• Title/Summary/Keyword: Customer's Purchase Intention

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Your Expectation Matters When You Read Online Consumer Reviews: The Review Extremity and the Escalated Confirmation Effect

  • Lee, Jung;Lee, Hong Joo
    • Asia pacific journal of information systems
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    • v.26 no.3
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    • pp.449-476
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    • 2016
  • This study examines how an initially perceived product value affects consumer's purchase intention after reading online reviews with various tones. The study proposes that associations among initially perceived overall product value, degree of confirmation resulting from reading the reviews, and final purchase intention differ across review tones such that 1) when the tone is favorable, the effect of an initially perceived product value is stronger than when the tone is critical, and 2) when the tone is extreme, the effect of confirmation is stronger than when the tone is moderate. The survey was conducted with 276 online shopping mall users in Korea, and most of the hypotheses were supported. This study asserts that the effects of online reviews should be considered together with customer's level of expectation formed prior to reading online reviews, which resulted from extensive search and screening processes that the customer went through before reading online reviews.

Multi-dimensional Trust Building Process to Explain Customer Satisfaction on e-Commerce

  • Choi, Jae-Won;Sohn, Chang-Soo;Lee, Hong-Joo
    • 한국경영정보학회:학술대회논문집
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    • 2007.11a
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    • pp.571-576
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    • 2007
  • Advanced online environment and communication technology have made the e-commerce environments evolved rapidly. In the e-commerce area, one of the most important concepts regarding the relationship between seller and buyer is the "trust." Considering the purpose of purchase and satisfaction of website, the users may face problems such as consumer's transaction security or personal information sharing when they make transactions over web sites. It could be difficult to pursue the goal for the users to purchase product or service over online if the seller or service provider cannot establish trust to the customers. In this paper, through multi-dimensional viewpoints of trust, satisfaction can be accounted for by cue-based trust and experienced trust. The purchase intention mediates the experienced trust when online users purchase products or use online service.

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A Study of the Influence of Online Word-of-Mouth on the Customer Purchase Intention (온라인 구전정보가 소비자 구매의도에 미치는 영향에 대한 실증연구: 제품관여도, 조절초점, 자기효능감의 조절효과를 중심으로)

  • Yoo, Chang Jo;Ahn, Kwang Ho;Park, Sung Whi
    • Asia Marketing Journal
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    • v.13 no.3
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    • pp.209-231
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    • 2011
  • Internet is having strong impact on the consumer's decision making process. Information search has been done actively through internet today. The online reviews can be crucial information cue to evaluate the alternarive products. The online WOM(Word-Of-Mouth) effect depends on the characteristics of information sender, receiver, and WOM. This study is to examine the influence of the online word of mouth on the consumer purchase intention and the moderating role of product involvement, consumer regulatory focus and self-efficacy. Positive customer reviews on the products influence the purchase intention positively and negative customer reviews influence it negatively. Moderating role of involvement in the causal relation between the valence of online reviews and purchase intention is tested. In case of positive WOM, it is predicted that purchase intention for high involvement products is higher than that of low involvement. In case of negative WOM, purchase intention for high involvement product is lower than that of low involvement product. And this study invetigate the moderating role of regulatory focus. In case of positive WOM, it is predicted that promotion focus oriented consumers have higher purchase intention than prevention focus oriented consumers. In case of negative WOM, prediction is that prevention focus oriented consumers have lower purchase intention than promotion focus oriented consumers. Then we examine the moderating role of self efficacy in the causal relation between the valence of online reviews and purchase intention. In case of positive WOM, it is predicted that consumers with low self efficacy have higher purchase intention than consumers with high self efficacy. In case of negative WOM, it is predicted that consumers with low self efficacy have lower purchase intention than consumers with high self efficacy. Emprical results support our prediction and four hypotheses derived from our conceptual framework are all accepted. This study suggest that the level of product involvement, consumer regulatory focus and the level of self-efficacy influence the consumer responses of the valence of online reviews. Therefore marketers need to manage online reviews based on the level of product involvement, regulatory focus orientation and the level of self-efficacy of target consumers.

