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An Exploration of the Link Between Consumer Loyalty and the
Music Consumption Trends of Millennials
Scott Miller
Submitted in partial fulfilment of the requirements of Glasgow Caledonian University for
the Degree of BA (Hons) Marketing
April 2016
ii
Declaration
I declare that this dissertation is my own work and that it was composed by myself.
Following academic conventions, I have made due acknowledgement of the work of
others.
Signed:
Date:
iii
Abstract
The fast paced nature of which technology is constantly evolving has significantly influenced
the everyday lives of consumers worldwide. As such, the constant adaptions being made to
technology has provided consumers with a greater variety of platforms in which they can
consume and discover music (IFPI, 2010). However, the millennial generation’s perception
towards music consumption is important due to millennial’s being the first generation to grow
up in the technological era (Bolton et al., 2013), meaning they are inclined to be accustomed
to adaptions in technology. As technology shaped the music industry in the 21st century,
consumers were offered portable music, music streaming stores, and billions of songs at their
disposal (Magnúsdóttir and Sirkeci, 2011; IFPI, 2010; BPI, 2014). It has been argued that the
digital age has effectively killed the music industry (Rogers, 2013; Ingham, 2015), but with
digital and physical music sales sitting side by side and young consumers showing a keen
interest in purchasing both digital and physical music (IFPI, 2015; BPI, 2015), the question has
to be asked, what motivates millennial consumers to purchase music? Through the literature,
it was found that consumers trial music first, but when they love a piece of music, would prefer
to buy it (BPI, 2015), which relates to the definition of consumer loyalty relating to satisfaction
and trust (Costabile, 2000). Therefore, the aim of this study was to explore how influential trust
as a consumer behaviour trait was to the consumption of music and whether certain methods
of consuming music were more appealing to millennials than others. A questionnaire was
distributed to 100 individuals above the age of 18, while three in-depth focus groups were
recorded as part of a quantitative and qualitative mixed method study. The results indicate that
millennials perceive trust as being an important factor for them when choosing the method in
which they consume music, while the findings found that millennials were particularly
interested in consuming a variety of music platforms.
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Acknowledgments
Firstly, I would like to thank both Louise McBride and Pauline Bell for their continued
guidance, support, and encouragement over the past year. I also must thank all the
participants who gave their time to take part in this study. Without their input, the study could
not have been completed successfully. I would also like to acknowledge my employer for
their understanding over the past year and for allowing me the time to facilitate my studies
around my work schedule. Finally, a big thank you has to go to all my friends and family for
their support and patience during this final year at university.
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Contents Page
Declaration of Originality and Authenticity ii
Abstract iii
Acknowledgements iv
Plagiarism Checklist v
Contents Page vi
Contents Page of Figures viii
Contents Page of Tables ix
1. Introduction and Rationale 10
1.1 Rationale for Study 10
1.2 Research Aim 11
1.3 Research Objectives 11
2. Literature Review 12
2.1 History of Music Consumption 12
2.2 The Choice of Physical and Digital in Music Products 15
2.3 Influence of Musician or Band on Music Consumption 19
2.3.1 Music Purchase Intention 21
2.4 Impact of the Internet and Social Media on the Consumption of Music 23
2.5 Consumer Loyalty as a Consumer Behaviour Model 25
2.6 Commitment Based On Trust 26
2.7 Millennials Consumer Behaviour Trends 28
3. Methodology 30
3.1 Chapter Summary 30
3.2 Research Paradigms 30
3.3 Research Approach 32
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3.4 Qualitative and Quantitative Research Methods 34
3.5 Quantitative Research Methods 36
3.6 Qualitative Research Methods 40
3.7 Sample 42
3.8 Difficulties and Limitations 43
3.9 Ethical Considerations 44
4. Results and Analysis 46
4.1 Chapter Summary 46
4.2 Millennials’ Perception Towards Music Products 46
4.3 Millennials’ Preferred Methods of Consuming Music 51
4.4 The Influence of Trust when Consuming Music 56
5. Conclusions and Recommendations 62
References 64
Appendices 75
Appendix A – Focus Group Information Sheet 75
Appendix B – Participation Form 76
Appendix C – Full Transcript of Focus Group 1 77
Appendix D – Full Transcript of Focus Group 2 86
Appendix E – Full Transcript of Focus Group 3 101
Appendix F – Questionnaire 113
Appendix G – Ethical Consideration Form 118
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Contents Page of Figures
Figure 2.1. The Steady Rise of Music Sales Taking Over from Physical Sales 16
Figure 2.2. Extent to Which Age Groups Stream Music First, Before Purchasing 18
Music on a Physical Format That They Are a Fan Of
Figure 2.3. The Hedonic Music Consumption Model and Purchase Intention 22
Figure 4.1. Platforms Used to Discover New Music 51
Figure 4.2. Preferred Platforms for Consuming for Millennials 54
Figure 4.3. How Influential Trust Was as a Factor for Millennial Consumers 57
When They Made a Decision on How to Consume Music
Figure 4.4. Likelihood of Purchasing Music Products When a Fan of an Artist 58
or Band
Figure 4.5. Likelihood of Purchasing Music Products by a Recently Discovered 59
Artist or Band
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Contents Page of Tables
Table 2.1. The Decline in Sales in Selected Countries, 1977-1980 13
Table 3.1. Key Differences Identified Between Qualitative and Quantitative 35
Data
Table 3.2. Types of Questionnaires and the Benefits Available to Each 36
Table 3.3. Questions Available to be Included in Questionnaires 37
Table 3.4. Choice of Questions 38
Table 3.5. Pros and Cons of Qualitative Collection Methods 41
Table 4.1. Percentages and Mean Scores Relating to the Likelihood and Impact 47
Various Factors Had on Their Purchasing Intentions
Table 4.2. Preferred Mode of Consuming Music Across All Three Focus Groups 52
Table 4.3. The Frequency of Which Music is Consumed Across All Three Focus 52
Groups
Table 4.4. Reasons for Using Preferred Mode of Consuming Music Across All 53
Three Focus Groups
Table 4.5. Non-Physical Streaming Services and an Example Answer from 55
Questionnaire Confirming Why These Suited Their Lifestyle
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1. Introduction and Rationale
In this chapter, the rationale behind the research will be discussed. As well as this, the aim
and objectives of the research will be identified and reviewed.
1.1 Rationale for Study
In recent times, there has been a continued dialogue surrounding the positive and negative
impacts of the digital age on the music industry. Ultimately, much of the discussion
surrounds the changes that have taken place through consumption platforms over time and
how these have impacted on the sales and revenues of the industry. Rogers (2013, p26)
suggests that the two most impactful changes on the industry are “the rise of the internet and
the simultaneous fall of record sales.” These two important changes in recent times are
examples of modern music consumption. The internet and technology’s impact on music
consumption is widely discussed in regards to how various demographics adopt the various
methods of consumption that they do. The researcher chose to examine millennials’ music
consumption trends due to being the generation most aligned with the technological era. The
researcher chose this area to study as there was very little discussion on why consumers
chose to still purchase music with cheaper alternatives available on the market. This was
reminiscent of consumer loyalty, which is defined as a combination of customer satisfaction
and trust and the likelihood of repurchasing products (Costabile, 2000; Divett et al, 2003).
Therefore, the purpose of this study is to explore the link between consumer loyalty
behaviour traits and the music consumption trends of millennials.
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1.2 ResearchAim
To explore the extent to which consumer loyalty influences millennials’ purchasing
intentions of music products.
1.3 ResearchObjectives
1. To explore the extent of millennials’ consumer perception towards music products
relating to a musician or band
2. To identify if particular methods of consuming music appeal more to millennials’ than
other groups
3. To establish how influential trust is as a consumer behaviour trait towards music
products
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2. Literature Review
2.1 History of Music Consumption
In the 1950s, popular music emerged in its modern form through the invention and
widespread success of rock and roll. The success of the genre has been pinned down to a
foundation of a youth counter-culture and teenage rebellion which was brought on by the
American societal climate of the time (Kay, 2015; Zhang, 2013). As popular music had
become a youth movement, the cultural shift put young people at the forefront of
consumption for the first time and led the way for teenagers being considered as consumers
in their own right. This major change has since become a prominent fixture of the music
industry, with recent research suggesting that young consumers consume music around
twenty-five hours per week, in comparison to older consumers who log around twelve hours
of music consumption per week (Robb, 2014).
Early figures of music consumption suggest that purchasing record players had been
prominent in decades prior to the 1950s; however, a slump in sales was noted in 1949 due to
consumer reluctance to purchasing new record players. In 1952, improvements made to
record player technology was said to have influenced sales, with 1.5 million new record
players being purchased that year (Olson, 2000). Tschmuck (2010) states that the
phonographic industry recorded a long run of prosperity in nearly all markets from the 1950s
to around 1977, when it came to a sudden end. In his study exploring the growth of music
products as a mass medium, Gronow (1983) found that the UK market was hit particularly
hard with sales of recorded music plummeting by 26.4 per cent between 1977 and 1980 (see
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Table 2.1 below; Gronow, 1983; p66-69; cited by Tschmuck, 2010), with suggestions being
made that the fall in sales was down to the worldwide recession (Tschmuck, 2010).
Table 2.1: The decline in sales in selectedcountries, 1977-1980
Source: Gronow, 1983; p66-69; cited by Tschmuck, 2010
Gronow (1983; p72) has an alternative view, stating: “explanation has been sought in the
general economic recession, the influence of private copying, and competition from other
media. But perhaps records, as a mass medium, have now reached the saturation point.” This
is a common argument still made today when discussing the declining sales of CDs and
digital downloads, with recent research suggesting that declining sales are down to new and
more popular products becoming available on the market that are taking over from the
former, popular mediums (Thompson, 2015). Since the turn of the millennium, the speed in
technological advancements has been the focal point for much of the discussion on music
sales, with the internet being described as boosting consumer power (Magnúsdóttir and
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Sirkeci, 2011). As a result of this, consumers were able to access music for free through
illegal downloading and the International Federation of the Phonographic Industry (IFPI),
have estimated that overall music sales fell by around 30 per cent between 2003 and 2009
(IFPI, 2010). Consumers having access to free content caused huge financial loss for the
global music industry, with global music piracy incurring a loss of $12.5 billion every year
(Siwek, 2007). Illegal downloading became a worldwide debate in 1999, with the rising
success of sharing website, Napster. By the year 2005, the International Federation of the
Phonographic Industry (IFPI) reported that 20 billion songs had been illegally downloaded
worldwide (IFPI, 2006); while in the UK research showed that 95 per cent of Britons
admitted to pirating music, in comparison to only 20 per cent of Britons who had purchased
music online in some form (Hunt et al., 2009; Mintel, 2008; Eaglesham and Fenton, 2008).
Despite this, it has been argued that illegal music downloads have been used as a precursor
when the product is not available for them to purchase (Aguiar and Martins, 2013), therefore
suggesting that the music industry should act quicker to consumer demands. In reaction to
this, the music industry launched a global release day in 2015 as a preventive measure to
illegal downloading and piracy, by reducing the gap between international releases (IFPI,
2015). While illegal downloading and piracy is still seemingly an issue for the global music
industry, music sales are on a steady climb, with digital revenues accounting for 50 per cent
of total UK record industry trade revenues, while streaming revenues from subscription
services such as Spotify and Deezer constituted the fastest growing sector over the twelve-
month period (BPI, 2014). It is also reported that global digital revenues grew by 6.9 per cent
to $6.85 billion in 2014, which has been paired with the level of music access now available
to consumers (IFPI, 2015). Despite the sensationalism around the internet’s positive and
negative impact upon the industry, recent figures show that consumers are returning to a
15
more traditional form of purchasing music, with the Recording Industry Association of
America (RIAA) reporting that US consumers spent $226 million on vinyl albums and
singles in the first half of 2015. Comparatively, US consumers only spent $162.7 million on
ad-supported streaming in the same amount of time (RIAA, 2015). The resurgence in vinyl
seems to be fuelled by a “hipster revolution” and an older generation looking to revisit their
youth (Davidson, 2015). These assertions outline that the invention of popular music has
shown similar patterns over time, in which sales decline as formats reach saturation point.
2.2 The Choice of Physical and Digital in Music Products
Music is commonly dissociated as a product, due in part to its intangibility. Instead, the CD,
the subscription service or concert tickets are considered as the product, while the music itself
is considered as the content. As music has digitized over time, consumers have been able to
detach the idea of content from the product (Grasmayer, 2012). In 2014, digital music
revenues surpassed physical sales for the first time, due in part to subscriptions to streaming
services soaring (McGhie and Davidson, 2015); this is shown in Fig 2.2 below (IFPI, 2015).
16
Figure 2.1: The steady rise of music sales taking over from physical sales
Source: IFPI, 2015, cited by McGhie and Davidson, 2015
The success of streaming and digital music has been linked to consumer’s reluctance to own
music, instead consumers of the 21st century would prefer to rent their music, suggesting that
streaming provides less commitment for consumers than buying a physical product, as well as
for the convenience that comes with streaming (McGlade, 2013; BPI, 2015). The fact that
digital music sales have surpassed physical sales for the first time is almost backed up by the
suggestion that the traditional forms of consumers supporting musicians and bands is over
(Herstand, 2014). Herstand (2014) suggests that even the most traditional forms of musician
and band support are over, with new digital markets such as PledgeMusic and Kickstarter
allowing regular consumers to invest in a musician or band’s career, no matter how big or
small they are.
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While the aforementioned research shows that digital music is the dominant force in the
music industry, it is becoming more apparent that consumers want both. Streaming is
reportedly encouraging a multi-channel relationship, in which consumers use streaming to
discover music, before buying the music they are a fan of to own and collect (BPI, 2015).
New statistics suggest that digital music isn’t killing physical music, instead, it’s killing other
forms of digital music, as digital downloads are on a rapid decline, while physical products
like vinyl have reached a near twenty-year sales high (Ingham, 2015; Gibson, 2015).
Gronow’s (1983) earlier statement pre-dates the digital revolution, but rings true in that
consumers are swapping digital downloads for streaming, rather than physical for digital.
Cole (2015); sourced from Gibson (2015), suggests that one of the main reasons influencing
the change in digital music is the quality of the product, while Lloyd (2015); sourced from
Gibson (2015), suggests that vinyl is becoming popular again due to its tangibility, which
could propose that consumers are willing to invest in music as a product again, as long as
they are able to trial it out first and get the best of both worlds. In terms of demographics, BPI
(2015) states that millennial consumers are more likely to be multi-channelers than 55+
consumers, but less inclined than consumers between the age of 35-54, proposing that
millennial consumers are more inclined to favour audio in digital form than traditional forms
due to their affinity with technology (BPI, 2015; Andrews et al., 2011). However, millennials
(16-34) are the generation more inclined to stream music first, before purchasing a physical
product that they are a fan of; this is shown in Fig 2.3 below (BPI, 2015).
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Figure 2.2: Extent to which age groups stream music first, before purchasing music on a
physical format that they are a fan of
Source: BPI, 2015, p22.
Despite the promising signs of interest in music consumption across all age demographics,
there is still concern that the shift in the digital music paradigm is resulting in artist’s
receiving significantly less income than they would with revenue made from CD sales
(Herstand, 2014). While consumers across all boards enjoy the benefits that streaming brings
to them as a consumer through convenience and sampling music before committing to a
purchase, they are also concerned with the amount of money the artist will make from
streaming, with 83 per cent of consumers who stream and purchase physical formats stating
they purchase CDs in order to help the artist (BPI, 2015). The influence that the artist has on
the consumer will be discussed below.
