Effects of source credibility and information quality on attitudes and purchase intentions of apparel

121 Pages·2016·1.61 MB·English

Effects of source credibility and information
quality on attitudes and purchase intentions
of apparel products

A quantitative study of online shopping among consumers in
Sweden

Authors: Anna Fanoberova
Hanna Kuczkowska

Supervisor: Galina Biedenbach

Student
Umeå School of Business and Economics
Spring Semester 2016
Master thesis, two-year, 30 hp
ii
Abstract
Nowadays rapid development of information and communication technologies induced
changes in many spheres of society. Digital media gives an access to diverse information
sources ensuring vast available information. However, it became more difficult to
evaluate credibility of these sources and quality of information provided by them. Issues
of source credibility and information quality are particularly important in the context of
online shopping. Consumers have to rely on information provided by online retailers and
other sources in order to make a right purchase decision.
The purpose of this master thesis is to examine effects of source credibility and
information quality on attitude toward using the information source and purchase
intention. Previous research investigated these effects only for one information source,
thus, this study addresses this gap by exploring three online information sources: retailer
source, eWOM source and neutral source. Furthermore, the theoretical framework is
applied to the context of online apparel shopping, as no similar studies have been
conducted in this area before. We have formulated the following research question:
What kind of effects do source credibility and information quality have on attitude toward
using information source and purchase intention of apparel products?
We used Theory of Reasoned Action and Information Adoption Model to develop a
conceptual model. Data was collected from a sample of 180 respondents, who completed
the online survey. Empirical findings demonstrate that factors of source credibility such
as trustworthiness, expertise and attractiveness have positive effects on the attitude
toward using eWOM source, while only trustworthiness and expertise positively affect
the attitude toward using neutral source. For eWOM and neutral source relationships
between factors of information quality and the attitude toward using the information
source were found insignificant. On the contrary, for retailer source only factors of
information quality, accuracy and relevance, show positive effects on the attitude toward
using retailer source. For all three sources attitudes toward using the information source
and subjective norms positively affect purchase intentions.
This work contributes to the existing knowledge by examining three online information
sources in one study, which enables to discover differences in effects of source credibility
and information quality on the attitude toward using the information source and purchase
intention among sources. Furthermore, this paper provides recommendations for
practitioners regarding improvement of perceived credibility and information quality of
each information source in order to increase the number of consumers willing to use the
source during information search.

iii
iv
Acknowledgements
Conducting the Master's thesis was an interesting learning process by which we
significantly broaden our knowledge in the field of marketing and consumer psychology.
However, writing this thesis presented a few challenges that would not have been
overcome without the great support of several people to whom we want to show our
appreciation.
We would like to express our gratitude to our thesis supervisor, Dr. Galina Biedenbach,
for her professional guidance, commitment and valuable support we received throughout
the entire research process. The enthusiastic encouragement we got inspired us to go an
extra mile in developing this research work. Her extensive knowledge and expertise in
the field of marketing as well as research helped us to make significant improvements in
our thesis. Furthermore, her advice and constructive suggestions greatly contributed to
the quality and significance of this work.
Also we would like to extend our thanks to the numerous respondents who participated
in our study and provided us with very valuable insights that greatly assisted in the
research. Lastly, we want to thank our families and friends for their understanding,
support and sound advice while writing this Master's thesis.

Umeå, May 23rd, 2016
Anna Fanoberova & Hanna Kuczkowska

v
vi
Table of Contents
INTRODUCTION ..................................................................................................... 1
Choice of subject ............................................................................................... 1
Problem background .......................................................................................... 1
Theoretical background and research gap.......................................................... 3
Research question .............................................................................................. 5
Research purpose ............................................................................................... 5
SCIENTIFIC METHOD ........................................................................................... 6
Research philosophy .......................................................................................... 6
Ontology ..................................................................................................... 6
Epistemology .............................................................................................. 7
Research approach ............................................................................................. 9
Research strategy ............................................................................................. 10
Pre-understanding ............................................................................................ 11
Literature search .............................................................................................. 12
Choice of theories ............................................................................................ 13
THEORETICAL FRAMEWORK .......................................................................... 15
Decision-making process and online shopping behaviour............................... 15
Behavioural theories ........................................................................................ 17
Theory of Reasoned Action and Theory of Planned Behaviour ............... 17
Attitude ..................................................................................................... 19
Subjective norms ...................................................................................... 19
Behavioural intentions and actual behaviour ........................................... 20
Information Adoption Model ........................................................................... 21
Theoretical foundations of Information Adoption Model ........................ 21
Information quality ................................................................................... 22
Source credibility ...................................................................................... 24
Information sources in the online context ........................................................ 29
Retailer source .......................................................................................... 30
eWOM source ........................................................................................... 31
Neutral source ........................................................................................... 32
Conceptual model ............................................................................................ 33
PRACTICAL METHOD......................................................................................... 37
Research design ............................................................................................... 37
4.2 Data collection ........................................................................................... 38
vii
Questionnaire construction .............................................................................. 39
Sampling technique .......................................................................................... 41
Pre-test ............................................................................................................. 42
Data analysis .................................................................................................... 43
Cronbach’s Alpha ..................................................................................... 43
Descriptive statistics ................................................................................. 44
Pearson Correlation .................................................................................. 44
Multiple regression ................................................................................... 44
Multicollinearity ....................................................................................... 45
Ethical considerations ...................................................................................... 46
EMPIRICAL FINDINGS AND ANALYSIS ......................................................... 48
Sample demographics ...................................................................................... 48
Cronbach’s Alpha Coefficient ......................................................................... 54
Descriptive statistics ........................................................................................ 55
Pearson Correlation analysis ............................................................................ 56
Multiple regression analysis ............................................................................ 59
Retailer source - Regression 1 .................................................................. 60
Retailer source - Regression 2 .................................................................. 61
eWOM Source - Regression 3 .................................................................. 62
eWOM source - Regression 4 ................................................................... 63
Neutral source - Regression 5 ................................................................... 64
Neutral source - Regression 6 ................................................................... 65
DISCUSSION ......................................................................................................... 67
Discussion of multiple regression analysis ...................................................... 67
Retailer source - Regression 1 .................................................................. 67
eWOM source - Regression 3 ................................................................... 68
Neutral source - Regression 5 ................................................................... 69
Aggregated results for Regression 2, Regression 4 and Regression 6 ............. 70
Revised conceptual model ............................................................................... 71
Revised conceptual model for retailers .................................................... 71
Revised conceptual model for eWOM source .......................................... 73
Revised conceptual model for neutral source ........................................... 75
6.4 General discussion ..................................................................................... 76
CONCLUSIONS ..................................................................................................... 78
General conclusion .......................................................................................... 78
viii
Theoretical contributions ................................................................................. 79
Societal implications ........................................................................................ 80
Managerial contributions ................................................................................. 80
Truth criteria .................................................................................................... 81
Reliability ................................................................................................. 82
Validity ..................................................................................................... 83
Replication ................................................................................................ 84
Limitations and further research ...................................................................... 84
References ............................................................................................................... 86
Appendix ............................................................................................................... 102

ix
Appendix
Appendix 1 ................................................................................................................... 102

x