Competitive Intelligence and Consumer Retention in Digital Streaming Platforms: A Strategic Framework for Behavioral Analytics and Sustainable Competitive Advantage
PDF

Keywords

Competitive Intelligence
Consumer Loyalty
Churn Prediction
Music Streaming
Personalization
KKBox
User Engagement
Perceived Value

How to Cite

Tang, S., Wu, F., & Zhu, C. (2026). Competitive Intelligence and Consumer Retention in Digital Streaming Platforms: A Strategic Framework for Behavioral Analytics and Sustainable Competitive Advantage. Journal of Sustainable Competitive Intelligence , 16, e0680. https://doi.org/10.37497/eagleSustainable.v16i.680

Abstract

Purpose: This study investigates how Competitive Intelligence (CI) capabilities influence consumer retention and loyalty in digital music streaming platforms. Specifically, the research examines the effects of personalization quality, service continuity, pricing competitiveness, and behavioral engagement analytics on subscriber loyalty and churn reduction.

Methodology/approach: A quantitative cross-sectional research design was employed using the KKBox Music Streaming Churn Prediction dataset containing 970,960 anonymized subscriber records. Statistical analyses were conducted in Python 3.11 using descriptive statistics, reliability and validity analysis, Pearson correlation, OLS multiple regression, and bootstrapped mediation analysis. User engagement and perceived value were tested as mediating variables, while subscription tier was examined as a moderating factor.

Originality/Relevance: The study proposes the CI-Loyalty Framework (CILF), an original theoretical model that conceptualizes Competitive Intelligence as a multidimensional organizational capability embedded in behavioral analytics and strategic decision-making processes. Unlike prior studies based primarily on survey data, this research operationalizes CI constructs using large-scale administrative behavioral logs from a real-world streaming platform.

Key findings: The results demonstrate that the CI composite index was the strongest predictor of consumer loyalty. Personalization quality and perceived value also showed strong positive effects on retention outcomes. User engagement and perceived value partially mediated the relationship between CI capability and loyalty. Additionally, subscription payment methods significantly influenced churn behavior, with auto-debit users presenting substantially lower churn rates than voucher-payment subscribers.

Theoretical/methodological contributions: The study contributes theoretically by integrating Resource-Based View (RBV), Information Processing Theory, Customer Engagement Theory, and the Competitive Intelligence cycle into a unified framework for digital streaming environments. Methodologically, the research demonstrates the feasibility of operationalizing CI constructs through behavioral proxy indicators extracted from large-scale platform data, expanding the empirical application of Competitive Intelligence in digital platform ecosystems.

https://doi.org/10.37497/eagleSustainable.v16i.680
PDF

References

Aiken, L. S., & West, S. G. (1991). Multiple regression: Testing and interpreting interactions. SAGE Publications.

Ashrafi, A., Ravasan, A. Z., Trkman, P., & Afshari, S. (2019). The role of business analytics capabilities in bolstering firms' agility and performance. International Journal of Information Management, 47, 105–122. https://doi.org/10.1016/j.ijinfomgt.2019.01.003

Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108

Baron, R. M., & Kenny, D. A. (1986). The moderator-mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173–1182. https://doi.org/10.1037/0022-3514.51.6.1173

Bhattacharya, C. B., & Sen, S. (2003). Consumer-company identification: A framework for understanding consumers' relationships with companies. Journal of Marketing, 67(2), 76–88. https://doi.org/10.1509/jmkg.67.2.76.18609

Brodie, R. J., Hollebeek, L. D., Juric, B., & Ilic, A. (2011). Customer engagement: Conceptual domain, fundamental propositions, and implications for research. Journal of Service Research, 14(3), 252–271. https://doi.org/10.1177/1094670511411703

Chen, C. C., & Lin, Y. C. (2022). Streaming loyalty revisited: The role of hedonic value and habit in music subscription retention. Computers in Human Behavior, 141, 107632. https://doi.org/10.1016/j.chb.2022.107632

Creswell, J. W., & Creswell, J. D. (2018). Research design: Qualitative, quantitative, and mixed methods approaches (5th ed.). SAGE Publications.

