Relationship between peer endorser credibility and customers benefits and brand loyalty a study in online brand communities on fashion in vietnam

VIETNAM NATIONAL UNIVERSITY HO CHI MINH CITY HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY NGUYỄN LÊ KHÁNH DUY RELATIONSHIP BETWEEN PEER ENDORSER CREDIBILITY AND CUSTOMERS' BENEFITS AND BR

VIETNAM NATIONAL UNIVERSITY HO CHI MINH CITY

HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY

NGUYỄN LÊ KHÁNH DUY

RELATIONSHIP BETWEEN PEER ENDORSER

CREDIBILITY AND CUSTOMERS' BENEFITS AND BRAND LOYALTY: A STUDY IN ONLINE BRAND COMMUNITIES

THIS THESIS IS COMPLETED AT

HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY – VNU-HCM

Supervisor: Assoc Prof Nguyễn Mạnh Tuân

Examiner 1: PhD Lê Hoành Sử

Examiner 2: Assoc Prof Hồ Trung Thành

This master’s thesis is defended at HCM City University of Technology, VNU-HCM City on 15th June, 2023

Master’s thesis Committee:

1 Chairman: Assoc Prof Phạm Quốc Trung

2 Secretary: PhD Mai Thị Mỹ Quyên

3 Examiner 1: PhD Lê Hoành Sử

4 Examiner 2: Assoc Prof Hồ Trung Thành

5 Commissioner: Assoc.Prof Nguyễn Mạnh Tuân

Approval of the Chair of Master’s Thesis Committee and Dean of Faculty of

CHAIRMAN DEAN OF INDUSTRIAL MANAGEMENT

MASTER’S THESIS TASKS

Student’s name: Nguyễn Lê Khánh Duy Student ID: 2270046

Date of Birth: 18/01/1997 Place of Birth: Ho Chi Minh

Major: Business Administration Major Code: 8340101

I THESIS’S NAME: RELATIONSHIP BETWEEN PEER ENDORSER CREDIBILITY AND CUSTOMERS' BENEFITS AND BRAND LOYALTY: A STUDY IN ONLINE BRAND COMMUNITIES ON FASHION IN VIETNAM

II MISSIONS AND CONTENTS:

- Propose a structural model between Consumer Interest, Endorser Credibility, Impact

on Customer Engagement, and consequent customer brand loyalty

- Verify the above model in the fashion field in Vietnam Besides, the topic also provides management implications for businesses dealing in fashion products

III DATE OF ASSOCIATION: 28/11/2022

IV DATE COMPLETE MISSION: 04/05/2023

V INSTRUCTIONS: Assoc Prof Nguyễn Mạnh Tuân

INTRUCTIONS (Name and Signature)

TPHCM, 04 th May, 2023 HEAD OF DEPARTMENT (Name and Signature)

DEAN OF INDUSTRIAL MANAGEMENT

(Name and Signature)

ACKNOWLEDGEMENTS

The topic "RELATIONSHIP BETWEEN PEER ENDORSER CREDIBILITY AND CUSTOMERS' BENEFITS AND BRAND LOYALTY: A STUDY IN ONLINE BRAND COMMUNITIES ON FASHION IN VIETNAM" is the subject I chose to research and do my graduation thesis after two years of studying a master's program majoring in Business Administration at Bach Khoa University

To complete the research process and complete this thesis, first of all, I would like to express my sincere gratitude to Assoc.Prof.Dr Nguyen Manh Tuan, Faculty of

Industrial Management - University of Science and Technology He directly guided and guided me throughout the research process so that I could complete this thesis In addition, I would like to sincerely thank the teachers in the Faculty of Industrial Management for their valuable comments on the thesis

On this occasion, I would also like to thank the Faculty of Industrial Management, University of Technology, leaders and colleagues working at the University for creating conditions and time for me during the research process

And most especially, I would like to express my deep gratitude to my Family My family is a solid support to help me overcome all difficulties, a great source of

encouragement for me throughout the study process

Sincerely thank you!

ABSTRACT

The growth of social media has significantly changed the way in which brands and their customers create relationships with one another This study investigates the relationship between the credibility of peer endorsers and the involvement of customers in the product development process In addition to this, it also investigates the effect that customer identification has on the level of customer involvement (N=518) customers joined the online brand communities, and data was gathered from them According to our review, prior research on customer retention in online brand communities included

a variety of research procedures and methodologies We conducted a survey and found that community engagement is driven by consumer brand identification The findings indicate that companies need to establish strong online communities for their followers

so that they may continue to use their products and express their thoughts This will help differentiate our products in the eyes of consumers who buy competitor brands

THE COMMITMENT OF THE THESIS’ AUTHOR

I hereby declare that the content in the thesis "RELATIONSHIP BETWEEN PEER

ENDORSER CREDIBILITY AND CUSTOMERS' BENEFITS AND BRAND

LOYALTY: A STUDY IN ONLINE BRAND COMMUNITIES ON FASHION IN

VIETNAM" is the result of my personal research under the guidance of Assoc Prof

Nguyen Manh Tuan, do not copy results from other studies

Ho Chi Minh City, April 2023

Thesis’ Author Nguyễn Lê Khánh Duy

TABLE OF CONTENT

CHAPTER 1: INTRODUCTION 1

1.1 PROBLEM STATEMENT 1

1.2 RESEARCH OBJECTIVES 7

1.3 RESEARCH SCOPE 8

1.4 PRACTICAL MEANING 9

1.5 RESEARCH CONTENT 9

CHAPTER 2: LITERATURE REVIEW AND PROPOSED RESEARCH MODEL 10

2.1 THEORETICAL CONCEPTS 10

2.1.1 Online Brand Communities 10

2.1.2 Source-Credibility theory 12

2.1.3 Customer Participation 14

2.1.4 Peer-Endorser Credibility on Social Media 16

2.1.5 Consumer Brand Identification 20

2.1.6 Electronic Word-Of-Mouth (eWOM) 21

2.1.7 Brand Loyalty 23

2.2 PREVIOUS RESEARCH 25

2.2.1 Model of customer benefits and participation in product support (Nambisan and Baron 2007) 25

2.2.2 The antecedents and consequences of consumer participation (Woisetchlager 2008) 28

2.2.3 Model of community credibility and advertising effectiveness (Munnuka 2016) 30

2.2.4 Model of brand relationship performance through customer engagement and value creation in brand communities on social media (Carlson 2019) 32

