Social media or shopping websites? The influence of eWOM on consumers’ online purchase intentions

This study empirically tests and compares the influence of friends’ recommendations on social media and anonymous reviews on shopping websites in the context of online purchase intention. For this purpose, we analyse the impacts of these two platforms based on the components of information adoption model (IAM) which are borrowed as information quality, information credibility, information usefulness and information adoption. We conduct a survey and find anonymous reviews as more influential on consumer’ online purchase intentions than friends’ recommendations on social media. However, as this result was contrary to that expected, we conduct another study through in-depth interviews in order to enlighten our results found in the first study. In Study 2, we find the reasons why consumers prefer anonymous reviews rather than friends’ recommendations. Information quantity, information readiness, detailed information and dedicated information are factors which make shopping websites superior than social media in terms of the impact of electronic word of mouth (eWOM). Academic and managerial implications are discussed.     

The effect of negative online customer reviews on brand equity and purchase intention of consumer electronics in South Africa

This study investigated the effect that negative online customer reviews have on brand equity and purchase intention. This research examined the influence of negative electronic word of mouth (eWOM) on brand equity, as influenced by customer review quality, product involvement and source credibility. A 3 (high quality review versus low quality review versus no review) × 2 (high product involvement versus low product involvement) factorial experiment with 236 respondents was conducted. The results revealed that the presence of negative eWOM has a significant detrimental effect on brand equity and purchase intention. Furthermore, the effect of negative online customer reviews is more detrimental to the brand equity of a high involvement product than a low involvement product. The results also revealed that high quality reviews are more influential than low quality reviews with respect to brand equity, and the difference between the levels of eWOM source credibility has no significant effect on brand equity.     

The impact of text valence,star rating and rated usefulness in online reviews

The influence of text valence, star rating and rated usefulness of online reviews on review readers’ impression of the review and their positive word-of-mouth intention is tested in an experimental study (n = 431). In addition, we investigate the moderating role of review readers’ product category involvement and susceptibility to interpersonal influence on the effect of the three review components. The influence of review text valence on evaluative responses is stronger for more highly involved people and for people who are more susceptible to interpersonal influence. The influence of rated review usefulness on review impression is marginally stronger for people who are more susceptible to interpersonal influence. Star ratings do not influence evaluative responses, and their effect is not moderated by either involvement or susceptibility.     

A cross-cultural comparison of electronic word-of-mouth and country-of-origin effects

Word-of-mouth has been shown to differ across cultures but the extent to which these differences extend to the online environment has not been investigated. This study examines the content of 5993 discussion postings to U.S.- and China-based discussion boards during two 90-day periods in 2004 and 2005. The results show significant differences in the behavior of participants on the different discussion boards; those on the China-based discussion boards engaged in higher levels of information-seeking than their U.S. counterparts, and lower levels of information-giving. Participants on the Chinese discussion boards also engaged in significantly higher (and increasing) levels of discussion regarding the Country-of-Origin (CoO) of products. This first study of cross-cultural differences in CoO effects online revealed an important extension to previous offline studies of CoO effects, finding strong negative CoO effects which appeared to be largely independent of product quality, relating instead to nationally based animosity towards the CoO.     

Factors influencing clothing interest and purchase intention: a study of Generation Y consumers in Malaysia*

The purpose of this study is to examine the factors influencing clothing interest among Generation Y consumers in Malaysia. Brand image, word of mouth (WOM), self-concept, perceived quality, and need for uniqueness were hypothesized to be related with clothing interest, which in turn, was deemed to be related with purchase intention. The interaction effect of price consciousness on the relationship between clothing interest and purchase intention was also examined in this study. Self-administered questionnaires were used to collect data from a total of 300 respondents from Malaysia to test the hypothesized relationships. Results showed that need for uniqueness, self-concept, brand image, WOM, and perceived quality are significant predictors of clothing interest among the Generation Y consumers in Malaysia and price consciousness moderated the relationship between their clothing interests and purchase intention. The practical implications of the research findings were discussed.     

The Moderating Role of Country of Origin on Brand Equity,Repeat Purchase Intentions,and Word of Mouth in Trinidad and Tobago

Brand equity has emerged as a critical aspect of marketing, but its effect on consumer behavioral intentions from a developing country perspective has not been sufficiently examined. This study proposes that country of origin and product type will moderate the relationships between brand equity, consumer repeat purchase intentions, and word of mouth. Data were collected from 157 customers and analyzed with regression analysis. Our results confirm the moderating role of COO such that favorable COO weakens the impact of brand equity on consumers' behavioral intentions. Product type was not significant. Theoretical and practical implications of these findings are presented as well as the limitations, and future research opportunities are discussed.     

