Consumers’ redemption behavior of recommended mobile coupons in social network sites

Abstract

PurposeThe purpose of this paper is to explore the key factors that affect consumer redemption intention toward mobile coupons recommended in social network sites (SNS).Design/methodology/approachA research model that integrates recommendation trust, positive utilities, and negative utilities of coupon redemption is developed. With the important role of trust in social recommendation taken into consideration, the key drivers of recommendation trust were analyzed in the model. Data were collected from 210 users with mobile coupon recommendation experience in one of the largest SNS (i.e. WeChat) in China. The authors used partial least squares technique to analyze the model.FindingsRecommendation trust and positive utilities (economic benefits and perceived enjoyment) positively affect the intention of mobile coupon redemption. Perceived risk, as a negative utility, negatively influences coupon redemption intention. In addition, swift trust (structure assurance, perceived similarity, trust propensity, and expertise of the recommender), knowledge-based trust (familiarity with the retailers), and emotion-based trust (social tie strength) are key drivers that promote recommendation trust.Originality/valueWhile prior research investigated mobile coupon redemption behavior in which coupons were issued by merchants, limited research analyzed consumer responses toward mobile coupons in social recommendation. This study examines the effects of recommendation trust, positive utilities, and negative utilities on mobile coupon redemption in the context of social recommendation and recognizes the key drivers of recommendation trust.