Professional Documents
Culture Documents
Livestreamers characteristics on impulse buying
Livestreamers characteristics on impulse buying
INTERNATIONAL UNIVERSITY
SCHOOL OF BUSINESS
i
Table of Contents
ii
5.1. Discussion .......................................................................................................... 29
5.2. Implications for Research ................................................................................ 31
5.3. Implications for Practice ................................................................................. 32
CHAPTER 6. CONCLUSION AND LIMITATIONS ..................................................35
References .........................................................................................................................38
iii
LIST OF TABLES
iv
LIST OF FIGURES
v
THE IMPACT OF LIVE STREAMERS’
CHARACTERISTICS ON IMPULSE BUYING
INTENTIONS ON THE STIMULUS-
ORGANISM-RESPONSE FRAMEWORK
THE CASE OF VIETNAMESE
_____________________________________________________________________
Nguyen Vo Hien Chau
THESIS COMMITTEE
vi
ACKNOWLEDGMENTS
This is a pleasure to express my sincere gratitude to all those who made this
thesis possible. First and foremost, I would have not finished this thesis without the
upport of my professional advisor, Mrs. Nguyen Vo Hien Chau, who has always been
there for me whenever I need her, the encouragement she gave to keep me going and
her care to empower me which never fails all the time. You really are a wonderful
advisor. To you sir, I give you lots of sincere thanks and respect. Thank you.
vii
ABSTRACT
Live streaming business, which emerged from social commerce, has grown
quickly in Vietnam during Covid pandemic. It is a new business paradigm that allows
merchants to communicate with customers directly. This study focuses on consumers'
impulsive purchasing behavior in live streaming commerce. We created a research
model based on the organism's response to a stimulus (S-O-R) framework to
investigate consumer reactions and behavior in response to various stimuli
components. A total of 244 valid sample surveys on the purchase experience of the
live broadcast platform were collected. As an empirical research evaluation, this study
used PLS-SEM statistical analysis. Following the empirical inquiry, we discovered
that perceived enjoyment had a beneficial effect on impulse purchasing intention.
Attractiveness and skill have a beneficial impact on perceived enjoyment. Whereas
trustworthiness is not regarded as a factor that influences customers. We discovered
that consumers in live streaming commerce are more likely to make impulsive
purchases due to the presentation and urging of the live broadcaster in a short period
of time. In this study, we develop a live commerce impulse buying model. This model
is validated in the setting of Vietnam. The conclusions of this report offer specific
recommendations to vendors.
viii
CHAPTER 1. INTRODUCTION
1. Research background
Livestream is actually an acronym for livestreaming, which means live
broadcasting. This is a form of real-time image and audio transmission of the event,
working for viewers who are not present at the venue. The difference of livestream
compared to TV channels and movies is that everything is broadcast to viewers
without pre-cutting or editing. The current popular forms of livestream can be
mentioned as live broadcast on television, broadcast gaming process and livestream
on social networking platforms. With many new livestream platforms appearing to
give content creators more options to broadcast their content, Twitch remains the
most popular livestreaming platform with more than 9.3 billion hours of watch time
and 9.36 million streamers as of today. early 2021. Even so, Facebook is no less
competitive when the number of active users in the fourth quarter of 2020 is 2.5
billion, making it the largest livestreaming platform in the world.
Live streaming has gained increasing popularity in recent years. Social life is
disrupted in 2020 due to the COVID-19 pandemic. Many businesses and users have
turned to in-person alternatives, such as online, and livestream is one of the most
popular way. Livestream is considered as a form of real-time audio and video
transmission of an event, activity for audiences who are not present at the happening
place. The livestream sales model, also known as social eCommerce, was previously
associated with retail store owners. In Vietnam, the form of sales livestream has been
available on the Facebook platform for a long time, but recently it has only begun to
be popular at the end of 2021, especially in early 2022 with the presence of a new e-
commerce platform belonging to the Tik Tok - Tik Tok Shop platform, the livestream
is like a fever for businesses to promote and buy and sell products and goods. The
difference of livestream compared to TV channels and movies is that everything is
broadcast to viewers without pre-cutting or editing. The current popular forms of
livestream can be mentioned as live broadcast on television, broadcast gaming process
and livestream on social networking platforms at the place where it takes place.
1
As of 2020, livestreaming has seen significant growth: 99% growth between
April 2019 and April 2020 and is predicted to have a total revenue of over $180
billion by 2027. Users can easily see livestream form everywhere on popular social
networking platforms such as Facebook, YouTube, Instagram, Tiktok to specialized
platforms for livestreaming such as Twitch or Mixer with a variety of content,
different from beauty, gaming, eating, talkshow,.. The report of this study shows that,
there are about 34% of Generation Z (born in 1997 to 2015) has shown considerable
interest in livestreaming, especially on social platforms.
Currently, the sales effect of livestream attracts participation from top brands.
