Factors influence Customers Intention to Purchase Smartphone in Thailand
Document Type:Dissertation
Subject Area:Marketing
janthaisri@student. anglia. ac. uk Name of Supervisor Dr Maureen Ayikoru Submitted to The Lord Ashcroft International Business School Anglia Ruskin University Table of Contents ACKNOWLEDGE ii ABSTRACT iii CHAPTER ONE 1 1. Introduction 1 1. Emotional value 10 2. Social Value 12 2. Purchase intention 13 2. Related Literature review 14 3. Research Conceptual Framework and Methodology 18 3. This research will not have happened without your cooperation. Furthermore, I would like to express my sincere gratitude and special thanks to researcher supervisor Dr. Maureen Ayikoru for guidance, constant attention, valuable suggestion, enthusiastic support and personal concern throughout the research. She gave me advices about research writing and research topic. Finally, I would like to thank my parents for their support and advice about the detail of research and studying MBA, including with my dad, mom, my auntie, and sister. The result of this research shows that these four factors including Aesthetics value, Functional.
Value, Social Value, and emotional value are significant to customer’s purchase intention to smartphone. Keyword: Aesthetics, functional value, emotional value, social value, purchase intention CHAPTER ONE 1. Introduction 1. Background of the Topic A mobile phone is basically an electronic device designed for communication between two people. Compared to the predecessor, latest smartphones have better capabilities. The smartphones era has seen increase in online business and online verification systems like text message, making call, social network, mobile banking among others. According to the previous study by Dodds and Monroe in 2010, they stated that purchase intension is the behavior of people (customers) who have interest to purchase a given product. Purchase intention is a factor that has significantly affect and can be used as an indicator of purchase behavior. Perceive quality is needed for developing the brand and product in customer’s positive memory.
In order to survive in the market, you need to know how customers making decision for purchase. Researchers Syed and Nazura, (2011) mentioned that purchase intention is one of the major strategies in segmenting the target and market, this study would be useful to marketers because it enables them to assess the factors that specifically attract consumers’ intention to purchase smartphone. This study examines how potential purchasers’ perception of these variable influence their purchase intentions. Described as an interactive, hedonic technology. Therefore, it is reason that perceived enjoyment and social usage are becoming more important than perceived usefulness in influencing purchase intention (Lin and Bhattacherjee, 2010). In current society, the smartphone use is changing and as a result lead smartphone companies should study and adapt to dynamic environment. For the growth of industries and market expansion, the companies should understand the behavior of smartphone’s user and factors that affect their intention to purchase.
Aesthetics (the design, beauty, colors) affect purchase intention, some people considered about function value (Durability, Usability, Features) of smartphone more than Aesthetic. These are many variables and quite complicated and a good study is need to make clear conclusion on this factors affecting customer intention to buy a smartphone. Smartphone companies should study these variables which influence purchase intention in country of operation and offer what make customer satisfaction and used is a strategy to maintain customer’s loyalty and increase new customers of the brand. Sheth et al. This project is organized as follows: Section 2 presents the literature review related to the area of study. Sections 3 and 4 discuss the research methods applicable in this study and the results, respectively. Section 5 provides the discussion, implications, limitations and avenues for further research 2.
Literature Review Purchase Behavior is the behavior of customer appear while searching for, the interested products, the evaluation of product, goods, or service (Vinyncida & Sihombing, 2013). In currently, customers need the unique brand, which focus on innovative, technology improvement, new features. Customers also preferred the smartphone which has the unique design and performances such as; the big screen mobile phone, clearer interface for touch screen interaction (Norazah, 2013). For example; Samsung, Apple, LG, are very popular brand among the competitors, Everyone know these brand, all of them has unique technology and always improve technology in their product before selling day in every year. Theoretical Literature 2. Aesthetics Aesthetics is defined as the beauty in the eye of holders and it helps them to improve quality of life (Schmitt and Simonson, 1997; Bruyn, 2015). In addition, aesthetics plays an important role in decision-making and to such an extent that it can come over other factors.
This concept should be applied for further details in the research. Functional value Sheth et al. suggested that functional value is the perceived utility acquired by consuming a good which achieve functional or advantageous purposes and utilitarian. It also can be the practical benefits experience and functionality by consumers in evaluating to the products or services from the economic point of view. The battery life is also important to customers (Sand and Tseng, 2010). The previous research show that the smartphone battery lifetime is significant and has affect to customers purchase decision and behaviors (Johnston, 2011). It also affects to customers believe and brand loyalty (Johnston, 2011). The customers satisfaction in brand, one significant factor come from the length of smartphone battery lifetime. It means the short lifetime of smartphone battery can lead to high perceived phone problems; returning, refund, and complain (J.
