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Electronic Commerce Research and Applications 17 (2016) 62–73

Contents lists available at ScienceDirect

Electronic Commerce Research and Applications


journal homepage: www.elsevier.com/locate/ecra

E-WOM from e-commerce websites and social media: Which will


consumers adopt?
Qiang Yan ⇑, Shuang Wu, Lingli Wang, Pengfei Wu, Hejie Chen, Guohong Wei
School of Economics and Management, Beijing University of Posts and Telecommunications, Beijing, PR China

a r t i c l e i n f o a b s t r a c t

Article history: The influence of user generated content on e-commerce websites and social media has been addressed in
Received 16 January 2015 both practical and theoretical fields. Since most previous studies focus on either electronic word of mouth
Received in revised form 26 March 2016 (eWOM) from e-commerce websites (EC-eWOM) or social media (SM-eWOM), little is known about the
Accepted 26 March 2016
adoption process when consumers are presented EC-eWOM and SM-eWOM simultaneously. We focus on
Available online 28 March 2016
this problem by considering their adoption as an interactive process. It clarifies the mechanism of con-
sumer’s adoption for those from the perspective of cognitive cost theory. A conceptual model is proposed
Keywords:
about the relationship between the adoptions of the two types of eWOM. The empirical analysis shows
Adoption
Credibility
that EC-eWOM’s usefulness and credibility positively influence the adoption of EC-eWOM, but negatively
E-commerce influence that of SM-eWOM. EC-eWOM adoption negatively impacts SM-eWOM adoption, and mediates
Electronic word of mouth the relationship between usefulness, credibility and SM-eWOM adoption. The moderating effects of
Social media consumers’ cognitive level and degree of involvement are also discussed. This paper further explains
Social commerce the adoption of the two types of eWOM based on the cognitive cost theory and enriches the theoretical
Word of mouth research about eWOM in the context of social commerce. Implications for practice, as well as suggestions
for future research, are also discussed.
Ó 2016 Elsevier B.V. All rights reserved.

1. Introduction 2012; Davis and Khazanchi, 2008; Duan et al., 2008). According
to a survey, 91% of participants said they use online reviews, blogs
Over the past decade, Internet technology has considerably and other forms of UGC before purchasing a new product or
altered people’s lifestyle. In terms of online shopping, service, and 46% of participants indicated that these comments
e-commerce has experienced rapid development, and online shop- influenced their decision (Cheung and Thadani, 2012). Online
ping has become a popular method for purchasing goods. In 2013, reviews can reduce the risks perceived by consumers (Cheung
Amazon’s sales reached US$74.4 billion, while Taobao.com, the et al., 2009b; Park and Kim, 2009) and improve their degree of
biggest C2C website in China, exceeded US$179.2 billion. In terms satisfaction (Liang et al., 2007), as well as their efficiency in making
of sharing content online, social media use has increased in recent decisions (Cheung et al., 2009a). It has been proved that the vol-
years and become one of the most important platforms of commu- ume of online reviews is significantly related to sales. The volumes
nication. For example, the average number of active users per of both positive and negative reviews impact the consumer’s
month on Twitter and Facebook has reached 0.27 and 1.28 billion, decisions (Chatterjee, 2001; Cheung et al., 2009a; Kamins and
respectively. In China, Weixin, the most popular social media Assael, 1987; Berger et al., 2010), while negative reviews have a
platform, has attracted around 0.5 billion users since its launch greater impact than positive reviews (Park and Lee, 2009a,b;
in 2011. Herr et al., 1991).
With the emergence of Web 2.0, user generated content (UGC) on Meanwhile, eWOM in social media (referred to as SM-eWOM
networks are increasing. As an important form of electronic word- hereafter) has taken on a greater role in promoting online shopping
of-mouth (eWOM), online reviews provided by e-commerce web- nowadays, especially with the emergence of social commerce.
sites (referred to as EC-eWOM hereafter) have played an important These days, shoppers are turning to social media to share their
role in helping consumers make decisions (Cheung and Thadani, thoughts about the quality of goods or services they purchased,
or about their shopping experience. This form of SM-eWOM
includes consumer’s posts on Twitter, Facebook, Weibo and so
⇑ Corresponding author. on, as well as comments on others’ posts. SM-eWOM impacts
E-mail address: buptyan@gmail.com (Q. Yan). consumers from the aspects of impression-management, emotion

http://dx.doi.org/10.1016/j.elerap.2016.03.004
1567-4223/Ó 2016 Elsevier B.V. All rights reserved.
Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73 63

