A

Research Report
On

"Unveiling the Power of Electronic Word of Mouth:Influencing

Smartphone Purchase Decision"

Submitted To

KURUKSHETRA UNIVERSITY, KURUKSHETRA

In the partial fulfilment of the requirement for the degree of

MASTER OF BUSINESS ADMINISTRATION (MBA)

Under the Supervision of:- Submitted By:-

Dr. Sushil Sharma Name: Sachin
(Professor) Class: MBA(SFS) Final
Class roll no.: 26

Exam Roll No.:2022002844

UNIVERSITY SCHOOL OF MANAGEMENT

KURUKSHETRA UNIVERSITY, KURUKSHETRA

(Established by the State Legislature Act XII of 1956)

(‘A++’ Grade NAAC Accredited)

 CERTIFICATE

This is to certify this research report entitled " Unveiling the Power of Electronic Word of
Mouth:Influencing Smartphone Purchase Decision " submitted by Sachin in University
School of Management, Kurukshetra University, Kurukshetra for the partial fulfilment of
award of Master of Business Administration degree is an authentic work done under my
supervision and is plagiarism free as per rules and regulations of Kurukshetra University.
This work done in the report has not been submitted for the award of any other degree to the
best of my knowledge and belief.

(SUSHIL SHARMA)
Professor
 ACKNOWLEDGMENT

I want to express my gratitude to Professor (Dr) Sushil Kumar and Research Associate Ms
Priya Sangwan from my department for their ongoing assistance and suggestions, which played
an integral role in successfully executing this report. Ms Priya suggestions were especially
valuable in ensuring that this report was as flawless as possible.

Additionally, I would like to acknowledge and thank Prof. Nirmala Chaudhary, the Chairperson
of Kurukshetra University's University School of Management, for her assistance for granting
me permission to conduct this research and for providing education and guidance throughout
the report's completion.

Additionally, I want to express my gratitude to all of the responders who kindly gave up their
time to complete the survey and help me with this project. Last but not least, I would want to
express my gratitude to my parents, friends, and other family members for their unfailing
support and help with the completion of my report.
 DECLARATION

I, Sachin, hereby affirm that the Research Project titled "Unveiling the Power of Electronic
Word of Mouth:Influencing Smartphone Purchase Decision " presented here is entirely my
own work. I collected and analysed all the primary data utilized in this report.
Furthermore, I confirm that this report was solely prepared to fulfil my academic requirements
and not for any other purposes.

Sachin
University Roll No. 2022002844
Class Roll no. 26 SFS
MBA
University School of Management
Kurukshetra University, Kurukshetra
 PREFACE

Electronic Word-of-Mouth (E-WOM) is a very essential aspect of promotion and advertising.

It can be considered as the cheapest and most effective form of marketing communication
which drives the sale. E-WOM refers to all the type of information communicated through the
users of a particular product via online channels. It includes customer reviews on e-commerce
sites, expert reviews on technical websites and platforms like YouTube. The communication
happening on social media platforms like Facebook, Instagram etc. too are included in E-
WOM.

The objective of this project was to check the impact of E-WOM on customers’ purchase
behaviour. A particular smartphone product segment is taken as a base to check the extent to
which E-WOM influences the purchase behaviour. The second objective of this project is to
check the factors of E-WOM and to determine the effectiveness of the key factors of E-WOM.

To address the stated objectives, a descriptive study is undertaken. Primary data collected from
individuals makes a sample of 15. A questionnaire to collect the qualitative information related
to customer’s opinion is used to collect the data. Most of the sample consist of the students and
private employees between the age of 17 to 35. Majority of the sample agrees that they check
the online reviews before making a purchase decision in regard of smartphone.

The findings of the analysis shows that E-WOM is an important consideration in smartphone
purchase. There are factors of E-WOM which determines the trustworthiness of an online
review. These factors include mostly the E-WOM Source Credibility, E-WOM Pattern, E-
WOM Quantity. There are different ways to check the authenticity of these factors including
pattern of reviews, trustworthiness of reviewer etc.

This study also analyses the effect of positive and negative E-WOM separately. The results
shows that positive E-WOM and negative E-WOM, both, affect the purchase decision of an
individual in positive and negative ways respectively. But the effect of positive E-WOM is
relatively greater than that of negative E-WOM.
This study tries to fill the research gap in the area of electronic word-of-mouth in the context
of some districts of Haryana. The results might be a little biased as the sample includes mostly
the students and tech-friendly population. That is why the results of this study cannot be
generalised in other demographic or geographic contexts. Electronic Word-of-mouth is an
integral part of marketing as well as a source of product information for customers. It not only
works as a information tool but also helps in changing customer attitude towards a particular
product as we saw in the case of positive and negative E-WOM influence.
 CONTENT

Sr No. Topic Page No.

1 Introduction

2 Literature review

2.1. Literature review

3 Methodology

3.1. Research methodology

3.1.1. Objectives

3.1.2. Data collection instruments

3.1.3. Data collection method

3.1.4. Sampling technique

3.1.5. Sample size

3.1.6. Analytical tools / Software used

3.4. Rationale of study

4 Analysis & Interpretation

5 Finding & Conclusion

6 References

7 Appendix
 LIST OF TABLES

Sr No. Title Page No.

