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The Influence of WOM on Consumers’ Intention of Brand Switching:

the Mediate Role of Subjective Norms


GUO Guoqing 1, ZHANG Zhongke 2, CHEN Kai 3, WANG Xiaofan 4
1. Renmin University of China, School of Business, Beijing, 100872
2. Hebei University of Economics and Business, School of Administration, Shijiazhuang, 050061
3. Beijing Forestry University, School of Economics and Management, Beijing, 100083
4. Beijing University of Chinese Medicine, School of Administration, Beijing, 100029
mktguo@hotmail.com

Abstract: In recent years, WOM communications have been emphasized and applied by enterprises. In
Chinese social culture background, the article found that the expertise and similarity of WOM source, as
well as the attributes of WOM including consensus, distinctiveness and consistency have significant
positive effect on consumers’ intention of brand switching directly and indirectly through a mediate
variable named subjective norms. Based on results of the study, several managerial advices were
proposed.
Keywords: Word of mouth communications, Brand switching, Subjective norm

1. Introduction
Nowadays, with the advent of the information age, as well as the extensive development of the media
industry, enterprises convey large amounts of information to consumers while also led to a lack of
effective transmission of information on the consumer and less influence on them. Therefore, how to use
effective communication methods and means to disseminate products and information of services to
consumers in the current buyer's market environment is very important.
This article studies the negative word of mouth source of information for professional and similarity, the
negative word of mouth information for consensus, distinctiveness and consistency on consumer brand
switching effects, as well as if social norms play the intermediary role in the process. At the same time
because of acts of willingness is closer to the behavior than of beliefs, attitudes, feelings and other
factors (Ajzen, 1991), to predict whether a person will engage in an act or not, we must get to know the
willingness of their actions. Therefore, this article by the willingness of the consumer brand switching
studies to enhance understanding of consumer brand switching.

2. Literature Review
Word of mouth spread the impact on consumer behavior by consumers, a psychological evaluation
process to achieve. Reputation in the consumer receives information in the outside world after
stimulation of the psychological evaluation process. The social norms will have direct and obvious
impact. As China's traditional culture is a typical collectivist culture, our consumers who make decisions
to buy will be affected by the impact of others to a large extent. 80 years from the 20th century onwards,
the issue has attracted the attention of scholars, especially the scholars in Hong Kong and Taiwan. Yang
(1981) pointed out that the Chinese people are social-oriented, and their actions tend to obey the
expectations of society, and they greatly value the opinions and social inclusion outside. We can see that
the views of others on China's consumers have a great influence on the decision-making when they
make purchases; that is to say, word of mouth is important for consumers’ decision-making.
Social psychology holds that the pressure of social norms that individuals feel can be perceived by an
individual's subjective norms. Subjective norm is a personal implementation of a behavior that the other
important relationships of people would agree with, also referring to the pressure of individuals when
they are expected to engage in certain conduct (Fishbein & Ajzen, 1977). Ajzen and Fishbein’s (1980)
studies have shown that perceived stress are an important reference for the individual groups, such as a
spouse or other family members, you can choose specific consumer behavior that will have a substantial

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impact. Hee (2000) stated that the perception of pressure situations in the Chinese culture, was
particularly significant. Lam et al (2003) agreed, and pointed out that in China, a code of conduct to
strengthen the avoidance of criticism and through integration into the community to get recognition of
desire. Therefore, we can consider the concept of subjective norm to explain our aspirations and
behavior of consumers is a very important factor.
Based on the above analysis, the Conceptual model of this study is shown in Figure 1:

Professional

Brand switching
Similarity

Consensus

Distinctiveness Subjective norms

Consistency

Figure 1: Conceptual model


3. Research Hypotheses
Mitchell and Dacin (1996) for professional study found that people who have a high degree of
professional knowledge of how to select a variety of products on the market. Thus the professional
knowledge of word of mouth information that these professional people hold is very useful for the
recipient to do the brand decision-making. Bansal and Voyer (2000) word of mouth on consumer
purchasing decisions for the impact of research results more directly pointed out, the reputation of
information broadcast by the professional knowledge will influence consumer purchase decisions.
Opinion leaders and market experts provide reliable information to consumers at the same time. There
would be the influence of social norms, their behavior and ideas will have a strong impact on other
members of the group (Corey, 1971; Webster, 1970).
The hypotheses of this research are listed as follows:
H1.The profession of the negative sender has a positive influence on the receiver’s brand switching
H2.The profession of the negative sender has a positive influence on the receiver’s objective norm of the
brand.
Similarity is a term, indicating the similarity between the WOM receiver and sender. For the consumers
who have some similar interests could normally have a higher tendency to talk well. In light of this,
some convenient conditions, contrived from the similarity of both sides, could accelerate the flow of the
product information (Price and Feick, 1984). The research of the Gilly (1998) also reveals that the
consumer has more possibility to communicate with the information which possesses some similarity
with him, and this impact could be much stronger than the professional resource. therefore, we get the
following hypotheses:
H3: The similarity between the negative WOM sender and the receiver has a positive influence on the
receiver’s brand switching willingness.
H4: The similarity between the negative WOM sender and the receiver has a positive influence on the
receiver’s objective norms.
The characteristic of The WOM information includes Consensus and Distinctiveness as well as
Consistency (Laczniak et al, 1996). The consumer’s choice of Brand, not merely decided by the WOM
information sender, the social norm also plays a vital role on its judgment (Bone,1995; Gilly et al,1998).
Bone pointed out that when the two (or more) information sources provided the same advice, the effect

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could be greater than the sole information source. Therefore, if the WOM information is consistent, that
means the majority of the social group hold the same view with the negative WOM information sender,
the consumer could accept the WOM information under the pressure of the social norm and make the
decision of brand switching. For the distinctiveness of the WOM information, also be accepted by the
majority, it forced the consumer make a distinctive decision meanwhile impact its objective norm, and
leads to a higher possibility of brand switching. The higher consistency of the WOM information, the
more credible and consistent impression it will be to the consumer, and higher the possibility of
following the WOM information. Therefore, the following hypotheses are reached:
H5: The Consensus of the negative WOM information has a positive influence on the receiver’s brand
switching willingness.
H6: The Distinctiveness of the negative WOM information has a positive influence on the receiver’s
brand switching willingness.
H7: The Consistency of the negative WOM information has a positive influence on the receiver’s brand
switching willingness.
H8: The Consensus of the negative WOM information has a positive influence on the objective Norm of
the brand switching
H9: The Distinctiveness of the negative WOM information has a positive influence on the objective
Norm of the brand switching.
H10: The Consistency of the negative WOM information has a positive influence on the objective Norm
of the brand switching.
The social pressure that the consumer suffered from, is not merely contrived from his parents, sibling,
friends and colleagues, but is also decided by his social background (Ajzen, 1991).Normally, a social
norm is formed by the member of circle. Individuals perceive and behavior could be somehow changed
to show his obedience to this social norm (Fishbein and Ajzen, 1977).The traditional Chinese culture is a
sort of collectivism essentially, the Chinese consumers are normally under the high pressure of the group,
so they have more obedient tendency to the social norm (Ajzen, 1991). In light of this, their willingness
to switch brand would be powerful if they find their behavior could be accepted by the certain group.
Therefore:
H11: The consumer’s objective norm of the brand switching has a positive influence on their brand
switching willingness..

4. Scale Design and Data Collection

4.1 Variable measurement and questionnaire design


The method of the professional sender’s measurement, based on the Netemeyer and Bearden’ (1992)
sender measurement chart, uses a 5-question mode. The likelihood between the WOM information
sender and receiver research, based on the Wangenheim and Bayon’(2004) research, are measured with
a 5-question model. The characteristics of the WOM information, based on the Lipe’s(1991) research, 3
questions for each characteristic. The willing of the consumer’s brand switching measurement, based on
Bansal and Taylor’(2002) research, are measured with 3 questions. Each of these variables uses a
7-point Likert scale to be measured.
This study uses survey methods, in which respondents need to recall a negative experience of receiving
word of mouth information, and we allow respondents to set "a" dissemination of this information to
someone. And the respondents should answer the questionnaire based on the negative word of mouth
that sent by someone.