regulation, information acquisition, social bonding, and persuasion Attitudes towards EC-eWOM and SM-eWOM are not separated
(Berger, 2014). According to a report from the China Internet Net- but interact with each other. Second, the findings show that the
work Information Center (CNNIC) in 2012, 43.1% of users experi- EC-eWOM adoption is not the end of consumers’ information gath-
ence consumption impulses when they receive recommendations ering, but instead, a mediating variable that may affect SM-eWOM
from friends on social media, 38.3% of users will refer to SM- adoption. Third, the results demonstrate the influence of cognitive
eWOM before making shopping decisions, and 37.2% of users will cost on consumers’ utilization of online information from different
like to share their comments with friends on social media. Social channels. The research also provides practical implications
media has been used to figure out user preferences, and has regarding the management of eWOM on different types of online
attracted attention from enterprises as a marketing tool. platforms in the age of social commerce.
In the research of Cheung and Thadani (2012), information The remainder of the paper is organized as follows. Section 2 is
adoption is defined as a process in which people purposefully a review about the related literatures. Section 3 proposes the
engage in using information. In this paper, eWOM adoption means research model and hypotheses. Empirical analysis is presented
that consumers agree with the content of eWOM and intend to in Section 4. Conclusions and research limitations are outlined in
make purchases based on it. Section 5.
Currently, the quality of EC-eWOM varies greatly. When con-
sumers visit e-commerce websites, they usually know little about
the authors of the EC-eWOM (Cheung and Thadani, 2012). So not 2. Literature
all EC-eWOM have an equal impact on consumers. Consumers
need to decide whether or not to adopt EC-eWOM based on their 2.1. Electronic word of mouth
own judgment. When consumers cannot make shopping decisions
based on EC-eWOM, they need to refer to alternative types of infor- Word of mouth (WOM) has been acknowledged for many years
mation, such as SM-eWOM. Despite SM-eWOM currently being as a major influence on what people know, feel and do (Buttle,
less efficient than EC-eWOM, Internet companies have started 1998). It has been described as an informal communication direc-
noticing its increasing impact and worked towards improving its ted at other consumers about the ownership, usage, or characteris-
usability. For example, Sogou (www.sogou.com provides a function tics of particular goods and services or their sellers (Berger, 2014).
to search information on social media ‘weixin.qq.com’. Sogou also EWOM is comments about a product or service provided by cus-
provides open API for programmers to develop more applications tomers via networks (Hennig-Thurau et al., 2003). It has a direct
to fully utilize social media content. Another example is from impact on consumers’ trust and purchasing behavior (Dellarocas
Xiaomi. (www.mi.com). Xiaomi, one of the leading tech firms in et al., 2007; Duan et al., 2008). It can overcome the limitations of
China, manufactures the popular Redmi and Mi smartphones. traditional WOM, so therefore has been widely analyzed in the
The company attracts many young users and they share content field of e-commerce, information systems and marketing.
about Xiaomi’s products on social media. In return, Xiaomi With the development of Web 2.0, social media has become
provides links to this content for consumers to easily access more more and more popular. According to a report by CNNIC, as of June
information about its products (e.g., www.linkedin.com/company/ 2014, there were 275-million microbloggers in China. The contents
xiaomi-technology). This makes both sharing and browsing on social media have become an important information source to
comments about Xiaomi’s products convenient. help consumers make decisions. Consumers increasingly use com-
Specifically, this research focuses on the following scenario. ments posted on Facebook, Twitter, etc., to valuate products and
People browse for goods on e-commerce website, and consumer’s services prior to making a purchase (Yan et al., 2014a). Carleen
comments about the goods are available directly on the site, (2009) pointed out that many patients use social media to discuss
including links to social media, such as Twitter. At first, consumers medical services and their doctors in order to optimize treatments.
use EC-eWOM. If they can’t make shopping decisions based on Social media content can also influence destination attractiveness
EC-eWOM, they turn to SM-eWOM. In reality, this sequence could in consumers’ early travel decision-making stage (Shu and Scott,
be reversed, meaning consumers use SM-eWOM first, and then 2014). The companies can use social media as an additional
EC-eWOM. However, this scenario is not the focus of this paper customer service and communication tool to gain insight into
and could be studied in another research. consumers’ needs, wants, concerns and behaviors in order to serve
Regarding EC-eWOM and SM-eWOM, there’s lots of research them better (He et al., 2013).
demonstrating the individual impact each has on consumer deci-
sions. However, little is known about the consumers’ decisions
when they are simultaneously facing both types of eWOM. To 2.2. Elaboration likelihood model
our knowledge, this is one of the first studies focusing on how con-
sumers choose between EC-eWOM and SM-eWOM. In addition, The elaboration likelihood model (ELM) is an important informa-
previous studies have revealed that the cognitive level and involve- tion processing theory (Park and Lee, 2009a,b; Cheung et al., 2008;
ment of consumers moderates the impact of eWOM (Cheung et al., Chu and Kamal, 2008; Gupta and Harris, 2010; Lee et al., 2008;
2009b; Park and Kim, 2009; Gupta and Harris, 2010). This research Petty and Cacioppo, 1986), which explains how individuals are
will also verify the moderating effects of these factors on the adop- influenced by the received messages in persuasive communication
tion of the two kinds of eWOM. (Shih et al., 2013). The model defines two routes for processing: the
This research addresses the following questions: (1) which kind central route and the peripheral route. The central route is used
of eWOM will be chosen by consumers when they are facing when the message receiver is able to understand the message
EC-eWOM and SM-eWOM simultaneously? And (2) how does the without being distracted by any other superficial information.
cognitive level and involvement of consumers moderate the The central route emphasizes high relevance of the message to
adoption process for the types of eWOM? the individual. The greater the relevance and the more interest that
Overall, this research clarifies the mechanism of consumer’s the individual shows in the subject of the message, the higher the
adoption of EC-eWOM and SM-eWOM from the perspective of cog- chances that they will think or elaborate on the message (Morris
nitive cost theory. The contributions include the following three et al., 2005). The peripheral route occurs when the message recei-
aspects: Firstly, it introduces a research model that analyzes the ver is unable or unwilling to engage in much thought about the
impacts of multiple channels of eWOM on consumers’ decisions. message. The message receiver decides whether to agree with
64 Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73

