The Roles of Perceived Enjoyment and Price Perception in Determining Acceptance of Multimedia-on-Demand

Abstract

This research analyzes factors affecting the adoption of multimedia-on-demand (MOD) service by 542 subscribers of Chunghwa Telecom in Taiwan. The study applies the extended technology acceptance model, taking into account the perceived enjoyment and price perceptions of MOD service. Sample descriptive results indicate that the majority of the MOD service market consists of college-educated business customers. The study uses confirmatory factor analysis (CFA) and a structural equation model (SEM). The study has two major findings. First, perceived enjoyment is a salient endogenous factor affecting consumer attitudes and intentions toward use. This finding means that, in addition to offering a more humanized and simplified interface than cable TV, MOD service providers should offer more useful and entertaining content to attract customers. Second, lower monthly fees and lower prices for paid channels and movies on demand substantially contribute to customer intention toward MOD service use. The results show that a new relationship from perceived usefulness to perceived enjoyment has statistical significance. The interactive characteristics associated with providing more versatile entertainment to customers yields useful insights for the marketing and development strategies of MOD operators.

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