Factors affecting live streaming shopping intention invietnam the case of fashion products

VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM – JAPAN UNIVERSITY NGUYEN PHUONG ANH FACTORS AFFECTING LIVE STREAMING SHOPPING INTENTION IN VIETNAM: THE CASE OF FASHION PRODUCTS MAJOR: BUSINESS ADMINISTRATION RESEARCH SUPERVISORS: Assoc Prof NHAM PHONG TUAN Prof PEIJUN GUO HANOI, 2021 ACKNOWLEDGEMENT The Master's thesis could be completed thanks to the strong supports of many people who contributed with great guidance and willingness for this study First of all, I would like to express my sincere appreciation to my honor supervisors Professor Peijun Guo and Assoc Prof Nham Phong Tuan for their advice and kind cooperation Their valuable recommendations with their deep and wide knowledge have led my research in an appropriate way I would like to thank not only my program – Master Business Administration and all staff in the program including Ms Huyen Huong – the assistant of MBA program, Hino Sensei, Hanh Sensei, and Lien Sensei but YNU IPO staffs also for their help throughout the whole period of the study I will never forget my beloved teachers namely Matsui Sensei, Guo Sensei, Tanabu Sensei, Morita Sensei, Inoue Sensei, Kodo Sensei, Heller Sensei, Yang Sensei, Sakakibara-san, Mizuno-san, and other Professors from YNU Last but not least, I am so grateful for my family and my friends at VJU, always being on my side and encourage me to go to the end of this journey Hence, It is my very lucky to have all of you in my whole life Once again, thank you all Ha Noi, May 2021, Nguyen Phuong Anh / 65 ABSTRACT Nowadays, most people become familiar with live streaming which is one of the new trends in the digital era Along with the development of Internet connection speed and terminal configuration, streaming services will be applied more to entertainment, online meetings and online sales Furthermore, the combination of live streams and ecommerce could create an industry worth tens of billions of US dollars The present research examines some factors influencing the shopping intention to use live streaming services in Vietnam To this end, the study fills the research gaps by applying S-O-R framework with important determinants including streamer attractiveness, information quality, interactivity and trust Using the data collected from 332 valid questionnaires, the proposed model was empirically assessed by partial least square (PLS) SEM The study‟s findings suggest that the relationships between information quality, interactivity and intention to shopping through Live streaming commerce are fully mediated by trust Whereas, streamer attractiveness has a significant impact on both trust and Live streaming shopping intention Keywords: Streamer attractiveness, Information quality, Interactivity, Trust, Live streaming Shopping Intention / 65 TABLE OF CONTENTS CHAPTER INTRODUCTION 1.1 Research background 1.2 Research objectives 1.3 Research scope 1.4 Research structure CHAPTER LITERATURE REVIEW 11 2.1 Related Definitions 11 2.2 Research conceptual model 20 CHAPTER RESEARCH METHODOLOGY 23 3.1 Research process 23 3.2 Questionnaire Construction 24 3.3 Sample and data collection 27 3.4 Data analysis 28 CHAPTER DATA ANALYSIS 33 4.1 Measurement Model Test 33 4.2 Cronbach‟s Alpha measurement 36 4.3 Exploratory Factor Analysis (EFA) 36 4.4 Structural Equation modeling (SEM) 41 CHAPTER CONCLUSION 47 5.1 Discussion on Findings 47 5.2 Contribution of Research 49 5.3 Practical implication 50 5.4 Limitations and Future Research Directions 51 REFERENCES 52 / 65 LIST OF TABLES Table 4.1 Cronbach‟s Alpha result (Analyzed by SPSS) 36 Table 4.2 EFA results of Stimulus Scale 37 Table 4.3 EFA results for Organism scale 39 Table 4.4 EFA results for Organism scale 40 Table 4.5 Outer Loading of the constructs 42 Table 4.6 Construct Reliability and Validity 42 Table 4.7 Correlation among Constructs and AVE square root 43 Table 4.8 R square results 44 Table 4.9 Mean, STDEV, T-Values, P-Values 44 / 65 LIST OF FIGURES Figure 2.1 Research conceptual model 22 Figure 3.1 Research process proposed by the author 23 Figure 4.1 Model results 46 / 65 CHAPTER INTRODUCTION 1.1 Research background Nowadays, most people become familiar with live streaming which is one of the new trends in the digital era People can be easy to approach live streaming app and broadcast many activities on this platform including gaming, singing, and selling at anytime and anywhere According to Brands Vietnam, Lazada and Shopee encourage live-stream activities to increase sale volume during COVID 19 In September 2020, viewers rise 21 times, and the number of customers who buy via Live stream increase 24 times, compared with the same period last year Moreover, based on the prediction of the Vietnam E-commerce Association, the rapid growth of e-commerce could maintain over 30% and the scale of this market could express 15 billion USD Not similar to other forms of social media, according to Lie et al (2018), they mentioned that live streaming can be integrated by features including video content, consumption and real-time communication Furthermore, e-commerce has been shifted by the innovative live streaming commerce, which is a social, hedonic, and customercentered environment instead of a product-oriented shopping environment as before (Busalim 2016, Wongkitrungrueng et al., 2018) Live-streaming commerce can be seen as a novel business model that provides a range of stimuli to attract consumers to immerse in shopping There are many platforms that provided video streaming including Twitch, Facebook, Youtube and Instagram Based on the statistics of Restream, Facebook experienced the largest live streaming website worldwide, with 2.5 billion active monthly users in the fourth quarter of 2019 However, 70% of people prefer to watch live streaming on Youtube, according to Vimeo in 2020 China is one of the biggest markets for the development of live-streaming In March 2020, China Internet Network Information Center informed that the figure of live-streaming users in this country has reached 560 million, rising 163 million from the end of 2018, accounting for 62 per cent / 65 of the total netizens And the live streaming‟s market size in China reached 16.3 billion U.S dollars in 2020, which was published in the market research report of Statista Vietnam is also the potential market to develop live-streaming commerce Based on the data