2.3 PROPOSED RESEARCH MODEL: 34

2.3.1 Peer endorser credibility and consumer brand identification 34

2.3.2 Interaction-based customer benefits, customer participation and

consumer brand identification 37

2.3.3 Consumer brand identification, customer participation and eWOM 41

2.3.4 Customer participation, eWOM and brand loyalty 44

2.3.5 Electronic word-of-mouth (eWOM) and brand loyalty 46

CHAPTER 3: METHODOLOGY 47

3.1 RESEARCH PROCESS 47

3.1.1 Research Method 47

3.1.2 Research Method Process 48

3.2 MEASUREMENT SCALE 51

3.3 RESEARCH SAMPLE 54

3.3.1 Sample Size 54

3.3.2 Sampling Method 54

3.3.3 Method to approach survey audience: 54

3.4 DATA ANALYSIS METHOD: 55

3.4.1 Descriptive statistics 56

3.4.2 Cronbach’s Alpha Analysis 56

3.4.3 Exploratory factor Analysis 56

3.4.4 Confirmatory factor Analysis 58

3.4.5 Structural Model Analysis: 59

CHAPTER 4: RESEARCH FINDINGS 61

4.1 DESCRIPTIVE ANALYSIS 61

4.1.1 Formal quantitative data sampling process 61

4.1.2 Descriptive Analysis 62

4.2 CRONBACH’S ALPHA: 63

4.3 EXPLORATORY FACTOR ANALYSIS (EFA) 63

4.3.1 EFA 1st time: 63

4.3.2 EFA 2nd time: 64

4.4 CONFIRMATORY FACTOR ANALYSIS: 66

4.4.1 Convergence and composite reliability testing 68

4.4.2 Discriminant value test 71

4.5 STRUCTURAL ANALYSIS (SEM) 73

CHAPTER 5: CONCLUSION AND RECOMMENDATIONS 78

5.1 Theoretical implications 78

5.2 Managerial implications 82

5.3 Limitations and further research 85

REFERENCE 86

APPENDIX 103

CHAPTER 1: INTRODUCTION

Companies are being pushed to develop novel approaches to marketing and business as

a result of the shift toward a knowledge-based economy and the rapid expansion of information and communication technology (ICT) To speak more generally In particular, the growth of next-generation Internet technology, more popularly known as Web 3.0, the current explosion of Metaverse, and new technologies to enhance the customer experience all contribute to the fact that co-branding continues to play a significant role in the engagement of consumers In addition, because of the quick growth

of Web 2.0-based community platforms like viral marketing and buzz marketing, which are both types of marketing This is because these users view online communities as important sources of information GlobalData report saying Vietnam’s e-commerce market has doubled over the past five years, with total online spending expanding from USD 3.9 billion in 2015 to USD 9.4 billion in 2019 In this scenario, internet marketers concentrate their efforts on their Direct Brand Communities, which are the classic form

of brand communities brought into the modern era via the internet The use of social media, which has become an integral part of modern life, is radically altering the way in which customers connect with brands and businesses The fashion industry in Vietnam has witnessed remarkable growth, particularly in its developed state Research has emerged as a vital tool that drives the success of this dynamic industry, contributing to its sustainability and competitiveness in the global market The importance of research

in the fashion industry in Vietnam is multifaceted, encompassing various aspects ranging from consumer preferences, market trends, and sustainable practices to collaborations, reputation building, and economic growth

One of the key reasons why research is crucial in the fashion industry in Vietnam is to understand and cater to consumer preferences As the fashion market evolves, consumer demands and preferences change rapidly Conducting research helps fashion businesses

in Vietnam to gain insights into consumer behavior, lifestyle choices, and fashion preferences This information enables them to design and produce fashion products that align with the needs and desires of their target consumers, ultimately leading to increased sales and brand loyalty Market trends play a pivotal role in the fashion industry, and research is essential in identifying and analyzing these trends By keeping track of market trends, fashion businesses in Vietnam can anticipate changes in consumer preferences, fashion cycles, and industry dynamics This knowledge helps them make informed decisions about product development, pricing, marketing strategies, and inventory management (ChartonVachet and Lombart, 2018) Research also helps in identifying emerging markets and expanding the reach of Vietnamese fashion brands internationally Furthermore, research helps fashion businesses stay updated with the latest technological advancements, materials, and production techniques, which can enhance their competitiveness and sustainability in the fast-paced fashion industry (Alireza et al., 2011) Sustainability has become a critical focus in the global fashion industry, and research plays a pivotal role in promoting sustainable practices in Vietnam's fashion industry Research also aids in understanding consumer attitudes towards sustainable fashion, enabling businesses to create marketing strategies that resonate with environmentally-conscious consumers and contribute to building a more sustainable fashion ecosystem in Vietnam Collaborations are another key aspect where research plays a significant role in Vietnam's fashion industry These collaborations not only promote the preservation of traditional craftsmanship and cultural heritage but also create value-added products that have a distinct identity and appeal to consumers (ChartonVachet and Lombart, 2018) Research also facilitates collaborations with international brands, designers, and industry stakeholders, which can lead to knowledge exchange, exposure to new markets, and increased opportunities for growth and recognition in the global fashion arena Building a reputation is critical for the success

of any industry, and research plays a pivotal role in shaping the reputation of Vietnam's fashion industry Through research, fashion businesses can develop a deep

understanding of the local fashion ecosystem, its strengths, weaknesses, and opportunities, which can be leveraged to build a positive reputation for Vietnamese fashion brands Research helps in understanding consumer perceptions, market positioning, and competitive advantage, which can be used to create brand stories and marketing campaigns that resonate with consumers and stakeholders alike A strong reputation enhances consumer trust, brand loyalty, and industry recognition, creating a positive image of Vietnam's fashion industry on a global scale The economic impact of the fashion industry cannot be overlooked, and research contributes significantly to the economic growth of Vietnam's fashion industry Research helps in identifying export markets, understanding trade regulations, and exploring business opportunities, which can lead to increased exports and economic growth It also aids in identifying the strengths and weaknesses of the local fashion The growth of online brand communities has resulted in a significant increase in the value that can be provided to businesses This

