Pirates in the Lab: Using Incentivized Choice Experiments to Explore Preference for (Un)Authorized Content

Abstract

We report a laboratory experiment aimed at investigating factors affecting choice between different versions of a full-length movie. In particular, we estimate the willingness to pay for a legal, rather than pirated copy and compare it to the impact of such characteristics as picture quality or delay in delivery. We find a modest but highly significant preference for the authorized version. By conducting otherwise identical choice experiments both with and without actual experiential and monetary consequences, we conclude that the method does not seem to suffer from hypothetical bias. We also find that when the proceeds from legal sale are transferred to a good cause, willingness to pay for the unauthorized copy is reduced.

The Access Model for Music and the Effect of Modification, Trial, and Sharing Usage Rights on Streaming Adoption and Piracy

“…This was demonstrated in a study in which certain types of usage restrictions were linked to an increased preference for pirated content [1]. This is consistent with another study that showed that individuals do prefer legal music, but the appeal is influenced by various considerations such as the quality of the audio, whether or not the content was free of advertising, latency issues, and whether the supported formats allowed users to both stream and download content [22], [129], [130]. Given the different file formats that are available and how this can influence usefulness and enjoyment, the following two hypotheses are put forth.…”

Drivers of Supplier Participation in Ride-Hailing Platforms

“…For each subject, we limited the number of choice sets to six and the number of attributes per choice set to seven, based on Miller [66]. Consistent with the foundations of discrete choice experiment design [32], the number of option sets within a choice set was three including the Opt-Out option. The number of attributes that differed between option sets was limited to three of seven, to avoid respondent fatigue when comparing them.…”

Central Role of Moral Obligations in Determining Intentions to Engage in Digital Piracy

“…To modify behavior, intellectual property (IP) holders and industry groups pursue nudging to increase awareness of the effects of piracy so that the pirate converts to purchase instead (that then continues over time). vii Specifically, IP holders and industry groups often pursue nudging to convey the benefits of purchasing a digital good, and/or the potential detriments to the company and society from engaging in piracy [13,29]. The activities pursued by intellectual property holders can be perceived as nudging and the nature of the message provided for nudging is in the socially positive direction [57,77].…”