The Influence of Personalized Marketing and User Experience on User Loyalty on the Spotify Platform
Keywords:
personalized marketing, user experience, user loyalty, Spotify, digital music streaming, IndonesiaAbstract
The digital music industry faces growing challenges in retaining customer loyalty amid intense competition among streaming platforms and overwhelming content volumes. This study examines the influence of personalized marketing and user experience on loyalty among active Spotify users in Indonesia, an emerging digital market characterised by high internet penetration (approximately 79%) and rapid streaming adoption. Using a quantitative, post-positivist approach, 107 active Spotify users were selected through purposive sampling. Data were collected via structured Likert-scale questionnaires and analysed using multiple regression following logarithmic transformation to satisfy normality assumptions. Results indicate that both variables positively and significantly influence user loyalty. The regression coefficient for personalized marketing was 0.397 (p = 0.000) and for user experience was 0.221 (p = 0.033), with both coefficients interpreted as elasticities within the log-linear model. Jointly, these predictors account for 36.0% of the variance in user loyalty (Adjusted R² = 0.360, F-test p < 0.001). The dominance of personalized marketing over user experience suggests that in a content-commoditised environment, algorithmic curation constitutes the primary loyalty differentiator, while user experience functions as an essential functional substrate. These findings highlight the strategic importance of AI-driven content curation and seamless interface design in fostering long-term user retention on digital music streaming platforms.
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