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2.3 Influence of Musician or Band on Music Consumption
The role of a musician or band is of crucial relevance to the outright consumption of music.
For example, a study into the impact of technology on music consumption found that 39 per
cent of millennial consumers consciously interact with musicians or bands on social media,
therefore, developing a relationship with the musician or band (Shapero, 2015). Shapero
(2015, p26) further states that “despite having access to so many different artists with simply
the click of a button, these users still dedicate their time to particular artists when consuming
music” in reference to millennial consumers who state they do not interact with musicians or
bands on social media. This suggests that despite the major role technology has had on the
millennials’ lives, the influence of music consumption can be built simply through the music
itself. It has also been stated that streaming as a form of music consumption eliminates the
guilt that consumers feel about not paying musicians and bands (Keating, 2015). One of the
main arguments to explain this is consumers self-identifying with the music and therefore the
musician or band (Shankar, 2000). Belk (1988, p139; cited by Shankar, 2000, p29) suggests
that “we regard our possessions as part of ourselves”, while Shankar (2000, p29) further
states that “popular music therefore can help us to make sense of our world and our place in it
and, through the process of grounded aesthetics can help us to construct our own identity or
sense of self”. These set ideas theorize that what music has to say, says a lot about the
consumers, and therefore, a level of trust has to be built up in order for a consumer to identify
with the music and even the musician or band.
Furthermore, becoming a fan of a musician or band becomes so interconnected with the
consumer’s identity, that idolising and worshipping them becomes part of the territory
(Daellenbach et al, 2015). It is also proposed that the music consumers’ move from general
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consumer to fan is instrumental in getting a musician or band’s music out to a wider audience
(Baym, 2012). As such, Baym (2012) proposes that music fans feel so connected to
musicians that the feelings they have garnered from the music are often related back to the
musician or band, which can in turn result in dedication to the musician or band and their
product. Therefore, the idea that music is considered simply as an entertainment product can
no longer be the case, with such emotional connotations attached to it (Greenacre et al, 2015).
As described by BPI (2015) earlier, consumers across all boards have an interest in helping
the musician financially and in turn, this can be seen as a musician or band inadvertently
influencing the consumer. It is suggested that consumers want to help when they do not feel
like the musician or band is begging for their help, which can in turn have a negative
influence on the consumer (Cannon & Thomas, 2014). Contributing to a musician or band
may not necessarily help a consumer form their own identity, but actively consuming a
musician or band’s music can be related back to Maslow’s “Hierarchy of Needs” model that
seems most relatable within the context of this study (Greenacre et al, 2015). Of Maslow
(1943, 1954; cited by McLeod, 2014)’s the esteem needs can be closely related back to a
music fan’s idea of self-worth and identity. This is due to the esteem needs being about
“achievement, mastery, independence, status, dominance, prestige, self-respect, respect from
others” (McLeod, 2014). While these cannot be related specifically to music fans and the
consumption of music, it can be suggested that the esteem strand meets various
characteristics related to music consumers on their discovery of self-identity through
consuming music. Furthermore, Greenacre (2015, p49) states that through Maslow’s
Hierarchy of Needs “it is possible to understand the process individuals use to seek objects to
construct dimensions of their self-identity”, as the various strands of the Hierarchy of Needs
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are seen as a building block for consumers on their path to self-identity, with esteem being
one of the final steps (McLeod, 2014).
Despite the various aspects that explain why consumers possibly become dedicated followers
of musicians and bands, there is very little to explain why consumers choose to become fans
of the musicians and bands that they are fans of. Exploring why consumers become fans of
the musicians and bands that they do will be discussed below.
2.3.1 Music Purchase Intention
One of the main reasons given for consumers choosing to consume music is for how relatable
the music is to the consumer and how they identify with it (Shankar, 2000; Greenacre, 2015;
Daellenbach et al, 2015), but there is very little insight into what puts a consumer on to a
musician or band and their music. In recent times, consumers across all age demographics are
turning to streaming services such as Spotify in order to trial out music, which in turn, has
shown signs of resulting in future purchase intention (BPI, 2015; IFPI, 2015). Before the
popularity of streaming, there were few ways in which consumers could trial and rent music
before making a full purchase, although radio and television were the original methods. As
such, the Hedonic Music Consumption Model was created by Lacher and Mizeski (1994) in
order to question why consumers choose to purchase music by examining the responses
participants had towards new rock music. In relation to existing musicians and bands, Lacher
and Mizeski (1994, p367) state that “even though some consumers may purchase new music
releases on the strength of their knowledge of the artist or composer without previous
exposure to the music, these consumers have expectations based either on projections from
previous experience or on review recommendations…”. This suggests that consumers would
22
typically blind purchase music based on trusting a reliable source (whether it be a musician
they have been a long term fan of or trusting the recommendation).
Lacher and Mizeski (1994)’s study is split into four responses to music and four additional
factors relating to music purchase; this is shown in Fig 2.4 below (Lacher and Mizeski,
1994).
Figure 2.3: The Hedonic Music Consumption Model and Purchase Intention
Source: Lacher and Mizeski, 1994, p370
The above data responses were based on previous research and were used in Lacher and
Mizeski’s model to discover whether the music being played to participants had any after
effect on them. For example, the emotional response to music can involve listeners reacting
with joy or anger, which is described as being prominent in the general appreciation of music,
while the sensory responses involve listeners reacting by tapping their foot or dancing
(Lacher, 1994). Although this explains the general response consumers have to music, it does
23
not explain what would lead consumers to purchasing music. However, it is explained that
the four initial responses are closely related to the experiential response and if consumers
enjoy the music enough, they may want to re-experience the music and Lacher (1994, p369)
goes on to explain that “if a person enjoys the music, the person could purchase it to be able
to play it again at a time of the individual’s choosing”. This explanation is especially relevant
when discussing the purchase intentions of consumers today. The BPI’s (2015) research into
multi-channel consumption suggests that the combination of physical and digital formats
have aided the sales of physical CDs, due in part to consumer’s tendency to sample music
first through streaming services. Relating back to Lacher and Mizeski’s (1994) Hedonic
Music Consumption Model, the new form of trialling music gives consumers the opportunity
to discover what they like and experience it as often as they want until they become a fan,
with the BPI (2015) stating that “69 per cent of consumers agreeing or strongly agreeing that
they stream to discover music…but when I come across something I love, I like to buy it.”
Through this, physical musical consumption is still as successful due in part to the internet
and social media giving consumers more options when discovering music. The impact social
media and internet services has on the consumption of music will be discussed below.
2.4 Impact of the Internet and Social Media on the Consumption of Music
While it has been proposed that the internet has interrupted the traditional forms of
consuming music (Meisel and Sullivan, 2002; Herstand, 2014), there is evidence to support
the idea that the internet has had both positive and negative impacts on music consumption.
For example, as the internet has created new streams for free music consumption, this is
categorised as negatively impacting on the music industry (IFPI, 2010; Magnúsdóttir &
Sirkeci, 2011), however, it is suggested that consuming music for free has not displaced
24
traditional forms of consumption entirely, with some cases stating that it could encourage
consuming legally (Aguiar and Martens, 2013). Furthermore, it was reported that the total
revenue from music sales through digital retailers was US$4.2 billion in 2009 (IFPI, 2010)
and that 57 per cent of internet users across thirteen of the world’s leading music markets had
consumed music through an internet video streaming site (IFPI, 2015). A study into the
impact of internet streaming services such as Spotify was explored by Aguiar and Martens
(2015) providing evidence suggesting that subscription streaming services have displaced
illegal downloading, stating that around forty-seven Spotify streams were able to replace one
illegal download. In the same study, Aguiar and Martens (2015, p7) also suggest that the
popularity of internet streaming services may have displaced the sale of individual digital
downloads, as it has been found that availability of individual tracks on streaming services
can benefit the sales of the partner album, but not the tracks individual release.
As well as the services available for discovering and consuming music, it has been found that
social media has impacted on the way music is consumed (Huynh et al, 2015; Dewan and
Ramaprasad, 2014). It has been stated that social media has not been entirely positive for
the music industry. Research suggested that the amount of time a consumer spent on social
media led to a significant rise in their intent to illegally obtain music or file share
(Daellenbach et al., 2015), which suggests that the longer spent online brings way to a larger
availability of illegal music sharing. This is backed up with the knowledge that online music
file-sharing services, which allow users to swap MP3 music files without paying royalties to
recording companies and artists, has had the greatest impact on traditional business (Walsh et
al., 2003). In relation, many suggest that young age is a particularly high factor in pirating
popular music (Bhattacharjee et al., 2003; Coyle, et al., 2009; Jambon and Smetana, 2012;
Plowman and Goode, 2009; Wang et al., 2009). Social media plays a significant role in
25
consumerism, allowing consumers the opportunity to access a wide range of information all
in the one place, to voice their opinions and access others giving way for more consumer
power, and a new way of consumer loyalty through social media engagement (Greene, 2012).
Recent research shows there are currently 2.078 billion active social media accounts and 3
billion people worldwide have internet access (Kemp, 2015), accounting for just under half of
the world’s population. It has also been suggested that 92 per cent of American
Millennials between the ages of 18-29 are using social media (Frost and Sullivan, 2012),
showing that Millennials are pushing the power of social media on consumerism.
2.5 Consumer Loyalty as a Consumer Behaviour Model
Consumer loyalty as a form of consumer behaviour is expressed as an integral part of
organisation’s measuring their success (Oliver, 2015). The salient factor of creating consumer
loyalty is the connection of satisfaction over time and trust (Costabile, 2000), claiming that
consumer loyalty is a behavioural model that is earned over time as consumers continue to
enjoy the products or services and begin to build trust as they are continuously satisfied by
what they are investing in. It is suggested that consumers that show the greatest signs of
loyalty are the ones most likely to repurchase and spend money in greater volumes (Divett et
al, 2003). This explanation of consumer loyalty behaviour is reminiscent of fan
behaviour in music consumption as previous research has shown that consumers will test
music products first and this may lead to purchasing their music if they enjoy it, which in turn
may result in returning to consume their music again (BPI, 2015). In the case of pop star
Lady Gaga, Huba (2013) writes that the key to the musician’s success is her focus on the
small percent of her audience who are already loyal and by building a community for all the
loyal fans to be part of. In relation to regular organisations and consumer loyalty, this form of
26
attention being paid to fans is similar to that of loyalty schemes which positively reinforces
consumer loyalty by rewarding them (Divett et al, 2003). This suggests that both Huba
(2013)’s and Divett et al (2003)’s earlier argument for creating consumer loyalty is through
positive reinforcement that the consumer’s involvement is appreciated and therefore may
influence continued involvement with the musician or band or brand.
Studies have looked into the various factors of relationship marketing that come in to play
when establishing customer satisfaction (Costabile, 2000; Homburg and Giering, 2000;
Leverin and Liljander, 2006). Much of the research revolves around the emotional
connotations that result in consumers becoming consumer loyal, with it being stated
consumers will experience positive emotions (happiness, excitement) or negative emotions
(disappointment, anger) and the emotional component is a result of the service delivery (Yu
and Dean, 2001). This may explain why consumers self-identify with music and therefore
need to be emotionally invested in the music in order to become loyal (Daellenbach et al,
2015) and why consumer loyalty is largely affected by the characteristics of the consumer
(Homburg and Giering, 2000). If customer satisfaction is built over time, then Costabile
(2000) suggests that trust too will be gained. The commitment based on trust will be
discussed below.
2.6 Commitment BasedOn Trust
Despite the vast availability of music products, the previous literature suggests that
consumers are still willing to consume music through purchase if they are a fan of the artist
(BPI, 2015) and the research into consumer loyalty provides evidence to support the idea that
if consumers are satisfied with a product or service then trust is attached to this (Costabile,
27
2000). Morgan and Hunt (1994, p22)’s study into “The Commitment-Trust Theory of
Relationship Marketing” states that "commitment and trust are key" because they
encourage marketers to "view potentially high-risk actions as being prudent because of the
belief that their partners will not act opportunistically," which suggests that consumers are
less likely to take advantage when consuming music, if they have already built trust with a
musician or band. Furthermore, it is stated in the same study that the combination of
commitment and trust result in joining behaviours that are instrumental in the success of
relationship marketing (Morgan and Hunt, 1994), showing that consumers who are
committed and trusting are inclined to return.
While much of the literature on trust focuses on general consumerism, there are examples
relating to the music industry which suggest that trust is crucial to the success of consumers
being committed to a musician or band. For example, in a story related to musician Amanda
Palmer, it was stated the crux to connecting with fans is through building trust “by making it
such that people want to support the artists they love” (Masnick, 2013, p1). Through this
example, it is further suggested that the availability of the internet provides the opportunity
for musicians to connect with fans on a human level, which can in turn, result in them
wanting to support the artist (Masnick, 2013). Further research also suggests that trust is
important for music services, with 32 per cent of consumers stating that they must trust the
service provider in order to use different music services (IFPI, 2015). This factor was more
important to consumers than security and quality of sound, showing just how crucial trust is
to commitment to both music products and the musician or band.
28
2.7 Millennials’ Consumer Behaviour Trends
Millennials are the first generation to have grown up in the digital age (Bolton et al., 2013),
therefore, they have become accustomed to the changing landscape of the music industry and
have moved along with the changing technology that has influenced the way music is
consumed in the 21st century. The millennials’ early exposure to technology has both positive
and negative outcomes when it comes to their behaviour, which can in turn influence the way
in which they respond to products through the way they respond emotionally and socially
(Bolton et al., 2013, Immordino-Yang et al., 2012). millennials have benefitted from
customized products and personalized services (Ansari and Mela, 2003; Berry et al., 2010;
Bitner et al., 2000; Peterson et al., 1997) and this new consumer trend has led the way for
streaming services such as Spotify and Apple Music to release personalised mixtapes catering
to the end user’s tastes (Dredge, 2015). The motivation of personalised products and the
attitude of wanting something and wanting it now (Ng et al., 2010; Twenge, 2010) is very
much a product of the millennial and the power the millennials have over consumerism in the
21st
century. This “want it and want it now” attitude can be described as eagerness, a
behaviour pinpointed by Perugini and Bagozzi (2001) in their model. Eagerness is an
important attribute to point out when discussing millennials and their consumer motivation,
because eagerness is suited to a wide range of consumer activities, including the music
industry. It is also noted that eagerness can be related to the engagement of new behaviours
(Fitzmaurice, 2005), meaning there is more room for marketers to engage millennials in new
products, which can also stem to new artists and bands.
The existing literature highlights how the changes in technology have influenced the ways in
which music is consumed, particularly suggesting how the environment that the millennial
29
group have grown up in has affected the multiple options available to them as consumers
when it comes to consuming music. Musicians and music industry leaders use set tools to
gain committed, loyal fans, but consumers particularly respond better to emotional motives
due to the personal nature and self-identity found through music consumption. Although the
literature provides detail into the importance of consumer loyalty and trust and key figures
relating to music consumption among the millennial group, there is no concrete evidence of
how interconnected consumer loyalty is to millennial music consumption habits, which this
study aims to investigate.
