Journal of Economics and Financial Analysis, 1 (2), pp. 17-47, [2017]
URI: https://ojs.tripaledu.com/index.php/jefa/article/view/24/15

Message Oriented Approach to WOM Effects in Service Industries




DOI: http://dx.doi.org/10.1991/jefa.v1i2.a7

Abstract

In this study a search-based and an experience-based service were examined in Word-of-Mouth (WOM) context. The study aimed at revealing the extent to which consumer choices in movie theatre and repair and maintenance shop services are influenced by the experience communicated by personal sources. Four key contributions are planned. Firstly, although it has attracted attention and criticism there is no empirical examination regarding message characteristics. In this study, the effects of messages delivered by senders concerning purchase decisions are investigated. Secondly, a more powerful scale regarding active information search was developed. Thirdly, perceptual homophily and sender characteristics were added to the model in a unique construct. Fourthly, to measure the effects of personal sources a classification of services is applied for the first time in WOM researches in this context. Data was subjected to an exploratory factor analysis (EFA) and reliability analysis in the first stage of the analysis. At the second stage, confirmatory factor analysis (CFA) was conducted and the model's hypotheses were tested by using structural equation modeling (SEM).

Keywords

Word-of-Mouth; Message Characteristics; Interpersonal Communications; Credence-based Service.

JEL Classification

D12

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