POLO NATIONAL HIGH SCHOOL

SENIOR HIGH SCHOOL DEPARTMENT

PVES Compound, Palasan, Valenzuela City

FACTORS THAT AFFECT THE PREFERENCE IN PURCHASING IN-GAME

PRODUCTS IN ONLINE GAMING

___________________________________

A Research Proposal Presented to the Faculty of

Polo National High School
City of Valenzuela

____________________________________

In Partial Fulfillment of the requirements in Practical Research 2

_____________________________________

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 By:
Renzo A. Apolonio
Diosdado P. Avendan III
Nicolas Leigh C. Bartolome
Christian France G. Capulong
Ezekiel James L. Forca
Bea C. Garin
Mark Andrew A. Mañanita
Myleen S. Pagulayan
Jerick E. Peji

CHAPTER 1

THE PHENOMENON

Introduction

This study will focus on the factors that affect the preferences for purchasing

in-game products in the online game industry. Research concerning online gaming has

steadily increased over the last decade, and researchers engagement with this topic is

very little.

Online gaming has become one of the fastest-growing entertainment industries

on the Internet over the past decade. Furthermore, an online game is played over a

computer network, the most common of which is the internet. Online games range

from simple text-based games to games with complex graphics and virtual worlds

populated by a large number of players at the same time (Orendain, 2017).

Dumrique and Castillo (2018) conveyed that Playing video games can be a

stress reliever, challenge and competition, relaxation, enjoyment, social

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 interaction, and even mentally escaping from the real world. For most people,

online gaming is one of the best past times that they acquire especially for

teenagers, youngsters, and students.

Bahamut a popular online game website in Taiwan has various types of online

games which are categorized into role-playing games, action games, shooting games,

sports games, racing games, adventure games, puzzle games, and war-strategy games.

According to industry surveys, role-playing games are the most popular current genre.

Park and Lee (2011) stated in their study that online game has two business

models, first, is the subscription-based business model wherein, players pay a fee to

the game developer to get access to its games for a set duration of time. The free-to-

play business model, on the other hand, enables players to enter the online game

platform for free, but they must pay for various in-game items such as clothing, and

weaponry if they wish to improve the power or aesthetic appeal of their virtual

characters.

The purpose of this research is to find out factors that affect the preferences in

purchasing in-game products in online games as perceived by the players. Study will

anchor on the theory of consumer behavior and pattern the different factor that affects

the preference of gamers in purchasing in-game products factors to be described in the

study are as follows; economic, factors, functional factors, market mix factors, social

factors, psychological factors, and personal factors.

Statement of the problem

The main objective of the study is to determine the factors that affect the

preferences of grade 12 stem students from Polo National High School in purchasing

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in-game products while playing Mobile Legends: Bang Bang. Specifically, the

researcher sought to answer the following questions:

1. What is the level of percepts on the different factors that affect the preferences of

purchasing in-game products With respect to the following variables:

1.1. Economic Factors

1.2. Functional Factors

1.3. Social Factors

1.4. Psychological Factors

1.5. Emotional Factors

1.6. Market Mix Factors

2. Is there a significant difference in the level of perceptions of the different factors

that affect the preferences of the student on the following variables.

2.1. Economic Factors

2.2. Functional Factors

2.3. Social Factors

2.4. Psychological Factors

2.5. Emotional Factors

2.6. Market Mix Factors

Significance of the study

The study will be of great significance to the following:

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 Gamer. The result of the study will help in identifying their behavior in purchasing

in-game products.

Online Game Developer. The result would be of great help and guide the online

game companies on how they create more joy brought by game items to trigger the

purchase intention of gamers to improve online games and increase income from

online games. Future Researcher. The result of the study will guide the future

researcher in the conduct of a similar study.

Scope and Delimitation

This study is focus on the factors that affects the preference on purchasing in-game

products in online game of Grade Stem 12 students in Polo National High School for the

school year 2022-2023.