30
3. Methodology
3.1 Chapter Summary
This chapter will explain and justify the chosen research approach and data collection which
have been selected for this study. Through this study, the aim is to look at the extent to which
consumer loyalty influences millennials’ purchasing intentions of music products. To explore
this subject further, the research aimed to explore the following objectives,
 To explore the extent of millennials’ consumer perception towards music products
relating to a musician or band
 To identify if particular methods of consuming music appeal more to millennials’ than
other groups
 To establish how influential trust is as a consumer behaviour trait towards music
products
3.2 ResearchParadigms
Business research includes two main schools of thought, which are positivism and
phenomenology, made up of primary and secondary research. Positivism takes on a
quantitative approach and is a philosophical system which states that the “social world exists
externally, and that its properties should be measured through objectives methods, rather than
being inferred subjectively through sensations, reflections, or intuition” (Easterby-Smith et al,
2002, p28). Through this, it can be stated that positivists believe there is scientific verification
for everything, with positivists viewing the world as a “fixed entity whose mysteries are not
31
beyond human comprehension” and believe that “the world is knowable” (O’Leary, 2004;
p5). This further explains the positivists idea that the social can be studied as a subject using
set procedures and guidelines (O’Leary, 2004). The positivist methodology is usually
“deductive, hypothesis driven, reliable, and reproducible” (O’Leary, 2004).
Phenomenology is seen as an interpretivist view and adopts a qualitative approach, which
views research from a philosophical standpoint. It is seen that phenomenology practices can
help to adjust to new issues and ideas as they emerge, as well as gather data that is seen as
natural rather than artificial (Easterby-Smith et al, 1991). In comparison to positivism,
phenomenology focuses on individuals and their descriptions of their lived experiences that
form the concept of phenomenology (O’Leary, 2004). Furthermore, Moran (2002) states that
the focus paid to individuals allows for things to be seen, rather than following a set list of
guidelines and doctrines. Denscombe (2003, p105) lists four advantages of following a
phenomenological approach to research, which are:
 “Offers the prospect of authentic account of complex phenomena
 A humanistic style of research, there is a respect for people
 Suited to small scale research, where budget is low and the main resource is the
researcher himself/herself
 The description of experiences can tell an interesting story, which many people will
be interested in and can relate to.”
It is these examples that explain the reasoning for choosing to follow a phenomenological
approach to research. The research aimed to meet individuals who fall under the millennial
bracket, which means the research would aim to gain response from those born between the
32
years of 1980 and 1996 (Carnegie, 2015) or who reached adulthood in the 21st century
(Howe and Strauss, 2000). The phenomenological form of research was used in order to
analyse this demographics perceptions, thoughts and attitudes towards the area of study, as
they were of crucial importance to the overall research.
3.3 ResearchApproach
According to Saunders et al (2003), there are two approaches to research that lend themselves
to both positivism and phenomenological philosophies. They are the deductive and the
inductive approach. The deductive approach is linked to positivism, due to its examination of
whether or not the “observed phenomena fit with expectation based upon previous research”
(UK Essays, 2013). The inductive approach is linked to phenomenology, due to its nature in
making an observation, before devising a theory based on the research results (Saunders et al,
2009).
The deductive research approach has various stages which are described by Robson (2003,
cited in Saunders et al, 2003, p86):
 “Deducing a hypothesis from the theory
 Expressing the hypothesis in operational terms, which propose a relationship between
to specific variables
 Testing this operational hypothesis
 Examining the specific outcome of the inquiry
 If necessary, modifying the theory in light of the findings.”
33
The inductive research approach is described as giving research findings the opportunity to
be drawn from the main themes that emerge from new data (Thomas, 2006). Thomas (2006,
p238) further explains the general purposes of forming this approach:
 “To condense extensive and varied raw text data into a brief, summary format
 To establish clear links between the research objectives and the summary findings
derived from the raw data and to ensure that these links are both transparent (able to
be demonstrated to others) and defensible (justifiable given the objectives of the
research); and
 To develop a model or theory about the underlying structure of experiences or
processes that are evident in the text data.”
Furthermore, some of the major differences between deductive and inductive are categorised
as “the collection of quantitative data, the operationalisation of concepts to ensure clarity of
definition, and moving from theory to data” (deductive) and “gaining an understanding of the
meaning humans attach to events, a close understanding of the research context, and the
collection of qualitative data” (inductive) (Saunders et al, 2009, p127).
This research has looked at both inductive and deductive forms of research, as qualitative and
quantitative methods were both used to collect qualitative and quantitative data for analysis.
This is known as a mixed method approach and it is described as being “two methodological
approaches (that) are compatible and can be fruitfully used in conjunction with one another
(Teddlie and Tashakkori, 2011) which is particularly useful in regards to this study, as it is
attempting to discover if consumer loyalty characteristics are present in millennial consumers
when it comes to the way they choose to consume music.
34
3.4 Qualitative and Quantitative ResearchMethods
Quantitative research is “used to quantify the problem by way of generating numerical data or
data that can be transformed into useable statistics”, while qualitative research is “used to
gain an understanding of underlying reasons, opinions and motivations” (Wyse, 2011, p1).
There are a variety of differences explored when conducting qualitative and quantitative
research. Elmusharaf (2012) identified these key differences and they are shown in Table 3.1,
below.
35
Table 3.1: Key differences identified between Qualitative and Quantitative Data
Source: Elmusharaf (2012)
It is stated by Denscombe (2003) that the differences between both qualitative and
quantitative are over simplified in their definition and show them as separate entities,
however, in the world of research, it is not simple enough to split people in two different
camps, showing that both forms of data are easily mixed. Furthermore, it is stated that “the
researcher should mix quantitative and qualitative research methods, procedures, and
36
paradigm characteristics in a way that the resulting mixture or combination has
complementary strengths and non-overlapping weaknesses” (BCPS, 2015).
3.5 Quantitative ResearchMethods
As stated, quantitative research relies heavily on numerical and statistical data and is
objective and confirmatory (Elmusharaf, 2012; Wyse, 2011). Questionnaires are adopted in
this study due to their suitability to the overall research. This is because questionnaires have
the potential to “reach a larger number of respondents, represent an even larger population,
and be confidential and anonymous” (O’Leary, 2004, p152/53). O’Leary further states that
there are three ways of conducting questionnaires, which are “face-to-face, telephone, and
self-administered” (O’Leary, 2004, p154). Questionnaires are described as being “…a series
of written questions for which the respondents have to provide answers” (Beiske, 2002, p3).
It is stated that questionnaires are beneficial when gathering information on characteristics
relating specifically to the participant, including their behaviour, attitudes, and beliefs (Bird,
2009). Table 3.2 shows the various benefits relating to the types of questionnaire available.
Table 3.2: Types of Questionnaires and the Benefits Available to Each
Source: Evalued (2015)
37
In the case of this study, self-administered (or personally administered) questionnaires were
adopted in order to reach a wider pool of participants. The benefits of using this form of
questionnaire is down to the opportunity for participants to remain anonymous and giving
them the option to do the questionnaire in their own time (O’Leary, 2004). O’Leary (2004,
p154) further states that “response rates, however, can be really low”. However, the
questionnaires were taken online and participants were contacted through social media to
access a link featuring the questionnaire. Participants were requested from all genders and it
was made clear that they had to be over eighteen. All ages above eighteen were invited to
participate. As well as this, the questionnaire was sent to social media groups that had a pool
of individuals with a particular interest in music. This was done in order to get opinions from
those who presumably had an active interest in music consumption. A copy of the
questionnaire can be found in Appendix F. Table 3.3 provides the questions that can be
included in a questionnaire.
Table 3.3: Questions Available to be Included in Questionnaires
Source: Burgess (2001)
All questions were used during the questionnaire, minus ranked questions. Multiple choice
questions were used in relation to questions such as “what are your preferred modes of
38
consuming music?” as through the previous literature, it was evident that consumers were
multi-channel users, meaning they were more inclined to use a variety of different platforms,
anticipating that participants would provide more than one answer (BPI, 2015). An
exhaustive list of possible answers was provided, but “other” was also provided to
participants in case any possible options were left out (Burgess, 2001). Category questions
were provided as a good indicator of the overall behaviour of participants (Bird, 2009).
Rating Questions were used in regards to the likelihood of a participants’ music consumption,
as it provides the opportunity for neutral participants to provide their feelings if they are not
totally for or against certain topics (LaMarca, 2011), in this case, music consumption. Finally,
open ended questions were provided for questions that needed further analysis, particularly
those in regards to the methods in which they consume music. Furthermore, open ended
questions provide participants the opportunity to express their full opinion which avoids the
possibilities of the participant being influenced by the researcher (Reja et al, 2003). Table 3.4
provides shows how the questions linked to the objectives.
Table 3.4: Choice of Questions
39
40
In terms of analysis, quantitative data was compiled through software programme SPSS.
Despite the quantitative nature of some of the questions included in the questionnaire, the
majority of questions were related heavily to results found in the focus group. Therefore, the
tests undertaken from the questionnaire data is formed through descriptive statistical tests.
This allowed for a more descriptive and opinion led analysis of the research.
3.6 Qualitative Research Methods
Qualitative research is a strategy that is concerned more with the opinions and beliefs which
form an individual’s behaviour (Wyse, 2011). Table 3.5 below provides the various data
collection methods, as well as the pros and cons of each.
41
Table 3.5: Pros and Cons of Qualitative Collection Methods
Source: BMJ (1995), Evalued (2015), Kawulich (2005)
From the above information, it was decided that focus groups were the best fit for qualitative
research. This was done in order to clarify the results found in the questionnaires, as this
would give a better idea of the behaviour and characteristics found in the participants that
could verify further why some results were more popular than others (Evalued, 2015). Focus
groups also give participants the opportunity to add on to others ideas, as to get a full
42
conversation going between all participants involved in the focus group (BMJ, 2015).
Saunders et al (2003) suggests that the amount of participants involved in a focus group can
range from four to ten, as this amount of participants allows for a richer discussion on the
various topics. It is further stated that small focus groups ranging from between four to six
participants are “becoming increasingly popular because the smaller groups are easier to
recruit and host and are more comfortable for participants” (Krueger and Casey, 2008, p67).
It is also suggested that focus groups provide participants with the opportunity to discuss a
shared experience, that ultimately provides for better analysis and data (BMJ, 2015).
3.7 Sample
The sample for the quantitative and qualitative research differed in terms of the amount
required for each method. The chosen sample for the questionnaire was a cross section of 100
people, with the only requirement being that they were above the age of eighteen. This was
due in part to the objectives revolving around the consumer loyalty behaviour of millennials,
who at their youngest, would be born in 1996 (Carnegie, 2015). At the time research was
undertaken, this would make them either nineteen or twenty years old (2016). Respondents
who were considered as Generation X or Baby Boomers (Wallop, 2014) were also requested
to take part in the questionnaire, as this provided the researcher with the opportunity to
compare results from millennials and older generations and see whether particular modes of
consumption were more prominent in the different age groups. The questionnaire was posted
on social media sites and were distributed to people living mostly in the United Kingdom,
with the majority of responses being taken from those living in the Renfrewshire area of
Scotland. Questionnaires were predominately taken at home, as this provided participants
with the opportunity to feel more at ease. The questionnaires were carried out in February
43
2016, with data being collated in February and March 2016, after it was monitored that at
least 100 respondents had taken part.
The chosen sample for the focus group was a total of three focus groups with an aim of six
participants for each focus group, with an overall aim of eighteen total participants. As stated,
having six in each would provide a well-balanced discussion among participants (Krueger
and Casey, 2008). It was decided that the focus groups would be made up of three groups of
students studying at Music courses at West College Scotland in Greenock. This is described
as quota sampling, a non-probability sampling technique which divides individuals into
relevant groups and are chosen on the relevancy to the topic (Yang and Banamah, 2014). The
sample from this group would have been chosen randomly based on level of interest from
students, however, this sampling method had to be dropped due to time constraints and a
more convenient method of sampling was adopted. This can also be described as a theoretical
sampling model, in which participants are selected to represent a larger population of the
study (BMJ, 2015).
3.8 Difficulties and Limitations
One of the main difficulties that occurred while gathering data for this study was reaching the
target aim of respondents set out prior to undertaking the research. Prior to undertaking the
research, the aim was to gain six respondents over three focus groups (eighteen in total). As
the focal point of the research is regarding music consumption, the aim was to undertake the
qualitative research at a local college which offers various music related courses. Gaining
responses from music students seemed beneficial to the overall objectives from the
methodology, as it was assumed that they would be actively involved in music consumption
44
and therefore have a more insightful view of the topic. Unfortunately, the recruitment of
music students was difficult due to a lack of response and low interest from the college.
Instead, students who were considered to be millennials were recruited from inside the
university. However, a non-probability sampling method of recruitment was implemented as
only students who were considered to be millennials were recruited. Due to time constraints,
a method of convenience sampling was used in order to gain as many respondents as
possible. Convenience sampling is described simply as being convenient to the researcher
(Dörnyei, 2007, cited in Farrokhi and Mahmoudi-Hamidabad, 2012, p.784) and convenience
was a major factor in the selection process due to the time constraints outlined previously.
Time constraints were instrumental in the organisation of the three focus groups, with one of
the three focus groups being taken online, rather than the other two which were recorded in
person.
3.9 Ethical Considerations
Glasgow Caledonian University’s ethical guidelines state that one of the key components of
undertaking an ethically correct study is informed consent. As such, participants for the focus
group were provided with a participant consent form and joining information sheet, which
provided participants with information relating to the topics which would be covered and a
list of points to consider before signing the consent form. As well as this, participants were
provided with verbal confirmation of the focus groups topic and a general breakdown of how
a focus group is recorded and how information is handled afterwards. A copy of the
information sheet is included in Appendix A, participant forms in Appendix B, transcripts
from the focus group are included in the appendix C, D, and E, and the questions posed in the
questionnaire included in appendix F.
45
One topic that could have been considered unethical in relation to the research topic was the
act of illegal downloading. Illegal downloading was brought up in the literature as a point of
contention in regards to the topic of music consumption in the 21st century, as it came up that
a prominent aspect of modern music consumption was illegal downloading (IFPI, 2006; Hunt
et al., 2009; Mintel, 2008; Eaglesham and Fenton, 2008; Aguiar and Martins, 2013). As this
came up in the literature, it was possible that this would form discussion during the
qualitative data collection. However, as the topic surrounds illegal activity, this is considered
as an ethical issue. As such, it was decided that no topic would be brought up on the
researcher’s part regarding illegal downloading and if the topic was brought up by
participants, then the discussion would be moved along quickly to avoid any further issues.
Furthermore, no participants were required under the age of eighteen, as they are still
considered as minors and any possible participant under the age of sixteen would need to
receive consent from a parent and a disclosure to take part in a recorded discussion. This was
explained on the front page of the questionnaire that only individuals above the age of
eighteen were required.
46
4. Results and Analysis
4.1 Chapter Summary
The aim of this study is to investigate the effects consumer loyalty traits may have on the
millennial consumer’s consumption of music. This chapter will discuss the results found from
an analysis of the questionnaires and focus groups. Both quantitative and qualitative data
findings will be blended together rather than dedicating separate sections to each. This
approach has been chosen in order to compare the data found. This chapter will discuss these
results with reference to the objectives and aims of the study and literature that already
reviewed the topic.