Indeed, the COVID-19 epidemic with social distancing orders has changed consumer
behaviour and trends all over the world, forcing businesses to adapt quickly in order
to survive. Livestreaming platforms make new impressions in a context where most
business and marketing activities are gradually shifting online. From a media
perspective, it can be seen that the advantage of live streaming in the work of
attracting viewers and interaction is very large compared to different forms such as
posts, images and videos. As expected, many marketers and practitioners in the
disruptive technology era have devised techniques to engage with consumers and
improve brand recognition through the deployment of communication messages by
utilizing digital technologies and collaboration among such actors (Krishen et al.,
2021). With the help of new technologies and the accessibility of personal computers
and smartphone devices, live video streaming has developed as an effective
marketing channel (Chen and Lin (2018). When a product is shown in real time,
viewers can come closer to it and hear the streamer describe how it feels, looks, and
smells (Hu and Chaudhry, 2020). Live streaming encourages authenticity,
visualization, and involvement, which overcomes traditional online buying
disadvantages and significantly increases consumer purchase intent
(Wongkitrungrueng and Assarut, 2020).
According to a recent Decision Lab survey carried out in Vietnam in 2022,
more than half of the respondents claimed that they had watched commercial
2
streaming to examine products before purchasing. Meanwhile, 23% of them used it
merely to pass the time as shown in Figure 1.
3
audience by 97% and strengthens brand association by 139%. Those are some of the
immediately visible benefits. Video content that is consistently pinned to the top of a
landing page can increase conversions by 80% or more, while 64% of users are more
likely to buy a product online after watching a video.
Livestream users are also diverse from large businesses to content creators,
entrepreneurs, sellers and even general users due to its simplicity of use and high
interactivity. So what factors help the livestream attract viewers so much that can lead
to purchase intention of consumers?
A psychology concept known as the stimulus-organism-response (S-O-R)
paradigm (Figure 1) explains how environmental elements influence user behavior
and psychological activity.“Mehrabian and Russell (1974) proposed the S-O-R
theoretical model based on environmental psychology,where S represents stimulus
and O represents organism.”The relevant brain activity is created in response to a
certain external environmental stimulus, and the matching behavioral reaction, R,
which can be acceptance or rejection, adoption or avoidance, is described.
Since the S-O-R model has become one of the most important theories for
studying and explaining user behavior, it has been applied to a variety of research
contexts, including information systems, advertising, e-commerce, and education, and
it has covered user behavior, participation behavior, and user comments (Morgan and
Hunt, 1994). This model was used by Belk to examine the impact of environmental
variables on customer behavioral decision-making (Wu and Zhu, 2021). The S-O-R
model is a psychological approach through the study of specific situations and
environments. According to the research results, when specific external
environmental variables, such as product attributes such as price, are activated, the
consumer's internal psychological perception and decision-making process will
change (Li et al., 2022). The S-O-R model has been widely used in predicting and
explaining consumer behavior, such as the study of customer purchase intentions and
behavior (Wang and Li, 2017). The SOR model is also considered a well-known
theory used in the stimulus to purchase. Based on this applicability, this model has
been popular in the world and recently found in some research in Vietnam. Ho (2020)
4
research on advertising activities in app tourism SOR model. It can be seen that the
SOR model allows connecting subjects to form emotions and receive awareness with
behavioral responses regardless of the stimulus.
2. Research gap
Because live e-commerce is a relatively new social e-commerce model. At
present, there are few related studies. Previous studies have shown that researchers
generally believe that the streamers’ attractiveness is the most important influencing
factor for livestream. In the streamer ecology of the entire sector, there is a noticeable
Matthew effect (Matthew effect is the tendency of people to accrue social or
economic accomplishments in proportion to their inititive level of popularity, friends,
and fortune). As a result, further research is needed to understand customer behaviors
in live streaming commerce, whereas we can investigate the impacts of streamers’
characteristics on the impulse buying intention.
3. Research problems
Video is the future of the content economy on the Internet, and livestream will
become the trend of video content. About 39% more users share video content than
static content like text and photos. 48% of users have shared a video about a certain
brand on social networks. Video ads also attract 30% more engagement and 3x more
watch time than conventional ad types. Unlike the 2D experience when entering
regular e-commerce websites, the livestream channel allows shoppers to see the
product from many different perspectives. This makes the sales of live commerce
grow strongly compared to the traditional TV Shopping form. Through livestream
sessions, users will receive information in a fresh, authentic way with better
interactivity and feedback. Therefore, they quickly make a purchase decision.
Despite the impressive sales figures achieved by e-commerce live streaming,
not all streamers are successful in drawing audiences and generating purchases. So
how did the best streamers get to be so well-known and influential? Can little
streamers use what they have learned from them to succeed? We therefore attempt to
analyze the influence of prominent streamers from the standpoint of streamer
5
characteristics based on the experiences of 336 viewers viewing their live streams. It
is inspired to conduct more researches on consumer behaviour. Is it because
consumers' perceived enjoyment of live streamers encourages impulse purchases in
live streaming commerce? Is it only because live streamers are celebrities/influencers
that make customers buy impulsively?“More research is needed to understand
consumer behaviours in live streaming commerce. The S-O-R (stimulus-organism-
response) framework is used in this study to investigate consumer behaviour in live
streaming commerce.”
4. Research objectives
Customers engage in authentic engagement when they share their online
evaluations, experiences, and opinions about the services and products with an
existing or prospective customer (Harrigan, 2017).
In this context, to state it more clearly, the present study pursues the following
two objectives:
• Examine the qualities of a live streamer in general that encourage impulsive
purchasing”behavior in live streaming commerce.”
• In order to gain a deeper understanding from both a theoretical and practical
standpoint, this study is intended to apply the theoretical framework and principles of
S-O-R to the examination of live streaming commerce.
