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Influencer endorsements: How advertising disclosure and source credibility affect consumer purchase intention on social media

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  • Weismueller, Jason
  • Harrigan, Paul
  • Wang, Shasha
  • Soutar, Geoffrey N.

Abstract

This paper investigates the impact of social media influencer endorsements on purchase intention, more specifically, the impact advertising disclosure and source credibility have in this process. The proposed framework argues that advertising disclosure has a significant impact on source credibility subdimensions of attractiveness, trustworthiness and expertise; subdimensions that positively influence consumer purchase intention. Empirical findings based on 306 German Instagram users between 18 and 34 years of age reveal that source attractiveness, source trustworthiness and source expertise significantly increase consumer purchase intention; whilst advertising disclosure indirectly influences consumer purchase intention by influencing source attractiveness. Furthermore, the results reveal that the number of followers positively influences source attractiveness, source trustworthiness as well as purchase intention. All in all, this paper makes a unique contribution to product endorsement literature, with evidence highlighting how social media influencers and advertising disclosure may be used on Instagram to effectively increase consumer purchase intention.

Suggested Citation

  • Weismueller, Jason & Harrigan, Paul & Wang, Shasha & Soutar, Geoffrey N., 2020. "Influencer endorsements: How advertising disclosure and source credibility affect consumer purchase intention on social media," Australasian marketing journal, Elsevier, vol. 28(4), pages 160-170.
    • Handle: RePEc:eee:aumajo:v:28:y:2020:i:4:p:160-170
    DOI: 10.1016/j.ausmj.2020.03.002
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    4. Hashed Mabkhot & Normalisa Md Isa & Ammar Mabkhot, 2022. "The Influence of the Credibility of Social Media Influencers SMIs on the Consumers’ Purchase Intentions: Evidence from Saudi Arabia," Sustainability, MDPI, vol. 14(19), pages 1-15, September.
    5. Mohammed Arshad Khan & Faisal Alhathal & Shahid Alam & Syed Mohd Minhaj, 2023. "Importance of Social Networking Sites and Determining Its Impact on Brand Image and Online Shopping: An Empirical Study," Sustainability, MDPI, vol. 15(6), pages 1-22, March.
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    7. Beilei Huang & Jinhua Zhang & Xiyuan Li, 2022. "Construction of Mega Individuals Competency Model in Business Environment: A Grounded Theory Approach," Sustainability, MDPI, vol. 14(15), pages 1-22, July.
    8. Farzin Arbabi & Seyed Mohammad Khansari & Aidin Salamzadeh & Abbas Gholampour & Pejman Ebrahimi & Maria Fekete-Farkas, 2022. "Social Networks Marketing, Value Co-Creation, and Consumer Purchase Behavior: Combining PLS-SEM and NCA," JRFM, MDPI, vol. 15(10), pages 1-21, September.
    9. Ransome Epie Bawack & Emilie Bonhoure, 2023. "Influencer is the New Recommender: insights for Theorising Social Recommender Systems," Information Systems Frontiers, Springer, vol. 25(1), pages 183-197, February.
    10. Tan, Yingsi & Geng, Shuang & Katsumata, Sotaro & Xiong, Xiaojun, 2021. "The effects of ad heuristic and systematic cues on consumer brand awareness and purchase intention: Investigating the bias effect of heuristic information processing," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
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    12. Aw, Eugene Cheng-Xi & Chuah, Stephanie Hui-Wen, 2021. "“Stop the unattainable ideal for an ordinary me!” fostering parasocial relationships with social media influencers: The role of self-discrepancy," Journal of Business Research, Elsevier, vol. 132(C), pages 146-157.
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    14. Cheung, Man Lai & Leung, Wilson K.S. & Aw, Eugene Cheng-Xi & Koay, Kian Yeik, 2022. "“I follow what you post!†: The role of social media influencers’ content characteristics in consumers' online brand-related activities (COBRAs)," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).

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