is due to the fact that these communities make it possible for brands to get closer to the customers who use their products, which in turn increases the brands' competitiveness and purchase intent Online brand communities (OBCs) have developed to enable more users to communicate with one another and create a shared virtual environment Every fashion brand has a following of consumers who express their social identity through fashion and offer style advice through a network of fashion or brand followers (Ramaswamy and Ozcan, 2016) This is especially true in the fashion industry, which is vulnerable to consumer individualism Given the importance of social connections centered around fashion brands, social influence plays a vital role in maintaining loyalty inside OBCs According to research, many brands' digital marketing strategies include online brand communities as a key component These communities provide a space in which brands may interact with their target audiences, raise brand awareness, and increase sales Online brand communities have a beneficial impact on brand loyalty and purchase intent (Coelho, Bairrada, and Peres, 2019) Because of the sense of belonging and trust that can be fostered among consumers through the use of these communities,

consumers are more likely to remain committed to a given brand and make subsequent purchases Little fashion firms can also profit from online brand communities, which are not just for huge fashion brands Due to the intense competition in the fashion business,

it can be difficult for smaller fashion brands to establish themselves in the market OBCs have the potential to assist these brands in connecting with their target audience, developing a loyal fan base, and increasing the visibility of their brand According to the findings of a study conducted by Helal et al., 2018, OBCs provide small fashion brands with a platform that enables them to build a customer base that is loyal to their brand, boost brand recognition, and drive sales Consumer loyalty to OBCs is also significantly influenced by social influence Opinions and suggestions made by other people in the community have a significant impact on the purchasing decisions made by customers in OBCs (A Chen et al., 2013) Members of OBCs are more likely to trust the advice and opinions of their peers than they are to believe traditional advertising As a consequence

of this, the power of social influence is an important factor in the process of preserving loyalty within OBCs According to the findings of a study (Pongsakornrungsilp and Schroeder, 2015), social influence has a beneficial impact on the level of brand loyalty that is experienced by OBCs To summarize, the incorporation of an online brand community into a company's digital marketing plan has rapidly become a vital component for many brands in the fashion industry These communities offer a channel for brands to interact with their customers, raise brand awareness, and boost sales The power of social influence is an essential component in the process of preserving loyalty within these societies Establishing a loyal following, increasing brand visibility, and driving sales are all possible outcomes for brands that do a good job of utilizing the potential of online brand communities

It is especially important in Vietnam, where the domestic fashion sector is expanding at

a rapid rate, to do research on fashion brand communities in order to gain a knowledge

of the behavior of customers in relation to fashion brands There has been a significant

amount of development seen in the fashion business in Vietnam over the course of the last three years, as indicated by market research studies obtained from reliable sources Research conducted by ecommercedb indicates that the amount of money that will be transacted on the internet in the Vietnamese fashion industry will amount to $2,363.9 million by the year 2023 This represents 17.7% of the entire market for eCommerce in Vietnam It is anticipated that it will go up during the coming years It is anticipated that the compound yearly growth rate will be 12.1% over the course of the following four years (CAGR 2023-2027) According to a GlobalData survey, cash is still the most preferred payment mode, making up 35.6 percent of e-commerce purchases Alternative payment solutions are gradually gaining ground, accounting for 15.5 percent MoMo is the most preferred alternative payment in Vietnam, followed by PayPal This expansion

is being driven mostly by a rise in the average disposable income of Vietnamese consumers as well as a shift in their preferences about fashion Competition in the industry is becoming more severe as more local fashion brands develop in Vietnam Because of this, it is essential for firms to separate themselves from one another and establish strong relationships with their respective consumer bases Research on communities centered on fashion brands can offer extremely useful insights into the elements that drive the behavior of customers, such as their tastes, values, and attitudes Additionally, it can assist fashion firms in determining the impact that social influence has in molding the behavior of customers toward fashion brands Fashion companies may devise tactics to engage customers, build communities around their brands, and encourage brand loyalty if they first understand the behavior of their customers

In addition, doing research on communities centered on fashion brands can assist firms

in better comprehending the significance of customer engagement and loyalty in the Vietnamese market Social networks, peer groups, and family members all have a significant role in the purchasing decisions of Vietnamese consumers As a result, establishing robust online communities for a brand can result in improved levels of

customer participation and loyalty, which, in turn, can result in additional sales and favorable word-of-mouth referrals In conclusion, conducting research on fashion brand communities is really necessary in order to comprehend the behavior of consumers in Vietnam in relation to fashion brands Businesses are able to obtain a more in-depth understanding of their customers, develop efficient marketing strategies, and construct robust brand communities with the assistance of reputable research and dependable data sources This helps businesses cultivate the loyalty of their customers

In the research that was done on consumer behavior in relation to virtual brand communities, they also incorporated community identity as an important contextual element (Nambisan & Baron, 2007) The impacts of a regulatory focus have a tendency

to be exacerbated when individuals' promotion and prevention priorities are aligned with situational traits known as regulatory fitness (Higgins, 2000) In addition, past studies have demonstrated that community identification can act as a powerful contextual factor

in studies concerning virtual communities (Nambisan & Baron, 2007) As a result, we estimate that customers who have a stronger promotional focus are more likely to show

a desire for online self-presentation at higher levels of community identification than customers who have a weaker promotional focus This is due to the fact that individuals who have a stronger promotional focus may achieve a better fit with higher levels of community identification (Nambisan & Baron, 2007) In a word, we anticipate that community identification will act as a moderator in the connection between regulatory concerns and the need for online self-expression Furthermore, Munnukka, Uusitalo, and Toivonen (2016) discovered that the legitimacy of peer endorsers is dependent on factors such as resemblance, knowledge, trustworthiness, and attractiveness, all of which are factors that contribute to favorable advertising and brand reviews Although earlier research has found that customers rely on the interactivity of social media brand pages (Carlson et al., 2018), customer engagement (Carlson et al., 2019a), social interaction (Zhang et al., 2017), and the content quality of user-generated content (UGCs), this study

found that customers rely on the interactivity of social media brand pages (Mohammad

et al., 2020) Kim and Ko (2012) investigate the success of luxury fashion firms using social media activities, such as engagement or word of mouth, to assure encouraging client intent The findings indicate that the two criteria are related to one another in a parallel fashion, as increased use of social media led to favorable purchase intentions as well as total consumer value in connection to the consumption of luxury fashion brands From a managerial point of view, we feel that it is essential to establish effective online brand communities that have an impact on the level of client involvement The primary objective of the study is to investigate the local brand that originates from Vietnam as well as the brand communities that exist there The contact between brand and customer has moved beyond the moment of sale to become a continuing engagement in a virtual communication world (Edelman, 2010; Fromm & Garton, 2013) This is something that the millennial generation has grown up with There is a lot of literature that discusses the implementation of social media marketing practices Despite this, the research that is currently available does not take into account the participation of millennials in social media brand communities that are associated with the fashion industry The purpose of this research is to contribute new knowledge to the body of literature concerning the effect that brand communities on social media have on consumer involvement