4.2 Millennials’ perception towards music products
The first objective of the study was:
 To explore the extent of millennials’ consumer perception towards music products
relating to a musician or band
While analysing and evaluating the information sourced through secondary research, it
became clear that there were clear differences in the way in which millennial consumers
consumed music in comparison to previous generations. Research showed that millennial
consumers were interested in personalised products (Dredge, 2015) and that being the most
prominent users of social media has ultimately played a major role in 21st century
consumerism (Frost and Sullivan, 2012; Greene, 2012). This led to the first stage of the
47
research, which involved introducing questions to the public to see how accurate the previous
research was.
An attitudinal scale was used to measure the respondent’s attitudes towards different aspects
of probing questions regarding the likelihood of consuming music and the factors that
influence them. These set of statements were presented to participants who were asked to rate
on a likert scale of 1-5 to what extent they agreed or disagreed and how much of an impact
this would have on them as a consumer, where 1= strongly disagree/no impact and 5=
strongly agree/major impact.
Table 4.1: Percentages and mean scores relating to the likelihood and impact various
factors had on their purchasing intentions
48
The overwhelming majority of consumers that participated stated they would purchase new
music products, while being a fan of a musician would play the biggest part in their decision
to actually purchase music, rather than consume it through other means. It is important to
note that participants that took part in the questionnaire ranged from 18-50+. Despite the
research being aimed at millennials, it was important to distinguish the differences between
millennials and previous generations through the questionnaire to see how much of a
difference there was between millennials and groups such as Generation X and Baby
Boomers. As stated, gaining respondents above the age of 35+ was difficult and as such, less
participants above the age of 35+ took part in the research in comparison to the millennials.
It is evident that millennial consumers have different opinions on music consumption, which
could be a result of their exposure to growing up in the technological era (Bolton et al., 2013,
Immordino-Yang et al., 2012). An overwhelming consensus agreed during the questionnaire
and focus group that music is so accessible, that it changes their views on how they choose to
consume music. The questionnaire offered respondents to answer open ended questions, with
one respondent stating:
“Music is a part of everyday life, and as such, has become quite similar to running water. Its
availability just means people expect it and therefore, expect it for free”. In comparison to
those over the age of 35 who took part in the questionnaire, who stated they were willing to
pay for music of any price, as long as they liked the artist. This is in comparison to the
literature, which found that individuals over the age of 35 were the most inclined age group
to be multi-channel music users and it was suggested that consumers across all age
demographics were concerned with helping musicians financially, which suggests that price
is less of a factor when a consumer is a fan of the artist (BPI, 2015).
49
Through research for the focus groups, it became clear that many well-known musicians saw
physical CD’s as dying out and streaming platforms being the future. When asked about this
in one of the focus groups, one respondent expressed their views on the purchasing of music
in relation to their parents stating,
“maybe there’s still a place for older generations, like my mum and dad they would
always just buy the CD. Even though they can plug their phone in the car, they’d still rather
have a CD” (Participant 1, Focus Group 1).
This concurs with the literature that suggests that the millennials early exposure to new
technology throughout their life has led to this behaviour of adopting new forms of music
consumption as soon as it’s available (Fitzmaurice, 2005).
Through prior research, it became evident that there was little in the way of information
relating to consumers’ loyalty towards a musician or a band and how this impacted on their
music consumption habits. This formed the main body of the study (BPI, 2015; Shapero,
2015). When conducting the research, the questions posed to participants revolved around
their attitude towards how they consumed music (in general) vs. how they consumed music
when they were a fan of a particular musician or band. One of the key factors that showed a
consumer’s loyalty was avoiding trial purchases. During focus group two, participant three
stated:
“I have purchased an album without previously listening to it many times.”
A point which was backed up in the same focus group by participant four, who stated:
“...There are many artists I like that once a new product/record is announced, I will pre-
order it without any knowledge about it other than its release date.”
As a follow up question, participants were asked if blind purchasing is a common
characteristic in music consumer loyalty to which there was unanimous agreement that being
50
a fan of a musician requires a high level of trust and therefore, once trust is built, they are
happy to buy their products with no knowledge other than previous experience. Within this
particular line of questioning, participant five stated: “The product quality is irrelevant when
related to a specific artist.”
In order to test this loyalty, participants were asked how they built their trust and how they
lost their trust. Previous research suggested that millennial consumers were more inclined to
engage in new products, due to eagerness being a common characteristic of their generation
(Fitzmaurice, 2005). Therefore, it was important to see how relatable this was to engaging
with new artists and bands and whether millennials behaviour changed when choosing to
consume new music. A multiple choice question was asked of participants taking part in the
questionnaire which enquired what platforms participants used to discover new music. A
comprehensive chart of the most popular platforms used to discover new music is shown
below, with traditional forms such as radio and word of mouth still ranking high among all
age groups. However, more technologically based platforms such as video streaming
services, free streaming services (e.g. SoundCloud) and subscription audio streaming services
were also popular among all age groups, in comparison to previous research which suggested
that older consumers would prefer to stick with the platforms they are used to.
51
Figure 4.1: Platforms Used to Discover New Music
4.3 Millennials’ Preferred Methods of Consuming Music
The second objective of the study was:
 To identify if particular methods of consuming music appeal more to millennials’ than
other groups
Through the analysis and evaluation of primary research, it became evident that a wide
variety of platforms for consuming music were popular among millennial consumers with a
varying degree of factors coming in to play in their final decision. As pointed out in the
previous objective, traditional forms such as radio and concerts were still increasingly
popular with the millennial consumer, despite new and cheaper platforms coming in to play
in recent years which have proven as some of the more popular methods of consuming music
52
(IFPI, 2015). During all focus groups, participants were asked what their preferred modes of
consuming music were and why they preferred to use these modes. Below, a table including
these lines of questioning is attached for each focus group.
Table 4.2: Preferred mode of consuming music across all three focus groups
Table 4.3: The frequency of which music is consumed across all three focus groups
53
Table 4.4: Reasons for using preferred mode of consuming music across all three focus
groups
Relating the following research back to the objective, it would seem that no particular mode
of consuming music is unanimously agreed by millennials as their preferred mode. While
subscription streaming services was the method of music consumption that was brought up
most frequently among participants, it is important to note the participants mentioned various
services that they use and reasons relating to why they use each. This relates back to the
literature which states that millennial consumers are multi-channelers, meaning they use
various platforms to consume and purchase music (BPI, 2015).
However, it can be noted that the most frequent factor given by millennials in making their
decision on how they consume music ultimately comes down to convenience. It can be noted
that this factor relates heavily to a common characteristic of millennials that they are the
54
generation of wanting it and wanting it now (Perugini and Bagozzi, 2001) and that the
convenience of music consumption in the 21st century meets their day-to-day lifestyle. All
participants in the focus group agreed that they consumed music every day at numerous
intervals. Although there were various reasons given for why they chose to consume the
music in the way they did, this confirms that music is a part of daily life for millennials
(Grasmayer, 2012). This suggests that the millennials’ affinity to technology has made music
consumption a daily ritual. The same question was asked of participants, who filled out the
questionnaire and out of all respondents, the majority of respondents stated that they choose
to consume music out of “ease and convenience”. Before this question was asked,
respondents were asked what their preferred platform for consuming music was. Analysing
the millennial respondents suggests that subscription audio streaming services (e.g. Spotify,
Apple Music, Deezer, and TIDAL) is the most popular platform for consuming music.
Figure 4.2: Preferred platforms for consuming music for millennials
55
However, when analysing the follow-up question, “based on your previous answer(s), can
you confirm why you choose to consume music in this way?”, it became clear that the most
popular answer was ease and convenience and this answer related specifically to non-physical
forms of music consumption. Many respondents said the convenience was down to what
suited their lifestyle, clarifying the same message applied by participants in the focus groups.
This suggests that consuming music is down to convenience for the millennial consumer and
buying CD’s and vinyl does not always work with their lifestyle.
Based on the various platforms that were available, a table confirming how convenient each
product was for each respondent.
Service Reason
Subscription Audio
Streaming Service
“Convenience-access to surplus music for price of, like, one
album. Don't even notice cheap, fixed, monthly charge being
deducted. All in one place.”
Video Streaming
Service
“Convenient and free to view on YouTube as I have a
smartphone.”
Radio and TV “It's easy to access music free via radio stations.”
Digital Downloads “I prefer having digital music as it is easier to access and
organise.”
Table 4.5: Non-Physical Streaming Services and an Example Answer from
Questionnaire Confirming Why These Suited Their Lifestyle
Physical products such as CD and vinyl were often pointed out by respondents for creating a
collection and ownership. This shows that there may not be a particular form of consuming
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music that is more appealing to millennials; instead, the platform that the millennial prefers to
use is dependent on a variety of factors.
4.4 The Influence of Trust when Consuming Music
The final objective of the study was:
 To establish how influential trust is as a consumer behaviour trait towards music
products
Participants were asked whether trust was an important factor to them when it came down to
how they chose to consume music. Paying close attention to millennials, a total of 45.27 per
cent of participants from 18-34 agreed that trust was an important factor in how they chose to
consume music, in comparison to the 25.26 per cent of participants who said that trust was
not an important factor for them when it came down to how they chose to consume music.
57
Figure 4.3: How Influential Trust Was as a Factor for Millennial Consumers When
They Made a Decision on How to Consume Music
In definition, trust as a factor is in regards to whether consumers trust the artist or service
enough to spend money on it. Through literature, it is clear that the music industry has to
adapt in order to meet the needs and wants of the consumer (Moorman, Deshpande, and
Zaltman, 1993) and through the primary research, it is clear that the millennials are not
entirely trusting of music products and the industry, overall. While the secondary research on
trust is more in relation to services such as streaming sites, download sites, and CD’s and
ultimately the factors previously mentioned such as convenience and ease of access, it was
crucial to find out whether consumers are more trusting if they are a fan of a musician/band
or not.
58
Figure 4.4: Comparing Participants’ Answers to How Important Trust Was as a Factor
in How They Choose to Consume Music versus the Likelihood of them Purchasing
Music Products When They Are a Fan of an Artist or Band
59
Figure 4.5: Comparing Participants’ Answers to How Important Trust Was as a Factor
in How They Choose to Consume Music versus the Likelihood of them Purchasing
Music Products by an Artist or Band That They Had Recently Just Discovered
Comparing the previous two tables, it is evident that participants who agreed that trust is an
important factor in music consumption were more inclined to buy music products by an artist
or band that they are a fan of, suggesting that they have gained a certain level of trust and
therefore, are more inclined to blind purchase their music. In relation to the literature, Lacher
and Mizeski’s (1994) Hedonic Music Consumption Model suggests that a consumer’s prior
knowledge of a musician or band may form their purchase intentions toward their music.
Despite only 0.90 per cent of participants stating they would not buy music by an artist or
60
band they were a fan of, this suggests that their opinion of music consumption may relate to
them not being willing to purchase music products.
When analysing the results found from comparing the trust factor to the likelihood of
purchasing music products by a recently discovered artist or band, there is a more scattered
response, showing that there is varying opinions in relation to purchasing music by an artist
they may not have built trust with yet. 14.41 per cent of participants, the highest percentage
for this question overall, who said that trust was an important factor were likely to purchase
music products by an artist or band they had recently discovered, in comparison to the 5.41
per cent of participants who agreed that trust is an important factor were unlikely to purchase
music products by an artist or band they had recently discovered. Further analysis provided
with this question suggests that those who think trust is an important factor for them when it
comes to how they consume music are more likely to trial music first through free and
subscription streaming services (audio or video) and this often acts as the discovery tool for
them. Most millennial participants stated they would not blindly purchase music by a new or
recently discovered artist or band, but may purchase products by them after they build trust
with them.
The following responses from the focus groups further explain their feelings on trust towards
music products; whether it’s an artist they are a fan of or a new artist,
“If I believe that the artist regularly produces music I like then I am more likely to purchase
it, even before listening to it.”
(Participant 2, focus group 2)
61
“If it’s someone that I don’t really like, I’m just going to listen to their music on YouTube, but
if it’s someone I like, I’m willing to spend a lot of money on a concert ticket.”
(Participant 1, focus group 3)
“I think if you really like an artist’s work and you connect with them on a personal level there
is an instant level of trust and infatuation that puts their music high up in your estimations. I
feel like that is needed in order to consistently purchase music but I will purchase lone songs
without that level or trust.”
(Participant 5, focus group 2)
These examples taken from the focus groups suggest that millennials connect the
connotations of trust with money, therefore showing that they are willing to spend money on
a musician if they feel like the product is going to be of a sound quality. Relating back to the
literature, it was stated that building loyalty and trust with a musician or band was built
around the idea that consumers self-identify with music and in order to identify with a
musician or band, they must trust them (Shankar, 2000). In the context of the qualitative data,
consumers relate their level of trust with loyalty to the musician or band and how inclined
they are to buy the product if they are trusting of what the musician or band is capable of
producing. This relates to Costabile (2000)’s definition of consumer loyalty as satisfaction
being built over time and turning into trust.
62
5. Conclusions and Recommendations
This chapter will conclude the findings of the study with reference to the aim of the research.
There will also be recommendations provided for future research in this field.
This study examined whether there is a link between consumer loyalty and the music
consumption trends of millennial consumers. Through the research, it has been found that
consumers of all ages share in the opinion that being a fan of a musician or band is
instrumental in their decision to actively purchase music products, rather than consuming it
through other means. It was discovered that 45.27 per cent of millennials, the overall majority
of participants that took part in the questionnaire, considered trust as an important factor for
them when it came to the methods in which they chose to consume music.
The findings identify that the environment in which millennials have grown up in has
influenced the way in which they engage with music products, unlike in previous generations
who have not found music as accessible as it now is. It has been noted by millennials that the
accessibility of music has changed their view on how they choose to consume music and
changed their view on music as a product. For example, the findings showed that when
participants were asked what their preferred method of consuming music, that the majority of
participants took the opportunity to offer multiple responses, showing that the accessibility of
music in the 21st century means that different platforms have different needs for different
consumers. Furthermore, because of this availability of products, participants agreed that this
availability provided them with the opportunity to test out different music before making a
decision on what they liked and what they would possibly later purchase. This not only
provides confirmation into the reasoning behind millennials decision to use multiple different
63
platforms to consume music, but it also provides evidence into how millennial consumers
build their consumer loyalty towards music. Factors such as price were also extremely
important in the purchasing intentions of the millennials, often down to low income and in
some cases, not trusting the product enough to part with money. This rules out previous
research which suggests that young consumers are more inclined to part with their money for
new products due to eagerness being a characteristic of their generation. Instead, as
previously stated, millennial consumers like the opportunity of trialling music first to
discover what they like. It may be noted that the previous literature is not specific to music
products.
The initial aim that built the research was to find out why millennial consumers chose to
purchase music when there are a cheaper methods available when it comes to music
consumption. Through the research, it has been found that millennial consumers purchase
music when they are a fan of a musician or band, which suggests that loyalty is important for
them when actively making a purchase of a CD, concert ticket, or merchandise, but not
important when using a subscription streaming service or free streaming service, with the
reason being that price plays a big part in their decision. The literature suggested that loyalty
in music may be down to self-identification. For future research, it may be recommended that
the idea of self-identity is looked at more when conducting research with participants.
Furthermore, it is suggested that more emphasis is put on the connection between price of
products and the product itself. As stated, this may be due to low disposable income on the
part of the millennial. There is also a gap in research in regards to the comparison between
millennials and non-millennials. While the research showcases some information from non-
millennials, a wider pool of non-millennial participants would be needed to create a fuller
comparison.
