• Title/Summary/Keyword: Online WOM

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The Influences of On Line WOM(word Of Mouth) Information and Receiver's Characteristic on WOM Received (온라인 구전정보와 수신자 특성이 구전수용에 미치는 영향)

  • Kim, Chang-Ho
    • The Journal of Information Technology
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    • v.8 no.3
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    • pp.73-82
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    • 2005
  • The present paper aims to examine the relationship between the online word of mouth(WOM) contents and the WOM effect and to see how receivers' features such as product knowledge and involvement level influence the WOM received. For that purpose, we categorize WOM contents into two subcategories; product news and personal experience. The WOM effect, in turn, is into the WOM received. Survey questionnaires were given to 268 collegians as to their online WOM activities to purchase MP3 players. SPSS 10.0 package was employed as the method of statistical analysis. We report the following results. First, product news is shown to exert a greater effect on the WOM received than personal experience. Second, their product knowledge plays a moderating role in the relationship between the WOM contents and the WOM received. Finally, it is shown that the factor of involvement level moderates the relationship between the WOM contents and the WOM received. The current paper attempts to develop a hypothetical relationship between WOM information and WOM received and to provide a theoretical foundation for the practical online marketing. We must admit the methodological limitations with respect to subjects and samples. It should be worthwhile, however, to compare online and off-line marketing and to expand the range of research in the current line of thought.

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Investigating the Influence of Perceived Usefulness and Self-Efficacy on Online WOM Adoption Based on Cognitive Dissonance Theory: Stick to Your Own Preference VS. Follow What Others Said (온라인 구전정보 수용자의 지각된 정보유용성과 자기효능감이 구전정보 수용의도에 미치는 영향에 관한 연구: 의견고수와 구전수용의 비교)

  • Lee, Jung Hyun;Park, Joo Seok;Kim, Hyun Mo;Park, Jae Hong
    • Asia pacific journal of information systems
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    • v.23 no.3
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    • pp.131-154
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    • 2013
  • New internet technologies have created a revolutionary new platform which allows consumers to make decision about product price and quality quickly and provides information about themselves through the transcript of online reviews. By expressing their feelings toward products or services on virtual opinion platforms, users extend their influence into cyberspace as electronic word-of-mouth (e-WOM). Existing research indicates that an impact of eWOM on the consumer decision process is influential. For both academic researchers and practitioners, investigating this phenomenon of information sharing in online website is essential given the increasing number of consumers using them as sources of purchase decisions. It is worthwhile to examine the extent to which opinion seekers are willing to accept and adopt online reviews and which factors encourage adoption. Discerning the most motivating aspects of information adoption in particular, could help electronic marketers better promote their brand and presence on the internet. The objectives of this study are to investigate how online WOM influences a persons' purchase decision by discovering which factors encourage information adoption. Especially focused on the self-efficacy, this research investigates how self-efficacy affects on information usefulness and adoption of online information. Although people are exposed to same review or comment about product or service, some accept the reviews while others do not. We notice that accepting online reviews mainly depends on the person's preference or personal characteristics. This study empirically examines this issue by using cognitive dissonance theory. Specifically, in the movie industry, we address few questions-is always positive WOM generating positive effect? What if the movie isn't the person's favorite genre? What if the person who is very self-assertive so doesn't take other's opinion easily? In these cases of cognitive dissonance, is always WOM generating same result? While many studies have focused on one direct of WOM which indicates positive (or negative) informative reviews or comments generate positive (or negative) results and more (or less) profits, this study investigates not only directional properties of WOM but also how people change their opinion towards product or service positive to negative, negative to positive through the online WOM. An experiment was conducted quantitatively by using a sample of 168 users who have experience within the online movie review site, 'Naver Movie'. Users were required to complete a survey regarding reviews and comments taken from the real movie page. The data reflected user's perceptions of online WOM information that determined users' adoption level. Analysis results provide empirical support for the proposed theoretical perspective. When user can't agree with the opinion of online WOM information, in other words, when cognitive dissonance between online WOM information and users' preference occurs, perceived self-efficacy significantly decreases customers' perception of usefulness. And this perception of usefulness plays an important role in determining users' intention to adopt online WOM information. Most of researches have been concentrated on characteristics of online WOM itself such as quality or vividness of information, credibility of source and direction of online WOM, etc. for describing effect of online WOM, but our results suggest that users' personal character (e.g., self-efficacy) plays decisive role for acceptance of online WOM information. Higher self-efficacy means lower possibility to accept the information that represents counter opinion because of cognitive dissonance, whereas the people that have lower self-efficacy are willing to accept the online WOM information as true and refer to purchase decision. This study suggests a model for understanding role of direction of online WOM information. Also, our result implicates the importance of online review supervision and personalized information service by confirming switching opinion negative to positive is more difficult than positive to negative through the online WOM information. This implication would help marketers to manage online reviews of their products or services.