Committee on Publication Ethics (COPE). (2019). COPE core practices. https://publicationethics.org/core-practices

Datta, H., Knox, G., & Bronnenberg, B. J. (2018). Changing their tune: How consumers' adoption of online streaming affects music consumption and discovery. Marketing Science, 37(1), 5–21. https://doi.org/10.1287/mksc.2017.1051

Davenport, T. H. (2006). Competing on analytics. Harvard Business Review, 84(1), 98–107, 134.

Festinger, L. (1957). A theory of cognitive dissonance. Stanford University Press.

Fleisher, C. S., & Bensoussan, B. E. (2015). Business and competitive analysis: Effective application of new and classic methods (2nd ed.). FT Press.

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39–50. https://doi.org/10.1177/002224378101800104

Galbraith, J. R. (1974). Organization design: An information processing view. Interfaces, 4(3), 28–36. https://doi.org/10.1287/inte.4.3.28

Gilad, B. (1989). The role of organized competitive intelligence in corporate-Strategy. Columbia journal of world business, 24(4), 29-35.

Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/EBR-11-2018-0203

IFPI. (2024). Global music report 2024: State of the industry. International Federation of the Phonographic Industry.

Kim, J., Lee, Y., & Park, S. (2022). Service quality, satisfaction, and loyalty in music streaming: A structural equation model. Journal of Retailing and Consumer Services, 64, 102795. https://doi.org/10.1016/j.jretconser.2021.102795

KKBox. (2017). WSDM – KKBox's churn prediction challenge. Kaggle. https://www.kaggle.com/c/kkbox-churn-prediction-challenge

Liu, W., & Jang, H. (2022). Competitive intelligence and platform innovation: A dynamic capabilities perspective. Technological Forecasting and Social Change, 174, 121283. https://doi.org/10.1016/j.techfore.2021.121283

Morgan, R. M., & Hunt, S. D. (1994). The commitment-trust theory of relationship marketing. Journal of Marketing, 58(3), 20–38. https://doi.org/10.1177/002224299405800302

Nunnally, J. C. (1978). Psychometric theory (2nd ed.). McGraw-Hill.

Oliver, R. L. (1999). Whence consumer loyalty? Journal of Marketing, 63(Special Issue), 33–44. https://doi.org/10.1177/00222429990634s105

Park, H., & Kim, S. (2022). Predicting subscriber churn in music streaming services: An attention-based deep learning approach. Expert Systems with Applications, 206, 117779. https://doi.org/10.1016/j.eswa.2022.117779

Preacher, K. J., & Hayes, A. F. (2008). Asymptotic and resampling strategies for assessing and comparing indirect effects in multiple mediator models. Behavior Research Methods, 40(3), 879–891. https://doi.org/10.3758/BRM.40.3.879

Prescott, J. E. (1995). The evolution of competitive intelligence. International review of strategic management, 6, 71-90.

Schedl, M., Zamani, H., Chen, C. W., Deldjoo, Y., & Elahi, M. (2022). Current challenges and visions in music recommender systems research. International Journal of Multimedia Information Retrieval, 7(2), 95–116. https://doi.org/10.1007/s13735-018-0154-2

Thaichon, P., Thao, N. P., Rungsrisawat, S., Bhatt, R., & Joshi, Y. (2023). Digital loyalty: How platform features shape retention in subscription music services. Journal of Business Research, 158, 113659. https://doi.org/10.1016/j.jbusres.2023.113659

Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic management journal, 18(7), 509-533. https://doi.org/10.1002/(SICI)1097-0266(199708)18:7<509::AID-SMJ882>3.0.CO;2-Z

Verhoef, P. C., Broekhuizen, T., Bart, Y., Bhattacharya, A., Dong, J. Q., Fabian, N., & Haenlein, M. (2021). Digital transformation: A multidisciplinary reflection and research agenda. Journal of Business Research, 122, 889–901. https://doi.org/10.1016/j.jbusres.2019.09.022

Zeithaml, V. A. (1988). Consumer perceptions of price, quality, and value: A means-end model and synthesis of evidence. Journal of Marketing, 52(3), 2–22. https://doi.org/10.1177/002224298805200302

Zhang, Y., Guo, X., & Chen, G. (2023). Understanding churn in music streaming platforms: A data-driven behavioral analysis. Information and Management, 60(4), 103785. https://doi.org/10.1016/j.im.2023.103785

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

Copyright (c) 2026 Journal of Sustainable Competitive Intelligence

Downloads

Download data is not yet available.