1 Gender of the respondents

2 Age of the respondents

3 Profession of the respondents

4 Consistency of reviews affects decision making

5 When I buy a smartphone online, the reviews presented

on the website are helpful for my decision making

6 I believe that the smartphone reviews on the internet are

neutral (not bias)

7 Recency of reviews presented on website helps in

smartphones purchased decision

8 Influence of negative E-WOM

9 Influence of positive E-WOM

10 High ratings for smartphones affects my purchase

decision

11 Numbers of smartphones reviews affects my purchase

decision
12 If I don’t read the reviews presented on the website
when I buy a smartphone online. I worry about my
decision

13 Grammatical errors or spelling mistakes in smartphone

review affect my decision
 LIST OF FIGURE

Sr No. Title Page No.

1 Gender of the respondents

2 Age of the respondents

3 Profession of the respondents

4 Consistency of reviews affects decision making

5 When I buy a smartphone online, the reviews presented

on the website are helpful for my decision making

6 I believe that the smartphone reviews on the internet are

neutral (not bias)

7 Recency of reviews presented on website helps in

smartphones purchased decision

8 Influence of negative E-WOM

9 Influence of positive E-WOM

10 High ratings for smartphones affects my purchase

decision

11 Numbers of smartphones reviews affects my purchase

decision
12 If I don’t read the reviews presented on the website
when I buy a smartphone online. I worry about my
decision

13 Grammatical errors or spelling mistakes in smartphone

review affect my decision
 Chapter 1

INTRODUCTION
1.1. Introduction

The development of information technology is accelerating daily. Online platforms are

increasingly used as a result of the fact that almost all human behaviours are connected to
information technology, specifically the internet. Also, Electronic marketing has been used by
businesses to reach consumers and persuade them to make purchases online.

Before the internet, commercial interactions were conducted the old-fashioned way, with
customers purchasing goods directly from stores and markets. When they purchase items, they
started telling their loved ones and friends what they thought of the item or brand. Due to the
fact that people are social beings who enjoy discussing their own well-being and desire to
distinguish themselves within social groupings, they are interested in sharing their experiences
and ideas with friends and family. Therefore, consumers tell their friends and family about their
opinions and experiences with a product or brand, which influences them to buy that specific
product or brand. And word-of-mouth was used to describe the sharing of thoughts with others.
After the use of internet platforms began, this word-of-mouth changed to electronic word-of-
mouth. It has been stated that consumers are becoming more powerful since they have more
options to communicate with more people thanks to the internet. With the introduction of the
internet, businesses can now quickly reach larger audiences and persuade people to purchase a
product. For the first time in human history, individuals may make their opinions, ideas, and
replies freely accessible to the whole worldwide community of internet users, in addition to
companies being able to reach audiences on a scale never before possible at a low cost thanks
to the internet.

E-WOM is a more advanced, feature-rich variant of conventional WOM. Consumers are

increasingly using online forums to discuss the goods and services they use and to research the
companies that offer them. One of the oldest strategies in human history, word-of-mouth, is
taking on new significance because to the distinctive feature of the Internet. Additionally,
learned interest in electronic word-of-mouth (E-WOM) has grown because to the quick
development of online communication via social media, websites, and blogs. E-WOM differs
from traditional WOM in that it is quicker, more practical, more accessible, and reduces the
pressure of face-to-face contact. Consumers are more likely to base a decision on E-WOM
when that information is seen as reliable and credible. Electronic word of mouth is a specific
sort of WOM that takes place in an online environment and can be seen in a variety of online
channels, including discussion forums, product evaluations, and numerous emails.
Online consumer comments are one example of digital word-of-mouth. Customers review
products on shopping websites, and other customers can use these reviews to guide their
purchases. Customers look for reviews in prior to purchasing it on many platforms (such as
Google, Instagram, Facebook, etc.). They value transparency from nearby businesses, so they
believe the consumer ratings they read. Before making a purchase, buyers take into account
reviews made by their favourite celebrities rather than those of other customers. Online
channels aid in spreading of E-WOM since superstars have greater influence than average
people. Online conversations allow people to engage with one another freely and without
regard to time or place. Credibility challenges may arise in the internet world and be taken into
account by users. However, the influence of electronic WOM on consumer decision-making is
growing. It became transparent from a comparison with conventional WOM that E-WOM is a
unique phenomenon with its own impacts.

1.2. Electronic Word-Of-Mouth (E-WOM)

Electronic word-of-mouth refers to the sharing of product-related knowledge, viewpoints, and

experiences among consumers using online mediums such discussion forums, social
networking sites, and review websites. Consumers today have access to a wealth of information
on goods and services because to the widespread use of the internet and the growth of social
media platforms, and they rely on E-WOM to do their research before making judgements.

Consumer behaviour and buying decisions have been proven to be highly influenced by E-
WOM in a number of industries, including the smartphone sector. Negative reviews could
prevent customers from buying a product, while positive internet feedback and
recommendations can have a big impact on purchase decisions. The influence of e-WOM on
customer behaviour depends on a variety of factors, including the source's reliability and
credibility, the information's impact on feelings, and the kind of product being discussed.

