in-depth interview and questionnaires. The focus of this research was Thai millennials, age between 18-34 years old, living in Bangkok and metropolitan area who have watched movies or TV series online within the past three months. Millennials are chosen to be a target sample as the studies show that three out of four millennials have access to some form of streaming service (Fluent, 2017). To limit the scope of this study, the researcher chooses to focus on the users of Iflix, Netflix, and Viu, Thailand top OTSS providers. Two group of target respondents were found during the in-depth interview pilot test as there are, paid user and non-paid user. Therefore, these groups will be used as a selection criterion for an actual in-depth interview as shown in Appendix A: Target respondents selection criteria. The data gained from these groups will be used for further research to form a questionnaire.

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3.3 Data Collection

In-depth interview: Six participants were randomly selected and recruited via personal contact for an in-depth interview. All of them have to be qualified by passing the screening questions, to continue the interview. See Table 3.2: In-depth interview sampling plan.

Table 3.2: In-depth interview sampling plan.

Methodology Pilot study Sample size Detail

3 Paid users and 3 non-paid Qualitative 2 people 6 people users from each OTSS provider: Iflix, Netflix, and Viu.

Questionnaire: The researcher has collected 200 respondents from online channel, that was distribute through LINE messenger, websites and social media. e.g., Netflix lover Thailand, Iflix Thai club, Viu Thailand Facebook fan page, Pantip forum. See Table 3.3: Questionnaire sampling plan.

Table 3.3: Questionnaire sampling plan.

Methodology Pilot study Sample size Detail 100 people per target respondents (paid user and Qualitative 6 people 200 people non-paid user) with a total of 3 OTSS providers: Iflix, Netflix, and Viu.

3.4 Data Analysis Plan

Data analysis included both qualitative and quantitative analysis. The information gathered from the in-depth interview was processed to move from the qualitative data into some form of explanation, understanding, and interpretation of the respondent and situations that the researcher was investigating. All the findings

Ref. code: 25616002040407UOH 14 from the in-depth interview were used to form hypotheses for further quantitative research. For the quantitative part, the data were analyzed using the Statistical Package for the Social Sciences (SPSS). It was examined using factor analysis, cluster analysis, analysis of variances (ANOVA), correlations, comparing the results between each variable and other appropriate statistical analysis if required.

3.5 Theoretical Framework

In this study, the independent variable is set by using demographic and psychographic of OTSS user and assumed to have a direct effect on the intention to use the service, set as the dependent variable. The ultimate dependent variable is affected by several factors that may influence the user purchasing decision. See Figure 3.6: The research key variables.

Figure 3.6: The research key variables.

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CHAPTER 4 RESULTS AND DISCUSSION

4.1 Key Finding from Primary Method – Qualitative Approach

Six in-depth interviews were conducted during the completion of this proposal report to investigate factors that influence the user’s subscription decision and purchasing behavior. The respondents are one male and five females who live in Bangkok, aged between 26-34. One of them is a hotel owner; four work as middle to high-level officers in different industries and the other works as a tutor. All of them are currently subscribed to at least one of these legal OTSS’s, Iflix, Netflix and Viu, with Netflix being the most popular service as all respondents are using it. Important findings from the in-depth interviews are as follows: First, the most important criteria for both paid and non-paid users to choose an OTSS provider ranges from availability of content, convenience to legal terms. “I love that the streaming service is providing a variety of content,” said one Netflix paid user. “Most importantly, it can be downloaded to watch on the go on multiple devices.” Secondly, the researcher found that four of the respondents are subscribed to multiple streaming services because they want to have a broad selection of content because each service provides different content. Some respondents use these services as their primary source of entertainment to replace cable TV completely. "I use three services: Netflix, HBO Go (AIS Play) and Iflix,” said a respondent. “For Netflix and HBO Go, I subscribed because of their original series and movies. On Iflix, however, I watch whatever that are not on the other two services as a non-paid user." There are a few barriers that rule out paid subscription for non-paid users: Iflix and Viu non-paid users find no interest in upgrading to a higher plan because they think there is no significant difference in privileges between their current plan and a higher one. “I am happy with Viu ‘freemium’ plan since there is not much benefit I can get from switching to the premium package,” said one Viu non-paid user. A Netflix non-paid user is not paying for the service because she is sharing an account

Ref. code: 25616002040407UOH 16 with her family, and her uncle is paying for it. This, however, does not mean that they are not loyal to the service they are using; many non-paid users are heavy users who watch more than four times a week despite having other people pay for the fee. Finally, most of the respondents seem to be sharing their account with their acquaintances and sometimes strangers. It is interesting to find that many users are willing to go online and look for people to split the service fee with. “I do not mind sharing my account with strangers,” said a Netflix paid user. “It is not complicated at all. I can easily find a plan-sharing group on Netflix-related Facebook pages. We would set up a LINE group and appoint one person to sign up. After that we would just transfer the money to that person every month. See Appendix C: Results of in- depth interviews.

4.2 Key Finding from Primary Method – Quantitative Approach

4.2.1 General demographics’ profile of respondents An online questionnaire was distributed through surveymonkey.com and data were analyzed using Statistic Package for Social Sciences (SPSS). As a result, 309 respondents have passed the screening questions and completed the survey. There is a total of 171 paid users and 138 non-paid users. See appendix E: Respondents’ demographic profile. From 309 respondents, the majority of millennial OTSS users who age between 18-34 is female (60.50%), whereas 39.50% are male. 55.70% are single and 34.60% are in a relationship. The highest percentage of education level is undergraduate (66.7%), followed by postgraduate (25.60%). In terms of occupation, the highest response came from office workers (40.50%) and students (32.50%). Monthly income ranges between 15,001-30,000 Thai baht (37.70%) while the lowest response came from the >60,000baht income group (10.70%). All respondents are multiple OTSS users; Netflix (94.82%) is used by the majority of respondents, followed by Viu (25.57%) and Iflix (21.04%).

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4.2.2 Factor analysis A factor analysis was conducted from question number seven to measure the respondents’ psychographic toward using an OTSS (see Appendix F-1: Data summary of attitudes towards intention to use). Prior to running the factor analysis, a data summarization was conducted to see the trend of each variable using descriptive statistics showing mean, standard deviation and variance as shown in Table: 4.4. There are 19 variables and each variable is rated on a one-to-five scale. From the analysis, the researcher found that, in general, all respondents decide to use an OTSS because they can watch shows any time that is convenient for them. This has the highest average mean of 4.63. Meanwhile, using because of their friend ranks with the lowest average mean of 2.11.

Table 4.4: The summary of user attitudes towards the use of online TV streaming services (n=309)

Question 7: How much do you agree or disagree with the following statement regarding attitudes towards intension to use an online TV streaming services?

I love to support I read reviews I do not mind my favorite I use online TV I watch the show every time I am I like to start a conversation about the sharing my actors/actresses by streaming service that my friends are about to start show and movies when I am among my streaming account watching their because of my watching to be on watching friends. with other people. show from the friends. trend. something new. legal sources. Mean 3.78 3.37 4.17 2.11 2.77 3.27 Std. Deviation 1.28 1.28 0.98 1.26 1.27 1.23 Variance 1.64 1.64 0.96 1.59 1.60 1.50

I will look for the I do not mind I prefer to watch I use multiple TV shows and I do not like to miss watching old new movies and online TV movies on illegal the latest episode The contents available on the service movies and classic series when using streaming services websites, if I of my favorite that I use are enough for me shows on the my streaming to find what I want cannot find it on series. streaming service service to watch my streaming service Mean 3.93 3.84 4.28 3.03 3.35 3.04 Std. Deviation 1.27 1.20 0.89 1.45 1.46 1.16 Variance 1.60 1.44 0.79 2.12 2.13 1.36

I use stream I like to download I completely watch Beside online TV I went to the I am willing to I use TV streaming service because I the show offline to TV shows/movie streaming service I cinema less often spend more money service to practice can watch at a watch when I do online instead of also use music after I use online to avoid having an my second time that is not have good cable TV channel streaming TV streaming ad. languages. convenient for me. internet connection and cable satellite. application too service Mean 3.00 4.63 3.20 3.42 3.63 3.32 3.00 Std. Deviation 1.45 0.72 1.47 1.38 1.31 1.64 1.46 Variance 2.10 0.52 2.17 1.90 1.71 2.70 2.12

Following this, dimension reduction with promax rotation was used to reduce 19 variables into eight factors as shown in Table: 4.5 based on eigenvalues greater than one and accounted for 62.55% of total variances. For the ease of interpretation, factor loadings smaller than 0.50 are not displayed. All eight factors were labeled as 1) Trend setter 2) Trend follower 3) Enthusiast streamer 4) Values

Ref. code: 25616002040407UOH 18 variety 5) Willing to upgrade 6) See favorite actors 7) Entertainment-oriented, and 8) Offline streamer.

Table 4.5: The result of factor analysis on the respondents’ psychographic toward using an OTSS (n=309)

Factor 1 Factor 2 Factor 3 Factor 4 Factor 5 Factor 6 Factor 7 Factor 8 Enthusia Willing See Trend Trend Values entertainme Offline st to favorite setter followers Variety nt-oriented streamer streamer upgrade actors I like to start a conversation about the show and movies when I am 0.577 among my friends.

