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To cite this article: Tripti Ghosh Sharma, Preeti Tak & Ankit Kesharwani (2020): Understanding
Continuance Intention to Play Online Games: The Roles of Hedonic Value, Utilitarian Value and
Perceived Risk, Journal of Internet Commerce
ABSTRACT KEYWORDS
The current study examines how the perception of negative Continuance intention;
consequences or risks interacts with hedonic and utilitarian Hedonic values; means-end-
values in predicting gamers’ continuance intention to play chain theory; online
gaming; perceived risk;
online games. We examine the proposed model by conduct- utilitarian values
ing an empirical study of the responses of two hundred and
one (201) online gamers using structural equation modeling.
From our results, hedonic value positively impacts the con-
tinuance intention to play online games, whereas utilitarian
value does not significantly impact online gaming behavior.
Furthermore, at higher perceived risk levels, hedonic value
enhances the online game continuance intention whereas
utilitarian value has insignificant effect. At low perceived risk
levels, both hedonic and utilitarian values have significant
effect on continuance intentions to play online games. The
study discusses the theoretical contributions as well as prac-
tical implications of our findings.
Introduction
Thanks to the increasing popularity of online, mobile, and social media
gaming, the global gaming business has grown exponentially in the past
decade. According to the Newzoo Global Games Market Report (2019),
consumer spending on games could touch $200 billion by 2022 at the com-
pounded annual growth rate (CAGR) of 9.0% from 2018 to 2022.
Emerging markets such as South-East Asia and India are growing the fast-
est, with both western and eastern game publishers vying for the players’
time and money. Companies are witnessing competitive pressure to sustain
their market advantage and are increasingly realizing the need for innova-
tions in order to enhance their players’ continuance intention.
Thus, practitioners need to understand how players behave in online
gaming if they want to attract players to their online gaming websites more
often or develop player loyalty (Wu and Liu 2007; Lu and Wang 2008;
CONTACT Preeti Tak dr.preetitak@gmail.com Indian Institute of Foreign Trade, New Delhi, India.
ß 2020 Taylor & Francis Group, LLC
2 T. G. SHARMA ET AL.
Theoretical background
MEC theory
Consumer behavior can be described as a consumer’s movement through
a goal hierarchy (Gutman 1997); and MEC provides one such hierarchy
of goals in which deeper levels of motivation are represented by higher—
level goals. The MEC theory posits three levels of abstraction: attributes,
consequences, and values (Gutman 1982, 1984). Attributes are the prod-
uct and service characteristics consumers directly perceive. Consequences
are the functional and psychosocial experiences of consumers when they
purchase or use goods/services. Values are at the highest abstract level
and represent the enduring beliefs that influence action across different
contexts (Lai 1995). The MEC model suggests that consumers choose
actions that produce desired outcomes. Consumers examine the outcomes
they desire and those they wish to avoid and having understood what
action produces the desired consequences (benefits) and values, guide
their choice behaviors accordingly (Gutman 1982). Values can thus be
considered the final goals that drive a player’s intention to continue play-
ing online games. Therefore, we can conclude that players play games
primarily because of their benefits and values, and not attributes. Thus,
the current study adopts the value—behavior linkage to develop a model
that investigates the continuance intention to play online games. Studies
in the literature have used the MEC theory to examine the value–repeat-
purchase intention linkage in the context of tourism (Jiang, Scott, and
Ding 2015), online shopping (Chiu et al. 2014; Fang et al. 2016), online
learning (Lin, Lin, and Hung 2015; Sun, Cheng, and Finger 2009), and
so on. This study extends this model further to the online gam-
ing context.
Perceived value
Perceived value is defined as the tradeoff between benefits and costs in
terms of primarily a consumer’s overall assessment of what is received and
what is given (Zeithaml 1988). Studies have indicated that value has a sig-
nificant influence on behavioral intentions (Chen and Tsai 2007; Lin, Lin,
and Hung 2015). Since utilitarian and hedonic values are present across the
various consumption types, they are deemed essential to evaluate the con-
sumers’ overall consumption experience (Babin, Darden, and Griffin 1994).
