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Trường Đại học Kinh tế Quốc dân

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RESEARCH METHODOLOGY

Exploring the Factors Influencing the Adoption of

YouTube Premium: A Research Proposal

Lecturer: Le Thi My Linh

Subject: Research Methodology
Class: EBBA 15.1
Group 2: 5 Members
(Leader)Doan Minh Huy - 11230073
Nguyen Duc Tam - 11230140
Nguyen Duc Nghi - 1 1 2 3 0 1 2 1
Le Quang Minh - 11230110
Le Minh Hieu - 11230067

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TABLE OF CONTENTS
1. Rationale 3
1.1. Problem statement 3
1.2. Research objectives 3
1.3. Research questions 3
2. Literature review 4
2.1. Adoption of Subscription-Based Services 5
2.2. Perceived Value and Benefits 5
2.3. Content Quality and Variety 5
2.4. Pricing and Affordability 5
2.5. User Experience and Satisfaction 5
3. Theoretical framework and hypothesis 5
3.1. Variable model 6
3.2. Hypothesis 7
4. Hypothesis development 10
5. Research Methodology 11
5.1 Research Design 11
5.2 Population and sample 12

6. Research Report Structure 15

7. Time frame 16
8. References 16

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1. Rationale
1.1 Problem statement
The advent of subscription-based streaming services like YouTube Premium has
significantly altered the way consumers access digital content. Despite its growing popularity,
there is a lack of comprehensive understanding about the factors that influence the adoption of
YouTube Premium. This gap in knowledge hinders the development of effective strategies for
promoting such services and improving user experience.

Referring to a study (Smith & Swintard, 1983), the trial strategy positively affects the
higher order. In this case, the factor that contributes to the aspect is affective extremity. Their
study (Smith & Swinyard, 1983) also demonstrated that trial strategies develop an attitude
significantly strong. Furthermore, Koch & Benlian (2016) find that the users' conversion
(purchase) propensity is positively affected by the trial strategy (Premium-first). Also, the
perceived addedvalue of the premium over the free version is larger in premium-first scenarios
compared to Free-first scenarios due to the loss aversion effect (Koch & Benlian, 2016).

According to a study (Mehmood, 2015), customer satisfaction positively and significantly

affects customers’ purchase intention. (Novit & Erdiansyah, 2021) It is also stated that the
same is related to customer satisfaction and purchase intention in the online purchasing case.
Moreover, it also shows that satisfaction and purchasing intention positively correlate in
consumer decision-making style as an antecedent level of satisfaction and purchase intention
(Alaviet al., 2015).

1.2 Research objectives

 The primary factor that influences a user’s decision to subscribe to YouTube

Premium?
 Effect of the perceived value of YouTube Premium features (like ad-free viewing,
background play, and access to YouTube Originals) on the adoption rate.
 The influence of demographic factors on the adoption of Youtube Premium.

1.3 Research questions

 What are the primary factors that influence a user’s decision to subscribe to YouTube
Premium?
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 How does the perceived value of YouTube Premium features (like ad-free viewing,
background play, and access to YouTube Originals) affect the adoption rate?
 How do demographic factors (such as age, income level, and digital literacy) influence
the adoption of YouTube Premium?
2. Literature review
YouTube Premium, a subscription-based service offered by YouTube, provides users with
an ad-free experience, exclusive content, and additional features such as offline viewing and
background play. Understanding the factors that influence users' adoption of YouTube Premium
is essential for both researchers and practitioners in the field of digital media and subscription-
based services. This literature review aims to synthesize existing research on the topic to
provide insights into the key factors influencing the adoption of YouTube Premium.
2.1 Adoption of Subscription-Based Services
The adoption of subscription-based services has garnered significant scholarly attention due to
the transformative impact of such services on consumer behavior and industry dynamics.
Research in this domain explores the factors driving individuals' decisions to subscribe to
digital media services and the mechanisms underlying the diffusion of subscription models in
various contexts (Rogers, 2003).
2.2 Perceived Value and Benefits
Perceived value and benefits play a critical role in shaping consumers' attitudes and
intentions towards subscription-based services. Studies suggest that consumers assess the value
proposition of a subscription service based on the perceived benefits it offers, such as ad-free
content, exclusive access to premium features, and enhanced user experience (Lee et al., 2017;
Kim et al., 2019). The perceived value relative to the subscription cost significantly influences
adoption decisions, with consumers weighing the benefits against the monetary investment
required (Reimers & Ferguson, 2016).
2.3 Content Quality and Variety
Content quality and variety are key determinants of consumers' satisfaction and engagement
with subscription-based digital media services. Research indicates that the availability of high-
quality content across diverse genres and formats enhances the attractiveness of subscription
offerings (Van Dijck, 2009). Furthermore, exclusive or original content can serve as a
competitive advantage for subscription platforms, driving subscriber acquisition and retention
(Burgess & Green, 2018).
2.4 Pricing and Affordability

