THE INFLUENCE OF PERCEIVED SERVICE PERFORMANCE ON GENERATION Z’S EWOM INTENTIONS IN THE FOOD SERVICE SECTOR
Keywords:
Electronic word of mouth (eWOM), Generation Z, Service performance, Social media, Mobile technology, Restaurant industryAbstract
As “digital natives”, Generation Z consumers are extremely active on social media by sharing their opinions and experiences via several online platforms and mobile technologies. In the restaurant setting, electronic word of mouth (eWOM) information is quite resilient and influence consumers’ decisions as food services could not be evaluated before consumption. Nevertheless, previous studies examining the effect of Generation Z consumers’ perceptions about restaurant service experiences on their eWOM intentions have been fewer addressed. Consequently, the purpose of this study is to examine the relationship between Generation Z consumers’ perceived service performance of quick service restaurants (QSRs) which become popular among Thai teenagers and their eWOM intentions.
Utilizing quantitative survey of 373 young consumers, the findings reported that perceived restaurant service performance positively related to eWOM intentions. In this regard, five components of restaurant service performance included food quality, personal interaction, perceived value, reliability, and physical environment. The findings contribute to the consumer behavior and digital marketing literature in that it provides a better understanding of the link between perceived service performance and electronic word-of-mouth (eWOM) in the restaurant setting. The framework could also facilitate future empirical studies in the hospitality industry. Additionally, the study could encourage food service marketers recognize the importance of eWOM and connect with young consumers to encourage positive eWOM communications while the costs of promotions are increasing.
References
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Albers, S. (2010). 10 reasons why people post food pictures on Facebook. Psychology Today, Retrieved from
https://www.psychologytoday.com/us/blog/comfort-cravings/201008/10-reasons-why-eoplepost- food-pictures-facebook
Bagozzi, R.P. & Yi, Y. (2012). Specification, evaluation, and interpretation of structural equation models. Journal of the Academy of Marketing Science, 40(1), 8-34.
Bentler, P.M. & Chou, C.P. (1987). Practical issues in structural equation modeling. Sociological Methods and Research, 16, 78-117.
Bhatnagar, A. & Ghose, S. (2004). Online information search termination patterns across product categories and consumer demographics. Journal of Retailing, 80(3), 221-228.
Blazevic, V., Hammedi, W., Garnefeld, I, Rust, R.T., Keiningham, T., Andreassen, T.W., …Car, W. (2013), Beyond traditional word-of-mouth: An expanded model of customer influence. Journal of Service Management, 24(3), 294-313.
Bolton,R.N., Parasuraman, A., Hoefnagels, A., Migchels, N., Kabadayi, S., Gruber, T., … Solnet, D. (2013). Understanding Generation Y and their use of social media: A review and research agenda. Journal of Service Management, 24(3), 245-267.
Brown, J.D. (1996). Testing in language programs. NJ.: Prentice Hall Regents.
Brown, J., Broderick, A.J. & Lee, N. (2007). Word of mouth communication within online communities: Conceptualizing the online social network. Journal of Interactive Marketing, 21(3), 2-20.
Chan, Y.Y.Y. & Ngai, E.W.T. (2011). Conceptualising electronic word of mouth activity: An inputprocess- output perspective. Marketing Intelligence & Planning. 29(5), 488-516. C
heung, C.M.K., & Thadani, D.R. (2012). The impact of electronic word-of-mouth communication: A literature analysis and integrative model. Decision Support Systems, 54(1), 461-470.
Cummins, S., Peltier, J.W., Schibrowsky, J.A., & Nill, A. (2014). Consumer behavior in the online context. Journal of Research in Interactive Marketing, 8(3), 169-202.
Department of Business Development. (2017). Restaurant market. Retrieved from http://www.dbd.go.th/download/document_file/Statisic/2560/T26/T26_201703.pdf
Desai, S.P. & Lele, V. (2017). Correlating internet, social networks and workplace – A case of Generation Z students. Journal of Commerce & Management Thought, 8(4), 802-815.
