• Title/Summary/Keyword: Negative Word-of-Mouth

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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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Effect of information direction and order of product review posts on consumer responses: The case of cosmetics power bloggers

  • Ji, Hye-Ri;Yoh, Eunah
    • Fashion, Industry and Education
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    • v.16 no.1
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    • pp.19-35
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    • 2018
  • This study explores the effect of information direction and order of cosmetics power bloggers on consumer responses. A total of 488 undergraduate students participated in experiments with mock-up stimuli of sunscreen product reviews by power bloggers. The study was conducted with four stimuli of product review posts (i.e., positive reviews only, positive-negative reviews in order, negative-positive reviews in order, negative reviews only) of the power bloggers. The results showed a significant difference in consumer responses according to information direction and order of product reviews of the power bloggers. Specifically, negative reviews were considered more objective and more useful than positive reviews were. However, positivity of reviews is crucial in generating more positive attitudes toward products, greater purchase intention, and greater word-of-mouth intention. In regard to information order, the negative-positive reviews generated more positive attitudes toward the product and greater purchase intention than did the positive-negative reviews, emphasizing the importance of ending product reviews with positive information so as to create positive responses. Referring to the findings, power bloggers and marketers using bloggers as a promotional tool would benefit by carefully designing information content in consideration of an appropriate direction and order of information to better fit their purpose.

The Effect of College students' Perceived Marketing Communication, Value and Consumption Emotion on Store Loyalty in Discount Store (대학생들이 지각하는 종합슈퍼마켓의 마케팅 커뮤니케이션, 가치, 소비감정이 점포충성도에 미치는 영향)

  • Yang, Hoe-Chang;Ju, Yoon-Hwang
    • Journal of Distribution Science
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    • v.10 no.2
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    • pp.19-28
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    • 2012
  • Rapidly growing sales amount and the number of discount stores caused many side effects and sensitive issues in Korea. Because these severe competition due to more expensive cost just like excessive increase in advertising and location selection, and these caused completely ruined small merchants as well as passed on to the consumer. This Study focused on competitiveness of discount store in Korea to the perspective of college students, as explored the relationships between marketing communication and store loyalty. And, examined for two moderating effect, 1) consumers' value separated by hedonic value and utilitarian value between marketing communication and store loyalty, and 2) consumers' value separated by hedonic value and utilitarian value between marketing communication and consumption emotion. Finally, this study examined for mediating effect of consumption emotion between marketing communication and store loyalty. In order to verify the relationship, moderating and mediating effects, data were collected from 130 college students in Whasung, Gyeonggi Province to test theoretical model and its hypotheses. Findings are as followed : First, analysis showed that factors such as advertisement(β =.221, p<.05), publicity(β =.513, p<.01), sales promotion(β =.234, p<.01), word of mouth(β =.627, p<.01) and physical environment(β =.339, p<.01) for marketing communication in the discount store have statistically significant positive effect on store loyalty. But the result of regression analysis for which factors are more impact in marketing communication between store loyalty showed that word of mouth(β =.53, p<.01) is only statistically significant. Second, publicity(β =-.895, p<.05), the sub-dimension of marketing communication shows only statistically significant negative moderating effect on store loyalty. But, the results of the moderating effect of value between marketing communication and consumption emotion verified that utilitarian value show statistically significant, specifically advertisement(β =.294, p<.01), physical environment(β =.418, p<.01), sales promotion(β =.245, p<.01), word of mouth(β =.414, p<.01) and publicity(β =1.137, p<.05), respectively. And hedonic value show statistically significant, specifically advertisement(β =.286, p<.01), physical environment (β =.418, p<.01), sales promotion(β =.236, p<.01) and word of mouth(β =.420, p<.01), respectively. But publicity(β =.145, p=.119) is not statistically significant. Finally, the results verified mediating effect for consumption emotion between all factors for marketing communication and store loyalty showed that factors such as advertisement, publicity, word of mouth and physical environment for marketing communication except sales promotion were statistically significant fully mediated in advertisement, and partially mediated in publicity, word of mouth and physical environment. This testified that the consumption emotion had the most important factor to enhance store loyalty to the perspective of College students. These results can provide important implications and invaluable tips for planning marketing strategies and gaining access to new potential customers. Implications and future research directions are also discussed.

