Streaming and Screaming: the brand perception of Malaysian consumers towards Subscription-
based video-on-demand streaming services in Malaysia.
1. Introduction
Covid-19 pandemic had influenced the shift in consumers behaviour whereby consumers are now
refraining to buy from nice-to-have items but shifted to groceries and at-home entertainment (1).
Due to the movement control order (MCO) in Malaysia amid the Covid-19 pandemic, the average
daily television viewing in Malaysia had increased to 7 hours 7 minutes compared to 5 hours 30
minutes pre-MCO (2). Malaysia recorded 14.1 million subscribers of S-VoD in 2020 (3). With a
population of 32.7 million at 2020, the S-VoD subscribers represented 43.1 percent of the total
Malaysian population. Statista projected that the S-VoD revenue in Malaysia could reach US$88
million in 2021 with projected growth of 13.9% with a market volume of US$145 million in 2025 (3).
Previously, Malaysian television dominated by the government-run television via TV1 and TV2
before private television TV3 in1984, ntv7 in 1998, and 8TV in 2004 (4). These television channels
were based on a free-to-air business model which relies on advertising for an income stream. The
television market changed in the 1990s when ASTRO entered the market with a subscription-based
direct broadcast from satellite to home (5). Then, ASTRO was quite revolutionary as Malaysian
consumers are accustomed to a free-to-air television channel.
Tonton by Media Prima is the first local video streaming service. Launched 11 years ago, it initially
charged an annual subscription fee but changed to free viewing in 2018. Then there is HBO Go,
which is free for all existing Astro customers (5). Astro customers may subscribe for standalone HBO
Go service at RM25 per month and RM34.90 for non-Astro customers. Meanwhile, Netflix is offering
RM17 per month for 1 mobile phone or tablet at a time, RM35 basic to watch on 1 screen at a time
and download videos on 1 phone or tablet, RM45 watch on 2 screens at a time and able to download
video on 2 on phone or tablet, and RM55 premium watching on 4 screens at a time and download
videos on 4 phones or tables (6). Apple TV+ with a subscription fee of RM19.90 per month. Apple
TV+ also available for a free 1-year subscription with the purchase of a new Apple device and
students gets a free subscription to Apple TV+ together with Apple Music Plan (7).
1
, Price promotion has a significant impact on consumers’ purchasing intention (8). The price war
among S-VoD services creating a competitive market that eventually benefits Malaysian consumers
in terms of access to various quality contents at an affordable price (9). The price between the S-
VoD services is transparent to Malaysian consumers. Consumers perceive price transparency with
high quality (10). Despite numerous past research had discussed the role of social media in
influencing consumer brand perceptions (11,12) very scarce research had been conducted on the
role of Malaysian consumers’ brand perception on S-VoD services in Malaysia.
The advent of new technologies changes consumer media consumption, influencing the trend in
marketing and the perceived value of digital strategies in the media industry (13). The online media
platform is competing with linear television networks (14), eroding the exclusivity of traditional
media, and shifting consumer attention away from mainstream media (15). In the media industry,
positive consumer perception of media depends on the quality of the media contents (16, 17, 18).
The consumer consumption behaviour for S-VoD is different from linear television (19, 20, 21).
This research concentrates on Netflix because of its vast worldwide subscribers and Apple TV+ due
to its late entry into the S-VoD services market in Malaysia. Netflix is not a media company but also
a technology company (22). Despite its emergence as a cultural force amid the advent of streaming
technology, Netflix had been overlooked in the study of popular culture (23). To reach its potential
customers, Netflix focuses on celebrities' influence, humor, and positive content in social media (24,
25). In the first quarter of 2020 alone, Netflix had 195.15 million paid customers worldwide (26). In
terms of customer loyalty, Netflix may have a large number of loyal customers, but the loyalty was
due to the functions of the service rather than satisfaction with the brand (27). The performance of
the media has a positive influence on the consumer's confidence who are more likely to trust and
loyal to the brand (28).
In comparison, Apple TV+ only has 40 million subscribers in 2020 (29). However, Apple TV+ is
accessible through all its devices such as iPhone and Mac computer. Apple users are known to be
brand-loyal compared to other brand users (30). The number of subscribers for Apple TV+ may
increase its potential subscribers on existing and future Apple device users. It is interesting to see
how Malaysian Apple users’ brand loyalty translated to their brand’s perception of the Apple TV+ S-
VoD services.