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Perceived Value Effects on Global Brand Preference and Purchase Intention in Bakeries: Korean and Vietnamese Consumers (한국과 베트남 소비자의 지각된 가치가 베이커리 브랜드 선호도와 구매의도에 미치는 영향)

  • Cho, Joon-Sang
    • Journal of Distribution Science
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    • v.13 no.9
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    • pp.59-70
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    • 2015
  • Purpose - This study aims to suggest strategies for Korean enterprises advancing into the Vietnam bakery market by analyzing the effects of perceived values on brand preference and purchase intention among Korean and Vietnamese consumers. Research design, data, and methodology - The perceived value model designed includes functional (price, quality), emotional, and social values. The survey collected data from 500 consumers in Seoul (Korea) and HoChiMinh (Vietnam). The SPSS 18.0 package was used for analysis. Results - First, among Vietnamese consumers, perceived value had a positive (+) effect on global brand preference in the order of functional value of quality, social value, and the functional value of price. However, from an ethnocentric trend and brand image origin, emotional value had a negative effect on global brand preference. In contrast, among Korean consumers, perceived value had a positive (+) effect on global brand preference in the order of functional value of quality, the functional value of price, and the social value. However, emotional value had no effect on global brand preference. Second, for both Korean and Vietnamese consumers, perceived value had a significant positive effect on purchase intention. Third, unlike the Korean consumer, for the Vietnamese consumer, global brand preference had a significant effect on purchase intention. Conclusions - The study implies the following. First, the Vietnamese bakery market has a high proportion of middle-aged customers in their 40s (64%). In terms of monthly income, there was a large proportion (40%) of high-income earners (over $325). Therefore, bakery consumption can be seen as concentrated among middle-aged and high-income consumers. Based on this, bakery strategies should include efforts to increase purchase prices as well as ways to attract local consumers (large cities). Second, unlike Korean consumers, among Vietnamese consumers, the resistance to a global brand based on emotional value (the ethnocentric tendency and brand image origin) can be seen as relatively low. Thus, in the case of the Vietnam bakery market, to increase a global brand's preference, the company should develop a differentiated strategy so that Vietnamese consumers can recognize it better, focusing on product quality, good service quality, and price in the local environment and on social value for social development. Third, in the case of the Vietnamese customer, we found that social value exerts the greatest influence on purchase intention. Therefore, a brand that engenders an image of building the local Vietnamese community can achieve a higher social value and influence purchase intention. In addition, although Vietnamese consumers have ethnocentric tendencies in terms of products, we found that if it is a preferred global brand then there are intentions to purchase. Fourth, in the case of Vietnam, if the preference for global brands is formed, consumer awareness may be connected to purchase intention. Therefore, global brands operating in Vietnam should pay attention to how to improve consumer preferences for global brands in order to increase purchase intention.

The Effect of Fashion Product's Shopping Bag types on Customer Response, Advertising Effectiveness, and Purchase Intention (패션 상품 쇼핑백 유형에 대한 소비자반응, 광고태도, 구매의도에 미치는 영향)

  • Chae, Heeju;Lee, Sooyeon;Ko, Eunju
    • Fashion & Textile Research Journal
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    • v.16 no.4
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    • pp.564-579
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    • 2014
  • Packaging of shopping bag is a 'silent salesman' which plays an important role in marketing communication due to the increase of self-service outlets and changing lifestyles of customers. Retail shopping bags, which are defined as bags provided by retailers to customer as a means of transporting merchandise, are a type of secondary packaging. This study explored the effect of a fashion product's shopping bag types in sense of shopping value, customers' response, attitude toward advertising, and purchase intention. Data was analyzed by factor analysis, frequency analysis, correlation, structural equation modeling using SPSS 18.0 and AMOS 18.0. The results of this study were as follows. Consumers' responses about shopping bags show that there are some differences between consumers who have either hedonic or utilitarian shopping value. Hedonic shopping value influences on consumers' response as unique, interesting, and attention; however utilitarian value affects prestige in addition to those four significant factors. Therefore, this study shows that consumer response is different in accordance with shopping value. Thus, using the various types of shopping bags can be influenced on effective advertising. It will also great effect on marketing activity with lower cost. The significant result from this study has proven that the shopping bag is correlates to the definition of pop art today because it can offer an opportunity to look at, play with and buy sophisticated visual stimulus. Therefore, retail and brands have to concern about shopping bag considering their decisive role in the apparel market.