Dwyer, P. (2007). Measuring the value of electronic word of mouth and its impact in consumer communities. Journal of Interactive Marketing, 21(2), 63-79.
Erkan, I. & Evans, C. (2016). The influence of eWOM in social media on consumers’ purchase intentions: An extended approach to information adoption. Computers in Human Behavior, 61, 47-55.
Food Intelligence Center Thailand, (2017). NFI Fast-food industry in Thailand. Retrieved from http://fic.nfi.or.th/MarketOverviewDomesticDetail.php?id=162
Godes, D. & Mayzlin, D. (2004). Using online conversations to study word-of-mouth communication. Marketing Science, 23(4), 545-560.
Glum, J. (2015). Marketing to Generation Z: Millennials move aside as brands shift focus to under-18 customers. International Business Times. Retrieved from http://www.ibtimes.com/marketing-generation-z-millennials-move-aside-brands-shiftfocus- under-18-customers-1782220
Grail Research, 2010. Consumers tomorrow insight and observation about Generation Z. Retrieved from https://www.slideshare.net/johnyvo/consumers-oftomorrowinsightsandobservationsaboutgenerationz- 25226677
Hair, J.F.Jr., Black, W.C., Babin, B.J., Anderson, R.E., & Tatham, R.L. (2006). Multivariate data analysis. Pearson Education, Inc., NJ., USA. Hajli, N. (2014). Social word of mouth: How trust develops in the market. International Journal of Market Research, 56(5), 1-18.
Harrison-walker, L.J. (2001). The measurement of word-of-mouth communication and an investigation of service quality and customer commitment as potential antecedents. Journal of Service Research, 4, 60-75.
Hennig-Thurau, T. & Walsh, G. (2003). Electronic word-of-mouth: Motives for and consequences of reading customer articulations on the internet. Journal of Electronic Commerce, 8(2), 51-74.H
ennig-Thurau, T., Gwinner, K.P., Walsh, G. & Gremler, D.D. (2004). Electronic word-of-mouth via consumer-opinion platforms: What motivates consumers to articulate themselves on the internet? Journal of Interactive Marketing, 18(1), 38-52.
Heung, V.C. & Lam, T. (2003). Customer complaint behavior towards hotel restaurant services. International Journal of Contemporary Hospitality Management, 15(5), 283-289.
Homans, G.C. (1958). Social behavior as exchange. American Journal of Sociology, 63(6), 597-606.
Jalilvand, M.R., Esfahani, S.S., & Samiei, N. (2011). Electronic word-of-mouth: Challenges and opportunities. Procedia Computer Science, 3, 42-46.
Jalilvand, M.R., Salimipour, S., Elyasi, M., & Mohammadi, M. (2017). Factors influencing word of mouth behavior in the restaurant industry. Marketing Intelligence & Planning, 35(1), 81-110.
Jalilvand, M.R., & Samiei, N. (2012). The impact of electronic word of mouth on a tourism destination choice: Testing the theory of planned behavior (TPB). Internet Research, 22(5), 591-612.
Jeong, E. & Jang, S. (2011). Restaurant experiences triggering positive electronic word-of-mouth (eWOM) motivations. International Journal of Hospitality Management, 30(2), 356-366.
Joreskog, K.G. & Sorbom, D. (1993). Testing structural equations models. In K.A. Bollen and J.S. Long (eds.) Testing Structural Equations Models. 294-316, Newbury Park, CA: SAGE.
Kasikorn Bank Research Center (2017). Adaptation of restaurant business strategies. Retrieved from https://www.kasikornbank.com/th/business/sme/KSMEKnowledge/article/ KSME Analysis/ Documents/Restuarant-Strategies-2017.pdf
Kim, W.J.K., Ng,C.Y.N. & Kim, Y. (2009). Influence of institutional DINESERV on customer satisfaction, return intention and word-of-mouth. International Journal of Hospitality Management, 28, 10-17.
Kim, D.H., Jang, S.C., & Adler, H. (2015). What drives café customers to spread eWOM? Examining self-relevant value, quality value, and opinion leadership. International Journal of Contemporary Hospitality Management, 27(2), 261-282.