Smartphone producers and marketers can use E-WOM to impact consumer behaviour by
keeping an eye on and controlling online ratings and suggestions, encouraging happy clients to
post about their positive experiences on social media, and interacting with customers to resolve
any unfavourable comments. Smartphone makers and marketers can raise brand awareness and
reputation through the use of E-WOM, which will ultimately result in more sales and profits.
1.3 Types of E-WOM Sources
Expert sources, user-generated content, brand-generated content, social media influencers,
and friends and family can be used to classify the variety of e-WOM sources.

1.3.1 Expert Sources: Sources with specialised knowledge and experience in a certain
product category or industry are known as expert sources. They can significantly
affect consumer behaviour because customers view them as reliable and credible.
For instance, in the smartphone market, industry analysts and technology bloggers
are frequently regarded as reputable leaders. Consumers are more likely to believe
and follow their advice than that of unreliable sources.

1.3.1.1 Expert e-WOM can take a variety of forms in the smartphone market,
including:
• Technology bloggers: People that write about the most recent trends and
advancements in the smartphone sector are known as technology bloggers. They
frequently have a large following of dedicated readers who appreciate their
viewpoints and thoughts on the most recent smartphones and technology.
• Industry analysts: Experts that offer opinions and analyses on the smartphone
industry are known as industry analysts. They may work for market research
companies or independently as consultants, and both businesses and customers
frequently place a high value on their advice and opinions.
• Tech journalists: These journalists cover the most recent advancements in the
technology sector. They frequently have in-depth knowledge and experience in
the smartphone market and can offer consumers insightful information and
suggestions.

1.3.1.2 Expert e-WOM has a variety of possible impact on customer behaviour:

• Credibility: Because they possess specialised knowledge and skill in a certain
product category or industry, experts are regarded as reliable information
providers. Consumers are more likely to believe and follow the advice of experts
than that of uninformed sources.
 • Authorities: Experts are frequently regarded as leading personalities in their
industry, and customers may give great weight to their advice. Consumers may
be more inclined to see a certain smartphone as a superior product and rely their
buying decision on an expert's advice when they hear it.
• Information: Professionals may give customers useful information about the
newest smartphones, including details about their features, performance, and
price. Consumers can use this information to make more knowledgeable
judgements about their purchases and select a smartphone that best suits their
unique requirements and preferences.

1.3.2 User Generated Contents: Online testimonials, ratings, and comments left by
buyers who have actually bought and utilised a product are referred to as user-
generated content. Users' experiences and opinions are reflected in user-generated
content, which is very significant. Before making a purchase, consumers frequently
rely on user-generated material to learn more about a product. Consumers who read
positive evaluations are more likely to buy the product than those who read
unfavourable reviews.

1.3.3 Brand Generated Content: Marketing communications and commercials

produced by the brand itself are examples of brand-generated content. While brand-
generated content can be persuasive, customers who are aware of the brand's
position regularly view it with doubt. Consumers may be less likely to trust brand-
generated material than trustworthy sources like expert sources or user-generated
content.

1.3.3.1 Brand-generated e-WOM in the smartphone sector can take a variety of

forms, such as:
• Advertising: To publicise their products and create excitement, smartphone
manufacturers frequently utilise advertising. This can include billboards, online
ads, and television commercials.
• Social Media: Smartphone manufacturers utilise social media to interact with
customers and advertise their products. They might post customer reviews and
 testimonials, share images and videos of their items, and provide special
discounts and promotions.
• Product Descriptions: Smartphone manufacturers describe their goods in great
detail on their websites, including features, specifications, and advantages.
These overviews aim to draw attention to the product's distinctive selling
characteristics and encourage customers to buy.

1.3.3.2 Consumer behaviour can be affected by brand-generated e-WOM in a

number of ways:
• Persuasion: Brand-generated e-WOM is intended to persuade customers to buy
a specific product. Brands can influence customers to buy a product by
emphasising the characteristics and benefits of the product.
• Brand awareness: By introducing consumers to the brand and its products,
brand-generated e-WOM can raise brand awareness. Smartphone manufacturers
may boost their visibility and reach a larger audience by utilising a variety of
marketing platforms to sell their products.
• Reputation Management: Brand-generated e-WOM can assist in managing a
brand's reputation by spreading favourable information about the company and
its goods. Brands may increase consumer trust and credibility and enhance
their reputation by publishing customer feedback and testimonials.

1.3.4 Social Media Influencers: Individuals having a significant following on social

media sites like Instagram, YouTube, and TikTok are known as social media
influencers. They may significantly affect consumer behaviour, especially in
younger age groups. The suggestions of social media influencers may be more
trusted by customers than those of conventional marketing channels since they are
frequently seen as genuine and helpful.