64
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Appendix
Appendix A – Focus Group Information Sheet
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Appendix B – Participation Form
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Dissertation

  • 1. An Exploration of the Link Between Consumer Loyalty and the Music Consumption Trends of Millennials Scott Miller Submitted in partial fulfilment of the requirements of Glasgow Caledonian University for the Degree of BA (Hons) Marketing April 2016
  • 2. ii Declaration I declare that this dissertation is my own work and that it was composed by myself. Following academic conventions, I have made due acknowledgement of the work of others. Signed: Date:
  • 3. iii Abstract The fast paced nature of which technology is constantly evolving has significantly influenced the everyday lives of consumers worldwide. As such, the constant adaptions being made to technology has provided consumers with a greater variety of platforms in which they can consume and discover music (IFPI, 2010). However, the millennial generation’s perception towards music consumption is important due to millennial’s being the first generation to grow up in the technological era (Bolton et al., 2013), meaning they are inclined to be accustomed to adaptions in technology. As technology shaped the music industry in the 21st century, consumers were offered portable music, music streaming stores, and billions of songs at their disposal (Magnúsdóttir and Sirkeci, 2011; IFPI, 2010; BPI, 2014). It has been argued that the digital age has effectively killed the music industry (Rogers, 2013; Ingham, 2015), but with digital and physical music sales sitting side by side and young consumers showing a keen interest in purchasing both digital and physical music (IFPI, 2015; BPI, 2015), the question has to be asked, what motivates millennial consumers to purchase music? Through the literature, it was found that consumers trial music first, but when they love a piece of music, would prefer to buy it (BPI, 2015), which relates to the definition of consumer loyalty relating to satisfaction and trust (Costabile, 2000). Therefore, the aim of this study was to explore how influential trust as a consumer behaviour trait was to the consumption of music and whether certain methods of consuming music were more appealing to millennials than others. A questionnaire was distributed to 100 individuals above the age of 18, while three in-depth focus groups were recorded as part of a quantitative and qualitative mixed method study. The results indicate that millennials perceive trust as being an important factor for them when choosing the method in which they consume music, while the findings found that millennials were particularly interested in consuming a variety of music platforms.
  • 4. iv Acknowledgments Firstly, I would like to thank both Louise McBride and Pauline Bell for their continued guidance, support, and encouragement over the past year. I also must thank all the participants who gave their time to take part in this study. Without their input, the study could not have been completed successfully. I would also like to acknowledge my employer for their understanding over the past year and for allowing me the time to facilitate my studies around my work schedule. Finally, a big thank you has to go to all my friends and family for their support and patience during this final year at university.
  • 5. v Plagiarism Checklist Form Department of Business Management Module Title: Student Name (Print): Matriculation No: In accordance with University regulations, please read carefully through the following statements, tick each box and sign at the bottom of the sheet. I confirm that the coursework that I am submitting is my own original work, and that I have:  Read and understood the guidance on plagiarism in the module handbook  Cleary referenced,both within the text and on the end reference page,all sources used in the work;  Used inverted commas and the full reference details (including page numbers) for all text quoted from books, journals, web-based other sources;  Provided the sources for all data in tables and figures that are not my own work;  Not made use of the work of any other student(s) past or present without acknowledgement. This includes any of my own work, that has been previous, or concurrently, submitted for assessment,either at this or any other educational institution, including school;  Not sought or used the services of any professional agencies or other individuals, to produce this work;  In additional, I understand that any false claim in respect of this work will result in disciplinary action in accordance with University regulations. Student Signature:…………………………………........... Date: ….…………….
  • 6. vi Contents Page Declaration of Originality and Authenticity ii Abstract iii Acknowledgements iv Plagiarism Checklist v Contents Page vi Contents Page of Figures viii Contents Page of Tables ix 1. Introduction and Rationale 10 1.1 Rationale for Study 10 1.2 Research Aim 11 1.3 Research Objectives 11 2. Literature Review 12 2.1 History of Music Consumption 12 2.2 The Choice of Physical and Digital in Music Products 15 2.3 Influence of Musician or Band on Music Consumption 19 2.3.1 Music Purchase Intention 21 2.4 Impact of the Internet and Social Media on the Consumption of Music 23 2.5 Consumer Loyalty as a Consumer Behaviour Model 25 2.6 Commitment Based On Trust 26 2.7 Millennials Consumer Behaviour Trends 28 3. Methodology 30 3.1 Chapter Summary 30 3.2 Research Paradigms 30 3.3 Research Approach 32
  • 7. vii 3.4 Qualitative and Quantitative Research Methods 34 3.5 Quantitative Research Methods 36 3.6 Qualitative Research Methods 40 3.7 Sample 42 3.8 Difficulties and Limitations 43 3.9 Ethical Considerations 44 4. Results and Analysis 46 4.1 Chapter Summary 46 4.2 Millennials’ Perception Towards Music Products 46 4.3 Millennials’ Preferred Methods of Consuming Music 51 4.4 The Influence of Trust when Consuming Music 56 5. Conclusions and Recommendations 62 References 64 Appendices 75 Appendix A – Focus Group Information Sheet 75 Appendix B – Participation Form 76 Appendix C – Full Transcript of Focus Group 1 77 Appendix D – Full Transcript of Focus Group 2 86 Appendix E – Full Transcript of Focus Group 3 101 Appendix F – Questionnaire 113 Appendix G – Ethical Consideration Form 118
  • 8. viii Contents Page of Figures Figure 2.1. The Steady Rise of Music Sales Taking Over from Physical Sales 16 Figure 2.2. Extent to Which Age Groups Stream Music First, Before Purchasing 18 Music on a Physical Format That They Are a Fan Of Figure 2.3. The Hedonic Music Consumption Model and Purchase Intention 22 Figure 4.1. Platforms Used to Discover New Music 51 Figure 4.2. Preferred Platforms for Consuming for Millennials 54 Figure 4.3. How Influential Trust Was as a Factor for Millennial Consumers 57 When They Made a Decision on How to Consume Music Figure 4.4. Likelihood of Purchasing Music Products When a Fan of an Artist 58 or Band Figure 4.5. Likelihood of Purchasing Music Products by a Recently Discovered 59 Artist or Band
  • 9. ix Contents Page of Tables Table 2.1. The Decline in Sales in Selected Countries, 1977-1980 13 Table 3.1. Key Differences Identified Between Qualitative and Quantitative 35 Data Table 3.2. Types of Questionnaires and the Benefits Available to Each 36 Table 3.3. Questions Available to be Included in Questionnaires 37 Table 3.4. Choice of Questions 38 Table 3.5. Pros and Cons of Qualitative Collection Methods 41 Table 4.1. Percentages and Mean Scores Relating to the Likelihood and Impact 47 Various Factors Had on Their Purchasing Intentions Table 4.2. Preferred Mode of Consuming Music Across All Three Focus Groups 52 Table 4.3. The Frequency of Which Music is Consumed Across All Three Focus 52 Groups Table 4.4. Reasons for Using Preferred Mode of Consuming Music Across All 53 Three Focus Groups Table 4.5. Non-Physical Streaming Services and an Example Answer from 55 Questionnaire Confirming Why These Suited Their Lifestyle
  • 10. 10 1. Introduction and Rationale In this chapter, the rationale behind the research will be discussed. As well as this, the aim and objectives of the research will be identified and reviewed. 1.1 Rationale for Study In recent times, there has been a continued dialogue surrounding the positive and negative impacts of the digital age on the music industry. Ultimately, much of the discussion surrounds the changes that have taken place through consumption platforms over time and how these have impacted on the sales and revenues of the industry. Rogers (2013, p26) suggests that the two most impactful changes on the industry are “the rise of the internet and the simultaneous fall of record sales.” These two important changes in recent times are examples of modern music consumption. The internet and technology’s impact on music consumption is widely discussed in regards to how various demographics adopt the various methods of consumption that they do. The researcher chose to examine millennials’ music consumption trends due to being the generation most aligned with the technological era. The researcher chose this area to study as there was very little discussion on why consumers chose to still purchase music with cheaper alternatives available on the market. This was reminiscent of consumer loyalty, which is defined as a combination of customer satisfaction and trust and the likelihood of repurchasing products (Costabile, 2000; Divett et al, 2003). Therefore, the purpose of this study is to explore the link between consumer loyalty behaviour traits and the music consumption trends of millennials.
  • 11. 11 1.2 ResearchAim To explore the extent to which consumer loyalty influences millennials’ purchasing intentions of music products. 1.3 ResearchObjectives 1. To explore the extent of millennials’ consumer perception towards music products relating to a musician or band 2. To identify if particular methods of consuming music appeal more to millennials’ than other groups 3. To establish how influential trust is as a consumer behaviour trait towards music products
  • 12. 12 2. Literature Review 2.1 History of Music Consumption In the 1950s, popular music emerged in its modern form through the invention and widespread success of rock and roll. The success of the genre has been pinned down to a foundation of a youth counter-culture and teenage rebellion which was brought on by the American societal climate of the time (Kay, 2015; Zhang, 2013). As popular music had become a youth movement, the cultural shift put young people at the forefront of consumption for the first time and led the way for teenagers being considered as consumers in their own right. This major change has since become a prominent fixture of the music industry, with recent research suggesting that young consumers consume music around twenty-five hours per week, in comparison to older consumers who log around twelve hours of music consumption per week (Robb, 2014). Early figures of music consumption suggest that purchasing record players had been prominent in decades prior to the 1950s; however, a slump in sales was noted in 1949 due to consumer reluctance to purchasing new record players. In 1952, improvements made to record player technology was said to have influenced sales, with 1.5 million new record players being purchased that year (Olson, 2000). Tschmuck (2010) states that the phonographic industry recorded a long run of prosperity in nearly all markets from the 1950s to around 1977, when it came to a sudden end. In his study exploring the growth of music products as a mass medium, Gronow (1983) found that the UK market was hit particularly hard with sales of recorded music plummeting by 26.4 per cent between 1977 and 1980 (see
  • 13. 13 Table 2.1 below; Gronow, 1983; p66-69; cited by Tschmuck, 2010), with suggestions being made that the fall in sales was down to the worldwide recession (Tschmuck, 2010). Table 2.1: The decline in sales in selectedcountries, 1977-1980 Source: Gronow, 1983; p66-69; cited by Tschmuck, 2010 Gronow (1983; p72) has an alternative view, stating: “explanation has been sought in the general economic recession, the influence of private copying, and competition from other media. But perhaps records, as a mass medium, have now reached the saturation point.” This is a common argument still made today when discussing the declining sales of CDs and digital downloads, with recent research suggesting that declining sales are down to new and more popular products becoming available on the market that are taking over from the former, popular mediums (Thompson, 2015). Since the turn of the millennium, the speed in technological advancements has been the focal point for much of the discussion on music sales, with the internet being described as boosting consumer power (Magnúsdóttir and
  • 14. 14 Sirkeci, 2011). As a result of this, consumers were able to access music for free through illegal downloading and the International Federation of the Phonographic Industry (IFPI), have estimated that overall music sales fell by around 30 per cent between 2003 and 2009 (IFPI, 2010). Consumers having access to free content caused huge financial loss for the global music industry, with global music piracy incurring a loss of $12.5 billion every year (Siwek, 2007). Illegal downloading became a worldwide debate in 1999, with the rising success of sharing website, Napster. By the year 2005, the International Federation of the Phonographic Industry (IFPI) reported that 20 billion songs had been illegally downloaded worldwide (IFPI, 2006); while in the UK research showed that 95 per cent of Britons admitted to pirating music, in comparison to only 20 per cent of Britons who had purchased music online in some form (Hunt et al., 2009; Mintel, 2008; Eaglesham and Fenton, 2008). Despite this, it has been argued that illegal music downloads have been used as a precursor when the product is not available for them to purchase (Aguiar and Martins, 2013), therefore suggesting that the music industry should act quicker to consumer demands. In reaction to this, the music industry launched a global release day in 2015 as a preventive measure to illegal downloading and piracy, by reducing the gap between international releases (IFPI, 2015). While illegal downloading and piracy is still seemingly an issue for the global music industry, music sales are on a steady climb, with digital revenues accounting for 50 per cent of total UK record industry trade revenues, while streaming revenues from subscription services such as Spotify and Deezer constituted the fastest growing sector over the twelve- month period (BPI, 2014). It is also reported that global digital revenues grew by 6.9 per cent to $6.85 billion in 2014, which has been paired with the level of music access now available to consumers (IFPI, 2015). Despite the sensationalism around the internet’s positive and negative impact upon the industry, recent figures show that consumers are returning to a
  • 15. 15 more traditional form of purchasing music, with the Recording Industry Association of America (RIAA) reporting that US consumers spent $226 million on vinyl albums and singles in the first half of 2015. Comparatively, US consumers only spent $162.7 million on ad-supported streaming in the same amount of time (RIAA, 2015). The resurgence in vinyl seems to be fuelled by a “hipster revolution” and an older generation looking to revisit their youth (Davidson, 2015). These assertions outline that the invention of popular music has shown similar patterns over time, in which sales decline as formats reach saturation point. 2.2 The Choice of Physical and Digital in Music Products Music is commonly dissociated as a product, due in part to its intangibility. Instead, the CD, the subscription service or concert tickets are considered as the product, while the music itself is considered as the content. As music has digitized over time, consumers have been able to detach the idea of content from the product (Grasmayer, 2012). In 2014, digital music revenues surpassed physical sales for the first time, due in part to subscriptions to streaming services soaring (McGhie and Davidson, 2015); this is shown in Fig 2.2 below (IFPI, 2015).
  • 16. 16 Figure 2.1: The steady rise of music sales taking over from physical sales Source: IFPI, 2015, cited by McGhie and Davidson, 2015 The success of streaming and digital music has been linked to consumer’s reluctance to own music, instead consumers of the 21st century would prefer to rent their music, suggesting that streaming provides less commitment for consumers than buying a physical product, as well as for the convenience that comes with streaming (McGlade, 2013; BPI, 2015). The fact that digital music sales have surpassed physical sales for the first time is almost backed up by the suggestion that the traditional forms of consumers supporting musicians and bands is over (Herstand, 2014). Herstand (2014) suggests that even the most traditional forms of musician and band support are over, with new digital markets such as PledgeMusic and Kickstarter allowing regular consumers to invest in a musician or band’s career, no matter how big or small they are.
  • 17. 17 While the aforementioned research shows that digital music is the dominant force in the music industry, it is becoming more apparent that consumers want both. Streaming is reportedly encouraging a multi-channel relationship, in which consumers use streaming to discover music, before buying the music they are a fan of to own and collect (BPI, 2015). New statistics suggest that digital music isn’t killing physical music, instead, it’s killing other forms of digital music, as digital downloads are on a rapid decline, while physical products like vinyl have reached a near twenty-year sales high (Ingham, 2015; Gibson, 2015). Gronow’s (1983) earlier statement pre-dates the digital revolution, but rings true in that consumers are swapping digital downloads for streaming, rather than physical for digital. Cole (2015); sourced from Gibson (2015), suggests that one of the main reasons influencing the change in digital music is the quality of the product, while Lloyd (2015); sourced from Gibson (2015), suggests that vinyl is becoming popular again due to its tangibility, which could propose that consumers are willing to invest in music as a product again, as long as they are able to trial it out first and get the best of both worlds. In terms of demographics, BPI (2015) states that millennial consumers are more likely to be multi-channelers than 55+ consumers, but less inclined than consumers between the age of 35-54, proposing that millennial consumers are more inclined to favour audio in digital form than traditional forms due to their affinity with technology (BPI, 2015; Andrews et al., 2011). However, millennials (16-34) are the generation more inclined to stream music first, before purchasing a physical product that they are a fan of; this is shown in Fig 2.3 below (BPI, 2015).