In this study, the Grade 12 Stem students in Polo National High School who are

utilizing the online game Mobile Legends : Bang Bang.

The study considered the following factors to predict the preference on purchasing in-

game products in playing Mobile Legends: Bang Bang such as economic factors,

functional factors, market mix factors, social factors, psychological factors, and personal

factors.

Definition of terms

In-game products. These are the virtual products that gamers tend to purchase while

playing an online game through marketing campaigns

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Mobile Legends: Bang Bang . This specific online game is utilized by the researcher. It

is a free to play online gacha game where in gamer’s can purchase in-game products.

Online game. An online game is a game wherein gamers’ can connect and see each other

in a virtual environment with the use of the internet.

CHAPTER II

REVIEW OF RELATED LITERATURE AND STUDIES.

This chapter presents the relevant and related literature and studies after through and

careful search done by the researcher. This will also present the synthesis of the art,

theoretical and conceptual framework to fully understand the research to be done.

Related Literature

This part helps to serves as guide of the researcher in locating more sources of the

related information of the study.

Yoo (2015) the more gamers understand item values, the more likely they are to

buy them. It also demonstrates that buying game stuff improves game play. revealed on

his study the impact of perceived online-game item values on item purchase intentions, as

well as the relationship between item purchases and game play. The functional, emotional,

social, and financial worth of consumers' multi-dimensional perceived values are utilized

to evaluate hypotheses. According to the study, the more gamers understand item values,

the more likely they are to buy them. It also demonstrates that buying game stuff improves

game play.

Ho and Wu (2012) mentioned that Virtual Items or in-game products are sold in

modern online games to generate revenue and raise player engagement, they also,

anchored their studies on the theory of consumption and the elements that affect intent to

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acquire virtual products in online games are investigated in this study using role-playing

games and war-strategy games. Since the researchers used two types of specific online

games the result is far different from the previous study. This study showed that factors

and theory of consumption values affect the intention on purchasing virtual goods in

online games. Online game developers can use study results to improve online games and

increase income from online games. This study is an empirical investigation of the factors

and theory of consumption values that affect intent to purchase virtual goods in online

games. The study determines the effects of game type, satisfaction with the game,

identification with the character, and theory of consumption values on intent to buy virtual

goods. Role-playing game users are affected by functional quality, playfulness, and

social relationship support; war-strategy game users by sympathy and economic value.

Chou and Kimsuwan (2013) mentioned significant factors that influence gamers in

purchasing the in-game product. Firstly, is the enjoyment value which gives joyfulness for

the gamer that should enhance by the online game company to increase sales. Secondly,

promotional factor contributes great in influencing the gamers to purchase the in-game

products companies should also focus on this matter. Thirdly, is the monetary value, this

factor has significant implication on the gamers intention on buying in-game product, this

are the visual. Character competency value and visual authority value is not significant in

gamers intention in purchasing in-game products due cost-cutting purposes, it is preferable

to play the games rather than buy them directly. Meanwhile, the effect of price on

purchasing intent is also insignificant. It appears to imply that when making a purchasing

decision, online gamers are more concerned with perceived value than price. As the

researcher suggestion for the future researcher to include social demands factors as it may

increase gamers' motivation to purchase in-game products.

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 Similarly, Yu & Huang (2022) explored the intention of users to play games on

mobile commerce platforms, as well as the influence of gamification mechanisms on

users' purchase intentions. The results of the study found that utilitarian value, hedonic

value, and social value are positively correlated with game use intention.

The thematic presentation is presented on the next page

Thematic Presentation

Presentation below displays the relation of the sited theories and factors that affect

the preferences of in purchasing in-game products in online gaming.

