The influence of unverified news and electronic word-of-mouth on customer satisfaction and purchase intention: An empirical study on the food and beverage industry
-
DOIhttp://dx.doi.org/10.21511/im.21(1).2025.12
-
Article InfoVolume 21 2025, Issue #1, pp. 142-156
- 66 Views
-
16 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
In the digital age, unverified news and electronic word-of-mouth (e-WOM) have become pervasive, raising concerns about their influence on customer behavior and decision-making. This research aims to investigate how unverified news affects customer purchase intention and satisfaction, emphasizing the mediating role of brand image within customer relationship management. Using the Elaboration Likelihood Model (ELM) as the theoretical framework, the study collected the data from 378 undergraduate and postgraduate students in Vietnam. The hypotheses were tested through Partial Least Squares Structural Equation Modeling (PLS-SEM) using SmartPLS4. There are two significant results. Firstly, unverified news has significantly influenced brand image and trust, leading to customer satisfaction and purchase intention. Secondly, brand image plays a mediating role in the relationship between e-WOM and purchase intention. This research contributes to the marketing literature by demonstrating how unverified news shapes consumer behavior. The findings provide actionable insights for businesses to adapt their marketing strategies, addressing the growing challenges of misinformation to improve brand trust and customer satisfaction in today’s information-driven market.
- Keywords
-
JEL Classification (Paper profile tab)D12, M31
-
References58
-
Tables6
-
Figures2
-
- Figure 1. Proposed research model
- Figure 2. PLS-SEM results
-
- Table 1. Respondent demographics
- Table 2. Reliability and validity
- Table 3. Fornell and Larcker’s criterion for discriminant validity
- Table 4. Heterotrait-monotrait (HTMT) ratios for discriminant validity
- Table 5. Collinearity statistics (inner VIF)
- Table 6. Results of hypothesis testing
-
- Aghitashera, D., Farida, N., & Wulandari, R. (2020). The Effect of Endorsers’ Source Credibility on Emotion Towards Youtube’s Advertisement’ Source Credibility on Emotion. Ultimacomm: Jurnal Ilmu Komunikasi [Ultimacomm: Journal of Communication Science], 12(2), 226-239.
- Allcott, H., & Gentzkow, M. (2017). Social media and fake news in the 2016 election. Journal of Economic Perspectives, 31(2), 211-236.
- Anwar, S., Min, L., & Dastagir, G. (2019). Effect of service quality, brand image, perceived value on customer satisfaction and loyalty in the Chinese banking industry. International Journal of Business, Economics and Management Works, 6(3), 24-30.
- Appelman, A., & Sundar, S. S. (2016). Measuring message credibility: Construction and validation of an exclusive scale. Journalism & Mass Communication Quarterly, 93(1), 59-79.
- Arvidsson, A. P., & Melander, L. (2020). The multiple levels of trust when selecting suppliers–insights from an automobile manufacturer. Industrial Marketing Management, 87, 138-149.
- Baek, Y. M., Kang, H., & Kim, S. (2019). Fake news should be regulated because it influences both “others” and “me”: How and why the influence of presumed influence model should be extended. Mass Communication and Society, 22(3), 301-323.
- Bambauer-Sachse, S., & Mangold, S. (2011). Brand equity dilution through negative online word-of-mouth communication. Journal of Retailing and Consumer Services, 18(1), 38-45.
- Berger, J., & Iyengar, R. (2013). Communication channels and word of mouth: How the medium shapes the message. Journal of Consumer Research, 40(3), 567-579.
- Berthon, P. R., & Pitt, L. F. (2018). Brands, truthiness and post-fact: managing brands in a post-rational world. Journal of Macromarketing, 38(2), 218-227.
- Bhandari, M., & Rodgers, S. (2020). What does the brand say? Effects of brand feedback to negative eWOM on brand trust and purchase intentions. In Electronic Word of Mouth as a Promotional Technique (pp. 125-141). Routledge.
- Chae, H., Kim, S., Lee, J., & Park, K. (2020). Impact of product characteristics of limited edition shoes on perceived value, brand trust, and purchase intention; focused on the scarcity message frequency. Journal of Business Research, 120, 398-406.
- Chakraborty, U. (2019). The impact of source credible online reviews on purchase intention: The mediating roles of brand equity dimensions. Journal of Research in Interactive Marketing, 13(2), 142-161.
- Chakraborty, U., & Bhat, S. (2018). The effects of credible online reviews on brand equity dimensions and its consequence on consumer behavior. Journal of Promotion Management, 24(1), 57-82.
- Chao, R. F., Wu, T. C., & Yen, W. T. (2015). The influence of service quality, brand image, and customer satisfaction on customer loyalty for private karaoke Roomsin Taiwan. The Journal of Global Business Management, 11(1), 59-67.
