The Role of Opinion Leaders in High-Involvement Purchases: An Empirical Investigation

Abstract

Opinion leaders influence consumer's decisions making and play significant role in disseminating information, specifically in high involvement purchases. After extensive literature survey on opinion leaders, theoretical framework was proposed and their hypothesis was tested. The results from empirical study that was conducted, indicates that opinion leaders in high involvement product possess significantly higher levels of media-exposure endurance, social involvement, product knowledge, innovativeness and computer usage than non-leaders. Based on findings, theoretical model was developed, conclusions are drawn, key implications delineated, and avenues for future research are listed. The findings will provide useful information for marketers to promote high-involvement products. They are also significant to real estate companies, banks, FM CG industries, who desire to understand opinion leaders for their inputs, influences for marketing strategies. The new finding indicates that they are younger, attained a higher education, has computer competence and they desire unique product offerings that convey status, will be useful for research purpose. This study provides a first step in investigating opinion leadership and their impact that are rooted in high involvement product; still more research in this area is warranted.INTRODUCTIONIn Information economy, information is very important and opinion leaders play a vital role in dissemination information and knowledge The companies have started using communication from opinion leaders in form of opinions, recommendations, suggestions and experience on products, services, or sellers, in order to influence consumer decision making.The customer's approach to purchasing a product is influenced by their situation- whether they have money and how important, frequent, risky, or urgent purchase is to them in their situation. Processes of consumer decision-making situation are partly affected by product involvement (Laurent and Kapferer, 1985). A consumer spends time and energy to make a decision in purchasing high-involvement products, whereas spends less time and effort for low-involvement products (Richins and Bloch, 1986). While researchers haye focused on low-involvement, frequently purchased, convenience product (Olshavsky and Miller, 1972; Swan and Combs, 1976; and Prakash and Lounsbury, 1983), less attention has been devoted to factors that influence satisfaction with a high-involvement product (Day, 1977; Churchill and Suprenant, 1983; and Oliver and Bearden, 1983).It was observed that greater involvement with product, greater search for information about product and larger number of information sources used, more extensive information processing undertaken by consumer. More importantly, consumers undertake extensive post-purchase evaluation and attempt to maximize their satisfaction with product (Barber and Venkatraman, 1986). In case of high-involvement purchases often resulting in extended problem solving, consumer seeks information from opinion leaders and other personal sources of information.Opinion leaders have long been of interest to managers and researchers because they are instrumental in successful marketing strategies. The tendency of consumer market to depend upon success of new products often rests with opinion leaders who direcdy influence consumers by giving advice and verbal direction for search, purchase, and use. Despite phenomenal growth of consumer market in India, surprisingly very little empirical research has investigated about opinion leaders in highinvolvement purchases. Hence, it is needed for further research to address this gap the influence of opinion leaders in high involvement consumer decision-making situations in extent literature.Lawrence Corey (1971) defines an opinion leader as trusted and informed people who exist in virtually all primary groups. …