The Impact of Viral Marketing on Purchasing Intention of the Millennials in Sri Lanka; Mediating Role of Brand Equity

With the emergence of the Internet, marketers have faced numerous challenges and opportunities and discovered innovative ways to effectively engage with their target market. Many researchers have examined the impact of social media usage on consumer purchasing intentions from various perspectives and this study aims to explore the interrelationships between viral marketing, purchase intention, and customer brand equity among millennials in Sri Lanka. The study utilizes cluster and convenience sampling methods and a structured questionnaire to collect data. The focus on the millennial generation is justified as they are prominent generation connected to social media platforms. Structural Equation Modeling (SEM) using SmartPLS is employed for data analysis. Engaging with viral marketing messages is crucial to positively influence brand equity and purchase intentions, as merely receiving messages can have negative or zero effects. Additionally, the negative impact of receiving notifications on customer purchasing intentions can be mitigated by utilizing brand equity as a mediator. An online survey was conducted to collect data to establish a relationship between viral marketing and purchase intentions and brand equity. The findings indicate that viral marketing significantly impacts online purchase intentions and brand equity among consumers. Brand equity also has a significant influence on consumers' purchase intentions. Furthermore, brand equity acts as a mediating variable in the relationship between viral marketing and purchase intentions. To enhance the generalizability of the findings, future studies could benefit from a larger and more diverse sample. Overall, this study sheds light on the power of viral marketing as an essential marketing tool and provides valuable insights for marketers to strategically allocate resources in attracting new customers.