Skip to main navigation menu Skip to main content Skip to site footer

Articles

Vol. 5 No. 2 (2017)

Quality versus Quantity: An Investigation into Electronic Word of Mouth’s Influence on Consumer Buying Intention

Submitted
July 20, 2017
Published
2017-07-20

Abstract

Online consumer reviews play an increasingly crucial role in shaping purchasing intention. With the wide-spread reviews available around the world on sites like TripAdvisor or Yelp, companies’ reputation and hence survival are potentially at risk.  The purpose of this study is to investigate the impacts of electronic word-of-mouth (eWOM) on the individual’s attitudes towards the quantity and quality of online store reviews and consider how it impacts their behavior. We incorporate brand trust as a mediator in the relationship between eWOM and purchase intention. Using a vignette survey experiment centered on coffee shop reviews in Hanoi, Vietnam, we test our hypothesis with 223 respondents. Results showed that the number and quality of review does significantly affect purchase intention. Findings also show that brand trust has a mediating effect on the relationship between online reviews and buying intention. This study assists practitioners to develop user-oriented information review format in order to manage online consumer reviews properly and effectively.

References

  1. AlMana, A. and A. Mirza, A. 2013. The Impact of Electronic Word of Mouth on Consumers Purchasing Decisions. International Journal of Computer Applications, 82(9), 23-31.
  2. Bataineh, A. 2015. The Impact of Perceived e-WOM on Purchase Intention: The Mediating Role of Corporate Image. IJMS, 7(1).
  3. Bhattacherjee, A. and Sanford, C., 2006. Influence processes for information technology acceptance: An elaboration likelihood model. MIS Quarterly, 30 (4), 805-835.
  4. Buttle, F., 1998. Word of mouth: understanding and managing referral marketing. Journal of Strategic Marketing, 6(3), 241-254.
  5. Cacioppo, J. and Petty, R. 1984. The Elaboration Likelihood Model of Persuasion. Advances in Consumer Research, [online] 11, 673-675. Available at: http://www.acrwebsite.org/search/view-conference-proceedings.aspx?Id=6329
  6. Cadogan, J. W., & Foster, B. D. (2000). Relationship selling and customer loyalty: An empirical investigation, marketing intelligence and planning, 18 (4), 185-199.
  7. Chaudhuri, A. and Holbrook, M., 2001. The Chain of Effects from Brand Trust and Brand Affect to Brand Performance: The Role of Brand Loyalty. Journal of Marketing. 65(2), 81-93.
  8. Cheung, C. and Lee, M. 2008. Online Consumer Reviews: Does Negative Electronic Word-of-Mouth Hurt More?. In: Americas Conference on Information Systems. Toronto.
  9. Cheung, C. and Lee, M., 2006. Understanding consumer trust in Internet shopping: A multidisciplinary approach. J. Am. Soc. Inf. Sci., 57 (4), 479-492.
  10. Cheung, C. and Lee, M., 2012. What drives consumers to spread electronic word of mouth in online consumer-opinion platforms. Decision Support Systems, 53 (1), 218-225.
  11. Cheung, C. and Thadani, D., 2010. The Effectiveness of Electronic Word-of-Mouth Communication: A Literature Analysis. In: Implications for the Individual, Enterprises and Society. [online] Bled: Bled eConference eTrust, pp.331-340. Available from: https://domino.fov.uni-mb.si/proceedings.nsf/0/7d01f166eebae8e3c1257757003c5e98/$FILE/24_cheung.pdf .
  12. Cheung, C. and Thadani, D., 2012. The impact of electronic word-of-mouth communication: A literature analysis and integrative model. Decision Support Systems, 54 (1), 461-470.
  13. Cheung, M., Luo, C., Sia, C. and Chen, H. 2009. Credibility of Electronic Word-of-Mouth: Informational and Normative Determinants of On-line Consumer Recommendations. International Journal of Electronic Commerce, 13(4), 9-38.
  14. Chevalier, J. and Mayzlin, D. 2006. The Effect of Word of Mouth on Sales: Online Book Reviews.Journal of Marketing Research, 43(3), pp.345-354.
  15. Chu, S. and Kim, Y., 2011. Determinants of consumer engagement in electronic word-of-mouth (eWOM) in social networking sites. Int. J. Adv., 30 (1), 47.
  16. Chunhua, S. and Ye-zheng, L. 2000. An Experimental Study on Message Credibility of eWOM.Collected Essays on Finance and Economics Year, (4), p.96.
