The Impact of Online Communities and E Word of mouth on Purchase Intention of Generation Y: The Mediating Role of Brand Trust

Abstract

Effective marketing and advertising campaigns contribute to customer development, profitability, and business success in the long term. The evolving economies, globalization, and innovative technologies, which have quickly transformed the economic community, make present markets more attractive. Marketing firms are pushed in a new direction by social media marketing, such as Facebook, Twitter, and YouTube. Social media have reached so deeply into millions of people globally and it also has drawn the interest of advertisers. Considering the timeliness and relevance of the phenomenon, this study aims to identify the impact of online communities and e word of mouth on the purchase intention of generation Y. The relevant data were collected through a self-administered questionnaire from 150 individuals aged 25 to 40 years who are residing in the Colombo district based on the convenience sampling method. This study found a positive significant effect of e word of mouth on brand trust and purchase intention and the relationship between e word of mouth and purchase intention is mediate by the brand trust. Further, online communities have a positive significant impact on brand trust and the relationship between online communities and purchase intention is mediated by brand trust. This research fills the gap in the existing literature and provides valuable insights to organizations that use social media marketing as a communication tool.