Synthesis

There different behavior theories that anchored in this study. Firstly, is the

McClelland's theory of hierarchical needs such as, physiological, safety need, social needs

and self-esteem and self-actualization need. It was mentioned by Guo and Barnes (2011),

that motivation is one of the reasons why people receive what they want. Meanwhile

Broussard and Garrison (2004), define motivation as a trait that can influence someone's

decision to do or not do something and Shukla and Drennan (2019) reflects that beliefs,

perceptions, values, interests, and behaviors has a significant relation on the motivational

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theory. A gamer's motivation in the context of a game is to win or achieve a goal which

compromise the wants, interest values self-esteem, self-actualization as mention by Guo

and Barnes (2011), Broussard and Garrison (2004) and Shukla and Drennan (2019).

Secondly, Ajzen and Fishbein's theory of reasoned action a behavioral theory rational

decision-making is the chief element of what drives consumers to make purchases. Tryon

(2014) argued that decisions appear to be the product of 'free will', but that is not an

acceptable scientific explanation. Meanwhile, buying behavior theory purchase routine has

a significant effect on the preference for buying in-game products wherein the researcher

itself has noticed a personal experience with regards to purchasing an in-game product.

Moreover, Keynesian Theory states the assumption that consumption is rely on the

fund availability, one implication of this theory is the decisions of households on

how much to consume in a given period are also affected by their wealth, by the

interest rate, and by their expectations of the future. These theories are relevant in

real life situation in purchasing goods which also happened in virtual or in-game

item purchasing.

Yoo (2015) and Chou & Kimsuwan (2013) sited economic factor have great

effects on the preference of the gamers to purchase in-game products. Meanwhile,

functional factors significant effects on purchasing in-game products were revealed by Ho

& Wu (2012), Chou & Kimsuwan (2013), and Yu & Huang (2022) in terms of playfulness

value, perceived value and utilitarian value consecutively.

On the other hand, social factors were glanced significant by Ho & Wu (2012) and

Ho & Wu (2012. Also, Chou & Kimsuwan (2013) suggested the future researcher to

include the said factor on the same study. Further, psychological factors were stated by Yu

& Huang as one of the most significant factor in purchasing behavior of in-game items.

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Personal factors were mentioned by Chou & Kimsuwan (2013) by siting the significant

relation of of hedonic value in buying in-game items. Market value has also great effects

on the preference of the gamers in acquiring in-game product by means of monetary value,

price, as presented by Chou & Kimsuwan (2013).

Summing those research of related literature and studies and relevant theories

researchers come up with a correlation of the preference for purchasing in-game products

of the respondents to the different factors such as; economic factors, functional factors,

social factors, marketing mix factors, personal factors, and psychological factors

(Chakraborty 2017).

CHAPTER III

STUDY FRAMEWORK

This chapter presents related theories and concepts for the topic that the researchers

have based their research on.

Related Theories

This study is anchored in the different theories of consumer behavior such as the

theory of reasoned action, the theory of buyer behavior, and the motivation-need theory

that influences gamers’ perceived preferences in purchasing in-game products.

Theory of Motivation. According to Guo and Barnes, motivation is one of the

reasons why people receive what they want (Guo &Barnes, 2011). Broussard and Garrison

(2004), on the other hand, define motivation as a trait that can influence someone's

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decision to do or not do something. Shukla and Drennan (2019) examined the interactive

influence of both group-level (i.e. community influences) and individual-level variables

(intrinsic and extrinsic motivations) on players' virtual purchase behavior, they stated that

several aspects of real-world behavior are reflected in virtual purchases He also discovered

that motivation is comprised of a complex web of beliefs, perceptions, values, interests,

and behaviors. A gamer's motivation in the context of a game is to win or achieve a goal.

Moreover, McClelland's theory of needs is one such theory that breaks down what

needs are and how they must be treated to understand this process of motivation. The

demands for achievement, power, and affiliation strongly influence an individual's

behavior, according to this motivational theory, which is helpful to comprehend the factors

of preference to by in-game products by gamers.

