Research Article
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INTERACTIONS BETWEEN BRAND CONCEPT MARKETING AND PURCHASE INTENTION VIA WORD-OF-MOUTH: A CASE STUDY OF LUXURY BRANDED GOODS

Year 2019, Volume: 6 Issue: 3, 146 - 161, 30.09.2019
https://doi.org/10.17261/Pressacademia.2019.1128

Abstract

Purpose- The main purpose of this study is to investigate the interactions and interrelationships between brand concept marketing and purchase intention through word-of-mouth (WOM) for luxury branded goods.

Methodology- The research process is as follows. First, the literature review is conducted in the headings of brand concept marketing, WOM and purchase intention. Then, the interview questionnaire, participant information and findings of the questionnaire were presented in the study. Finally, the empirical results and suggestions of customers, firms and marketers are discussed in the last part of the study.

Findings- The empirical results show that WOM is an important intermediary between brand concept marketing and purchase intention. The effectiveness of brand concept marketing can be used as an advertising medium. Specifically, it has been found that the factors of brand concept marketing have a positive impact on the elements of WOM and purchase intention.

Conclusion- The main conclusion indicate that firms/marketers need to more actively engage in doing and applying WOM to influence on customers' purchase intention.

References

  • Allman, H. F., Fenik, A. P., Hewett, K. and Morgan, F. N. (2016). Brand image evaluations: The interactive roles of country of manufacture, brand concept, and vertical line extension type. Journal of International Marketing, 24(2), 40-61.
  • Amatulli, C. and Guido, G. (2011). Determinants of purchasing intention for fashion luxury goods in the Italian market: A laddering approach. Journal of Fashion Marketing and Management: An International Journal, 15(1), 123-136.
  • Anderson, E. W. (1998). Customer satisfaction and word of mouth. Journal of Service, 1(1), 5–17.
  • Anderson, E. W. and Sullivan, M. W. (1993). The antecedents and consequences of customer satisfaction for firms. Marketing Science, 12(2), 125-143.
  • Arndt, J. (1967), Word of Mouth Advertising: A Review of the Literature, New York: Advertising Research Foundation.
  • Bagozzi, R. P. and Burnkrant, R. E. (1979). Attitude organization and the attitude-behavior relationship. Journal of personality and social psychology, 37(6), 913.
  • Baker, A. M., Donthu, N. and Kumar, V. (2016). Investigating how word-of-mouth conversations about brands influence purchase and retransmission intentions. Journal of Marketing Research, 53(2), 225-239.
  • Bansal, H. S. and Voyer, P. A. (2000). Word-of-mouth processes within a services purchase decision context. Journal of Service Research, 3(2), 166-177.
  • Bastos, W. and Levy, S. J. (2012). A history of the concept of branding: practice and theory. Journal of Historical Research in Marketing, 4(3), 347-368.
  • Bolton, R. N. (1998). A dynamic model of the duration of the customer's relationship with a continuous service provider: The role of satisfaction. Marketing Science, 17(1), 45-65.
  • Bourne, P. A. (2016). Customer satisfaction of policing the Jamaican society: using SERVQUAL to evaluate customer satisfaction. Journal of Healthcare Communications, 1(3), 2472-1654.
  • Chen, Y. S., Huang, A. F., Wang, T. Y. and Chen, Y. R. (2018). Greenwash and green purchase behaviour: the mediation of green brand image and green brand loyalty. Total Quality Management and Business Excellence, 29(1), 1-16.