1.3.4.1 Consumer behaviour can be influenced by social media e-WOM in a number

of ways:
• Brand awareness: Social media e-WOM can help brands become more well-
known by exposing them to a larger audience. When customers post positive
reviews of a brand on social media, their friends and followers could start to
show an interest in the company and its goods.
 • Enhanced brand reputation: Social media e-WOM can bolster a company's
reputation by proving to consumers the worth and quality of its products.
Consumer trust in a brand can rise as a result of positive social media
evaluations and recommendations, which can boost sales and revenue.
• Increases Engagement: A platform for two-way communication is provided
by social media e-WOM, which can help boost interaction between companies
and consumers. Through social media, brands can interact with customers, reply
to their comments and concerns, and develop relationships with them.
• Viral marketing: Social media e-WOM can also result in viral marketing,
where customers inform their social media followers about a product or brand,
resulting in a rapid increase in brand awareness and reach.

1.3.5 Friends and Family: People frequently view recommendations and comments
from friends and family as the most reliable and powerful type of e-WOM.
Customers are more likely to follow recommendations from people they truly know
and trust. In the smartphone market, where consumers frequently seek guidance of
reliable sources before making a purchasing decision, word-of-mouth
recommendations from friends and family members can be extremely effective.

1.4 Consumer & Customer

On the stage of the market, consumers perform as players. In general, people who buy or
use goods and services are referred to as consumers; but there is a small distinction between
a buyer and a consumer. Buyers are the individuals who are acting as ultimate, commercial,
or institutional buyers. The last one, consumer, refers to people who buy only for ultimate
use, which has a more specific definition; they are the people for whom the goods or
services are ultimately produced.

1.5 Customer’s Purchase Behaviour and E-WOM

The term "behaviour" describes the actions or responses that people or groups of people
exhibit in response to internal or external stimuli. It refers to the activities or responses that
consumers do in response to numerous elements that have an impact on their decision-
making process when discussing consumer behaviour.
Consumer purchasing behaviour describes the steps people take to decide whether to
purchase a specific good or service. The typical steps in this process are problem
identification, information search, alternative evaluation, purchase decision, and post-
purchase analysis.

Step 1. Problem Identification: The process starts when a need or demand for a product
is identified. Different things, such the customer's own wants, influences from the outside,
or troubleshooting conditions, can cause this.

Step 2. Information Search: When a need is identified, consumers do look for information
to find essential details about the goods or services that are offered. There are many ways
to perform this search, including consuming customer reviews, visiting offline firms,
asking friends and family for advice, and conducting online research.

Step 3. Alternative Evaluation: Customers assess the available options at this point based
on predetermined standards including item characteristics, cost, quality, image of the
company, and user reviews. Customers can also assess the alternatives' feel worth,
advantages, and compatibility for their requirements.

Step 4. Purchase Decision: Customers choose to buy a specific good or service after
weighing their choices. The customer's tastes, spending limits, estimated worth, reputation
for the company, and level of faith in an organisation or brand are among the many
variables that affect this choice.

Step. 5. Post-Purchase Analysis: Customers assess their happiness with the goods or
service after making their purchase. This assessment is based on both the actual
achievements or quality of the good or service and the customer's expectations. Customers'
future decision-making and ability to suggest the service or good to others can be
influenced by their pleasure or frustration with the product.

1.5.1 Consumer behaviour can be complicated and affected by a number of

variables, such as psychological, social, personal, and marketing aspects.
• Personal factors: Age, income, lifestyle, and personality are examples of personal
aspects that might affect consumer behaviour. For instance, younger consumers might
be more inclined to buy smartphones equipped with the most recent features and
 technology, whilst older consumers would favour simpler, more reasonably priced
gadgets.
• Psychological factors: Psychological factors influences on consumer behaviour
include those related to motivation, perception, learning, and beliefs. Customers
might be persuaded to buy a new smartphone, for instance, if they think it will boost
their status or increase their productivity.
• Social factors: Social factors influences including family, friends, and culture can
have an impact on how consumers behave. For instance, when making a purchasing
decision, consumers may be persuaded by the advice and opinions of their friends and
relatives.
• Marketing Factors: Advertising, promotions, and product design are examples of
marketing elements that might affect consumer behaviour. For instance, smartphone
manufacturers may utilise advertising and promotions to entice customers to buy their
devices, while product design can affect how much of the worth of a good individuals
associate with it.

There are many ways to study and analyse consumer behaviour, including surveys, focus
groups, and market research. Businesses can utilise this information to create marketing
plans that work and raise their level of market competition.

Understanding consumer behaviour is essential for firms to be successful in the smartphone

sector. Smartphone manufacturers may create merchandise and marketing strategies that
are more appealing to their target audience and improve their chances of success by
knowing the elements that affect customer behaviour. This can be designing goods with the
newest features and technological advancements, coming up with advertising strategies that
connect with their target market, or providing sales and discounts to promote purchases.
 Figure 1. E-WOM and Purchase Behaviour

Figure 1 depicts that social media, websites, tech experts and brand generated contents are the
various sources of E-WOM. The E-WOM spread through these sources affect consumers’
purchase behaviour in case of smartphone.
 Chapter 2

Literature Review
2.1. Literature Review

(Iqbal, A., Alam Khan, N., Malik, A., & Rishad Faridi, M. (2022) With the importance of
electronic word-of-mouth in the current information technology era, numerous studies have
been done to examine how it affects consumers' purchasing decisions. E-WOM has evolved
into a crucial tool and communication channel for making any transaction as e-commerce and
social networking platforms are being used more and more. Social networking networks are
less successful than e-WOM through online commerce platforms for influencing smartphone
purchase intentions.