  17. Coffee Tree | Cà phê sạch - Cuộc sống sạch, 2015. Kinh doanh quán cafe tại sao lại thất bại. [online] Available at: http://coffeetree.vn/kinh-doanh-quan-cafe-tai-sao-lai-that-bai.html
  18. Creyer, E. and Ross, W., 1997. Tradeoffs Between Price and Quality: How a Value Index Affects. The Journal of Consumer Affairs. 31(2), 280-302.
  19. De Bruyn, A. and Lilien, G., 2008. A multi-stage model of word-of-mouth influence through viral marketing. International Journal of Research in Marketing, 25 (3), 151-163.
  20. Delgadoâ€Ballester, E., 2004. Applicability of a brand trust scale across product categories. European Journal of Marketing, 38 (5/6), 573-592.
  21. Dodds, W., Monroe, K. and Grewal, D., 1991. Effects of Price, Brand, and Store Information on Buyers' Product Evaluations. Journal of Marketing Research, 28 (3), 307.
  22. Doh, S. and Hwang, J. (2009). How Consumers Evaluate eWOM (Electronic Word-of-Mouth) Messages. CyberPsychology & Behavior, 12(2), 193-197.
  23. Duan, W., Gu, B. and Whinston, A. 2008. Do online reviews matter? — An empirical investigation of panel data. Decision Support Systems, 45(4), 1007-1016.
  24. Fishbein, M. , 1963. An Investigation Of The Relationships Between Beliefs About An Object And The Attitude Toward That Object'. Human Relations 16(3), 233-239
  25. Fishbein, Martin, and Icek Ajzen., 1975. Belief, Attitude, Intention, And Behavior. Reading, Mass.: Addison-Wesley Pub.
  26. Godes, D. and Mayzlin, D., 2004. Using Online Conversations to Study Word-of-Mouth Communication. Marketing Science, 23 (4), 545-560.
  27. Ha, Hongâ€Youl., 2004. Factors Influencing Consumer Perceptions Of Brand Trust Online. Journal of Product & Brand Management 13(5), 329-342.
  28. Hair, J., Black, W., Babin, B. and Anderson, R., 2010. Multivariate data analysis. 7th edition. Upper Saddle River, N.J.: Prentice Hall.
  29. Hennig-Thurau, T., Gwinner, K., Walsh, G. and Gremler, D., 2004. Electronic word-of-mouth via consumer-opinion platforms: What motivates consumers to articulate themselves on the Internet?.Journal of Interactive Marketing, 18 (1), 38-52.
  30. Hosein, Nasim ., 2012. Measuring The Purchase Intention Of Visitors To The Auto Show. Journal of Management & Marketing Research.
  31. Hsu, Meng-Hsiang et al., 2006. A Longitudinal Investigation Of Continued Online Shopping Behavior: An Extension Of The Theory Of Planned Behavior. International Journal of Human-Computer Studies 64(9), 889-904.
  32. Hsu, Y. and Tran, T. 2015. Social Relationship Factors Influence on EWOM Behaviors in Social Networking Sites: Empirical Study: Taiwan and Vietnam. International Journal of Business, Humanities and Technology, [online] 3(3), pp.22-31. Available at: http://www.ijbhtnet.com/journals/Vol_3_No_3_March_2013/3.pdf
  33. Hung, K. and LI, S., 2007. The Influence of eWOM on Virtual Consumer Communities: Social Capital, Consumer Learning, and Behavioral Outcomes. J. Adv. Res., 47 (4), 485.
  34. Kim, D., Jang, S. and Adler, H., 2013. What drives café customers to spread eWOM?. Int J Contemp Hospitality Mngt, [online] 27 (2), 261-282.
  35. Kim, D., Steinfield, C. and Lai, Y., 2008. Revisiting the role of web assurance seals in business-to-consumer electronic commerce. Decision Support Systems, 44 (4), 1000-1015.
  36. Lamba, B. and Aggarwal, M., 2014. A Study on Influence of eWOM: Consumer Buying Behavior. The International Journal of Business & Management, [online] 2 (9). Available from: http://www.theijbm.com/force_download.php?file_path=wp-content/uploads/2014/10/34.BM1409-087.pdf&id=663
  37. Lee, J. and Lee, J. 2009. Understanding the product information inference process in electronic word-of-mouth: An objectivity–subjectivity dichotomy perspective. Information & Management, 46(5), 302-311.
  38. Lee, J., Park, D. and Han, I. 2008. The effect of negative online consumer reviews on product attitude: An information processing view. Electronic Commerce Research and Applications, 7(3), 341-352.
  39. Lee, M. and Youn, S., 2009. Electronic word of mouth (eWOM): How eWOM platforms influence consumer product judgement. International Journal of Advertising, [online] 28 (3), 473. Available from: http://www.tandfonline.com/doi/pdf/10.2501/S0265048709200709.
  40. Lee, M., Cheung, C., Lim, K. and Ling Sia, C. 2006. Understanding customer knowledge sharing in webâ€based discussion boards. Internet Research, 16(3), 289-303.