A study on the consumer preference according to consumer's need for uniqueness, ALPHA-NUMERIC brand name and types of fashion goods (소비자 독특성 욕구에 따른 알파누메릭 브랜드 네임 및 패션제품 유형의 선호도 연구)

  • Jung, Hyewon;Hwang, Sunjin
    • Journal of Fashion Business
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    • v.16 no.5
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    • pp.114-129
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    • 2012
  • The purpose of this study is to analyze the effects of consumer's need for uniqueness, whether or not using ALPHA-NUMERIC Brand Name and types of fashion goods upon the consumer's attitude. The experimental design of this study is three-ways complex factors design of 2 (Consumer's Need for Uniqueness : High vs Law) ${\times}$ 2 (Whether or not to use ALPHA-NUMERIC Brand Name : Used brand vs Non-used brand) ${\times}$ 2 (Types of fashion goods: Rational fashion goods vs Emotional fashion goods) The conclusions are as follows. 1. The interaction effect upon a favorite level according to consumer's need for uniqueness, whether or not using ALPHA-NUMERIC brand name and types of fashion goods upon the consumer's attitude is proven significant. For the group where customer's need for uniqueness is low, when ALPHA-NUMERIC brand name is not used, the favorableness of rational fashion good, a parka is lower than that of emotional fashion good, one-piece dress. However, there is no significant difference in favorableness by types of fashion goods when ALPHA-NUMERIC brand name is used. At the group with high need for uniqueness, while there is no significant difference in favorableness when ALPHA-NUMERIC brand name is not used, the favorableness of parka is higher than that of one-piece dress when ALPHA-NUMERIC brand name is used. 2. The interaction effects upon purchase intention according to consumer's need for uniqueness, whether or not using ALPHA-NUMERIC brand name and types of fashion goods are proven significant. For the group where customer's need for uniqueness is low, there is no significant different in the favorableness whether or not ALPHA-NUMERIC brand name is used. On the other hand, the group with high need for uniqueness, if ALPHA-NUMERIC brand name is used, the intention to purchase parka is higher than the intention to purchase one-piece dress.

Brand Equity and Purchase Intention: The Fashion Market in China (상표자산이 구매의도에 미치는 영향: 중국패션시장에서)

  • Lee, Dong-Hae;Choi, Young-Ro
    • Journal of Distribution Science
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    • v.13 no.7
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    • pp.85-90
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    • 2015
  • Purpose - Global trends play a part to change the structure of the fashion industry. In particular, companies attempting to conduct innovative marketing centering on such products as SPA brands are growing into global companies. SPA stands for "Specialty Store Retailer of Private Label Apparel", meaning its activities are fully integrated from manufacturing through sales, including material procurement design, product, distribution, inventory management, and final sales. For this reason, more understanding of individual corporate profitability is very sensitive to consumer's attitudinal changes. The effects that corporate marketing activities on customer lifetime value through brand attitude were analyzed based on a structural equation model. Rust suggested value equity, brand equity, and relationship equity as customer equity driver. The study examines Chinese consumer because China is the fastest growing fashion market in the world. Research design, data, and methodology - The survey targeted Chinese college student age 20s. Only respondents who had purchased SPA brands in the past year were included for this research. A total of 303, except for 47 missing data of 350 distributed questionnaires were included in this research. The questionnaire is consists of six part to measure value, brand, relationship equity, attitude toward brand, purchase intention and demographic characteristics. This research conducted exploratory factor analysis and reliability test. To verify research hypotheses, structural equation model test was conducted. As for customer equity, diversified models in consideration of the scope of acquisition data, a method of collection of data, influencing factor, and predictability were suggested based on a net present value model. However, the history of customer equity study is relatively short, and sufficient empirical analyses have not been conducted, so more integrated analysis is required. In this study, the concept of driver suggested by Rust was applied to figure out the effects that consumer's attitude has on customer equity. The customer equity driver suggested by them consists of brand equity, value equity, and relationship equity. Results - This study reveals that value equity and brand equity have a positive influence on relationship equity. And, relationship equity has a positive influence on purchase intention through brand attitude. However, value equity and brand equity do not influence on brand attitude. Conclusion - The results of this research generated following implications. First, SPA brands need to take advantage of their value equity such as perceived low price and up-to-date fashion style to attract Chinese young consumer. Second, strong brand equity promises dominants position in the competitive market. As Chinese fashion market grows rapidly, SPA brands can consider branding strategy such as flagship store and celebrity marketing enhancing brand image. Third, the core concept of customer equity strategy is to maintain a relationship with their expecting and existing customers. The relationship equity is built by brand equity and value equity. When SPA brands serves product and service meet with individual customers, customers have intimacy to the brands.

