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Toward a Digital Goods Consumer Competence Index: An Exploratory Study
Author(s) -
Park HyeYoung,
Rha JongYoun,
Widdows Richard
Publication year - 2011
Publication title -
family and consumer sciences research journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.372
H-Index - 31
eISSN - 1552-3934
pISSN - 1077-727X
DOI - 10.1111/j.1552-3934.2011.02103.x
Subject(s) - competence (human resources) , business , goods and services , advertising , marketing , consumer spending , index (typography) , empirical research , consumption (sociology) , speciality goods , economics , computer science , sociology , product market , social science , management , recession , world wide web , keynesian economics , microeconomics , market economy , incentive , philosophy , epistemology
Consumer spending on digital goods such as e‐books, entertainment, and online services is increasing exponentially. Digitalization of the marketplace is transforming the competencies required by consumers if they are to operate efficiently in the changing marketplace. In this study, an index of digital goods consumer competency was developed to help consumer and family scientists to better understand the new marketplace. Empirical testing of the proposed index was carried out using a sample of Korean consumers. Factor analysis was performed to identify the underlying dimensions of the index. Further analysis showed that consumers face particular difficulties in the prepurchase search and evaluation of digital goods. Cluster analysis showed that there are distinct consumer groups that differ in their level of digital goods consumer competence, suggesting that there may be consumer groups that are more vulnerable in the consumption and use of digital goods. This implies a need for intervention from a consumer policy and education perspective.