Repository logo
 
Publication

The effect of subscription video-on-demand on piracy: evidence from a household-level randomized experiment

2018Journal article Open access
Simple item page
dc.contributor.authorMatos, Miguel Godinho de
dc.contributor.authorFerreira, Pedro
dc.contributor.authorSmith, Michael D.
dc.date.accessioned2021-05-14T16:08:13Z
dc.date.available2021-05-14T16:08:13Z
dc.date.issued2018
dc.description.abstractWe partner with a major multinational telecommunications provider to analyze the effect of subscription video-on-demand (SVoD) services on digital piracy. For a period of 45 consecutive days, a group of randomly selected households who used BitTorrent in the past were gifted with a bundle of TV channels with movies and TV shows that could be streamed as in SVoD. We find that, on average, households that received the gift increased overall TV consumption by 4.6% and reduced Internet downloads and uploads by 4.2% and 4.5%, respectively. However, and also on average, treated households did not change their likelihood of using BitTorrent during the experiment. Our findings are heterogeneous across households and are mediated by the fit between the preferences of households in our sample for movies and the content available as part of the gifted channels. Households with preferences aligned with the gifted content reduced their probability of using BitTorrent during the experiment by 18% and decreased their amount of upload traffic by 45%. We also show using simulation that the size of the SVoD catalog and licensing window restrictions limit significantly the ability of content providers to match SVoD offerings to the preferences of BitTorrent users. Finally, we estimate that households in our sample are willing to pay at most $3.25 USD per month to access a SVoD catalog as large as Netflix's in the United States. Together, our results show that, as a stand-alone strategy, using legal SVoD to curtail piracy will require, at the minimum, offering content much earlier and at much lower prices than those currently offered in the marketplace, changes that are likely to reduce industry revenue and that may damage overall incentives to produce new content while, at the same time, curbing only a small share of piracy.pt_PT
dc.description.versioninfo:eu-repo/semantics/acceptedVersionpt_PT
dc.identifier.doi10.1287/mnsc.2017.2875pt_PT
dc.identifier.eid85056311591
dc.identifier.issn0025-1909
dc.identifier.urihttp://hdl.handle.net/10400.14/33147
dc.identifier.wos000453018000009
dc.language.isoengpt_PT
dc.peerreviewedyespt_PT
dc.subjectBitTorrentpt_PT
dc.subjectDigital piracypt_PT
dc.subjectDownloadspt_PT
dc.subjectInternetpt_PT
dc.subjectMoviespt_PT
dc.subjectRandomized experimentpt_PT
dc.titleThe effect of subscription video-on-demand on piracy: evidence from a household-level randomized experimentpt_PT
dc.typejournal article
dspace.entity.typePublication
oaire.citation.endPage5630pt_PT
oaire.citation.issue12pt_PT
oaire.citation.startPage5610pt_PT
oaire.citation.titleManagement Sciencept_PT
oaire.citation.volume64pt_PT
person.familyNameGodinho de Matos
person.familyNameSmith
person.givenNameMiguel
person.givenNameMichael
person.identifier.ciencia-id4217-C942-9E6F
person.identifier.ciencia-idE01A-0DD3-7BEF
person.identifier.orcid0000-0002-6333-2753
person.identifier.orcid0000-0002-6706-9382
person.identifier.ridM-3545-2013
person.identifier.scopus-author-id56757598200
person.identifier.scopus-author-id57206575743
rcaap.rightsopenAccesspt_PT
rcaap.typearticlept_PT
relation.isAuthorOfPublicationc9055da8-5ee5-422f-914b-8f5363ea3db9
relation.isAuthorOfPublication15ee95bf-ed43-436a-a933-0338ede3281b
relation.isAuthorOfPublication.latestForDiscovery15ee95bf-ed43-436a-a933-0338ede3281b

Files

Original bundle
Now showing 1 - 1 of 1
No Thumbnail Available
Name:
20178196.pdf
Size:
769.71 KB
Format:
Adobe Portable Document Format
Download

Collections

CUBE - Contribuições em Revistas Científicas / Contribution to Journals