Effects of Recommendation Selling in Family Restaurants on Customer Attitudes, Customer Satisfaction, Customer Purchase Decision Making (패밀리 레스토랑의 메뉴 권유 판매가 고객 태도, 만족, 구매 의사 결정에 미치는 영향)

  • Lee, Yeon-Jung;Ju, Hyun-Sik
    • Culinary science and hospitality research
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    • v.12 no.2 s.29
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    • pp.73-87
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    • 2006
  • The purpose of this study is to investigate if recommendation selling (methods of recommendation selling, a key word used for recommendation, and employee attitude) influences the customers' menu decision. The results of the study are as follows: 'Menu picture' and 'explanation by word' among the tools used by employees for recommendation were found to influence customers' menu decision. The words such as 'new menu' and 'special only today' used by employees for recommendation were found to influence customers' menu decision. Employees' attitude elements such as 'interesting explanation', 'dressed up tidy', 'strong intention', and 'patience' were found to influence customer's menu decision. 'Recommendation selling' in the food and beverage industry means 'employees help customers make a good decision on food and beverage service'. This study makes an important contribution to the food industry in terms of providing substantial marketing strategies.

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Distribution Center Location and Routing Problem with Demand Dependent on the Customer Service (고객서비스에 따른 수요변화하에서의 분배센터 입지선정과 경로 문제)

  • 오광기;이상용
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.22 no.51
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    • pp.29-40
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    • 1999
  • The distribution center location and routing problem involves interdependent decisions among facility, transportation, and inventory decisions. The design of distribution system affects the customers' purchase decision by sets the level of customer service to be offered. Thus the lower product availability may cause a loss of demand as falls off the customers' purchase intention, and this is related to the firm's profit reduction. This study considers the product availability of the distribution centers as the measure of the demand level change of the demand points, and represents relation between customer service and demand level with linear demand function. And this study represents the distribution center location and routing to demand point in order to maximize the total profit that considers the products' sales revenue by customer service, the production cost and the distribution system related costs.

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Persuasion Tactics of Salesmen : Moderating Effect in Regards to the Purchasing Patterns and Gender of College Students (판매원의 설득전술 : 대학생의 구매형태 및 성별의 조절효과)

  • Yoon, Sung-Wook;Kang, Jiho;Jeong, Weon-Deog
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.16 no.11
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    • pp.7494-7500
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    • 2015
  • The purpose of this study is to investigate how the customer's attitudes and behavioral responses, depending on the persuasion tactics of salespeople in customer service and meeting point. The tactics of persuasion of customer acceptance and purchase depending on the type of salesperson with proven effectiveness of even comes out to investigate what results according to the purchase form and the customer that the customer consumes gender. Results First, the tactics of persuasion tactics of coercive tactics to mention the loss of a salesman showed that increasing the degree of acceptance than non-coercive tactics to help consumers buy the information provided above. Second, coercive tactics to adjust the effect with respect to the degree of acceptance of the purchase of helping consumers to purchase in the online form has been proven to be more effective than non-coercive tactics case. Third, adjusted for gender effects were proven to help women with respect to the degree of acceptance of a consumer purchases more effective than men. That is, in consumer contacts, the persuasion tactics of salespeople depending on the customer's acceptance and purchasing intention showed that coercive tactics has the more positive impact on online forms and women.