- Chen, Z. Y., Law, Z. Y., Liew, X. C., Ong, X. W., & Sarah, X. A. (2023). Understanding the effects of social media fake news on consumers’ brand trust and purchase intention (Research Project). UTAR.
- Cheung, M. Y., Luo, C., Sia, C. L., & Chen, H. (2009). Credibility of electronic word-of-mouth: Informational and normative determinants of online consumer recommendations. International Journal of Electronic Commerce, 13(4), 9-38.
- Chevalier, J. A., & Mayzlin, D. (2006). The effect of word of mouth on sales: Online book reviews. Journal of Marketing Research, 43(3), 345-354.
- Cui, G., Lui, H. K., & Guo, X. (2012). The effect of online consumer reviews on new product sales. International Journal of Electronic Commerce, 17(1), 39-58.
- Da Costa, E. F. B. (2023). What is “fake” in news advertising cosmetics? The impact of fake news on consumers’ intention to purchase and positive word-of-mouth (Master’s Thesis).
- Davali, M. M., Jouzdani R. M., & Rasouli, N. (2023). The Effect of Purchase Intention its Antecedents on Fake News by Moderating Brand Trust: A SOBC Approach. New Marketing Research Journal, 13(2), 143-168.
- Davis, J. M., & Agrawal, D. (2018). Understanding the role of interpersonal identification in online review evaluation: An information processing perspective. International Journal of Information Management, 38(1), 140-149.
- Guo, X., Ling, K. C., & Liu, M. (2012). Evaluating factors influencing consumer satisfaction towards online shopping in China. Asian Social Science, 8(13), 40.
- Hair, J., Anderson, R., Babin, B., & Black, W. (Eds.). (2009). Exploratory Factor Analysis. In Multivariate data analysis (pp. 93-155) (7th ed.). Pearson.
- Han, J. T., Chen, Q., Liu, J. G., Luo, X. L., & Fan, W. (2018). The persuasion of borrowers’ voluntary information in peer to peer lending: An empirical study based on elaboration likelihood model. Computers in Human Behavior, 78, 200-214.
- Johnson, K. K., Kim, H. Y., Mun, J. M., & Lee, J. Y. (2015). Keeping customers shopping in stores: interrelationships among store attributes, shopping enjoyment, and place attachment. The International Review of Retail, Distribution and Consumer Research, 25(1), 20-34.
- Kim, N., Chun, E., & Ko, E. (2017). Country of origin effects on brand image, brand evaluation, and purchase intention: A closer look at Seoul, New York, and Paris fashion collection. International Marketing Review, 34(2), 254-271.
- Kotler, P. (2003). A framework for marketing management. Prentice Hall.
- Kotler, P., Keller, K. L., Brady, M., Goodman, M., & Hansen, T. (2016). Marketing Management (3rd ed.). PDF eBook. Pearson Higher Ed.
- Kundu, S., & Datta, S. K. (2014). A scale for measuring Internet banking service quality: literature review and validation with Indian public sector banks. Journal of Electronic Commerce in Organizations (JECO), 12(3), 12-39.
- Kundu, S., & Rajan, C. R. (2016). Word of mouth: A literature review. International Journal of Economics & Management Sciences, 6, 6.
- Lazer, D. M., Baum, M. A., Benkler, Y., Berinsky, A. J., Greenhill, K. M., Menczer, F., Nyhan, B., Pennycook, G., Rothschild, D., Schudson, M., Sloman, S. A., Sunstein, C. R., Thorson, E. A., Watts, D. J., & Zittrain, J. L. (2018). The science of fake news. Science, 359(6380), 1094-1096.
- Lee, T. (2021). How people perceive the influence of fake news and why it matters. Communication Quarterly, 69(4), 431-453.
- Lien, C. H., Wen, M. J., Huang, L. C., & Wu, K. L. (2015). Online hotel booking: The effects of brand image, price, trust and value on purchase intentions. Asia Pacific Management Review, 20(4), 210-218.
- Lin, C., Wu, Y. S., & Chen, J. C. V. (2013, May). Electronic word-of-mouth: The moderating roles of product involvement and brand image. In Proceedings of 2013 international conference on technology innovation and industrial management (pp. 3-29). Taiwan.
- López, M., & Sicilia, M. (2014). eWOM as source of influence: the impact of participation in eWOM and perceived source trustworthiness on decision making. Journal of Interactive Advertising, 14(2), 86-97.
- Mahdi, A., Farah, M. F., & Ramadan, Z. (2022). What to believe, whom to blame, and when to share: exploring the fake news experience in the marketing context. Journal of Consumer Marketing, 39(3), 306-316.
- Marshall, R., & WoonBong, N. (2003). An experimental study of the role of brand strength in the relationship between the medium of communication and perceived credibility of the message. Journal of Interactive Marketing, 17(3), 75-79.
