THE INFLUENCE OF ELECTRONIC WORD OF MOUTH AND BRAND IMAGE ON THE PURCHASE DECISION OF VIDEO ON DEMAND NETFLIX SUBSCRIPTION

Abstract

The Covid-19 pandemic has caused changes in aspect of life. These changes have influenced the communication industry which created the concept of Video on Demand. Netflix is one of the streaming services that have a variety of shows such as movies, anime, documentaries, and many more. During the first time, Netflix came to Indonesia, they had many issues with government and public services. This research aims to analyze the effect of electronic word of mouth (E-WOM) and brand image on the purchase decision of Netflix subscriptions in Medan city. The research used an associative method with a quantitative approach. The sample and populations in this research are 100 people who have used Netflix in Medan City. Data were collected using a survey method and then analyzed by using simple linier regression. The results of the research conducted reveal that the E-WOM variable (X1) has no significant effect on purchasing decisions. Meanwhile, the brand image variable (X2) has significantly influenced purchasing decisions. However, E-WOM and brand image have an equal (simultaneous) effect on purchase decisions (Y). The result of the correlation coefficient (R) of 0.836, where this coefficient value shows the relationship between E-WOM and brand image on purchasing decisions.