Ministry of Finance University of Finance and Marketing BAO CAO TONG KET DE TAI NGHIEN CUU KHOA HOC CỦA SINH VIÊN EXPLORING THE FACTORS AFFECTING REPURCHASE INTENTION OF FAST FASHION
Contribution of the research and method of transferring research results
The results of this study will have a significant impact on the advancement of theoretical sciences in a number of ways While previous researches tend to focus more on consumers' first purchase intention and after-buying intention in fast fashion, our study intends to look into consumers' purchasing intentions to repurchase products With the help of this study, store managers and marketers can understand adequately and implement with detail regarding variables that influence customer purchase intention of their products, thereby offering more suitable products, marketing programs and business strategies Moreover, other businesses can grasp the market demand, propose practical measures to increase the competitiveness of fast fashion; hence meeting customer needs, especially the young
This article is structured as follows: The second section mcludes a literature review and the development of hypotheses The research process and research model are discussed in the following section The results of the study are summarized in Section 4 Conclusions and implications are discussed in Section 5.
LITERATURE REVIEW AND HYPOTHESIS DEVELOPMENT
Introduction of fast fashion and theorical background
The fashion apparel sector has seen substantial change, especially in the last 20 years as the industry's borders have widened (Djelic & Ainamo, 1999) Since then, the dynamics of the fashion industry have changed, forcing retailers to demand low costs and flexibility in design, quality, delivery, and speed to market These changes include the fading of mass production, an increase in the number of fashion seasons, and modified structural characteristics in the supply chain (Doyle et al., 2006) The driving elements of competitiveness in the fashion garment sector have been identified as speed to market, design, marketing, and capital investment
In the competitive market, firms must "detect and respond" to thrive (Franks, 2000) Closer relationships between suppliers and buyers foster flexibility (Wheelwright & Clark, 1992) Traditionally, retailers relied on forecasting consumer demand and fashion trends to stay competitive; however, recent years have demanded faster speed-to-market and delivery of the latest styles (Guercini, 2001).
Fast fashion, a trend driven by rapid production cycles, has been attributed to the influence of retail stores (Taplin, 1999) This process has significantly shortened the time between design and consumer consumption, leading to increased production and consumption rates.
Theory of Planned Behavior (TPB) of Ajzen (1991), which has broad applicability and predictability, is a theoretical advancement based on Theory of Reasoned Action
(TRA) of Ajzen and Fishbein (1980) Both theories are opposed to voluntary behaviors and are supported by rational intentions and thinking Besides, this theory is used by researchers in many different fields such as: marketing, psychology, management, medicine, and finance Ajzen (1991) developed TPB based on TRA, which has numerous advantages over the previous model's drawbacks
Theory of Planned Behavior (TPB) expands upon the Theory of Reasoned Action (TRA) by incorporating Perceived Behavioral Control (PBC) PBC represents an individual's belief in their ability to perform a specific behavior This component, along with Attitude (Ab) and Subject Norm (SN), enhances TPB's predictive power Empirical evidence from numerous psychological studies has demonstrated the efficacy of PBC in understanding human behavior.
With the foregoing, we find Theory of Planned Behavior (TPB) is consistent with this study Therefore, we take this theory as the theorical background.
PrevIous research 1 tt 2 2 12011112211 111 121111111113 tr no 13
Increasing utilitarian and hedonic shopping value enhances satisfaction, which positively influences attitudinal loyalty Attitudinal loyalty, in turn, has a strong impact on behavioral loyalty outcomes, including word-of-mouth communication and share of purchases However, satisfaction alone is insufficient for generating behavioral loyalty; attitudinal loyalty serves as a crucial antecedent to these behaviors Additionally, current shopping experiences influence overall satisfaction, which is based on both present and past experiences.