This research provides to the development of a more solid theoretical model
grounded in live streaming commerce. I test the model's validity within the context of
Vietnam. The study then offers practical recommendations for live streamers and
marketers looking to boost consumer engagement and commerce.
6
The remainder of this study is outlined as follows. The second chapter
contains a summary of the literature as well as the study's theoretical framework. In
Chapter 3, I present the research methodology. The findings are detailed in Chapter 4.
Chapter 5 provides a discussion and implications. Finally Chapter 6 for the conclusion
and limitations.
7
CHAPTER 2. LITERATURE REVIEW
8
Consumers are influenced by "stimulus" factors in the live streaming process,
including live streamers' expertise of the products or services they sell, precise and
trustworthy delivery of product or service information, personal appearance,
personality traits, and immediate and positive interaction with consumers while live
streaming, or consumers' perception of the use of live streaming. All of these
components will instill trust in the "organism" (i.e. consumers) in the information
sources of live streaming platforms, thereby altering their emotional or cognitive
satisfaction with online consumption and, ultimately, generating online loyalty and
stickiness towards live streamers and live streaming platforms, as well as "response"
to product or service demands. Previous study has identified and classified several
environmental stimuli that influence their consumers' involvement or impulsive
buying in the live streaming situation, such as relationship bonds (Hu & Chaudry,
2020) and parasocial interaction (Xu et al., 2020). As a result, this study argues that
adopting the SOR theory as a research framework and expanding it provides the
theoretical foundation for analyzing the impact of live streamers' features and the
perceived value of live streaming platforms on customer behavior in live streaming e-
commerce.
Customers' responses to the triggers that cause impulsive purchases, as well as
their internal appraisals, determine response (Chan, T.K.; Cheung, C.M.; Lee, Z.W.
2017). The reaction is the response to their perceptions in many situational settings
(Parboteeah, D.V.; Valacich, J.S. ; Wells, J.D. 2009). The intention to make an
impulsive purchase and the actual action of making that purchase are both
components of impulse buying (Xiang, L et al. 2016). According to To, P.L 2007;
Dwivedi, Y.K 2014 and Chen, C.C; Chang, Y.C. 2018), the tendency to make
impulsive purchases was employed as the research subject in previous studies.
Furthermore, this study assesses people's impulsivity using a different metric—the
desire to buy impulsively—than live streaming commerce.
This paper identifies the attractiveness, trustworthiness and expertise of the
streamer as stimuli that influence customer trust and the impulsiveness of customer
9
behavior (organism), which in turn influences their purchase intention (response).
These will be covered in greater detail in the following section.
According to the S-O-R approach, attractiveness, trustworthiness, and
expertise influence perceived enjoyment, which results in the response "impulse
buying intention." The hypotheses for our model were generated and presented below.
10
"retain" viewers to stay longer to stay longer in order to see what messages brands or
creators convey. Appearing directly on the livestream also helps brands or creators
strengthen their trust with their viewers. According to Li et al. (2018), two-way
simultaneous contact between streamers and viewers, as well as posts from other
viewers, will lessen customers' confusion and enhance their trust. Instead of using ads
with overly exaggerated words, a livestream video makes viewers feel the authenticity
of the product. For example, in March 2019, Southwest Airlines livestreamed the
process of handling bad weather incidents from the air traffic center for social media
users to follow. During the livestream, the airline's staff always clearly explained the
situation and detailed steps to handle the problem, which has increased the trust of
customers in Southwest Airlines with more than 100,000 viewers on the website.
Such social presence and interaction enabled by livestreaming can improve the
shopping experience, reduce shoppers' uncertainty, and increase their trust in the s-
commerce seller (Hajli, 2015)
The form of Live Commerce was born in May 2016 when Alibaba Tao Bao
Live was officially launched, marking a new chapter in the way of selling. This e-
commerce giant is the pioneer of a "revolution" that combines livestreaming with an
e-commerce booth for consumers to watch entertainment and shop immediately.
Live Commerce quickly grew and created impressive records. In 2020, with
just 30 minutes on 11/11, Alibaba Taobao sold 7.5 billion USD (~160 trillion VND).
Many Chinese livestream stars like Ly Giai Ky have sold billions of dollars in just
one live session. Livestreaming commerce is a marketing strategy in which streamers
use web-enabled devices like laptops and smartphones to advertise things live while
also providing connections to online stores to speed up transaction times (Lee and
Chen, 2021). Livestream selling is not limited to video, image or audio content.
Livestreaming commerce allows streamers to exhibit product features from various
angles, engage with viewers in the moment, and provide particular information on
logistics and delivery, after-sale refunds, etc. The competition in the livestreaming
commerce sector has increased as livestreaming is used more frequently to market
goods to prospective customers (Zhang et al., 2021). Livestream sellers, also known
11
as live anchors, are the individuals who conduct Live Streams in order to sell items or
services on the platforms (Wang et al., 2018). These persons could be celebrities,
social media influencers, or normal individuals who get paid the job. Sellers can
flexibly use many types of scripts and content which allow them to change content,
try new scenarios to maximize viewership. More and more consumers are purchasing
things via live-streaming since it is simple for them to understand the products they
want to purchase from various views and ask related questions. In contrast, few
researchers have investigated how live shopping influences customers' purchasing
intentions. Therefore, it is essential to research ways to efficiently increase customer
buy rates in livestreaming commerce and facilitate transactions from livestreaming
traffic if businesses are to acquire a competitive edge.