the message based on other cues besides the strength of the argu- 2.4. Cognitive cost
ments or ideas in the message.
Previous researchers have empirically confirmed the validity of The cognitive cost model plays an important role in under-
ELM in eWOM context. Argument quality (Cheung et al., 2009a; standing consumer decision-making (Punj and Moore, 2007). The
Chu and Kamal, 2008; Park et al., 2007; Zhang and Watts, 2008) cognitive cost perspective in behavioral decision theory indicates
and decisive information (Cheung et al., 2009b, 2012; Kamins that consumers undertake cost-benefit tradeoffs when going
and Assael, 1987) have been considered as the most significant through a decision-making task (Todd and Benbasat, 1992). The
central route factors; and source credibility (Cheung et al., 2008; cognitive cost model theorizes that consumers display limited cog-
Zhang and Watts, 2008), information consistency (Zhang and nitive abilities, and thus, their actions during decision-making
Watts, 2008), information volume and rating (Cheung et al., tasks depend on the associated cognitive costs (Payne, 1982). For
2009b, Duan et al., 2008; Park and Kim, 2009) are usually consid- consumers, more information is not always better. If the informa-
ered as the typical peripheral route factors (Luo et al., 2014). tion load exceeds a certain threshold, it will decrease the con-
sumers’ decision quality and negatively impact the consumers’
shopping experience (Malhotra and Lagakos, 1982; Meyer, 1998;
2.3. EWOM adoption Scammon, 1977). A recent study also pointed out that information
overload is a main cause of SNS fatigue (Lee et al., 2016).
Previous studies about eWOM can be divided into two groups: Payne proposed a cost-benefit framework of cognition, which
population aspect and individual aspect. The former mainly was subsequently supported by other researchers (Bettman et al.,
focuses on the relationship between eWOM and product sales 1990). As per this framework, consumers continue to search for
based on panel data collected from electronic commerce websites additional information only until the benefit from additional infor-
(Chen and Xie, 2005; Cheung et al., 2012; Chevalier and Mayzlin, mation is equal to or greater than the cognitive cost of the search.
2006; Clemons et al., 2006; Dellarocas et al., 2007; Duan et al., Maity and Dass (2014) studied the cognitive cost caused by the dif-
2008). The latter treats eWOM as an interactive process between ferent media richness in e-commerce and mobile commerce envi-
consumers. The communication between the senders and receivers ronments, and addressed its influences on consumer’s behavior.
of eWOM finally influences the decision of receivers (Cheung et al., Kuksov and Villas-Boas (2010) has shown that information
2009b; Park and Kim, 2009; Zhang and Watts, 2008). Our research overload and search costs can discourage decision makers from
focuses on the adoption of eWOM during a consumer’s decision- evaluating choices, leading to a scenario where they make no
making process. choices at all. Ghose et al. (2014) also proved that providing more
There have been numerous studies about the factors that may information can actually lead to fewer purchases. Regarding the
impact the adoption of eWOM. Nonaka (1994) addressed informa- problems in our research, the overflow of online information
tion adoption as a process of information transformation and inter- increases the cognitive costs to consumers, so they will not accept
nalization. Consumers make decisions based on eWOM because of all eWOM without considering the cognitive costs. The cognitive
its informative and persuasive nature (Goh et al., 2013). According cost is one of the underlying consideration of online information
to the theory of reasoned action (TRA) and the technology acceptance adoption in the age of information explosion.
model (TAM), usefulness is one of the key factors that impact the
acceptance of certain technology or behavior. Sussman and Siegal 3. Model and hypotheses
(2003) extended the research about usefulness to the field of infor-
mation adoption. They addressed usefulness as a key antecedent 3.1. Conceptual model
factor of the acceptance of information. Cheung et al. (2009a)
and Liu and Zhang (2010) proved that the usefulness significantly Based on the above-mentioned literatures, information useful-
affects the adoption of eWOM. Cheung et al. (2008) also pointed ness is considered to be a key antecedent factor of information
out the usefulness of eWOM is affected by its relevance, timeliness, adoption (Cheung et al., 2009a; Sussman and Siegal, 2003), which
accuracy and integrity. Baek et al. (2012) found that the consis- has also been proved in the context of eWOM. Meanwhile,
tency of ratings, the count of vocabularies, and the proportions of researchers also use credibility theory to study online information
negative contents also affect the usefulness of eWOM. Sussman spreading, proving that credibility is another crucial antecedent
and Siegal (2003) highlights the assessment of information useful- factor of eWOM adoption (Cheung et al., 2009b; McKnight and
ness as a mediator of the information adoption process. Kacmar, 2007). Thus, our research deduces that usefulness and
Meanwhile, Cheung et al. (2009a) pointed out that the con- credibility are two factors influencing eWOM adoption.
sumers’ trust contributes to the adoption of eWOM. The research Partially based on the work of Cheung and Thadani (2012), we
of Kamins and Assael (1987) proved that the integrity of WOM also figured out the independent variables that impact the eWOM use-
impacts the perceived credibility of consumers. Mcknight et al. fulness and credibility, as illustrated in the conceptual model of
(2002) argued that only when consumers believe the received our research (Fig. 1). Consumers’ characters (cognitive level and
information is credible, will they adopt the eWOM to help them involvement degree) moderate the effects of independent variables
make decisions. In contrast, it is less likely for consumers to adopt on eWOM usefulness and credibility (Park and Kim, 2009; Gupta
eWOM if they consider the information unbelievable, thus the and Harris, 2010; Lee et al., 2008; Doh and Hwang, 2009). Our
impacts of the eWOM decrease correspondingly (Cheung et al., model diverges from previous work by including SM-eWOM adop-
2009b). Cheung et al. (2009a) also proved that online information tion as a new dependent variable.
credibility positively impacts the adoption. Further, previous Compared with EC-eWOM, SM-eWOM is usually scattered
research showed that the credibility of information is influenced among the messages generated by social media users. SM-eWOM
by its source. Information is more credible when users are more displays a more unstructured data source. The rating and volume
familiar with its source. Self (1996) proved that a difference exists of SM-eWOM are harder to measure than that of EC-eWOM. In
between the impact of information from sources with higher or addition, according to the cognitive cost model, when consumers
lower credibility. Regarding online shopping, consumers perceived browse e-commerce websites, they usually refer to SM-eWOM
credibility of eWOM was more critical for their subsequent shop- only when EC-eWOM is not helpful enough to make decisions.
ping intention and behavior, because they could not touch the Thus, in this paper, we study the adoption of SM-eWOM from
physical goods (Fan et al., 2013). the aspects of perceived usefulness and credibility of EC-eWOM.
Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73 65

Cognitive Involvement Consumers


level degree Characteristics

H7a H7b
H8a

H8b
EC-eWOM H2
Volume
EC-eWOM H1a EC-eWOM
Usefulness Adoption
H3 H1b
EC-eWOM
Rate H9a
Extremism

EC-eWOM H5
Integrity
H4a
EC-eWOM SM-eWOM
Credibility H4b Adoption
EC-eWOM H6
Source
Credibility

Fig. 1. Conceptual model.

3.2. Hypotheses (2010) also empirically illustrated that even negative publicity
can increase purchase likelihood and sales by increasing product
3.2.1. Usefulness related hypotheses awareness. Here we have the following hypothesis:
Based on the information adoption theory, information influ-
ences users’ behavior according to users’ judgment about the use-  Hypothesis 2. EC-eWOM volume positively influences the per-
fulness of information itself. As a special online information, the ceived EC-eWOM usefulness.
usefulness of EC-eWOM impacts the adoption of EC-eWOM
(Cheung et al., 2009a; Liu and Zhang, 2010; Cheung et al., 2008). Most e-commerce websites provide rating mechanism. The EC-
According to cognitive cost theory, although EC-eWOM and SM- eWOM rating means the overall scores given by other consumers
eWOM exist simultaneously on the Internet, consumers do not about on a product. Previous research has shown that the EC-
always consider both every time, in order to reduce the cognitive eWOM rating (Cheung et al., 2009b; Duan et al., 2008; Park and
cost (Salant, 2011; Liu et al., 2011; Brenčič, 2014). When shopping Kim, 2009) has effect on the decision making process of consumers
on e-commerce websites, consumers refer to SM-eWOM only as a typical peripheral route clue (Luo et al., 2014). The impacts of
when they cannot make shopping decisions based on the EC- EC-eWOM rate on consumers’ shopping decisions and products
eWOM alone. Thus, we propose the following hypotheses: sales are also discussed in many literatures (Dellarocas et al.,
2007; Ye et al., 2009; Lee and Lee, 2009; Öğüt and Onur Tasß,
 Hypothesis 1a. Perceived EC-eWOM usefulness positively influ- 2012; Yan et al., 2014b). Higher rates encourage consumption
ences the EC-eWOM adoption. while lower rates discourage shopping behavior (Baek et al.,
 Hypothesis 1b. Perceived EC-eWOM usefulness negatively 2012). Compared with medium rates, higher rates and lower rates
influences the SM-eWOM adoption. may impress consumers more strongly (Cheung et al., 2009b;
Mudambi and Schuff, 2010). While medium rate usually means
With ELM, when the message receiver is unable or unwilling to an ambiguous attitude towards a product, it may cause consumers
engage in much thought about the message, he decides whether to feeling confused and increase the difficulty to make purchase deci-
agree with the message based on other cues, besides the strength sions. In this research, we use rate extremism to represent that the
of the arguments or ideas in the message. Information volume overall rate given by other consumers about a product is biased.
(Cheung et al., 2009b, Duan et al., 2008; Park and Kim, 2009) is We propose:
usually considered to be one of the typical peripheral route cues.
Past studies have proved the positive relationship between online  Hypothesis 3. EC-eWOM rate extremism positively influences
review volume and product sales (Liu, 2006; Dellarocas et al., the perceived EC-eWOM usefulness.
2007; Duan et al., 2008; Park et al., 2012). Duan et al. (2008) argued
that the volume of EC-eWOM reflects a sense of presence for prod- 3.2.2. Credibility related hypotheses
ucts, which arouses the awareness effect among consumers. Regarding online shopping, consumer’s perceived credibility of
Reading numerous EC-eWOM by others can reduce consumers’ eWOM was more critical for their subsequent shopping intention
anxiety when making a purchase decision because consumers rea- and behavior, because they could not touch the physical goods
son that many others have also purchased the product. A higher (Fan et al., 2013). When consumers consider the EC-eWOM to be
volume of EC-eWOM means the more sales of products (Duan credible, they have the confidence to adopt it for assisting decision
et al., 2008; Davis and Khazanchi, 2008; Liu, 2006), which in turn making and do not spend any more energy on other sources of
attracts even more consumers. So from the perspective of information, to reduce the cognitive cost (Salant, 2011; Liu et al.,
consumers, the volume is a predictor of product quality and 2011; Brenčič, 2014). Otherwise, consumers will not adopt it for
impacts the judgment of EC-eWOM usefulness for consumers the purpose of risk-reduction (Cheung et al., 2009b). When con-
(Berger et al., 2010; Duan et al., 2008). In addition, Berger et al., sumers consider the EC-eWOM to be unreliable, they refer to other
66 Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73