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Pricing and affordability considerations significantly influence consumers' willingness to

subscribe to digital media services. Studies have shown that price sensitivity varies across
consumer segments, with some individuals prioritizing affordability while others prioritize
premium features and content (Li & Kannan, 2014). Pricing strategies, such as tiered
subscription plans and promotional offers, can impact subscription uptake and churn rates,
highlighting the importance of pricing optimization in subscription-based business models
(Chen & Wu, 2019). Additionally, perceived fairness and transparency in pricing contribute to
consumer trust and satisfaction with the subscription service (Gefen et al., 2003).
2.5 User Experience and Satisfaction
User experience (UX) and satisfaction are fundamental to the long-term success of
subscription-based services. Studies have shown that factors such as ease of navigation,
intuitive interface design, and seamless content discovery significantly impact users' overall
satisfaction with the service (Venkatesh et al., 2003; Dwivedi et al., 2015). Positive user
experiences contribute to increased engagement, retention, and positive word-of-mouth
referrals, fostering a loyal subscriber base (Chen & Wu, 2019). Conversely, issues such as
buffering delays, playback errors, or complex subscription management processes can detract
from the user experience and lead to dissatisfaction and churn (Braun et al., 2019).
Understanding user preferences, behaviors, and pain points through user feedback and
analytics is essential for optimizing the user experience and enhancing subscriber satisfaction
over time.

3. Theoretical framework and hypothesis

YouTube intends to hook and retain its existing users to purchase YouTube's additional
service called YouTube Premium by applying a trial strategy for this premium product.
Previous research (Koch & Benlian, 2016) has also shed light on the fact that utilizing a trial
strategy is an effective strategy to make customers intend to buy the products they have tried.
However, there is a side where users who have used the trial for the services do not continue
to convert to purchase the product (Koch & Benlian, 2016: Smith & Swinyard, 1983). This
phenomenon demands further study to understand its causes and raises concern about the
trial strategy's reliability of driving conversions toward purchasing in YouTube Premium.
According to a literature assessment of prior studies, six variables have a role in
implementing trial strategies to persuade consumers to have a purchase intention. Trial
Strategy, Perceived Quality, Perceived Price, Satisfaction, Perceived Value, and Purchase
Intention are the relevant variables (Zeithaml et al., 2017: Chang & Wildt, 1994: Zietsman &
Mostert, 2019: Smith & Swinyard, 1983: Koch & Benlian, 2016: Mahmood, 2015: Novit &
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Erdiansyah, 2021).
3.1 Variable mode

Referring to a study (Smith & Swintard, 1983), the trial strategy positively affects the
higher order. In this case, the factor that contributes to the aspect is affective extremity. Their
study (Smith & Swinyard, 1983) also demonstrated that trial strategies develop an attitude
significantly strong.

Furthermore, Koch & Benlian (2016) find that the users' conversion (purchase)
propensity is positively affected by the trial strategy (Premium-first). The value the perceived
added value of the premium over the free version is larger in premiumfirst scenarios compared
to Free-first scenarios due to the loss aversion effect (Koch & Benlian, 2016).

According to a study (Mahmood, 2015), customer satisfaction positively and significantly

affects customers' purchase intention. (Novit & Erdiansyah, 2021) It is also stated that the
same is related to customer satisfaction and purchase intention in the online purchasing case.
Moreover, it also shows that satisfaction and purchasing intention positively correlate in
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consumer decision-making style as an antecedent level of satisfaction and purchase intention

(Alavi et al., 2015).

The study (Chang & Wildt, 1994) found that information about a product's attributes and
price positively affects perceived quality. Furthermore, perceived quality positively influences
perceived value. This is also in line with the research by (Zietsman & Mostert, 2019), which
stated the same discovery about the connection between perceived price, quality, and value.
Additionally, perceived value is positively influenced by perceived price (Zietsman &.
Mostert, 2019). Moreover, perceived value positively drives purchase intention (Chang &.
Wildt, 1994).