of Nielsen Vietnam (2019), there were 62 million active social media users and 58 million people were mobile social media user, accounting for 64 per cent of the total population The average daily time viewing broadcast, streaming and video on demand was hours 31 minutes In addition, 99 per cent of internet users watched videos online In one of the interviews with Tran Tuan Anh - managing director of Shopee Vietnam which is one of the e-commerce giant, he shared that many brands and sellers considered Shopee Live as a vital tool to meet evolving demands and promote their product effectively There was a 70 per cent rise in the total duration of Shopee Livestream in April from February 2020 It could be obvious that live-streaming commerce becomes more popular; nevertheless, live-streaming has not received much research attention and explored fully Previous literature on live-streaming has mainly focused on addressing customer‟s engagement, people‟s continuous watching intention and drivers affecting behavior of the customer There is not much comprehensive study investigate what factors or how contextual cues influence live streaming customer behavior from a customer environment interaction perspective (Wongkitrungrueng et al; 2018) Moreover, the current affecting factors may be different from those that have been explored in past studies and the different context Therefore, Live stream should be considered seriously to create attract people to purchase products And it is important to understand factors affecting customer‟s intention in live streaming shopping In the research, I would like to focus more on livestreaming shopping intention in the case of fashion products to have a detailed view of the live-streaming shopping intention of Vietnamese consumer / 65 1.2 Research objectives Derived from the context described above, this present research aims to contribute prior studies on identifying factors affecting live-streaming shopping intention in Vietnam The case of fashion products In particular, the present study examines the proposed framework from previous theoretical studies to understand determinants on consumer‟s live streaming purchasing intention based on SOR theory Based on the objective, I formulated two questions to conduct the research: - What factors affect Live-streaming purchasing intention of consumers? - How these factors impact consumer shopping intention? 1.3 Research scope Content scope: Factors affecting live streaming shopping intention in Vietnam The case of fashion products Place scope: all the locations in Vietnam Time scope: October 2020 to May 2021 1.4 Research structure The study has chapters, including: The first chapter introduces the research background which is the circumstance as motivation for this research to be conducted The second chapter is on the literature review This chapter presents related definitions, gives an overview of previous studies on consumers‟ live streaming purchasing intention, literature gap, which are the foundation for developing hypotheses / 65 The third chapter is about research methodology, design and procedure, pilot test, survey adjustment, variables measurement, data collection and analysis method The fourth chapter is data analysis and results The final chapter is a discussion on findings, limitations of this research, the recommendation for future studies and implications if there is any 10 / 65 viewers In addition, streamers can reward audiences by using a gift or reply to viewers instantly to encourage them to show ideas By the way, those viewers would perceive the streamers as a reliable friend [Xu et al., (2020)] and develop a close relationship with streamers, which enhance consumers‟ trust and in turn purchasing products from livestreaming broadcasts Enhancing information quality is one of the critical missions in live streaming commerce Streamers or live streaming shoppers need to provide accurate and reliable information involved in fashion products during a live-streaming broadcast For instances, streamers should reveal detailed and complete information about fashion products including brand names, colors, materials, usage methods and notable points when wearing these products Furthermore, streamers should ensure that viewers could see product images clearly and in real-time through stable networking, light and design livestreaming rooms or environments The product information should be presented to match the needs of consumers based on product feedbacks and product questions from viewers 5.4 Limitations and Future Research Directions As with most studies, this research exist several limitations The first thing is related to the data collection process In the study, the data was assembled mainly from online contexts because of the complex situation of COVID 19 Furthermore, the respondents were all coming from Vietnam from different backgrounds Consequently, the data sample might describe a typical region, not represent consumers‟ live-streaming purchasing intentions in other countries Thus, future research could develop and explore larger regional samples in other cultural and economic contexts Even, a comparison of consumers‟ purchasing intention across national should be conducted to get comprehensive knowledge and contribute more valuable results in Live-streaming commerce Another thing is that the present research is limited to fashion products, and thus results might not be the same in other products For example, there might have varied 51 / 65 results when examining the impact of different product categories like 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How online reviews affect purchase intention: A new model based on the stimulus-organism- response (S-O-R) framework 26 56 / 65 APPANDIX 57 / 65 58 / 65 59 / 65 60 / 65 61 / 65 62 / 65 63 / 65 64 / 65 65 / 65 ... consumers? - How these factors impact consumer shopping intention? 1.3 Research scope Content scope: Factors affecting live streaming shopping intention in Vietnam The case of fashion products Place... identifying factors affecting live- streaming shopping intention in Vietnam The case of fashion products In particular, the present study examines the proposed framework from previous theoretical... shopping intention in the case of fashion products to have a detailed view of the live- streaming shopping intention of Vietnamese consumer / 65 1.2 Research objectives Derived from the context described