- Martha, M., & Febriyantoro, M. T. (2019). Analisis Faktor-faktor yang Mempengaruhi Perilaku Pembelian Produk Kosmetik Ramah Lingkungan Analysis of Factors that Influence Purchasing Behavior of Environmentally Friendly Cosmetic Products]. Jurnal Khatulistiwa Informatika [Equatorial Journal of Informatics], 3(2), 218-227.
- Mishra, A., & Samu, S. (2021). Impact of fake news on social image perceptions and consumers’ behavioral intentions. Journal of Consumer Marketing.
- Mohammed, A., & Rashid, B. (2018). A conceptual model of corporate social responsibility dimensions, brand image, and customer satisfaction in Malaysian hotel industry. Kasetsart Journal of Social Sciences, 39(2), 358-364.
- Nuraini, D., & Hendratmi, A. (2021). Analysis of factors affecting customer satisfaction and customer retention on e-commerce. Jurnal Ekonomi Dan Bisnis Islam [Journal of Islamic Economics and Business], 7(2), 163-184.
- O’Reilly, K., MacMillan, A., Mumuni, A. G., & Lancendorfer, K. M. (2016). Extending our understanding of eWOM impact: The role of source credibility and message relevance. Journal of Internet Commerce, 15(2), 77-96.
- Oude Nijhuis, J. H. (2018). “I don’t buy it!”: The awareness of fake news and its effects on consumer responses (Master’s Thesis). University of Twente.
- Pappas, I. O., G. Pateli, A., N. Giannakos, M., & Chrissikopoulos, V. (2014). Moderating effects of online shopping experience on customer satisfaction and repurchase intentions. International Journal of Retail & Distribution Management, 42(3), 187-204.
- Park, D. H., Lee, J., & Han, I. (2007). The effect of online consumer reviews on consumer purchasing intention: The moderating role of involvement. International Journal of Electronic Commerce, 11(4), 125-148.
- Petty, R. E., & Cacioppo, J. T. (1986). The elaboration likelihood model of persuasion. Advances in Experimental Social Psychology, 19, 123-205.
- Rao, A. (2022). Deceptive claims using fake news advertising: The impact on consumers. Journal of Marketing Research, 59(3), 534-554.
- Sagynbekova, S., Ince, E., Ogunmokun, O. A., Olaoke, R. O., & Ukeje, U. E. (2021). Social media communication and higher education brand equity: The mediating role of eWOM. Journal of Public Affairs, 21(1), e2112.
- Sharif, A., Awan, T. M., & Paracha, O. S. (2022). The fake news effect: what does it mean for consumer behavioral intentions towards brands? Journal of Information, Communication and Ethics in Society, 20(2), 291-307.
- Vafeiadis, M., Bortree, D. S., Buckley, C., Diddi, P., & Xiao, A. (2020). Refuting fake news on social media: nonprofits, crisis response strategies and issue involvement. Journal of Product & Brand Management, 29(2), 209-222.
- Verdilla, V., & Albari, A. (2018). Dampak Dimensi Ekuitas Merek Dalam Membentuk Minat Beli Ulang [The Impact of Brand Equity Dimensions in Forming Repurchase Intention]. Jurnal Manajemen Maranatha [Maranatha Management Journal], 17(2), 81-90.
- Villagra, N., Monfort, A., & Herrera, J. S. (2021). The mediating role of brand trust in the relationship between brand personality and brand loyalty. Journal of Consumer Behaviour, 20(5), 1153-1163.
- Visentin, M., Pizzi, G., & Pichierri, M. (2019). Fake news, real problems for brands: The impact of content truthfulness and source credibility on consumers’ behavioral intentions toward the advertised brands. Journal of Interactive Marketing, 45(1), 99-112.
- Vnetwork. (2023). Internet Vietnam 2023: Latest figures and development trends.
- Wagner, B. C., & Petty, R. E. (2022). The elaboration likelihood model of persuasion: Thoughtful and non-thoughtful social influence. In Chadee, D. (Ed.), Theories in Social Psychology, Second Edition (pp. 120-142). John Wiley & Sons, Ltd.
- Wang, Q., Zhang, W., Li, J., Mai, F., & Ma, Z. (2022). Effect of online review sentiment on product sales: The moderating role of review credibility perception. Computers in Human Behavior, 133, 107272.
- Wu, P. C., & Wang, Y. C. (2011). The influences of electronic word-of-mouth message appeal and message source credibility on brand attitude. Asia Pacific Journal of Marketing and Logistics, 23(4), 448-472.
- Yang, Z., & Peterson, R. T. (2004). Customer perceived value, satisfaction, and loyalty: The role of switching costs. Psychology & Marketing, 21(10), 799-822.