Master'sOpen Access

Loyalty in music streaming services: the role of psychological ownership, satisfaction and brand love

2025
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Advisor: Doç. Dr. Nilşah Cavdar Aksoy

Abstract (EN)

The traditional music industry has many dimensions, from the creation of value through the production of music to commercial processes. The dynamics of the industry are largely determined by the interactions between industry stakeholders that make up the music industry. During the traditional music industry period; artists, composers, and songwriters played an important role in the production process of musical content, which is the building block of the industry, while record companies, distribution channels, and marketers played an active role in the commercialization of the created value. While record companies managed the professional careers of artists on the one hand, they also created strategic plans to reach wider audiences with recorded music. The distribution channels that played an active role in this period were physical music stores, radios, and music television channels. When the traditional music industry period is examined from a marketing perspective, it is seen that concepts such as brand management, market segmentation, listener satisfaction, and listener loyalty have an important role. It is known that artists are positioned as brands and marketing strategies are developed and marketing campaigns are organized in order for albums and live concert events, which are the values produced by these brands, to reach their target audiences. In particular, long-term brand value-creation strategies have come to the fore. During this period, artists were able to communicate with their listeners mostly through radio and television, and thus aimed to increase their awareness. When the income model of the traditional music industry is examined, it is seen that the main sources of income are physical album sales, income from concerts, and royalties. In this way, artists and the record companies they are affiliated with have been able to generate sustainable income. The business model of the traditional music industry has largely depended on mutual cooperation between artists and commercial elements. It is known that the music industry entered the path of digitalization with the emergence of file-sharing networks such as Napster, which made it possible to share music files over the Internet in the early 2000s. With the beginning of the digital music industry, there were changes in the value chain of the traditional music industry, and the business model based on physical music sales was transformed into digital music consumption provided through online platforms. Music streaming services such as Spotify, YouTube Music, and Deezer were at the core of this transformation. Music streaming services are online services that allow users to access large music catalogs through subscriptions with paid or advertising-supported business models. In this period, music has ceased to be a product known only in its physical format and has begun to exist as services that offer personalized experiences. When evaluated from a marketing perspective, this new business model that emerged in the digital music industry offers personalized music recommendations and playlists to music platform users with algorithms and thus aims to increase the loyalty of listeners by strengthening the bond established between listeners and platforms. In the period when the music industry became digital, the subscription-based revenue model was supported by advertising revenues. Collaborations between artists and the record companies they are affiliated with are expanding, and platforms are also seen to be included in this collaboration. The digitalization of the industry has brought certain advantages. Listeners' music tastes, listening times, and interactions with artists they listen to on platforms have become trackable and analyzable. In line with this data, platforms, artists, and music marketing professionals can gain insights. The insights obtained make it easier for artists to reach their target audiences and enable more effective connections with listeners. With digitalization, the music industry has become global, and this has resulted in increased competition. Due to increasing competition, the proper management of collaborations between music platforms and artists has become important. According to the 2025 Global Music Report prepared by the International Federation of the Phonographic Industry (IFPI), the total revenue generated from the music industry in 2024 has grown by 4.8% compared to the previous year. In addition, the share of music streaming in all revenue generated from the music industry in 2024 was 69%, while the number of music streaming subscriptions reached 752 million. Although the revenue generated from music streaming services in the digital music industry is increasing every year, there is limited research in the context of the loyalty of music platform users. Due to the steady growth of the music streaming market worldwide, new studies are needed to reveal the loyalty mechanism towards music platforms in detail. In line with this information, examining the factors that trigger the loyalty mechanism towards music platforms emerges as a research topic. It aims to reveal the elements that trigger loyalty by understanding this mechanism and to make various theoretical and practical contributions to the literature. The aim of this study is to examine the loyalty of online music consumers towards music platforms and the artists they prefer to listen to within the framework of music streaming services. Psychological ownership will be considered as the starting point and theoretical framework of this study. In addition, the effect of satisfaction towards platforms as a mediating variable will be examined. In this way, in addition to the direct effect of psychological ownership on loyalty, its indirect effect through the satisfaction as a mediating variable will also be explained. On the other hand, the moderating effect of brand love in the relationship between satisfaction towards the platform and loyalty (towards the artist and the platform) will be investigated. A research model was developed in line with the objectives of the study and hypotheses were created for each of the paths on the model. In the research model, psychological ownership was considered in terms of platforms and included in the model as an independent variable. The satisfaction variable is the mediating variable considered in terms of platforms. The loyalty variable was considered in the context of both platforms and artists, and it was suggested that loyalty to artists has an effect on loyalty to platforms. On the other hand, the moderating effect of the brand love variable was examined. The demographic and preference questions in the research survey were used to analyze the frequency of different groups. A descriptive research design was used as the research method and the aim was to examine the relationships between the variables. This study, in which loyalty to music platforms was considered as a whole with loyalty to artists, is a quantitative research and the data of the research were obtained through an online survey. The population of the research consists of individuals over the age of 18 who consume music through online music platforms. The first part of the online survey designed for the research aimed to determine the demographic structure and music platform preferences of the participants. The second part of the survey included questions aiming to measure the psychological ownership variable towards the preferred music platform, while the third part measured brand love in the context of the music platform. The survey continued with statements measuring satisfaction with the music platform and loyalty to the music platform and the artist. While responding to the relevant statements, online survey participants were asked to think of the music platform they most frequently prefer and the artists they most frequently prefer within this platform as brands. All variable statements in the survey belong to established scales in the literature. Since the established scales were translated from their original language into Turkish, a pilot test was carried out in order to check the understandability of the statements. According to the results of the pilot test conducted with 40 participants, the understandability of the Turkish versions of the statements was improved and the survey was finalized. Then, the distribution process of the survey was started. The survey link was delivered to the target audience through various channels such as Whatsapp, Instagram, Facebook, and e-mail. The survey data was obtained between 03.12.2024 and 21.12.2024. When careless responses were eliminated, the number of data suitable for analysis was determined to be 214. The analyses of the research were carried out using SPSS and SmartPLS programs. Pilot test results, normal distribution analysis, and descriptive analyses were performed with the SPSS program, and structural equation modeling was applied with the SmartPLS program for hypothesis testing and other analyses. With the analyses applied within the scope of the research, the significant and positive effect of psychological ownership towards the platform on satisfaction towards the platform was revealed. It was determined that satisfaction towards the platform had a significant and positive effect on both loyalty towards the platform and loyalty towards the artist variables. Finally, it was observed that loyalty towards the artist significantly and positively affected loyalty towards the platform. In addition, the mediating role of platform satisfaction in both the relationship between psychological ownership towards the platform and loyalty towards the platform and the relationship between psychological ownership towards the platform and loyalty towards the artist was tested within the scope of the research. As a result of the mediating variable analysis, it was determined that platform satisfaction had a mediating effect in both relationships. Finally, moderating variable analyses were conducted and the mediating role of brand love in two different relationships was investigated. While brand love had a moderating role in the relationship between platform satisfaction and artist loyalty variables, the moderating effect of brand love was not determined in the relationship between platform satisfaction and loyalty towards the platform. One of the most important contributions of this study is that the loyalty behavior of digital music consumers can be expanded to include platforms as online service brands as well as artists as personal brands. Another contribution of the study is that the research model can be positioned as both behavioral and brand research by using the brand love moderating variable. It is believed that examining the loyalty mechanism in the context of music streaming services and artists based on psychological ownership theory and investigating the mediating role of satisfaction towards platforms in the relationship between psychological ownership and loyalty variables will contribute theoretically to the literature. The findings obtained as a result of the study are expected to guide music platforms, especially in terms of developing marketing strategies. According to the results of this study, it has been understood that psychological ownership triggers the loyalty mechanism. In this context, music platforms should offer platform features that will contribute to the psychological ownership levels of listeners or should engage in marketing communications that will support psychological ownership. On the other hand, businesses can create communication studies that appeal to consumers' emotions by taking into account the positive and moderating effect of brand love on the relationship between satisfaction towards the platform and loyalty towards artists. In addition, it has been observed that loyalty towards artists has a positive effect on loyalty towards platforms. Therefore, it is important for businesses to recognize the critical importance of artists in this equation, to adopt fairer pricing policies, and for the future of the industry. In this study, the findings obtained by examining the psychological basis of loyalty behavior should be combined with the businesses' own strategic goals and the most appropriate customer loyalty and brand loyalty strategies should be adopted for the business interests. In addition to the contributions of the study, there are a few limitations. First of all, the findings are limited to the sample of the study and reflect insights into music platform users over the age of 18. Therefore, they cannot be generalized within the scope of different demographic groups. In addition, female participants and individuals between the ages of 18-34 are predominant in the survey responses. Therefore, it is recommended to conduct research on other demographic groups as well. In addition, it is important to examine how consumer preferences such as music genre, which were not taken into account within the scope of this study, can shape loyalty. On the other hand, since the study is a cross-sectional study, it cannot adequately reflect the psychological ownership and loyalty dynamics that may occur and change over time. In this respect, it can be suggested that the study be repeated at a longitudinal level and the dynamics of loyalty formation towards platforms and artists be examined in the long term. In addition, the fact that data is obtained through a survey study and structured scale expressions limits the research. In future studies, it may be useful to examine the causality of various platform features and interactions with artists in terms of loyalty through an experimental research design. Finally, considering a multi-layered concept such as psychological ownership as a single variable is another element that limits the research. New models that address psychological ownership in different dimensions and are enriched with different mediation and moderation effects can be developed to make additional contributions to the music industry. KEYWORDS Psychological Ownership, Customer Satisfaction, Brand Loyalty, Brand Love, Music Streaming Services, Artists

Author

Dr. Ayşem Taş

How to Cite

Ayşem Taş (Master Thesis). Loyalty in music streaming services: the role of psychological ownership, satisfaction and brand love, 2025, Galatasaray University.

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