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A Study on the Critical Success Factors of Social Commerce through the Analysis of the Perception Gap between the Service Providers and the Users: Focused on Ticket Monster in Korea (서비스제공자와 사용자의 인식차이 분석을 통한 소셜커머스 핵심성공요인에 대한 연구: 한국의 티켓몬스터 중심으로)

  • Kim, Il Jung;Lee, Dae Chul;Lim, Gyoo Gun
    • Asia pacific journal of information systems
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    • v.24 no.2
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    • pp.211-232
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    • 2014
  • Recently, there is a growing interest toward social commerce using SNS(Social Networking Service), and the size of its market is also expanding due to popularization of smart phones, tablet PCs and other smart devices. Accordingly, various studies have been attempted but it is shown that most of the previous studies have been conducted from perspectives of the users. The purpose of this study is to derive user-centered CSF(Critical Success Factor) of social commerce from the previous studies and analyze the CSF perception gap between social commerce service providers and users. The CSF perception gap between two groups shows that there is a difference between ideal images the service providers hope for and the actual image the service users have on social commerce companies. This study provides effective improvement directions for social commerce companies by presenting current business problems and its solution plans. For this, This study selected Korea's representative social commerce business Ticket Monster, which is dominant in sales and staff size together with its excellent funding power through M&A by stock exchange with the US social commerce business Living Social with Amazon.com as a shareholder in August, 2011, as a target group of social commerce service provider. we have gathered questionnaires from both service providers and the users from October 22, 2012 until October 31, 2012 to conduct an empirical analysis. We surveyed 160 service providers of Ticket Monster We also surveyed 160 social commerce users who have experienced in using Ticket Monster service. Out of 320 surveys, 20 questionaries which were unfit or undependable were discarded. Consequently the remaining 300(service provider 150, user 150)were used for this empirical study. The statistics were analyzed using SPSS 12.0. Implications of the empirical analysis result of this study are as follows: First of all, There are order differences in the importance of social commerce CSF between two groups. While service providers regard Price Economic as the most important CSF influencing purchasing intention, the users regard 'Trust' as the most important CSF influencing purchasing intention. This means that the service providers have to utilize the unique strong point of social commerce which make the customers be trusted rathe than just focusing on selling product at a discounted price. It means that service Providers need to enhance effective communication skills by using SNS and play a vital role as a trusted adviser who provides curation services and explains the value of products through information filtering. Also, they need to pay attention to preventing consumer damages from deceptive and false advertising. service providers have to create the detailed reward system in case of a consumer damages caused by above problems. It can make strong ties with customers. Second, both service providers and users tend to consider that social commerce CSF influencing purchasing intention are Price Economic, Utility, Trust, and Word of Mouth Effect. Accordingly, it can be learned that users are expecting the benefit from the aspect of prices and economy when using social commerce, and service providers should be able to suggest the individualized discount benefit through diverse methods using social network service. Looking into it from the aspect of usefulness, service providers are required to get users to be cognizant of time-saving, efficiency, and convenience when they are using social commerce. Therefore, it is necessary to increase the usefulness of social commerce through the introduction of a new management strategy, such as intensification of search engine of the Website, facilitation in payment through shopping basket, and package distribution. Trust, as mentioned before, is the most important variable in consumers' mind, so it should definitely be managed for sustainable management. If the trust in social commerce should fall due to consumers' damage case due to false and puffery advertising forgeries, it could have a negative influence on the image of the social commerce industry in general. Instead of advertising with famous celebrities and using a bombastic amount of money on marketing expenses, the social commerce industry should be able to use the word of mouth effect between users by making use of the social network service, the major marketing method of initial social commerce. The word of mouth effect occurring from consumers' spontaneous self-marketer's duty performance can bring not only reduction effect in advertising cost to a service provider but it can also prepare the basis of discounted price suggestion to consumers; in this context, the word of mouth effect should be managed as the CSF of social commerce. Third, Trade safety was not derived as one of the CSF. Recently, with e-commerce like social commerce and Internet shopping increasing in a variety of methods, the importance of trade safety on the Internet also increases, but in this study result, trade safety wasn't evaluated as CSF of social commerce by both groups. This study judges that it's because both service provider groups and user group are perceiving that there is a reliable PG(Payment Gateway) which acts for e-payment of Internet transaction. Accordingly, it is understood that both two groups feel that social commerce can have a corporate identity by website and differentiation in products and services in sales, but don't feel a big difference by business in case of e-payment system. In other words, trade safety should be perceived as natural, basic universal service. Fourth, it's necessary that service providers should intensify the communication with users by making use of social network service which is the major marketing method of social commerce and should be able to use the word of mouth effect between users. The word of mouth effect occurring from consumers' spontaneous self- marketer's duty performance can bring not only reduction effect in advertising cost to a service provider but it can also prepare the basis of discounted price suggestion to consumers. in this context, it is judged that the word of mouth effect should be managed as CSF of social commerce. In this paper, the characteristics of social commerce are limited as five independent variables, however, if an additional study is proceeded with more various independent variables, more in-depth study results will be derived. In addition, this research targets social commerce service providers and the users, however, in the consideration of the fact that social commerce is a two-sided market, drawing CSF through an analysis of perception gap between social commerce service providers and its advertisement clients would be worth to be dealt with in a follow-up study.