4.2 Sample selection and data collection


We conducted a questionnaire survey in the Hebei University of Economics in October 2008. 550 copies
of questionnaires were issued, among which 528 were recovered, and the recovery rate of questionnaires
was 96%. The valid questionnaires rate was 90.7%.

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5. Data Analysis and Hypotheses Testing

5.1 The reliability and validity of scale


The research applies statistical software SPSS11.5 to test the reliability of the scale. Cronbach’α of all
the variables are more than 0.7, which indicates that the scale has a high degree of reliability.
The measurement items of the research is set according to the existed literature, based on the discussion
with relevant experts, and combined with background of practical problems. Thus the scale of the
research has a substantial degree of content validity. The research applies AMOS7.0 to conduct
confirmatory factor analysis measure to test constructive reliability. The analysis results of
word-of-mouth information characteristics confirmatory factor are: χ2(df=24)=106.706 p<0.00 , ;
; ; ; ;
GFI=0.950 CFI=0.970 RMSEA=0.085 RMR=0.081 the analysis results of word-of-mouth
, ;
information source characteristics confirmatory factor are: χ2(df=34)=123.324 p<0.00 GFI=0.951 ;
; ;
CFI=0.967 RMSEA=0.074 RMR=0.082. The results indicate that the two confirmatory factor analysis
models fit each other well, and that they possess a good constructive reliability, which is acceptable.
Give a comprehensive consideration of reliability and validity test, we can conclude that this research
scale is reliable and effective, which can be used to prove the hypotheses raised in this study.

5.2 Research model and hypothesis testing


This research used AMOS 7.0 software to test the research model and its hypotheses, the test results are
shown in Table 1.

Standardized path coefficient t assume that the value of the results of


→ H1 professional brand switching will support .114 2.908 **
→ subjective norm H2 professional support .134 2.844 **
H3 similarity → brand switching will support .148 3.671 **
H4 similarity → subjective norm .265 5.578 ** Support
H5 consistency → brand switching will support .116 2.696 **
H6 → differentiated brand switching will support .109 2.737 **
H7 consistency → brand switching will support .272 6.401 **
H8 consistency → subjective norm .147 2.854 ** Support
Differentiated H9 → subjective norm .157 3.296 ** Support
H10 consistency → subjective norm .209 4.203 ** Support
H11 subjective norm → brand switching will support .365 7.833 **
χ2 (df = 329) = 698.752, p <.01, χ2/df = 2.124, CFI = 0.958, GFI = 0.900, AGFI = 0.877,
NFI = 0.924, RMR = 0.095, RMSEA = 0.048
** P <.01
Table 1 Structural model path coefficients and hypothesis testing results

As can be seen from Table 1, the fit chi-square value of model's overall goodness of is 698.752, degrees
of freedom is 329, p value is less than 0.01 to reach a significant level, χ2/df is 2.124. Examining some
other important indicators of model fitting, you can see CFI is 0.958, GFI is 0.900, AGFI is 0.877, NFI
is 0.924. The data indicates that the overall goodness of our study model is good. In addition, RMR is
0.095, indicating a small residual, RMSEA is 0.048, less than 0.08, which indicates that our research
model fits better and is acceptable.
From the data of Table 1, we can see the proposed 11 hypotheses have been verified. The professional
reputation and similarity of information sources as well as characteristics of consistency and coherence
differences between consumer brand switching of word of mouth information will have positive and
significant effects on subjective norms, while the subjective norm on consumer brand switching will
also have a significant positive effect. From the data in the table it can also be seen that the similarity of
the word of mouth information sources feature on consumer brand switching will and subjective norms
of standardized regression coefficients were greater than that of the professional, respectively 0.148 and
0.265, indicating that consumers are more concerned about their own sources of information for their
impact on consumers is greater. Standardized regression coefficient of subjective norm in the table of is

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0.365, showing that the influence of subjective norm on the willingness of consumers to brand switching
is relatively large, this is the same with our traditional cultural identity.