I do not like to miss the latest 0.792 episode of my favorite series.

I prefer to watch new movies and series when using my streaming 0.683 service

I do not mind sharing my streaming 0.732 account with other people.

I use online TV streaming service 0.716 because of my friends.

I watch the show that my friends 0.628 are watching to be on trend.

I completely watch TV shows/movie online instead of cable TV channel 0.777 and cable satellite.

I went to the cinema less often after 0.899 I use online TV streaming service

I use multiple online TV streaming 0.848 services to find what I want to watch

I will look for the TV shows and movies on illegal websites, if I 0.698 cannot find it on my streaming service

The contents available on the 0.682 service that I use are enough for me

I am willing to spend more money 0.745 to avoid having an ad.

I love to support my favorite actors/actresses by watching their 0.664 show from the legal sources. I do not mind watching old movies and classic shows on the streaming 0.788 service Beside online TV streaming service I also use music streaming 0.765 application too I like to download the show offline to watch when I do not have good 0.879 internet connection

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4.2.3 Cluster analysis and segmentation To determine the segmentation of respondents, a cluster analysis was conducted. Hierarchical clustering was used to identify an appropriate number of clusters by looking at the highest gap of coefficient value between each respondent. This is followed by using K-means clustering to group similar respondents into the same segments. Finally, three segments were classified as shown in Table: 4.6 and 4.7.

Table 4.6: The result of K-means cluster analysis (n=309) Initial Cluster Centers Cluster 1 2 3 Streamer Streaming Streaming Fans "Victim" Innitiator (n=102) (n=125) (n=82) Trend setter -2.31 1.41 1.99 Trend follower -0.68 2.47 -0.67 Enthusiast streaming -2.00 1.00 -2.00 Value variety -2.63 2.20 1.90 Willing to upgrade -1.15 1.88 -0.95 See favorite actor 1.31 0.72 -1.46 Entertainment-oriented 0.38 0.51 -3.13 Offline streamer 2.00 0.08 -2.26

Table 4.7: Number of respondents in each cluster (n=309)

Cluster by factors q8 Number of case in Frequency % each cluster 1 102 33.00 Cluster 2 125 40.50 3 82 26.50 Valid 309 Missing 0

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Segment 1: Streamer Fan (n=102, 33% of total respondents) This group of consumers is likely to stream classic movies and TV series. They do not mind watching old content because they are using OTSS’s as a way to support their favorite actors - by watching the shows on legal sources. Moreover, they are also offline viewers who download the shows to watch when there is no internet connection.

Segment 2: Streaming Victim (n=125, 40.50% of total respondents) The majority of the respondents falls into this segment. They are trend followers who are interested in streaming the content that are trending or that their friends are watching. A variety of content is preferred when using an OTSS; they are willing to do multiple searches on different OTSS’s or even on illegal websites to find what they want. However, they are quite satisfied with their current OTSS providers and do not mind upgrading the plan to increase user experience such as seeing no advertisements. In addition, this segment is likely to switch completely from cable TV and less likely to visit the cinema after using an OTSS. The name “Streaming Victim” were given to this group as there are an easy target group who likely to adopt in using the OTSS more than other groups.

Segment 3: Streaming Initiator (n=82, 26.50% of total respondents) Consumers classified into this segment are an early adopter that is interested in new content and always wants to be the first to watch a show. They do not miss the latest episode as they are a real trendsetter among their friends and love to start conversations about the shows and movies that they have watched. Therefore, fresh content plays an important role for this segment. 4.2.4 Segmentation demographics’ profile The target respondents were screened and recruited by the convenience sampling method. The study limits respondents to ages between 18-34 who are Netflix, Iflix and Viu users. Therefore, most of the segments have quite similar demographic characteristics (see Table: 4.8). However, there are key differences between the three segments as follows:

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1. Streamer fan: The biggest numbers of male and postgraduate education-level respondents are in this group, at 46.10% and 35.30%, respectively. The group also ranks the highest in terms of respondents with the above 60,000baht income level (16.70%); meanwhile, the majority who are office workers (43.10%) or self-employed respondents (8.80%) are well presented in this segment. 96.08% of streamer fans are using Netflix and 20.95% are using Iflix. Moreover, to stream content, they are using unique streaming devices that contribute to 18.63% of total streaming devices such as Google Chromecast, Apple TV and PlayStation.

2. Streaming Victim: This group has the highest percentages of government officers (8.80%) and freelancers (10.40%). 72% have undergraduate education. 36.30%, the biggest of income groups, earn less than 15,000 baht a month while 5.6%, the smallest of income groups, earn more than 60,000 baht a month. All respondents (100%) are using Netflix, followed by Viu (29%) and Iflix (24%). 84.80% are using their mobile phones as a streaming device, 51.2% of whom are iOS users whereas 40% are Android users.

3. Streaming Initiator: The biggest number of female respondents are in this group (68.30%) with the majority being single (54.90%). Occupations range equally from students (43.90%) to office workers (43.90%) with an income level of 15,001- 30,000 baht, followed by less than 15,000 baht per month (32.90%). This group has the lowest number of Android users of all groups (28%).

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Table 4.8: Respondents’ demographic profile (n=309)

1 2 3 Streamer Fans Streaming "Victim" Streaming Innitiator (n=102) (n=125) (n=82)

N % N % N % Female 55 53.90 76 60.80 56 68.30 Gender Male 47 46.10 49 39.20 26 31.70 Single 56 54.90 71 56.80 45 54.90 In relationship 37 36.30 39 31.20 31 37.80 Marital Status Married 7 6.90 7 5.60 4 4.90 Divorce 2 2.00 7 5.60 2 2.40 Widowed 0 0.00 1 0.80 0 0.00 Below undergradugate 5 4.90 15 12.00 4 4.90 Undergraduate 61 59.80 90 72.00 55 67.10 Education Level Postgraduate 36 35.30 20 16.00 23 28.00 Doctorate 0 0.00 0 0.00 0 0.00 Less than 15,000THB 28 27.50 45 36.30 27 32.90 15,001THB – 30,000THB 33 32.40 49 39.50 34 41.50 Income 30,001THB – 45,000THB 14 13.70 19 15.30 6 7.30 45,001THB – 60,000THB 10 9.80 4 3.20 6 7.30 Above 60,0000THB 17 16.70 7 5.60 9 11.00 Student 37 36.30 47 37.60 36 43.90 Office worker 44 43.10 45 36.00 36 43.90 Government officer 2 2.00 11 8.80 3 3.70 Occupation Self-employed 9 8.80 8 6.40 3 3.70 Freelancer 8 7.80 13 10.40 2 2.40 Homemaker 1 1.00 0 0.00 2 2.40 Unemployed 1 1.00 1 0.80 0 0.00 Internet TV 40 39.22 51 40.80 36 43.90 Mobile 84 82.35 106 84.80 65 79.27 Tablet 53 51.96 38 30.40 26 31.71 Streaming Desktop 26 25.49 49 39.20 28 34.15 devices Laptop 55 53.92 68 54.40 42 51.22 Google Chromecast 8 7.84 10 8.00 6 7.32 Apple TV 8 7.84 2 1.60 3 3.66 PlayStation 3 2.94 5 4.00 2 2.44 Mobile phone IOS 59 57.80 64 51.20 48 58.50 operating Android 34 33.30 50 40.00 23 28.00 system Both 9 8.80 11 8.80 11 13.40 Iflix 21 20.59 30 24.00 14 17.07 OTSS Netflix 98 96.08 125 100.00 70 85.37 providers Viu 18 17.65 37 29.60 24 29.27

To identify the differences between each segment using demographic factors, an ANOVA Table was created. As a result, streamer fans and streaming initiators are significantly different from streaming Victim’s in terms of education level (F=7.28, p- value=0.00). Moreover, streamer fans and streaming Victims are significantly different in terms of income (F=5.12, p-value=0.01) as well. (see Table: 4.9 and 4.10)

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Table 4.9: The result of One-way ANOVA – Identify different between segments using demographic factors (n=309)

Sum of Mean df F Sig. Squares Square Mobile phone Between Groups 0.25 2 0.12 0.27 0.76 operating Within Groups 138.32 306 0.45 system Total 138.57 308 Between Groups 4.23 2 2.12 7.28 0.00 Education Within Groups 88.98 306 0.29 Level Total 93.21 308 Between Groups 16.12 2 8.06 5.12 0.01 Income Within Groups 480.12 305 1.57 Total 496.25 307 Between Groups 6.82 2 3.41 2.04 0.13 Occupation Within Groups 511.82 306 1.67 Total 518.64 308 Between Groups 0.94 2 0.47 1.97 0.14 Gender Within Groups 72.89 306 0.24 Total 73.83 308 Between Groups 0.37 2 0.18 0.30 0.74 Marital Status Within Groups 188.78 306 0.62 Total 189.15 308