4 T. G. SHARMA ET AL.
Perceived risk
Studies in the literature broadly agree on the importance of the role of per-
ceived risk in consumer behavior, besides establishing the centrality of con-
sumers’ risk perception in their evaluation, purchase (Dowling and Staelin
1994; Wu and Ke 2015), and continuance intentions (Belanche, Casal o, and
Guinalıu 2012). Thus, pressing its inclusion in the current study. Perceived
risk represents a type of mental effort and can be seen as an anxiety/fear
from a consumer’s perspective (Wang and Wang 2010). Bauer (1960)
defines perceived risk as a concept involving uncertainty and negative con-
sequences. Uncertainty is the lack of knowledge about what might happen
and the negative consequences of loss associated with a purchase or usage.
In the virtual environment context, perceived risk is defined as the internet
users’ fear of loss due to an electronic transaction (Forsythe and Shi 2003).
The role of perceived risk in the online gaming context has not been
explored adequately so far (Chen, Lee, and Wang 2012, Wang, Fan, and
Bae 2019), although a few studies have explored the characteristic of uncer-
tainty and its role (Liu 2017). Once gamers realize the possible negative
consequences of gaming, they might discontinue playing online games.
According to Featherman and Pavlou (2003), perceived risk has six dimen-
sions: performance, financial, time, psychological, social, and physical risks.
These dimensions were adopted by Chen, Lee, and Wang (2012) in the
online gaming context. However, since financial risk, physical risk, and per-
formance risk were found to be insignificant in the previous studies, thus,
the current study does not consider these dimensions. Moreover, technolo-
gies are becoming increasingly personal and ubiquitous, with privacy con-
cerns growing in importance (Ackerman 2004). Studies suggest that
focusing on technology without considering the privacy implications, and
vice versa, in highly personalized technological settings could be fruitless
(Junglas, Johnson, and Spitzm€ uller 2008). Studies have also conceptualized
privacy concerns as a risk factor reflecting users’ inherent worries about
the possible loss of personal information from technology use (Malhotra,
Kim, and Agarwal 2004). Malik et al. (2019) highlight the privacy aspects
of online games. Thus, we chose four risk dimensions relevant to online
JOURNAL OF INTERNET COMMERCE 7
gaming: (a) psychological, (b) social, (c) time, and (d) privacy. The items
for measuring perceived risk were adapted from Curras-Perez, Ruiz-Mafe,
and Sanz-Blas (2013), focusing on negative outcomes in situations charac-
terized by uncertainty, loss of self-concept, time wastage, and loss of per-
sonal information respectively.
The risk gamers perceive in playing games may negatively influence their
perceived utilitarian and hedonic values. From the study of Featherman
and Fuller (2003), which posits that risk is an important moderating vari-
able that changes simple, causal relationships of consumer perceptions,
evaluations, and behavioral intentions into more insightful conditional rela-
tionships, we propose that perceived risk interacts with utilitarian and
hedonic values in predicting the continuance intention to play
online games.
Utilitarian Value H2
Continuance
Intention to play
H1
H3
Hedonic Value H4
Perceived Risk
games and self-concept, users’ self-efficacy with respect to games, and per-
ceived enjoyment from games) can be seen as subgoals leading to
higher goals (i.e. utilitarian and hedonic values) that motivate consumers
to continue playing games (Gutman 1997). For consumers, obtaining
value is a fundamental goal pivotal to all successful transactions
(Holbrook 1994) and thus the main driver of repeat intention (Kim and
Gupta 2009).
Furthermore, since online gaming does evoke risk perceptions—with the
relationship between value and continuance intention contingent on the
risk in an online gaming context—this study examines the value–continu-
ance intention linkage in conjunction with the moderating role of perceived
risk.
