What does it say and who said it? The contingent effects of online word of mouth in China

2016 ◽  
Vol 7 (4) ◽  
pp. 474-490 ◽  
Author(s):  
Biao Luo ◽  
Zheyu Zhang ◽  
Yong Liu ◽  
Weihe Gao
Keyword(s):  
Information Exchange ◽  
Word Of Mouth ◽  
Firm Strategy ◽  
Third Party ◽  
Online Information ◽  
Chinese Consumers ◽  
Content Type ◽  
Online Word Of Mouth ◽  
Initial Attitude ◽  
The Impact

Purpose The purpose of this paper is to examine how consumers respond to online word of mouth (WOM) with different valence (i.e. what does it say) and from different sources (i.e. who said it) in an important emerging economy, China. Design/methodology/approach Theory with experiments. Findings The authors find that Chinese consumers seek confirmatory information and pay greater attention to WOM that agrees with their initial attitude. Consumers with a high (vs low) need for cognition are more likely to rate WOM from far (vs closer) social distance as more impactful on themselves. For public-consumption products, the consumers are influenced more by “who said it” (source) than by “what does it say” (valence). The reverse holds for private consumption. Research limitations/implications The paper could be extended to other online behaviors. It can also be extended to empirical testing using market data. Practical implications Since Chinese consumers tend to focus on online information that is consistent with their initial attitude, it can be more difficult for either the seller or third-party website to utilize online WOM as a persuasive tool in China than in other countries. Firms may also customize their online strategies based on product category. For products that are consumed in private, WOM content is more important than source. If the firm wants to facilitate consumer interaction and influence, greater attention should be paid to make the content easy to access and utilize. Social implications Due to the explosive growth of e-Commerce in China, many global and Chinese firms rushed to set up online communities to facilitate information exchange among consumers. Our findings indicate that the impact of these communities may have been overvalued. Chinese consumers are influenced by online information, but if the majority of the online messages are from anonymous strangers, consumers tend to discount their credibility. Originality/value Our study represents an earlier effort to predict, and test, how online WOM can be associated with the specific cultural and market environments. It provides direct implications for both consumer behavior and firm strategy.

An empirical study on the impact of online word-of-mouth sources on retail sales

2017 ◽  
Vol 45 (1) ◽  
pp. 30-35 ◽  
Author(s):  
Hong Hong ◽  
Di Xu ◽  
Dapeng Xu ◽  
G. Alan Wang ◽  
Weiguo Fan
Keyword(s):  
Word Of Mouth ◽  
Least Square ◽  
Decision Makers ◽  
Purchase Decisions ◽  
Retail Sales ◽  
Content Type ◽  
Online Purchase ◽  
Online Word Of Mouth ◽  
Product Sales ◽  
The Impact

Purpose This study aims to analyze the impact of the source of online word-of-mouth (WOM) on retail sales. Specifically, the authors focus on the relative impact of external and internal WOMs on book sales. Design/methodology/approach An empirical analysis is conducted with a panel data of sales and WOM for 87 books from Dangdang and Douban over a 14-day period based on two generalized least square regression models. Findings Results suggest that both internal WOM and external WOM have significant impact on product sales, and the impact of external WOM is relatively more significant. Social implications WOM, especially the external WOM, plays an important role in consumers’ online purchase decisions. Originality/value This study is helpful for retailers to better understand the factors influencing the sales and thereby forecast the future sales more precisely. Besides, the research conclusion could also enlighten related decision makers to constantly improve technical platforms.

The interactive impact of online word-of-mouth and review helpfulness on box office revenue

2018 ◽  
Vol 56 (4) ◽  
pp. 849-866 ◽  
Author(s):  
Sangjae Lee ◽  
Joon Yeon Choeh
Keyword(s):  
Word Of Mouth ◽  
Content Type ◽  
Factors Affecting ◽  
Box Office ◽  
Online Word Of Mouth ◽  
Final Sample ◽  
Online User Reviews ◽  
Review Helpfulness ◽  
Product Sales ◽  
The Impact