Our findings support the importance of building a social rel for salespeople to positively impact their selling perform predicted in hypothesis 1 and 2, the strength of a social rel turned out to have a significant positive effect on both o salesperson’s effect on purchase decision and customer sat
Purchase intention with purchase decision In other words, participants cred) salesperson with influencing their purchase decision as well ; to be satisfied with their purchase decision when they thought a strong social relationship with a salesperson
Five constructs of perceived SSM activities of luxury fashic are entertainment, interaction, trendiness, customization, anc mouth Their effects on value equity, relationship equity, a equity are significantly positive For the relationship between equity drivers and customer equity, brand equity has si negative effect on customer equity while value equity and rel equity show no significant effect As for purchase intentic equity and relationship equity had significant positive effec relationship equity had no significant influence Fin relationship between purchase intention and customer ec significance The findings of this study can enable luxury | forecast the future purchasing behavior of their custom: accurately and provide a guide to managing their assets and r activities as well.
Design & layout cue (traffic flow, space allocation)
Brand loyalty (brand preference, Repurchase intention, Word of mouth
Our findings show that trust in interpersonal relationships customer-contact employees and customers has a positive customer satisfaction that in turn leads to brand loyalty Wi that fashion retailers provide training programs of equipping employees with professional skills to deal with issues inv interpersonal relationship This is an effective means 1 customer- contact employees master necessary skills t customer needs and retain customers
Findings of this current research show that color, lightenin flow, product display and window display have statistical infl purchase intention whereas music and space allocation have result provides important managerial implications to fas industry to focus on purchase intention to enhance sustainal profitability Further investigation of the factors contrit purchase intention and in other geographical areas is sugg future studies.
Consumer Responses (Purchase Intention, Loyalty, Recommend Intention)
Empirical results demonstrate that CSR not only has positive on consumer purchase intention, recommend intention, an directly, but also has indirect positive influence on consumer intention and recommend intention through CCI The in: process of CSR on CCI is moderated by fit and the m: direction is different owing to product types For the produc association preference is positive, fit can positively mod relationship between CSR and CCI, while for product association preference is negative, the moderating role negative
The research results point out that the fashion designer re social media marketing, and the fashion store atmosphere positive impact on the relationship between the customer an store, as well as the intention to repurchase of designec products In particular, customer relationship also afi repurchase intention of designed fashion products positively
This study evaluates the relationship between fast fashion ind some important concepts present in Corporate Social Resp: 16
Engagement studies The current research adds to the CSR literature by id CSR-fit and ethicality as drivers of CSR Authenticity Authe revealed to be an important predictor of Trust, Social Respc and has an effect on General Attitudes However, and surpri does not directly affect purchase intention Trust appears to be important dimension to the CSR framework, significantly 1 Purchase Intention, and Social Responsibility impacts ô engagement Consumer engagement and social signaling demonstrated to have an impact on purchase intention Taken our CSR framework makes important contributions to unde consumers’ needs and perceptions fulfilled by CSR prograr fast fashion industry.
Conceptual framework and development of research conceptual model 18 1 SOCTIAL MEDIA 1 1 12121 1111121101 1238111111011 01 H1 H nà 18 2 PRODUCT SATISFACTION c1 H He 22 3 CSR CONSUMER PERCEPTION ó2 che 24 4 STORE ATMOSPHERE .- 0 2.21211212121121 11110121 2H re 27 5 REPURCHASE INTENTION c2 212 2 H1 Hy Hee 3I CHAPTER 3: RESEARCH METHODOLOGY 0 Lọ SH Hệ 3.1 Research typ€ c c1 1n 1n H111 1111 T Hà nào 33 3.1.1 Exploratory research cv 11v HH H121 1112112 xe, 33
Because of the dramatic development of information technology, particularly the 4.0 revolution, there has been an appearance of social media which is used in the Internet for individuals to talk, text or voice messages with each other Taking advantage of that growth, people have used it as a tool for them to boost their marketing strategy as well as maintain their customers’ interactions productively Social media has now become a key component as well as a must for many players
Social media platforms are online mediums where user-generated content proliferates, encompassing information about products, businesses, events, and other topics of interest (Rehmani & Ishfag, 2011) These platforms facilitate the dissemination of information and the promotion of various entities and endeavors within the digital realm.
