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Examining Online Marketing Influence on Vietnamese Young Travelers’ Purchase Decision


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- International Conference on Marketing in the Connected Age (MICA-2018), October 6 th , 2018 Danang City, Vietnam.
- Examining Online Marketing Influence on Vietnamese Young Travelers’ Purchase Decision.
- The research aims to examine online marketing effects on young traveller purchase decision.
- Based on traditional buying decision process, new factors from internet environment were added to find out the relationship between purchase decision and online marketing through three main channels including social network, electronic word of mouth (EWOM) and online advertising.
- Online advertising gives a moderate influence on young traveller consumption.
- Keywords: online marketing.
- purchase decision.
- social network.
- online advertising.
- Born in the booming era of internet, traditional marketing means show very limited impact on them.
- It introduces online marketing as a future choice for marketers.
- In fact, online marketing has been widely adopted in the company marketing strategy to formulate desirable consumer behaviour..
- It indicates the most effective channels to reach this type of audience are social networks, online forums, popular online newspapers, and advertising which are categorized as online marketing means.
- Mean while, online advertising in the form of Google Ads, Facebook Ads, banners or videos are inevitable for many hospitality business.
- However, do they really work? This paper will examine company online marketing activities impact on Vietnam young traveller purchase decision making stage through three recommended channels: social networks, electronic word of mouth and online advertising..
- Social media is proved to impact to traveller buying decision by transforming the information source thus completely changes the final consumption [6], [7].
- In Vietnam, as social network is most frequent online activities and widly use, the study will focus on this social media mean.
- More and more people share their experience on Facebook because it is very convenient.
- It is the reason why biggest travel agencies in Vietnam greatly invest on their facebook fanpage with over hundred thousand of likes and followers, such as IVIVU (320k likes), Viettravels (137k likes), My tour (216k likes), Viettour (112k likes) etc.
- Electronic Word of Mouth.
- According to [9], online Word of Mouth is any positive or negative statement made by potential, actual, or former customers about the product or company which is made available to a multitude of people and institutions via the internet.
- Nielsen reports 89% Vietnam consumer trust WOM recommendation from people they know, the highest record in South East Asia, and mastering online word-of-mouth marketing techniques can result in a widen circle of trust [10].
- Research found out E-WOM positively affect young Malaysian traveler purchase intention [11].
- Previously, it is confirmed that despite the small use of online travel communities and social network sites for travel information gathered, travel-related consumer generated media is predicted to become an influential source for travel decision making in the near future [12]..
- Online Advertising.
- Online advertising is defined any paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor, which appear while consumers are browsing internet including displayed ads, search related ads, online classifieds and other forms [13].
- There was claims that online ads have positive impact on Vietnam traveler purchase intention [14].
- In this market, online advertising budget is forecasted to be four times higher within the next five years [15], making it becomes important tool to get customers, especially the Y generation..
- Purchase Decision Making Stage.
- At the purchase decision stage, consumer will measure the different options that offer to him, consider the most suitable one to his needs then choose the best as he perceives.
- It is made from knowledge, understanding about the brand or company which is generated from social media, advertising and other content platforms.
- It indicates the influence relationship between online marketing activities and the purchase decision in the young generation tourism context..
- 1: The impact of Social networks, EWOM and Online Advertising on young traveller purchased decision.
- H1: Facebook fanpage activities can positively impact to Vietnam young traveler purchase decision.
- H2: E-WOM positively influence purchase decision of Vietnam young traveler.
- H3: Online advertising positively impacts Vietnam young traveler purchase decision 4.
- EFA is widely adopted when examining the potential interrelationships among variables, here are the dimensions of online marketing activities..
- The lowest value is Online Advertising (.718), and the highest one is EWOM (.886).
- It shows that the items are closely related in the same factor.
- Purchase Decision H1.
- Online Advertising 3 .718.
- EWOM impacts on purchase intention .884.
- Facebook impacts on purchase intention .836.
- Online advertising impacts on attitude .871.
- Online advertising impacts on purchase intention .771.
- Online advertising impacts on belief .769.