I define live streamer commerce in this study as a person who hosts that
livestream to promote and try to sell products on a specific live stream platform or
ecommerce.
12
frequently followed by affection or emotional status. Final decisions are frequently
made against optimal judgement. Customers engage in impulse buying when they are
driven to acquire a specific product without thoroughly considering the reasons for
and the consequences of the purchase (Verhagen & van Dolen, 2011). Furthermore,
Wells et al. (2011) provide evidence for the relationship between impulsiveness and
the desire to buy or can be called purchase intentions.
Impulsive buying is determined by two main factors. Through a review of the
studies conducted, Chan et al. (2017) came to the conclusion that the main factors
influencing impulse buying would be cognitive and emotive engagement. For starters,
the process is unplanned and without cognitive consideration. This process is
triggered by product encounters during the shopping process and does not result in the
establishment of cognitively structured attitudes or intentions. Second, the impulsive
buying process is driven by emotions. While impulsive purchases do not limit
information processing, emotions certainly play a role. Particularly, product cognitive
involvement is more likely to lead to a customer buying an unintended product that
the streamer has recommended. This occurs when customers recognize the utility of a
product and instantly create a desire to purchase it. Customers will feel more
emotionally linked to the streamer-recommended product as a result of the product's
affective engagement, which will lead to a want to buy on impulse and impulse
buying behavior. Although there are different views on emotions, most divide them
into positive and negative effects. Positive emotions such as excitement and
enthusiasm can motivate people to seek immediate pleasure by purchasing products.
Negative emotions, such as discomfort or annoyance, can also encourage impulsive
purchases because they help customers feel better.
When it comes to impulse buying, consumers tend to care less about the
consequences of their purchases. The characteristics of impulse buying behavior can
be summarized as follows:
- The decision to buy takes place quite quickly (Rook 1987; Rook and Hoch,
1985);
13
- Buying behavior associated with the emotional evolution of buyers; it is
more emotional than rational (Rook, 1987);
- Does not include the purchase of a product to fulfill a predetermined purpose
(Beatty and Ferrell 1998).
14
2.5. Hypothesis Development
2.5.1. Attractiveness
The influencer’s attractiveness refers to the streamer’s personality, appearance
and talent as perceived by the viewers from the live streaming (Ha & Lam, 2017).
Streamers' attractiveness represents their charm and all-around aptitude (Wiedmann &
von Mettenheim, 2020). Guo et al. (2022) define streamer attractiveness as the
viewer's opinion of the streamers' appearance, expertise, and communication style.
Streamers may be drawn to a sense of humour, friendly contact, one-of-a-kind skills,
and novel material formats (Woodcock and Johnson, 2019; Al-Emadi and Ben Yahia,
2020). Individual attractiveness of a streamer can entice viewers to tune in, form a
relationship, and be ready to consume (Ledbetter and Meisner, 2021). An attractive
streamer, according to Chahal and Rani, 2017; Wiedmann and von Mettenheim, 2020,
promotes social media activity and viewers' perceived source reliability, leading in
continued positive behaviors. According to Wang and Scheinbaum, attractiveness is a
critical determinant in promoting valuable messages (2018). Furthermore, Loua and
Yuan (2019) demonstrated that the attractiveness of influencers not only accelerate
brand awareness but can also shapes customers' trust in the content. Research supports
the idea that a visually appealing source can influence people's attitudes towards
problems, products, and advertisements (Caballero and Pride, 1984; Kahle and
Homer, 1985; Kamins, 1990;..) According to Apaolaza-Ibáez et al. (2011), women's
brand satisfaction with cosmetic products is positively impacted by a testifier's sexual
attractiveness. As a result, the following hypotheses are proposed in the current study:
H1. Attractiveness will have significant influence on perceived enjoyment.
2.5.2. Trustworthiness
Consumers often tend to interact with users or professionals who understand
the products and brands they recommend according to Chao-Hsing Lee 1 and Chien-
Wen Chen (2021). Park and Lin (2020) demonstrated that the trustworthiness of the
streamer has a positive relationship with the purchase intention of the endorsed
15
product. According to studies, the better the reliability of the information source, the
more customers would transfer the information source's positive evaluation to the
related product or service, enhancing a favorable impression and recognition of the
product, and even developing brand trust. As a result, trustworthiness, as a
livestreammer attribute, influences consumers' favorable impressions and recognition
of the product via influencing consumers' perceived trust. Several research have
discovered a clear correlation between trust and intention; for example, Zhou
demonstrated that trust can enhance Vietnamese customers' inclinations to utilize
mobile banking. Furthermore, through the mediation of perceived risk, trust can be
utilized to indirectly predict customer intentions. Shao et al. demonstrated the impact
of trust in reducing perceived risk when customers buy things, and consumers'
purchase intentions improved. The preceding talks have led us to our second
hypothesis:
H2: Trustworthiness will have significant influence on perceived enjoyment.
2.5.3. Expertise
In terms of marketing communication, expertise can be defined as the extent
to which a target audience perceives an endorser to have the necessary knowledge,
expertise, skills, and experience to promote and endorse a product (Rebelo, 2017). As
a result, expertise has a significant positive influence on consumer perception of the
product and is capable of driving purchase intention, whether for personal use or gift
giving (Nascimento, 2019).