Purpose While a number of studies examined the eWOM (online word-of-mouth) factors affecting box office, the studies on the impact of review helpfulness on box office are lacking. The purpose of this paper is to fill the void in previous studies and further extend prior work regarding eWOM and box office. In order to explain the interaction effect of helpfulness with other variables on product sales, this study posits that review characteristics such as number of reviews, review rating, review length interact with review helpfulness to have an influence on box office. Further, as the studies that have examined whether eWOM factors are significant in box office performances for the international markets other than US are lacking, this study is targeting Korean markets to validate the effect of eWOM on box office. Design/methodology/approach This study used publicly available data from www.naver.com to build a sample of online review data concerning box office. The final sample of the study included 2090 movies. Findings The results indicated that in cases when the review is helpful, the number of reviews and review length are more greatly influencing box office. Review rating, review extremity, and helpfulness for reviewer are important determinants for review helpfulness. Practical implications Managers can concentrate on the review rating and review extremity of online customer reviews in the design of online sites for movies. The design of user review systems can follow the direction that promotes more helpfulness for online user reviews based on an enhanced understanding of what drives helpfulness voting. Originality/value Given that previous studies on the effect of review helpfulness on box office are lacking, it contributes to eWOM literature by investigating the impact of review helpfulness on box office revenue.

scholarly journals Be a part of it: promoting WOM, eWOM, and content creation through customer identification

2020 ◽  
Vol 24 (1) ◽  
pp. 55-72 ◽  
Author(s):  
Jaime Romero ◽  
Daniel Ruiz-Equihua
Keyword(s):  
Word Of Mouth ◽  
Least Squares Method ◽  
Content Type ◽  
Content Creation ◽  
Online Word Of Mouth ◽  
Community Identification ◽  
Customer Identification ◽  
Using Data ◽  
Partial Least Squares Method ◽  
The Impact

Purpose Customer identification leads to behaviors that are beneficial for firms. This paper aims to analyze the effect of firm identification and community identification on content creation, which indirectly may affect offline word of mouth and online word of mouth. Design/methodology/approach This paper proposes a research model that is tested using data from 491 users of online travel agencies. To do so, partial least squares method is used. Findings The results show a positive relationship between firm identification and community identification. Moreover, both variables exert a positive effect on content creation. Furthermore, content creation positively influences offline and online word of mouth. This influence is moderated by self-enhancement in the case of online word of mouth. Practical implications Firm managers must enhance customer identification, as it can turn in behaviors that are beneficial for the company. Moreover, firms that own online communities must apply segmentation strategies based on identification and self-enhancement to encourage positive behaviors from customers. Originality/value This research tests the relationship between firm identification and community identification. Additionally, this study jointly analyzes the impact of these variables on several beneficial behaviors.

scholarly journals Antecedents to Intention to Engage in the Online Negative Word-of-Mouth Communication

2013 ◽  
Vol 15 (2) ◽  
pp. 113 ◽  
Author(s):  
Dien Mardhiyah ◽  
Basu Swastha Dharmmesta ◽  
B. M. Purwanto
Keyword(s):  
Word Of Mouth ◽  
Negative Word ◽  
Third Party ◽  
Medical Services ◽  
Online Media ◽  
Online Environment ◽  
Self Confidence ◽  
Online Word Of Mouth ◽  
Word Of Mouth Communication ◽  
The Impact

Complaints delivered directly to a firm will not be a problem if they can be handled properly, while the ones that are not disclosed directly to the firm but to a third party or even warnings to others not to use particular products or services, will be negative word-of-mouth communication. It can damage the image of the firm and be very detrimental. The purpose of this study was to analyze the antecedents of intention to engage in negative online word-of-mouth communication that includes dissatisfaction, service importance, success of complaint, complaint benefit, self confidence, altruism, retaliatory intention, and complaint cost. Medical services were selected considering the impact caused by the negligence of the service provider possibly giving rise to negative word-of-mouth communication. The online environment has been considered because of the developments in technology which provide opportunities for consumers to communicate with ach other. In addition, the dissemination of information through online media can spread incredibly widely and rapidly. The samples in this study comprised consumers of medical services who had disappointing experiences in using those services either directly or indirectly. A total of 123 questionnaires were analyzed with multiple regression analysis to test the research hypothesis. The results showed that the factors influencing the intentions behind negative online word-of-mouth communication were success of complaint, altruism, retaliatory intention, and complaint cost.                      

