The impact of social media engagement on consumers' trust and purchase intention

Abstract

This study aims to investigate the effect of social media usage among different segments of customers on their level of trust in the advertising campaign and their purchase intention. The paper took a deductive approach by reviewing past literature about the effects of social media on consumers and in particular on customer purchase intention to design a construct for evaluating the relationship between the variables. The findings indicate that engagement on social media varies for different segments of customers. This includes the engagement to acquire discounts and promotions for price-sensitive customers, following upmarket brands for high-end customers; it is also used to follow brands that the customer is already a patron of in brand loyal segment. An additional category was designed for the fashion seeking customers, namely, engaging on social media to follow new trends and celebrities. In all categories, engagement on social media positively impacts the level of trust and purchase intention among customers. This study differs from past research by classifying customers and their social media usage and examining these factors in relation to trust and purchase intention. Hence, the results can assist managers in planning advertising campaigns based on their overall strategy.