  • 18. 18 Figure 2.2: Extent to which age groups stream music first, before purchasing music on a physical format that they are a fan of Source: BPI, 2015, p22. Despite the promising signs of interest in music consumption across all age demographics, there is still concern that the shift in the digital music paradigm is resulting in artist’s receiving significantly less income than they would with revenue made from CD sales (Herstand, 2014). While consumers across all boards enjoy the benefits that streaming brings to them as a consumer through convenience and sampling music before committing to a purchase, they are also concerned with the amount of money the artist will make from streaming, with 83 per cent of consumers who stream and purchase physical formats stating they purchase CDs in order to help the artist (BPI, 2015). The influence that the artist has on the consumer will be discussed below.
  • 19. 19 2.3 Influence of Musician or Band on Music Consumption The role of a musician or band is of crucial relevance to the outright consumption of music. For example, a study into the impact of technology on music consumption found that 39 per cent of millennial consumers consciously interact with musicians or bands on social media, therefore, developing a relationship with the musician or band (Shapero, 2015). Shapero (2015, p26) further states that “despite having access to so many different artists with simply the click of a button, these users still dedicate their time to particular artists when consuming music” in reference to millennial consumers who state they do not interact with musicians or bands on social media. This suggests that despite the major role technology has had on the millennials’ lives, the influence of music consumption can be built simply through the music itself. It has also been stated that streaming as a form of music consumption eliminates the guilt that consumers feel about not paying musicians and bands (Keating, 2015). One of the main arguments to explain this is consumers self-identifying with the music and therefore the musician or band (Shankar, 2000). Belk (1988, p139; cited by Shankar, 2000, p29) suggests that “we regard our possessions as part of ourselves”, while Shankar (2000, p29) further states that “popular music therefore can help us to make sense of our world and our place in it and, through the process of grounded aesthetics can help us to construct our own identity or sense of self”. These set ideas theorize that what music has to say, says a lot about the consumers, and therefore, a level of trust has to be built up in order for a consumer to identify with the music and even the musician or band. Furthermore, becoming a fan of a musician or band becomes so interconnected with the consumer’s identity, that idolising and worshipping them becomes part of the territory (Daellenbach et al, 2015). It is also proposed that the music consumers’ move from general
  • 20. 20 consumer to fan is instrumental in getting a musician or band’s music out to a wider audience (Baym, 2012). As such, Baym (2012) proposes that music fans feel so connected to musicians that the feelings they have garnered from the music are often related back to the musician or band, which can in turn result in dedication to the musician or band and their product. Therefore, the idea that music is considered simply as an entertainment product can no longer be the case, with such emotional connotations attached to it (Greenacre et al, 2015). As described by BPI (2015) earlier, consumers across all boards have an interest in helping the musician financially and in turn, this can be seen as a musician or band inadvertently influencing the consumer. It is suggested that consumers want to help when they do not feel like the musician or band is begging for their help, which can in turn have a negative influence on the consumer (Cannon & Thomas, 2014). Contributing to a musician or band may not necessarily help a consumer form their own identity, but actively consuming a musician or band’s music can be related back to Maslow’s “Hierarchy of Needs” model that seems most relatable within the context of this study (Greenacre et al, 2015). Of Maslow (1943, 1954; cited by McLeod, 2014)’s the esteem needs can be closely related back to a music fan’s idea of self-worth and identity. This is due to the esteem needs being about “achievement, mastery, independence, status, dominance, prestige, self-respect, respect from others” (McLeod, 2014). While these cannot be related specifically to music fans and the consumption of music, it can be suggested that the esteem strand meets various characteristics related to music consumers on their discovery of self-identity through consuming music. Furthermore, Greenacre (2015, p49) states that through Maslow’s Hierarchy of Needs “it is possible to understand the process individuals use to seek objects to construct dimensions of their self-identity”, as the various strands of the Hierarchy of Needs
  • 21. 21 are seen as a building block for consumers on their path to self-identity, with esteem being one of the final steps (McLeod, 2014). Despite the various aspects that explain why consumers possibly become dedicated followers of musicians and bands, there is very little to explain why consumers choose to become fans of the musicians and bands that they are fans of. Exploring why consumers become fans of the musicians and bands that they do will be discussed below. 2.3.1 Music Purchase Intention One of the main reasons given for consumers choosing to consume music is for how relatable the music is to the consumer and how they identify with it (Shankar, 2000; Greenacre, 2015; Daellenbach et al, 2015), but there is very little insight into what puts a consumer on to a musician or band and their music. In recent times, consumers across all age demographics are turning to streaming services such as Spotify in order to trial out music, which in turn, has shown signs of resulting in future purchase intention (BPI, 2015; IFPI, 2015). Before the popularity of streaming, there were few ways in which consumers could trial and rent music before making a full purchase, although radio and television were the original methods. As such, the Hedonic Music Consumption Model was created by Lacher and Mizeski (1994) in order to question why consumers choose to purchase music by examining the responses participants had towards new rock music. In relation to existing musicians and bands, Lacher and Mizeski (1994, p367) state that “even though some consumers may purchase new music releases on the strength of their knowledge of the artist or composer without previous exposure to the music, these consumers have expectations based either on projections from previous experience or on review recommendations…”. This suggests that consumers would
  • 22. 22 typically blind purchase music based on trusting a reliable source (whether it be a musician they have been a long term fan of or trusting the recommendation). Lacher and Mizeski (1994)’s study is split into four responses to music and four additional factors relating to music purchase; this is shown in Fig 2.4 below (Lacher and Mizeski, 1994). Figure 2.3: The Hedonic Music Consumption Model and Purchase Intention Source: Lacher and Mizeski, 1994, p370 The above data responses were based on previous research and were used in Lacher and Mizeski’s model to discover whether the music being played to participants had any after effect on them. For example, the emotional response to music can involve listeners reacting with joy or anger, which is described as being prominent in the general appreciation of music, while the sensory responses involve listeners reacting by tapping their foot or dancing (Lacher, 1994). Although this explains the general response consumers have to music, it does
  • 23. 23 not explain what would lead consumers to purchasing music. However, it is explained that the four initial responses are closely related to the experiential response and if consumers enjoy the music enough, they may want to re-experience the music and Lacher (1994, p369) goes on to explain that “if a person enjoys the music, the person could purchase it to be able to play it again at a time of the individual’s choosing”. This explanation is especially relevant when discussing the purchase intentions of consumers today. The BPI’s (2015) research into multi-channel consumption suggests that the combination of physical and digital formats have aided the sales of physical CDs, due in part to consumer’s tendency to sample music first through streaming services. Relating back to Lacher and Mizeski’s (1994) Hedonic Music Consumption Model, the new form of trialling music gives consumers the opportunity to discover what they like and experience it as often as they want until they become a fan, with the BPI (2015) stating that “69 per cent of consumers agreeing or strongly agreeing that they stream to discover music…but when I come across something I love, I like to buy it.” Through this, physical musical consumption is still as successful due in part to the internet and social media giving consumers more options when discovering music. The impact social media and internet services has on the consumption of music will be discussed below. 2.4 Impact of the Internet and Social Media on the Consumption of Music While it has been proposed that the internet has interrupted the traditional forms of consuming music (Meisel and Sullivan, 2002; Herstand, 2014), there is evidence to support the idea that the internet has had both positive and negative impacts on music consumption. For example, as the internet has created new streams for free music consumption, this is categorised as negatively impacting on the music industry (IFPI, 2010; Magnúsdóttir & Sirkeci, 2011), however, it is suggested that consuming music for free has not displaced
  • 24. 24 traditional forms of consumption entirely, with some cases stating that it could encourage consuming legally (Aguiar and Martens, 2013). Furthermore, it was reported that the total revenue from music sales through digital retailers was US$4.2 billion in 2009 (IFPI, 2010) and that 57 per cent of internet users across thirteen of the world’s leading music markets had consumed music through an internet video streaming site (IFPI, 2015). A study into the impact of internet streaming services such as Spotify was explored by Aguiar and Martens (2015) providing evidence suggesting that subscription streaming services have displaced illegal downloading, stating that around forty-seven Spotify streams were able to replace one illegal download. In the same study, Aguiar and Martens (2015, p7) also suggest that the popularity of internet streaming services may have displaced the sale of individual digital downloads, as it has been found that availability of individual tracks on streaming services can benefit the sales of the partner album, but not the tracks individual release. As well as the services available for discovering and consuming music, it has been found that social media has impacted on the way music is consumed (Huynh et al, 2015; Dewan and Ramaprasad, 2014). It has been stated that social media has not been entirely positive for the music industry. Research suggested that the amount of time a consumer spent on social media led to a significant rise in their intent to illegally obtain music or file share (Daellenbach et al., 2015), which suggests that the longer spent online brings way to a larger availability of illegal music sharing. This is backed up with the knowledge that online music file-sharing services, which allow users to swap MP3 music files without paying royalties to recording companies and artists, has had the greatest impact on traditional business (Walsh et al., 2003). In relation, many suggest that young age is a particularly high factor in pirating popular music (Bhattacharjee et al., 2003; Coyle, et al., 2009; Jambon and Smetana, 2012; Plowman and Goode, 2009; Wang et al., 2009). Social media plays a significant role in
  • 25. 25 consumerism, allowing consumers the opportunity to access a wide range of information all in the one place, to voice their opinions and access others giving way for more consumer power, and a new way of consumer loyalty through social media engagement (Greene, 2012). Recent research shows there are currently 2.078 billion active social media accounts and 3 billion people worldwide have internet access (Kemp, 2015), accounting for just under half of the world’s population. It has also been suggested that 92 per cent of American Millennials between the ages of 18-29 are using social media (Frost and Sullivan, 2012), showing that Millennials are pushing the power of social media on consumerism. 2.5 Consumer Loyalty as a Consumer Behaviour Model Consumer loyalty as a form of consumer behaviour is expressed as an integral part of organisation’s measuring their success (Oliver, 2015). The salient factor of creating consumer loyalty is the connection of satisfaction over time and trust (Costabile, 2000), claiming that consumer loyalty is a behavioural model that is earned over time as consumers continue to enjoy the products or services and begin to build trust as they are continuously satisfied by what they are investing in. It is suggested that consumers that show the greatest signs of loyalty are the ones most likely to repurchase and spend money in greater volumes (Divett et al, 2003). This explanation of consumer loyalty behaviour is reminiscent of fan behaviour in music consumption as previous research has shown that consumers will test music products first and this may lead to purchasing their music if they enjoy it, which in turn may result in returning to consume their music again (BPI, 2015). In the case of pop star Lady Gaga, Huba (2013) writes that the key to the musician’s success is her focus on the small percent of her audience who are already loyal and by building a community for all the loyal fans to be part of. In relation to regular organisations and consumer loyalty, this form of
  • 26. 26 attention being paid to fans is similar to that of loyalty schemes which positively reinforces consumer loyalty by rewarding them (Divett et al, 2003). This suggests that both Huba (2013)’s and Divett et al (2003)’s earlier argument for creating consumer loyalty is through positive reinforcement that the consumer’s involvement is appreciated and therefore may influence continued involvement with the musician or band or brand. Studies have looked into the various factors of relationship marketing that come in to play when establishing customer satisfaction (Costabile, 2000; Homburg and Giering, 2000; Leverin and Liljander, 2006). Much of the research revolves around the emotional connotations that result in consumers becoming consumer loyal, with it being stated consumers will experience positive emotions (happiness, excitement) or negative emotions (disappointment, anger) and the emotional component is a result of the service delivery (Yu and Dean, 2001). This may explain why consumers self-identify with music and therefore need to be emotionally invested in the music in order to become loyal (Daellenbach et al, 2015) and why consumer loyalty is largely affected by the characteristics of the consumer (Homburg and Giering, 2000). If customer satisfaction is built over time, then Costabile (2000) suggests that trust too will be gained. The commitment based on trust will be discussed below. 2.6 Commitment BasedOn Trust Despite the vast availability of music products, the previous literature suggests that consumers are still willing to consume music through purchase if they are a fan of the artist (BPI, 2015) and the research into consumer loyalty provides evidence to support the idea that if consumers are satisfied with a product or service then trust is attached to this (Costabile,
  • 27. 27 2000). Morgan and Hunt (1994, p22)’s study into “The Commitment-Trust Theory of Relationship Marketing” states that "commitment and trust are key" because they encourage marketers to "view potentially high-risk actions as being prudent because of the belief that their partners will not act opportunistically," which suggests that consumers are less likely to take advantage when consuming music, if they have already built trust with a musician or band. Furthermore, it is stated in the same study that the combination of commitment and trust result in joining behaviours that are instrumental in the success of relationship marketing (Morgan and Hunt, 1994), showing that consumers who are committed and trusting are inclined to return. While much of the literature on trust focuses on general consumerism, there are examples relating to the music industry which suggest that trust is crucial to the success of consumers being committed to a musician or band. For example, in a story related to musician Amanda Palmer, it was stated the crux to connecting with fans is through building trust “by making it such that people want to support the artists they love” (Masnick, 2013, p1). Through this example, it is further suggested that the availability of the internet provides the opportunity for musicians to connect with fans on a human level, which can in turn, result in them wanting to support the artist (Masnick, 2013). Further research also suggests that trust is important for music services, with 32 per cent of consumers stating that they must trust the service provider in order to use different music services (IFPI, 2015). This factor was more important to consumers than security and quality of sound, showing just how crucial trust is to commitment to both music products and the musician or band.
  • 28. 28 2.7 Millennials’ Consumer Behaviour Trends Millennials are the first generation to have grown up in the digital age (Bolton et al., 2013), therefore, they have become accustomed to the changing landscape of the music industry and have moved along with the changing technology that has influenced the way music is consumed in the 21st century. The millennials’ early exposure to technology has both positive and negative outcomes when it comes to their behaviour, which can in turn influence the way in which they respond to products through the way they respond emotionally and socially (Bolton et al., 2013, Immordino-Yang et al., 2012). millennials have benefitted from customized products and personalized services (Ansari and Mela, 2003; Berry et al., 2010; Bitner et al., 2000; Peterson et al., 1997) and this new consumer trend has led the way for streaming services such as Spotify and Apple Music to release personalised mixtapes catering to the end user’s tastes (Dredge, 2015). The motivation of personalised products and the attitude of wanting something and wanting it now (Ng et al., 2010; Twenge, 2010) is very much a product of the millennial and the power the millennials have over consumerism in the 21st century. This “want it and want it now” attitude can be described as eagerness, a behaviour pinpointed by Perugini and Bagozzi (2001) in their model. Eagerness is an important attribute to point out when discussing millennials and their consumer motivation, because eagerness is suited to a wide range of consumer activities, including the music industry. It is also noted that eagerness can be related to the engagement of new behaviours (Fitzmaurice, 2005), meaning there is more room for marketers to engage millennials in new products, which can also stem to new artists and bands. The existing literature highlights how the changes in technology have influenced the ways in which music is consumed, particularly suggesting how the environment that the millennial
  • 29. 29 group have grown up in has affected the multiple options available to them as consumers when it comes to consuming music. Musicians and music industry leaders use set tools to gain committed, loyal fans, but consumers particularly respond better to emotional motives due to the personal nature and self-identity found through music consumption. Although the literature provides detail into the importance of consumer loyalty and trust and key figures relating to music consumption among the millennial group, there is no concrete evidence of how interconnected consumer loyalty is to millennial music consumption habits, which this study aims to investigate.