The remainder of the paper is organized as follows: Section 2 provides the theoretical framework and hypothesized model of the study Section 3 discusses the research methodology with respect to the sample, measures, and data analysis approach Section

4 presents the empirical results Section 5 discusses the results and their implications Section 6 discusses the limitations of this study and presents future research directions

The following are the primary research objectives:

• Evaluate the influences of the customer's benefits (including learning benefits, social integration benefits, personal integration benefits, and hedonistic benefits)

on customer brand identification and on customer participation

• Evaluate the influences of the peer endorser credibility (including peer endorser trustworthiness, expertise, and attractiveness) on customer brand identification

• Evaluate the influences of customer brand identification on customer participation, and then on customer behaviors of electronic word-of-mouth and customer brand loyalty

• Provide relevant recommendations for administrators of online brand communities in order to entice a large number of customers to participate in the community and reap its benefits

Vietnam fashion industry online brand communities are the context for this study

Participation in the brand community by community members with the prefixes of social support, brand community satisfaction, brand community identity, and self-efficacy, and the suffixes of word-of-mouth and brand loyalty

No Brand

Communities

of Members

Meaning in Management

In a practical sense, the research findings can serve as a guide for individuals and businesses seeking to develop a strong brand community From there, managers will have tactics to get customers to join their brand's community, so enhancing brand coverage and business performance and allowing enterprises to continue to expand Grow and establish yourself in the market

Chapter 1: Introduction

Overview of the research topic The purpose of the issue, research aims, research scope and objects, research significance, and research layout are all presented in this chapter

Chapter 2: Literature review and proposed research model

This chapter includes theoretical foundations, concepts, and an overview of past research models, from which the suggested research model and hypotheses are derived

Chapter 3: Methodology

This chapter discusses the research methodology, research concept scales, research samples, and data analysis methodologies

Chapter 4: Research findings

This chapter describes the findings of quantitative research conducted to validate the scale, the theoretical model, and the stated hypotheses Examine the research propositions provided

Chapter 5: Conclusion and Recommendations

This chapter summarizes the research topic's primary findings, contributions, and limits

in order to guide future research subjects In addition to offering governance implications,

that have been done and the theoretical foundations of the models connected to the topic

2.1 THEORETICAL CONCEPTS

2.1.1 Online Brand Communities

In recent years, there has been a rise in the amount of attention paid to an intriguing and complicated phenomenon known as online brand communities In the online world, these groups of people are known as communities, and they are classified as specialized, non-

geographic groups of people that share social links and have a deep appreciation for a specific brand (Jang et al., 2008, p 57) This definition expands upon the commonly accepted definition of brand communities developed by Muniz and O'Guinn (2001) by adding the online component, which underscores the fact that online brand communities are merely virtual manifestations of brand communities This definition was developed

by Muniz and O'Guinn (2001)

It is essential to keep in mind that although though physical and online brand communities have some things in common, each type of community also possesses its own individual qualities that set it apart from the others According to the findings of this study (Muniz and O'Guinn, 2001), brand communities are distinguishable from subcultures and tribes on account of their greater stability and endurance, mainstream appeal, and concentration on the brand itself In specifically, the focus of this research is

on brand-centric communities, which are groups of individuals that have been loyal to a specific brand from the very beginning (Wirtz et al., 2013) Members of an online brand community are typically dedicated customers who have had extended contacts with the brand over the course of time This leads to the formation of strong bonds not just between the brand and its customers but also among brand customers This can lead to value co-creation, which is when members of the community actively participate to the expansion and achievement of a brand (Ramaswamy and Ozcan, 2016)

Creating communities for a brand is not exclusive to the realm of the internet, though Developing and maintaining brand communities can also be accomplished through the use of offline and social media platforms (Brogi, 2014; Martinez-López et al., 2016) The fact that online brand communities are supported by a technology platform that eliminates the need for the community to be constrained by geographic limits is one of the most significant advantages of these communities Because of this, it is now much simpler for brand communities to go from offline to online platforms, and vice versa Additionally, it is possible for offline and online brand communities to work together in

order to maintain and strengthen the relationships that exist between the brand and its customers

It is essential to make use of the one-of-a-kind characteristics of online communities if one wishes to maintain the engagement and entertainment levels of online brand communities This can be accomplished through establishing a digital community that allows for the free flow of information and communication, as well as the building of cultural standards (Rosenthal & Brito, 2017) Additionally, the presence of famous people as members of the community might boost the amount of social interactions and engagement (Rosenthal & Brito, 2017) It is also essential to acknowledge the potential

of the internet environment, which has the ability to dismantle the conventional borders that exist across brand communities and modify their culture through the use of new media and new venues (Bertilsson & Tarnovskaya, 2017) It is crucial for companies that want to create strong and long-lasting relationships with their customers to have a solid understanding of the subtleties of online brand communities as well as the potential for growth and co-creation that those communities hold

2.1.2 Source-Credibility theory

The idea of a source's perceived credibility having an effect on a consumer's actions is the driving force behind the source credibility theory, which is a basic concept in the study of marketing and consumer behavior According to this line of thinking, the perceived level of knowledge, reliability, and desirability of a source can have a considerable impact on the efficiency with which a message is received The usefulness

of this theory in forecasting consumer behavior has been validated in a number of research, and the findings reveal, time and time again, that a reputable source has a higher impact on customer behavior