Effect of Online Word of Mouth on Product Sales: Focusing on Communication-Channel Characteristics

  • Jeon, Jaihyun;Lim, Taewook;Kim, Byung-Do;Seok, Junhee
    • Asia Marketing Journal
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    • v.21 no.2
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    • pp.73-98
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    • 2019
  • As information and communication technology continue its remarkable development, the exchange of information online becomes as prevalent and frequent as face-to-face communication in daily life. Therefore, the management and application of WOM (word of mouth) practices will become more important than ever to companies. Currently, there are various types of communication channels for online WOM, and each channel has its own unique traits. Most of the previous research studies online WOM by examining the information inside a single communication channel, but this research chooses two different communication channels and analyzes the effects of online WOM with each channel's unique characteristics. More specifically, this research focuses on the expectation that the effects of information from Twitter and blogs on product sales may differ because Twitter and blogs, two different communication channels for online WOM, have their own unique traits. Our particular aim is to perform an in-depth examination on the effects of communication channel's volume and valence on product sales, two important attributes of online WOM. Furthermore, while most of the empirical research focuses on online WOM and analyzes its effect on markets of temporary experience goods, such as movies and books, this research highlights focuses on the automobile market, a durable goods market. The results of our analysis are as follows: First, regarding blogs, a positive valence significantly and positively affects the sales of products, and this result indicates that consumers are influenced more by the emotional aspect of a product presented in a post than by the number of blog posts. Second, regarding Twitter, the volume of online WOM significantly and positively affects sales, an indication that as the number of posts increase, the sales increase. Through this research, we suggest that even those firms that sell durable goods can increase sales through the management and application of online WOM. Moreover, according to the characteristics of communication channels, the effects of online WOM on sales differ. As a practical implication of this research, we suggest that companies can and should create marketing strategies appropriate to their targeted communication channels.

The Effect of Online WOM of Menu Product Consumers on Product Perception Risk and WOM Effect

  • HEO, Yeong-Wook
    • Journal of Distribution Science
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    • v.18 no.3
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    • pp.77-85
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    • 2020
  • Purpose: This study examined marketing value as online word-of-mouth media in the foodservice industry, and it did research on online word-of-mouth (e-WOM) communication marketing schemes using mass communication in the industry. The study is also intended to investigate the impact of electronic word-of-mouth (e-WOM) information and communication on product awareness risks, benefits, and word-of-mouth (WOM) impacts on restaurant consumers. Research design, data, and methodology: The analysis was conducted on a valid questionnaire of 425 menu product consumers. The survey was conducted for two months in March 2019. The collected data was analyzed using SPSS and hierarchical regression analysis was applied. Results: It did empirical research on the reciprocal casual relations to online and the existing word-of-mouth communication that have to be preceded to understand characteristics of online word-of-mouth communication for the purpose of this study. The result is summarized as follows. First, the online word-of-mouth (e-WOM) effect on product recognition risk shows the statistically significant effect of information sender characteristics, information recipient characteristics, and online word-of-mouth (e-WOM) communication on product recognition risk. Second, the influence of online word-of-mouth (e-WOM) on product risk benefits shows that the information sender characteristics, the information receiver characteristics, and online communications have a statistically significant effect on product risk benefits. Third, online word of mouth risk recognition had a statistically significant effect on word of mouth acceptance. Fourth, online risk benefit had a statistically significant positive effect on word of mouth (WOM) effect. Conclusions: The communication between online word of mouth (e-WOM) sender and recipient had a positive influence on the product evaluation and attitude change in the foodservice industry, and the word-of-mouth (WOM) effect affected financial and non-financial performance. The results mentioned above indicated that the communication between the sender of the information and the receiver of the information had a positive effect on the product evaluation and attitude change of the menu consumer, and the word-of-mouth (WOM) result affected the financial. Therefore, the online word-of-mouth (e-WOM) effect has a positive effect on the word-of-mouth (WOM) effect of menu products when performed simultaneously and positively between the information sender and the information receiver.