(Alrwashdeh, M., Emeagwali, O. L., & Aljuhmani, H. Y. (2019) E-WOM aids in building a
positive brand image, which improves consumer impression of the brand and influences buying
behaviour. Therefore, businesses and marketers must focus on online communication channels
to influence consumers' intentions to buy items and brand perception.

(Anastasiei et al., 2022) Social media-based e-WOM has a significant impact on customers'
purchasing decisions. When it comes to inexpensive things, rational messages are more
persuasive than emotional ones. Rational messaging let clients make educated decisions by
providing objective information, which reduces perceived risk. However, emotional signals
increase the likelihood that a buyer will make a purchase decision since they make them want
the goods more. The message that uses emotional appeal may have a bigger influence on buying
decision for expensive and high involvement products.

(Jasin, 2022) Social media, Internet marketing, electronic word-of-mouth, brand image, and
purchase intention are all linked. Digital advertising, social media, and electronic word-of-
mouth have a positive and significant impact on brand image. Any brand's positive and good
reputation has a positive and significant impact on consumers' intentions to make purchases.

(Savitri, C., Hurriyati, R., Wibowo, L. A., & Hendrayati, H. (2022). .Social media marketing
and brand perception are positively and significantly related. Additionally, there is a strong and
beneficial correlation between purchase intention and the perception of a brand. So, it is
concluded that social media marketing improves a brand's reputation, which further influences
a customer's desirable buy intention.
Adhikari, N. S. (2018). Advertising is a powerful, long-lasting technique for forming consumer
perceptions of any good or service. And as a result, it appears the internet is the most popular
medium for making smartphone purchase decisions.

(Adhikari, 2018) Businesses are able to communicate with their clients in a more informative
and interactive (two-way) manner thanks to social media advertising. The most important
determinants of purchase intention include elements like performance expectation,
engagement, informativeness, and perceived significance.

(Salvation, M. D., & Sorooshian, S. (2018). Utilising social media in marketing initiatives to
improve or strengthen not only the brand's reputation but also their ability to generate sales.

(Wilson, A. E., Giebelhausen, M. D., & Brady, M. K. (2017). Opposite to what one might
think, the study found that for consumers with a strong connection to their favourite brand,
negative online word-of-mouth (NOWOM) enhances their intentional behaviour towards the
product.

(Fan, Y. W., & Miao, Y. F. (2012) The most important factor influencing how credible E-
WOM is seen is involvement. E-WOM acceptability and purchasing intent are significantly
influenced by perceived E-WOM trustworthiness. According to the findings of this study, male
and female clients behave differently when purchasing online.

(Amin, 2019) Online feedback has a major influence on purchasing decisions. Before
purchasing goods or services, consumers examined internet ratings. Companies are able to
utilise E-WOM to increase customer loyalty, brand worth, and revenue while also boosting
brand recognition and other performance metrics. E-WOM serves as a quick kind of feedback
for advertisers. They can use both positive and negative E-WOM to enhance the quality of their
goods and services, provide refunds, and handle customer concerns.

(Rani, A., Toni, M., & Shivaprasad, H. N. (2022) It is obvious that consumers rely on E-WOM
to influence their purchasing choices, in either a direct or indirect way. Also, Customers'
recommendations for fresh startups are crucial because they help them establish a solid
foundation for their clients or the development of effective E-WOM communication techniques
will help new e-commerce sites expand their market.

(Hadke, S. C., & Anute, N. (2021). E-WOM outlets are crucial in deciding what to purchase
for customers. Many clients use e-WOM, either directly or indirectly, prior to placing their
order. Buyers utilise e-WOM to express their initial thoughts and opinions about the products
after they have purchased them. Trust in brands battles is strong in online communities and
blogs. Marketers may employ e-WOM to increase the value of the brand, increase sales and
other important performance indicators, and increase client retention. E-WOM also acts as an
immediate response to marketers. They may use both positive and negative e-WOM to increase
their goods and service delivery, give improvements, and address consumer concerns

(Erkan, I., & Evans, C. (2016). Through the use of social networking sites, buyers now have
more opportunity to share helpful feedback on goods with other clients when making purchase
selections. Customers tend to search for E-WOM information on various internet channels to
aid in making decisions. After evaluating the validity and efficacy of the product. Consumers
could gain attitudes towards the E-WOM and an opinion of its usefulness based on information,
which would subsequently influence their adoption of information and purchase intention.

(Septiari, E. D. (2018). E-WOM is a low-cost method of reaching out to prospective

clients. This is regarded as a reliable and crucial resource for understanding that consumers
refer prior to purchasing decisions.

(Farzin, M., & Fattahi, M. (2018). Increased favourable online reviews about goods and
organisations in social media platforms could enhance consumers' believed image of the
business and motivation to buy. E-WOM plays a significant role in influencing buyer
perception, enhanced brand perception as experienced by buyers and also increases their desire
to buy.