Digital buying behavior: The role of regulatory fit and self-construal in online luxury goods purchase intentions

Drawing on regulatory focus theory, this study examines how consumers’ promotion and prevention focus influences luxury purchase intentions in an online domain. The research further investigates the interactive effects of regulatory focus, goal orientation, and self-construal through four studies. Study 1 shows that promotion-focused versus prevention-focused consumers have a greater tendency to purchase luxury goods online and in-store. Contrary to extant research regarding the compatibility between message frame and consumers’ regulatory focus, using varying manipulations, Studies 2 and 3 find the primacy of prevention-framed messages in influencing online luxury purchase intentions for promotion- and prevention-focused consumers. Further, unlike prior studies, Study 4 shows no significant interaction effect between regulatory focus, goal orientation, and self-construal and adds a possible boundary condition by demonstrating how regulatory focus and self-construal effects differ for luxury purchase online. Overall, the studies offer important contributions to theory and practice relating to luxury consumption in cyberspace.     

The effect of characteristics of source credibility on consumer behaviour: A meta-analysis

The aim of this research is to synthesise findings from existing studies on the characteristics of source credibility of electronic word of mouth (eWOM) communications in a single model by using meta-analysis. Findings from 20 research papers show that source expertise, trustworthiness, and homophily significantly influence perceived eWOM usefulness and credibility, intention to purchase, and information adoption. The results of this study add to existing knowledge of the influence of source characteristics on consumer behaviour, which will advance our understanding of information processing. Marketers can use the findings of this meta-analysis to enhance their marketing activities.     

Examining impacts of negative reviews and purchase goals on consumer purchase decision

Extensive literature has studied the impact of positive online reviews on consumers’ purchase decisions. Research on the role of negative reviews in consumer price perception is heavily under-investigated. This study examines effects of negative reviews on consumer price perception and subsequent purchase behavior while considering the moderating effect of purchase goals. Results from two experiments show that the proportion of negative reviews has stronger negative impacts on purchase decision for consumers with a purchase goal than those without. This research contributes to growing knowledge about negative online reviews and consumer goal literature and offers practical implications for online retailers.     

The influence of college students' shopping orientations and gender differences on online information searches and purchase behaviours

Using the data collected from a survey of 1277 US college students, this study investigated college students' shopping orientations, and examined the relationships between their shopping orientations and searches for information about and purchases of apparel products online and the differences between male and female students in their shopping orientations, online information searches and purchase experiences. Seven shopping orientation constructs were identified: shopping enjoyment, brand/fashion consciousness, price consciousness, shopping confidence, convenience/time consciousness, in‐home shopping tendency and brand/store loyalty. Results showed that participants' shopping orientations were significantly related to their searches for information about and purchases of apparel items online. In addition, male and female participants showed significant differences in their shopping orientations, online information searches and purchase experiences. This study provided suggestions for apparel e‐tailors to develop effective marketing strategies to reach their target market, for consumer educators and for educators in the retail merchandizing area to prepare their students for future careers.     

Negative customer engagement behaviour: the interplay of intensity and valence in online networks

ABSTRACT

Recent marketing and service research highlights the detrimental impact of negative customer engagement behaviour (CEB) in online social networks. Nevertheless, the extant literature captures the impact of what customers say about service providers in their negative reviews and fails to provide any understanding of different intensity levels of negative engagement. This article marks the first attempt to provide a more nuanced view of negative CEB by investigating the impact of six forms of negatively valenced influencing behaviour (NVIB) using two online experiments. Our results provide new insights into intensity levels of NVIB and how they are moderated by positive reviews. Practically, this paper addresses one of the challenges for service providers in managing NVIBs, centred on understanding the heterogeneity of its forms. The results suggest that managers use semantic tools to detect the intensity levels of NVIB and to prioritise handling and/or mitigating the more intense NVIBs when they occur.     

Information direction, website reputation and eWOM effect: A moderating role of product type

This article examines how the electronic word of mouth (eWOM) information direction (positive vs. negative) and a website's reputation (established vs. unestablished) contribute to the eWOM effect. The article describes a study focusing on the moderating role of the product type (search vs. experience). The results of the experiment show that the eWOM effect is greater for negative eWOM than for positive eWOM, greater for established websites than for unestablished websites, and greater for experience goods than for search goods. The results support the moderating effects of product type on the eWOM information direction-website reputation-eWOM effect relationship. The impact of negative eWOM on the eWOM effect is greater for experience goods than for search goods. Similarly, the impact of website reputation on the eWOM effect is greater for experience goods than for search goods. The findings provide managerial implications for an Internet marketing strategy.     

Sense and sensibility in personalized e‐commerce: How emotions rebalance the purchase intentions of persuaded customers

This research develops and tests a theoretical model of customer persuasion in personalized online shopping, building on information processing theory, and addressing cognitive and affective stages of the persuasion process. Data from 582 experienced online customers were used to validate the proposed model through structural equation modeling and multigroup analysis. Results show that quality of personalization, message quality, and benefits of the personalized recommendations are important in the persuasion process. Positive emotions increase the effect of persuasion on purchase intentions, contrary to negative emotions. The study extends online personalization theory, offers an in‐depth analysis of the persuasion process in online shopping, and provides valuable recommendations for personalized online marketing.     