Impact of Online Restaurant Information WOM Characteristics on the Effect of WOM -Focusing on the Mediating Role of Source-Credibility- (외식 정보 온라인 구전 특성이 구전 효과에 미치는 영향 -정보원 신뢰도의 매개 역할을 중심으로-)

  • Shin, Seo-Young;Lee, Bum-Jun;Cha, Sung-Mi
    • The Korean Journal of Food And Nutrition
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    • v.24 no.2
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    • pp.217-225
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    • 2011
  • The current research identified the impacts of WOM(Word-of-Mouth) regarding dining experience and the factors which were likely to influence them. Specifically, this study is examined from the perspective of WOM recipient's in on-line settings. For the purpose of this research, online survey was used and a total 203 online questionnaires of respondents who had experienced restaurant reviews and recommendations via internet last 6 month were analyzed. Overall, the results indicated that in aspects of WOM recipients, the impacts of WOM were 'visit intention', 're-WOM intention' and 'source credibility' affected 'WOM acceptance' in this process. Additionally, 'online homophily' and 'message vividness' had a positive effects(p<0.001) on builiding source credibility. By clarifying the process between on-line WOM of restaurant consumers and their actual visit, this study intend to provide basis which can be used for restaurant industry's effective marketing activity.

A study on online word-of-mouth effect through blog reviews on fashion products - Based on the theory of planned behavior - (패션제품 블로그 리뷰를 통한 온라인 구전효과에 대한 연구 - 계획된 행동이론을 중심으로 -)

  • Kwon, Su Kyung;Kim, Sun-Hee
    • The Research Journal of the Costume Culture
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    • v.21 no.4
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    • pp.478-493
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    • 2013
  • The purpose of this study is to examine the online WOM effect of blog review depending on brand awareness and message direction. The theory of planned behavior was applied to understand online WOM acceptance. A survey was conducted targeting female in 20s and 30s and 312 questionnaires were used for analysis. Frequency analysis, reliability analysis, t-test, and regression analysis were conducted using SPSS ver. 18.0. The results are as follows. First, purchase intention and online re-WOM intention are higher when brand awareness is higher. Second, subjective norm, perceived behavioral control, WOM acceptance intention, purchase intention and off-line re-WOM intention show higher values when negative information is afforded. Third, in type 1 (high brand awareness/positive message) and type 3 (low brand awareness/positive message), attitude, subjective norm and perceived behavioral control have a positive effect on WOM acceptance intention. In type 2 (high brand awareness/negative message), subjective norm and attitude have a positive effect on WOM acceptance intention. In type 4 (low brand awareness/negative message), subjective norm and perceived behavioral control have a positive effect on WOM acceptance intention. Forth, in type 1 and type 3, WOM acceptance intention has a positive effect on purchase intention, offline re-WOM intention and online re-WOM intention. In type 2 and type 4, WOM acceptance intention has a negative effect on purchase intention, and a positive effect on offline re-WOM intention. The results show that blog review has ripple effect on consumer behavior by affecting purchase intention and offline re-WOM intention.

A study on online WOM search behavior based on shopping orientation (의복쇼핑성향에 따른 온라인 구전 정보탐색행동에 관한 연구)

  • Lee, Angie;Rhee, YoungJu
    • Journal of the Korea Fashion and Costume Design Association
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    • v.20 no.4
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    • pp.57-71
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    • 2018
  • Since consumers have become more comfortable with providing and receiving information online, 'online word of mouth' has been gaining consideration as one of the major information sources. Also, the shopping orientation of consumers has been proven to be an important determinant of consumer behavior. Therefore, the study investigated the differences in online WOM behavior based on shopping orientation. Hedonic, loyal, and syntonic styles were the types of shopping orientation considered, and the study focused on information retrieval tendencies, the motivation of online WOM search, searching online WOM sources, and the contents for the online WOM behavior. The research conducted an off-line survey targeting females in their twenties. The total number of data sets used in the empirical study was 125, and these were analyzed by SPSS 20.0: factors analysis, Cronbach's ${\alpha}$, k-means cluster, ANOVA, Duncan's multiple range test, Kruskal-Wallis, Mann-Whitney, and Bonferroni correction. The participants were divided into 3 kinds of shopping orientation groups named 'trend-pursuit', 'passive', and 'loyal'. As a result, there were significant differences in online WOM behavior discovered between the groups. Firstly, the 'trend-pursuit' group had the highest number of ongoing searches while the 'loyal' group had the highest number of pre-purchase search. Secondly, the 'trend-pursuit' and 'loyal' groups both had the motivations of online WOM search, hedonic and utility, whereas the 'passive' group had the lowest motivations for both motivations. Thirdly, the 'loyal' group frequently referred to reviews on shopping malls as online WOM sources. The research provided a better understanding of the online WOM behavior of present consumers and suggests that fashion related corporations map out marketing strategies with the understanding of these behaviors.