Table 4.10: The summary of post hoc Tests table – Identify different between segments using demographic factors (n=309)

Mean 95% Confidence Dependent Variable Difference Std. Error Sig. Lower Upper (I-J) Bound Bound 2 .26392 * .07 .00 .09 .43 1 3 .07221 .08 .64 -.12 .26 * Education 2 1 -.26392 .07 .00 -.43 -.09 Level 3 -.19171 * .08 .03 -.37 -.01 3 1 -.07221 .08 .64 -.26 .12 2 .19171 * .08 .03 .01 .37 1 2 .53463 * .17 .00 .14 .93 3 .33931 .19 .16 -.10 .78 * Income 2 1 -.53463 .17 .00 -.93 -.14 3 -.19532 .18 .52 -.62 .23 3 1 -.33931 .19 .16 -.78 .10 2 .19532 .18 .52 -.23 .62

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4.2.5 Segmentation behaviors’ profile According to Table 4.11, the majority of all segments are medium and heavy users who tend to use OTSS’s more than three times a week, the biggest group of heavy users being Streaming Initiators (51.20%). The situation that users are most urged to use OTSS’s is when they are at home, with 100% of both Streamer Fans and streaming initiators are fall into this behavior, followed by when they are traveling and while waiting for someone. The study also shows that Streamer Fans and Streaming Victims are more likely to share their OTSS account with friends (36.27, 53.60%) and family (32.35%, 25.60%), but the majority is paying for their own account (56.90%, 63.20%). Meanwhile Streaming Initiators have the highest percentage of not sharing an account (34.15%); however, 58.50% of their accounts are being paid by someone else – a friend, family member, partner, etc. In terms of spending, Streaming Victims spend the highest for an OTSS at 101-150 baht per month on average while 33% of streamer fans and 50% of streaming initiators are not spending at all.

Table 4.11: Respondents’ behavior profile (n=309)

1 2 3 N % N % N % How often do you stream movie and TV show online? Less than one time a week 11 10.80 4 3.20 7 8.50 One to two times a week 16 15.70 24 19.20 17 20.70 Frequency Three to four times a week 25 24.50 37 29.60 16 19.50 More than four times a week 50 49.00 60 48.00 42 51.20 In which situation that you will likely to use online TV streaming service? Commuting to work 15 14.71 22 17.60 14 17.07 Traveling 22 21.57 48 38.40 22 26.83 Usage During the gym 11 10.78 12 9.60 12 14.63 Waiting for someone 25 24.51 44 35.20 19 23.17 When at home 102 100.00 121 96.80 82 100.00 Who do you share your account with? Not sharing 13 4.21 12 9.60 28 34.15 My friends 37 36.27 67 53.60 29 35.37 Account My family 33 32.35 32 25.60 29 35.37 Sharing My partner 21 20.59 16 12.80 10 12.20 Strangers 8 7.84 22 17.60 1 1.22 Most of the time, who is paying for your account? Paying on my own 58 56.90 79 63.20 34 41.50 Paid Status Someone is paying for me 44 43.10 46 36.80 48 58.50 (friend, family, partners etc.) How much do you spend on online TV streaming service per month on average? 0 34 33.33 17 13.60 41 50.00 1-100 6 5.88 17 13.60 6 7.32 101-150 12 11.76 27 21.60 10 12.20 Spending 151-350 15 14.71 26 20.80 13 15.85 351-420 22 21.57 23 18.40 4 4.88 >420 13 12.75 15 12.00 8 9.76

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4.2.6 Factors that influence Thai millennials’ purchasing decision of OTSS’s. Upon finding the key segments of OTSS users, the researcher included in the questionnaire the measurement of important attributes that influence their purchasing decision. The questions can be grouped into tangible and intangible factors, asking respondents to rank on one-to-five scale (see Appendix F-2: Data summary of factors that influence purchasing decision of OTSS’s). General findings are shown in Table 4.12. The top three attributes for all respondents are as follows; Tangible factors: 1) “Original soundtrack” (mean=4.87, SD=0.72), 2) “Resume function” (mean=4.74, SD=0.53) and 3) “Freshness of content” (mean=4.64, SD=0.94). “Download for offline viewing” is the factor with the lowest mean (mean=3.65, SD=1.24). Intangible factors: 1) “Convenient payment channel” (mean=4.60, SD=1.02), 2) “User interface” (mean=4.54, SD=0.92) and 3) “Customer service support” (mean=4.39, SD=0.73). “Selected free content” is the factor with the lowest mean (mean=3.65, SD=1.24).

Table 4.12: Summary of mean and standard deviation for tangible and intangible factors that influences each segment (n=309)

2 3 1 Streaming Streaming Streamer Fans Overall Attributes "Victim" Innitiator F Sig. (n=102) (n=125) (n=82) Mean SD Mean SD Mean SD Mean SD Download to watch offline 3.62 1.33 4.08 1.15 3.26 1.23 3.65 1.24 11.48 0.00 Tangible Be able to stream on multiple 4.50 0.75 4.67 0.76 4.12 0.92 4.43 0.81 11.70 0.00 Factors Resume function 4.67 0.63 4.87 0.42 4.68 0.54 4.74 0.53 5.26 0.01 Classic/ old contents that are not 4.49 0.62 4.50 0.50 4.05 0.89 4.35 0.67 7.00 0.00 widely available Freshness of the contents 4.66 0.82 4.84 0.89 4.43 1.10 4.64 0.94 9.69 0.00 Original series/ exclusive content 3.94 1.15 4.33 0.91 3.65 1.08 3.97 1.05 11.03 0.00 Subtitle 4.39 0.95 4.84 0.80 4.61 0.77 4.61 0.84 8.30 0.00 Original Soundtrack 4.87 0.83 4.92 0.60 4.72 0.72 4.84 0.72 5.33 0.01 Monthly Subscriptionfees 4.26 1.15 4.37 0.46 4.16 0.77 4.26 0.79 1.40 0.25 Free trial period 4.02 0.41 4.31 0.33 4.28 0.59 4.20 0.44 2.31 0.10 Discount on subscription fees 4.30 0.87 4.36 0.80 4.37 1.02 4.34 0.90 0.12 0.89 Inangible Selected free contents 3.82 1.29 4.23 0.93 4.04 1.00 4.03 1.07 3.29 0.04 Factors Convenient payment channels 4.71 0.97 4.73 1.07 4.37 1.03 4.60 1.02 7.13 0.00 Customer service support 4.30 1.25 4.54 1.16 4.32 1.10 4.39 1.17 2.30 0.10 Content suggestion/ 4.35 0.59 4.49 0.64 4.07 0.96 4.30 0.73 6.02 0.00 User interface 4.58 0.98 4.65 0.79 4.40 0.99 4.54 0.92 3.00 0.05

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According to Table 12, there are four factors that are not as significant (Sig. >0.05) for the segments when making a purchase decisions. These are all intangible factors, namely “Monthly subscription fee”, “Free trial period”, “Discount on subscription fee” and “Customer service support”. The factors that have significant value (Sig. <0.05) will be taken into the next step of post-hoc test to identify the difference between the groups. For the first tangible factor “Original soundtrack” (F=5.33, p-value=0.01), the means of Streamer Fan (mean=4.87, SD=0.83) and Streaming Victim (mean=4.92, SD=0.60) are significantly different from that of Streaming Initiator (mean=4.72, SD=0.72) by 0.15, 0.20 and 0.47, respectively. Next, for “Resume function” (F=5.26, p-value=0.01), the means of Streamer Fan (mean=4.67, SD=0.63) and Streaming Initiator (mean=4.68, SD=0.54) are significantly different from Streaming Victim (mean=4.87, SD=0.42) by 0.20, 0.19 and 0.01. Lastly, for “Freshness of content” (F=9.69, p-value=0.00), the means of Streamer Fans] (mean=4.66, SD=0.82) and Streaming Victim (mean=4.84, SD=0.89) are significantly different from Streaming Initiator (mean=4.43, SD=1.10) by 0.23, 0.41 and 0.18, respectively. For the intangible factor “Convenient payment channel” (F=7.13, p- value=0.00), the means of Streamer Fan (mean=4.71, SD=0.97) and Streaming Victim (mean=4.73, SD=1.07) are significantly different from Streaming Initiator (mean=4.37, SD=1.03) by 0.34, 0.06 and 0.32, respectively. Meanwhile for “User interface” (F=3.00, p-value=0.05), the means of Streaming Victim (mean=4.65, SD=0.79) significantly differs from Streaming Initiator (mean=4.40, SD=0.99) by 0.25. Finally, for “Customer service support” (F=2.29, p-value=0.10), there is no significant difference between the three segments (see Appendix F-4 and F5: Result of one-way ANOVA and summary of post-hoc tests – tangible and intangible factors that influence purchasing behavior of three segments).