According to Sokolova and Kefi's (2019) study, physical attractiveness had
little effect on purchase intentions, although credibility and quasi-social interaction
enhanced purchase intentions. According to Schouten et al. [100], competence will
impact not just the amount of confidence perceived in influencers, but also the
customers' purchasing behavior and intention. When consumers go shopping, they are
usually unfamiliar with the product, therefore they seek assistance from others who
are more knowledgeable about the goods.
16
Following the aforementioned line of research, the following assumptions are
made:
H3: Expertise will have significant influence on perceived enjoyment.
17
CHAPTER 3. METHODOLOGY
18
number of measured variables in this study being 31 variables, the minimum sample
size needed is 155 observations.
The author selects convenient sampling method to conduct the survey. The
author collects data by sharing Google form on Facebook and sending it to friends and
relatives. This method has the greatest benefit of selecting elements based on
convenience, accessibility, and easy access to information. However, it has the
limitation that it is difficult to apply to a large population. The goal of the article is to
study the impulse buying intention of customers through livestreaming in Ho Chi
Minh City, therefore not particular sampling is necessary. The only requirement for
participants is people who used to purchase through livestream on any commerce
platform.
The author conducted a survey on 336 people to ensure that the desired sample
size was obtained. The interview process took about a month (from April 11, 2023 –
May 15, 2023), using online forms (Google forms for specific). Interviewees include
any people with various of occupation (3 types: students, officer, others). The
distribution and collection of survey questionnaires are done online. While the
similarity between the subjects in the sample lies in the purchase through livestream
before; The diversity of the sample is shown through gender, age, occupation, income,
monthly spending. Given that the study focused on the viewpoints and experiences of
any Vietnamese people no specific age or occupation was chosen for the survey.
Because this research focuses on an live commerse topic, active and using commerce
platform customers are required. Filter question: only participants who already
purchased through livestream are selected.
19
- Measurement scale: A five-point Likert scale, table 1 below (adopted from
previous study of Chao-Hsing Lee and Chien-Wen Chen, 2021)
- Respondents: based in Vietnam, can be students/ officers or others.
- Sampling technique: Convenience sampling (based on convenience,
accessibility to information and small budget within short time).
- Sample size: 244 valid samples (336 were collected)
- Data collection: online survey was taken through all social media platforms
(Facebook, Zalo,..)
- Data analysis: SEM and tool: SmartPLS. SEM is a second-generation
statistical analysis technique developed to analyze multidimensional
relationships between multiple variables in a model (Haenlein & Kaplan,
2004). The PLS-SEM method is a widely used method in recent years. This
method is suitable for exploratory research, research with undeveloped
theoretical background. The most commonly used software for analysis is
SmartPLS.
20
audience. After completing the design, the survey will be sent to 5 people to collect
their opinions, questionaire was assessed and modified to improve its readibiliy.
Finally, an example verification was performed.
To ensure that valid users answered the questionnaires, each person may only
fill out one. A total of 336 samples were collected. After removed 92 samples who
have not purchased through livestream before, it remains 244 valid samples.
To suit the current commercial context, the scales from previous studies have
been adapted and adjusted slightly. For impulsive purchase intention, the
measurements were adopted and modified by the pevious researches of Lee et al.
(2021), Chen et al. (2019), Chen and Yao (2018), and Xiang et al. (2016). The
measurements of perceived enjoyment adopted and modified by the previous
researches of Parboteeah et al. (2009), Xiang et al. (2016), Parboteeah et al. (2016),
Zhang et al. (2020), and Lee et al. (2021).”
21
Table 1. Measuring items for questionnaire
22
CHAPTER 4. DATA ANALYSIS
23
Table 2: Demographic statistics (n = 244).
24
4.3. Confirm Factor Analysis (CFA)
To evaluate the data, we adopted the partial least squares structural equation
modeling (PLS-SEM) method, which is a standard approach for analyzing complex
relationships between observed and latent variables. PLS does not impose extreme
constraints on variable distributions and enables researchers to find correlations
between conceptual elements of interest and the data underlying each structure.
The data for the current study was analyzed in two steps. To start with, we
conducted confirmatory factor analysis (CFA) to examine how reliable the model for
the measurement of relevant variables is. This method helps to increase the relevance
of the models and helps the research to come up with more accurate conclusions and
solutions. The research hypotheses were then empirically tested using structural
equation modeling analysis. We analyze structural reliability by calculating the
combined reliability (CR) of all structures. Table 3 shows that the standardized factor
loadings for all measuring items are greater than 0.70, and the all constructs’ AVES
are greater than 0.50. (range from 0.624 to 0.757).
According to Table 4, the discriminant validities of all dimensions in this
study were more than the correlation coefficients of each dimension, showing that the
discriminant validity met the required criteria. By comparing the AVE square root
with construct correlations we can determine the corresponding DV value of each
variable These findings indicate that the suggested model has a significant level of
convergent validity. Furthermore, the findings presented in Table 4 show that
discriminant validity is sufficient. AVE (Average Variance Extracted) is the average
explanation of a latent variable over its observed variable. From the analyzed data
below, it can be seen that the constructed AVE is larger than the rest of the correlation
coefficients, which indicates that the scale ensures discriminant validity.