  • Cheung, C. M. and Thadani, D. R. (2012). The impact of electronic word-of-mouth communication: A literature analysis and integrative model. Decision support systems, 54(1), 461-470.
  • Chevalier, J. A. and Mayzlin, D. (2006). The effect of word of mouth on sales: Online book reviews. Journal of Marketing Research, 43(3), pp.345-354.
  • Chu, S. C. and Kim, J. (2018). The current state of knowledge on electronic word-of-mouth in advertising research. International Journal of Advertising, 37(1), 1-13.
  • Chun, W., Choi, B. and Song, M. R. (2005). The role of on-line retailer brand and infomediary reputation in increasing consumer purchase intention. International Journal of Electronic Commerce, 9(3), pp.115-127.
  • Comrey, A.L. and Lee, H. B. (1973), A First Course in Factor Analysis, New York, NY: Psychology Press.
  • Cronbach, L. J. and Warrington, W. G. (1951). Time-limit tests: estimating their reliability and degree of speeding. Psychometrika, 16(2), 167-188.
  • DiPietro, R. B. and Peterson, R. (2017). Exploring cruise experiences, satisfaction, and loyalty: the case of Aruba as a small-island tourism economy. International Journal of Hospitality and Tourism Administration, 18(1), 41-60.
  • Ehrenberg, A. S., Uncles, M. D. and Goodhardt, G. J. (2004). Understanding brand performance measures: using Dirichlet benchmarks. Journal of Business Research, 57(12), 1307-1325.
  • Filieri, R. (2015). What makes online reviews helpful? A diagnosticity-adoption framework to explain informational and normative influences in e-WOM. Journal of Business Research, 68(6), 1261-1270.
  • Fishbein, M., and Ajzen, I. (1975). Belief, attitude, intention, and behaviour. Reading, MA Addison-Wesley.
  • Godes, D. and Mayzlin, D. (2004). Using online conversations to study word-of-mouth communication. Marketing Science, 23(4), 545-560.
  • Han, Y. J., Nunes, J. C. and Drèze, X. (2010). Signaling status with luxury goods: The role of brand prominence. Journal of Marketing, 74(4), 15-30.
  • Hung, K. P., Huiling Chen, A., Peng, N., Hackley, C., Amy Tiwsakul, R. and Chou, C. L. (2011). Antecedents of luxury brand purchase intention. Journal of Product and Brand Management, 20(6), 457-467.
  • Keller, K. L., Parameswaran, M. G. and Jacob, I. (2011). Strategic brand management: Building, measuring, and managing brand equity. Pearson Education India.
  • Kim, A. J. and Ko, E. (2010). Impacts of luxury fashion brand’s social media marketing on customer relationship and purchase intention. Journal of Global Fashion Marketing, 1(3), 164-171.
  • Kotler, P. (1994), Marketing management: Analysis, planning, implementation and control, Prentice-Hall, New Jersey.
  • Laczniak, R. N., DeCarlo, T. E. and Ramaswami, S. N. (2001). Consumers’ responses to negative word-of-mouth communication: An attribution theory perspective. Journal of Consumer Psychology, 11(1), 57-73
  • Liang, L. J., Choi, H. C. and Joppe, M. (2018). Understanding repurchase intention of Airbnb consumers: perceived authenticity, electronic word-of-mouth, and price sensitivity. Journal of Travel and Tourism Marketing, 35(1), 73-89.
  • Liu, X., Burns, A. C. and Hou, Y. (2013). Comparing online and in-store shopping behavior towards luxury goods. International Journal of Retail and Distribution Management, 41(11), 885-900.
  • Matsuoka, K., Hallak, R., Murayama, T. and Akiike, A. (2017). Examining the effects of perceived quality, value, satisfaction, and destination loyalty in Shiogama, Japan. Tourism Review International, 21(1), 3-16.
  • Mandel, N., Petrova, P. K. and Cialdini, R. B. (2006). Images of success and the preference for luxury brands,” Journal of Consumer Psychology, 16(1), 57-69.