Types of social media marketing
Due to the rise of social media, businesses are embracing direct customer engagement as a more effective marketing strategy than one-way online advertising (A Kim & Ko, 2012) By establishing relationships with customers online, companies like Zara have shifted their marketing budgets from traditional advertising to social media marketing (SMM) While SMM has proven to be a powerful tool, it is not a complete replacement for traditional marketing.
Online tools, platforms, and media that are part of social media aim to make it easier to communicate, build relationships, and share content (Richter and Koch, 2007, cited in (A Kim & Ko, 2012) There are many different types of social media, such as podcasts, videos, weblogs, and social blogs Additionally, there are a number of advantages, including improved exposure and traffic as well as decreased marketing costs from the perspective of the business Information gathering and feedback are both improved by social media presence (Karamian et al., 2015; Tiago & Verissimo, 2014) Companies can now more easily get client feedback and opinions than in the past Several studies have highlighted the various goals of social media marketing According to Kim and Ko ((J Kim et al., 2010), referenced in (Ural & Yuksel, 2015)), increasing sales and profitability is the primary goal of social media marketing operations Castronovo and Huang (2012), for instance, place emphasis on many criteria In general, a business can utilize social media to achieve one of three objectives: raising awareness, boosting sales, or cultivating customer loyalty (Castronovo & Huang, 2012) To achieve these objectives, businesses utilize social media, for example, as a way to comnect with customers, a route for direct sales, and a setting for social commerce (Dong-Hun, 2010, quoted in (Gamboa & Gongalves, 2014)) Nevertheless, as Kim and Ko (2011, p 1482) note, these goals can be coupled to two significant factors: "brand's participation in social media acts as a marketing activity to create a relationship with customers and improve corporate profits." One consumer is worth much more than what they first spend because a sizable portion of users spread information to others via social media (Karamian et al., 2015)
In general, fast-fashion refers to styles that are quickly transferred from runway to stores so that customers can purchase the newest trends (Cortez et
19 al., 2014) Amancio Ortega and his business Inditex, which owns the brand Zara, improved the strategy by responding to trends and customer wants on a weekly ongoing basis rather than only duplicating seasonal designer-led creations (Crofton & Dopico, 2007) Consumers thrive on change, especially im fast fashion, therefore new products should be readily available on a consistent basis (Bruce & Daly, 2006) As a result, the buying and sourcing decisions are determined by speed Examples of fast fashion companies are Zara, H&M, Forever 21, Primark, and Topshop There are variations in these firms' marketing approaches and advertising, for instance, according to Crofton and Dopico (2007) H&M spends 3,5 percent of their turnover on advertising whereas Zara spends just 0.3 percent (Crofton & Dopico, 2007)
As previously stated, technological advancements draw customers to interact with brands Although some firms have been reluctant to adopt technology, the fashion industry's shared interest in tweeting, blogging, and networking has an impact on every brand Yet, social media engagement on platforms like Facebook and Twitter may foster positive interest and even enthusiasm for firms (A Kim & Ko, 2012) The main purpose of brands' use of social media in the fashion industry is to introduce their goods, services, and brand (A Kim
& Ko, 2012) As a result, social media platforms like Facebook, Twitter, Pinterest, YouTube, and Instagram are widely used in the fast fashion industry Numerous companies have their own smartphone applications, including Zara, H&M, and Forever21 Since clients want to see the newest designs and feel inspired, images and videos play a crucial role in fast fashion's social media Instagram and Facebook are the main social media platforms for all of these businesses due to the significance of visual content Almost 30.5 million people like Zara's Facebook page (2023), and they have 57.4 million
Instagram followers (2023) Zara can also be found on Pinterest, YouTube, and Twitter