The effect of emotions, eWOM quality and online review sequence on consumer intention to follow advice obtained from digital services

2020 ◽  
Vol 31 (3) ◽  
pp. 465-487 ◽  
Author(s):  
Carla Ruiz-Mafe ◽  
Enrique Bigné-Alcañiz ◽  
Rafael Currás-Pérez
Keyword(s):  
Structural Model ◽  
Online Reviews ◽  
Moderating Effect ◽  
Online Information ◽  
Bias Effect ◽  
Content Type ◽  
Digital Services ◽  
Information Cues ◽  
Cognitive Information ◽  
The Impact

PurposeThis paper analyses the interrelationships between emotions, the cognitive information cues of online reviews and intention to follow the advice obtained from digital platforms, paying special attention to the moderating effect of the sequencing of review valence.Design/methodology/approachThe data were collected from 830 Spanish Tripadvisor users. In a two-step approach, a measurement model was estimated and a structural model analysed to test the proposed hypotheses. SmartPLS 3.0 software was used. The moderating effect of sequencing of reviews is tested.FindingsThe data analysis showed a bias effect of review sequence on the impact of online information cues and emotions on intention to follow advice obtained from Tripadvisor. When the online reviews of a restaurant begin with positive commentaries, their perceived persuasiveness is a stronger driver of the pleasure and arousal elicited by online reviews than when they begin with negative reviews. On the other hand, the perceived helpfulness of online reviews only triggers arousal when the user reads negative, followed by positive, comments. The impact of pleasure on intention to follow the advice provided in an online travel community is higher with positive-negative than with negative-positive sequences.Originality/valueWhile researchers have demonstrated the benefits of customer reviews on company sales, a largely uninvestigated issue is the interplay between emotions and cognitive information cues in the processing of online reviews. This is one of the first studies to examine the moderating effect of conflicting reviews on the impact of emotions and cognitive information cues on consumer intention to follow the advice obtained from digital services.

Impact of word-of-mouth, job attributes and relationship strength on employer attractiveness

2019 ◽  
Vol 42 (6) ◽  
pp. 721-739 ◽  
Author(s):  
Faiz Ahamad
Keyword(s):  
Social Media ◽  
Word Of Mouth ◽  
Information Source ◽  
Differential Impact ◽  
Content Type ◽  
Job Attributes ◽  
Relationship Strength ◽  
Job Information ◽  
Employer Attractiveness ◽  
The Impact

Purpose Job information through word-of-mouth (WOM) has a crucial impact on employer attractiveness. The phenomenal rise of social media offers alternate WOM platforms for sharing job information, which is quite different from traditional face-to-face WOM. The purpose of this paper is to examine the differential impact of traditional word-of-mouth (t-WOM) and social media word-of-mouth (s-WOM) on employer attractiveness along with the difference in the job attributes and relationship strength with the information source. Design/methodology/approach A 2 × 2 × 2 experiment was conducted to examine the impact of information source (t-WOM and s-WOM), job attributes (tangible and intangible) and relationship strength (strong and weak), on employer attractiveness. Source expertise and source trust were treated as the control variable. Findings The result shows the differential impact of t-WOM and s-WOM on employer attractiveness. Moreover, t-WOM from strong relation source found to have a high impact on employer attractiveness than s-WOM. No significant difference due to job attributes was found. Research limitations/implications Use of only positive WOM and not the negative one, student as the subjects, etc. Practical implications The present study suggests using t-WOM and s-WOM to attract talented job seekers. Originality/value This is the first study to analyze the differential impact of t-WOM and s-WOM on employer attractiveness.

Should I suggest this YouTube clip? The impact of UGC source credibility on eWOM and purchase intention

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mazzini Muda ◽  
Muhammad Iskandar Hamzah
Keyword(s):  
Social Media ◽  
Structural Equation Modeling ◽  
Purchase Intention ◽  
Structural Equation ◽  
Word Of Mouth ◽  
Source Credibility ◽  
Equation Modeling ◽  
Content Type ◽  
The Social ◽  
The Impact

