The influence of electronic word-of-mouth communication on online consumer buying behaviour in South Africa

Abstract

The growth of active users on online interactive media (OIM) platforms has led to the spread of information faster and broader and this has had a great impact on marketers. Consumer behaviour towards Electronic Word of Mouth (e-WOM) is complex, and not all user-generated content posted online will have the same effect on consumers. A consensus on what makes certain online reviews more influential than others and how they influence consumer behaviour is yet to emerge. The lack of knowledge hinders marketers efforts in designing effective marketing strategies for online retailers. The study was quantitative in nature. Self-administered questionnaires were used to collect primary data. The study targeted Generation Z and millennials, and the sample was drawn from students and staff members at the Durban University of Technology (DUT). The analysis was done using the latest version of the Statistical Package for Social Sciences (SPSS). Relevant ethical implications with regard to this study were considered. The structural equation model (SEM) results indicated that valence is the most influential factor of e-WOM during consumer buying decision. Further, there is a significant relationship between e-WOM and consumer buying behaviour. The study recommends that marketers come up with strategic ways to boost the chances of their brands generating positive e-WOM and take advantage of the influence of any good reviews and testimonials they receive. The need to pay close attention to negative e-WOM, keep an eye on unfavourable evaluations on some of the most popular e-WOM communication platforms and use negative feedback to improve product and service quality. Based on the findings this study proposed a framework for an e-WOM strategy towards influencing online consumer buying behaviour. The framework highlights the best approaches to influence consumer behaviour through e-WOM valence and the implementation thereof. Future studies could use a more qualitative approach to build on the existing study and so gain a deeper understanding of Generation Z and millennials consumers' perceptions of e-WOM and consumer buying behaviour.