SNS Media Properties and Consumer Preference Effect on User Satisfaction and e-wom

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1 , pp SNS Media Properties and Consumer Preference Effect on User Satisfaction and e-wom Jeong Suk Noh 1, Gantumur Khongorzul 2, Hyong Yu Jang 3 1 Dept. of Business Administration, Gyeongsang National University, First Author: Calfs2002@hanmail.net 2 Dept. of Business Administration, Gyeongsang National University, Co Author: mishkaa@nate.com, 3 Dept. of Business Administration, Gyeongsang National University, Corresponding Author: jmgt21@gnu.ac.kr Abstract. This study is conducted for Instagram users to investigate the effect of SNS media properties and consumer preference on user satisfaction, to identify the extent of impact on e-wom, as well as to figure out how user satisfaction influences on e-wom. The empirical results indicated that the promotion efficiency of SNS and user satisfaction were identified as important influence factors that derive the sustainable e-wom. Thus this study proposes strategically developmental plans to the utilization of promotions through SNS for SNS companies. Keywords: SNS Media Properties, Consumer Preference, User Satisfaction, e- WOM 1 Introduction With development of information technology society goes into the Ubiquitous Society where people can get connected online anywhere and anytime. In this point, SNS media has been used in various companies for marketing strategy and customer analysis; social media marketing, target marketing etc. Accordingly, this study aims to investigate how SNS media properties and consumer preference influence user satisfaction and e-wom. This empirical study shows that SNS media properties and consumer preference effect positively on customers satisfaction and e-wom, which leads customers loyalty. Thus the study is expected to propose critical marketing plans for the companies profitability through examining suitable SNS media properties and consumer preference. ISSN: ASTL Copyright 2015 SERSC

2 2 Literature Review SNS service is highly promoted under great prosperity with its representative services; Tumblr, Pinterest, and Instagram etc. [2, 3]. 2.1 SNS Media Properties: Interactivity, Playfulness, Reliability As website users use its function more, it would lead more favorable assessment of the website [3]. Thus, as the users use interactive function more, it leads higher user satisfaction and continuous use intention. Nysveen and Thorbjornsen [5] examined that playfulness had a significant impact on e-loyalty. The study implied that perceived usefulness and playfulness had a significant influence on customers attitude, use intention and user satisfaction on mobile service use. In the study of Sultan et al.,[6] showed that the reliability had a strong influence on purchase and loyalty. And it also showed that the reliable agents in the social network had a positive effect on the customers purchase decision process by e-wom. H1: Interactivity will have a positive effect on user satisfaction. H2 : Playfulness will have a positive effect on user satisfaction. H3 : Reliability will have a positive effect on user satisfaction. 2.2 Consumer Preference: Social Presence, Private Innovation, Self-Efficacy Participation in SNS with high social presence prevents the participants from feeling alienation by having high cohesion with users, and its reliability will lead high user satisfaction [7]. And users with high private innovation tend to have positive user satisfaction and strong intention on accepting new information technology [8]. Bandura [9] indicated that personal skills and abilities tend to be shown differently on the dependence of self-efficacy in different environmental situation and change. Thus, to improve efficiency and performance level, motivation would be an important factor for the members to have high self-efficacy. H4 : Social presence will have a positive effect on user satisfaction. H5 : Private innovation will have a positive effect on user satisfaction. H6 : Self-efficacy will have a positive effect on user satisfaction. 2.3 User Satisfaction and e-wom User satisfaction has a direct effect on e-wom and acts as a factor that invigorates network interaction by having favorable relationship and diminishing conflicts among users [10]. H7: User satisfaction will have a positive effect on continuous use intention of SNS. 78 Copyright 2015 SERSC

3 3 Methodology SNS media Properties Interactivity Playfulness Reliability Consumer preference Social presence Private innovation Self-efficacy User satisfaction e-wom Fig. 1. The research model The research has 8 constructs, each having multiple items that are measured using a seven-point Likert-type scale (1 = strongly disagree and 7 = strongly agree). Convenience sampling drew a sample of 258 students in Korea who have experienced SNS media. For data collection purpose, a survey technique was used in Gyeongnam province from 1 August 2015 to 10 August 2015 and of the 266 questionnaires, 8 questionnaires were eliminated due to missing data, resulting in a final sample of 258 students. Examination of demographic characteristics Total number of respondents is 258, with 82(31.8%) of male respondents and 176(68.2%) of female respondents. Table 1. Confirmatory Factor Analysis Variables Items Std.R S.E. t-value α C.R AVE H Interactivity H H H FF Playfulness FF FF C Reliability C C C EE Social Presence EE EE EE D Private innovation D D Self-efficacy G Copyright 2015 SERSC 79