5.3 Reputation information on consumer brand switching will affect the effect of decomposition
Through the above hypothesis testing, we can find that during the process of impact of features of mouth
information sources and characteristics of consumer brand switching on the consumers’ wishes, they
both have a direct impact and indirect effects arised from subjective norms. With the software AMOS
7.0 structural equation we can conclude that each variable on consumer brand switching will affect the
overall effect, the direct and indirect effects, such as words of mouth information’s decomposition of
impact on consumer brand switching effect in Table 2 below. We can clearly see the mediating effect of
the process of the subjective norm affecting the antecedent variables on the willingness of consumers in
our study. After the indirect effect generated from subjective norm in the proportion of the total effect,
professional is 30.1%, similarity is 39.6%, consistency is 31.8%and the difference is 34.3%, coherence
is 21.8%.From the above we can say, subjective norms, the reputation information on consumer brand
switching of all variables will have an obvious influence on the course of the mediation effect.

Table 2 Words of mouth information’s decomposition of impact on consumer brand switching effect
independent variables
dependent variables
Subjective norms Brand switching
Professional
direct effect 0.134 0.114
indirect effect 0.049
total effect 0.134 0.163

indirect effect total effect 0.301
Similarity
direct effect 0.265 0.148
indirect effect 0.097
total effect 0.265 0.245

indirect effect total effect 0.396
Consensus
direct effect 0.147 0.116
indirect effect 0.054
total effect 0.147 0.170

indirect effect total effect 0.318
Distinctiveness
direct effect 0.157 0.109
indirect effect 0.057
total effect 0.157 0.166

indirect effect total effect 0.343
Consistency
direct effect 0.209 0.272
indirect effect 0.076
total effect 0.209 0.348

indirect effect total effect 0.218

6 Conclusions and Managerial Implications


This research mainly studies the impact of WOM on consumers branding switching, with major concern
on the mediating effect of consumers perceived subjective norms in such a collectivist cultural
background. This study found that word of mouth we have chosen to disseminate the variables will have
a significantly positive effect on consumer brand switching will subjective norms, subjective norm in the
word of mouth will spread the impact on consumer brand switching effects which are more obvious in
the process of mediation.

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Because social norms will have a lot of pressure on China's consumers and have a great impact on its
brand switching , therefore, to enhance the effect of word of mouth marketing, enterprises should make
full use of market experts and influence of opinion leaders .At the same time, when choosing a business
brand spokesperson, enterprises must be conscious to select those spokesman with same business goals
as their customers, using their reputation in the process of disseminating the information and impact of
social norms to enhance the effectiveness of corporate marketing practices.
As the three variables of word of mouth characteristics: consistency, distinctiveness and willingness, all
have prominent effects on consumers’ brand switching intentions, enterprises should take measures to
avoid the emergence of negative word of mouth with these three characteristics. If the problem worse,
such as Sanlu milk powder incident, it would be the formation of public opinion and the unanimous
condemnation of the formation of enterprises. Enterprises are facing enormous social pressure at this
time. And it’s very difficult to avert the resulting negative impact. So enterprises should also actively
cultivate a good corporate image. Meanwhile, companies and consumers should also communicate
timely and eliminate the discontent of disseminators spreading negative word of mouth information.
This study also has some limitations. For example, the survey was targeted at college students without
the involvement of other groups. So the explanatory power of the conclusions in the study needs to be
cautious on the face of sample representativeness. In order to reach a more applicable conclusion, future
research could focus on a bigger sample to investigate into their brand switching intention so as to give
more accurate and timely suggestions for enterprises in need.

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