25
Table 3. Construct on reliability and validity.
The results indicated a highly reliable scale with Cronbach’s Alpha value of all the
contructs are above 0.7.
26
Table 4. Discriminant validity
27
H1. Attractiveness have positive influence on perceived enjoyment.
H2: Trustworthiness have negative influence on perceived enjoyment.
H3: Expertise have positive influence on perceived enjoyment.
H4: Perceived enjoyment have positive influence on impulse buying intention.
28
CHAPTER 5. DISCUSSION AND IMPLICATIONS
The study was inspired by the growing popularity of live streaming services.
We intended to conduct research on impulse purchases intention of customers. We
organized the effect aspects on consumer behavior in live streaming commerce,
involving factors like streamers’ attractiveness, trustworthiness, expertise, and
customers' perceived enjoyment, by a thorough examination of the literature on live
streaming and live streaming commerce. Using the S-O-R paradigm, consumers'
cognitive and emotional states were classified as perceived enjoyment. The reaction
behavior is the desire to acquire something impulsively. The live streaming commerce
impulse buying concept is proposed.
5.1. Discussion
Live Commerce – “Live” sales are booming around the world, especially
among young customers. Many brands have sold tens of billions of GMV in just one
live session, equivalent to GMV a week of traditional retail. As a new sales channel
for almost all large and small businesses, the implementation cannot avoid mistakes
or the efficiency is not high. In return, this is a “Blue Ocean” – Great opportunity for
creators & leaders.
Live Commerce brings value to brands, retailers and e-commerce floors mainly in
2 aspects:
1. Speed up sales: Live Commerce entertains and draws users into the livestream
flow. Live Commerce also shortens the customer journey, from “know” to “buy”
instantly. Thanks to tactics like limited coupons that can only be used for a limited
time, Live Commerce drives buyers strongly. According to businesses that have
been and are applying Live Commerce, the purchase conversion rate (CVR) is up
to 30%, 10 times higher than conventional e-commerce sales.
2. Increase Brand attractiveness and differentiation: A prominent brand in the Live
Commerce segment creates greater awareness and easier direct interaction with
29
customers. Live Commerce easily acts as a funnel to attract new traffic to watch
the live, then visit the website, the sales channel and even without making a
purchase, the interactions with the channel will become extremely useful data for
the brand. in business and digital advertising. For existing buyers, Live Commerce
helps strengthen the brand's positioning, while attracting new customers,
especially the young (GenZ) who are tired of the old way of selling and are very
excited. with an innovative shopping experience. Some Brands report that their
number of young customers has increased by 20% using Live Commerce.
Based on the S-O-R theoretical framework, this study studied the impact of
live streamer characteristics on livestreaming in general. The empirical study's
findings support our proposed research paradigm. There are, however, a number of
unexpected findings. Attractiveness and expertise both have a significant impact on
perceived enjoyment. The data confirm that these elements have an impact on the
emotional state of the consumers. The results, however, rule out trustworthiness as a
stimulus element. It is similar to previous research of Chao-Hsing Lee and Chien-
Wen Chen, 2021.
In the context of social commerce, trustworthiness has a beneficial effect on
customer value. The success of live streaming commerce has consequences. Live
streamers may broadcast fake information, such as followers, online viewers, likes,
and transaction volumes, in order to attract suppliers and consumers. Many people
continue to buy since the livestream’s involvement is quite high, there are 1-2
thousand views of the livestream, the comments bounce constantly, and the streamer
is unable to stop the order in time. This subtly leads viewers to believe that this shop
is very trustworthy, and that if they do not buy, they will undoubtedly miss out on a
good deal. However, sometimes the truth is not as we think, a student who used to
work part-time at a company providing services to increase livestream interaction,
most of the above interactions are "virtual" and can be faked. Addiontionally, some
customers have transaction disputes, which involve phony goods, quality difficulties,
and other issues after making a purchase. These issues erode consumer trust in live
streaming commerce. Distinct consumers have distinct concerns when it comes to E-
30
commerce. For live streaming commerce, Cai and Wohn (2019) applied utilitarian
and hedonic motivation. They discovered that hedonic motivation corresponds to
celebrity-based intention. The resulting conclusion is similar to our findings in
affective reactions.
Overall, the following conclusions can be drawn: Live e-commerce is
primarily a marketing habit, yet it differs greatly from offline marketing. On the one
hand, buyers are unable to touch or sense the quality of things. Streamers act as a link
between consumers and commodities in this scenario. The streamers experience and
feel the things for the consumers through livestream. As a result, the streamer's
personal charm is crucial to the consumer experience and resonance. In an ideal
world, consumers feel that the product experience offered by the streamers is
congruent with their own; this necessitates the streamers interacting with consumers
in real-time for both shared and unique wants and suggestions. As a result, these two
characteristics have a significant favorable impact on subjective enjoyment, which
leads to the impulse buying intention. Moreover, consumer perceived enjoyment plays
a regulatory role in the proposed model. To this day, the streamer is the most
significant aspect of live e-commerce. A streamer who is attractive and has expertise
can increase viewers' perceived enjoyment, in enhancing the impulse buying
intention in live e-commerce.