A study that was carried out not too long ago by Choi and Rifon (2016) indicated that customers' perceptions of an endorser's credibility had a favorable affect on their

sentiments toward the brand as well as their inclinations to make a purchase According

to the findings of this study, selecting endorsers who are seen as credible by customers

is extremely important for the success of a marketing campaign because of the enormous impact that this factor can have In a similar vein, Phua and Jin (2017) discovered that customers place a greater amount of weight on online reviews when the opinions come from sources that the consumers consider as being more reliable, such as experts or peers According to these findings, marketers should make establishing trust with their target audience a top priority if they want their marketing efforts to be successful in reaching their target demographic

In a separate piece of research, Liang, Li, and Huang (2018) investigated the influence that the trustworthiness of advertising spokespersons has on consumers' views and intentions about the purchase of luxury brands According to the findings of this research, consumers' opinions of the credibility of a spokesperson have been shown to have a favorable influence on both their attitudes about luxury products and their intentions to make purchases of those brands This study highlights the significance of establishing trust with customers, as it can have a major influence on their propensity to connect with a business and make purchases as a result of that engagement

In general, the results of these research offer compelling support for the applicability and viability of the source credibility hypothesis in the context of the prediction of consumer behavior When establishing marketing strategies, it is crucial for marketers to take into account the perceived credibility of a source, as this can have a substantial impact on the success of their efforts The likelihood of a marketer's marketing efforts being successful can be increased if they make establishing trust and credibility with their target audience

a priority in their work

2.1.3 Customer Participation

"The extent to which the customer participates in the production and provision of services," is how the concept of "customer participation in the community" is typically phrased (Dabholkar 1990, p 484) Extending this framework, Meuter and Bitner (1998) differentiate three types of service production based on customer participation in the community These are corporate production, joint production, and customer production Customer production is the third category Corporate manufacturing refers to the process

by which a product is created exclusively by the firm and its employees, with no participation from the community in which the client resides The term "joint production" refers to a scenario in which both the company's clients and the client themselves engage with one another and take part in the manufacturing process Customer manufacturing is a scenario in which the customer is solely responsible for the production of the product, with neither the corporation nor any of its workers playing any part in the process The goal of this essay is to gain an understanding of how the psychological reaction of a consumer can vary depending on whether or not they are engaged in production (corporate production), as opposed to whether or not they are engaged in production (general production) Because of this, we do not take into account customer production and self-service technology (Meuter et al 2000), and when we talk about participation, we mean working together to produce results and fruit fruit

Although there are still various ways to express this notion (Dong & Sivakumar, 2017), there is a widespread consensus on what its substance is, which is the extent to which the customer invests himself in one or all of them This content can be made obvious phases of the service process, beginning with customer inquiry and continuing through design, production, and final delivery (Etgar, 2008; Mustak et al., 2016) In conclusion, the concept of customer engagement is prioritized in this article for two primary reasons: first, it is the most common in the literature and has a scope to include processes related

to the company, business, or business industry and customers (Dong et al., 2015), and

second, it is also a more inclusive term than copying or collaborating, without any constraints on cooperation or collaboration with the parties other related (hence the 'co' prefix) (e.g Auhet al., 2019) As a result, the term "customer participation in the community" will be interpreted in this article to mean the participation of the customer's community in the process of providing service in general by expending physical, mental, and virtual resources (such as Dong & Sivakumar, 2017) and other similar studies are analyzed using the concept of "the amount of participation required by a customer to participate in a specific activity or service." (Good, 1990, p 4 ) According to this interpretation, the customer's participation in the community here can accommodate a wide range of customer behaviors, roles, and resources at any given point during the provision of the service (Dong & Sivakumar, 2017) A variety of resources, such as private, public, and market-facing resources, are utilized in customer engagement (e.g., Vargo & Lusch, 2016) More specifically, customer engagement utilizes resources such

as time, effort, information, knowledge, and other social and cultural resources (e.g Arnould et al., 2015) In terms of roles, the involvement of a customer in the community suggests that a client can take on a variety of positions, such as a part-time employee (Mills & Morris, 1986), a customer (payer), a consumer, a supplier of capacity or quality control (Payne et al., 2008), a co-creator, an actor (Vargo & Lusch, 2016), or, more generally, from a passive audience to active players Some of these (Prahalad & Ramaswamy, 2000) When it comes to actions, a customer's involvement in the community can comprise a wide range of activities, such as the customer's communication, interpretation, evaluation, and usage of the product or service within the social structure in which he or she functions Self-service can also be included in this category belonging (Ranjan & Read, 2016) or particulars, including technical specifications, design, production, delivery, information provision, knowledge exchange, or quality assurance in the translation blueprint service (Dong & Sivakumar, 2017) It is important to highlight that the characteristics of these activities, which are

frequently referred to as interfacial actions) and indirect types of interactions (Gronroos

& Voima, 2013)

2.1.4 Peer-Endorser Credibility on Social Media

Customers and businesses alike have the ability to produce content that may be shared

on social networks (Xiang and Gretzel, 2010) Customer-generated content is the consequence of different motives of individuals (such as sociability, amusement, status seeking, social and informational as well as other social and hedonistic elements), whereas company-generated content is an attempt to engage customers (Park et al., 2009; Parra- Lopez et al., 2011) Although the customer-generated content that is published on social media is put through its paces in terms of its general structure within the context of user-generated content, this type of testing can also result in the elimination of components that are vital to the company It is feasible that the various contents will result in a variety of distinct impacts As a result, it is essential to conduct

an in-depth analysis of the information provided by the customers

Currently, businesses are encouraging their customers to produce content for their official websites and social media platforms by holding a variety of contests and offering

a variety of prizes When seen through the lens of the idea of customer engagement, which is found in the body of academic research on consumer behavior, information, reviews, and other content produced by third parties on social media platforms can be interpreted as examples of participatory behavior (Bonner, 2010) As a result, these kinds of conduct are examples of sharing by participants, despite the fact that there is also sharing of content by nonparticipants Content that is shared without participation

is content that is not affiliated with the organization in question and that an individual uploads directly on their own account, profile, or the profile of a friend (Dedeoglu, 2016) For instance, a participant share is a piece of content that an individual creates using the social media tools provided by the organization or on a website that is not affiliated with the organization One of the possible motivations for the person is to

provide information to others about various goods and services Opt-out sharing, on the other hand, refers to content that a user publishes about their experience within his or her own social media tools or with friends (such as microblogs or social networks) People like this are more likely to be motivated by things like seeking social approval, interacting with others, and expressing themselves creatively To get customers to share such information, though, businesses could need to offer them some sort of incentive—

