Social Commerce: Development of the Efficiency of E-WOM of the Cosmetic Industry in Thailand

Abstract

Social commerce is considered highly significant in today's online market, especially for consumers looking for popular channels to purchase products, including cosmetics. It serves as a convenient distribution channel that allows sellers to easily access and engage with customers, fostering continuous communication and relationship-building, ultimately leading to widespread word-of-mouth promotion. The primary goal of this research is to comprehensively explore the factors influencing the electronic word-of-mouth (E-WOM) promotion of cosmetics products from social commerce, which can be beneficial for online cosmetics entrepreneurs by analyzing the quantitative elements and creating a structural equation model with e-Rough Set Delphi Technique. The quantitative research data was collected using an online questionnaire from a total of 808 cosmetic shoppers through social media stores in Thailand. The statistics used in the data analysis consisted of frequencies, percentages, and a structural equation model. The research shows that social commerce and customer satisfaction significantly and positively influence customer trust in online stores when purchasing cosmetic products. These factors are further supported by influences stemming from customer value, which is a component strongly linked to customer satisfaction. In particular, functional value and emotional value are critical factors in determining customer satisfaction, ultimately leading to the intention to purchase cosmetic products and the willingness to recommend them to others (E-WOM). Cosmetic entrepreneurs in the realm of social commerce should prioritize building customer satisfaction concerning purchase intentions before anticipating that customers will eventually engage in E-WOM promotion.