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CHAPTER 5 CONCLUSIONS AND RECOMMENDATIONS

5.1 Research Summary

5.1.1 OTSS consumer’s profile The first research objective, “To identify the profile of legal Thai millennial consumers of OTSS’s” can be attained by clustering the respondents into different segments: 1) Streamer Fan, 2) Streaming Victim and 3) Streaming Initiator and find the most suitable target consumers for OTSS providers. In order to fully understand their characteristics, each segment will be described using demographic, psychographic and behavior factors. Firstly, the three segments are sharing a very similar demographic profile: the majority of the group is single female students or office workers, uses a mobile phone with the iOS operating system as a streaming device; almost all are users of multiple OTSS’s, with Netflix as the top choice, followed by Viu and Iflix. However, in terms of income and education level, the groups differ: Streaming Victim has the highest number of respondents with below undergraduate and undergraduate education, and the lowest number of those with postgraduate education. By contrast, those grouped in Streamer Fan and Streaming Initiator have a higher education level. Moreover, Streaming Victims has the biggest number of respondents with a monthly income of less than 15,000 baht, and the smallest number of those earning more than 60,000 baht a month. Secondly, psychographic factors play an important role in differentiating the characteristics of each segment. The majority of the OTSS users are categorized in the Streaming Victim segment (n=125, 40.50%). These people are enthusiastic, entertainment-oriented trend followers who value variety and are willing to upgrade their viewing plan. The content that they are likely to consume are usually considered in fashion or has been watched by their friends. They also do not mind sharing their account with other people. Moreover, they are looking for a variety of content and willing to look on multiple platforms, including illegal sources to find what they want. Meanwhile, Streamer Fan (n=102, 33.00%), the second largest group,

Ref. code: 25616002040407UOH 28 places less value on variety and freshness of content but are more inclined to stream classic movies and TV shows. By streaming on an OTSS, they believe that they get to support their favorite actors via legal sources. More importantly, the group values the convenience of being able to download content to watch offline. Lastly, Streaming Initiator (n=82, 26.50%) is the trendsetter of the three. They love to share their interest about shows and movies that they have watched to their friends. New content is favored by this segment – they do not want to miss the latest episode of a show for the fear of missing out. However, when it comes to other sources of entertainment like music streaming, they are the one with the most negative on this variable compared to other segments. Based on the consumption and purchasing behavior of OTSS users, the researcher found that they share quite similar behavior patterns: users from all segments are medium to heavy users who stream movies and TV shows online more than four times a week and they do when they are at home. More than half of the Streaming Victims are sharing an OTSS account with their friends, followed by their family, and, compared to the other segments, hold the biggest percentage of people sharing an account with stranger. Meanwhile, the Streaming Initiator are less likely to share an account with other people, but they have a similar percentage of people sharing an account with friends and family to the first group. Despite a high tendency to share an account with other people, 60% of Streamer Fans and Streaming Victims are paying for the service while 59% of the Streaming Initiators consume their entertainment thanks to their friends, family or partner. In terms of spending, the majority of paid users are in the Streamer Fan and Streaming Victim segments while half of the Streaming Initiators are non-paid users. In addition, paid users are spending between 151-350 baht on OTSS subscription on average. 5.1.2 Important factors that influence OTSS user purchasing decision To conclude on the second objective, “To identify and important factors that influence Thai millennials’ purchasing decision of OTSS”, the key findings are summarized using top three tangible and intangible factors as follows. “Original soundtrack”, “Resume function” and “Freshness of content” are most important tangible factors for the majority of users when considering an OTSS. Meanwhile, “Convenient payment channel”, “User interface” and “Customer service

Ref. code: 25616002040407UOH 29 support” are the most important intangible factors. In addition, most of the intangible factors that are associated with price and promotion, namely “Monthly subscription fee”, “Free trial period” and “Discount on subscription fee” are not as important for all three segments. These attributes also have the lowest means. This can be concluded that promotions and price are the least important when users are making a purchase decision.

5.2 Recommendations

The research results indicate that in order for OTSS providers and marketers to target users successfully, they need to understand the differences between each segment and key factors that could drive their interest. First, the majority of OTSS users are Streaming Victims who are highly influenced by their friends and family to stream content. Therefore, the company could invest in micro-influencer marketing where they can reach and engage the target audience more effectively. A micro-influencer is someone who has between 2,000 to 100,000 followers on social media (Pros and Cons of Working With Micro- influencers, 2019). Their supporters may be fewer compared to celebrities but they tend to be more fervent. In addition, if a company chooses to target this segment, they have to bear in mind that these people are likely going to share their account with other people. They also might be the decision maker when subscribing to a service and have a high tendency to spend more compared to other groups; they are willing to upgrade the service for better user experience. As original soundtracks, subtitles and freshness of content are the most important factors that could influence them, the company can focus on curating a selection of new foreign content to appeal to this group of audiences. Second of all, the Streamer Fans are most inclined to use an OTSS because they want to watch content starring their favorite actors and support them on legal sources. This group is highly influenced by the celebrities and movies they like regardless of freshness or trend. Moreover, they agree that the resume function and user interface are important when making a purchase decision.

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Therefore, the company should focus on improving a user-friendly interface and its collection of classic content to capture this segment. Lastly, to target the Streaming Initiators, the smallest of the three groups, the company has to have fresh and interesting content to excite them with anticipation. It can make sure that they will help spread the word and influence others to watch the content that they enjoy. However, it seems that majority of this group is non-paid users and has someone paying for them, which means they might be the one that influences paid users to subscribe to an OTSS. In conclusion, if the company can target this group of users, they can indirectly target other paid users and increase its new user base. All in all, in a non-English speaking country like Thailand, users agree that the original soundtrack and subtitles are the most important when streaming via OTSS’s. They give better experience than a dubbed version, which means there is little to no boundary in pushing international content in this market as long as the subtitles properly convey the original message.

5.3 Limitations of the Study

Despite the careful planning process and implementation, this research faces several limitations, which contains bias and generalizations, as follows: • The respondents are mostly multiple OTSS users. Therefore, the sampling plan had to be adjusted from the proposal in order to reflect real trends of OTSS users. • The data collected cannot be applied to the method of principal axis factoring due to low communality. Therefore, a pattern matrix would have low factor loading problem. The researcher then chose to run principal components instead. • The research does not take into account the different ages of OTSS users but rather focuses only on Thai millennials aged between 18-34 as one sample group. This may impact the conclusion of differences between groups.

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REFERENCES

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APPENDICES

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APPENDIX A TARGET RESPONDENT SELECTION CRITERIA

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APPENDIX B QUESTIONS FOR AN IN-DEPTH INTERVIEW

Questions for OTSS paid user, and non-paid user are as follows: 1. What are the important factors that influence you to use online TV streaming services? 2. How many streaming services are you using right now? Please give a reason why are you using them? 3. How much are you paying right now for the service? Do you think it’s worth the money? 4. What are the barriers that block you from upgrading to a higher service level? 5. How often do you use the service and what kind of contents do you interest the most? 6. How long have you been paying/using for an online streaming service? 7. Any suggestion to improve better service?

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APPENDIX C RESULT OF IN-DEPTH INTERVIEWS

Ref. code: 25616002040407UOH 36 # Interview date 5th December 2018 5th December 2018 1 Name Jinjutha Meechai 2 Age 27 34 Demographic 3 Gender Female Male 4 Occupation Private company officer Tutor 5 Education level Bachelor degree Bachelor degree 6 Streaming service Iflix Iflix 7 Type of repondenrt Paid user Non-paid user

What are the important factors that influence you to The number of movies and series available on the platform is the first thing I 1 I concern about contents, price and the user interface use online TV streaming services? will look, followed by a variety of contents, price, and sharability.

I am currently using Iflix and Netflix because of its contents and especially their original series. I often search for series on these two platforms first and I use three services; Netflix, HBO go (Ais Play) and iflix. For Netflix and HBO How many streaming services are you using right 2 if there is something that is not available I will stream from illegal websites but go, I subscribed because of its original series and movies. However, for Iflix I now? Please give a reason why are you using them? usually for series they are cover almost all I want. However, for movies, I still watch whatever that are not on the other two services. have to visit illegal streaming website since it is more up to date.

I do not remember how much I pay for HBO go and Netflix but together it is I do a yearly subscription for Iflix since it is cheaper around 1,000THB a year around 1,000THB. I split the subscription fees with my sister on the ultra HD How much are you paying right now for the service? which is less than 100THB a month. I also share my account with my 3 package for Netflix, but for HBO go I pay for myself. Iflix on the other hands, Do you think it’s worth the money? boyfriend and my dad and with this price for legal movies, I think it is cheap use only to stream their free contents as a supplement to the other two and worth the money. services.

On average I stream via Iflix around three to four times a month. It depends on how exciting of the current content I am watching, If I find it interesting I I use Iflix three to four times a week, watching most on series and How often do you use the service and what kind of will keep watching and will watch more often. Most of the time I choose to 5 documentary. However, I tend to watch the other two services that I paid contents do you interest the most? watch popular series that I have read their review before since I do not want more often. to waste my time watching something I do not like, so reviews help me to decide which content to stream.

I have been using many services and start paying for online streaming service from three to four years ago, but for Iflix I began two years ago, since How long have you been paying / using for an online 6 I subscribed on Iflix since it first launched in Thailand, around two years ago. 2016 when it first launched in Thailand. Many service providers lack behind in streaming service? term of contents, so I unsubscribed them and only have these three right now.