King, R.A., Racherla, P., & Bush, V.D. (2014). What we know and don’t know about online wordof- mouth: A review and synthesis of the literature. Journal of Interactive Marketing, 28, 167-183.
Lee, J., Park, D.H. & Han, I. (2008). The effect of negative online consumer reviews on product attitude: an information processing view. Electronic Commerce Research and Applications, 7(3), 341-352.
Lenhart, A. (2013). Teens, social media, and privacy: Reputation management, third party access & exposure to advertising. Presentation to the State of Maryland’s Children Online Privacy Working Group at the Attorney General’s Office in Baltimore. Pew Research Internet Project in Desai, S.P. & Lele, V. (2017). Correlating internet, social networks and workplace – A case of Generation Z students. Journal of Commerce & Management Thought, 8(4), 802-815.
Lin, M.Y., Lu, K-Y. & Wu, J-J. (2012). The effects of visual information in eWOM communication. Journal of Research in Interactive Marketing, 6(1), 7-26.
Liu, Y. & Jang, S. (2009). Perceptions of Chinese restaurants in the U.S.: what affects customer satisfaction and behavioral intention? International Journal of Hospitality Management, 28, 338-348.
Markovic, S., Raspor, S., & Segaric, K. (2010). Does restaurant performance meet customers’ expectations? An assessment of restaurant service quality using a modified DINESERV approach. Tourism and Hospitality Management, 16(2), 181-195.
Mattila, A.S. (2001). Emotional bonding and restaurant loyalty. The Cornell Hotel and Restaurant Administration Quarterly, 42(6), 73-79.
Mishra, A. & Satish, S.M. (2016). eWOM: Extant research review and future research avenues. The Journal for Decision Makers, 41(3), 222-233.
Parasuraman, A., Zeithaml, V.A. & Berry, L.L. (1988). SERVQUAL: A multiple item scale for measuring customer perceptions of service quality. Journal of Retailing, 63(1), 12-37.
Parsons, A.L. (2002). What determines buyer-seller relationship quality? An investigation form the buyer’s perspective. Journal of Supply Chain Management, 38(2), 4-12.
Patrick, V. & Vesna, Z. (2010). Relationship quality evaluation in retailers’ relationships with consumers. European Journal of Marketing, 44(9/10), 1334-1365.
Peterson, H. (2014). Millenials are old news –Here’s everything you should know about Generation Z. Business Insider. Retrieved from http://www.businessinsider.com/generation-z-spending-habits-2014-6
Picazo-Vela, S., Chou, S.Y., Melcher, A.J. & Perason, J.M. (2010). Why provide an online review:An extended theory of planned behavior and the role of big-five personality traits. Computers in Human Behavior, 26(4), 685-696.
Reeves, T.C. and Oh, E. (2008). Generational differences. Handbook of research on educational communications and technology, 3, 295-303.
Relander, B. (2014). How to market to Gen Z, the kids who already have $44 Billion to spend. Entrepreneur Media. Retrieved from https://www.entrepreneur.com/article/238998
Ryu, K., Han, H. & Kim, T. (2007). The relationships among overall quick casual restaurant image, perceived value, customer satisfaction and behavioral intentions. International Journal of Hospitality Management, 27(3), 459-469.
Schultz, D.E. & Peltier, J.W. (2013). Social media’s slippery slope: Challenges, opportunities and research directions. Journal of Research in Interactive Marketing, 7(2), 86-99.
Shah, R. & Goldstein, S.M. (2006). Use of structural equation modeling in operations management research: Looking back and forward. Journal of Operations Management, 24(2), 148-169.
Steffes, E.M. & Burgee, L.E. (2009). Social ties and online word of mouth. Internet Research, 19(1), 42-59.
Stevens, P, Knutson, B. & Patton, M. (1995). DINESERV: A tool for measuring service quality in restaurants. Cornell Hotel and Restaurant Administration Quarterly, 36(2), 56-60.
Sulek, J.M. & Hensley, R.L. (2004). The relative importance of food, atmosphere and fairness of wait. The Cornell Hotel and Restaurant Administration Quarterly, 36(2), 56-60.
