The Empirical Research about the Effects of Consumption Experience on Wordof-Mouth Intention Bao-ku Li1 , Jin-zhi Jiang2 Institute of Marketing Management, Liaoning Technical University, Huludao, China Institute of Marketing Management, Liaoning Technical University, Huludao, China (E-mail: andyjjz1987@163.com and 349923687@qq.com) Abstract - Which factors influence Word-of-Mouth (WOM) Intention? How do they influence WOM Intention? These are a focus of the researches about WOM intention. This paper utilizes the demonstration methods of factor analysis, multivariate linear regression to analyze the satisfaction data by investigating some students whose have computer. Through empirical analysis, we get the dimensions of Consumption Experience. All four dimension of the Consumption Experience have positive on WOM Intention. Furthermore, the degree to which different consumption experience influences customer satisfaction varies. This study has some practical significance on the rich WOM marketing theory and to help enterprises better implement of WOM marketing strategy. Keywords - WOM; Consumption Experience; WOM Intention; WOM Marketing I. INTRODUCTION With the development of market economy. Consumer’s product knowledge is increasing and consumption gradually experienced. Consumer behavior is becoming more rational. WOM has become the most frequently used when people make purchasing decisions of information resources. To provide consumers with a good consumption experience, encourage and guide them to spread the reputation information that is conductive to business. Gain a sustainable competitive advantage. This paper will be on the basis of fully drawn on the related Research and combined with the status Research quo in WOM marketing and consumption experience. To build a reasonable consumption experience measurement scale. To clear consumption experience dimension structure and proposed research model and hypotheses. To explore the impact of the relationship between customers consumption experience praise WOM intention. II. REVIEW OF THE LITERATURE A. The basic connotation of consumer experience Consumption experience can be divided into functional consumption experience and experiential consumption experience. Functional consumption refers to general merchandise, consumer content in pursuit of the functions and attributes of goods to meet consumer demand for the consumption patterns of the target. National Natural Science Foundation of China (71172218) Liaoning Social Science Fund of China (2009A343) Liaoning Excellent Talents fund of China (2009R31) Experiential consumption for consumer content refers to the experience goods to an exciting, memorable consumer experience as the goal consumption patterns. Visible, there is a clear difference between these two types of consumption experience. Functional consumption experience is the focus of this paper. Consumption experience began in Holbrook and Hirschman (1982) focus on the consumption experience. In the book “consumption experience: fantasy, feeling, and entertainment”, the author points out that the experience consumption to the historical arena, marketers should pay close attention to customers in the consumption experience in experiential consumption [1]. Terblanche and Boshoff (2001) pointed out, only concerned about the experiential consumption experience and neglect of the functional consumption experience is not appropriate. Functional consumption to bring customers the consumption experience also can influence customer psychology and behavior. Thus it is worth trying that to explore around the consumption experience to the related marketing issues [2]. Terblanche and Boshoff (2001) believe that the consumption experience is the profound memory and subjective experience of customer personal consumption of a product obtained [3]. Berman and Evans (1998) believe that retail consumption experience is all the incentive or constraint elements of the customer contact with retailers [4] . Comprehensive these two viewpoints, this article believe that the consumption experience is all the incentive or constraint elements of the customers in order to consume a product with the sellers of contact in the transaction process and the profound memory and subjective experience. B. WOM and WOM spread For the reputation of the research originated in the study of Arndt (1967).He confirmed the important role of Word-of- Mouth on new product diffusion and adoption [5]. In this study, we integrated in Arndt (1967) and Westbrook (1987) defined on WOM: WOM is the interpersonal communication of between the consumer and the consumer about the product or service features, brand, and business information and consumption experience oral forms of interpersonal communication. A concept closely related to WOM is WOM Spread. Arndt (1967) defines the WOM Spread: face-to-face verbal communication behaviors between the information sender and information recipient. Chan (2000) believes that WOM Spread is the sender on the elaboration of product-related information as well as spread to other consumer (receiver). In addition, he also believes that the WOM Spread by the combined effects of many factors, such as product, emotional, personal factors and so on. Huang Xiaojun and Xu Weiqing (2004) believe that WOM Spread is a perception of non-commercial information disseminators and receivers on a product, brand, organization and informal interpersonal communication [6]. C. WOM Intention