Perceived risk
This study proposes that perceived risk interacts with value to predict
behavior and thus moderates the effects of hedonic values and utilitarian
values on the continuance intention to play games. We also propose that
perceived risk has a negative role in the relationship between the values
and the continuance intention to play games. In case of high risk, gamers
may not want to overcome the complexities of the game and take control
of it. Thus, they may focus less on utilitarian value, given the concern for
uncertainty, loss of self-concept, time wastage, and loss of personal infor-
mation. Similarly, in case of high risk, gamers may not be able to make the
most of their experiences because they would be driven less by the need to
experience adventure and novel sensations in view of the risk.
Consequently, the role of hedonic and utilitarian values in the continuance
intention to play games decreases. Thus, we propose that the impact of utilitar-
ian and hedonic value on the continuance intention to play online games
would decrease as a function of perceived risk, and thus hypothesize as follows:
H3: Perceived risk moderates the relationship between utilitarian value and the
continuance intention to play games.
H4: Perceived risk moderates the relationship between hedonic value and the
continuance intention to play games.
Research methodology
Measurement instrument
To operationalize the utilitarian and hedonic consumption values in the
context of online gaming, we adopt the components proposed by Davis,
Lang, and Gautam (2013): three components of utilitarian value—perceived
ease of use, perceived control, and perceived complexity—and four compo-
nents of hedonic value—perceived enjoyment, self-concept, self-congruity,
and self-efficacy. The adoption of Davis, Lang, and Gautam (2013) scales
provided us several advantages; for example, the scale items were validated
in the context of online gaming itself, and, similar to the Davis, Lang, and
Gautam (2013) study, we collected data from all game genres.1
10 T. G. SHARMA ET AL.
Data collection
We tested the research model using online gaming users’ data obtained
through an online survey conducted by posting a survey link on various
social network pages and forums of popular online games. We received a
total of 247 questionnaires from online gamers in India, and then assessed
the data for missing values, outliers, and normality to maintain consistency
with the confirmatory factor analysis (CFA) and structural equation model-
ing (SEM) assumptions (Hair et al. 2006). For assessing the outliers, we
used the Mahalanobis distance statistic, deleting the observations in which
both p1 and p2 were significant. For testing normality, we examined the
skewness and kurtosis measures. The items whose kurtosis and skewness
exceeded the recommended value of 2.0 were deleted (Curran, West, and
Finch 1996). After eliminating responses at the preliminary analyses, we
had 201 valid questionnaires remaining for consideration and use for sub-
sequent analysis. We show the final sample’s demographic distribution in
Table 1 below:
Of the respondents, 54% were male and 46% were female. While
about 80% of the respondents were below 40 years of age, 50% were
under 30 years. As regards the genre of games played, the majority
JOURNAL OF INTERNET COMMERCE 11
Measurement model
We tested the multiple-item scales of construct shown in Figure 1 through
CFA using a maximum likelihood estimation method to determine whether
the manifest variables reflected the hypothesized latent variables, assessing
the adequacy of the individual items through convergent validity, compos-
ite reliability, and discriminant validity.
12 T. G. SHARMA ET AL.
From the results, the continuance intention to play online games is sig-
nificantly influenced by hedonic value (H1: b ¼0.523, p ¼ 0.001), with utili-
tarian value (H2: b ¼ 0.053, p ¼ 0.686) having insignificant effect. The
values suggested that hedonic value drives the continuance usage behavior
better than utilitarian value in the context of online games.
Discussion
The present study attempts to understand the forces that strengthen/
weaken the intention of online gaming users to continue playing games.
We find that the intent to continue playing online games is affected signifi-
cantly by hedonic value (driven by hedonic benefits such as perceived
enjoyment, self-concept, self-congruity, and self-efficacy); however, utilitar-
ian value (driven by utilitarian benefits such as perceived ease of use, con-
trol, and complexity) is not a significant factor. This can be explained by
appreciating the emerging market context of the study where the gamers
are probably driven by hedonic benefits and values.
