The power of social influence: The impact of the bandwagon effect and e-WOM on online accomodation booking intention

Abstract

With the rise of social media, electronic word-of-mouth (e-WOM) advertising has opened up new horizons in information sharing. Online reviews play a prominent role in shaping purchasing intentions, as consumers base their decisions on the experiences of others. Based on the theoretical framework of the Information Acceptance Model (IAM), the aim of this research is to examine how consumers evaluate and use online reviews. The IAM basically considers the credibility of the source and the quality of the information argumentation to be decisive, but this research supplements this structure with the dimensions of the herd effect. The role of the herd effect lies in the fact that individuals often form their preferences in line with the opinion of the masses, especially when their own knowledge is limited. In order to empirically examine the above theoretical relationships, a questionnaire survey was conducted as part of primary research. The results contribute to a deeper understanding of how the impact of e-WOM is simultaneously quantitative, content-based, and social, which shapes consumer decision-making in a complex way.