or, to put it another way, they might need to spend In contrast, the shares of nonparticipants may be driven more by the needs and motivations of customers than the percentages of participants may be (Kim and Jogaratnam, 2003), and organizations are scarcely responsible for bearing the expense of this phenomenon Consumers had the impression that the share of non-participants was passionate due to the fact that it was not formed with the intention of spreading information about the brand and the brand (or brand maker) was not featured in the discussion more ardently and earnestly, and hence acquire more significance (Brown and Hayes, 2008) On the other hand, we anticipate that consumer demands, preferences, motivations, and behavior will be driven in the same way by nonparticipant sharing as they are by participant sharing As a result, it is essential to have an understanding of the many kinds of elements that are of relevance

to users for these different kinds of shared information

When it comes to the potential of content to influence consumer behavior, perceptions about the quality of the information or arguments presented, as well as the dependability

of the source, play a vital role (Morosan and Fesenmaier, 2007) In point of fact, the detailed capabilities model (ELM) and the experience-based systems model both define the ability of these aspects to affect customers (HSM) By utilizing a dual process strategy, ELM and HSM provide an explanation for the persuasive power of communications ELM is an acronym that stands for "extended linear thinking," which describes the process through which an individual engages in more in-depth thought on

a subject in order to determine the validity of arguments regarding that subject rather

than evaluating all the alternatives on their own (Cacioppo and Petty, 1984) In ELM, the peripheral route may be represented by the source's dependability, while the center route may be represented by the information's quality (Petty and Cacioppo, 1986; Sussman and Siegal, 2003) The peripheral route is taken when the central value motive

of a subject's personal attitude is low and the attitude is influenced mostly by basic cues

in the persuasive environment This is the case when the peripheral route is pursued On the other hand, people take the central path when they are motivated and able to participate in a careful investigation of the central qualities of an attitude object This is the case when the central route is followed (Petty et al., 1987) In a similar manner, the heuristic system model suggests two distinct approaches to the processing of information (Rudolph, 2017) According to O'Keefe (2008), the system mode in ELM

is analogous to the core route, whereas the heuristic mode is equivalent to the peripheral route In conclusion, people are able to be persuaded of the validity of the messages that are transmitted through a dual process approach and are likely to take these signals seriously For this reason, the perception of the message's source, as well as the perception of the veracity of the information that is transmitted through the communications, is of utmost importance for the substance of the message to be effective and compelling (Petty et al work, 1983; Shan, 2016; Sussman and Siegal, 2003) In point of fact, these two aspects, together with their significance in consumer attitudes, have been the subject of research in the published literature under the headings "quality

of information/argument" and "reliability of the source." It has been put to the test According to Eagly and Chaiken (1993), "argument quality" refers to the persuasiveness

or strength of an argument that is intended to persuade The quality of the information is comparable to the quality of the argument; however, it is evaluated from a more comprehensive standpoint According to the research that has been conducted, information quality is defined as "the degree to which consumers perceive the informational content posted by a company on its brand page to be of high quality."

(Zhang et al , 2016 ) As a result, the perception of the quality of the information on a social network can be thought of as the result of the evaluation of any material provided

by any user (consumer or company) on a social network based on metrics such as correctness, consistency, and completeness In this way, the quality of the information

on a social network can be thought of as the perception of the quality of the information

on a social network Nevertheless, evaluations of the quality of the material are frequently done in terms of the quality of the argument because the terms are frequently interchanged (Sussman and Siegal, 2003) Therefore, in this study, the quality of the information is evaluated using the argument quality items produced by Sussman and Siegal (2003), which are based on the previous research conducted by Bailey and Pearson (1983) When a user has a favorable impression of the quality of the content that is produced on a social network, this indicates that the user stands to gain something

by viewing that content (Ahn et al., 2007) Therefore, individuals are more likely to value the material if they think the content to be valuable in some way

According to Ohanian (1990, page 41), the phrase "source reliability" refers to "a term commonly used to refer to the communicator's positive characteristics that influence the recipient's acceptance of a message." According to this definition, consumers are expected to pay attention to content that is posted on social networks if they believe that the content is of good quality or if they believe that the sources are trustworthy This expectation holds that individuals would look to sources that they deem reliable and content that they deem to be of high quality (Sussman and Siegal, 2003) In point of fact, individuals who value the utility of a piece of content are more likely to pay attention to it (Lee et al., 2015) To put this another way, when a person believes that the information they are receiving from a source is reliable either because of its knowledge or its honesty, they are more likely to perceive the content as being beneficial (Cheung et al., 2008) In a nutshell, when people have faith in the origin of the information, they have a lower sense of the danger posed by the content, and this allows

them to derive a greater amount of value from it (Hussain et al., 2017) Consumers will

be able to concentrate on the content as a result of this

2.1.5 Consumer Brand Identification

Researchers in the fields of hospitality and tourism have regarded the CBI as an important but underutilized body of study (Bhattacharya & Sen, 2003; Martinez & Rodriguez del Bosque, 2013) The process of identification takes place when an individual discovers that he or she is psychologically linked with the qualities of a group (So et al., 2013) CBI can also be defined as the mental state of customers at the time when they are perceiving, evaluating, and feeling belonging to their brand (Lam, Ahearne, Mullins, Hayati, & Schillewaert, 2013) Customers not only have a personal identity, but also a social identity that helps them construct their sense of who they are (Choo et al., 2011), and because of this, people will identify with companies even if they are not official members of such businesses Because customers have a need to construct

a sense of who they are (which is self-defined), they express who they are through the relationships they have with other people (Choo et al., 2011; Keh & Xie, 2009) In an effort to determine why and under what conditions customers enter into committed, meaningful, and strong connections with a variety of organizations, or to put it another way, on the basis of social identity theory and research, we are attempting to: According

to organizational identity theory, Bhattacharya and Sen (2003) have argued that strong customer-firm connections are built on the basis of customers' recognition of companies that facilitate their satisfaction This is based on the idea that strong customer-firm relationships are established based on consumers' recognition of companies that facilitate their satisfaction one or more of the customer's most important personal requirements (such as continuity, self-improvement, and self-differentiation), in order to provide light

on the customer's relationship with the brand or firm Therefore, the greater the recognition of the brand or organization, the greater the likelihood that customers will

be satisfied with the products and services provided by the firm, that they will provide

positive word of mouth, that they will be willing to try new products/services, and that they will be able to resist being influenced by bad information linked to the company (Bhattacharya & Sen, 2003; Papista & Dimitriadis, 2012) CBI has its origins in social identity theory, which can also serve to direct a number of customer outcomes including brand loyalty (Choo et al., 2011; He et al., 2012) Because of the role that they play in self-definition and self-referral, services, brands, goods, and businesses are significant components of an individual's social identity They also provide viable targets for identification among relevant customers due to the fact that they are able to differentiate between individuals (Underwood et al., 2001) Because of this, the clients of the organization also have the desire to define who they are and the ability to express who they are by forming relationships with others based on their social identities

