Customer Preferences of Video on Demand Users in Germany

Abstract

Subscription Video on Demand is a service that enables users to get unlimited access to a portfolio of different movies, TV shows, and similar titles by paying a monthly or annual subscription fee. The aim of this thesis has been to determine customer preferences of Video on Demand users in Germany in order to identify attributes that have to be included or improved so as to enhance perceived customer value of Video on Demand providers. Due to the fact that with increasing customer preference for a product/service, also the perceived value toward that product becomes more positive, the guiding concept for this master thesis has been the one of perceived customer value and the connected customer value determination process as developed by Woodruff and Gardial. The analysis itself has been conducted by means of an online conjoint analysis. As the analysis has shown, the most-preferred Video on Demand attribute of German users is the one of early-release, followed by language choice, cancellation possibilities, offline availability, international availability, price, user profiles, and customized recommendations. Due to early release's attractiveness among respondents, the importance of entertainment as the main desired end state that Video on Demand can deliver is emphasized. Moreover, sub-group analyses based on customer characteristics such as age or profession have determined that no customer segment-specific subscriptions have to be offered by Video on Demand providers.