The Role of Telepresence and User Engagement in Co-Creation Value and Purchase Intention: Online Retail Context

Using the technology of three-dimensional (3D) product presentation within online retailing, the current study aims to explore the role of telepresence and its determinants (control, color vividness, and 3D authenticity) in enhancing user engagement, which in turn impacts co-creation value and purchase intention. To test the proposed hypotheses, this research developed a hypothetical online retailer website, which presented a variety of 3D laptops that users could co-create, change the color, and control the content and form of. This research collected the data from Jordanian consumer panel members via online self-administered questionnaires. This research finds that control, color vividness, and 3D authenticity are the main determinants of telepresence. Furthermore, this research finds that telepresence has a positive impact on user engagement, which in turn positively impacts co-creation value and purchase intentions. This research finds that co-creation value impacts purchase intentions. The current findings contribute to the online retailing literature by connecting user engagement with co-creation value, as previous research had focused on one of them but not the link between them.     

Do as You Say,or I Will: Retail signal congruency in buy-online-pickup-in-store and negative word-of-mouth

Buy-online-pickup-instore (BOPIS) services have become an increasingly important part of a retailer's omnichannel strategy. When service failures (e.g., stock-out) occur, consumers may resort to negative word-ofmouth (NWOM) to share their evaluation of the retailer's BOPIS service. While a retailer's service recovery policies (e.g., cross-channel substitution) may help to fulfill its service intent, the extent to which these two signals can improve consumer satisfaction and diminish their NWOM intent remains unknown. Drawing from both service recovery literature and signaling theory, we conducted a series of five experiments and find that the intradimensional congruity of the signal set communicated by the retailer during its BOPIS service process depends on both its operational capability and the consumer's own predilection regarding the product category. These insights collectively indicate that while a retailer's operations need to support service policies to provide a congruous BOPIS service process, substitution policies offered to consumers during the transaction need to consider the extent to which a consumer's purchase decision is hedonic or utilitarian. In turn, this finding suggests that a retailer's category management needs to consider BOPIS substitution in terms of both product assortment and inventory policies.     

Hedonic and utilitarian use of user-generated content on online shopping websites

The Internet has made it possible for consumers to share reviews, opinions, and thoughts about products and services on online shopping websites. This user-generated content (UGC), which can be considered to be part of social commerce, is likely to influence other consumers’ attitudes toward a product and subsequent purchase intentions. The purpose of this study was to investigate two major uses of UGC: hedonic and utilitarian, and how they impact purchase intentions, along with users’ trust for different types of comments and reviews. Also investigated are associations between hedonic use, utilitarian use, and trust, with purchase behavior at online shopping websites. Results of this study will add to the domain knowledge related to marketing and how it impacts consumer psychology and behavior. From a practitioner perspective, marketers need to understand the impact of UGC so they can monitor this method of marketing communication as it can impact trust and purchase intentions.     

Examining the effect of flow experience on online purchase: A novel approach to the flow theory based on hedonic and utilitarian value

The literature indicate that when flow is approached as unidimensional, its effects on online purchase intention are always positively significant, however the results of the studies where the flow is approached as a multidimensional level, is far from indicating a general tendency. The inconsistent results appeared in the literature are regarded as a result of overlooking both the utilitarian and hedonic significance of research context and the hedonic and utilitarian characteristics of the flow's sub-dimensions. In this direction, the effects of flow on online purchase intention are examined upon consideration of those two factors. Research's data were gathered via e-mail survey from an online shopping website's database. A total of 490 samples obtained in this study were analyzed with structural equation modeling. The results indicates that the flow's most valuable antecedent is feedback in the context of online purchase. The dimensions of “enjoyment”, “perceived control” and “merging of action and awareness” has positive and time distortion has negative significant effects on online purchase intention. However, no significant effects of the concentration and curiosity on online purchase intention were determined.     

Do early adopters upgrade early? Role of post-adoption behavior in the purchase of next-generation products

In examining the adoption of innovations, marketing researchers have generally assumed that the early adopters of one product are more likely to be early in adopting the next generation of products. However, there seems to be a missing link between buyers' first adoptions and their next-generation purchases, or upgrades. This paper tries to fill the gap by incorporating users' post-adoption behavior into the model of buyers' product upgrade behavior on the successive versions of innovations. Survey data on cell phone purchases in Korea confirm the idea that the post-adoption behavior, particularly the use of innovative features, plays a critical role in developing users' intention to upgrade.     

Effect of the use of social media in trust,loyalty and purchase intention in physical stores

This research evaluates the effect of the use of social media on consumer trust, loyalty and purchase intention in physical stores. We used six constructs in a structural model: a consumer’s use of social media, company-generated communication in social media, user-generated communication on social media, trust, loyalty and purchase intention. We considered 406 valid respondents in the analysis. The results suggest that the use of social media, company and user-generated communication positively affects trust of the physical store. Trust, in turn, has a direct positive effect on consumer loyalty to the store, and both trust and loyalty have positive impacts on a consumer’s purchase intention. We note the impact of the use of social media on purchase intention in physical stores, through the building of trust and loyalty with the store, as a fundamental element in the definition and implementation of a successful marketing strategy by high street retailers.