The theory of Reasoned Action. Ajzen and Fishbein's theory of reasoned action

was developed out of social–psychological research on attitudes and the attitude-behavior

relationship. The model assumes that most behaviors of social relevance (including health

behaviors) are under volitional control and that a person's intention to perform a behavior

is both the immediate determinant and the single best predictor of that behavior. The

intention in turn is held to be a function of two basic determinants: attitude towards the

behavior and subjective norm. Consumers are driven by what they believe will create or

receive a particular outcome, familiar or otherwise. According to the theory of reasoned

action, rational decision-making is the chief element of what drives consumers to make

purchases. Tryon (2014) limiting factor of all cognitive theories, including the Theory of

Reasoned Action, is that they do not provide mechanism information. Decisions appear to

be the product of 'free will', but that is not an acceptable scientific explanation.

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 The theory of buyer behavior seeks to identify the elements of that decision

process and note any changes that occur. Buying behavior is, generally speaking, reliably

repetitive and prone to establishing a familiar purchasing routine. It also asks whether

those changes grew out of a commercial and social environment thus, the said theory has a

significant effect on the preference for buying in-game products wherein the researcher

itself has noticed a personal experience with regards to purchasing an in-game product

Theory of consumption. Keynesian Theory of Consumption states the

assumption that consumption depends only on income is obviously a

simplification. In practice, the decisions of households on how much to

consume in a given period are also affected by their wealth, by the interest

rate, and by their expectations of the future. Households with higher wealth

are likely to spend more, other things being equal, than households with less

wealth. Similarly, Sheth, et al (1991) elaborate the theory of consumption to figure

out consumption behavior and explain values influencing the consumer choice

behavior such as, functional value, conditional value, social value, emotional value,

and epistemic value. As a result, the theory can be utilized to determine consumer

behavior, as well as describing and explaining it. Any consumer can benefit from the

theory whether its individual decision making, a systematic decision making and

voluntary decision-making

Conceptual Framework

Figure 1 shows the research model used in this study. The model shows the

different factors that affect the preference on purchasing in-game products, such as

economic factors, functional factors, market mix factors, social factors, psychological

factors, and personal factors.

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 Economic
Factors
Market mix
Factors H1
H Functional
Factors
Preference to
purchase in -game H2
H prod ucts

H
Emotional Social
Factors Psychological Factors
Factor
H

Mobile Legends: Bang Bang

Fig. 1. Conceptual Model of the study on the preference for purchasing in-game
products in the online game.

Figure 1 shows the factors affecting preference for purchasing an in-game product.

Chakraborty (2017) elaborates the different factors that affect the decision of the costumer

to buys certain products, factors mentioned are economic factor, functional factor, social

factor, marketing mix factors, emotional factors, and psychological factors. This

framework supports researchers with a valuable lens for assessing how the aforesaid

factors influence Mobile Legends: Bang Bang players' preferences for purchasing in-game

products.

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The hypothesis of the Study

The researchers come up with the following hypotheses:

Purchase Preference

Consumer behavior refers to how individuals or groups choose to purchase, consume,

and dispose of products and services to meet their needs and wants.

As a result, it's essential to consider that different factors influence consumer behavior.

Chakraborty (2017) mentioned the seven factors that influence why the preference of

consumers, such as economic factor, functional factor, marketing mix factors, personal

factors, psychological factor, social factors, and lastly, cultural factors.

Meanwhile, Chakraborty (2017) economic factor stated the most vital and first on

the list because this is the most influential factor before making a purchase. Basic sense,

people cannot buy what they cannot afford. The need for a product is not really a factor

here either, but the most significant factor is cost. The first hypothesis is:

H1: Economic factors affects the preference in purchasing in-game products in

playing Mobile Legends: Bang Bang.

Further, Kim et al., showed that functional quality and price utility are the

functional theory of consumption values. Character competency is related to the increase

in character competency received for purchasing virtual goods. Chakraborty (2017)

functional factor is an element entirely focused on the customer's requirements, and it is

supported by logic that what makes sense and also serves the customer's best interests.