The subtitle needs to improve, and They should bring in the latest season of some popular series or most recent episodes week by week. Otherwise, I will It would be great if there are more up to date contents and more variety to 7 Any suggestion to improve better service? have to stream from an illegal website before it is available on the platform choose, I might consider paying for Iflix. and it is not convenient.

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# Interview date 5th December 2018 5th December 2018 1 Name Jinjutha Meechai 2 Age 27 34 Demographic 3 Gender Female Male 4 Occupation Private company officer Tutor 5 Education level Bachelor degree Bachelor degree 6 Streaming service Iflix Iflix 7 Type of repondenrt Paid user Non-paid user

It is unnecessary for me. For example, the most expensive package for Questions What are the barriers that block you from upgrading to Netflix will be able to stream in 4k, but my TV does not support the function I am happy with the current service and if there is not significant change I do 4 a higher service level? anyway, and for Iflix, I think there is only one package available, upgrade not think it is necessary to upgrade. from free user to paid user. On average I stream via Iflix around three to four times a month. It depends on how exciting of the current content I am watching, If I find it interesting I I use Iflix three to four times a week, watching most on series and How often do you use the service and what kind of will keep watching and will watch more often. Most of the time I choose to 5 documentary. However, I tend to watch the other two services that I paid contents do you interest the most? watch popular series that I have read their review before since I do not want more often. to waste my time watching something I do not like, so reviews help me to decide which content to stream.

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# Interview date 6th December 2018 5th December 2018 1 Name Yanisa Chalita 2 Age 29 28 Demographic 3 Gender Female Female 4 Occupation Private company officer Medical sales representative 5 Education level Bachelor degree Bachelor degree 6 Streaming service Viu Viu 7 Type of repondenrt Paid user Non-paid user

I prefer to use the streaming service because I love watching Korean drama What are the important factors that influence you to Convenient and can be stream anywhere anytime, most importantly I can and it is very convenient, I do not have to download it on an illegal website. I 1 use online TV streaming services? pause and resume to continue on any device. will choose to stream on the particular service if there are movies or TV show that I like and If it had a free trial, I would not hesitate to try at all.

I am currently subscribed to Netflix and Viu. Netflix for international contents How many streaming services are you using right Viu and Netflix. I am streaming from Viu for Korean drama and Netflix for 2 and Viu for Korean contents. I used to subscribed on Iflix as well but stopped now? Please give a reason why are you using them? movies. when I join Netflix.

I pay 350THB basic package for Netflix and 119THB premium package for Viu. The reason why I choose to subscribe to both services is that I use them How much are you paying right now for the service? as my primary source of entertainment, completely replacing the cable TV. I pay for Netflix package around 350THB a month but for Viu I just use their 3 Do you think it’s worth the money? For Viu it has the latest series with Thai subtitle which updated almost right freemium account with no charge. after the show is ended in Korea. I think it worth my money because there is a variety of up to date contents and I can watch it endlessly.

Questions I am happy with Viu freemium account since there is not much benefit I can I know that Netflix offers a more expensive package for ultra HD and be able What are the barriers that block you from upgrading to get from switching to the premium package. For example, people who are 4 to share up to four screens at a time but I do not think I need it, and for Viu I a higher service level? paying will only get to watch the latest contents three days ahead of other think they only have one package. people, and after that, those contents will be available for everyone anyway.

I stream two to three times every other day, each time I spend around two How often do you use the service and what kind of I am addicted to Korean drama so I stream on Viu almost every day, and for 5 hours and if I am addicted to the show, I can watch all night. Most of the contents do you interest the most? Netflix, I often use it during the weekend. contents I stream are comedy series and TV shows.

I have been paying for both platforms for more than six months now. First, I How long have you been paying / using for an online I have been streaming Korean drama from the past 3-4 years on illegal 6 signed up for a free trial, and after certain period my account is automatically streaming service? websites but only been using streaming service just last month. charged. So, I just kept the subscription going.

Viu should have the resume function like Netflix so I can watch across all my I would love to see more of the classic series that I used to watch when I was 7 Any suggestion to improve better service? devices. a teen.

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APPENDIX D QUESTIONNAIRE Screening Questions SQ1: Were you born between 1985 – 2001? Yes (Please proceed to SQ 2.) No (End of screening questions.) SQ2: Do you live in Bangkok or metropolitan area? Yes (Please proceed to SQ 3.) No (End of screening questions.) SQ3: Did you watch movies or TV shows online at least once in the past 3 months? Yes (Please proceed to SQ 4.) No (End of screening questions.) SQ4: Do you know at least one of these online TV streaming services: Iflix, Netflix and Viu? Yes (Please proceed to SQ 5.) No (End of screening questions.) SQ5: Have you use at least one of these online TV streaming services: Iflix, Netflix and Viu? Yes (Please proceed to SQ 6.) No (End of screening questions.) SQ6: Have you PAID to at least one of these online TV streaming services: Iflix, Netflix and Viu? Yes (PAID user, proceed to Survey Questionnaire.) No (NON-PAID user, proceed to Survey Questionnaire.)

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Part 1: Online TV streaming service consumption (Behavior)

1. How often do you stream movie and TV show online? a) Less than one time a week b) One to two times a week c) Three to four times a week d) More than four times a week 2. Please select the online TV streaming service that you use? (Can choose more than one) a) Iflix b) Netflix c) Viu d) Other______(please specify) 3. How much do you spend on online TV streaming service per month on average? ______THB 4. Who do you share your account with? (Can choose more than one) a) No one b) My friends c) My family d) My partner e) Strangers f) Other______(please specify) 5. Most of the time, who is paying for your account? a) Pay by myself b) My friends/family are paying for me c) Other______(please specify) 6. In which situation that you will likely to use online TV streaming service? (Can choose more than one) a) Commuting to work b) Traveling c) During the gym d) Waiting for someone e) When at home f) Other______(please.specify)

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Part 2: Online TV streaming service consumer psychographic

How much do you agree or disagree with the following statement regarding attitudes towards intension to use an online TV streaming services? (1) (2) (6)

Statements (3) (4) (5) (7) Agree Agree Agree Neutral Strongly Strongly Disagree Disagree Disagree Somewhat Somewhat I do not mind sharing my streaming account with other people. I read reviews every time I am about to start watching something new. I love to support my favorite actors/actresses by watching their show from the legal sources. I use online TV streaming service because of my friends. I watch the show that my friends are watching to be on trend. I like to start a conversation about the show and movies when I am among my friends. I do not like to miss the latest episode of my favorite series. I do not mind watching old movies and classic shows on the streaming service I prefer to watch new movies and series on my TV streaming service I use multiple online TV streaming services to find what I want to watch

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(1) (2) (6)

Statements (3) (4) (5) (7) Agree Agree Agree Strongly Neutral Strongly Disagree Disagree Disagree Somewhat Somewhat I will look for the TV shows and movies on illegal websites, if I cannot find it on my streaming service The contents available on the service that I use are enough for me I am willing to spend more money to avoid having an ad. I use stream service because I can watch at a time that is convenient for me. I like to download the show offline to watch when I do not have good internet connection I completely watch TV shows/movie online instead of cable TV channel and cable satellite. I use TV streaming service to practice my second languages. Beside online TV streaming service I also use music streaming application too I went to the cinema less often after I use online TV streaming service

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Part 3: Product attributes (Tangible/Intangible)

How important are the following attribute when you choose to use an online TV streaming service? (2) (3) (4) (6)

Attributes (1) (5) (7) Very Very Very So -So Important Important Important Important Extremely Extremely Somewhat Somewhat Unimportant Unimportant

Download to watch offline

Be able to stream on multiple devices

Resume function

Freshness of the contents

Classic/ old contents that are not widely available

Original series/ exclusive content

Content suggestion/ personalization

User interface

Subtitle

Original soundtrack

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(2) (3) (4) (6)

Attributes (1) (5) (7) Very Very Very So -So Important Important Important Important Extremely Extremely Somewhat Somewhat Unimportant Unimportant

Monthly Subscription fees

Free trial period

Discount on subscription fees

Selected free contents

Convenient payment channels

Customer service support

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Part 4: Personal information (Demographic)

7. What is your gender? a) Female b) Male 8. What is your status? a) Single b) In relationship c) Married d) Divorce e) Widowed 9. What device do you use to stream movie and TV show online? (Can choose more than one) a) Internet TV b) Mobile c) Tablet d) Desktop e) Laptop f) Google Chromecast g) Apple TV h) Other______(please specify) 10. What is your highest education level? a) High school b) College c) Undergraduate d) Postgraduate e) Doctorate f) Other______(please specify) 11. What is your income per month? a) <15,000THB b) 15,001THB – 30,000THB c) 30,001THB – 45,000THB d) 45,001THB – 60,000THB e) Above 60,0000THB

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12. What is your occupation? a) Student b) Office worker c) Government officer d) Self-employed e) Freelancer f) Homemaker g) Other______(please specify)