(Qahri-Saremi & Montazemi, 2019) Buyers generally trust reviews of products on the internet
approximately twelve times greater than marketing produced by the merchants themselves,
which has caused them to start using E-WOM communications. Adopting the guidance and
ideas offered in the form of reviews and comments which affect customers' behavioural
intentions, referred to as adopting an E-WOM communication

(Jain, V., & Schultz, D. E. (2019). Understanding the buying habits of consumers is essential
for boosting an expensive brand's transactions, and this is only possible through online
platforms. Additionally, buyers use online platforms significantly for the sole purpose of
product comparison and assessment of accessible rival brands.
(Bulut, Z. A., & Karabulut, A. N. (2018). The quantity of E-WOM and buying intentions are
correlated. Quantity has also played a crucial impact in how buyers assess the authority of the
individual who develops E-WOM.

(Xu, Q. (2014). There is the connection between the author's abilities and the reliability of E-
WOM. Based on their familiarity with the good, their background and their level of social
media fame, all assessed the reliability of E-WOM authors. When respondents looked for
product details, celebrities and cosmetics bloggers were the sources they most frequently
used. The interviewees still rely on their preferred celebrities since they have credibility,
regardless of whether they are sponsored. Influencers and beauty bloggers' perceived
reputation is influenced by how long they have been in the reviewing business.

Hussain, S., Ahmed, W., Jafar, R. M. S., Rabnawaz, A., & Jianzhou, Y. (2017). Buyers assess
the reliability of E-WOM based on a variety of factors, including the knowledge and
expertise of the writer, the E-WOM's style and information, and the degree of customer
engagement.
 Chapter 3

Research Methodology
3.1 Research Type
A descriptive study was carried out to determine the impact of Electronic Word-Of-Mouth
on customer’s purchase behaviour of smartphones, also with various aspects of it like the key
elements (E-WOM credibility, E-WOM quantity and E-WOM format) which influence the
impact of E-WOM on their buying behaviour.

3.1.1 Objectives

a) To identify the dimension of E-WOM affecting purchase decision of smartphones.

b) To do a compartive analysis of E-WOM dimension on the basis of demographic information.

3.1.2. Data Collection

Primary Data: The primary data was collected through a structure questionnaire which was
filled by the customers within some districts of Haryana who purchased the smartphone
recently. The questionnaire is properly well-designed and easy to understand so that even the
customers can understand it. Five-point Likert scale was used in that to measure effectiveness
or impact of E-WOM on customer’s purchase behaviour and also for the key factors of E-
WOM that influence the customer buying behaviour. In this study 154 customers of some
districts of Haryana have been selected based on my convenience. So, convenient sampling
method is used to fill the response in the questionnaire.

Secondary Data: The secondary data was taken from different research papers, articles which
have same objective as in my study which help me in designing my questionnaire and to prepare
my project work report.

3.1.3. Sampling Design of the study

The research is conducted within the some districts of Haryana. The targeted population was
the smartphones of Haryana. Research methodology could also be a strategy for collecting
all types of data & data concerning the subject in question:

Population of the study: Smartphone users in some districts of Haryana.

Sampling Frame: Smartphone Customers within some districts of Haryana.
Sample Size: 154
Sampling Technique: Convenience sampling is used to take the customers response.
(Convenience sampling is defined as a way adopted by researchers where they collect
marketing research data from a conveniently available pool of respondents. It is the foremost
commonly used sampling technique as it’s incredibly prompt, uncomplicated, economical.)

Population Smartphone users in southern districts of Haryana

Research Type Survey Based Descriptive Research

Sampling Method Convenience Sampling

Sampling Frame Smartphone Customers within some districts of Haryana

Sample Size 154

Data Collection Primary Data Collection: Questionnaire

Secondary Data Collection: Internet, Research Papers

3.4 Rationale of the Study

This study paper's goal is to analyse how customers' smartphone buying behaviours are
affected by electronic word-of-mouth (E-WOM). With an increasing focus on user-
generated content like reviews, ratings, and comments, the emergence of social media
and internet platforms has fundamentally altered the way customers make purchasing
decisions.
The smartphone market is extremely competitive, with numerous firms selling
comparable products at various price points and with differing features. In this situation,
E-WOM can have a big impact on how customers behave while making purchases, with
positive or negative feedback perhaps influencing their choice. Therefore, for
companies to create efficient marketing strategies and enhance their online image, it is
essential to understand the impact of E-WOM on consumers' purchasing decisions in
the smartphone industry.

The study relies on a descriptive methodology to investigate how consumers view E-

WOM. To identify the existing studies on E-WOM and smartphone purchase
behaviour, a thorough evaluation of the literature would be the first step in the study
project. An online survey (questionnaire) of smartphone users will be used to gather
primary data. This will ask users about their exposure to E-WOM, the sources of E-
WOM they rely on, and their purchasing habits in the field of smartphones.

