Drivers and consequences of word of mouth communication from the senders’ and receivers’ perspectives: the evidence from the Croatian adult population

Abstract

This article addresses the issue of predicting and stimulating consumers’ word of mouth communication (WOM). It contributes to the WOM literature by examining and comparing the magnitude of effects of a set of antecedents and consequences of WOM information spread and WOM information seek in one model. The data collected from consumer survey in Croatia were analysed using structural equation modelling (SEM). The results reveal that consumer innovativeness, followed by price sensitivity and attitudes towards advertising are the most important drivers of both WOM variables, whereas the effects are stronger for WOM information seek than WOM information spread. The results also indicate that WOM information seek has a four times stronger effect on buying intention than WOM information spread, which can be utilised by retailers. Accordingly, retailers should focus on WOM information seek and try to stimulate it by introducing new products in the first place, but also with frequent sales, and appealing advertising messages.