Many research mentioned that the application known as internet browser, email, SMS, are affect to purchase decision in the significant way, one of the most popular application use in activity is the camera (Bodker, Gimpel and Hedma, n. d; PriceGrabber Survey, 2011; Hopkins, 2010; Philqvist, 2011; Tuominen, 2011; Bodker et al, n. d; Netscribed, 2011; ). Customers are choosing smartphone come with the camera pixels at least 5 mega pixels camera specification (Jin and Pupanich, 2011; Tongpier, 2011; Gimpel, 2011). Fast connectivity are significant to customers behaviors. However, Long and Schiffman (2000) said that emotional value and social value had a significant influence on purchase attitude, behavior and especially important for loyal customers, and help build further close emotional links with the wanted customers. It used research from Sweeney and Soutar (2001), Sanchez et al. and Jinyang and Chad (2011) to measure emotional value with six items, such as “the beauty associated with ecotourism travel (from trees, flowers, mountains, etc.
would increase my love of nature. Bagozzi et al. The another research also mention to the same result, the respondents (80 percent) are mentioned that the ease of use is the important factor lead to smartphone purchase decision (Jongepier, 2011). Ease of use is considered as the smartphone which include the friendly user, or interface easy to understand can add emotional value to smartphone. However, Khan and Hyunwoo (2009) found that the smartphone come with many applications such as internet browser, gaming, SMS, etc. can lead to the complex of use and difficulty to learn. User experience also found as the significant factor lead to smartphone purchase (CLN, 2010). Social Value The previously research stated the definition of Social Value that the social value is the perceived utility observed from association of one or more specific social groups (Sheth et al.
it can also improve social self-concept (Sweeney and Soutar, 2001) constructed on the observation of society’s assessment of the product. Callarisa Fiol et al. Consumers may believe in the good-looking brand of products can improve their social status (Holbrook, 1999). While product supposed to be observable in use (e. The suggestion from close related people can affect to purchase decision. In currently, Social media platform such as; Twitter, Facebook, YouTube, etc. become the intermediary between the customer and seller. Customers can find information related to interesting product. They also get comment about the positive and negative opinion from the other customers who used this product and it’s also affecting to purchase decision in direct and indirect ways. Purchase intention plays the important role in marketing academic literature due to it is the best predictor of actual consumers (Ajzen and Fishbein, 1980).
Based on the foregoing information, the following hypotheses are developed: Dodds and Monroe (1985) stated that Purchase intention is the customer tendency behavior in making decision to purchase products. Li and Biocca (2002) mentioned that purchase intention is also affect to common measure and often use in foresee the purchase behavior. There are many mobile phone brands in the market, each brand offers the difference tastes and preferences to customers and reach the customer’s needs, moreover, the purchase intention affect to the brands depend on many factors such as; the mobile phone specification, social value, brand, quality, etc. Leo et al. Aesthetic principles are used in design of communication, personal information, communication, entertainment, technology products (Swilley, 2012; Charters, 2006). smartphones have been defined as “a cultural item and an extension of their users’ social rank” (Shin, 2012, p.
In the previously research believe that changing the physical of smartphone, including with design and color can encourage customers, increasing brand attractiveness and get more advantage among the competitors in the same mobile phone industry line (Leelakuthamit & Hongcharu, 2012). Functional value is the perceived utility acquired by consuming a good which achieve functional or advantageous purposes and utilitarian. The previously research support that the lower price and reasonable price has significant relationship to purchase intention. Social Value also defined as the changing of feeling, altitude, thought, and behaviors which influenced by other group of people (Family, friends, strangers) (Rashotte, 2007). The previously research mention that related people included friend, family also has significant to purchase decision (Suki and Suki, 2013). Social media is also influencing to purchase intention. People always looking for the feedback which come from the experience mobile phone users.
In social media has many feedbacks which customers can read and decided which product reach their satisfaction (Suki and Suki, 2013). and Chikweche, T. The importance of aesthetics on customers’ intentions to purchase smartphones. Marketing Intelligence & Planning, 35(3), pp. User acceptance of location-based social networking services To investigate the impact of perceived value on user satisfaction, perceived value on user satisfaction base on networking service. Yu, J. Hay, C. and Ignacz, J. Effect of smartphone aesthetic design on users' emotional reaction: An empirical study. The TQM Journal, 20(4), pp. Social eWOM: does it affect the brand attitude and purchase intention of brands? To study how user electronic world of mouth via social network affected to the brand attitude, consequence and purchase intention Kudeshia, C. Haba, H. Hassan, Z. and Dastane, O. Factors leading to consumer perceived value of smartphones and its impact on purchase intention.