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based video-on-demand streaming services in Malaysia.
1. Introduction
Covid-19 pandemic had influenced the shift in consumers behaviour whereby consumers are now
refraining to buy from nice-to-have items but shifted to groceries and at-home entertainment (1).
Due to the movement control order (MCO) in Malaysia amid the Covid-19 pandemic, the average
daily television viewing in Malaysia had increased to 7 hours 7 minutes compared to 5 hours 30
minutes pre-MCO (2). Malaysia recorded 14.1 million subscribers of S-VoD in 2020 (3). With a
population of 32.7 million at 2020, the S-VoD subscribers represented 43.1 percent of the total
Malaysian population. Statista projected that the S-VoD revenue in Malaysia could reach US$88
million in 2021 with projected growth of 13.9% with a market volume of US$145 million in 2025 (3).
Previously, Malaysian television dominated by the government-run television via TV1 and TV2
before private television TV3 in1984, ntv7 in 1998, and 8TV in 2004 (4). These television channels
were based on a free-to-air business model which relies on advertising for an income stream. The
television market changed in the 1990s when ASTRO entered the market with a subscription-based
direct broadcast from satellite to home (5). Then, ASTRO was quite revolutionary as Malaysian
consumers are accustomed to a free-to-air television channel.
Tonton by Media Prima is the first local video streaming service. Launched 11 years ago, it initially
charged an annual subscription fee but changed to free viewing in 2018. Then there is HBO Go,
which is free for all existing Astro customers (5). Astro customers may subscribe for standalone HBO
Go service at RM25 per month and RM34.90 for non-Astro customers. Meanwhile, Netflix is offering
RM17 per month for 1 mobile phone or tablet at a time, RM35 basic to watch on 1 screen at a time
and download videos on 1 phone or tablet, RM45 watch on 2 screens at a time and able to download
video on 2 on phone or tablet, and RM55 premium watching on 4 screens at a time and download
videos on 4 phones or tables (6). Apple TV+ with a subscription fee of RM19.90 per month. Apple
TV+ also available for a free 1-year subscription with the purchase of a new Apple device and
students gets a free subscription to Apple TV+ together with Apple Music Plan (7).
1
, Price promotion has a significant impact on consumers’ purchasing intention (8). The price war
among S-VoD services creating a competitive market that eventually benefits Malaysian consumers
in terms of access to various quality contents at an affordable price (9). The price between the S-
VoD services is transparent to Malaysian consumers. Consumers perceive price transparency with
high quality (10). Despite numerous past research had discussed the role of social media in
influencing consumer brand perceptions (11,12) very scarce research had been conducted on the
role of Malaysian consumers’ brand perception on S-VoD services in Malaysia.
The advent of new technologies changes consumer media consumption, influencing the trend in
marketing and the perceived value of digital strategies in the media industry (13). The online media
platform is competing with linear television networks (14), eroding the exclusivity of traditional
media, and shifting consumer attention away from mainstream media (15). In the media industry,
positive consumer perception of media depends on the quality of the media contents (16, 17, 18).
The consumer consumption behaviour for S-VoD is different from linear television (19, 20, 21).
This research concentrates on Netflix because of its vast worldwide subscribers and Apple TV+ due
to its late entry into the S-VoD services market in Malaysia. Netflix is not a media company but also
a technology company (22). Despite its emergence as a cultural force amid the advent of streaming
technology, Netflix had been overlooked in the study of popular culture (23). To reach its potential
customers, Netflix focuses on celebrities' influence, humor, and positive content in social media (24,
25). In the first quarter of 2020 alone, Netflix had 195.15 million paid customers worldwide (26). In
terms of customer loyalty, Netflix may have a large number of loyal customers, but the loyalty was
due to the functions of the service rather than satisfaction with the brand (27). The performance of
the media has a positive influence on the consumer's confidence who are more likely to trust and
loyal to the brand (28).
In comparison, Apple TV+ only has 40 million subscribers in 2020 (29). However, Apple TV+ is
accessible through all its devices such as iPhone and Mac computer. Apple users are known to be
brand-loyal compared to other brand users (30). The number of subscribers for Apple TV+ may
increase its potential subscribers on existing and future Apple device users. It is interesting to see
how Malaysian Apple users’ brand loyalty translated to their brand’s perception of the Apple TV+ S-
VoD services.
2
