Modeling word-of-mouth usage

Despite the recognized influence of word-of-mouth (WOM) in the consumer decision making process, research investigating how listeners of WOM use this communication is limited. In this paper, the authors present a model which integrates factors influencing listeners' usage of WOM (WOMU) and the consequences of WOMU in listeners' purchase decisions. Empirical testing of the model indicates that characteristics of both the WOM speaker (trustworthiness, experience, and evidence) and the WOM listener (self-perceived knowledge and purchase involvement) affect WOMU, as well as whether the WOM is face-to-face or online. The results also show that WOMU strongly relates to attitude toward the recommended product. Implications for retailers and marketing researchers are given along with directions for future research.

Research highlights
► Not all word-of-mouth is equally utilized by listeners.
► The trustworthiness of word-of-mouths speakers is very important to listeners.
► A speaker's experience and evidence are both of concern to listeners.
► Word-of-mouth regarding products unfamiliar to listeners is more valuable to them.
► Face-to-face and online word-of-mouth are utilized similarly by listeners.