Susskind, A.M. & Chan, E.K. (2000). How restaurant features affect check averages: A study of the Toronto restaurant market. The Cornell Hotel and Restaurant Administration Quarterly, 41(6), 56-63.
The Nation (Jan 12, 2017). Teens are Thailand’s toughest ad audience. Retrieved from http://www.nationmultimedia.com/detail/Corporate/30303934 On April 10, 2018.
USDA Foreign Agricultural Service. (2016). Thailand: Food service – Hotel Restaurant Institutional 2016. Retrieved from https://gain.fas.usda.gov/Recent%20GAIN% 20Publications/Food%20Service%20-%20Hotel%20Restaurant%20Institutional_Bangkok_ Thailand_12-29-2016.pdf
Albers, S. (2010). 10 reasons why people post food pictures on Facebook. Psychology Today, Retrieved from
https://www.psychologytoday.com/us/blog/comfort-cravings/201008/10-reasons-why-eoplepost- food-pictures-facebook
Bagozzi, R.P. & Yi, Y. (2012). Specification, evaluation, and interpretation of structural equation models. Journal of the Academy of Marketing Science, 40(1), 8-34.
Bentler, P.M. & Chou, C.P. (1987). Practical issues in structural equation modeling. Sociological Methods and Research, 16, 78-117.
Bhatnagar, A. & Ghose, S. (2004). Online information search termination patterns across product categories and consumer demographics. Journal of Retailing, 80(3), 221-228.
Blazevic, V., Hammedi, W., Garnefeld, I, Rust, R.T., Keiningham, T., Andreassen, T.W., …Car, W. (2013), Beyond traditional word-of-mouth: An expanded model of customer influence. Journal of Service Management, 24(3), 294-313.
Bolton,R.N., Parasuraman, A., Hoefnagels, A., Migchels, N., Kabadayi, S., Gruber, T., … Solnet, D. (2013). Understanding Generation Y and their use of social media: A review and research agenda. Journal of Service Management, 24(3), 245-267.
Brown, J.D. (1996). Testing in language programs. NJ.: Prentice Hall Regents.
Brown, J., Broderick, A.J. & Lee, N. (2007). Word of mouth communication within online communities: Conceptualizing the online social network. Journal of Interactive Marketing, 21(3), 2-20.
Chan, Y.Y.Y. & Ngai, E.W.T. (2011). Conceptualising electronic word of mouth activity: An inputprocess- output perspective. Marketing Intelligence & Planning. 29(5), 488-516. C
heung, C.M.K., & Thadani, D.R. (2012). The impact of electronic word-of-mouth communication: A literature analysis and integrative model. Decision Support Systems, 54(1), 461-470.
Cummins, S., Peltier, J.W., Schibrowsky, J.A., & Nill, A. (2014). Consumer behavior in the online context. Journal of Research in Interactive Marketing, 8(3), 169-202.
Department of Business Development. (2017). Restaurant market. Retrieved from http://www.dbd.go.th/download/document_file/Statisic/2560/T26/T26_201703.pdf
Desai, S.P. & Lele, V. (2017). Correlating internet, social networks and workplace – A case of Generation Z students. Journal of Commerce & Management Thought, 8(4), 802-815.
Dwyer, P. (2007). Measuring the value of electronic word of mouth and its impact in consumer communities. Journal of Interactive Marketing, 21(2), 63-79.
Erkan, I. & Evans, C. (2016). The influence of eWOM in social media on consumers’ purchase intentions: An extended approach to information adoption. Computers in Human Behavior, 61, 47-55.
Food Intelligence Center Thailand, (2017). NFI Fast-food industry in Thailand. Retrieved from http://fic.nfi.or.th/MarketOverviewDomesticDetail.php?id=162
Godes, D. & Mayzlin, D. (2004). Using online conversations to study word-of-mouth communication. Marketing Science, 23(4), 545-560.