The study's findings will provide important insights on how E-WOM affects consumers'
smartphone purchase decisions as very less researchers have already studied this in the
context of some districts of Haryana. The findings can help brands understand the kinds
of E-WOM sources that have the greatest influence over consumer behaviour, the
effects of both good and negative E-WOM on consumer purchasing decisions, and the
function of E-WOM in building brand loyalty and improving the entire customer
experience. The research's ultimate goal is to add to the collection of knowledge on E-
WOM and its influence on consumer behaviour while also offering actionable advice
for firms looking to enhance their online reputation and marketing tactics.
➢ It is evident from some of the studies conducted all over the world to explain the
importance of the impact of word-of-mouth marketing on consumers' purchasing
decisions. Some of the results are listed here:

1. Before making a purchase, 70% of American consumers research products and

services online. (Mintel, 2015)

2. Forbes magazine refers to "E-WOM" as "the most important social media" for
marketers. (Whitler, 2014)

3. Positive E-WOM would always be used to spread innovation throughout the

market. (Mahajan et al., 1984)

4. When recipients see a higher similarity with the sender, E-WOM is more
effective. (Forman et al., 2008)
 Chapter 4

Analysis and Interpretation

Table no. 4.1 is showing the gender wise classification of respondents
S.No. Gender No. of Percentage
respondents
1 Male 71 46.1
2 Female 76 49.4
3 Other 7 4.5
Total 154 100

GENDER

4.5

46.1

49.4

Male Female Other

INTERPRETATION:
Table 4.1 shows the Gender of the respondents and also interprets that maximum number of
respondents are Female which are 49.4% of the total respondents followed by Male and Other
category which are 46.1% and 4.5% respectively of the total respondents.
Table no.4.2 showing the age distribution
S.No. Age (in years) No. of Percentage
respondents
1 Below 17 13 8.4
2 17-25 93 60.4
3 25-35 29 18.8
4 Above 35 19 12.3
Total 154 100

AGE OF RESPONDENT

12.3 8.4

18.8

60.4

Below 17 17-25 25-35 Above 35

INTERPRETATION:
Table 4.2 shows the age of the respondents and also interprets that maximum number of the
respondents are in the age group of 17-25 which are 60.4% of the total respondents and are
followed by age group of 25-35 and Above 35. Below the age of there was only 8.4%
respondents of the total respondents.
Table no. 4.3 showing the occupation of the respondents.
S.No. Occupation No. of Percentage
respondents
1 Student 84 54.5
2 Government Employee 26 16.9
3 Private Employee 31 20.1
4 Self- Employed 13 8.4
Total 154 100

OCCUPATION

8.4

20.1

54.5

16.9

Student Government Employee Private Employee Self- Employed

Interpretation:
Table 4.3 shows the occupation of the respondents and also interprets that maximum number
of the respondents are Students which are 54.5% of the total respondents and followed by
Private employees which are 20.1% and Government employees and Self employed which are
16.9% and 8.4% of the total respondents.
Table no. 4.4 showing response from the Males in different Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 229 25

2 Impact of review on expensive smartphones 249 27
3 Rating influence on purchase decision 233 26
4 Quality and presentation of review 200 22
Total 910 100

MALE RESPONDENT

22 25

26
27

Review inluence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.4 shows the responses of Males in different dimensions in which the maximum
number of males prefer the dimension i.e. Impact of review on expensive smartphones which
are 27% in number and which is followed by 26% of the respondents who are influence with
Rating influence on purchase decision and another 25% are influence with Review influence
on purchase decision on E-WOM. The rest of 22% are influence on Quality and Presentation
of review from the total respondents.
Table no. 4.5 showing response from the Females in different Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 261 25

2 Impact of review on expensive smartphones 265 25
3 Rating influence on purchase decision 274 26
4 Quality and presentation of review 250 24
Total 100
1050

FEMALE RESPONDENT

20 19

22 22

Review influence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.5 shows the responses of Females in different dimensions in which the maximum
number of females prefer the dimensions i.e. Impact of review on expensive smartphones
which are 22% and Rating influence on purchase decision which are also 22% in number and
which is followed by 20% of the respondents who are influence with Quality and
Presentation of review on E-WOM.The rest of 19% are influence on Review influence on
purchase decision from the total respondents.
Table no. 4.6 showing response from the Others in different Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 19 23

2 Impact of review on expensive smartphones 22 27
3 Rating influence on purchase decision 22 27
4 Quality and presentation of review 20 24
Total 83 100

OTHERS

20 19

22 22

Review influence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.6 shows the responses of Others in different dimensions in which the maximum
number of others prefer the dimensions i.e. Impact of review on expensive smartphones
which are 22% and Rating influence on purchase decision which are also 22% in number and
which is followed by 20% of the respondents who are influence with Quality and
Presentation of review. The rest of 19% are influence on Review influence on purchase
decision from the total respondents.
Table no. 4.7 showing response from the Students in different Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 287 25

2 Impact of review on expensive smartphones 301 26
3 Rating influence on purchase decision 307 26
4 Quality and presentation of review 265 23
Total 1160 100

STUDENT RESPONDENT

23 25

24
28

Review influence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.7 shows the Occupation of the respondents i.e. Student in which maximum number
of respondents give weightage to Impact of review on expensive smartphones which are 28%
in number and secondly to Review influence on purchase decision which are 25% and 24% to
Rating influence on purchase decision and another 23% to Quality and Presentation of review
from the total respondents.
Table no. 4.8 showing response from the Government employees in different
Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 81 25

2 Impact of review on expensive smartphones 87 27
3 Rating influence on purchase decision 82 26
4 Quality and presentation of review 72 22
Total 321 100