PurposeIn spite of the increasing organic and interactive marketing activities over social media, a general understanding of the source credibility of voluntary user-generated content (UGC) is still limited. In line with the social identity theory, this paper examines the effects of consumers' perceived source credibility of UGC in YouTube videos on their attitudes and behavioral intentions. Additionally, source homophily theory is included to predict the antecedent of source credibility.Design/methodology/approachThree hundred and seventy two Generation Y respondents were interviewed using snowball sampling. Data were analyzed with component-based structural equation modeling technique of partial least squares-structural equation modeling (PLS-SEM).FindingsFindings confirmed that perceived source credibility indirectly affects purchase intention (PI) and electronic word-of-mouth via attitude toward UGC. Besides, perceived source credibility mediates the effect of perceived source homophily on attitude toward UGC.Practical implicationsSince today's consumers have begun to trust and rely more on UGC than company-generated content on social media when making purchase decisions, companies may reconsider democratizing certain aspects of their branding strategies. Firms may fine-tune their marketing communication budgets – not only just by sponsoring public figures and celebrities but also by nurturing coproductive engagements with independent content creators who are ordinary consumers. Endowed with their imposing credibility, these micro-influencers and prosumers have high potentials to be uplifted to brand ambassadors.Originality/valueWhile consumers' purchase outcome can be measured easily using metrics and analytics, the roles of source homophily in stages leading up to the purchase is still elusive. Drawing on the rich theoretical basis of source homophily may help researchers to understand not only how credibility and attitude are related to PI but also how this nexus generates positive word of mouth among UGC followers within the social media circles.

The impact of hedonic dining experiences on word of mouth, switching intentions and willingness to pay

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anupama Sukhu ◽  
Anil Bilgihan
Keyword(s):  
Willingness To Pay ◽  
Word Of Mouth ◽  
Internal Validity ◽  
Service Encounters ◽  
Student Sample ◽  
Content Type ◽  
Hedonic Value ◽  
Restaurant Managers ◽  
Positive Word Of Mouth ◽  
The Impact

PurposeWhen customers decide to dine out, they choose a restaurant for both physiological and psychological reasons. The psychological reasons include the hedonic/enjoyment goal of the consumer. The purpose of this paper is to investigate whether dining experiences that provide a positive or negative hedonic value will influence positive word of mouth (PWOM), switching intentions (SI) and willingness to pay (WTP).Design/methodology/approachTwo survey-based experiments using student (N = 112) and general restaurant consumer samples (N = 270) were conducted to test the proposed theoretical model. The student sample provided internal validity, whereas the general consumer sample provided external validity for the study. Two types of manipulations were used to manipulate positive and negative restaurant service encounters. The second study randomly assigned participants into positive or negative scenarios.FindingsThe results suggest that positive (negative) service encounters lead to higher (lower) hedonic value. Higher hedonic value leads to PWOM, WTP and reduced SI. The findings of this study would assist restaurant managers and service scholars by bridging the gap between experiential and relationship marketing.Originality/valueThe current research investigates the dining out experience with a holistic lens.

Consumer responses to the failure of self-service banking technology: moderating role of failure stability

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nedra Bahri Ammari ◽  
Abir Hsouna ◽  
Mounia Benabdallah ◽  
Anish Yousaf ◽  
Abhishek Mishra
Keyword(s):  
Word Of Mouth ◽  
Positive Impact ◽  
Negative Word ◽  
The Self ◽  
Content Type ◽  
Consumer Dissatisfaction ◽  
Self Service ◽  
The Stability ◽  
Self Service Technology ◽  
The Impact

PurposeThe purpose of this study is to investigate the impact of dissatisfaction and anger, driven by the failure of the self-service technology of banks, on customers' post-purchase behavioural reactions, such as complaints, negative word-of-mouth (NWOM) and supplier change. The stability of the failure is proposed to moderate these relationships.Design/methodology/approachThe proposed research model was tested through data collected from an online survey of a Tunisian sample of 300 respondents, using the scenario method.FindingsThe study validates the positive impact of dissatisfaction on anger and negative word-of-mouth, as well as that of anger on complaint behaviour and negative word-of-mouth. The relation between dissatisfaction and negative word-of-mouth is mediated by anger. When the failure is stable, dissatisfied users of the self-service technology seek to enhance their negative word-of-mouth and supplier change. The results also show that the stability of the failure enhances the effect of anger on complaint behaviour.Practical implicationsBanks should invest efforts to accelerate the recovery of services to reduce consumer dissatisfaction and anger and prevent adverse behavioural outcomes. Further, they need to ensure that failures are not repeated, as failure stability activates some otherwise non-significant behavioural outcomes, like supplier change.Originality/valuePrevious works have focused on the impact of dissatisfaction and negative emotions for interpersonal services, but very few works have come to associate dissatisfaction, anger, complaint, negative word-of-mouth and supplier change in an integrative framework for an self-service technology failure.

Sign in / Sign up

Export Citation Format

Share Document