2.1.6 Electronic Word-Of-Mouth (eWOM)

According to Dellarocas (2003), word of mouth is one of the oldest forms of information transmission, and its definition has been interpreted in a variety of different ways over the years Katz and Lazarsfeld (1966) provided one of the earliest definitions of consumer behavior, describing it as the interchange of marketing information between customers in such a way that it plays a fundamental role in molding consumer behavior their behavior and changing attitudes about products and services Other authors, such

as Arndt (1967), have claimed that WOM is a tool for person-to-person communication, between the communicator and receiver, who believes the information received about a brand, product, or Services to be non-commercial In a similar vein, word-of-mouth, or WOM, is described as communication between consumers regarding a product, service,

or company in which the sources are regarded as being independent of commercial influence (Litvin et al., 2008) These interpersonal encounters provide access to information connected to the consumption of that product or service through official advertising; more specifically, they allow access to information that goes beyond the messages provided by firms and images (Brown et al., 2007) Many people believe that

women are one of the most important aspects that influence people's purchasing decisions (Daugherty and Hoffman, 2014) This effect is particularly significant for intangible goods that are difficult to evaluate prior to consumption, such as vacations and hotel stays Accordingly, word-of-mouth (WOM) is considered to be the most essential source of information in consumer purchasing decisions (Litvin et al., 2008; Jalilvand and Samiei, 2012), as well as predicted behaviors

Electronic word of mouth, also known as active word of mouth, is the name given to the modern method of word-of-mouth communication that takes place online (Yang, 2017) This style of communication is of special significance with the introduction of online platforms, making it one of the most important sources of information on the Web (e.g Abubakar and Ilkan, 2016), particularly in the travel and tourist business (Sotiriadis and Van Zyl, 2013) These new means of communication have led to changes in consumer behavior as a result of technological advances (Cantallops and Salvi, 2014; Gómez-Suárez et al., 2017) This is due to the fact that they allow consumers to influence each other (Jalilvand and Samiei, 2012) by allowing them to obtain or share information about

a company, product, or brand (Gómez-Suárez et al., 2017)

According to Litvin et al (2008), who proposed one of the most extensive conceptions

of positive word of mouth, it is all informal communication over the internet that is delivered to consumers and involves the use of goods or services or qualities of the person selling them This definition makes it one of the most comprehensive conceptions

of positive word of mouth The availability of this tool to all customers is one of its primary benefits Customers can utilize internet platforms to communicate their thoughts, reviews, and ratings with other users of the service Consumers currently look

to internet comments (positive word of mouth) for information about a product or service, whereas in the past they relied on word-of-mouth recommendations from their friends and family members (Nieto et al., 2014 )

Companies regard both sorts of recommendations, passive and active word of mouth, as new chances to listen to the requirements of their customers and modify the way they sell their products or services to satisfy those demands This is an understandable perspective for businesses to have better, which ultimately led to an increase in their revenues A customer's future purchase intentions can be influenced either positively or negatively by their attitude toward a product or service since it gives them the opportunity to evaluate how well the product or service actually performed in comparison to their expectations (Yang, 2017)

Studies that have been conducted in the field of consumer behavior in the past, such as the one conducted by Park and Lee (2009), have demonstrated that customers pay greater attention to negative information than they do to good information (Cheung and Thadani, 2012) For instance, customers who are the most satisfied with a product or service have a greater propensity to become loyal representatives of that product or service through positive word-of-mouth (Royo-Vela and Casamassima, 2011) This can give establishments, businesses, or sellers a highly competitive advantage, particularly smaller ones, which typically have fewer resources According to the findings of a number of studies, traditional WOM is the sales and marketing strategy that is employed

by small firms the most frequently

According to Nieto et al (2014), active word of mouth provides organizations with a method for determining the requirements and perceptions of their customers, as well as

a cost-effective method for communicating with those customers Today, word-of-mouth promotion through active use has emerged as a key component of social media marketing for businesses (Hussain et al., 2017)

2.1.7 Brand Loyalty

The buying behavior of customers is not a random reaction but the result of a long-term influence by internal factors In addition to repeat purchase behavior, customers are also

bound to a brand on a psychological level This means that in a competitive market like tablet PCs, brand loyalty not only attracts new customers but also sustains ongoing purchases Regarding brand loyalty measurement, most empirical studies indicate that this construct should be considered in terms of both attitudes and behavior (Chen and

Hu, 2010; Deng et al., 2010; Alireza et al., 2011; Chen et al., 2014; ChartonVachet and Lombart, 2018) Attitudinal loyalty is the consumer's psychological response in which the customer is willing to buy and recommend the brand's products and services to relatives, friends, or others, even if the price is higher Behavioral loyalty is the degree

of the customer's preference for the branded product or service, i.e., their willingness to purchase the brand's products or services in the future

Because loyal customers have a significant impact on profitability (Kotler & Armstrong, 2018), brand loyalty and customer loyalty become attractive (Elvira Tabaku, 2015) Prior research has shed light on the link between emotional attachment to a brand and continued patronage of that brand (Li et al., 2020) As a result of consumers' ability to establish an attachment to brands, which means they think more favorably about the brand, brand attachment is defined as "the strength of the cognitive and affective link connecting the brand with the self" (Park et al., 2010, p.1) When a customer has a strong attachment to a brand, it tends to result in favorable opinions toward the brand This suggests that a strong attachment to a brand contributes to a higher level of behavioral commitment to the brand, with the latter being a sign of brand loyalty As a result, brand attachment may increase brand loyalty (Li et al., 2020) In the same light, Tsiotsou (2016) notes that, consistent with prior findings (Thomson et al., 2005), brand attachment

is a direct determinant of brand loyalty and underscores the essential role that brand attachment plays in creating brand loyalty