  • Müller, B., Florès, L., Agrebi, M. and Chandon, J. L. (2008). Do newsletters and consumer magazines have a moderating role? Journal of Advertising Research, 48(3), 465-472.
  • Nunnally, J. (1978). Psychometric methods. New York, NY: McGraw Hill.
  • Oliver, R. L. (1981). What is customer satisfaction? Wharton Magazine, 5(2), 36-41.
  • Pawar, P. (2015). Assessment of brand image and brand attachment amongst cell phone users. Journal of International Management Studies, 15(3), 7-12.
  • Park, C. W., Jaworski, B. J. and Maclnnis, D. J. (1986). Strategic brand concept-image management,” Journal of Marketing, 50(October), 135-145.
  • Pérez, A. and Rodriguez del Bosque, I. (2015). Corporate social responsibility and customer loyalty: exploring the role of identification, satisfaction and type of company. Journal of Services Marketing, 29(1), 15-25.
  • Rahayu, S. (2018). Customer satisfaction and service quality to develop trust and positive word of mouth in vocational education. KnE Social Sciences, 3(11), 356-371.
  • Reza Jalilvand, M. and Samiei, N. (2012). The effect of electronic word of mouth on brand image and purchase intention: An empirical study in the automobile industry in Iran. Marketing Intelligence and Planning, 30(4), 460-476.
  • Saqif, Z. and Razi, S. (2018). Brand placements in films and television: An effective marketing communication strategy to influence customers. International Journal of Management Excellence, 10(3), 1423-1433.
  • Smith, T., Coyle, J. R., Lightfoot, E. and Scott, A. (2007). Reconsidering models of influence the relationship between consumer social networks and word-of-mouth effectiveness. Journal of Advertising Research, 47(4), 387-397.
  • Sondoh Jr, S. L., Omar, M. W., Wahid, N. A., Ismail, I. and Harun, A. (2007). The effect of brand image on overall satisfaction and loyalty intention in the context of colour cosmetic. Asian Academy of Management Journal, 12(1), 83-107.
  • Spears, N. and Singh, S. N. (2004). Measuring attitude toward the brand and purchase intentions,” Journal of Current Issues and Research in Advertising, 26 (2), 53-66.
  • Sundaram, D. S., Mitra, K. and Webster, C. (1998). Word-of-Mouth communications: A motivational analysis," in Advances in Consumer Research, Joseph W. Alba and J. Wesley Hutchinson (eds.), 25, pp.527-531.
  • Tellis, G.J. (1988). Advertising exposure, loyalty, and brand purchase: A two-stage model of choice.” Journal of Marketing Research, 25(2), pp. 134-144.
  • Tien, D. H., Rivas, A. A. A. and Liao, Y. K. (2018). Examining the influence of customer-to-customer electronic word-of-mouth on purchase intention in social networking sites. Asia Pacific Management Review, 23(1),1-12.
  • Wolny, J. and Mueller, C. (2013). Analysis of fashion consumers’ motives to engage in electronic word-of-mouth communication through social media platforms. Journal of marketing management, 29(5-6), 562-583.
  • Xiaobo, P. (2014). The path of influence of e-WOM on consumer purchase intention-based on electronic commerce in China. Journal of Chemical and Pharmaceutical Research, 6(6), 976-983.
  • Zaltman, G. and Burger, P. (1975). Marketing research: Fundamentals and dynamics. Hinsdale, Illinois: The Dryden Press.
  • Zhang, M., Hu, M., Guo, L. and Liu, W. (2017). Understanding relationships among customer experience, engagement, and word-of-mouth intention on online brand communities: The perspective of service ecosystem. Internet Research, 27(4), 839-857.
Year 2019, Volume: 6 Issue: 3, 146 - 161, 30.09.2019
https://doi.org/10.17261/Pressacademia.2019.1128