sources of information, such as SM-eWOM, to assist decision mak- central route. Park and Kim (2009) pointed out that cognitive level
ing. Thus, we propose the following hypotheses: has obvious influences on consumers’ use of online reviews, mean-
while, customers with high expertise are able to evaluate informa-
 Hypothesis 4a. Perceived EC-eWOM credibility positively influ- tion according to their own experience and knowledge. Doh and
ences the EC-eWOM adoption. Hwang (2009) pointed out that consumers’ involvement and prior
 Hypothesis 4b. Perceived EC-eWOM credibility negatively knowledge partially moderate the relationship between the ratio
influences the SM-eWOM adoption. of messages and the eWOM effect.
Consumers tend to expand their information gathering as their
Integrity means that the EC-eWOM should include both positive involvement with the product is increased. A higher involvement
and negative information, covering the pros and cons of a product may cause consumers to become suspicious about the positive
or service. It impacts the credibility of EC-eWOM. Although posi- messages, and the effect of negative messages will thus be
tive EC-eWOM should be helpful in promoting positive attitudes increased. Fan et al., (2013) argued that consumers with higher
toward the products, a few negative messages within the majority involvement have more motivation to understand products and
of positive messages are not critically harmful (Doh and Hwang, are more likely to read others’ opinions to gather more informa-
2009). This is likely due to consumers’ suspicion that the set of tion. Research of Cheung et al., (2009b) showed that involvement
pure positive EC-eWOM stems from corporate unethical behavior significantly moderates the relationship between recommendation
such as stealth marketing activities. Because some companies consistency and perceived review credibility. They additionally
reportedly try to manipulate and manage the voice of general con- pointed out that different types of prior knowledge (on the review
sumers with intentional interruptions in online user-to-user com- topic, on the discussion forum) moderate the impact of different
munication, some participants did not trust the sincerity of perfect determinants on eWOM credibility. For example, the higher the
sets with all positive EC-eWOM. This suspicion might influence the consumer’s prior knowledge of the review topic, the less the source
results regarding the attitude toward the credibility of eWOM. In credibility will affect perceived review credibility. Doh and Hwang
other words, Integrity enhances the persuasion power and makes (2009) also proved that consumers with higher prior knowledge
EC-eWOM more credible (Kamins and Assael, 1987; Doh and can be more sensitive to negative messages than consumers with-
Hwang, 2009). The following hypothesis is proposed: out prior knowledge.
In this article, we summarize the moderating factors in prior
 Hypothesis 5. EC-eWOM integrity positively influences the per- research as the degree of involvement and the cognitive level. For
ceived EC-eWOM credibility. consumers with higher involvement degree and cognitive level,
they will have stronger intentions to have a comprehensive
Source credibility is defined as the perceived ability and motiva- decision-making process, and they will have a stronger ability to
tion of the message writer to produce accurate and truthful infor- make the purchase decision based on their own expertise, and
mation (Li and Zhan, 2011). It means the extent to which one not only on the EC-eWOM. Thus, the following two groups of
perceives a recommendation or review as believable, true, or fac- hypotheses are proposed:
tual (Cheung et al., 2009b). According to ELM, source credibility
significantly impacts individual’s attitude through the peripheral  Hypothesis 7a. The cognitive level of consumers negatively
route (Petty and Cacioppo, 1986), and it is a key factor in assisting moderates the effects of EC-eWOM volume and rate extremism
a consumer to judge online information (Wathen and Burkell, on the perceived EC-eWOM usefulness.
2002). Fan et al. (2013) pointed out that source credibility is fairly  Hypothesis 7b. The degree of involvement of consumers nega-
consistent with trustworthiness and expertise. In an online envi- tively moderates the effects of EC-eWOM volume and rate
ronment, consumers rarely touch the product or recognize the extremism on the perceived EC-eWOM usefulness.
eWOM sender. Source credibility is a vital predictor in the early
stage when a consumer is choosing a website, and it contributes and:
to the perceived credibility of messages on the site (Dabholkar,
2006; Fan et al., 2013). Awad and Ragowsky (2008) suggested that  Hypothesis 8a. The cognitive level of consumers negatively
perceived credibility is a prime determinant in a consumer’s moderates the effects of EC-eWOM integrity and source credi-
decision-making process, and reduces uncertainty in both social bility on the perceived EC-eWOM credibility.
and business interactions. Messages from sources with high credi-  Hypothesis 8b. The degree of involvement of consumers nega-
bility have greater influence on recipients (Hovland and Weiss, tively moderates the effects of EC-eWOM integrity and source
1951). Source credibility plays an important role in consumer trust credibility on the perceived EC-eWOM credibility.
in eWOM and positively influences the perceived eWOM credibil-
ity (Chih et al., 2013). Thus, we propose this hypothesis: 3.2.4. Mediating effects
EC-eWOM and SM-eWOM are not processed separately. Infor-
 Hypothesis 6. EC-eWOM source credibility positively influences mation from different channels impacts consumers together
the perceived EC-eWOM credibility. (Munar and Jacobsen, 2013; Xu et al., 2014). According to studies
about cognitive cost, consumers undertake cost-benefit tradeoffs
3.2.3. Moderating effects when going through a decision-making task (Todd and Benbasat,
The effects of eWOM vary for different individuals. Regarding 1992). Because of limited cognitive abilities, consumers continue
the same eWOM, consumers may have different responses because to search for additional information only until the benefit from
of their different cognitive level, experience and involvement additional information is equal to or greater than the cognitive cost
degree (Chaiken, 1980). Researchers widely agree that consumer- of the search. They will not accept all eWOM without considering
related factors, such as consumer’s cognitive level and involvement the cognitive costs. Mitchell and McGoldrick (1996) pointed out
degree, greatly influence eWOM effects (Doh and Hwang, 2009; that when facing the uncertainty of information, individuals may
Park and Kim, 2009; Fan et al., 2013; Cheung et al., 2009b). Accord- refer to information from social network sources for the purpose
ing to ELM, when the involvement degree of consumers is low, of risk reduction. Social media has now become a platform for
eWOM mainly works through the peripheral route, whereas the eWOM communications (Chu and Kim, 2011).
Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73 67