O The significance of “social media” in fast fashion repurchase intention According to one of the earliest studies on fashion blogs (Anna Rickman & Cosenza, 2007), today's fashion consumers are inspired to repurchase the same branded products from a variety of sources, including media and movies, friends, street fashion and more These concepts are often discussed online, and before you know it, the concepts can g0 mainstream and bring users back to the brands they've used before
Most people today regularly participate in online communities, blogs, forums and social networks, turning social networks into alternative communication tools that enhance existing activities and relationships to improve the user experience effectively In addition, the growing popularity of social media provides a platform to build brands for new customers as well as indirectly influence the repurchase behavior of existing customers
When analyzing consumer conversations and interactions on Facebook, Instagram, and other social media platforms, the value of comparisons between consumers in society is recognizably low As a result, virtual communities are still not a significant influence on customers’ purchasing decisions, but we will continue investigating as soon as possible to have an exact number for this element
Therefore, social networks are now still being checked to be an effective tool im the near future for the fast fashion industry to increase interaction with old customers and at the same time reach more new audiences (Mohr, 2013)
H1: Social media will positively affect customers’ repurchasing fast fashion items decision
Oliver's The Expectation-No Confirmation Model (1980) is the approach to conceptualizing customer happiness that is most frequently recognized and used You are troubled by the idea that consumer expectations are created by attitudes toward the purchasing process and potential customers’ perceptions of a good or service Consumers assess the performance of the product or service after they have purchased it and/or used it in comparison to their initial expectations This evaluation yields an attitude, either a satisfying choice or dissatisfaction State of contentment occurs if the following assessment and attitude support the customer's expectations regarding the purchasing process, the product, or the service This feeling of fulfillment results in a favorable attitude toward the purchasing process, the product, and/or the service, and it can have a positive impact on future purchase intentions However, if the subsequent assessment and attitude contradict consumer expectations, a state of dissatisfaction results, which could have a detrimental impact on future purchase intentions
Whether satisfaction should be seen as a process, or an outcome Is a topic of discussion among researchers (Yi, Y (1991) According to several scholar (Formell, 1992) , satisfaction should be seen as a process of evaluation or a reaction to an assessment process Customers view satisfaction as a goal that can be attained through the usage of goods and services, therefore a successful purchase satisfies this aim According to recent studies, consumers’ assessments of the value they received from their shopping experiences are what leads to satisfaction as a response to an evaluation procedure The findings of prior research on shopping value and satisfaction support the
22 alignment of hedonic and pragmatic shopping value satisfaction Therefore, we posit the following hypotheses
Customer satisfaction, defined as an emotional response to recent experiences with goods or services, influences customer loyalty by fostering positive perceptions of the brand (Oliver, 1997; Jamal & Anastasiado, 2009) These positive perceptions drive repeat purchases and word-of-mouth recommendations (Kim et al., 2007; Jamal & Anastasiado, 2009) Loyal customers frequently repurchase and advocate for a brand, as demonstrated in learning experiences (Chi et al., 2009; Gee et al., 2008) Moreover, they tend to have more favorable shopping experiences (Hennig-Thurau et al., 2002; Rawliman & Chu, 2002).
H2: Product satisfaction has a positive influence on repurchase intention of fast fashion’s customers
O CSR -— Corporate Social Responsibility Definition
Economic, legal, ethical, and discretionary (Carroll, 1979) or economic, ethical, legal, and philanthropic (Grohmann & Bodur, 2015) dimensions are used to define CSR in the literature, defining ethicality as one of these dimensions, In a second-order structure, consumers identify CSR as a service provider with economic, ethical/legal, and charitable characteristics (Grohmann & Bodur, 2015) According to an organizational perspective, CSR uses moral, civil, and responsible behavior to boost business performance and generate profits (Grohmann & Bodur, 2015)