The study also confirms that hedonic value remains the primary driver
of the continuance intention to play online games, irrespective of the risk
level perceived by gamers. This indicates that most of the players are driven
by experience. As regards hedonic value, this study shows that perceived
enjoyment, self-concept, self-efficacy, and self-congruity are all significant
components. Thus, perceived enjoyment stands out as the most important
benefit generating hedonic value, in line with existing studies (Wu and
Liu 2007). Note also the role of perceived self-concept in generating
JOURNAL OF INTERNET COMMERCE 17
game, beyond any concerns. Drawing from the extant studies (Ben-Ur,
Mai, and Yang 2015), we re-iterate that game developers should design the
games’ difficulty levels with much care to make the games challenging,
while also giving players a sense of control. However, in low-risk situations,
gamers seem to appreciate more the effort level required to play a game or
overcome the game’s complexities and take control of it.
Our research model investigates the continuance intention of players in
the context of online gaming from a different angle compared to most
existing studies. First, we bring the MEC theory to the online gaming
domain by proposing links between benefits, values, and intentions. Our
model is based on the value–intention linkage under the MEC tenet that
values are the final goals influencing behavior. Moreover, the inclusion of
hedonic and utilitarian value dimensions allows us to simultaneously see
how each of them is related to the continuance intention to play games.
From our findings, players will continue to play online games only if they
realize positive hedonic and utilitarian values. Second, the study integrates
perceived risk with the dimensions of the two values and examines their
combined effect on the player’s continued gaming intention. This integra-
tion provides a much more holistic explanation of the continuance inten-
tion to play online games.
Implications
Implications for theory
A major contribution of this study is that it reveals the moderating role of
perceived risk. The impact of hedonic value on the continuance intention
increases in case of high risk irrespective of the nature of service, indicating
the overarching effect of perceived risk in the online environment. The rea-
son could be that online environment propels the experimental facet of
consumers as they tradeoff between value and risk (Chen 2010; Moon and
Lee 2015).
Thus, we need to understand the interactions between perceived risk and
hedonic and utilitarian values to gain in-depth insight into the relationship
between perceived values and the continuance intention to play online
games. These results show the opposite impact of perceived risk on the
effect of hedonic and utilitarian values on continuance intention to play
online games, indicating that the reason for consumers to seek or avoid
risk varied across the values under evaluation, and that it is therefore
imperative for one to consider the differential influence of the nature of
gaming goals. Furthermore, to ensure that players realize the combined
effect of hedonic and utilitarian values, risk perceptions need to be man-
aged at an acceptable level.
JOURNAL OF INTERNET COMMERCE 19
of gamers they are targeting and build components that distinct gamers
would easily identify.
Furthermore, since the impact of utilitarian value is significant on con-
tinuance intentions only in low-risk situations, managers should ensure
low-risk perceptions and capitalize on both hedonic and utilitarian values.
Marketers should ensure that the system interface is easy to use. Guidelines
on how to play a game would contribute to players feeling more in control,
leading to their continuance intention to play.
To sum up, since the online environment propels the experimental facet
of consumers as they tradeoff between value and risk (Chen 2010; Moon
and Lee 2015) and since the tradeoff varies between consumers, managers
may benefit from segmenting them by identifying their correct value-risk
combination and personalizing the game features accordingly.
Notes
1. Although there are other significant works by Ramırez-Correa et al. (2019, 2020), those
studies primarily focus on the initial adoption behavior only, and not on
continuance intention.
2. Facebook horizon, Google play game pass, Apple gaming arcade, Amazon Games, etc.
3. https://brandequity.economictimes.indiatimes.com/news/digital/facebook-gaming-grows-
210-twitch-still-leads/73184490
ORCID
Preeti Tak http://orcid.org/0000-0002-3953-4443
JOURNAL OF INTERNET COMMERCE 21
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