In our research scenario explained in the introduction section, survey so the respondents understand the questions. The second is
consumers access EC-eWOM first when they browse e-commerce about the demographic information of the respondents. The third
websites. When they cannot make shopping decisions based on is the main body of the survey which includes 30 items. To ensure
EC-eWOM, they refer to SM-eWOM to get more information and/ the content validity of the data, all the items for the theoretical
or to reduce risks. In more detail, when the perceived usefulness constructs are adopted from previous studies, with elaborate
and credibility of EC-eWOM decrease, the intention to adopt EC- adjustment, as illustrated in Table 1. The questionnaire uses a 5
eWOM will also decrease. That means consumers may find diffi- point Likert scale, with 1 for ‘‘strongly disagree” and 5 for ‘‘strongly
culty making decisions merely based on EC-eWOM. Under this cir- agree.”
cumstance, consumers may refer to SM-eWOM. If EC-eWOM is According to a survey conducted by CNNIC in March 2013,
enough for consumers’ to make shopping decisions, they will not 63.4% of Internet users in China are of 18–30 years old and 41%
refer to SM-eWOM for the purpose of cost-reduction. Thus, the have a bachelor’s degree or above. Students account for more than
adoptions of EC-eWOM and SM-eWOM are not isolated processes. a quarter of Internet users. Based on the overall characteristics of
The consumers’ attitude towards EC-eWOM may influence their Internet users in China, our survey mainly aimed at college
attitude towards SM-eWOM. We propose: students. It was conducted through an online survey website
(www.sojump.com). A total of 300 questionnaires were collected,
 Hypothesis 9a. EC-eWOM adoption negatively influences and after eliminating those with incomplete information, 289
SM-eWOM adoption. samples were used for this empirical analysis.
 Hypothesis 9b. EC-eWOM adoption mediates the effect of
perceived usefulness on SM-eWOM adoption.
 Hypothesis 9c. EC-eWOM adoption mediates the effect of 4.2. Demographic and descriptive statistical analysis
perceived credibility on SM-eWOM adoption.
The demographic characteristics provided in Table 2. According
Our model differs from previous studies because it focuses on to the results, 140 respondents were male and 149 were female
the adoption of SM-eWOM. Although the independent variables (48.4% vs 51.6%). Most of the people samples were young people,
and mediating variable are all about the EC-eWOM, we emphasize with 77.9% of the respondents between 21 and 25 years of age.
how the changes of these variables may finally influence the adop- We used ANOVA to verify if the demographic characteristics of
tion of SM-eWOM, through the mediating effects of EC-eWOM the samples impact the usefulness and credibility of EC-eWOM.
adoption. According to Tables 3 and 4, the values of p are all bigger than
0.05. There is no difference about the usefulness and credibility
4. Empirical analysis of EC-eWOM among samples with different demographic
characteristics.
4.1. Questionnaire and data collection We utilized Cronbach’s alpha, average variance extracted (AVE)
and composite reliability (CR) for each construct to assess the con-
The empirical data were collected through a questionnaire sur- vergent validity (Fornell and Larcker, 1981). As shown in Table 5,
vey. The questionnaire includes three parts. The first describes the the values of Cronbach’s alpha for all of the constructs are above

Table 1
Constructs and instruments.

Constructs (sources) Definition Instruments


EC-eWOM volume (Park and Lee, 2009) Total number of posted reviews (Gauri et al., The quantity of EC-eWOM information is great
2008) The number of EC-eWOM is large
EC-eWOM rate extremism (Duan et al., 2008) The arithmetic average of all the previous user The overall rate given by other consumers is high
review ratings (Duan et al., 2008) The overall rate given by other consumers is low
The overall rate given by other consumers is biased
EC-eWOM integrity (Luo et al., 2014) Comprehensiveness of messages refers to their EC-eWOM only has positive or negative comments
completeness (Cheung and Thadani, 2012) EC-eWOM is biased towards one side or the other
EC-eWOM includes both positive and negative comments
EC-eWOM source credibility (Sussman and Siegal, 2003) Message source’s perceived ability (expertise) The writer of EC-eWOM is an expert at the product
or motivation to provide accurate and truthful The writer of EC-eWOM is knowledgeable about the
information (trustworthiness) (Cheung et al., product
2008) The writer of EC-eWOM is trustworthy
The writer of EC-eWOM is reliable
Cognitive level (Park and Kim, 2009) The knowledge level (high or low) that I am knowledgeable about the product
consumers have on products they tend to buy I have rich purchasing experience on the product
(Park and Kim, 2009) I have the ability of judgement regarding the eWOM
Degree of Involvement (Wang et al., 2012) The degree of psychological identification and The product is of concern to me
affective, emotional ties the consumer has with The product is important for me
a stimulus or stimuli (Doh and Hwang, 2009) The product is relevant to me
EC-eWOM usefulness (Sussman and Siegal, 2003) The perception of an eWOM message being EC-eWOM is valuable
useful (Cheung et al., 2008) EC-eWOM is informative.
EC-eWOM is helpful
EC-eWOM credibility (Cheung et al., 2009b) The perceived degree to which an eWOM EC-eWOM is factual
review provides accurate and truthful EC-eWOM is accurate
information. (Doh and Hwang, 2009) EC-eWOM is credible
EC-eWOM adoption (Sussman and Siegal, 2003) A process in which people purposefully engage I agree with the content of EC-eWOM
in using EC-eWOM (Cheung et al., 2008) I will follow the suggestion of EC-eWOM information
EC-eWOM motivates me to make purchase decision
SM-eWOM adoption (Sussman and Siegal, 2003) A process in which people purposefully engage I agree with the content of SM-eWOM
in using SM-eWOM (Cheung et al., 2008) I will follow the suggestion of SM-eWOM information
SM-eWOM motivates me to make purchase decision
68 Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73

Table 2 Table 6
Demographic characteristics of the samples. Correlation Analysis of EC-eWOM Usefulness (Pearson).