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APPENDIX E RESPONDENTS’ DEMOGRAPHIC PROFILE

Respondnts' demographic profile N % Female 187 60.50 Gender Male 122 39.50 Single 172 55.70 In relationship 107 34.60 Marital Status Married 18 5.80 Divorce 11 3.60 Widowed 1 0.30 Below undergradugate 24 7.80 Undergraduate 206 66.70 Education Level Postgraduate 79 25.60 Doctorate 0 0.00 Less than 15,000THB 100 32.50 15,001THB – 30,000THB 116 37.70 Income 30,001THB – 45,000THB 39 12.70 45,001THB – 60,000THB 20 6.50 Above 60,0000THB 33 10.70 Student 120 38.80 Office worker 125 40.50 Government officer 16 5.20 Occupation Self-employed 20 6.50 Freelancer 23 7.40 Homemaker 3 1.00 Unemployed 2 0.60 Iflix 65 21.04 OTSS Netflix 293 94.82 providers Viu 79 25.57

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Appendix E-1: Data summary of respondent’s demographic profile

Std. 95% Confidence Interval for Mean N Mean Std. Error Minimum Maximum Deviation Lower Bound Upper Bound 1 102 1.51 0.66 0.06 1.38 1.64 1 3 Mobile phone 2 125 1.58 0.65 0.06 1.46 1.69 1 3 operating 3 82 1.55 0.72 0.08 1.39 1.71 1 3 system Total 309 1.55 0.67 0.04 1.47 1.62 1 3 1 102 2.30 0.56 0.06 2.19 2.41 1 3 Education 2 125 2.04 0.53 0.05 1.95 2.13 1 3 Level 3 82 2.23 0.53 0.06 2.12 2.35 1 3 Total 309 2.18 0.55 0.03 2.12 2.24 1 3 1 102 2.56 1.42 0.14 2.28 2.84 1 5 2 124 2.02 1.08 0.10 1.83 2.22 1 5 Income 3 82 2.22 1.29 0.14 1.94 2.50 1 5 Total 308 2.25 1.27 0.07 2.11 2.40 1 5 1 102 2.16 1.36 0.13 1.89 2.42 1 7 2 125 2.19 1.35 0.12 1.95 2.43 1 7 Occupation 3 82 1.84 1.11 0.12 1.60 2.08 1 6 Total 309 2.09 1.30 0.07 1.94 2.23 1 7 1 102 1.46 0.50 0.05 1.36 1.56 1 2 2 125 1.39 0.49 0.04 1.31 1.48 1 2 Gender 3 82 1.32 0.47 0.05 1.21 1.42 1 2 Total 309 1.39 0.49 0.03 1.34 1.45 1 2 1 102 1.56 0.71 0.07 1.42 1.70 1 4 2 125 1.62 0.89 0.08 1.47 1.78 1 5 Marital Status 3 82 1.55 0.71 0.08 1.39 1.70 1 4 Total 309 1.58 0.78 0.04 1.49 1.67 1 5

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APPENDIX F DATA SUMMARY Appendix F-1: Data summary of attitudes towards intention to use

Valid Cumulative Valid Cumulative Frequency Percent Frequency Percent Percent Percent Percent Percent Valid (1)Strongly I do not mind 25 8.10 8.10 8.10 Valid (1)Strongly Disagree 21 6.80 6.80 6.80 sharing my I do not like to Disagree (2) 27 8.70 8.70 16.80 streaming miss the latest (2) 27 8.70 8.70 15.50 (3) 63 20.40 20.40 37.20 account with episode of my (3) 51 16.50 16.50 32.00 (4) 71 23.00 23.00 60.20 other people. favorite series. (4) 63 20.40 20.40 52.40 (5)Strongly (5)Strongly 123 39.80 39.80 100.00 147 47.60 47.60 100.00 Agree Agree Total 309 100.00 100.00 Total 309 100.00 100.00

Valid Cumulative Valid Cumulative Frequency Percent Frequency Percent Percent Percent Percent Percent I do not mind Valid (1)Strongly Valid (1)Strongly I read reviews 29 9.40 9.40 9.40 watching old 15 4.90 4.90 4.90 Disagree Disagree every time I am movies and (2) 53 17.20 17.20 26.50 (2) 33 10.70 10.70 15.50 about to start classic shows (3) 79 25.60 25.60 52.10 (3) 61 19.70 19.70 35.30 watching on the (4) 71 23.00 23.00 75.10 (4) 78 25.20 25.20 60.50 something new. streaming (5)Strongly (5)Strongly 77 24.90 24.90 100.00 service 122 39.50 39.50 100.00 Agree Agree Total 309 100.00 100.00 Total 309 100.00 100.00

Valid Cumulative Valid Cumulative Frequency Percent Frequency Percent I love to Percent Percent Percent Percent I prefer to support my Valid (1)Strongly Valid (1)Strongly 3 1.00 1.00 1.00 watch new 3 1.0 1.0 1.0 favorite Disagree Disagree movies and actors/actresses (2) 13 4.20 4.20 5.20 (2) 10 3.2 3.2 4.2 series when by watching (3) 69 22.30 22.30 27.50 (3) 42 13.6 13.6 17.8 using my their show from (4) 69 22.30 22.30 49.80 (4) 95 30.7 30.7 48.5 streaming the legal (5)Strongly (5)Strongly 155 50.20 50.20 100.00 service 159 51.5 51.5 100.0 sources. Agree Agree Total 309 100.00 100.00 Total 309 100.0 100.0

ช Valid Cumulative Valid Cumulative Frequency Percent Frequency Percent Percent Percent Percent Percent Valid (1)Strongly I use multiple I use online TV 136 44.00 44.00 44.00 Valid (1)Strongly Disagree 62 20.10 20.10 20.10 streaming online TV Disagree (2) 75 24.30 24.30 68.30 service streaming (2) 63 20.40 20.40 40.50 (3) 45 14.60 14.60 82.80 because of my services to find (3) 62 20.10 20.10 60.50 (4) 33 10.70 10.70 93.50 friends. what I want to (4) 49 15.90 15.90 76.40 (5)Strongly watch (5)Strongly 20 6.50 6.50 100.00 73 23.60 23.60 100.00 Agree Agree Total 309 100.00 100.00 Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent Valid Cumulative Frequency Percent Valid (1)Strongly I will look for I watch the 63 20.40 20.40 20.40 Percent Percent Disagree show that my the TV shows Valid (1)Strongly (2) 67 21.70 21.70 42.10 61 19.70 19.70 19.70 friends are and movies on Disagree (3) 90 29.10 29.10 71.20 watching to be illegal websites, (2) 26 8.40 8.40 28.20 (4) 55 17.80 17.80 89.00 on trend. if I cannot find it (3) 50 16.20 16.20 44.30 (5)Strongly on my 34 11.00 11.00 100.00 (4) 88 28.50 28.50 72.80 Agree streaming (5)Strongly 84 27.20 27.20 100.00 Total 309 100.00 100.00 service Agree Total 309 100.00 100.00

Valid Cumulative Valid Cumulative Frequency Percent Frequency Percent Percent Percent I like to start a Percent Percent Valid (1)Strongly Valid (1)Strongly conversation 32 10.40 10.40 10.40 The contents 35 11.30 11.30 11.30 Disagree Disagree about the show available on the (2) 48 15.50 15.50 25.90 (2) 64 20.70 20.70 32.00 and movies service that I (3) 91 29.40 29.40 55.30 (3) 98 31.70 31.70 63.80 when I am use are enough (4) 81 26.20 26.20 81.60 (4) 78 25.20 25.20 89.00 among my for me (5)Strongly (5)Strongly friends. 57 18.40 18.40 100.00 34 11.00 11.00 100.00 Agree Agree Total 309 100.00 100.00 Total 309 100.00 100.00

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Valid Cumulative Frequency Percent Percent Percent Valid (1)Strongly 73 23.60 23.60 23.60 I am willing to Disagree spend more (2) 41 13.30 13.30 36.90 money to avoid (3) 71 23.00 23.00 59.90 having an ad. (4) 61 19.70 19.70 79.60 (5)Strongly 63 20.40 20.40 100.00 Agree Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent I use stream Valid (1)Strongly service 2 .60 .60 .60 Disagree because I can (2) 2 .60 .60 1.30 watch at a time (3) 26 8.40 8.40 9.70 that is (4) 49 15.90 15.90 25.60 convenient for (5)Strongly me. 230 74.40 74.40 100.00 Agree Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent I like to Valid (1)Strongly download the 59 19.10 19.10 19.10 Disagree show offline to (2) 46 14.90 14.90 34.00 watch when I (3) 65 21.00 21.00 55.00 do not have (4) 52 16.80 16.80 71.80 good internet (5)Strongly connection 87 28.20 28.20 100.00 Agree Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent I completely Valid (1)Strongly watch TV 36 11.70 11.70 11.70 Disagree shows/movie (2) 50 16.20 16.20 27.80 online instead (3) 67 21.70 21.70 49.50 of cable TV (4) 59 19.10 19.10 68.60 channel and (5)Strongly cable satellite. 97 31.40 31.40 100.00 Agree Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent I use TV Valid (1)Strongly 30 9.70 9.70 9.70 streaming Disagree service to (2) 31 10.00 10.00 19.70 practice my (3) 69 22.30 22.30 42.10 second (4) 72 23.30 23.30 65.40 languages. (5)Strongly 107 34.60 34.60 100.00 Agree Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent Beside online Valid (1)Strongly 75 24.30 24.30 24.30 TV streaming Disagree service I also (2) 34 11.00 11.00 35.30 use music (3) 40 12.90 12.90 48.20 streaming (4) 37 12.00 12.00 60.20 application too (5)Strongly 123 39.80 39.80 100.00 Agree Total 309 100.00 100.00