GOVERNMENT EMPLOYEES

24 25

26 25

Review influence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.8 shows the Occupation of the respondents i.e. Government employees in which
maximum number of respondents give weightage to Impact of review on expensive
smartphones which are 27% in number and secondly to Rating influence on purchase
decision which are 26% and 25% to Review influence on purchase decision and another 22%
to Quality and Presentation of review from the total respondents.
Table no. 4.9 showing response from the Private employees in different
Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 98 25

2 Impact of review on expensive smartphones 99 25
3 Rating influence on purchase decision 99 26
4 Quality and presentation of review 93 24
Total 389 100

PRIVATE EMPLOYEES

24 25

26 25

Review influence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.9 shows the Occupation of the respondents i.e. Private employees in which maximum
number of respondents give weightage to to Rating influence on purchase decision which are
26% in number and secondly to Review influence on purchase decision which are 25% and
to Impact of review on expensive smartphones and another 24% to Quality and Presentation
of review from the total respondents
Table no. 4.9 showing response from the Self employed in different
Dimensions.
S. No. Dimensions Mean Percentage

1 Review influence on purchase decision 44 25

2 Impact of review on expensive smartphones 49 28
3 Rating influence on purchase decision 41 24
4 Quality and presentation of review 40 23
Total 174 100

SELF EMPLOYED

23 25

24
28

Review influence on purchase decision Impact of review on expensive smartphones

Rating influence on purchase decision Quality and presentation of review

Interpretation:
Table 4.10 shows the Occupation of the respondents i.e. Self employed in which maximum
number of respondents give weightage to Impact of review on expensive smartphones which
are 28% in number and secondly to Review influence on purchase decision which are 25%
and 24% to Rating influence on purchase decision and another 23% to Quality and
Presentation of review from the total respondents.
 CHAPTER-5
FINDINGS, SUGGESTIONS AND
CONCLUSION
 FINDINGS
• A large percentage of the respondents are students who influenced by E-WOM.
• A vast majority of female respondents are agree with Rating influence on purchase
decision
• Along with female respondents male respondents are also agreed with Impact of
review on expensive smartphones.
• A majority of respondents are from age category of 17-25 and 25-35 Years and also
the most of respondents are students who influenced by E-WOM.
• Most of the respondents are satisfied with Impact of review on expensive smartphones
in E-WOM while purchasing a smartphone.
• Most of the respondents are influnced by E-WOM while purchasing smartphones.
• A majority of respondents of every occupation finds that there is an Impact of review
while purchasing expensive smartphones.
• The respondents who used E-WOM for purchasing smartphones are equally satisfied
with the dimension of E-WOM
• Most of the respondent are not satisfied with Quality and Presentation of review in
E-WOM.
• The respondents are also satisfied that rating and review also influence their purchase
decision.
 Suggestions

• This research was solely based on the smartphone segment in measuring the
effectiveness of E-WOM. Other product segments can also be included like fashion,
apparel, food, automobile, etc.
• The data can be collected from a bigger sample to draw more accurate results.
• Consider using the statistical tools to find out patterns and draw more conclusions about
the relationship between various dimension like impact of review on expensive
smartphones and review and rating of purchase decision.
• There is a need to broaden the scope of the research by adding more dimension for
determining effectiveness of E-WOM.
• The secondary data can be used to draw adequate conclusions about the effectiveness
of E-WOM. These data can include the data of social media sites and advertising and
sales data of companies.
• There is a need to improve the quality and presentation of review so that effectiveness
of E-WOM can be increased.
 Conclusion

The research emphasis on the Electronic word of mouth in which the most of the respondents
from the population finds that they influence by dimension like impact of review while the
buying the expensive smartphones and rating and review also influence their purchase
decision. The majority of the respondents are the students who are in the age category of 17-
25 years are influenced by electronic of word of mouth. The respondents are very satisfying
with dimension i.e. Impact of review on expensive smartphone.and less satisfied by Quality
and Presentation of review that are shows by electronic word of mouth. They find that
electronic word of mouth is helpful in purchasing smartphone decision. Overall, the
respondents are satisfied that electronic word of mouth is effective in purchase decision.
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Appendix
8.1 Questionnaire

1. Gender
o Male
o Female
o Other

2. Age (In Years)

o Below 17
o 17-25
o 26-35
o Above 35

3. Profession
o Student
o Government Employee
o Private Employee
o Self-Employed
o Other………….

4. Consistency of reviews posted on the website affect my purchase decision?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

5. When I buy a smartphone online, the reviews presented on the website are helpful for
my decision making?
o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree
6. I believe that the smartphone reviews on the internet are neutral (not bias)?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

7. Recency of smartphone reviews posted on the website affect my purchase decision?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

8. When I buy smartphone online, the impact of negative online reviews on my purchasing
decision is greater for expensive smartphones?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

9. When I buy a smartphone online, the impact of positive online reviews on my purchasing
decision is greater for expensive smartphones?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

10. Received high ratings for smartphone affect my purchase decision?

 o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

11. The number of smartphone reviews affects my purchase decision?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

12. If I don’t read the reviews presented on the website when I buy a smartphone online. I
worry about my decision?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

13. Spelling or grammar mistakes in smartphone review affect my purchase decision?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree