Toward an evolution strategy for the digital goods business

Abstract

PurposeThe purpose of this conceptual paper is to provide a typology for classification of the digital goods business (DGB), analyzing its characteristics with selected cases, to suggest an evolution strategy appropriate for today's digital business economy, and to address the research implications.Design/methodology/approachBased on a focus group interview, the study identified and classified the DGB models into four types in terms of sales channels and service methods, and further proposed five evolution strategies for the DGM.FindingsThe paper proposes five evolution strategies for the DGB: from streaming direct to streaming intermediary; from download direct to download intermediary; from download intermediary to streaming intermediary; from download direct to streaming direct; and from download direct to streaming intermediary. These evaluation strategies will be suitably applicable to the type of digital goods for which a business strives.Research limitations/implicationsAs the study is exploratory in nature, further research will be required to empirically confirm the findings of the underlying study regarding various DGBs, such as software, games, and movies. In addition, as the proposed typology reflects only the current state of the DGB industry, a further elaboration of the typology may also prove necessary in the future as technologies and the DGB industry evolve.Originality/valueProviding a useful theoretical foundation for future DGB studies and valuable insight into practical applications in the ever‐growing DGB field, the paper delivers transitional strategic insights based on digital goods taxonomy. This strategic implication can be applicable to analyzing and explaining current DGB cases.

Leveraging the co-evolution of offline and online video games: an empirical study

“…Research into online shopping and video games supports the notion that video gaming consumption is moving toward purchasing via the Internet (Dyer-Witheford &De Peuter, 2009; Zackariasson &Wilson, 2010;Hennig-Thurau et al, 2010;Landsman &Stremersch, 2011;Stuart, 2012;Phau &Liang, 2012;Bradley et al, 2012). Building on the concept of channel lock advocated by Verhoef et al (2007), research indicates that video game consumers (both potential users and other existing users) increasingly rely on user reviews and sales information when searching for product attributes.…”

Research on the influencing factors of college students online shopping under B2C model

“…Sutton & Hallett (1989) [7] believes that past experience can predict future behavior, satisfaction degree of network consumers on the service quality of online stores will affect whether consumers return to this website. Hassan Esmailpour (2012) [21] through the study of Iran consumers, obtained 4 kinds of impact on the consumption behavior of network user factors, and these factors were compared respectively and ranked,service quality, the price of the product itself and website design, personal information security. Yen-Ting (2012) et al [8] believed that consumer's satisfaction is a decisive factor that ultimately affects their consumption behavior, businesses should pay attention to commodity sale and customer service.…”

“…Kim (2012) etc [21] studied that the quality of service, network system design, information directly affects the quality of network shopping value, and will affect the network user consumption. Guo Yu (2012) [22] by research on the C2C website showed that consumers satisfied price, more concerned about service…”

“…Based on the above theories, the following hypotheses are proposed: Okky, Kartavianus (2012) etc [23] believed that trust factors have the greatest impact on consumer choice of network consumption. Hcc-woong, Kim (2012) etc [21] analyze the influencing factors of consumer choice of network consumption behavior on the two dimensions of price and trust. The results show that, compared to the price, the degree of trust of consumers make decisions more consumers on the website of the trust is high, the more will be repetitive and is willing to buy a large amount of transaction.…”

Information technology outsourcing in financial services

“…Being based on information, financial services are more easily outsourced than material products (Bradley, Kim, Kim & Lee, 2012). After all, there is no need to coordinate a flow of physical goods together with the information flow.…”