Glum, J. (2015). Marketing to Generation Z: Millennials move aside as brands shift focus to under-18 customers. International Business Times. Retrieved from http://www.ibtimes.com/marketing-generation-z-millennials-move-aside-brands-shiftfocus- under-18-customers-1782220
Grail Research, 2010. Consumers tomorrow insight and observation about Generation Z. Retrieved from https://www.slideshare.net/johnyvo/consumers-oftomorrowinsightsandobservationsaboutgenerationz- 25226677
Hair, J.F.Jr., Black, W.C., Babin, B.J., Anderson, R.E., & Tatham, R.L. (2006). Multivariate data analysis. Pearson Education, Inc., NJ., USA. Hajli, N. (2014). Social word of mouth: How trust develops in the market. International Journal of Market Research, 56(5), 1-18.
Harrison-walker, L.J. (2001). The measurement of word-of-mouth communication and an investigation of service quality and customer commitment as potential antecedents. Journal of Service Research, 4, 60-75.
Hennig-Thurau, T. & Walsh, G. (2003). Electronic word-of-mouth: Motives for and consequences of reading customer articulations on the internet. Journal of Electronic Commerce, 8(2), 51-74.H
ennig-Thurau, T., Gwinner, K.P., Walsh, G. & Gremler, D.D. (2004). Electronic word-of-mouth via consumer-opinion platforms: What motivates consumers to articulate themselves on the internet? Journal of Interactive Marketing, 18(1), 38-52.
Heung, V.C. & Lam, T. (2003). Customer complaint behavior towards hotel restaurant services. International Journal of Contemporary Hospitality Management, 15(5), 283-289.
Homans, G.C. (1958). Social behavior as exchange. American Journal of Sociology, 63(6), 597-606.
Jalilvand, M.R., Esfahani, S.S., & Samiei, N. (2011). Electronic word-of-mouth: Challenges and opportunities. Procedia Computer Science, 3, 42-46.
Jalilvand, M.R., Salimipour, S., Elyasi, M., & Mohammadi, M. (2017). Factors influencing word of mouth behavior in the restaurant industry. Marketing Intelligence & Planning, 35(1), 81-110.
Jalilvand, M.R., & Samiei, N. (2012). The impact of electronic word of mouth on a tourism destination choice: Testing the theory of planned behavior (TPB). Internet Research, 22(5), 591-612.
Jeong, E. & Jang, S. (2011). Restaurant experiences triggering positive electronic word-of-mouth (eWOM) motivations. International Journal of Hospitality Management, 30(2), 356-366.
Joreskog, K.G. & Sorbom, D. (1993). Testing structural equations models. In K.A. Bollen and J.S. Long (eds.) Testing Structural Equations Models. 294-316, Newbury Park, CA: SAGE.
Kasikorn Bank Research Center (2017). Adaptation of restaurant business strategies. Retrieved from https://www.kasikornbank.com/th/business/sme/KSMEKnowledge/article/ KSME Analysis/ Documents/Restuarant-Strategies-2017.pdf
Kim, W.J.K., Ng,C.Y.N. & Kim, Y. (2009). Influence of institutional DINESERV on customer satisfaction, return intention and word-of-mouth. International Journal of Hospitality Management, 28, 10-17.
Kim, D.H., Jang, S.C., & Adler, H. (2015). What drives café customers to spread eWOM? Examining self-relevant value, quality value, and opinion leadership. International Journal of Contemporary Hospitality Management, 27(2), 261-282.
King, R.A., Racherla, P., & Bush, V.D. (2014). What we know and don’t know about online wordof- mouth: A review and synthesis of the literature. Journal of Interactive Marketing, 28, 167-183.
Lee, J., Park, D.H. & Han, I. (2008). The effect of negative online consumer reviews on product attitude: an information processing view. Electronic Commerce Research and Applications, 7(3), 341-352.
Lenhart, A. (2013). Teens, social media, and privacy: Reputation management, third party access & exposure to advertising. Presentation to the State of Maryland’s Children Online Privacy Working Group at the Attorney General’s Office in Baltimore. Pew Research Internet Project in Desai, S.P. & Lele, V. (2017). Correlating internet, social networks and workplace – A case of Generation Z students. Journal of Commerce & Management Thought, 8(4), 802-815.
