Advisers

Randy C. Villasenor

Discipline

Marketing

Abstract

Streaming habits have shifted from traditional television to on-demand services, with Netflix emerging as the global leader. Despite its dominance, there is limited literature comparing the impact of traditional versus digital advertising on subscriber engagement within the Philippine context. This study assessed these two strategies regarding awareness, satisfaction, and loyalty to develop a strategic framework for improving engagement. Guided by Experiential Marketing Theory, the research examines how sensory and interactive experiences foster emotional bonds between brands and consumers. The research used a descriptive-correlational quantitative method of study in which 100 active Netflix subscribers, selected through purposive sampling, were chosen from the Millennial and Generation Z cohorts in Barangay 178, Caloocan City. Data were collected using a validated four-part structured questionnaire that was administered in both printed and Internet forms. To analyze the data, frequency and percentage were used to develop demographic profiles of the sample, weighted mean were used to assess the level of agreement with each of the statements in the questionnaire, and the Kruskal–Wallis H test was run to determine any statistically significant differences between groups. The dominance of the sample is Generation Z with 65%, with the majority (42%) on Premium Plans and 45% of smartphone use. Both traditional advertising (Overall WM=3.02) and digital advertising (Overall WM=3.10) rated as "Agree" and AI personalized advertising rated the highest (WM=3.16). The Kruskal–Wallis test results showed that there are highly significant relationships between all the ages and advertising assessments. The highest ranked challenge is the Limited Interactivity of Ads (WM=3.40). Traditional media such as television and billboards can build authority at the top of the funnel to attract potential customers, but they do not meet the expectations of digital natives for interactivity. Digital methods create connections, but exhibit a "personalization paradox" due to the use of irrelevant algorithms and repeated ads. To close the "participation gap, " this study presents an Active-Hybrid Engagement Model. This model brings together strategies that are "phygital", such as using QR codes on billboards to create an immediate, interactive experience for mobile users, and implementing a Creative Rotation Protocol to change digital content every 7 - 10 days to reduce ad fatigue.

Keywords

quantitative research, digital advertising, netflix, subscriber engagement, traditional advertising, ai personalization, kruskal-wallis h-test, strategic framework