Also, previous studies have explained the connection between customer engagement and brand loyalty (Brodie et al., 2013; Harrigan, Evers, Miles, & Daly, 2017; Li et al., 2020)

As was mentioned before, customer engagement refers to a relationship that exists

between the consumer and the brand on the basis of a shared interest (Hollebeek, 2011) Customer engagement encompasses a variety of characteristics, including behavioral, emotional, and cognitive dimensions (Hollebeek et al., 2014) Recent research (Brodie

et al., 2013) has demonstrated that consumers who have a high degree of engagement in social media brand communities experience higher levels of brand loyalty This demonstrates that engaged customers are loyal to brands Customer engagement is a good motivator of brand loyalty, according to Harrigan et al (2017) Further, authors like Bowden (2009) construct a "customer engagement process", which itself has brand loyalty as a component, stating that customer engagement is a psychological process that models the underlying mechanisms by which customer loyalty forms for new customers

of a service brand as well as the mechanisms by which loyalty may be maintained for repeat purchase customers of a service brand As a result, it is clear that there is a connection between customer involvement and brand loyalty

on how customers engage with product support These types of VCE interactions include consumers sharing product-related knowledge with peer customers as well as customers fixing issues that peer customers are having with their use of the product The author investigates the impact of taking part in VCE in terms of two fundamental characteristics, including cognitive and emotional impact For the cognitive component, the author

places emphasis on beliefs concerning the advantages that customers anticipate gaining

as a result of their engagement On the other hand, for the emotional component, we place emphasis on both the positive and the negative sentiments that are brought about

by the encounter

The author begins by examining the influence that previous customer engagement experiences have had on the level of customer engagement they have with product support Our primary concept in this situation is that the interactive experience of a customer can be a source of value, and as a result, it can establish a foundation for continued engagement in product support by serving as a motivating factor for the consumer Second, interactions between customers in VCE can also produce immediate good and negative sentiments (changes in their emotional state), and these interactions can alter opinions that customers hold about their provider or the organization that is holding the VCE

Figure 2.1: Model of customer benefits and participation in product support (Nambisan and Baron 2007)

The customer benefit perspective is supported in a comprehensive and general manner

by research that has been conducted regarding the influence of each of the four benefits

on actual customer engagement It was revealed that the effect of trust was particularly potent in relation to two of those benefits, namely learning and enjoyment Second, the author presents a customer benefit framework that is both conceptually coherent and consistent, and which is capable of being easily adapted in a variety of additional scenarios involving the generation of customer value Third, by examining all four major benefit categories at the same time (rather than merely concentrating on one or two benefits, as was the case in earlier research), we were able to demonstrate that the advantages outweigh the disadvantages These distinct advantages each and individually influence the customer engagement behavior of the customer In conclusion, the results

of our study shed light on the significance of non-theistic motivations, specifically the role that clearly articulated customer interests have in determining the nature of customer involvement and the value it produces

2.2.2 The antecedents and consequences of consumer participation

(Woisetchlager 2008)

The author of the research report that Woisetchlager wrote in 2008 focused on a business that understood the potential of online brand communities The corporation bought the naming rights to one of the largest football stadiums in Germany and then built its own virtual community of brands on the Internet under the name "virtual football stadiums." This community was created specifically for the football enthusiasts in the area

In the research, the author elucidated the following three factors:

• Concept of variables that lead to the successful participation of customers in the brand community

• Investigation into the influence of consumer engagement on community loyalty, word of mouth, and the perception of the brand as a whole

• Investigate the factors that play a moderating role in the connection between consumer participation and the associated outcomes

Figure 2.2: The antecedents and consequences model of consumer participation (Woisetchlager 2008)

According to the findings of the study, when a firm sets up a community that is focused

on the company, the members of the community who have similar characteristics should

be brought together to form sub-communities in order to strengthen the members' sense

of identity with the local residents This can be accomplished through the sending of automatic referrals from members to other members, based on the compatibility of their profiles

Second, when developing a virtual brand community, businesses should concentrate on giving users with aspects that allow them to communicate with one another In point of

fact, prosperous online communities offer a wealth of helpful and versatile examples that may be used to illustrate how to encourage interaction among community members The more content the members of the community are, the more eager they will be to contribute to the continuation of the community by engaging in conversation with its fellow participants

Third, the more the accessibility of the platform to user-generated content, the greater the amount of participation from community members in the community

2.2.3 Model of community credibility and advertising effectiveness (Munnuka 2016)

The author gains an understanding of the process of peer-to-peer endorsement on advertising effectiveness through the use of Munnuka's model (2016) of community trust and advertising efficacy I am particularly interested in learning more about the process

by which trust in peer validators is established and the ways in which the qualities of that trust (reliability, expertise, attractiveness, and resemblance) influence performance and advertising results In order to fill this gap, this study studies the effects of peer-validator trust on effective advertising as well as the process of generating peer-validator trust through the use of a model of source trust In addition to this, the author investigates the extent to which consumers' perceptions of a particular brand influence their reactions to advertisements that have been mediated by a certain validator's reputation This work makes a contribution to the theory of source dependability by demonstrating how trust among peer-validators can grow over time and how the various characteristics of this confidence might affect the efficiency of an advertisement measured by respondents' attitudes about advertising as well as their opinions of various brands In addition, we present evidence that illustrates how consumers' connection with a brand and prior

experience with a product that is being advertised influence both the reputation of the

product among peers and the effectiveness of an advertisement

Figure 2.3: Model of community credibility and advertising effectiveness (Munnuka 2016)

According to the findings of certain studies, there is a strong connection between attractiveness and resemblance, as well as knowledge and reliability The connection between attractiveness and similarity demonstrates how critical it is for peer validators and customers to maintain a consistent standard Previous research has shown that the similarity between a product and its endorser in terms of look is a significant basis for dependability and knowledge, as well as a source of general credibility, when it comes

to beauty-related products Therefore, for peer-to-peer ads of beauty items to be effective, they need to include a match between the endorser and the consumer, in addition to a match between the validator and the product

In the context of low levels of product participation, research reveals that emotional involvement on the side of consumers boosts the effectiveness of advertisements, and