Value Creation through Smartphones, An Ethnographic Study about Consumer Value and Social Interaction through Smartphones Jarenfors, O. Alia,S. M. Factors Influencing Purchasing Intention of Smartphone among University Students, ScienceDirect 3. Research Conceptual Framework 3. Theoretical Framework According to Sekaran & Bougie (2009), theoretical framework is the foundation on which it is a logically developed, described and elaborated network of associations among the variables deemed relevant to the problem situation and identified through such processes as interviews, observations and literature review Base on the earlier study, it is clear that the perceive values influence the smartphone purchase intention, hence, the variables related to customers purchase behaviors also are significant in making mobile phone purchasing decision and smartphone marketing. Aesthetics has affected on purchase intention in both direct and indirect ways. It can have indirect link via the factors of technology acceptance (Van der Heijden, 2003), invariable with the concept of perceived function value.
Gallarza and Gil (2006) mentioned that aesthetics can be used to understand how it has impact on satisfaction and purchase intention in the travel industry. Aesthetics was used to measure how it has effect in customer decision when they’re shopping online (Mathwick et al, 2001). Moreover, aesthetics has been found that it has effect on direct link with purchase intention (Lee and Koubek, 2010; Tzou and Lu, 2009). mentioned that the smartphone users use phone to communicate with their friend college or family in social network or other chatting application, the result show that people are influenced by their surrounded people (Friends, Family, etc. while making purchasing decision. We can assume that social value is influenced by young adults (18-25s). H4. There is positive relationship between emotional value and Customer’s intention to purchase smartphone.
It entails research design, methods of data collection, sampling procedure, and research instruments and data analysis. Research Design The study employed a descriptive research design which gives researchers an opportunity to use quantitative data in order to find information and characteristics about the phenomena of the respondent that is being studied without influencing it in any way. In addition, the study used a questionnaire method where by it consisted some questions regarding the respondents. The study used questionnaire method because it is cheap, fast and efficient technique. Data collection The study used both primary data and secondary data as a methods of data collection. Part II measured by seven-point Likert scale, which raking from strongly disagrees represented as 1 to strongly agree represented as 7. In order to test reliability and validity of the scales there are one dependent variable and three moderators: four questions related to aesthetics, five questions related to Functional value, five questions related to Social value, five questions related to Emotional value, and four questions related to purchase intention.
Data Analysis Considering data analysis, there are some shared ways of simplifying collected information. The common ones include the use of mean, percentage distribution, frequency distribution and other researchers employ the use Statistical Package for the Social Sciences (SPSS) to analyze quantitative data effectively. This include Pearson Correlation Coefficient. Age Demographic Which age bracket match to you? Frequency Percent Valid Percent Cumulative Percent Valid 18-25 18 7. Total 237 100. From the table 4. Majority of the respondents fall in age group 26-35 years old which suprisngly recorded 59. This was followed by 31. Total 237 100. From the table 4. the respondent who was graduated bachelor’s degree was the largest group of respondents (57. percent with 136 respondents), followed by master degree (38. percent with 92 respondents), lower than bachelor’s degree (2. percent, with 80 respondents), income lower than 20,000 baht of respondents group (4. percent with 11 respondents), and income more than 60,001 baht of respondents group (3.
percent with 7 respondents), Table 4. Mobile phone cost Demographic How much does your mobile phone cost? Frequency Percent Valid Percent Cumulative Percent Valid 5,000-10,000 7 3. Total 237 100. Emotional Value. Social Value. Purchase Intention. Table4. Cronbach’s Alpha Cronbach’s alpha coefficient is a common method of test which is regularly used to test the internal reliability of the variables or items used in the study. The second highest value of cronbach’s alpha is 0. which used to measure aesthetics with 4 items. Next, the 5 items measuring emotional value recorded at 0. for cronbach’s alpha. Meanwhile, the cronbach’s alpha value for the functional value is 0. Sig. tailed). N 237 237 237 237 237 AV. F Pearson Correlation. Sig. PI Pearson Correlation. Sig. tailed). N 237 237 237 237 237 **. Correlation is significant at the 0. This shows the correlation coefficient gained shows a weak relationship. Hypothesis 04: There is a significant relationship between emotional value and purchasing intention.