31
Second, in today's fast-growing live-streaming commerce landscape, based on
the findings, this study proposes a new model, the Stimulus-Organism-Response
model. The model clarifies and demonstrates the theoretical relationship between
customer perception and impulse buying behavior. To be specific, perceived
enjoyment influences one's tendencies to buy impulsively. Future studies might
enquire into how consumer engagement and product confidence affect the results of
studies using streamers characteristics as an mediating variables.
Third, our approach investigates the factors that influence perceived
enjoyment. We found that attractiveness and expertise have a positive impact on
perceived enjoyment after conducting empirical research. Previous research
(Bergkvist, L.; Zhou, K.Q. 2016) found that celebrity endorsements can influence
people's positive perceptions of an advertised item. Customers are more inclined to
interact with other users who are brand and product experts (Lou, C.; Yuan, S. 2019).
The data confirm that these elements have an impact on the emotional state of the
consumers. However, the results rule out trustworthiness as a stimulus element.
32
to order and purchase. Live streamers must perform properly and attractively. Those
tips may be of use to sellers that wish to participate in live streaming commerce.
A livestream cannot lack the role of the hosts - the people who lead the live.
Brands need to recruit capable KOLs and KOCs who are able to present their products
in an attractive way and call for interaction and purchase.
Some popular types of livestreams:
- Product trial: Brand book KOC to try the product. The livestream scenario should
introduce many different products, coordinate and sell combos with a 'hot' offer to
up sale. The real experience with the product directly such as using it on people,
wearing it directly... should be given top priority (push sale).
- Interview: The key point about KOC is to be famous, have a strong influence, be
suitable for the brand to increase brand coverage and recognition, and increase
traffic for the label (effectively applied to newly launched labels).
- “Behind-the-scenes”: When you want to increase loyalty or affirm your brand
value more deeply through stories, brands can book KOC to experience the
production process, listen to stories “in the middle of the day.” home" of the
brand.
33
Nguyen Xuan shampoo. Because the streamer did not give clear information, many
people believed that traditional sales channels such as pharmacies and agents sold
expensively, and the selling prices on the livestream were real, leading to a series of
agents and pharmacies "turning back” with this brand. Therefore, based on the
findings of this study, brands or companies can better understand and better use
livestreamers to sell their products. To make sure the live session of a label attracts
the right audience for the label, the first thing is to get the user's attention. At the same
time, it is necessary to be proficient in using insight analysis tools to understand
viewer behavior, thereby building an ideal customer portrait and following that to
orient appropriate livestream content.
More than just promoting products, live commerce activities need to attract
customers to immediately generate conversions by adding special deals, great
vouchers, exclusive or limited time policies, collections. seasonal. Products that are
invested in aesthetics, beautiful images and bargain prices (compared to value) will
sell well.
34
CHAPTER 6. CONCLUSION AND LIMITATIONS
Livestreaming e-commerce has been around for a long time, but it really took
off recently during the pandemic. For comparison, we attempted to find related
literature that was similar to our research model.
Livestream on social networking platforms has gradually become a dominant
form of sales (channel). This is one of the forms of social commerce that is said to
"surpass" e-commerce. To avoid unnecessary misunderstandings, for agency partners
and distributors, brands can proactively make clear announcements about the
objectives, time and form as well as promotions. out on livestream. At the same time,
to create an overall viral effect, the brand can add accompanying promotions for
agents/distributors after the livestream so that the agents/distributors themselves
continue to promote the products. and boost long-term revenue for the brand.
35
With the rapid development of live commerce, it is inevitable that there will be
arising of users' concerns. One of the big deciding factors on whether the sales live
stream that day was effective or not is the live streamer. According to a survey
conducted by Decision Lab in Vietnam in 2022 and statistics on Statista, up to 40 to
50 percent of live streaming viewers are concerned that live streamers may use
inappropriate language or speak loudly and aggressively.
Combined with what was found by this research, live streamers can learn
where to avoid viewer concerns and promote them to be able to conduct a successful
live stream and increase conversions during a live stream. To show it in an attractive
and interesting way, it is necessary to rely on the talent of the person doing the
livestream. To summarize, a good livestreamer is someone who has:
• Ability to communicate easily and clearly
• Get accurate information, understand about the product
• The expression is always happy, energetic, and natural during the live
• Capturing customer psychology to have calls, stimulate purchase demand to leave
order information, etc.
There are some limitations to this study. First, because this study was
conducted in such a short period of time and due to funding constraints, I was unable
to perform the survey in a larger sample. Furthermore, the convenience sampling
strategy used is simple for collecting data but difficult to generalize to the general
population. Second, the empirical study samples are primarily drawn from
Vietnamese consumers, which may limit sample coverage. Third, in the questionaire
design, I did not limit the respondents who use any specific type of live e-commerce
platform. Different consumers, however, may have different experiences with the
various platforms or commodities. And finally, this study is also fully focused on the
aspect of livestream, the streamer, and may not address other aspects that influence
the intention of buying impulsely, such as products, platform features, purchase
convenience, and so on. Furthermore, this study did not take into account the unique
characteristics of the cities in which the respondents live. In the current online
36
consumption environment, there are major differences between consuming groups in
coastal cities and those in inland cities, as well as those in first-tier, second-tier, and
third-tier cities.