3.2 Hypothesis

3.2.1. H1: YouTube Premium's Trial Strategy significantly influences the Purchase
Intention of YouTube Premium.

Users' Purchase Intention is positively impacted by the trial method. According to the
underlying theoretical justification, users will see the premium version as having more value
than the free version. (Koch &. Benlian, 2016). Users can have direct experience utilizing and
acquiring information about the services provided by employing the Trial Strategy (Koch &.
Benlian, 2016: Smith &. Swinyard, 1983). This direct experience can be powerful information
that drives confident evaluation and purchase intention for the service (Smith &. Swinyard,
1983). This leads to hypothesis 1:

H1: YouTube Premium's Trial Strategy significantly influences the Purchase Intention of
YouTube Premium.

3.2.2. H2: YouTube Premium's Trial Strategy significantly influences the Perceived
Quality of YouTube Premium.

Through implementing the Trial Strategy, users can get hands-on experience using and
learning about the services offered (Koch &. Benlian, 2016: Smith &. Swinyard, 1983). The
information about the service is essential or disaggregated, yet this data can be summed up to
determine the perceived quality (Zeithaml 1988: Myers and Shocker 1981: Olson and Jacoby
1972). This direct knowledge may be a potent source of data that motivates confidence
evaluation toward service quality (Smith & Swinyard, 1983). This leads to hypothesis 2:

H2: YouTube Premium's Trial Strategy significantly influences the Perceived Quality of
YouTube Premium.
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3.2.3. H3: Perceived Quality of YouTube Premium significantly influences Customer

Satisfaction with YouTube Premium.

Perceptions of service quality (Perceived Quality) have an impact on satisfaction. In

order to determine whether a product or service has fulfilled the consumer's requirements and
expectations, the customer must evaluate whether they are satisfied with it. In order to adapt to
the context or kind of service, satisfaction can also be linked to emotions beyond a sense of
pleasure in knowing that one's requirements have been addressed (Zeithaml et al., 2017:
Oliver, 2014). This leads to hypothesis 3:

H3: Perceived Quality of YouTube Premium significantly influences Customer Satisfaction

with YouTube Premium.

3.2.4. H4: Perceived Quality of YouTube Premium significantly influences the Perceived
Value of YouTube Premium.

The perceived quality and value of the service have a positive relationship (Chang &
Wildt, 1994, Zietsman & Mostert, 2019). According to Bogsberger and Melsen (2011),
Patterson and Spreng (1997), and Zeithaml (1988), customers' general assessments of the
usefulness of a service or trade-off based on views of what they have been given and obtained
are sometimes described as perceived value. According to cognitive responses, service quality
is the key benefit element of perceived value. This leads to hypothesis 4:

H4: Perceived Quality of Youtube Premium significantly influences the Perceived Value of
YouTube Premium.

3.2.5. H5: Perceived Price of YouTube Premium significantly influences the Perceived
Quality of Youtube Premium.

The perceived price and quality of the service have a positive relationship (Chang &
Wildt, 1994, Zietsman & Mostert, 2019). Price is often considered to be a cost associated with
acquiring a good or service, but it also serves as an essential extrinsic indicator for evaluations
of quality (Kwun and Oh, 2004: Lichtenstein, Ridgway, & Netemeyer, 1993: Zeithaml, 1988).
When the perceived price is high, customers expect good quality of service (Suri. Long, &
Monroe, 2003). Nevertheless, the client must make a greater sacrifice the higher the perceived
price is (Oh, 1999). This leads to hypothesis 5:

H5: Perceived Price of YouTube Premium significantly influences the Perceived Quality of
YouTube Premium.
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3.2.6. H6: Perceived Price of YouTube Premium significantly influences the Perceived
Value of YouTube Premium.

The perceived price and value of the service have a positive relationship (Chang &.
Wildt, 1994, Zietsman &. Mostert, 2019). A general assessment of the customers of the
usefulness of service or sacrifice according to beliefs of what is given and received is known as
perceived value (Boksberger and Melsen, 2011: Patterson and Spreng, 1997: Zeithaml, 1988).
The perception of price fairness tends to improve value judgments, whereas price perceptions
of quality tend to counterbalance the value judgments of customers (Oh, 2000). This leads to
hypothesis 6:

H6: Perceived Price of Youtube Premium significantly influences the Perceived Value of
YouTube Premium.