Frequency Percentage Construct 1 2 3


(%)
1 Volume 1
Gender Male 140 48.4 2 Rate Extremism 0.502** 1
Female 149 51.6 3 Usefulness 0.877** 0.571** 1
Age Less than 20 19 6.6 **
p < 0.01.
21–25 225 77.9
26–30 40 13.8
More than 30 5 1.7
Online shopping Less than 1 year 19 6.6
regression to test the effects of volume and rate extremism on
experience 1-3 years 103 35.6
4–5 years 118 40.8 the usefulness of EC-eWOM. As shown in Table 7, the model is sig-
6–7 years 36 12.5 nificant, with F = 544.6 and p < 0.01, the adjusted R2 is 0.791. The
More than 7 years 13 4.5 volume and rate extremism positively impact the usefulness of
Education High school and 16 5.5 EC-eWOM, thus H2 and H3 are supported, and the impact of vol-
below ume is stronger than that of rate extremism.
Bachelor degree 91 31.5
Masters 162 56.1
Ph.D. 20 6.9
4.3.2. Analysis of EC-eWOM Credibility
We also performed correlation analysis to test the relation
between EC-eWOM credibility and its antecedent factors. As
Table 3
shown in Table 8, there are significant positive correlations
ANOVA Analysis of EC-eWOM Usefulness. between integrity, source credibility and the EC-eWOM credibility,
with Pearson coefficients of 0.871 and 0.910. The results in Table 8
F p
confirm H5 and H6. We performed multiple regression to test the
Gender 0.660 0.776 effects of integrity and source credibility on the EC-eWOM credi-
Age 1.009 0.438
Online shopping experience 1.082 0.376
bility. As shown in Table 9, the model is significant, with
Education 1.002 0.445 F = 750.9 and p < 0.01, the adjusted R2 is 0.839. The integrity and
source credibility positively impact EC-eWOM credibility, thus
H5 and H6 are supported.
Table 4
ANOVA Analysis of EC-eWOM Credibility. 4.3.3. Analysis of eWOM Adoption
F p
We also performed regression analysis between the EC-eWOM
usefulness, credibility and the adoption of EC-eWOM and SM-
Gender 0.915 0.526
Age 1.166 0.311
eWOM, as shown in Table 10.
Online shopping experience 0.802 0.638 The two models are both significant with p < 0.01, and
Education 0.441 0.936 F = 1266.2 and 946.8. The adjusted R2 values are 0.898 and 0.868,
indicating the good fit of the two models. Usefulness and credibil-
ity of EC-eWOM could be used to predict consumers’ behavior
0.7, all of the AVE values are above 0.6, and the composite reliabil- towards eWOM on both e-commerce websites and social media.
ity values are above 0.8. These results confirmed the convergent According to the coefficients in Table 10, the usefulness and cred-
validity of the data. ibility positively impact the adoption of EC-eWOM (b = 0.371,
p < 0.01; b = 0.628, p < 0.01), and negatively impact the adoption
of SM-eWOM (b = 0.274, p < 0.01; b = 0.700, p < 0.01). When
4.3. Model analysis consumers’ perceived usefulness and credibility of EC-eWOM are
high, they would prefer to make shopping decisions based on the
4.3.1. Analysis of EC-eWOM usefulness comments on e-commerce websites. However, when the perceived
We performed correlation and regression analysis with SPSS usefulness and credibility of EC-eWOM are low, consumers would
20.0. As shown in Table 6, there are significant positive correlations prefer to make decisions based on the comments from friends on
between volume, rate extremism and the usefulness of EC-eWOM, social media. Thus, H1a, H1b, H4a and H4b are supported. In addi-
with Pearson coefficients of 0.877 and 0.571, respectively. The tion, despite the adoption of EC-eWOM, or SM-eWOM, the impact
results in Table 6 confirm H2 and H3. We performed multiple of credibility is stronger than that of usefulness.

Table 5
Descriptive statistics and convergent validity test.

Construct items No. of Items Max Min Means Standard deviation Cronbach’s a AVE CR
Usefulness 3 5.00 1.33 3.64 0.885 0.845 0.804 0.907
Credibility 3 5.00 1.33 3.66 0.871 0.844 0.806 0.907
Volume 2 5.00 1.33 3.61 0.860 0.789 0.756 0.879
Rate extremism 3 4.67 1.33 3.72 0.823 0.915 0.886 0.941
Integrity 3 5.00 1.33 3.67 1.019 0.875 0.844 0.908
Source credibility 4 5.00 1.50 3.73 0.987 0.841 0.755 0.886
Involvement degree 3 4.67 1.33 3.54 0.864 0.773 0.702 0.874
Cognitive level 3 5.00 1.33 3.68 0.742 0.704 0.644 0.840
EC-eWOM adoption 3 5.00 1.33 3.71 0.939 0.834 0.764 0.901
SM-eWOM adoption 3 4.67 1.00 2.48 0.830 0.832 0.792 0.900
Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73 69

Table 7
Regression analysis of EC-eWOM usefulness.

Constructs Unstandardized coefficients Standardized coefficients t p Adjusted R2 F


B Beta
Volume 0.812 0.789 25.307 0.000 0.791 544.6
Rate Extremism 0.188 0.175 5.623 0.000
Dependent variable: EC-eWOM usefulness

Table 8 As shown in Table 15, with the moderating effect, the 4R2 are
Correlation analysis of EC-eWOM credibility (Pearson). 0.001 and 0.002, indicating no improvement of model fit. The
results in Table 16 also show that the cognitive level’s moderating
Construct 1 2 3
effect for credibility is not significant (p = 0.179 and 0.012). This
1 Integrity 1
means the cognitive level of consumers doesn’t moderate the
2 Source credibility 0.906** 1
3 EC-eWOM credibility 0.871** 0.910** 1 impacts of the antecedent factors of EC-eWOM credibility. So
**
H8a is not supported.
p < 0.01.
R2 also changes little after including the moderating effect of
involvement degree, according to the results in Table 17. The
4.3.4. Analysis of moderating effects involvement degree’s moderating effect for credibility is not signif-
We discussed the moderating effects of consumer characteris- icant (p = 0.132 and 0.126) either, as shown in Table 18. The
tics (cognition level and degree of involvement). We first analyzed involvement degree of consumes doesn’t moderate the impacts
the moderating effects on the influences of the antecedent factors of the antecedent factors of EC-eWOM credibility. So H8b is not
of EC-eWOM usefulness, as shown in Tables 11–14. The variables supported either.
in the analysis are centered.
According to Table 11, the value of 4R2 indicates that the cog-
4.3.5. Analysis of the mediation effect
nitive level moderates the effects between volume, rate extremism
We tested the mediation effect of EC-eWOM adoption on SM-
and EC-eWOM usefulness. The moderating effects are proportional
eWOM adoption based on the method proposed by Wen et al.
to the impacts of the two independent variables, in other words,
(2005). In Fig. 2, Models 1–3 are used to verify the mediation effect
the stronger the impact of independent variable is, the stronger
on the relationship between usefulness and SM-eWOM adoption,
the moderating effect will be. The results in Table 12 also verify
and Models 4–6 are to verify the mediation effect on the relation-
the moderating effects (p < 0.01), and the cognitive level negatively
ship between credibility and SM-eWOM adoption. As illustrated in
moderates the impacts of independent variables, with b of 0.249
Fig. 2(a), to test the mediation effect of EC-eWOM adoption, we
and 0.137. H7a is supported. That means with the increase of the
first need to test the significance of coefficient c1 in Model 1. If c1
cognitive level of consumers, the impacts of volume and rate
is significant, then we need to further test the significance of coef-
extremism of EC-eWOM will become weaker.
ficient a1 and b1 in Models 2 and 3. If a1 and b1 are significant, then
Similarly, according to Tables 13 and 14, consumers’ involve-
we must verify the mediating effect according to c10 . If at least one
ment degree moderates the relationship between volume, rate
of a1 and b1 is not significant, then we must verify the mediating
extremism and EC-eWOM usefulness. The results in Table 14 verify
effect through the Sobel test. The verification of the mediation
the moderating effects (p < 0.01), and the involvement degree neg-
effect on the relationship between credibility and SM-eWOM
atively moderates the impacts of independent variables, with b
adoption are illustrated in Fig. 2(b). The results are shown in Tables
values of 0.164 and 0.121. H7b is supported. Thus, with increase
19 and 20.
in consumer involvement, the impacts of volume and rate extrem-
According to Fig. 2(a) and Table 19, the coefficient a1 (0.920), b1
ism of EC-eWOM will be weaker.
(0.853) and c1 (0.826) are all significant, but c10 did not pass the
Tables 15–18 show the analysis results about the moderating
significance test (0.042, p = 0.54 > 0.05). Thus, EC-eWOM adop-
effects on the influences of the antecedent factors of EC-eWOM
tion has a complete mediation effect on the relationship between
credibility. The variables in the analysis are centered.
EC-eWOM usefulness and SM-eWOM adoption. The decrease of