Abstract

References

  • Allman, H. F., Fenik, A. P., Hewett, K. and Morgan, F. N. (2016). Brand image evaluations: The interactive roles of country of manufacture, brand concept, and vertical line extension type. Journal of International Marketing, 24(2), 40-61.
  • Amatulli, C. and Guido, G. (2011). Determinants of purchasing intention for fashion luxury goods in the Italian market: A laddering approach. Journal of Fashion Marketing and Management: An International Journal, 15(1), 123-136.
  • Anderson, E. W. (1998). Customer satisfaction and word of mouth. Journal of Service, 1(1), 5–17.
  • Anderson, E. W. and Sullivan, M. W. (1993). The antecedents and consequences of customer satisfaction for firms. Marketing Science, 12(2), 125-143.
  • Arndt, J. (1967), Word of Mouth Advertising: A Review of the Literature, New York: Advertising Research Foundation.
  • Bagozzi, R. P. and Burnkrant, R. E. (1979). Attitude organization and the attitude-behavior relationship. Journal of personality and social psychology, 37(6), 913.
  • Baker, A. M., Donthu, N. and Kumar, V. (2016). Investigating how word-of-mouth conversations about brands influence purchase and retransmission intentions. Journal of Marketing Research, 53(2), 225-239.
  • Bansal, H. S. and Voyer, P. A. (2000). Word-of-mouth processes within a services purchase decision context. Journal of Service Research, 3(2), 166-177.
  • Bastos, W. and Levy, S. J. (2012). A history of the concept of branding: practice and theory. Journal of Historical Research in Marketing, 4(3), 347-368.
  • Bolton, R. N. (1998). A dynamic model of the duration of the customer's relationship with a continuous service provider: The role of satisfaction. Marketing Science, 17(1), 45-65.
  • Bourne, P. A. (2016). Customer satisfaction of policing the Jamaican society: using SERVQUAL to evaluate customer satisfaction. Journal of Healthcare Communications, 1(3), 2472-1654.
  • Chen, Y. S., Huang, A. F., Wang, T. Y. and Chen, Y. R. (2018). Greenwash and green purchase behaviour: the mediation of green brand image and green brand loyalty. Total Quality Management and Business Excellence, 29(1), 1-16.
  • Cheung, C. M. and Thadani, D. R. (2012). The impact of electronic word-of-mouth communication: A literature analysis and integrative model. Decision support systems, 54(1), 461-470.
  • Chevalier, J. A. and Mayzlin, D. (2006). The effect of word of mouth on sales: Online book reviews. Journal of Marketing Research, 43(3), pp.345-354.
  • Chu, S. C. and Kim, J. (2018). The current state of knowledge on electronic word-of-mouth in advertising research. International Journal of Advertising, 37(1), 1-13.
  • Chun, W., Choi, B. and Song, M. R. (2005). The role of on-line retailer brand and infomediary reputation in increasing consumer purchase intention. International Journal of Electronic Commerce, 9(3), pp.115-127.
  • Comrey, A.L. and Lee, H. B. (1973), A First Course in Factor Analysis, New York, NY: Psychology Press.
  • Cronbach, L. J. and Warrington, W. G. (1951). Time-limit tests: estimating their reliability and degree of speeding. Psychometrika, 16(2), 167-188.
  • DiPietro, R. B. and Peterson, R. (2017). Exploring cruise experiences, satisfaction, and loyalty: the case of Aruba as a small-island tourism economy. International Journal of Hospitality and Tourism Administration, 18(1), 41-60.
  • Ehrenberg, A. S., Uncles, M. D. and Goodhardt, G. J. (2004). Understanding brand performance measures: using Dirichlet benchmarks. Journal of Business Research, 57(12), 1307-1325.
  • Filieri, R. (2015). What makes online reviews helpful? A diagnosticity-adoption framework to explain informational and normative influences in e-WOM. Journal of Business Research, 68(6), 1261-1270.
  • Fishbein, M., and Ajzen, I. (1975). Belief, attitude, intention, and behaviour. Reading, MA Addison-Wesley.
  • Godes, D. and Mayzlin, D. (2004). Using online conversations to study word-of-mouth communication. Marketing Science, 23(4), 545-560.
  • Han, Y. J., Nunes, J. C. and Drèze, X. (2010). Signaling status with luxury goods: The role of brand prominence. Journal of Marketing, 74(4), 15-30.
  • Hung, K. P., Huiling Chen, A., Peng, N., Hackley, C., Amy Tiwsakul, R. and Chou, C. L. (2011). Antecedents of luxury brand purchase intention. Journal of Product and Brand Management, 20(6), 457-467.
  • Keller, K. L., Parameswaran, M. G. and Jacob, I. (2011). Strategic brand management: Building, measuring, and managing brand equity. Pearson Education India.
  • Kim, A. J. and Ko, E. (2010). Impacts of luxury fashion brand’s social media marketing on customer relationship and purchase intention. Journal of Global Fashion Marketing, 1(3), 164-171.
  • Kotler, P. (1994), Marketing management: Analysis, planning, implementation and control, Prentice-Hall, New Jersey.
  • Laczniak, R. N., DeCarlo, T. E. and Ramaswami, S. N. (2001). Consumers’ responses to negative word-of-mouth communication: An attribution theory perspective. Journal of Consumer Psychology, 11(1), 57-73