Effect of the Customer Emotion to Salespersons in Service Encounter on Customer Evaluation and Behavioral intention (감정유형이 판매원에 대한 고객평가와 행동의도에 미치는 영향)

  • Lee, Okhee
    • Journal of Fashion Business
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    • v.17 no.2
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    • pp.136-150
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    • 2013
  • This study investigates the effect of customer emotions on customer evaluation and behavior intention. The subjects used in this study were customers of a fashion shop in Sunchon South Korea. The questionnaires were conveniently sampled from July 2010 to August, 2010. Questionnaire data from 335 customers of a national brand were analyzed through a reliability analysis, factor analysis, and multiple regression analysis. The results of this study are as follows. First, emotions of customer were divided into 2 patterns, positive emotion and negative emotion. Second positive emotion have significant (+) influences on the trust and negative emotion have significant (-) influences on the trust. Third positive emotion have significant (+) influences on the customer orientation and negative emotion have significant (-) influences on the customer orientation. Forth, the emotions of customer have a considerable impact on the interaction intention. And the positive emotion have significant (+) influences on the word-of-mouth intention and negative emotion have not a considerable impact on it. Fifth the positive emotion have significant (+) influences on the attitude toward store and repurchase intention, and negative emotion have significant (-) influences on the attitude toward store and repurchase intention.

Modeling Consumers' WOM (Word-Of-Mouth) Behavior with Subjective Evaluation and Objective Information on High-tech Products (하이테크 제품에 대한 소비자의 주관적 평가와 객관적 정보 구전 활동에 대한 연구)

  • Chung, Jaihak
    • Asia Marketing Journal
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    • v.11 no.1
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    • pp.73-92
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    • 2009
  • Consumers influence other consumers' brand choice behavior by delivering a variety of objective or subjective information on a particular product, which is called WOM (Word-Of-Mouth) activities. For WOM activities, WOM senders should choose messages to deliver to other consumers. We classify the contents of the messages a consumer chooses for WOM delivery into two categories: Subjective (positive or negative) evaluation and objective information on products. In our study, we regard WOM senders' activities as a choice behavior and introduce a choice model to study the relationship between the choice of different WOM information (WOM with positive or negative subjective evaluation and WOM with objective information) and its influencing factors (information sources and consumer characteristics) by developing two bivariate Probit models. In order to consider the mediating effects of WOM senders' product involvement, product attitude, and their characteristics (gender and age), we develop three second-level models for the propagation of positive evaluations, of negative evaluations, and of objective information on products in an hierarchical Bayesian modeling framework. Our empirical results show that WOM senders' information choice behavior differs according to the types of information sources. The effects of information sources on WOM activities differ according to the types of WOM messages (subjective evaluation (positive or negative) and objective information). Therefore, our study concludes that WOM activities can be partially managed with effective communication plans influencing on consumers' WOM message choice behavior. The empirical results provide some guidelines for consumers' propagation of information on products companies want.

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Examining Public Responses to Transgressions of CEOs on YouTube: Social and Semantic Network Analysis

  • Jin-A Choi;Sejung Park
    • Journal of Contemporary Eastern Asia
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    • v.23 no.1
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    • pp.18-34
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    • 2024
  • In what was labeled the "nut rage" incident, the vice president of Korean Air, Hyun-Ah Cho (Heather Cho), demonstrated behavior that exemplifies corporate transgression and deviation from societal moral standards toward a flight attendant aboard a flight. Such behavior instigated the public to express negative sentiment on various social media platforms. This study investigates word-of-mouth network on YouTube in response to the crisis, patterns of co-commenting activities across selected YouTube videos, as well as public responses to the incident by employing social and semantic network analysis. A total of 512 YouTube videos featuring the crisis from December 8, 2014 through November 11, 2018, and 52,772 public comments to the videos were collected. The central videos in the network successfully attracted the public's attention and engagements. The results suggest that the video network was decentralized, with multiple videos acting as hubs in the network. The public commented on various videos instead of focusing on a few. The contents of influential videos uploaded by popular news organizations revealed not only Cho's behaviors related to the nut rage crisis but also unrelated illegal behaviors and the moral violations committed by the family members of Korean Air. The public attached derogatory remarks to Cho and her family, and the comments also addressed ethical concerns, management issues of the company, and boycott intentions. The results imply that adverse public reaction was related to the long-standing problem caused by family ownership and governance in large Korean corporations. This Korean Air scandal illustrates backlash toward a leadership breakdown by the family business conglomerate prevalent in the Korean society. This study provides insights for effective handling of similar crises.