This one aspect also has a significant impact on the purchasing choice. The second

hypothesis is:

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 H2: Functional factors affects the preference in purchasing in-game products in

playing Mobile Legends: Bang Bang.

Further, reference groups, family, and social status are all social factors. Consumer

purchasing behavior is influenced by these factors as well. These elements, in turn,

indicate a never-ending and fierce inflow through which people learn various consuming

values. The third hypothesis of this study is:

H3: Social factors affect the preference in purchasing in-game products in playing

Mobile Legends: Bang Bang.

Meanwhile, prior consumer behavior studies revealed that psychological factors

lead to the intention of gamers on purchasing in-game products. In general, consumers did

not purchase in-game products as long as it is needed. In this study, researchers will test

the four most essential psychological elements that influence consumer purchasing

behavior such as perception, motivation, learning, beliefs, and attitudes.

In this study, researchers would like to find the psychological factor on the

preferences of the gamers in purchasing in-game products. Therefore, the fourth

hypothesis is:

H4: Psychological factors affects the preference in purchasing in-game products

in playing Mobile Legends: Bang Bang.

Prior studies identified emotional factors in purchasing virtual goods in online

games. Kim et al. revealed that playfulness and aesthetics are the emotional theory of

consumption values for virtual goods in online games while Park and Lee [23] mentioned

that enjoyment is a theory of consumption value for virtual goods in online games.

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Playfulness and enjoyment are factors that affect purchasing presence of gamers in buying

an in-game product in online games. The study will examine the effects of emotional

factors in the preferences of gamers in purchasing in-game products. Whereas, the fifth

hypothesis of this study is:

H5: Emotional factors affects the preference in purchasing in-game products in

playing Mobile Legends: Bang Bang.

Moreover, Chakraborty (2017) the marketing mix consists of four elements:

product, pricing, promotion, and distribution channel, each of which has a direct or

indirect impact on the consumer's decision-making process. Consumers assess a variety of

factors, including the product's qualities, the price charged, the product's availability at the

desired location, and much more. The sixth hypothesis of the study is:

H6: Market mix affects the preference in purchasing in-game products in playing

Mobile Legends: Bang Bang.

Definition of terms

In-game products. These are the virtual products that gamers tend to purchase while

playing an online game through marketing campaigns

Mobile Legends: Bang Bang . This specific online game is utilized by the researcher. It

is a free to play online gacha game where in gamer’s can purchase in-game products.

Online game. An online game is a game wherein gamers’ can connect and see each other

in a virtual environment with the use of the internet.

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 CHAPTER IV

DESIGN AND PROCEDURES

This chapter present the research design, the respondents of the study, research

instruments and data gathering procedures and data processing and statistical reatment

Research Design

The study made use of a quantitative descriptive survey method of research utilizing

an evaluation design. The descriptive research survey method is the type of research

method that is used to get information on the current status of a person or object. It is

used to describe what is an existence concerning conditions or variables that are

found in a given situation. The descriptive method is used in collecting data to

demonstrate the factors that affect the preference for purchasing in-game products in

online-game. The design made used the six factors in evaluating the purchasing

behavior in acquiring in-game products. Hence the pre-test survey was conducted and

experts in online games. The questionnaire is made in the google form platform and

the link is to be sent using the message box on Facebook. Respondents were asked to

click on the link. The online survey contained measures for all of the research

constructs in the research model. The survey was posted for one month. Survey scales

were based upon survey scales from prior research studies. All of the survey scales

were multi-item scales. All of the scales were seven-point Likert scales that ranged

from 1 - “Never” to 5 - “Always”.

Data Gathering Procedure

In order to attain objectives of the study, the following steps are to be taken

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Development and Validation of Questionnaire checklist

The questionnaire develops a scale to determine factors affecting preference on

purchasing in-game products such as economic factors, functional factors, social factors,

psychological factors, emotional factors and market mix factors, the researchers utilized

measures of each variable with a five-point Likert scale, such as ‘‘always” (5), ‘‘often”

(4), “sometimes” (3), “rarely” (2), and “never” (1).