factors affecting willingness to study Arndt (1967) and Dichter (1966) have been researched the antecedent of the WOM Spread. Their research shows the antecedent of consumers to participate in WOM Spread is reduce the purchase dissonance, product involvement, self-improvement, concern for others, and the use of WOM Spread to upgrade their status in interpersonal communication. Tom J. brown (2005) developed a comprehensive model of the antecedents of positive WOM intention. (Fig 2.1) [7] The satisfaction of the dealer Positive WOM Customer commitmen t Customer Identification Sundaram, Mitra and Webster (1998) believe that the consumption experience includes four aspects: product performance experience, complaint handing capacity, price and value perception, the employee’s performance [10]. Further refinement of these several dimensions, we selected 18 sub-factors that student customers may experience in the consumption process. In order to ensure the scientific nature of the selected variables, we conducted customer interview and consultation with relevant experts. Selected variables were modified based on feedback, finalize the 15 sub-elements: unique, physical properties, performance and compatibility, answer purchased doubt, careful handling of complaints, upgrades, updates, troubleshooting, value for money, reasonable price, reasonable price, value for money, to provide fast service, willing to help, polite, with interest to solve the problem. The part of WOM intention, we learn from the previous measure and grouped into a few: the recommended degree, to encourage the purchase, to talk about the advantage of four dimensions. On the basis in reference to relevant research, we are put forward four hypotheses in this paper: H1: The product performance experience has a positive significant impact on the WOM intention. H2: The price and value perception experience has a positive significant impact on the WOM intention. H3: The employee`s performance experience has a positive significant impact on the WOM intention. H4: The complaint handling capacity experience has a positive significant impact on the WOM intention. In summary, this study proposed a conceptual model (Fig 3.1): Consumption Experience Fig 2.1 Model of antecedents of positive WOM intention Mee-Shew Cheung (2007) extends the previous studies. They specialize research the factors affect the willingness of W0M intention in the cultural context. Also have did research about consumer WOM motives of China and the U.S. Explained the different cultural backgrounds of the two countries led to the motive of consumer WOM Spread was different and they have put forward different views about WOM Spread process [8]. In summary, concluded that the theoretical studies of WOM prior to contact with the customer consumption experience. In fact, Westbrook (1987) pointed out that customer purchase behavior include WOM Spread behavior [9]. The customer experience has a very important effect of WOM. According to the literature findings and results above, this paper starts from a specific consumption experience. Directly test the role of the consumption experience on the willingness of consumer WOM intention. III. THEORETICAL FOUNDATION AND RESEARCH HYPOTHESES Product performance experience Experience Reaction: Price and value perception experience WOM Intention Employee`s performance experience Complaint handling capacity experience Fig 3.1The Effects of Consumption Experience on WOM Intention IV. DATA COLLECTION The subjects selected the college students whose have brand computer as subjects. In the actual research methods, On the one hand distributed part of the questionnaire in Liaoning Technical University campus. The other hand, over the network forwards the electronic version of the questionnaire to the students or friends. Commissioned them to fill, release, and also achieved good recovery. In this study, issued a total of 300 questionnaires and recovery of 243, have 207 valid samples, the effective rate was 69%. Use SPSS 17.0 statistical software for data analysis. Men accounted for 54% percent of those surveyed, women accounted for 46%. From the age structure of the sample of this research concentrated between 18-35 years of age. All are college students. This part of customers most in work or study phase, active thinking, more human, they are regarded as the backbone of the WOM Spread. They are having higher motivation of WOM intention and the influence of WOM is relatively large. variance of 74.949% (>40%). Each factor loading greater than 0.4, indicating that the scale has good construct validity. B. WOM Intention of reliability and validity analysis Questionnaire contains four projects to measure WOM intention. Do factor analysis of these four measurements, the results shown in Table 5.2 and Table 5.3.It can be seen from Table 5.2, the sample of the KMO value is 0.764 and can do factor analysis. It can be seen from Table 5.3, four measurements of the WOM intention produce to a factor: “WOM Intention”. This factor explained 82.641% of the overall variance. The results coincide with the original idea. So the WOM scale has good construct validity. Table 5.2 KMO and BTS results of WOM Intention V. DATA ANALYSIS A. Analysis of the reliablility and validity of the consumption experience Table 5.1 Reliability Analysis results of Consumption Experience The term Item and after Item factor removing Factor α Abbreviations correlation the alpha coefficient coefficie