4 G G CS User satisfaction CS CS CS OM e-wom OM OM Model Fit Indices: χ 2 (66)=87.010, p=0.043, CMIN/DF=1.318, RMR=0.068, GFI=0.924, AGFI=0.879, NFI=0.904, TLI=0.964, CFI=0.974, RMSEA=0.046 Table 2. Correlation Matrix with the Square Root of AVE in the Diagonal Interactivity.756 Playfulness Reliability Social Presence Private innovation Self-efficacy User satisfaction e-wom Analysis and Hypothesis Testing Table 3. Results of hypothesis testing Hypotheses Tests Std. R S.E. t-value р-value Result H1: Interactivity User satisfaction *** Accepted H2: Playfulness User satisfaction Accepted H3: Reliability User satisfaction *** Rejected H4: Social presence User satisfaction *** Accepted H5 Private innovation User satisfaction *** Accepted H6 Self-efficacy User satisfaction *** Accepted H7 User satisfaction e-wom *** Accepted Model Fit Indices: χ 2 (68)=90.085, p=0.038, CMIN/DF=1.325, RMR=0.080, GFI=0.923, AGFI=0.881, NFI=0.900, TLI=0.964, CFI=0.973, RMSEA= Copyright 2015 SERSC

5 5 Conclusions With development of web2.0, customers could easily be connected online platform, communicating with other customers and exchanging information on products and services. On the basis of precedent studies, this study conducted with the variable factors of interactivity, playfulness, reliability, social presence, private innovation, and self-efficacy on the basis of precedent studies, which identified relationship between user satisfaction and e-wom. The empirical results showed as below. Firstly, the study showed that the sub factors of SNS media properties, interactivity and playfulness, had a positive effect on user satisfaction, and reliability had a negative effect on user satisfaction. Secondly, the sub factors of consumer preference, social presence, private innovation, and self-efficacy, positively affect user satisfaction. Finally, the result also showed that user satisfaction had a positive effect on e- WOM. References 1. Ellison, N. B., Steinfield, C., Lampe, C.: The Benefits of Facebook Friends Social Capital and College Students Use of Online Social Network Sites, Journal of Computer Mediated. Communication, Vol. 12, No. 4, pp (2007) 2. Lunden, L.: Tumblr Overtakes Instagram as Fastest-Growing Social Platform, Snapchat is The Fastest-Growing App, 3. Edward. G., Mander, J.: The Case Against the Global Economy: And for a Turn Towards localization Routledge, Earthscan from Routledge, New York (2014) 4. Tsai, S. J.: Interactive Functions and User Perception of Online News Sites in Taiwan: An Exploratory Case Study of United Daily News Site, Master Dissertation, National Chiao Tung University (2000) 5. Nysveen, H., Pedersen, P. E., Thorbjørnsen, H.: Intentions to Use Mobile Services: Antecedents and Cross-Service Comparisons, Journal of the Academy Marketing Science, Vol. 33, No. 3, pp (2005) 6. Sultan, F., Urban, G. L., Shankar, V., Bart, I.: Determinants and Consequences of Trust in e-business, Working Paper, Sloan School of Management, MIT Cambridge MA, (2002) 7. Sparrowe, R. T., Liden, R. C., Wayne, S. J., Kraimer, M. L.: Social Networks and the Performance of Individuals and Groups, Academy of Management Journal, Vol. 44, No. 2, pp (2001) 8. Hoffmann, S., Soyez, K.: A Cognitive Model to Predict Domain-Specific Consumer Innovativeness, Journal of Business Research, Vol. 63, No. 7, pp (2010) 9. Bandura, A.: Self-efficacy. Encyclopedia of Human Behavior, 4, pp (1997) 10. Oliver, R. L.: Whence consumer loyalty?, the Journal of Marketing, pp (1999) Copyright 2015 SERSC 81

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