Table 9
Regression analysis of EC-eWOM credibility.

Construct Unstandardized coefficients Standardized coefficients t p Adjusted R2 F


B Beta
Integrity 0.221 0.259 4.642 0.000 0.839 750.9
Source credibility 0.596 0.675 12.111 0.000

Dep. var.: EC-eWOM Credibility.

Table 10
Regression analysis of EC-eWOM and SM-eWOM adoption.

Model Construct Unstandardized coefficient Standardized coefficient t p Adjusted R2 F


B Beta
1 Usefulness 0.400 0.371 12.13 0.000 0.898 1,266.2
Credibility 0.666 0.628 20.53 0.000
2 Usefulness 0.257 0.274 7.89 0.000 0.868 946.8
Credibility 0.667 0.700 20.14 0.000

Model 1: Dep. var.: EC-eWOM adoption. Model 2: Dep. var.: SM-eWOM adoption.
70 Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73

Table 11 Table 15
Fit analysis of the moderating effect of cognitive level for usefulness. Fit analysis of the moderating effect of cognitive level for credibility.

Model Adjusted R2 DR2 Model Adjusted R2 DR2


Baseline 0.791 Baseline 0.840
Model 1 0.819 0.028 Model 1 0.839 0.001
Model 2 0.803 0.012 Model 2 0.842 0.002

Independent variables in each model: Baseline: Cognitive level, Volume, Rate Independent variables in each model:
extremism. Model 1: Cognitive level * Volume, Cognitive level, Volume, Rate extremism. Baseline: Cognitive level, Integrity, Source credibility.
Model 2: Cognitive level * Rate extremism, Cognitive level, Volume, Rate extremism. Model 1: Cognitive level * Integrity, Cognitive level, Integrity, Source credibility.
Model 2: Cognitive level * Source credibility, Cognitive level, Integrity, Source credibility.

Table 12
Regression analysis of the moderating effect of cognitive level for usefulness.

Variable Unstandardized Standardized t p Table 16


coefficient coefficient Regression analysis of the moderating effect of cognitive level for credibility.

B Beta Variable Unstandardized Standardized T P


coefficient coefficient
Volume 0.733 0.712 23.202 0.000
Rate extremism 0.141 0.131 4.245 0.000 B Beta
Cognitive level 0.615 0.319 6.779 0.000
Integrity 0.177 0.207 3.555 0.000
Cognitive 0.372 0.249 5.860 0.000
Source credibility 0.605 0.687 11.844 0.000
level * Volume
Cognitive level 0.135 0.071 1.751 0.081
Cognitive level * Rate 0.217 0.137 2.981 0.003
Cognitive 0.133 0.111 1.348 0.179
extremism
level * Integrity
The significance level is p < 0.01. Cognitive 0.254 0.205 2.524 0.012
level * Source
credibility

Table 13
Fit analysis of the moderating effects of degree of involvement for usefulness.

Model Adjusted R2 4R2


Table 17
Baseline 0.794 Fit analysis of the moderating effect of degree of involvement for credibility.
Model 1 0.808 0.014
Mode 2 0.802 0.008 Model Adjusted R2 4R2
0.838
Independent variables in each model: Baseline: Degree of involvement, Volume, Rate
Model 1 0.838 0
extremism. Model 1: Degree of involvement * Volume, Degree of involvement, Volume,
Model 2 0.838 0
Rate extremism. Model 2: Degree of involvement * Rate extremism, Degree of
involvement, Volume, Rate extremism Independent variables in each model: Baseline: Degree of involvement, Integrity,
Source credibility. Model 1: Degree of involvement * Integrity, Degree of involvement,
Integrity, source credibility. Model 2: Degree of involvement * Source credibility, Degree
the usefulness of EC-eWOM will weaken the adoption of EC- of involvement, Integrity, Source credibility.
eWOM, which in turn will promote the adoption of SM-eWOM.
The results support H9a and H9b.
According to Fig. 2(b) and Table 20, the coefficient a2 (0.865), b2
Table 18
(0.390), c2 (0.917) and c20 (0.579) are all significant. Thus, EC-
Regression analysis of moderating effect of degree of involvement for credibility.
eWOM adoption has a partial mediation effect on the relationship
between EC-eWOM credibility and SM-eWOM adoption. The Variable Unstandardized Standardized t p
coefficient coefficient
decrease of the credibility of EC-eWOM will weaken the adoption
of EC-eWOM, while simultaneously promoting the adoption of B Beta
SM-eWOM. The decrease of the intention to adopt EC-eWOM also Integrity 0.213 0.249 4.40 0.000
promotes the adoption of SM-eWOM. The results support also H9a Source credibility 0.600 0.681 11.96 0.000
Involvement degree 0.010 0.006 0.17 0.869
and H9c.
Involvement 0.128 0.103 1.51 0.132
degree * Integrity
Involvement 0.133 0.102 1.53 0.126
4.3.6. Results of verification of the hypotheses
degree * Source
Table 21 concludes the verification results for the hypotheses in credibility
our research.

Table 14
Regression analysis of the moderating effect of degree of involvement for usefulness.

