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Chapter Four Results and Discussion 11
4.1 The analysis of the sample 11
4.1.1 Network usage 11
4.1.2 Searching IWOM before purchasing 11
4.2 Hypotheses testing 12
4.2.1 Findings in source of IWOM information 13
4.2.2 Findings in information factors of IWOM 13
4.2.3 Findings in the credibility and utility of IWOM 14
Chapter Five Conclusion and suggestion 15
5.1 Conclusion 15
5.2 Suggestion 16
5.2.1 Improving the quality of IWOM 16
5.2.2 Paying attention to IWOM 16
5.2.3 Eliminating negative IWOM 17
5.3 Limitation and recommendations for future research 17
References 19
Appendix 20
The Research on Influence of IWOM of Cosmetics on College Students’ Purchase Decision
Chapter One Introduction
1.1 Research background
With the advent of the Information Age, people’s way of life changes a lot. Network technique is not only spreading fast in the foreign countries, but also developing at high speed in our country. Chinese scholar Yan Bingrong (2006) wrote in his book that the Internet was gradually becoming an important channel for people to communicate with each other (p.85). The China Internet Network Information Center(CNNIC) published the 35th report on February 3, 2015 that the number of Internet users has been up to 649 million in China by December 2014. Of these people, mobile Internet users ran up to 557 million, an increase of 56.72 million compared to last year. The rapid development of network multimedia accelerates a new model of trade and economy—online shopping. As followers of fashion, college students are easier to accept this way of shopping. So they gradually become the main part of the online shoppers. With the development of the era, people pay more and more attention to their appearance. After the college students graduate from the university, they will step into a new stage and need to apply for a job. When they go to a company for an interview, their appearance will be an important factor to make them succeed. So they use cosmetics to make themselves more beautiful and confident. Online shopping provides an easy and fast channel for college students to buy things. According to Research data, it shows that by the end of 2013, China's domestic cosmetics’ total market share has surpassed 200 billion yuan. Online trading also hit the mark of 60 billion yuan. However, there are a lot of unsafe factors and problems existing in trading. It is difficult to judge whether the products are good or not. Therefore, IWOM becomes an important source of product information. It can collect a great deal of shared information from those who bought same goods ever. IWOM helps the purchasers determine whether to buy the products. Also, it can help them reduce the risk of online shopping. Generally speaking, the cosmetics are different from the clothes, electric products and other products. The cosmetics with poor quality will damage people’s skin, so people will pay attention to the IWOM particularly when they are shopping on the Internet.
1.2 Significance and purpose
Online shopping behavior is the focus of academic discussion. As the network consumption patterns accepted by more people, the influence of IWOM on consumer purchase decision is becoming more and more important. Previous research has shown that WOM has a marked impact on consumer purchase decision. More and more consumers get IWOM by internet communication to make better purchase decision. The paper aims to study the influence of IWOM of cosmetics on college students’ purchase decision. This paper makes a test research on the factors of IWOM and source of IWOM by using the questionnaires and the resources from school library to analyze the causes. According to the results, the research provides some suggestions for the companies, helping them make correct decisions so as to attract more college students to buy their cosmetics. For one thing, the study of Internet word of mouth makes the enterprises know clearly about this kind of mouth marketing tool in the network environment. What’s more, they can use IWOM information to increase product promotion. For another thing, it enriches the existing theory of Internet word-of-mouth. At the same time, college students are the main part of online purchasers, so it has vital significance to do an empirical study of IWOM aiming at Chinese college students.