The results showed that there is significant positive relationship between emotional value and purchase intention. This is depicted in summary below. Table 4. Therefore, H01, H02, H03 and H04 are accepted. In summary, this results shows that there is a significant relationship between Aesthetics, functional value, social value and emotional value towards purchasing intention of smartphone. Discussion and Implementation According to the data analysis of this study, the result can use to help marketers to understand the behaviors of Thai customers focus on mobile phone markets. The research can be used by any mobile phone company not only the big mobile phone brand like Samsung or Apple. Regarding to the study results show the results as follow According to the result of Hypothesis one, there is a slightly weak positive relationship between the Aesthetics and Smartphone purchase intention.
They willing to buy smartphone which they need which come from many factors stated in the previous study. Conclusion and further study The aim of this research focus on the study of the smartphone purchase intention determine which it has positive relationship to each of variable as mentioned in the previous chapters or it did not have effect to each of variable. The research show that all 4 factors are influencing to smartphone purchase intention of Thai customers. The results of this research mentioned that smartphone purchase intention has positive relationship in Aesthetic, functional value, social value and emotional value. It can describe that the environment around customers or even products itself always has effect to purchase intention (color, shape, function, social society, and emotional). There are 23 items used to measure in this research divided into five variables; Aesthetics, purchase intention, functional value, social value and emotional value.
Researcher analyzed four hypotheses (H1, H2, H3, and H4) by used Pearson’s correlation to measure the relationship between aesthetic and variables. The tested value show that Purchase intention has positive relationship with Aesthetic, Functional value, Social value and Emotional value. The results of this research can be used by the electronic company in smartphone design, strategic, and marketing. According to the result, the company will know what they need to focus on for attracting more customers. KOTLER, P. Marketing: an introduction. Upper Saddle River, N. J. Pearson Prentice Hall. Available at: https://www. impactbnd. com/blog/emotion-influence-buying-behavior [Accessed 13 Aug. Bloch, P. H. Fernandez-Ardevol, M. Qiu, J. L. Sey, A. Mobile communication and society: A global perspective. Luxury customer value", Journal of Fashion Marketing and Management: An International Journal, Vol. Issue: 1, pp.
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pdf (accessed at March 16th, 2012). C. and Soutar, G. N. “Consumer perceived value: the development of a multiple item scale”, Journal of Retailing, Vol. No. P. “Exploring the emotional, aesthetic, and ergonomic facets of innovative product on fashion technology acceptance model”, Behaviour & Information Technology, Vol. No. pp. Vincent, J. Available at: https://theculturetrip. com/asia/thailand/articles/11-things-you-should-know-about-thai-culture/ [Accessed 20 Sep. Copy bibliography citation Copy in-t Yang, K. and Jolly, L. D. Zeithaml, V. A. “Consumer perceptions of price, quality and value: a means‐end model and synthesis of evidence”, Journal of Marketing, Vol. July, pp. APPENDIX A: Analysis Table4. Ph. D. Degree 3 1. Total 237 100. Table4. Emotional Value. Social Value. Purchase Intention. Table4. Cronbach’s Alpha Table 4. F Pearson Correlation. Sig. tailed). N 237 237 237 237 237 AV. SV Pearson Correlation. N 237 237 237 237 237 **. Correlation is significant at the 0. level (2-tailed).
Table 4. Result of Hypothesis testing Hypothesis Correlation Coefficient Level of Significant Result Reject Ho H1. FV3 I want a smartphone that is easy to use. FV4 I want a smartphone which is useful based on its technical performances like a powerful processor or processing various programs at the same time. FV5 I want a smartphone with durable in terms of damage protection or battery lifetime. SV1 I seek the approval of my smartphone from my relatives, friends, or friends from workplace. SV2 I seek the acceptance of my smartphone from my relatives, friends, or friends from workplace. As part of our commitment to the General Data Protection Regulation (GDPR), Please read the participant information form and the participant consent for more information about this research. You are free to withdraw from this survey any time.
The survey will take time less 15 minutes. Please do kindly answer truthfully and complete all questions. แบบสอบถามนี้สร้างขึ้นเพื่อวัตถุประสงค์ทางการศึกษาในระดับปริญญาโท มหาวิทยาลัยแองเกลียรัสกินเท่านั้น ข้อมูลนี้จะถูกเก็บเป็นความลับ กรุณาตอบคำถามด้วยความจริง และตอบทุกข้อ ข้อละ1คำตอบเท่านั้น the participant information sheet: https://www. Nationality สัญชาติ • Thai ไทย • Non-Thai ต่างชาติ 6. Which age bracket match to you? อายุ • 18-35 • 36-48 • 49-64 • 65+ 7. What degree did you graduate with? การศึกษา • lower than bachelor’s degree ต่ำกว่าปริญญาตรี • Bachelor’s Degree ปริญญาตรี • Master’s Degree ปริญญาโท • Ph. D. Degree ปริญญาเอก 8.
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