Lin, M.Y., Lu, K-Y. & Wu, J-J. (2012). The effects of visual information in eWOM communication. Journal of Research in Interactive Marketing, 6(1), 7-26.
Liu, Y. & Jang, S. (2009). Perceptions of Chinese restaurants in the U.S.: what affects customer satisfaction and behavioral intention? International Journal of Hospitality Management, 28, 338-348.
Markovic, S., Raspor, S., & Segaric, K. (2010). Does restaurant performance meet customers’ expectations? An assessment of restaurant service quality using a modified DINESERV approach. Tourism and Hospitality Management, 16(2), 181-195.
Mattila, A.S. (2001). Emotional bonding and restaurant loyalty. The Cornell Hotel and Restaurant Administration Quarterly, 42(6), 73-79.
Mishra, A. & Satish, S.M. (2016). eWOM: Extant research review and future research avenues. The Journal for Decision Makers, 41(3), 222-233.
Parasuraman, A., Zeithaml, V.A. & Berry, L.L. (1988). SERVQUAL: A multiple item scale for measuring customer perceptions of service quality. Journal of Retailing, 63(1), 12-37.
Parsons, A.L. (2002). What determines buyer-seller relationship quality? An investigation form the buyer’s perspective. Journal of Supply Chain Management, 38(2), 4-12.
Patrick, V. & Vesna, Z. (2010). Relationship quality evaluation in retailers’ relationships with consumers. European Journal of Marketing, 44(9/10), 1334-1365.
Peterson, H. (2014). Millenials are old news –Here’s everything you should know about Generation Z. Business Insider. Retrieved from http://www.businessinsider.com/generation-z-spending-habits-2014-6
Picazo-Vela, S., Chou, S.Y., Melcher, A.J. & Perason, J.M. (2010). Why provide an online review:An extended theory of planned behavior and the role of big-five personality traits. Computers in Human Behavior, 26(4), 685-696.
Reeves, T.C. and Oh, E. (2008). Generational differences. Handbook of research on educational communications and technology, 3, 295-303.
Relander, B. (2014). How to market to Gen Z, the kids who already have $44 Billion to spend. Entrepreneur Media. Retrieved from https://www.entrepreneur.com/article/238998
Ryu, K., Han, H. & Kim, T. (2007). The relationships among overall quick casual restaurant image, perceived value, customer satisfaction and behavioral intentions. International Journal of Hospitality Management, 27(3), 459-469.
Schultz, D.E. & Peltier, J.W. (2013). Social media’s slippery slope: Challenges, opportunities and research directions. Journal of Research in Interactive Marketing, 7(2), 86-99.
Shah, R. & Goldstein, S.M. (2006). Use of structural equation modeling in operations management research: Looking back and forward. Journal of Operations Management, 24(2), 148-169.
Steffes, E.M. & Burgee, L.E. (2009). Social ties and online word of mouth. Internet Research, 19(1), 42-59.
Stevens, P, Knutson, B. & Patton, M. (1995). DINESERV: A tool for measuring service quality in restaurants. Cornell Hotel and Restaurant Administration Quarterly, 36(2), 56-60.
Sulek, J.M. & Hensley, R.L. (2004). The relative importance of food, atmosphere and fairness of wait. The Cornell Hotel and Restaurant Administration Quarterly, 36(2), 56-60.
Susskind, A.M. & Chan, E.K. (2000). How restaurant features affect check averages: A study of the Toronto restaurant market. The Cornell Hotel and Restaurant Administration Quarterly, 41(6), 56-63.
The Nation (Jan 12, 2017). Teens are Thailand’s toughest ad audience. Retrieved from http://www.nationmultimedia.com/detail/Corporate/30303934 On April 10, 2018.
USDA Foreign Agricultural Service. (2016). Thailand: Food service – Hotel Restaurant Institutional 2016. Retrieved from https://gain.fas.usda.gov/Recent%20GAIN% 20Publications/Food%20Service%20-%20Hotel%20Restaurant%20Institutional_Bangkok_ Thailand_12-29-2016.pdf
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