A Mixed-Methods Approach to Disclose the Influence of Twofold Information Usefulness on Sales

48th Annual Hawaii International Conference on System Sciences (HICSS-48) (2014)

9 Pages Posted: 18 Sep 2014

See all articles by Libo Liu

Libo Liu

Swinburne University of Technology - Faculty of Business and Enterprise

Jimmy Ren

Lenovo Research Hong Kong; City University of Hong Kong (CityUHK) - Department of Information Systems

Long Song

City University of Hong Kong (CityUHK) - Department of Information Systems

Kristijan Mirkovski

City University of Hong Kong (CityUHK) - Department of Information Systems

Date Written: August 15, 2014

Abstract

In the current study, we examine the relative effects of the two types of consumer reviews (i.e., positive and negative eWOM) on consumers’ purchase decisions, and the moderating roles of the two types of information usefulness (i.e., explicit usefulness and implicit usefulness). Analyzing a large-scale panel data collected from an online shopping site, we found that consumers’ purchase decisions are indeed influenced by both positive and negative reviews. In addition, a SVM classifier is built to identify the implicit useful reviews. Our results show that information usefulness, including explicit and implicit useful information, has an important moderating role in consumers’ purchase decisions. This study contributes to the existing literature by explaining how information usefulness (i.e., explicit and implicit usefulness) moderates the influence of consumer review on consumers’ purchase decisions, and providing a classifier for consumer reviews through sentiment analysis in online social shopping sites. The results offer important and interesting insights to IS research and practice.

Keywords: social commerce, positive electronic word of mouth, negative electronic word of mouth, information usefulness, explicit usefulness, implicit usefulness, consumer purchase decision, mixed-methods

Suggested Citation

Liu, Libo and Ren, Jimmy and Song, Long and Mirkovski, Kristijan, A Mixed-Methods Approach to Disclose the Influence of Twofold Information Usefulness on Sales (August 15, 2014). 48th Annual Hawaii International Conference on System Sciences (HICSS-48) (2014). Available at SSRN: https://ssrn.com/abstract=2497412

Libo Liu (Contact Author)

Swinburne University of Technology - Faculty of Business and Enterprise ( email )

PO Box 218
Hawthorn, VIC 3122
Australia

Jimmy Ren

Lenovo Research Hong Kong ( email )

21/F 979 King's Road Quarry Bay
Hong Kong
Hong Kong

City University of Hong Kong (CityUHK) - Department of Information Systems ( email )

83 Tat Chee Avenue
Kowloon
Hong Kong

HOME PAGE: http://www.jimmyren.com

Long Song

City University of Hong Kong (CityUHK) - Department of Information Systems ( email )

83 Tat Chee Avenue
Kowloon
Hong Kong

Kristijan Mirkovski

City University of Hong Kong (CityUHK) - Department of Information Systems ( email )

83 Tat Chee Avenue
Kowloon
Hong Kong

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