Effect of E-WOM and Social Media Usage on Purchase Decision in Clothing Industry

Abstract

The aim of this study was to determine the effect of social media usage and electronic word of mouth (E-WOM) on purchase decision through consumer trust. This research was conducted on customers of clothing industry in Indonesia. The study conducted survey and collected data from a sample of 151 respondents who buy clothing products online by using convenience sampling method. The study analyzed data using Partial Least Square Structure Equation Modeling (PLS-SEM). The results of this study found that social media usage does not have a significant effect on purchase decision. Social media usage also does not have a significant effect on trust. E-WOM has a significant effect on purchase decision. E-WOM has a significant effect on trust. Trust has a significant effect on purchase decision. Social media usage and E-WOM has no significant effect on purchase decision mediated by trust.