Consumer Type and Characteristics According to Word-of-Mouth Behavior (구전행동에 따른 소비자 유형과 특성)

  • Seo, Hyun-Jin;Lee, Kyu-Hye
    • Journal of the Korean Society of Clothing and Textiles
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    • v.37 no.1
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    • pp.27-38
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    • 2013
  • Word-of-mouth (WOM) communication (traditionally important in consumption) is expanding its influence into cyber space and is playing an important role in online shopping. Consumers who use online shopping might not readily make purchasing decisions due to information overload, lack of accurate product recognition, and the distrust of commercial information. Subsequently, people use WOM communication for a mutual interchange with others who share common concerns, interests, and purposes. This study examines the consumer characteristics, perceived risk on online shopping and benefits of online shopping according to WOM behavior that may significantly affect consumer actions. Factor analysis, t-test, one-way ANOVA, cluster analysis, and Chi-square analysis were used for statistical analysis to identify the differences in consumer characteristics. Online WOM behavior consumers purchased more various items than offline WOM behavior consumers; however, the most influential purchasing factor was price regardless of WOM behavior. Offline WOM behavior consumers have shown higher perceived online shopping risks and benefits.

Movie Choice under Joint Decision: Reassessment of Online WOM Effect

  • Kim, Youngju;Kim, Jaehwan
    • Asia Marketing Journal
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    • v.15 no.1
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    • pp.155-168
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    • 2013
  • This study describes consumers' movie choices in conjunction with other group members and attempts to reassess the effect of the online word of mouth (WOM) source in a joint decision context. The tendency of many people to go to movies in groups has been mentioned in previous literature but there is no modeling research that studies movie choice from the group decision perspective. We found that ignoring the group movie-going perspective can result in a misunderstanding, especially underestimation of genre preference and the impact of the WOM variables. Most of the studies to measure online WOM effects were done at the aggregate level, and the role of online WOM variables(volume vs valence) is mixed in the literature. We postulate that group-level analysis might offer insight to resolve these mixed understanding of WOM effects in the literature. We implemented the study via a random effect model with group-level heterogeneity. Romance, drama, and action were selected as genre variables; valence and volume were selected as online WOM variables. A choice-based conjoint survey was used for data collection and the models was estimated via Bayesian MCMC method. The empirical results show that (i) both genre and online WOM are important variables when consumers choose movies, especially as group, and (ii) the WOM valence effect are amplified more than the volume effect does as individuals are engaged in group decision. This research contributes to the literature in several ways. First, we investigate movie choice from a group movie-going perspective that is more realistic and consistent with the market behavior. Secondly, the study sheds new light on the WOM effect. At group-level, both valence and volume significantly affect movie choices, which adds to the understanding of the role of online WOM in consumers' movie choice.

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A Study on Fashion Brand Online Impression Formation and its WOM Effect According to Online Review Types of Supporters (서포터즈의 온라인 리뷰 유형에 따른 패션 브랜드의 온라인 인상형성과 구전효과에 대한 연구)

  • Chae, Heeju;Park, Suhyun;Ko, Eunju
    • Fashion & Textile Research Journal
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    • v.18 no.1
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    • pp.15-26
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    • 2016
  • Many brands are attempting to use consumers as a part of their marketing strategies, due to the fashion industry's sensitive response to consumers' reaction. In addition, due to the popularity of e-WOM(electronic Word-Of-Mouth), fashion brands are highly sensitive to their supporters' online reviews. Amid this background, the main objectives of this study are as follows: 1) to analyze the effect of online reviews' attributes and valences on forming an impression about a fashion brand; 2) to examine the online re-WOM(word-of-mouth) effect of online reviews by fashion brand supporters on brand attitude; and 3) to measure the moderating effect of fashion involvement in online re-WOM intention. In order to verify the research model and to test the proposed hypotheses, a 2 (utilitarian vs. hedonic review attributes) by 2 (positive vs. negative review valences) model is constructed and gathers 215 respondents. The results demonstrate that consumers form the highest reliable impression based on utilitarian and negative online reviews. However, there is no relationship between the types of online reviews and the formation of a favorable impression. Findings also reveal that the impression formed by online reviews has a positive effect on re-WOM intention, contributing to brand attitude. In addition, the hypothesis about the moderating effect produced by fashion involvement on re-WOM is supported. In conclusion, these results suggest that online reviews by fashion brand supporters have a powerful effect on forming a consumer's impression towards a fashion brand, affecting re-WOM intention and brand attitude.