  • 30. 30 3. Methodology 3.1 Chapter Summary This chapter will explain and justify the chosen research approach and data collection which have been selected for this study. Through this study, the aim is to look at the extent to which consumer loyalty influences millennials’ purchasing intentions of music products. To explore this subject further, the research aimed to explore the following objectives,  To explore the extent of millennials’ consumer perception towards music products relating to a musician or band  To identify if particular methods of consuming music appeal more to millennials’ than other groups  To establish how influential trust is as a consumer behaviour trait towards music products 3.2 ResearchParadigms Business research includes two main schools of thought, which are positivism and phenomenology, made up of primary and secondary research. Positivism takes on a quantitative approach and is a philosophical system which states that the “social world exists externally, and that its properties should be measured through objectives methods, rather than being inferred subjectively through sensations, reflections, or intuition” (Easterby-Smith et al, 2002, p28). Through this, it can be stated that positivists believe there is scientific verification for everything, with positivists viewing the world as a “fixed entity whose mysteries are not
  • 31. 31 beyond human comprehension” and believe that “the world is knowable” (O’Leary, 2004; p5). This further explains the positivists idea that the social can be studied as a subject using set procedures and guidelines (O’Leary, 2004). The positivist methodology is usually “deductive, hypothesis driven, reliable, and reproducible” (O’Leary, 2004). Phenomenology is seen as an interpretivist view and adopts a qualitative approach, which views research from a philosophical standpoint. It is seen that phenomenology practices can help to adjust to new issues and ideas as they emerge, as well as gather data that is seen as natural rather than artificial (Easterby-Smith et al, 1991). In comparison to positivism, phenomenology focuses on individuals and their descriptions of their lived experiences that form the concept of phenomenology (O’Leary, 2004). Furthermore, Moran (2002) states that the focus paid to individuals allows for things to be seen, rather than following a set list of guidelines and doctrines. Denscombe (2003, p105) lists four advantages of following a phenomenological approach to research, which are:  “Offers the prospect of authentic account of complex phenomena  A humanistic style of research, there is a respect for people  Suited to small scale research, where budget is low and the main resource is the researcher himself/herself  The description of experiences can tell an interesting story, which many people will be interested in and can relate to.” It is these examples that explain the reasoning for choosing to follow a phenomenological approach to research. The research aimed to meet individuals who fall under the millennial bracket, which means the research would aim to gain response from those born between the
  • 32. 32 years of 1980 and 1996 (Carnegie, 2015) or who reached adulthood in the 21st century (Howe and Strauss, 2000). The phenomenological form of research was used in order to analyse this demographics perceptions, thoughts and attitudes towards the area of study, as they were of crucial importance to the overall research. 3.3 ResearchApproach According to Saunders et al (2003), there are two approaches to research that lend themselves to both positivism and phenomenological philosophies. They are the deductive and the inductive approach. The deductive approach is linked to positivism, due to its examination of whether or not the “observed phenomena fit with expectation based upon previous research” (UK Essays, 2013). The inductive approach is linked to phenomenology, due to its nature in making an observation, before devising a theory based on the research results (Saunders et al, 2009). The deductive research approach has various stages which are described by Robson (2003, cited in Saunders et al, 2003, p86):  “Deducing a hypothesis from the theory  Expressing the hypothesis in operational terms, which propose a relationship between to specific variables  Testing this operational hypothesis  Examining the specific outcome of the inquiry  If necessary, modifying the theory in light of the findings.”
  • 33. 33 The inductive research approach is described as giving research findings the opportunity to be drawn from the main themes that emerge from new data (Thomas, 2006). Thomas (2006, p238) further explains the general purposes of forming this approach:  “To condense extensive and varied raw text data into a brief, summary format  To establish clear links between the research objectives and the summary findings derived from the raw data and to ensure that these links are both transparent (able to be demonstrated to others) and defensible (justifiable given the objectives of the research); and  To develop a model or theory about the underlying structure of experiences or processes that are evident in the text data.” Furthermore, some of the major differences between deductive and inductive are categorised as “the collection of quantitative data, the operationalisation of concepts to ensure clarity of definition, and moving from theory to data” (deductive) and “gaining an understanding of the meaning humans attach to events, a close understanding of the research context, and the collection of qualitative data” (inductive) (Saunders et al, 2009, p127). This research has looked at both inductive and deductive forms of research, as qualitative and quantitative methods were both used to collect qualitative and quantitative data for analysis. This is known as a mixed method approach and it is described as being “two methodological approaches (that) are compatible and can be fruitfully used in conjunction with one another (Teddlie and Tashakkori, 2011) which is particularly useful in regards to this study, as it is attempting to discover if consumer loyalty characteristics are present in millennial consumers when it comes to the way they choose to consume music.
  • 34. 34 3.4 Qualitative and Quantitative ResearchMethods Quantitative research is “used to quantify the problem by way of generating numerical data or data that can be transformed into useable statistics”, while qualitative research is “used to gain an understanding of underlying reasons, opinions and motivations” (Wyse, 2011, p1). There are a variety of differences explored when conducting qualitative and quantitative research. Elmusharaf (2012) identified these key differences and they are shown in Table 3.1, below.
  • 35. 35 Table 3.1: Key differences identified between Qualitative and Quantitative Data Source: Elmusharaf (2012) It is stated by Denscombe (2003) that the differences between both qualitative and quantitative are over simplified in their definition and show them as separate entities, however, in the world of research, it is not simple enough to split people in two different camps, showing that both forms of data are easily mixed. Furthermore, it is stated that “the researcher should mix quantitative and qualitative research methods, procedures, and
  • 36. 36 paradigm characteristics in a way that the resulting mixture or combination has complementary strengths and non-overlapping weaknesses” (BCPS, 2015). 3.5 Quantitative ResearchMethods As stated, quantitative research relies heavily on numerical and statistical data and is objective and confirmatory (Elmusharaf, 2012; Wyse, 2011). Questionnaires are adopted in this study due to their suitability to the overall research. This is because questionnaires have the potential to “reach a larger number of respondents, represent an even larger population, and be confidential and anonymous” (O’Leary, 2004, p152/53). O’Leary further states that there are three ways of conducting questionnaires, which are “face-to-face, telephone, and self-administered” (O’Leary, 2004, p154). Questionnaires are described as being “…a series of written questions for which the respondents have to provide answers” (Beiske, 2002, p3). It is stated that questionnaires are beneficial when gathering information on characteristics relating specifically to the participant, including their behaviour, attitudes, and beliefs (Bird, 2009). Table 3.2 shows the various benefits relating to the types of questionnaire available. Table 3.2: Types of Questionnaires and the Benefits Available to Each Source: Evalued (2015)
  • 37. 37 In the case of this study, self-administered (or personally administered) questionnaires were adopted in order to reach a wider pool of participants. The benefits of using this form of questionnaire is down to the opportunity for participants to remain anonymous and giving them the option to do the questionnaire in their own time (O’Leary, 2004). O’Leary (2004, p154) further states that “response rates, however, can be really low”. However, the questionnaires were taken online and participants were contacted through social media to access a link featuring the questionnaire. Participants were requested from all genders and it was made clear that they had to be over eighteen. All ages above eighteen were invited to participate. As well as this, the questionnaire was sent to social media groups that had a pool of individuals with a particular interest in music. This was done in order to get opinions from those who presumably had an active interest in music consumption. A copy of the questionnaire can be found in Appendix F. Table 3.3 provides the questions that can be included in a questionnaire. Table 3.3: Questions Available to be Included in Questionnaires Source: Burgess (2001) All questions were used during the questionnaire, minus ranked questions. Multiple choice questions were used in relation to questions such as “what are your preferred modes of
  • 38. 38 consuming music?” as through the previous literature, it was evident that consumers were multi-channel users, meaning they were more inclined to use a variety of different platforms, anticipating that participants would provide more than one answer (BPI, 2015). An exhaustive list of possible answers was provided, but “other” was also provided to participants in case any possible options were left out (Burgess, 2001). Category questions were provided as a good indicator of the overall behaviour of participants (Bird, 2009). Rating Questions were used in regards to the likelihood of a participants’ music consumption, as it provides the opportunity for neutral participants to provide their feelings if they are not totally for or against certain topics (LaMarca, 2011), in this case, music consumption. Finally, open ended questions were provided for questions that needed further analysis, particularly those in regards to the methods in which they consume music. Furthermore, open ended questions provide participants the opportunity to express their full opinion which avoids the possibilities of the participant being influenced by the researcher (Reja et al, 2003). Table 3.4 provides shows how the questions linked to the objectives. Table 3.4: Choice of Questions
  • 39. 39
  • 40. 40 In terms of analysis, quantitative data was compiled through software programme SPSS. Despite the quantitative nature of some of the questions included in the questionnaire, the majority of questions were related heavily to results found in the focus group. Therefore, the tests undertaken from the questionnaire data is formed through descriptive statistical tests. This allowed for a more descriptive and opinion led analysis of the research. 3.6 Qualitative Research Methods Qualitative research is a strategy that is concerned more with the opinions and beliefs which form an individual’s behaviour (Wyse, 2011). Table 3.5 below provides the various data collection methods, as well as the pros and cons of each.
  • 41. 41 Table 3.5: Pros and Cons of Qualitative Collection Methods Source: BMJ (1995), Evalued (2015), Kawulich (2005) From the above information, it was decided that focus groups were the best fit for qualitative research. This was done in order to clarify the results found in the questionnaires, as this would give a better idea of the behaviour and characteristics found in the participants that could verify further why some results were more popular than others (Evalued, 2015). Focus groups also give participants the opportunity to add on to others ideas, as to get a full
  • 42. 42 conversation going between all participants involved in the focus group (BMJ, 2015). Saunders et al (2003) suggests that the amount of participants involved in a focus group can range from four to ten, as this amount of participants allows for a richer discussion on the various topics. It is further stated that small focus groups ranging from between four to six participants are “becoming increasingly popular because the smaller groups are easier to recruit and host and are more comfortable for participants” (Krueger and Casey, 2008, p67). It is also suggested that focus groups provide participants with the opportunity to discuss a shared experience, that ultimately provides for better analysis and data (BMJ, 2015). 3.7 Sample The sample for the quantitative and qualitative research differed in terms of the amount required for each method. The chosen sample for the questionnaire was a cross section of 100 people, with the only requirement being that they were above the age of eighteen. This was due in part to the objectives revolving around the consumer loyalty behaviour of millennials, who at their youngest, would be born in 1996 (Carnegie, 2015). At the time research was undertaken, this would make them either nineteen or twenty years old (2016). Respondents who were considered as Generation X or Baby Boomers (Wallop, 2014) were also requested to take part in the questionnaire, as this provided the researcher with the opportunity to compare results from millennials and older generations and see whether particular modes of consumption were more prominent in the different age groups. The questionnaire was posted on social media sites and were distributed to people living mostly in the United Kingdom, with the majority of responses being taken from those living in the Renfrewshire area of Scotland. Questionnaires were predominately taken at home, as this provided participants with the opportunity to feel more at ease. The questionnaires were carried out in February
  • 43. 43 2016, with data being collated in February and March 2016, after it was monitored that at least 100 respondents had taken part. The chosen sample for the focus group was a total of three focus groups with an aim of six participants for each focus group, with an overall aim of eighteen total participants. As stated, having six in each would provide a well-balanced discussion among participants (Krueger and Casey, 2008). It was decided that the focus groups would be made up of three groups of students studying at Music courses at West College Scotland in Greenock. This is described as quota sampling, a non-probability sampling technique which divides individuals into relevant groups and are chosen on the relevancy to the topic (Yang and Banamah, 2014). The sample from this group would have been chosen randomly based on level of interest from students, however, this sampling method had to be dropped due to time constraints and a more convenient method of sampling was adopted. This can also be described as a theoretical sampling model, in which participants are selected to represent a larger population of the study (BMJ, 2015). 3.8 Difficulties and Limitations One of the main difficulties that occurred while gathering data for this study was reaching the target aim of respondents set out prior to undertaking the research. Prior to undertaking the research, the aim was to gain six respondents over three focus groups (eighteen in total). As the focal point of the research is regarding music consumption, the aim was to undertake the qualitative research at a local college which offers various music related courses. Gaining responses from music students seemed beneficial to the overall objectives from the methodology, as it was assumed that they would be actively involved in music consumption
  • 44. 44 and therefore have a more insightful view of the topic. Unfortunately, the recruitment of music students was difficult due to a lack of response and low interest from the college. Instead, students who were considered to be millennials were recruited from inside the university. However, a non-probability sampling method of recruitment was implemented as only students who were considered to be millennials were recruited. Due to time constraints, a method of convenience sampling was used in order to gain as many respondents as possible. Convenience sampling is described simply as being convenient to the researcher (Dörnyei, 2007, cited in Farrokhi and Mahmoudi-Hamidabad, 2012, p.784) and convenience was a major factor in the selection process due to the time constraints outlined previously. Time constraints were instrumental in the organisation of the three focus groups, with one of the three focus groups being taken online, rather than the other two which were recorded in person. 3.9 Ethical Considerations Glasgow Caledonian University’s ethical guidelines state that one of the key components of undertaking an ethically correct study is informed consent. As such, participants for the focus group were provided with a participant consent form and joining information sheet, which provided participants with information relating to the topics which would be covered and a list of points to consider before signing the consent form. As well as this, participants were provided with verbal confirmation of the focus groups topic and a general breakdown of how a focus group is recorded and how information is handled afterwards. A copy of the information sheet is included in Appendix A, participant forms in Appendix B, transcripts from the focus group are included in the appendix C, D, and E, and the questions posed in the questionnaire included in appendix F.
  • 45. 45 One topic that could have been considered unethical in relation to the research topic was the act of illegal downloading. Illegal downloading was brought up in the literature as a point of contention in regards to the topic of music consumption in the 21st century, as it came up that a prominent aspect of modern music consumption was illegal downloading (IFPI, 2006; Hunt et al., 2009; Mintel, 2008; Eaglesham and Fenton, 2008; Aguiar and Martins, 2013). As this came up in the literature, it was possible that this would form discussion during the qualitative data collection. However, as the topic surrounds illegal activity, this is considered as an ethical issue. As such, it was decided that no topic would be brought up on the researcher’s part regarding illegal downloading and if the topic was brought up by participants, then the discussion would be moved along quickly to avoid any further issues. Furthermore, no participants were required under the age of eighteen, as they are still considered as minors and any possible participant under the age of sixteen would need to receive consent from a parent and a disclosure to take part in a recorded discussion. This was explained on the front page of the questionnaire that only individuals above the age of eighteen were required.