Musical Prior Knowledge, Audience Satisfaction and Word-of-Mouth: A Moderated-Mediation Analysis (뮤지컬 관람객의 사전지식이 관람만족 및 구전의향에 미치는 영향 - 트랜스포테이션의 조절된 매개효과를 중심으로 -)

  • Won, Jie Young;Jung, Chang Mo
    • Korean Association of Arts Management
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    • no.54
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    • pp.59-93
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    • 2020
  • The development of digital technology has made consumers more knowledgeable about products than ever before. In this regard, experts have defined consumers in the digital age as knowledge seekers and pointed out that they are proficient in acquiring and sharing product knowledge prior to purchase. For service goods such as musicals, product prior knowledge executes strong effect due to such characteristics as intangibility, inseparabilit y,and heterogeneity. Prior studies in the field of performing arts, including musicals, have revealed that the prior knowledge of the audience has a positive effect on the satisfaction of the audience and WOM(word-of-mouth) intention. However, studies in the marketing field argue that consumers' high prior knowledge may have a negative impact on customer satisfaction and product evaluation depending on conditions, as they are more likely to compare, review, and expect products more closely. Therefore, in this study, we tried to identify under what conditions the musical prior knowledge enhances audience satisfaction and WOM intention. According to the results of previous studies, a mediating effect model was established in which the musical prior knowledge enhances the WOM intention through the mediation of the audience satisfaction. Then, Transportation was introduced as a mediation variable and it was verified whether the level changed the audience satisfaction and WOM intention. The reason for the introduction of the transportation construct reflects the results of previous research that the story is important component of musical. The results showed that the musical prior knowledge has a significant effect on WOM intention through the mediation of audience satisfaction. The moderating effect of transport was also significant on the relationship between musical prior knowledge and audience satisfaction. Lastly, through moderated-mediation analysis, it was confirmed that transportation moderates the mediating effect that prior knowledge affects on the WOM intention through audience satisfaction. Based on the results, we demonstrated that a musical story is fairly important to satisfy audiences with high prior knowledge. This study could contribute to the related filed in that it introduced the transportation construct for the first time, thereby broadening the understanding of the musical audiences in the era of smart consumers.

A Study on Clothing Complaining Behavior : Taxonomy Cause and Type (의복불평행동에 관한 연구 -의복 불평행동의 분류법과 원인, 유형을 중심으로-)

  • 홍금희
    • Journal of the Korean Society of Clothing and Textiles
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    • v.23 no.1
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    • pp.90-110
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    • 1999
  • Understanding consumer complaining behaviors plays a key role in post-purchase satisfaction customer retention and long-term customer relationships. This research was conducted to empirically investigate 1) the taxonomy of complaining behavior 2) causes and types of clothing complaining behavior according to sex. The subjects compoed of 250 male and 358 female consuemrs. Data were colleted through questionnaires employing the critical incident methodology. The findings indicated that clothing complaining behavior was fitted well into Singh(1998)'s three-factor model(i. e. voice/private / third-party complaining behaviors) these factors explained 53% of the total variances 75.1% of male and 65.2% of female group complained of poor instruental performance. The types of complaining behaviors were no action negative word-of-mouth to friends and associates n order. Most dissatisfied consumers didn't assert positive consumer's right. Marketer should increase the accessibility of their complaint receiving mechanisms to passive customers.

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A Study on the Consumer's Return Behavior Type in Internet Clothing Purchase (의류제품 구매에서의 반품행동유형 연구 - 인터넷 쇼핑몰 구매를 중심으로 -)

  • Ji, Hye-Kyung
    • Fashion & Textile Research Journal
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    • v.11 no.1
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    • pp.41-47
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    • 2009
  • The purpose of this study was to investigate the main factors of return and consumers' return behavior types and also to find out the characteristics of consumer's purchasing behavior according to consumer's return behavior type. The Questionnaires was administered 315 males and females, who had experience of clothing purchase and return in internet shopping mall. The results were as follows. First, the factors of return were classified into quality of product, delivery, service, consumer's change of mind, and impulse buying. Second, 4 types of consumer's return behavior were categorized into habitual, dissatisfaction in product quality, dissatisfaction in delivery, and impulse buying. Third, Consumer's return behavior types were not significantly related to the frequency of purchase, information search. However there were significant differences in satisfaction of return process, dissatisfaction after return, and negative word of mouth according to the consumer's return behavior types.