Analysis of Customer Behavior Factors on Subscription-Based Music Services

Department of Industrial Engineering, Faculty of Engineering, Diponegoro University, Semarang - Indonesia

^* Corresponding author: Niabudipuspitasari@gmail.com

Abstract

Piracy is a problem that has been faced by various companies, one of which is music service software. Even though piracy gives a benefit to consumers, the losses obtained by the producer cannot be ignored. To overcome these problems, there are music services that can provide services easily and cheaply for consumers, commonly called the Subscription Based Music Service (SBMS). Although there is a service that can replace pirated products (SBMS), there is no guarantee that consumers will use it. This study aims to determine the factors that influence consumers in using SBMS music services. To achieve that, the Structural Equation Modeling method is used with AMOS software. The research was conducted in two countries, Indonesia and Germany with the aim to find out whether or not different countries affect consumer behavior. From the results of research in Indonesian and German respondents, the most influencing factor in the desire to use SBMS is the interest in the application. It can be concluded that the more music users know the service features and services provided by SBMS, the music users will be encouraged to use SBMS.