Valid Cumulative Frequency Percent Percent Percent I went to the Valid (1)Strongly 72 23.30 23.30 23.30 cinema less Disagree often after I use (2) 44 14.20 14.20 37.50 online TV (3) 73 23.60 23.60 61.20 streaming (4) 53 17.20 17.20 78.30 service (5)Strongly 67 21.70 21.70 100.00 Agree Total 309 100.00 100.00

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Appendix F-2: Data summary of factors that influence purchasing decision of OTSS’s

Cumulative Cumulative Frequency Percent Valid Percent Frequency Percent Valid Percent Percent Percent Valid (1)Strongl Valid (1)Strongl 12 3.88 3.88 3.88 23 7.4 7.4 7.4 y y Original series/ (2) 12 3.88 3.88 7.77 Download to watch (2) 32 10.4 10.4 17.8 exclusive content (3) 67 21.68 21.68 29.45 offline (3) 74 23.9 23.9 41.7 (4) 85 27.51 27.51 56.96 (4) 63 20.4 20.4 62.1 (5)Strongl (5)Strongl 133 43.04 43.04 100.00 117 37.9 37.9 100.0 y Agree y Agree Total 309 100.00 100.00 Total 309 100.0 100.0

Cumulative Frequency Percent Valid Percent Cumulative Percent Frequency Percent Valid Percent Valid (1)Strongl Percent 4 1.29 1.29 1.29 y Valid (1)Strongl 6 1.94 1.94 1.94 Content suggestion/ (2) 6 1.94 1.94 3.24 y Be able to stream on personalization (3) 37 11.97 11.97 15.21 (3) 32 10.36 10.36 12.30 multiple devices (4) 98 31.72 31.72 46.93 (4) 76 24.60 24.60 36.89 (5)Strongl 164 53.07 53.07 100.00 (5)Strongl y Agree 195 63.11 63.11 100.00 y Agree Total 309 100.00 100.00 Total 309 100.00 100.00

Cumulative Frequency Percent Valid Percent Percent Cumulative Frequency Percent Valid Percent Valid (1)Strongl Percent 3 .97 .97 .97 y Valid (1)Strongl 1 .32 .32 .32 User interface (3) 23 7.44 7.44 8.41 y (4) 78 25.24 25.24 33.66 (2) 1 .32 .32 .65 (5)Strongl 205 66.34 66.34 100.00 (3) 7 2.27 2.27 2.92 y Agree Resume function (4) 55 17.80 17.86 20.78 Total 309 100.00 100.00 (5)Strongl 244 78.96 79.22 100.00 y Agree Cumulative Total 308 99.68 100.00 Frequency Percent Valid Percent Percent Missing System 1 .32 Valid (1)Strongl Total 309 100.00 8 2.59 2.59 2.59 y (2) 3 0.97 0.97 3.56 Subtitle มีคอนเทนท์ใหม่ๆ อัพเดทตลอดเวลา (3) 17 5.50 5.50 9.06 Cumulative Frequency Percent Valid Percent (4) 39 12.62 12.62 21.68 Percent (5)Strongl 242 78.32 78.32 100.00 Valid (1)Strongl y Agree 3 .97 .97 .97 y Total 309 100.00 100.00 Freshness of the (2) 1 .32 .32 1.29 contents (3) 16 5.18 5.18 6.47 Cumulative (4) 55 17.80 17.80 24.27 Frequency Percent Valid Percent Percent (5)Strongl 234 75.73 75.73 100.00 Valid (3) 11 3.56 3.56 3.56 y Agree Original soundtrack (4) 24 7.77 7.77 11.33 Total 309 100.00 100.00 (5)สําคญั 274 88.67 88.67 100.00 อย่างยิ,ง Total 309 100.00 100.00 Cumulative Frequency Percent Valid Percent Percent Valid (1)Strongl Cumulative 7 2.27 2.27 2.27 Frequency Percent Valid Percent y Percent Valid (1)Strongl (2) 7 2.27 2.27 4.55 3 0.97 0.97 0.97 Classic/ old contents y (3) 38 12.30 12.34 16.88 that are not widely Monthly Subscription (2) 7 2.27 2.27 3.24 (4) 67 21.68 21.75 38.64 available fees (3) 51 16.50 16.50 19.74 (5)Strongl 189 61.17 61.36 100.00 (4) 88 28.48 28.48 48.22 y Agree (5)Strongl 160 51.78 51.78 100.00 Total 308 99.68 100.00 y Agree Missing System 1 0.32 Total 309 100.00 100.00 Total 309 100.00

Cumulative Frequency Percent Valid Percent Cumulative Percent Frequency Percent Valid Percent Valid (1)Strongl Percent 9 2.91 2.92 2.92 y Valid (1)Strongl 12 3.88 3.88 3.88 (2) 14 4.53 4.55 7.47 y (3) 58 18.77 18.83 26.30 Free trial period Original series/ (2) 12 3.88 3.88 7.77 (4) 50 16.18 16.23 42.53 exclusive content (3) 67 21.68 21.68 29.45 (5)Strongl 177 57.28 57.47 100.00 (4) 85 27.51 27.51 56.96 y Agree (5)Strongl Total 308 99.68 100.00 133 43.04 43.04 100.00 y Agree Missing System 1 0.32 Total 309 100.00 100.00 Total 309 100.00

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Cumulative Frequency Percent Valid Percent Percent Valid (1)Strongl 10 3.2 3.2 3.2 y (2) 8 2.59 2.60 5.84 Discount on (3) 43 13.92 13.96 19.81 subscription fees (4) 52 16.83 16.88 36.69 (5)Strongl 195 63.11 63.31 100.00 y Agree Total 308 99.68 100.00 Missing System 1 .32 Total 309 100.00

Cumulative Frequency Percent Valid Percent Percent Valid (1)Strongl 17 5.50 5.54 5.54 y (2) 14 4.53 4.56 10.10 Selected free (3) 65 21.04 21.17 31.27 contents (4) 54 17.48 17.59 48.86 (5)Strongl 157 50.81 51.14 100.00 y Agree Total 307 99.35 100.00 Missing System 2 .65 Total 309 100.00

Cumulative Frequency Percent Valid Percent Percent Valid (2) 7 2.27 2.27 2.27 (3) 27 8.74 8.74 11.00 Convenient payment (4) 41 13.27 13.27 24.27 channels (5)Strongl 234 75.73 75.73 100.00 y Agree Total 309 100.00 100.00

Cumulative Frequency Percent Valid Percent Percent Valid (1)Strongl 1 .32 .32 .32 y Customer service (2) 16 5.18 5.18 5.50 support (3) 38 12.30 12.30 17.80 (4) 57 18.45 18.45 36.25 (5)Strongl 197 63.75 63.75 100.00 y Agree Total 309 100.00 100.00

Ref. code: 25616002040407UOH 53

Appendix F-3: Data summary of tangible and intangible factors that influence each different segment