  • 46. 46 4. Results and Analysis 4.1 Chapter Summary The aim of this study is to investigate the effects consumer loyalty traits may have on the millennial consumer’s consumption of music. This chapter will discuss the results found from an analysis of the questionnaires and focus groups. Both quantitative and qualitative data findings will be blended together rather than dedicating separate sections to each. This approach has been chosen in order to compare the data found. This chapter will discuss these results with reference to the objectives and aims of the study and literature that already reviewed the topic. 4.2 Millennials’ perception towards music products The first objective of the study was:  To explore the extent of millennials’ consumer perception towards music products relating to a musician or band While analysing and evaluating the information sourced through secondary research, it became clear that there were clear differences in the way in which millennial consumers consumed music in comparison to previous generations. Research showed that millennial consumers were interested in personalised products (Dredge, 2015) and that being the most prominent users of social media has ultimately played a major role in 21st century consumerism (Frost and Sullivan, 2012; Greene, 2012). This led to the first stage of the
  • 47. 47 research, which involved introducing questions to the public to see how accurate the previous research was. An attitudinal scale was used to measure the respondent’s attitudes towards different aspects of probing questions regarding the likelihood of consuming music and the factors that influence them. These set of statements were presented to participants who were asked to rate on a likert scale of 1-5 to what extent they agreed or disagreed and how much of an impact this would have on them as a consumer, where 1= strongly disagree/no impact and 5= strongly agree/major impact. Table 4.1: Percentages and mean scores relating to the likelihood and impact various factors had on their purchasing intentions
  • 48. 48 The overwhelming majority of consumers that participated stated they would purchase new music products, while being a fan of a musician would play the biggest part in their decision to actually purchase music, rather than consume it through other means. It is important to note that participants that took part in the questionnaire ranged from 18-50+. Despite the research being aimed at millennials, it was important to distinguish the differences between millennials and previous generations through the questionnaire to see how much of a difference there was between millennials and groups such as Generation X and Baby Boomers. As stated, gaining respondents above the age of 35+ was difficult and as such, less participants above the age of 35+ took part in the research in comparison to the millennials. It is evident that millennial consumers have different opinions on music consumption, which could be a result of their exposure to growing up in the technological era (Bolton et al., 2013, Immordino-Yang et al., 2012). An overwhelming consensus agreed during the questionnaire and focus group that music is so accessible, that it changes their views on how they choose to consume music. The questionnaire offered respondents to answer open ended questions, with one respondent stating: “Music is a part of everyday life, and as such, has become quite similar to running water. Its availability just means people expect it and therefore, expect it for free”. In comparison to those over the age of 35 who took part in the questionnaire, who stated they were willing to pay for music of any price, as long as they liked the artist. This is in comparison to the literature, which found that individuals over the age of 35 were the most inclined age group to be multi-channel music users and it was suggested that consumers across all age demographics were concerned with helping musicians financially, which suggests that price is less of a factor when a consumer is a fan of the artist (BPI, 2015).
  • 49. 49 Through research for the focus groups, it became clear that many well-known musicians saw physical CD’s as dying out and streaming platforms being the future. When asked about this in one of the focus groups, one respondent expressed their views on the purchasing of music in relation to their parents stating, “maybe there’s still a place for older generations, like my mum and dad they would always just buy the CD. Even though they can plug their phone in the car, they’d still rather have a CD” (Participant 1, Focus Group 1). This concurs with the literature that suggests that the millennials early exposure to new technology throughout their life has led to this behaviour of adopting new forms of music consumption as soon as it’s available (Fitzmaurice, 2005). Through prior research, it became evident that there was little in the way of information relating to consumers’ loyalty towards a musician or a band and how this impacted on their music consumption habits. This formed the main body of the study (BPI, 2015; Shapero, 2015). When conducting the research, the questions posed to participants revolved around their attitude towards how they consumed music (in general) vs. how they consumed music when they were a fan of a particular musician or band. One of the key factors that showed a consumer’s loyalty was avoiding trial purchases. During focus group two, participant three stated: “I have purchased an album without previously listening to it many times.” A point which was backed up in the same focus group by participant four, who stated: “...There are many artists I like that once a new product/record is announced, I will pre- order it without any knowledge about it other than its release date.” As a follow up question, participants were asked if blind purchasing is a common characteristic in music consumer loyalty to which there was unanimous agreement that being
  • 50. 50 a fan of a musician requires a high level of trust and therefore, once trust is built, they are happy to buy their products with no knowledge other than previous experience. Within this particular line of questioning, participant five stated: “The product quality is irrelevant when related to a specific artist.” In order to test this loyalty, participants were asked how they built their trust and how they lost their trust. Previous research suggested that millennial consumers were more inclined to engage in new products, due to eagerness being a common characteristic of their generation (Fitzmaurice, 2005). Therefore, it was important to see how relatable this was to engaging with new artists and bands and whether millennials behaviour changed when choosing to consume new music. A multiple choice question was asked of participants taking part in the questionnaire which enquired what platforms participants used to discover new music. A comprehensive chart of the most popular platforms used to discover new music is shown below, with traditional forms such as radio and word of mouth still ranking high among all age groups. However, more technologically based platforms such as video streaming services, free streaming services (e.g. SoundCloud) and subscription audio streaming services were also popular among all age groups, in comparison to previous research which suggested that older consumers would prefer to stick with the platforms they are used to.
  • 51. 51 Figure 4.1: Platforms Used to Discover New Music 4.3 Millennials’ Preferred Methods of Consuming Music The second objective of the study was:  To identify if particular methods of consuming music appeal more to millennials’ than other groups Through the analysis and evaluation of primary research, it became evident that a wide variety of platforms for consuming music were popular among millennial consumers with a varying degree of factors coming in to play in their final decision. As pointed out in the previous objective, traditional forms such as radio and concerts were still increasingly popular with the millennial consumer, despite new and cheaper platforms coming in to play in recent years which have proven as some of the more popular methods of consuming music
  • 52. 52 (IFPI, 2015). During all focus groups, participants were asked what their preferred modes of consuming music were and why they preferred to use these modes. Below, a table including these lines of questioning is attached for each focus group. Table 4.2: Preferred mode of consuming music across all three focus groups Table 4.3: The frequency of which music is consumed across all three focus groups
  • 53. 53 Table 4.4: Reasons for using preferred mode of consuming music across all three focus groups Relating the following research back to the objective, it would seem that no particular mode of consuming music is unanimously agreed by millennials as their preferred mode. While subscription streaming services was the method of music consumption that was brought up most frequently among participants, it is important to note the participants mentioned various services that they use and reasons relating to why they use each. This relates back to the literature which states that millennial consumers are multi-channelers, meaning they use various platforms to consume and purchase music (BPI, 2015). However, it can be noted that the most frequent factor given by millennials in making their decision on how they consume music ultimately comes down to convenience. It can be noted that this factor relates heavily to a common characteristic of millennials that they are the
  • 54. 54 generation of wanting it and wanting it now (Perugini and Bagozzi, 2001) and that the convenience of music consumption in the 21st century meets their day-to-day lifestyle. All participants in the focus group agreed that they consumed music every day at numerous intervals. Although there were various reasons given for why they chose to consume the music in the way they did, this confirms that music is a part of daily life for millennials (Grasmayer, 2012). This suggests that the millennials’ affinity to technology has made music consumption a daily ritual. The same question was asked of participants, who filled out the questionnaire and out of all respondents, the majority of respondents stated that they choose to consume music out of “ease and convenience”. Before this question was asked, respondents were asked what their preferred platform for consuming music was. Analysing the millennial respondents suggests that subscription audio streaming services (e.g. Spotify, Apple Music, Deezer, and TIDAL) is the most popular platform for consuming music. Figure 4.2: Preferred platforms for consuming music for millennials
  • 55. 55 However, when analysing the follow-up question, “based on your previous answer(s), can you confirm why you choose to consume music in this way?”, it became clear that the most popular answer was ease and convenience and this answer related specifically to non-physical forms of music consumption. Many respondents said the convenience was down to what suited their lifestyle, clarifying the same message applied by participants in the focus groups. This suggests that consuming music is down to convenience for the millennial consumer and buying CD’s and vinyl does not always work with their lifestyle. Based on the various platforms that were available, a table confirming how convenient each product was for each respondent. Service Reason Subscription Audio Streaming Service “Convenience-access to surplus music for price of, like, one album. Don't even notice cheap, fixed, monthly charge being deducted. All in one place.” Video Streaming Service “Convenient and free to view on YouTube as I have a smartphone.” Radio and TV “It's easy to access music free via radio stations.” Digital Downloads “I prefer having digital music as it is easier to access and organise.” Table 4.5: Non-Physical Streaming Services and an Example Answer from Questionnaire Confirming Why These Suited Their Lifestyle Physical products such as CD and vinyl were often pointed out by respondents for creating a collection and ownership. This shows that there may not be a particular form of consuming
  • 56. 56 music that is more appealing to millennials; instead, the platform that the millennial prefers to use is dependent on a variety of factors. 4.4 The Influence of Trust when Consuming Music The final objective of the study was:  To establish how influential trust is as a consumer behaviour trait towards music products Participants were asked whether trust was an important factor to them when it came down to how they chose to consume music. Paying close attention to millennials, a total of 45.27 per cent of participants from 18-34 agreed that trust was an important factor in how they chose to consume music, in comparison to the 25.26 per cent of participants who said that trust was not an important factor for them when it came down to how they chose to consume music.
  • 57. 57 Figure 4.3: How Influential Trust Was as a Factor for Millennial Consumers When They Made a Decision on How to Consume Music In definition, trust as a factor is in regards to whether consumers trust the artist or service enough to spend money on it. Through literature, it is clear that the music industry has to adapt in order to meet the needs and wants of the consumer (Moorman, Deshpande, and Zaltman, 1993) and through the primary research, it is clear that the millennials are not entirely trusting of music products and the industry, overall. While the secondary research on trust is more in relation to services such as streaming sites, download sites, and CD’s and ultimately the factors previously mentioned such as convenience and ease of access, it was crucial to find out whether consumers are more trusting if they are a fan of a musician/band or not.
  • 58. 58 Figure 4.4: Comparing Participants’ Answers to How Important Trust Was as a Factor in How They Choose to Consume Music versus the Likelihood of them Purchasing Music Products When They Are a Fan of an Artist or Band
  • 59. 59 Figure 4.5: Comparing Participants’ Answers to How Important Trust Was as a Factor in How They Choose to Consume Music versus the Likelihood of them Purchasing Music Products by an Artist or Band That They Had Recently Just Discovered Comparing the previous two tables, it is evident that participants who agreed that trust is an important factor in music consumption were more inclined to buy music products by an artist or band that they are a fan of, suggesting that they have gained a certain level of trust and therefore, are more inclined to blind purchase their music. In relation to the literature, Lacher and Mizeski’s (1994) Hedonic Music Consumption Model suggests that a consumer’s prior knowledge of a musician or band may form their purchase intentions toward their music. Despite only 0.90 per cent of participants stating they would not buy music by an artist or
  • 60. 60 band they were a fan of, this suggests that their opinion of music consumption may relate to them not being willing to purchase music products. When analysing the results found from comparing the trust factor to the likelihood of purchasing music products by a recently discovered artist or band, there is a more scattered response, showing that there is varying opinions in relation to purchasing music by an artist they may not have built trust with yet. 14.41 per cent of participants, the highest percentage for this question overall, who said that trust was an important factor were likely to purchase music products by an artist or band they had recently discovered, in comparison to the 5.41 per cent of participants who agreed that trust is an important factor were unlikely to purchase music products by an artist or band they had recently discovered. Further analysis provided with this question suggests that those who think trust is an important factor for them when it comes to how they consume music are more likely to trial music first through free and subscription streaming services (audio or video) and this often acts as the discovery tool for them. Most millennial participants stated they would not blindly purchase music by a new or recently discovered artist or band, but may purchase products by them after they build trust with them. The following responses from the focus groups further explain their feelings on trust towards music products; whether it’s an artist they are a fan of or a new artist, “If I believe that the artist regularly produces music I like then I am more likely to purchase it, even before listening to it.” (Participant 2, focus group 2)
  • 61. 61 “If it’s someone that I don’t really like, I’m just going to listen to their music on YouTube, but if it’s someone I like, I’m willing to spend a lot of money on a concert ticket.” (Participant 1, focus group 3) “I think if you really like an artist’s work and you connect with them on a personal level there is an instant level of trust and infatuation that puts their music high up in your estimations. I feel like that is needed in order to consistently purchase music but I will purchase lone songs without that level or trust.” (Participant 5, focus group 2) These examples taken from the focus groups suggest that millennials connect the connotations of trust with money, therefore showing that they are willing to spend money on a musician if they feel like the product is going to be of a sound quality. Relating back to the literature, it was stated that building loyalty and trust with a musician or band was built around the idea that consumers self-identify with music and in order to identify with a musician or band, they must trust them (Shankar, 2000). In the context of the qualitative data, consumers relate their level of trust with loyalty to the musician or band and how inclined they are to buy the product if they are trusting of what the musician or band is capable of producing. This relates to Costabile (2000)’s definition of consumer loyalty as satisfaction being built over time and turning into trust.
  • 62. 62 5. Conclusions and Recommendations This chapter will conclude the findings of the study with reference to the aim of the research. There will also be recommendations provided for future research in this field. This study examined whether there is a link between consumer loyalty and the music consumption trends of millennial consumers. Through the research, it has been found that consumers of all ages share in the opinion that being a fan of a musician or band is instrumental in their decision to actively purchase music products, rather than consuming it through other means. It was discovered that 45.27 per cent of millennials, the overall majority of participants that took part in the questionnaire, considered trust as an important factor for them when it came to the methods in which they chose to consume music. The findings identify that the environment in which millennials have grown up in has influenced the way in which they engage with music products, unlike in previous generations who have not found music as accessible as it now is. It has been noted by millennials that the accessibility of music has changed their view on how they choose to consume music and changed their view on music as a product. For example, the findings showed that when participants were asked what their preferred method of consuming music, that the majority of participants took the opportunity to offer multiple responses, showing that the accessibility of music in the 21st century means that different platforms have different needs for different consumers. Furthermore, because of this availability of products, participants agreed that this availability provided them with the opportunity to test out different music before making a decision on what they liked and what they would possibly later purchase. This not only provides confirmation into the reasoning behind millennials decision to use multiple different
  • 63. 63 platforms to consume music, but it also provides evidence into how millennial consumers build their consumer loyalty towards music. Factors such as price were also extremely important in the purchasing intentions of the millennials, often down to low income and in some cases, not trusting the product enough to part with money. This rules out previous research which suggests that young consumers are more inclined to part with their money for new products due to eagerness being a characteristic of their generation. Instead, as previously stated, millennial consumers like the opportunity of trialling music first to discover what they like. It may be noted that the previous literature is not specific to music products. The initial aim that built the research was to find out why millennial consumers chose to purchase music when there are a cheaper methods available when it comes to music consumption. Through the research, it has been found that millennial consumers purchase music when they are a fan of a musician or band, which suggests that loyalty is important for them when actively making a purchase of a CD, concert ticket, or merchandise, but not important when using a subscription streaming service or free streaming service, with the reason being that price plays a big part in their decision. The literature suggested that loyalty in music may be down to self-identification. For future research, it may be recommended that the idea of self-identity is looked at more when conducting research with participants. Furthermore, it is suggested that more emphasis is put on the connection between price of products and the product itself. As stated, this may be due to low disposable income on the part of the millennial. There is also a gap in research in regards to the comparison between millennials and non-millennials. While the research showcases some information from non- millennials, a wider pool of non-millennial participants would be needed to create a fuller comparison.
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  • 75. 75 Appendix Appendix A – Focus Group Information Sheet
  • 76. 76 Appendix B – Participation Form