Enhancing Perceived Influence through Perceived Quality of Information, Emotional Appeal and Parasocial Interactions: The Moderating Role of Perceived Risk

Abstract

The aim of this study is to investigate the relationships among Perceived Quality of Information, Emotional Appeal and Parasocial Interactions on Perceived Influence in influencer marketing context. It also explores the moderating role of Perceived Risk in between Perceived Influence and Purchase Intention. The study employed a quantitative survey-based methodology with 242 respondents in Pakistan who followed influencers on social media. The constructs Perceived quality of information, Emotional Appeal, Parasocial Interactions, Perceived Influence, Purchase Intention and Perceived Risk were measure through a structured questionnaire. Structural equation modelling (SEM) was used to analyze the data, identifying relationships between variables and the moderating role of perceived risk. Perceived Quality of Information, Emotional Appeal and Parasocial Interactions are positively associated with Perceived Influence. The results indicate that Perceived Risk negatively moderates the relationship between Perceived Influence and Purchase Intention, such that greater perceived risk decreased the ability of social media influencers to affect purchase decision-making. The result then implies that while influencers are indeed effective in changing consumer’s perceptions, whether that affect will translate into actual behavior depends of the consumer’s perceived risk about the transaction. This study contribute to the existing literature on influencer marketing (IM) by analyzing an under researched aspect of Perceived Risk as a moderator, focusing on a developing country context (Pakistan) highlighting consumer behavior in emerging markets with still evolving digital trust and online shopping patterns. This study contributes valuable knowledge on social media influenced consumer behavior in Pakistan, considering digital marketing is a fast growing phenomenon of the developing economies like Pakistan. The insights into influencer strategies in similar economies provided by these findings will be useful for marketers.