- (3) Online advertising activities.
- The dependent factor, which is traveler purchase decision, has one explained variable and did not included in the EFA.
- Specifically, the correlation between Purchase Decision (F_PD) and Facebook fanpage activities (F_FB) is r = .413, with EWOM (F_EWOM) is highest at r = .674, and with Online Advertising is r = .401.
- This result showed that EWOM have strongest relationship with purchase decision..
- It is unavoidable to effectively adapt with this trending environment beside the computer screen.
- Reference channel when making purchase decision.
- Online marketing activities influence on young traveller purchase decision.
- Linenear regression analysis is accomplished for 3 independent variables including: Facebook activities (F_FB), EWOM (F_EWOM), Online advertising (F_OA) and 1 dependent variable: Purchase decision.
- Online Advertising Accepted.
- Table 5 shows the relationship of Facebook activities, EWOM, online advertising and Purchase decision..
- There is no autocorrelation in the residuals of this regression analysis as Durbin-Watson value is 1.952.
- It can be said that young Vietnamese purchased decision is highly affected by online marketing activities in the tourism context..
- Result points out the Facebook activities positively affect Vietnam young traveller purchase decision, partly explains by the widely use of Vietnamese in this platform.
- It is efficient in terms of reaching audience with positive impacts on purchase decision.
- However, it is not as strong as many people might think since β1 = .201, the lowest one among independence variables.
- This finding points out that managing Facebook fanpage should be in the long time, in order to gradually build up company image in customer’s mind.
- It seems EWOM has higher influence on Vietnam young traveller purchase decision (β2 = .671).
- It is the strongest factor to people’s choice of service among researched channels.
- What happens in the real life, performs similarly in the internet environment.
- It is company’s turn to actively contact, invite and motivate them give better feedbacks, solve problems, keeping in touch regularly and instantly..
- Table 5 also exposed the significant impact of online advertising on Vietnam young traveler purchase decision (β3= .430).
- The young generally considers online advertising as an important reference source..
- Apparently, young consumer is attracted by sparkling advertisement, even make purchase decision upon their emotion.
- Therefore, online advertising is an effective, and quick method to persuade customer as well as their decision, giving the fact that search engine (contains many search ads) such as Google, Firefox, Coc Coc… is the most widely use when planning to travel.
- In the short term, business can sharply increase sales using good offer and a wise advertising campaign.
- Base on EBM model of consumer buying decision process, this study test, and explain the influence of online marketing means on Vietnam young traveller purchase decision.
- The previous studies clarified social media effects to purchase intention.
- Moreover, previous studies were carried out mainly in developed countries, this study adjusted and tested those models in Vietnam, a transitional economy with very young consumer compared to the mature counterpart in the developed countries..
- A more detail list of variables and items could deliver more precise results, giving the fact that online marketing does not only include social network, EWOM and online advertising.
- Xu hướng du lịch của giới trẻ qua phân tích trên social media.
- Retrieved March 25 th , 2017, from http://www.brandsvietnam.com/congdong/topic/2911-Infographic-Xu-huong-Du-lich-cua-gioi-tre- qua-phan-tich-tren-social-media.
- 301 ways to use social media to boost your marketing.
- Online, mobile, social media in Vietnam Asia.
- [6] Gretzel, U., &.
- Electronic word-of-mouth in hospitality and tourism management.
- Users of the world, unite! The challenges and opportunities of Social Media.
- Electronic word-of-mouth via consumer-opinion platforms: What motivates consumers to articulate themselves on the Internet.
- Word-of-mouth recommendation remains the most credible.
- Retrieved March 25 th , 2017, from http://www.nielsen.com/id/en/press-room/2015/WORD-OF-MOUTH-RECOMMENDATIONS- REMAIN-THE-MOST-CREDIBLE.html.
- The impact of social media marketing medium toward purchase intention and brand loyalty among generation Y.
- [13] Kotler, P., &.
- The Influence of Social Media Marketing on Vietnamese Traveller’s Purchase Intention in Tourism Industry in Ho Chi Minh City

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