Administration of Questionnaire checklist

The researcher administers the questionnaire by sending the link on Facebook

messenger. Questionnaire includes question if the respondents is playing Mobile Legends:

Bang Bang by answering yes or no. If the answered is ‘yes’ respondents may proceed to

the next section on the questionnaire. However, if the respondents answered “no” the

Questionaires directed the respondents to ask why are they disinterested from Mobile

Legends: Bang Bang.

Preparation of Data for Statistical Treatment

Tallying and preparations of data upon administration may take for 3 weeks. It is

made personally specially the encoding.

Treatment of the data

The date is to be treated through the appropriate statistical tools using Excel data

analysis.

Report Writing

Upon data are treated, a report will be written and it will take two weeks to the

researcher to finish the manuscript on the part time basis.

Data Processing and Statistical Treatment

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 The data will be gathered subject to the following statistical method. To figure out

factors affecting the preferences in purchasing in-game products mean is will be

computed. Similarly, mean is use to assess the common preference in purchasing in-game

products in online gaming. Meanwhile, to determine how the preferences affect

purchasing in-game products frequency and ranking is will be used.

Population and Sample of the Study

The study used the purposive sampling technique, a non-probability technique. The

respondents of the study are the Grade 12 stem students of Polo National High School

who are utilizing the Mobile Legends: Bang Bang only.

Table 1. The population of grade 12 Stem Students of Polo Valenzuela National High

School students 2022-2023

Strand Population

STEM – SANTOS 47

Total 47

As shown in the table there were 47 respondents from STEM – Santos (47).

Research Instrument

The questionnaire was developed based on the relevant literature and relevant. The

question items in the instrument were derived from the existing literature and slightly

modified to suit the context of affecting purchase preference of in-game products in

playing Mobile Legends: Bang Bang. Furthermore, to develop a scale to determine factors

affecting preference on purchasing in-game products such as economic factors, functional

factors, social factors, psychological factor, emotional factors and market mix factor, the

19
researchers utilized measures of each variable with a five-point Likert scale, such as

‘‘always” (5), ‘‘often” (4), “sometimes” (3), “rarely” (2), and “never” (1). Table 1 below

show the checklist of affecting preference in purchasing in-game products.

FACTORS THAT AFFECT THE PREFERENCES IN PURCHASING IN-

GAME PRODUCTS SURVEY CHECKLIST
Factors that may affect the preferences 5 4 3 2 1
in purchasing in-game products
Economic Factors

1. I purchase in-game products within my

budget
2. I purchase in-game products only when
needed
3. I save money when I plan to buy in-
game products.
Functional Factors

4. I buy in-game products when I'm new

to the game to increase my character
level
5. I purchase cosmetics in-game (modifiers
that change the way a specific
item/character.)
6. I purchase in-game products that give
my character more power than other
players in the online game progress in the
game.
7. I usually purchase in-game products
when I have done a mistake in my game
account.
Social Factors

8. I buy in-game products with the

intention of progress faster than others
to catch up others.
9. I get influenced to buy in-game product
when someone I know bought one
10. I buy in-game products to gain reactions
from others

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 Psychological Factors

11. I buy in-game products to make myself

satisfied
12. I fell an urge to buy in-game products
on discount/with bonuses
13. I reconsider buying in-game product if it
will cause me financial problems.
Emotional Factors

14. I feel more engaged to play a game after

buying in-game products.
15. I am happy to buy in-game products
after seeing an expected results.
16. I buy in-game product to satisfy myself..

Market Mix

17. I buy in-game products only during

sales
18. I buy in-game product when I discover
on advertisement
19. I have the urge to spend money when
the limited characters/items are
displayed in the in-game shop.

Data generation Report

Gantt Chart

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