  • Liang, L. J., Choi, H. C. and Joppe, M. (2018). Understanding repurchase intention of Airbnb consumers: perceived authenticity, electronic word-of-mouth, and price sensitivity. Journal of Travel and Tourism Marketing, 35(1), 73-89.
  • Liu, X., Burns, A. C. and Hou, Y. (2013). Comparing online and in-store shopping behavior towards luxury goods. International Journal of Retail and Distribution Management, 41(11), 885-900.
  • Matsuoka, K., Hallak, R., Murayama, T. and Akiike, A. (2017). Examining the effects of perceived quality, value, satisfaction, and destination loyalty in Shiogama, Japan. Tourism Review International, 21(1), 3-16.
  • Mandel, N., Petrova, P. K. and Cialdini, R. B. (2006). Images of success and the preference for luxury brands,” Journal of Consumer Psychology, 16(1), 57-69.
  • Müller, B., Florès, L., Agrebi, M. and Chandon, J. L. (2008). Do newsletters and consumer magazines have a moderating role? Journal of Advertising Research, 48(3), 465-472.
  • Nunnally, J. (1978). Psychometric methods. New York, NY: McGraw Hill.
  • Oliver, R. L. (1981). What is customer satisfaction? Wharton Magazine, 5(2), 36-41.
  • Pawar, P. (2015). Assessment of brand image and brand attachment amongst cell phone users. Journal of International Management Studies, 15(3), 7-12.
  • Park, C. W., Jaworski, B. J. and Maclnnis, D. J. (1986). Strategic brand concept-image management,” Journal of Marketing, 50(October), 135-145.
  • Pérez, A. and Rodriguez del Bosque, I. (2015). Corporate social responsibility and customer loyalty: exploring the role of identification, satisfaction and type of company. Journal of Services Marketing, 29(1), 15-25.
  • Rahayu, S. (2018). Customer satisfaction and service quality to develop trust and positive word of mouth in vocational education. KnE Social Sciences, 3(11), 356-371.
  • Reza Jalilvand, M. and Samiei, N. (2012). The effect of electronic word of mouth on brand image and purchase intention: An empirical study in the automobile industry in Iran. Marketing Intelligence and Planning, 30(4), 460-476.
  • Saqif, Z. and Razi, S. (2018). Brand placements in films and television: An effective marketing communication strategy to influence customers. International Journal of Management Excellence, 10(3), 1423-1433.
  • Smith, T., Coyle, J. R., Lightfoot, E. and Scott, A. (2007). Reconsidering models of influence the relationship between consumer social networks and word-of-mouth effectiveness. Journal of Advertising Research, 47(4), 387-397.
  • Sondoh Jr, S. L., Omar, M. W., Wahid, N. A., Ismail, I. and Harun, A. (2007). The effect of brand image on overall satisfaction and loyalty intention in the context of colour cosmetic. Asian Academy of Management Journal, 12(1), 83-107.
  • Spears, N. and Singh, S. N. (2004). Measuring attitude toward the brand and purchase intentions,” Journal of Current Issues and Research in Advertising, 26 (2), 53-66.
  • Sundaram, D. S., Mitra, K. and Webster, C. (1998). Word-of-Mouth communications: A motivational analysis," in Advances in Consumer Research, Joseph W. Alba and J. Wesley Hutchinson (eds.), 25, pp.527-531.
  • Tellis, G.J. (1988). Advertising exposure, loyalty, and brand purchase: A two-stage model of choice.” Journal of Marketing Research, 25(2), pp. 134-144.
  • Tien, D. H., Rivas, A. A. A. and Liao, Y. K. (2018). Examining the influence of customer-to-customer electronic word-of-mouth on purchase intention in social networking sites. Asia Pacific Management Review, 23(1),1-12.
  • Wolny, J. and Mueller, C. (2013). Analysis of fashion consumers’ motives to engage in electronic word-of-mouth communication through social media platforms. Journal of marketing management, 29(5-6), 562-583.
  • Xiaobo, P. (2014). The path of influence of e-WOM on consumer purchase intention-based on electronic commerce in China. Journal of Chemical and Pharmaceutical Research, 6(6), 976-983.
  • Zaltman, G. and Burger, P. (1975). Marketing research: Fundamentals and dynamics. Hinsdale, Illinois: The Dryden Press.
  • Zhang, M., Hu, M., Guo, L. and Liu, W. (2017). Understanding relationships among customer experience, engagement, and word-of-mouth intention on online brand communities: The perspective of service ecosystem. Internet Research, 27(4), 839-857.
There are 52 citations in total.

Details

Primary Language English
Subjects Business Administration
Journal Section Articles
Authors

Hsiang-hsi Liu This is me 0000-0001-5363-7505

Chia-mei Lo This is me

Publication Date September 30, 2019
Published in Issue Year 2019 Volume: 6 Issue: 3

Cite

APA Liu, H.-h., & Lo, C.-m. (2019). INTERACTIONS BETWEEN BRAND CONCEPT MARKETING AND PURCHASE INTENTION VIA WORD-OF-MOUTH: A CASE STUDY OF LUXURY BRANDED GOODS. Journal of Management Marketing and Logistics, 6(3), 146-161. https://doi.org/10.17261/Pressacademia.2019.1128

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