nt Physical property 0.5297 0.7831 Uniqueness 0.6633 0.7147 Factor 0.7953 Performance A 0.7336 0.6821 satisfaction Compatibility 0.5121 0.7886 Good value for 0.8199 0.7158 money Factor 0.848 Reasonable price 0.7487 0.7853 B Price is far less 0.7045 0.8433 than its value To provide fast 0.7682 0.8224 service Willing to help 0.749 0.8303 Factor Refined and 0.8737 0.747 0.832 C courteous To solve the problem with 0.6555 0.8667 interest Answer the usage 0.7703 0.8165 question Upgrade, repair 0.7117 0.8404 Factor 0.8597 D Carefully deal 0.6959 0.844 with complaints Troubleshooting 0.7225 0.8334 The total table of alpha coefficient=0.8826 As shown in the above Table 5.1, the level of each factor `s alpha coefficients are above 0.7. So the high reliability of the consumption experience scale. It can be seen from the scale development process of this study, every issues rose with reference to literature and monographs. Combined with the actual integration and sublimation, and completed under the guidance of experts. Therefore, the scale has high content validity. In addition, through factor analysis of the consumption experience extracted four common factors can explain the total KMO and BTS results of WOM Intention 0.764 Approx.Chi-Square 524.61 df sig. 6.00 0.00 Bartlett`s Test of Sphericity Table 5.3The factor loading of WOM Intention Factor loading Measuring project If my friends and relatives is buying computers, I would like to recommend this brand for him 0.918 If I was helping relatives and friends to buy computers for the decision, I would like to recommend this brand for him 0.912 If my friends or relatives are interested in the computer products, I will tell him the brand advantages 0.907 If I talk about the topic of computer with others, I told him this brand advantages 0.90 Cumulative total variance explained 82.64% The following Table 5.4 shows: The Cronbach alpha coefficient is 0.907 of the WOM intention. It shows that the scale of the WOM intention has a high degree of consistency and internal structure. In other words, reliability is very high. Table 5.4 Reliability analyst of WOM Intention Cronbach α Project number coefficient Measuring project WOM Intention 4 0.907 C. Model checking The main test of this section: test the relationship between the consumption experience of the four dimensions and the WOM intention. That is to verify the assumptions H1, H2, H3 and H4. In order to clear the role of experience effect of WOM intention. We are use the Regression analysis method. In order to ensure the stability of the results, it has used forced regression and stepwise regression for verification. Prior to regression analysis, the first response to the model applicable to the conditions tested. By plotting the residuals histograms, founded that the standard residuals of WOM intention follow a normal distribution assumptions. It meets the assumptions of regression analysis. Next, we use of multiple regression analysis” forced regression”. The analysis showed that the regression equation F value of 64.970. Adjusted R2 of 0.645, the D.W test value of 2.015 which means there is no indication from the relevant circumstances. In order to test the stability of the regression results, we then use multiple regression analysis “stepwise regression”. Again do regression analysis for the four dimensions of consumption experience. The results showed that the F value of 64.970. Adjusted R2 of 0.645, twice regression analysis results was consistent. Table 5.5 Results of Regression analysis Standardized Consumption regression T experience dimensions coefficient P Product performance experience 0.455 -1.135 0.024 Price and value perception experience 0.376 2.552 0.016 Employee`s performance experience 0.294 5.895 0.007 Complaint handling capacity experience 0.458 9.201 0.000 Integrated twice the results of regression analysis (Table 5.5) we can see that the consumption experience four dimensions of the T-test results of P reached significantly (p<0.05). And the regression coefficients are positive. As a result, the four dimensions of consumption experience have a positive significant effect on the WOM intention. It means that the assumptions H1, H2, H3 and H4 to get support. The effect sizes of each dimension of consumption experience on WOM intention are different. VI. CONCLUSIONS AND MANAGERIAL IMPLICATIONS The subjects selected the college students whose have brand computer survey data. To analysis the effect of consumption experience on WOM intention. The results show that: the four dimensions of consumption experience have a positive significant impact on WOM intention. The degree of this positive impact in the order of: complaint handling capacity to experience (0.458), product performance experience (0.455), sensory experiences in the price and value (0.376), the employee`s performance experience (0.294). From the research findings and combined with the basic idea of experiential marketing. We propose the following recommendations for enterprises to implement WOM marketing: A. Based on internal marketing, to establish a good relationship between the customer and the enterprise. B. Provide extraordinary function experience design, win a good reputation. C. Create and deliver high-value experience to enhance the WOM intention. D. Build customer communication platform to guide customer to participate in WOM marketing. REFERENCES [1] Holbrook, M.B. And E.C. 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