37
References
1. Cai, J.; Wohn, D.Y. Live streaming commerce: Uses and gratifications
approach to understanding consumers’ motivations. In Proceedings of the
52nd Hawaii International Conference on System Sciences, Grand Wailea,
Maui, HI, USA, 8–11 January 2019.
2. Chan, T.K.; Cheung, C.M.; Lee, Z.W. The state of online impulse-buying
research: A literature analysis. Inf. Manag. 2017, 54, 204–217.
3. Chen, A.; Lu, Y.; Wang, B. Customers’ purchase decision-making process in
social commerce: A social learning perspective. Int. J. Inf. Manag. 2017, 37,
627–638.
4. Chen, C. D., Zhao, Q., & Wang, J. L. (2020). How livestreaming increases
product sales: role of trust transfer and elaboration likelihood model.
Behaviour & Information Technology, 1-16
5. China Internet Networking Information Center. The 47th China Statistical
Report on Internet Development. 2021. Available online:
http://www.cnnic.net.cn/hlwfzyj/hlwxzbg/hlwtjbg/202102/t20210203_71361.h
tm
6. De Veirman, M.; Cauberghe, V.; Hudders, L. Marketing through Instagram
influencers: The impact of number of followers and product divergence on
brand attitude. Int. J. Advert. 2017, 36, 798–828.
7. Hilvert-Bruce, Z.; Neill, J.T.; Sjöblom, M.; Hamari, J. Social motivations of
live-streaming viewer engagement on Twitch. Comput. Hum. Behav. 2018,
84, 58–67.
8. Hu, M., & Chaudhry, S. S. (2020). Enhancing consumer engagement in e-
commerce live
9. Hu, M.; Chaudhry, S.S. Enhancing consumer engagement in e-commerce live
streaming via relational bonds. Internet Res. 2020, 30
10. Hu, M.; Zhang, M.; Wang, Y. Why do audiences choose to keep watching on
live video streaming platforms? An explanation of dual identification
framework. Comput. Hum. Behav. 2017, 75, 594–606.
38
11. Kang, K.; Lu, J.; Guo, L.; Li, W. The dynamic effect of interactivity on
customer engagement behavior through tie strength: Evidence from live
streaming commerce platforms. Int. J. Inf. Manag. 2020, 56, 102251.
12. Li, Y.; Li, X.; Cai, J. How attachment affects user stickiness on live streaming
platforms: A socio-technical approach perspective. J. Retail. Consum. Serv.
2021, 60, 102478.
13. Liu, G.H.; Sun, M.; Lee, N.C.A. How can live streamers enhance viewer
engagement in eCommerce streaming? In Proceedings of the 54th Hawaii
International Conference on System Sciences, Grand Wailea, Maui, HI, USA,
5–8 January 2021; p. 3079.
14. Ohanian, R. (1990). Construction and validation of a scale to measure
celebrity endorsers' perceived expertise, trustworthiness, and attractiveness.
Journal of advertising, 19(3), 39-52
15. Ohanian, R. Construction and validation of a scale to measure celebrity
endorsers’ perceived expertise, trustworthiness, and attractiveness. J.
Advert. 1990, 19, 39–52
16. Reysen, S. Construction of a new scale: The Reysen likability scale. Soc.
Behav. Personal. Int. J. 2005, 33, 201–208.
17. Stern, H. The significance of impulse buying today. J. Mark. 1962, 26, 59–62
18. streaming via relational bonds. Internet Research.
19. Sun, Y.; Shao, X.; Li, X.; Guo, Y.; Nie, K. How live streaming influences
purchase intentions in social commerce: An IT affordance perspective.
Electron. Commer. Res. Appl. 2019, 37, 100886.
20. Wongkitrungrueng, A.; Assarut, N. The role of live streaming in building
consumer trust and engagement with social commerce sellers. J. Bus. Res.
2018, 117.
21. Xiao, M.; Wang, R.; Chan-Olmsted, S. Factors affecting YouTube influencer
marketing credibility: A heuristic-systematic model. J. Media Bus.
Stud. 2018, 15, 188–213.
39
22. Xu, X.; Wu, J.H.; Li, Q. What Drives Consumer Shopping Behavior in Live
Streaming Commerce? J. Electron. Commer. Res. 2020, 21, 144–167.
23. Yamawaki, M.A.C.; Sarfati, G. The millennials luxury brand engagement on
social media: A comparative study of brazilians and italians. Rev. Negócios
Int. Internext 2019, 14, 14–30.
24. Yin, S. A Study on the Influence of E-commerce Live Streaming on
Consumer’s Purchase Intentions in Mobile Internet. In International
Conference on Human-Computer Interaction; Springer: Cham, Switzerland,
2020; pp. 720–732.
40
APPENDICES
A. QUESTIONAIRE
TRU2 I feel the live streamer is honest. Xiao, M.; Wang, R.;
Chan-Olmsted, S
I feel the live streamer is
TRU3
trustworthy.
Ohanian, R (1990)
TRU4 I feel the live streamer is sincere.
Expertise I feel the live streamer is Chin, W.W (1998)
EXP1
experienced.
Xiao, M.; Wang, R.;
I feel the live streamer is
EXP2 Chan-Olmsted, S
knowledgeable.
Ohanian, R (1990)
EXP3 I feel the live streamer is qualified.
41
Shopping with live streaming
PerE5
commerce was fun for its own sake.
42
43