Variable Unstandardized coefficient Standardized coefficient t p


B Beta
Volume 0.759 0.738 23.62 0.000
Rate extremism 0.140 0.130 4.05 0.000
Degree of Involvement 0.437 0.258 5.87 0.000
Degree of involvement * Volume 0.256 0.164 4.16 0.000
Degree of involvement * Rate extremism 0.180 0.121 2.83 0.005
Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73 71

EC-eWOM SM-eWOM EC-eWOM SM-eWOM


¦1 ¦4
Usefulness Adoption Credibility Adoption

EC-eWOM EC-eWOM
¦2 ¦5
Adoption Adoption

EC-eWOM SM-eWOM EC-eWOM SM-eWOM


¦3 ¦6
Usefulness Adoption Credibility Adoption

SM-eWOM_Adoption=c1*EC-eWOM_Usefulness+¦1 (1) SM-eWOM_Adoption=c2*EC-eWOM_Credibility+¦4 (4)

EC-eWOM_Adoption=a1*EC-eWOM_Usefulness+¦2 (2) EC-eWOM_Adoption=a2*EC-eWOM_Credibility+¦5 (5)

SM-eWOM_Adoption=c’1*EC-eWOM_Usefulness SM-eWOM_Adoption=c’2*EC-eWOM_Credibility
+b1*EC-eWOM_Adoption+¦3 (3) +b2*EC-eWOM_Adoption+¦6 (6)

(a) (b)
Fig. 2. Analysis of the mediation effect of EC-eWOM adoption.

Table 19 Table 21
Mediation effect of EC-eWOM adoption on relation between usefulness and SM- Results of hypotheses verification.
eWOM adoption.
No. Hypothesis Result
Model Coefficient T p Adjusted R2
H1a Perceived EC-eWOM usefulness positively influences the Supported
(1) c1 0.826 24.8 0.00 0.68 EC-eWOM adoption
(2) a1 0.920 39.8 0.00 0.85 H1b Perceived EC-eWOM usefulness negatively influences the Supported
(3) b1 0.853 12.5 0.00 0.79 SM-eWOM adoption
c10 0.042 0.61 0.54 H2 EC-eWOM volume positively influences the perceived EC- Supported
eWOM usefulness
H3 EC-eWOM rate extremism positively influences the Supported
perceived EC-eWOM usefulness
Table 20 H4a Perceived EC-eWOM credibility positively influences the Supported
Mediation effect of EC-eWOM adoption on relation between credibility and SM- EC-eWOM adoption
eWOM adoption. H4b Perceived EC-eWOM credibility negatively influences the Supported
SM-eWOM adoption
Model Coefficient t p Adjusted R2
H5 EC-eWOM integrity positively influences the perceived Supported
(4) c2 0.917 38.8 0.00 0.84 EC-eWOM credibility
(5) a2 0.865 29.3 0.00 0.75 H6 EC-eWOM source credibility positively influences the Supported
(6) b2 0.390 -9.47 0.00 0.88 perceived EC-eWOM credibility
c20 0.579 -14.1 0.00 H7a The Cognitive level of consumers negatively moderates Supported
the effects of EC-eWOM volume and rate extremism on
the perceived EC-eWOM usefulness
H7b The involvement degree of consumers negatively Supported
5. Conclusion moderates the effects of EC-eWOM volume and rate
extremism on the perceived EC-eWOM usefulness
5.1. Academic contributions H8a The cognitive level of consumers negatively moderates Not
the effects of EC-eWOM integrity and source credibility supported
on the perceived EC-eWOM credibility
UGC has become an important information source for con-
H8b The involvement degree of consumers negatively Not
sumers to make shopping decisions. Studies have proven that the moderates the effects of EC-eWOM integrity and source supported
perceived usefulness and credibility has significant influences on credibility on the perceived EC-eWOM credibility
the adoption of EC-eWOM. The volume and rating of EC-eWOM H9a EC-eWOM adoption negatively influences SM-eWOM Supported
also impacts the sales of products. Meanwhile, with the develop- adoption
H9b EC-eWOM adoption mediates the effect of perceived Supported
ment of social media, the influences of SM-eWOM are increasing.
usefulness on SM-eWOM adoption
Social media based marketing has also attracted the attentions of H9c EC-eWOM adoption mediates the effect of perceived Supported
enterprises. However, there is currently little research studying credibility on SM-eWOM adoption
the relationship between EC-eWOM and SM-eWOM. To compen-
sate this gap, our research focuses on the adoption process when
consumers face these two kinds of eWOM simultaneously.
The main content of our research includes the following three consumers’ decision-making, the high volume of online informa-
aspects. First, it is one of the first to study the inter-relationship tion increases the cognitive cost for consumers. To reduce this cost,
between the adoption of EC-eWOM and SM-eWOM. It enriches consumers do not adopt all information without selection. For cus-
the theoretical research about eWOM under the circumstances of tomers of e-commerce, if EC-eWOM can help them make their
social commerce. EC-eWOM’s usefulness and credibility positively shopping decisions, they prefer not to refer to SM-eWOM anymore,
impact the adoption of EC-eWOM, but negatively impact the adop- to reduce the cognitive cost. Only when EC-eWOM is not enough
tion of SM-eWOM. The adoption of EC-eWOM negatively impacts during the decision making process do customers of e-commerce
that of SM-eWOM, and mediates the effects of usefulness and cred- prefer to refer to SM-eWOM.
ibility on SM-eWOM adoption. Finally, consistent with previous researches, this research veri-
Second, our research explains the adoption process of the two fies the positive relation between volume, rate extremism and use-
kinds of eWOM based on the cognitive cost theory. Although EC- fulness of EC-eWOM, as well as the positive relation between
eWOM and SM-eWOM both provide supportive information for integrity, source credibility and the EC-eWOM credibility.
72 Q. Yan et al. / Electronic Commerce Research and Applications 17 (2016) 62–73

This research also shows that the influence of credibility on the when consumers are facing different kinds of eWOM simultane-
adoption of both kinds of eWOM is stronger than that of useful- ously needs to be further considered. Third, our research focuses
ness. This may because under the network environment, con- on a specific scenario where consumers browse eWOM on e-
sumers may make more efforts to figure out if the eWOM is commerce websites at the beginning and only refer to SM-
believable or not based on the credibility related clues. The integ- eWOM when necessary. However, the sequence could be reversed,
rity and source credibility are both factors that may improve the meaning consumers may refer to SM-eWOM first, and then EC-
perceived credibility of eWOM. The research further proves that eWOM. Future research could include more practical scenarios.
the cognitive level and involvement degree moderate the per- Finally, our research doesn’t cover all possible antecedent factors
ceived usefulness of EC-eWOM. But the moderating effect for the for usefulness and credibility in order to be more focused on the
perceived credibility is not significant. According to the results, relationship between EC-eWOM and SM-eWOM. More factors
for consumers with high cognitive and involvement level, the could be included in the future research of this topic.
impacts of volume and rate extremism of EC-eWOM on perceived
usefulness will decrease. That means during the information pro-
cess, consumers with high cognitive and involvement level mainly Acknowledgments
make decisions based on their own knowledge, experience and
judgment. They are more likely to determine the usefulness of The research was supported by Program for New Century Excel-
eWOM reasonably. Thus the impacts of volume and rate on the lent Talents in University (NCET-11-0597), Beijing Philosophy and
usefulness of eWOM will decrease correspondingly. Social Science Planning Project (13KDB011).
In conclusion, our study makes the following theoretical contri-
butions. First, it introduces a research model that analyzes the
impacts of multiple channels of eWOM on consumers’ decisions. References
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