3.2.7. H7: Satisfaction with YouTube Premium significantly influences Purchase

Intention of YouTube Premium.

Satisfaction and purchase intention have a positive relationship. Brand loyalty and
positive attitudes toward a product are more likely to develop when a customer is satisfied with
the product or service (Mehmood, 2015). The consequence is the customer's habit of making
many purchases (Youl &. John, 2010). Additionally, if customers are pleased with the quality
of the firm's services, they will stick with the organization, and this dependability is excellent
for the association to gain an additional advantage, boost market share, and raise profitability
for customers (Kondo, 2001). This leads to hypothesis 7:

H7: Satisfaction with YouTube Premium significantly influences Purchase Intention of

YouTube Premium.

3.2.8. H8: Perceived Value of YouTube Premium significantly influences Purchase

Intention of Youtube Premium.

The perceived value and purchase intention have a positive relationship (Chang &. Wildt,
1994, Zietsman &. Mostert, 2019). A customer's broad assessment of the worth of a service or
sacrifice is based on their views of what is given and received. It is perceived value
(Boksberger and Melsen, 2011: Patterson and Spreng, 1997: Zeithaml, 1988). Purchase
intention is typically predicted to be low for products regarded as low value because of either
poor quality or a high price, while strong purchase intention is predicted for products judged to
be high in value (Chang &. Wildt, 1994). This leads to hypothesis 8:

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H8: Perceived Value of YouTube Premium significantly influences Purchase Intention of

YouTube Premium.
4. Hypothesis development
Hypothesis 1:
H1: YouTube Premium's Trial Strategy significantly influences the Purchase Intention of
YouTube Premium.
Hypothesis 2:
H2: YouTube Premium's Trial Strategy significantly influences the Perceived Quality of
YouTube Premium.
Hypothesis 3:
H3: Perceived Quality of YouTube Premium significantly influences Customer Satisfaction
with YouTube Premium.
Hypothesis 4:
H4: Perceived Quality of YouTube Premium significantly influences the Perceived Value of
YouTube Premium.
Hypothesis 5:
H5: Perceived Price of YouTube Premium significantly influences the Perceived Quality of
YouTube Premium.
Hypothesis 6:
H6: Perceived Price of YouTube Premium significantly influences the Perceived Value of
YouTube Premium.
Hypothesis 7:
H7: Satisfaction with YouTube Premium significantly influences Purchase Intention of
YouTube Premium.
Hypothesis 8:
H8: Perceived Value of YouTube Premium significantly influences Purchase Intention of
YouTube Premium.
5. Research Methodology
5.1 Research design
5.1.1 Purpose of research:
The study aims to investigate the factors of YouTube Premium adoption among users
through a mixed-methods approach. It will look at who these people are, why they like
YouTube Premium, and what affects their decision to use it. The study will also see if things
like ads, the type of videos they watch, or what their friends say influence their decision. It
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hopes to find out why people subscribe to YouTube Premium and how YouTube can get more
subscribers and keep them.
5.1.2 Extent of researcher interference:
In this study, the researcher will minimize interference to ensure unbiased results.
Ethical guidelines will be followed, and a non-directive approach will be used during data
collection to avoid influencing participants' responses. Transparency and objective analysis will
also be prioritized. The study aims to investigate YouTube Premium adoption factors while
maintaining the integrity of the research process.
5.1.3 Study setting:
The study setting primarily involves the online platform of YouTube, where data
collection will occur through online channels such as email invitations, social media platforms,
or dedicated survey websites. Qualitative interviews may be conducted remotely via video
conferencing tools. The setting is virtual and digital, reflecting the online nature of the
investigation into YouTube Premium adoption factors.
5.1.4 Research strategy:
The research strategy outlines the approach and methods used to achieve the objectives of
the study. In this investigation into the factors influencing YouTube Premium adoption, a
mixed-methods research strategy will be employed. This approach combines quantitative
surveys and qualitative interviews to gather comprehensive data and insights. The quantitative
surveys will provide numerical data on demographics, usage patterns, and subscription status,
while qualitative interviews will offer in-depth understanding of motivations and experiences
related to YouTube Premium. By combining these methods, the research aims to provide a
holistic understanding of the adoption factors while taking advantages of the strengths of both
quantitative and qualitative approaches.
5.1.5 Unit of analysis
The unit of analysis could be the subscribers of YouTube Premium. Each user's
characteristics, behaviors, preferences, and experiences with the service would be examined to
understand the factors influencing their decision to adopt YouTube Premium.
5.2 Population and sample
5.2.1 Target population
The target population comprises individuals who actively use the YouTube platform for
watching videos and are potentially interested in subscribing to YouTube Premium. This
includes individuals aged 18-35, residing in urban and suburban areas in Vietnam, who spend a
significant amount of time consuming online video content. These individuals may have
disposable income and a preference for ad-free viewing experiences, exclusive content, and
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other premium features offered by YouTube Premium. Additionally, the target population may
include both current subscribers of YouTube Premium and non-subscribers who are considering
or have not yet considered subscribing. By focusing on this specific target population, the study
aims to provide insights into the demographic and behavioral characteristics of individuals most
likely to be influenced by factors affecting YouTube Premium adoption.
5.2.2 Sample
The sample will consist of 300 participants aged 18-35, residing in urban and suburban
areas across Vietnam. To ensure diversity, the sample will be classified by age, gender, and
geographic region. Additionally, efforts will be made to include individuals from various
socioeconomic backgrounds and levels of ability to use technology. Participants will be
recruited through online platforms such as social media, email lists, and community forums.
They will be asked to complete a quantitative survey to gather data on demographics, usage
patterns, and subscription status related to YouTube Premium. From the initial sample, a subset
of participants will be selected for qualitative interviews to gain deeper insights into their
motivations and experiences with YouTube Premium. This subset will be purposefully selected
to ensure a diverse range of perspectives and experiences.
5.2.3 Date collection method
The research data will be collected through a questionnaire and internet survey with a
sample of 300 people who are YouTube users aged 18-35 across Vietnam and then a part of the
participants will be asked for further interviews:
 The quantitative surveys will include 7 sections.