95% Confidence Std. N Mean Std. Error Lower Upper Minimum Maximum Deviation Bound Bound 1 102 3.62 1.33 0.13 3.36 3.88 1.00 5.00 Download to watch 2 125 4.08 1.15 0.10 3.88 4.28 1.00 5.00 offline 3 82 3.26 1.23 0.14 2.99 3.53 1.00 5.00 Total 309 3.71 1.27 0.07 3.57 3.85 1.00 5.00 1 102 4.50 0.75 0.07 4.35 4.65 1.00 5.00 Be able to stream 2 125 4.67 0.76 0.07 4.54 4.81 1.00 5.00 on multiple devices 3 82 4.12 0.92 0.10 3.92 4.32 1.00 5.00 Total 309 4.47 0.83 0.05 4.38 4.56 1.00 5.00 1 102 4.67 0.63 0.06 4.54 4.79 1.00 5.00 2 125 4.87 0.42 0.04 4.80 4.95 2.00 5.00 Resume function 3 81 4.68 0.54 0.06 4.56 4.80 3.00 5.00 Total 308 4.75 0.54 0.03 4.69 4.81 1.00 5.00 1 101 4.49 0.82 0.08 4.32 4.65 2.00 5.00 Classic/ old 2 125 4.50 0.89 0.08 4.35 4.66 1.00 5.00 Tangible contents that are 82 4.05 1.10 0.12 3.81 4.29 1.00 5.00 Factors not widely available 3 Total 308 4.38 0.95 0.05 4.27 4.48 1.00 5.00 1 102 4.66 0.62 0.06 4.53 4.78 1.00 5.00 Freshness of the 2 125 4.84 0.50 0.04 4.75 4.93 1.00 5.00 contents 3 82 4.43 0.89 0.10 4.23 4.62 1.00 5.00 Total 309 4.67 0.68 0.04 4.59 4.75 1.00 5.00 1 102 3.94 1.15 0.11 3.72 4.17 1.00 5.00 Original series/ 2 125 4.33 0.91 0.08 4.17 4.49 1.00 5.00 exclusive content 3 82 3.65 1.08 0.12 3.41 3.88 1.00 5.00 Total 309 4.02 1.07 0.06 3.90 4.14 1.00 5.00 1 102 4.39 1.15 0.11 4.17 4.62 1.00 5.00 125 4.84 0.46 0.04 4.76 4.92 3.00 5.00 Subtitle 2 3 82 4.61 0.77 0.08 4.44 4.78 1.00 5.00 Total 309 4.63 0.85 0.05 4.54 4.73 1.00 5.00 1 102 4.87 0.41 0.04 4.79 4.95 3.00 5.00 125 4.92 0.33 0.03 4.86 4.98 3.00 5.00 Original Soundtrack 2 3 82 4.72 0.59 0.07 4.59 4.85 3.00 5.00 Total 309 4.85 0.45 0.03 4.80 4.90 3.00 5.00 1 102 4.26 0.87 0.09 4.09 4.43 1.00 5.00 Monthly 2 125 4.37 0.80 0.07 4.23 4.51 2.00 5.00 Subscription fees 3 82 4.16 1.02 0.11 3.93 4.38 1.00 5.00 Total 309 4.28 0.89 0.05 4.18 4.38 1.00 5.00 1 101 4.02 1.29 0.13 3.77 4.27 1.00 5.00 125 4.31 0.93 0.08 4.15 4.48 1.00 5.00 Free trial period 2 3 82 4.28 1.00 0.11 4.06 4.50 1.00 5.00 Total 308 4.21 1.08 0.06 4.09 4.33 1.00 5.00 1 102 4.30 0.97 0.10 4.11 4.49 1.00 5.00 Discount on 2 125 4.36 1.07 0.10 4.17 4.55 1.00 5.00 subscription fees 3 81 4.37 1.03 0.11 4.14 4.60 1.00 5.00 Total 308 4.34 1.03 0.06 4.23 4.46 1.00 5.00 1 102 3.82 1.25 0.12 3.58 4.07 1.00 5.00 Selected free 2 123 4.23 1.16 0.10 4.02 4.43 1.00 5.00 contents 3 82 4.04 1.10 0.12 3.79 4.28 1.00 5.00 Inngible Total 307 4.04 1.19 0.07 3.91 4.18 1.00 5.00 Factors 1 102 4.71 0.59 0.06 4.59 4.82 3.00 5.00 Convenient 2 125 4.73 0.64 0.06 4.61 4.84 2.00 5.00 payment channels 3 82 4.37 0.96 0.11 4.15 4.58 2.00 5.00 Total 309 4.62 0.74 0.04 4.54 4.71 2.00 5.00 1 102 4.30 0.98 0.10 4.11 4.50 1.00 5.00 Customer service 2 125 4.54 0.79 0.07 4.40 4.68 2.00 5.00 support 3 82 4.32 0.99 0.11 4.10 4.54 2.00 5.00 Total 309 4.40 0.92 0.05 4.30 4.50 1.00 5.00 102 4.35 0.95 0.09 4.17 4.54 1.00 5.00 Content 1 2 125 4.49 0.80 0.07 4.35 4.63 2.00 5.00 suggestion/ 3 82 4.07 0.77 0.08 3.90 4.24 2.00 5.00 personalization Total 309 4.33 0.86 0.05 4.24 4.43 1.00 5.00 1 102 4.58 0.83 0.08 4.42 4.74 1.00 5.00 2 125 4.65 0.60 0.05 4.54 4.75 3.00 5.00 User interface 3 82 4.40 0.72 0.08 4.24 4.56 3.00 5.00 Total 309 4.56 0.72 0.04 4.48 4.64 1.00 5.00

Ref. code: 25616002040407UOH 54

Appendix F-4: The result of One-way ANOVA - Tangible and intangible factors that influence each different segment (n=309)

Sum of Mean Atributtes df F Sig. Squares Square Between 2.06 2.00 1.03 5.33 0.01 Groups Original Within Soundtrack 59.09 306.00 0.19 Groups Total 61.15 308.00 Between 2.97 2.00 1.49 5.26 0.01 Groups Resume Within function 86.27 305.00 0.28 Tangible Groups Factors Total 89.25 307.00 Between 8.48 2.00 4.24 9.69 0.00 Freshness Groups of the Within 133.85 306.00 0.44 contents Groups Total 142.33 308.00 Between 34.88 2.00 17.44 11.48 0.00 Download Groups to watch Within 464.91 306.00 1.52 offline Groups Total 499.79 308.00 Between 7.50 2.00 3.75 7.13 0.00 Convenient Groups payment Within 160.95 306.00 0.53 channels Groups Total 168.45 308.00 Between 3.04 2.00 1.52 3.00 0.05 Groups User Within interface 155.10 306.00 0.51 Groups Inngible Total 158.14 308.00 Factors Between 3.82 2.00 1.91 2.30 0.10 Customer Groups service Within 254.42 306.00 0.83 support Groups Total 258.24 308.00 Between 9.11 2.00 4.56 3.29 0.04 Selected Groups free Within 421.34 304.00 1.39 contents Groups Total 430.45 306.00

Ref. code: 25616002040407UOH 55

Appendix F-5: The summary of post hoc tests table - tangible and intangible factors that influence purchasing behavior between three segments.

95% Confidence Interval Mean (I) Cluster (J) Cluster Dependent Variable Difference Std. Error Sig. by factor 8 by factor 8 Lower Upper (I-J) Bound Bound

1 fandom 2 victim -.04745 .06 .70 -.19 .09 3 innitiator .15304 .07 .05 .00 .31 2 1 .04745 .06 .70 -.09 .19 Original Soundtrack 3 .20049* .06 .00 .05 .35 3 1 -.15304 .07 .05 -.31 .00 2 -.20049* .06 .00 -.35 -.05 1 2 -.20533* .07 .01 -.37 -.04 3 -.01235 .08 .99 -.20 .17 2 1 .20533* .07 .01 .04 .37 Resume function Tangible 3 .19299* .08 .03 .01 .37 factors 3 1 .01235 .08 .99 -.17 .20 2 -.19299* .08 .03 -.37 -.01 1 2 -.18314 .09 .10 -.39 .02 3 .23003 .10 .05 .00 .46 Freshness of the 2 1 .18314 .09 .10 -.02 .39 contents * 3 .41317 .09 .00 .19 .63 3 1 -.23003 .10 .05 -.46 .00 2 -.41317* .09 .00 -.63 -.19 1 2 -.46235* .16 .01 -.85 -.08 3 .36155 .18 .12 -.07 .79 Download to watch 2 1 .46235* .16 .01 .08 .85 offline 3 .82390* .18 .00 .41 1.24 3 1 -.36155 .18 .12 -.79 .07 2 -.82390* .18 .00 -1.24 -.41 1 2 -.02212 .10 .97 -.25 .21 3 .34003* .11 .01 .09 .59 Convenient 2 1 .02212 .10 .97 -.21 .25 payment channels 3 .36215* .10 .00 .12 .60 3 1 -.34003* .11 .01 -.59 -.09 2 -.36215* .10 .00 -.60 -.12 1 2 -.06957 .10 .74 -.29 .15 3 .17599 .11 .22 -.07 .42 User interface 2 1 .06957 .10 .74 -.15 .29 3 .24556* .10 .04 .01 .48 3 1 -.17599 .11 .22 -.42 .07 Intangible 2 -.24556* .10 .04 -.48 -.01 factors 1 2 -.23208 .12 .14 -.52 .05 3 -.01315 .14 1.00 -.33 .31 Customer service 2 1 .23208 .12 .14 -.05 .52 support 3 .21893 .13 .21 -.09 .52 3 1 .01315 .14 1.00 -.31 .33 2 -.21893 .13 .21 -.52 .09 1 2 -.40411* .16 .03 -.78 -.03 3 -.21306 .17 .44 -.62 .20 Selected free 2 1 .40411* .16 .03 .03 .78 contents 3 .19106 .17 .49 -.20 .59 3 1 .21306 .17 .44 -.20 .62 2 -.19106 .17 .49 -.59 .20

Ref. code: 25616002040407UOH 56

BIOGRAPHY

Name Miss Onpimon Chavalitcheevin Date of Birth September 24, 1992 Educational Attainment 2013: Bachelor of Art with Honours in Fashion Design, Birmingham City University, Birmingham, UK Work Experiences 2015-2018: Senior Campaign Manager, Central Group Online (COL) 2013-2015: Visual Merchandiser, Central Marketing Group (CMG)

Ref. code: 25616002040407UOH