  41. Lee, S. 2009. How do online reviews affect purchasing intention?. African Journal of Business Management, [online] 3(10), pp.576-581. Available at: http://www.academicjournals.org/article/article1380556712_Lee%20pdf.pdf
  42. Lin, C., Wu, Y. and Chen, J. 2013. Electronic word-of-mouth: The moderating roles of product involvement and brand image. Technology Innovation and Industrial Management. Phukhet, 30-44.
  43. Mitchell, V. and McGoldrick, P. 1996. Consumer's risk-reduction strategies: a review and synthesis.The International Review of Retail, Distribution and Consumer Research, 6(1), 1-33.
  44. Nguyen, H. 阮懷秋 2017, A Study on the factors affecting purchase intention in C2C e commerce - the case of Vietnam Market', Networked Digital Library of Theses & Dissertations.
  45. Park, C. and Lee, T., 2009. Information direction, website reputation and eWOM effect: A moderating role of product type. Journal of Business Research, 62 (1), 61-67.
  46. Park, D., Lee, J. and Han, I. 2007. The Effect of On-Line Consumer Reviews on Consumer Purchasing Intention: The Moderating Role of Involvement. International Journal of Electronic Commerce, 11(4), 125-148.
  47. Pavlou, P. and Gefen, D., 2004. Building Effective Online Marketplaces with Institution-Based Trust.Information Systems Research, 15 (1), 37-59.
  48. Petty, R., Cacioppo, J. and Schumann, D. 1983. Central and Peripheral Routes to Advertising Effectiveness: The Moderating Role of Involvement. Journal of Consumer Research, 10(2),135.
  49. Plummer, J., 2007. Editorial: Word of Mouth— A New Advertising Discipline?. J. Adv. Res., 47 (4), 385.
  50. Podsakoff, P., MacKenzie, S., Lee, J. and Podsakoff, N., 2003. Common method biases in behavioral research: A critical review of the literature and recommended remedies. Journal of Applied Psychology, [online] 88 (5), 879-903.
  51. .
  52. Ratchford, B., Talukdar, D. and Lee, M., 2001. A model of consumer choice of the Internet as an information source. International Journal of Electronic Commerce, 5 (3), 7-22.
  53. Rempel, J., Holmes, J. and Zanna, M., 1985. Trust in Close Relationships. Journal of Personality and Social Psychology. 49(1), 95-112.
  54. Schiffman, L. and Kanuk, L., 2004. Consumer Behavior. 9th edition. New Jersy: Pearson Education International.
  55. Seyed, S., 2014. Impacts of the trilogy of emotion on future purchase intentions in products of high involvement under the mediating role of brand awareness. European Business Review, 26(1), 43-63.
  56. Sher, P. and Lee, S. (2009). Consumer skepticism and online reviews: An Elaboration Likelihood Model perspective. Social Behavior and Personality: an international journal, 37(1), 137-143.
  57. Smith, D., 2002. Trust me, would i steer you wrong? The influence of peer recommendations within virtual communities. Doctoral Dissertation. University of Illinois at Chicago.
  58. Suh, B. and Han, I., 2003. Effect of trust on customer acceptance of Internet banking. Electronic Commerce Research and Applications, 1 (3-4), 247-263.
  59. Ulrike, G., Lina, Z. and Shabnam, D., 2016. Analyzing the influence of electronic word of mouth on visit intention: the mediating role of tourists’ attitude and city image. International Journal of Tourism Cities, 2(2), 137-148.
  60. Wang, Y. and Fesenmaier, D., 2004. Towards understanding members’ general participation in and active contribution to an online travel community. Tourism Management. 25(6), 709-722.
  61. Wijaya, B. 2012. The Development of Hierarchy of Effects Model in Advertising, International Research Journal of Business Studies, 5(1), 73-85.
  62. Wu, P. and Wang, Y., 2011. The influences of electronic wordâ€ofâ€mouth message appeal and message source credibility on brand attitude. Asia Pac Jnl of Mrkting & Log, 23(4), 448-472.
  63. Xiaorong, F., Bin, Z., Qinghong, X., Liuli, X. and Yu, C., 2011. Impact of Quantity and Timeliness of EWOM Information on Consumer’s Online Purchase Intention under C2C Environment. Asian Journal of Business Research, 1 (2), 37-48.
  64. Zhang, Z., Ye, Q., Law, R. and Li, Y., 2010. The impact of e-word-of-mouth on the online popularity of restaurants: A comparison of consumer reviews and editor reviews. International Journal of Hospitality Management, 29(4), 694-700.