Section 1: Demographics (4 questions)

Section 2: YouTube Premium's Trial Strategy (3 questions)
Section 3: Perceived Quality of YouTube Premium (3 questions)
Section 4: Perceived Price of YouTube Premium (3 questions)
Section 5: Perceived Value of YouTube Premium (3 questions)
Section 6: Satisfaction with YouTube Premium (3 questions)
Section 7: Purchase Intention of YouTube Premium (3 questions)
 The qualitative interviews will include 8 sections.

Section 1: Introduction
Section 2: YouTube Premium's Trial Strategy (2 questions)
Section 3: Perceived Quality of YouTube Premium (2 questions)
Section 4: Perceived Price of YouTube Premium (2 questions)
Section 5: Perceived Value of YouTube Premium (2 questions)
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Section 6: Satisfaction with YouTube Premium (2 questions)

Section 7: Purchase Intention of YouTube Premium (2 questions)
Section 8: Suggestions and Feedback
5.3 Data analysis plan

Numbers Variables Items Sources

1 YouTube - People purchase the products that they Yusuf Afif
Premium's Trial have experienced Ramadhan, Prawira
Strategy - Trial clears people’s susceptibility Fajarindra
Belgiawa (2023)
2 Perceived - Purchases are based on how good their Zhilin Yang,
Quality performances and features are. Minjoon Jun,
Robin T. Peterson
(2004)
3 Perceived Price - People purchase products if the price is Valarie A.
reasonable for their features. Zeithaml
(1988)
4 Perceived Value - Purchases are based on the benefits, brand Jillian C.
reputations. Sweeneya,
Geoffrey N. Soutar
(2001)
5 Satisfaction - People with great levels of satisfaction Atila Yuksela,
resulted in increased likelihood of repeat Fisun Yuksela,
purchase Yasin Bilim (2010)
6 Purchase - People often purchase products that are Susan L. Holak,
Intention consistent with their lifestyles and values Donald R.
- People often purchase products that are Lehmann (1990)
thought to be simple and easy to use

6. Research Report Structure

1. Title
2. Table of contents
3. Abstract
- Background & Objectives

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- Research methods.
- Results
- Conclusion
4. Introduction
- Research background.
- Problem statement
- Research objectives.
- Aim of the study
- Research question.
5. Literature review
- Literature review
- Proposed theorical framework
- Hypothesis
6. Research Methods
- Research design.
- Population and sample
7. Result & Discussion

7. Time frame
05/05/2024 - 07/07/2024: Review literature and develop instrumentation.
08/05/2024 - 25/05/2024: Collect primary data.
26/05/2024 - 27/05/2024: Writing report.
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