THE EFFECT OF INFLUENCER’ CREDIBILITY, CUSTOMER TRUST AND LIMITED-TIME OFFERS ON

PURCHASE INTENTION TOWARD TIKTOK LIVE-STREAMING SHOPPING IN VIETNAM

By Nguyen Phuong Thao, Ta Doan Khanh Linh, Chang Khanh Thao Vy, Chang Khanh Thuy Vy, Nguyen
Ngoc Phuong Mai, Le Thi To Quyen, Nguyen Duc Phu

Bachelor of Business Administration, FPT University

Abstract:

Purpose –

Design/Methodology/Approach –

Findings –

Research Limitations/Implications –

Keywords: Influencer, Limited-time offers, Purchase intention, Vietnam, Gen Z, TikTok livestream
shopping.

1. Introduction

2. Literature Review And Hypothesis Development

2.1 Variable definitions

2.1.1 Influencers Credibility

Influencer is the ability of someone who is able to make changes in influencing human
behavior, (Jhosep, et all 2013) while influencer marketing is an approach that can be updated with
the aim of increasing relationship marketing activities to obtain information about a product
being marketed (Hayes, 2008). Meanwhile, according to Kim, (2012) influencers themselves are
someone who has transcenter capabilities or digital opinion leaders because their reputation is
considered to have knowledge of a particular topic such as beauty, fashion and others.
According to Loeper et al. (2014), influencers are those that disseminate fresh information,
participate in a certain issue regularly, and utilize their social media accounts actively. Influencers
produce material that promotes certain companies on social media platforms like TikTok, Facebook,
Instagram, Twitter, and Youtube with the goal of gaining followers and increasing brand awareness
(Okuah et al., 2019). Influencers are frequently seen as reliable information sources by customers
who are looking for information about goods or services (X. Wang et al., 2012). A product
endorsement that is marketed has a higher value to consumers when influencers are regarded as
reliable, which can lead to an increase in buy intention (Lisichkova & Othman, 2017).

Credibility is defined as the plausibility and dependability of an influencer's content and

recommendations. (H. Herawati, 2020).

Attractiveness: Characteristics like appearance, stature, and voice frequently represent the
attractiveness of influencers (Wang et al., 2022).

Trustworthiness: It defined trustworthiness as "the degree of confidence customers have in an

influencer delivering their point of view" (Ohanian, 1990).

Expertise: Participants overwhelmingly reported that they were more likely to trust and be influenced
by influencers who demonstrated a deep understanding and authenticity in their content domain.
(Karabadzhakian, 2024)

So In this study, Influencer Credibility goes beyond just popularity. It encompasses the combined
effect of an influencer's attractiveness, trustworthiness, and expertise. This combined influence
allows them to gain audience trust and ultimately persuade viewers to make a purchase.

2.1.2 Customer Trust

In e-commerce, where there are precedents, consumer trust is crucial, and risk may be a big worry for
a number of reasons. First, the impact of trust helps us recognize the significance of the factors that
influence trust. It is crucial to comprehend these elements in order to promote trust. Second, if we
assume trust, the impact of online shopping behavior will be understood (Agag & El-Masry, 2017).

Trust in broadcasters: The broadcaster serves as an opinion leader in the live streaming chat room,
and their positive reputation can influence clients' purchasing decisions (Lin & Nuangjamnong, 2022).

Trust in community members: The concept of trust among community members pertains to the
peaceful environment inside the live broadcast community, where participants are willing to discuss
specific product issues and share knowledge and experiences (Lin & Nuangjamnong, 2022).

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Product trust: It is enhanced via live e-commerce, which lowers the possibility of consumer returns
and exchanges by offering visual product data and facilitating real-time communication (Lin &
Nuangjamnong, 2022).

Overall, according to this study, users' confidence in TikTok livestream buying goes beyond a basic
belief in the items, community members, and broadcasters. It is described as the user catching the
infectious energy and compassion of the live platform staff, which in turn creates a sense of
community among the users.

2.1.3 Customer Engagement

In this research, customer engagement refers to the active participation and interaction of viewers
during TikTok livestream shopping sessions. It is a crucial factor in influencing purchase intention
during TikTok livestream shopping.

2.1.4 Limited time offers

Limited-Time Offer (LTO) refers to a specific marketing strategy employed in the live shopping
domain. It involves offering exclusive deals or discounts on products during live shopping sessions,
often with a limited time frame. This strategy aims to capitalize on the sense of urgency and fear of
missing out (FOMO) that arises from the temporary nature of these offers (Song, Liu and Shi, 2022)

Overall, Limited-time offers (LTOs) in the context of TikTok livestream shopping offers involve
presenting exclusive deals or discounts on products during live, with a clearly defined time limit. LTOs
can take various forms within TikTok livestreams, including: Flash sales, Limited-quantity deals,
Tiered discounts, etc. By emphasizing the temporary nature of the offers, LTOs encourage users to
make purchase intention while the deals are available.

2.1.5 Purchase Intention

According to Wells et al. (2011), buy intention is the "psychological stage" of the decision-making
process in which the customer plans or initiates the purchase of the product (Rebelo, 2017). Purchase
intention, as defined by Hassanein & Head (2007), is the first inclination of customers to make
purchases from online sellers in the e-commerce space. When purchasing via live streaming, viewers'
desire to buy may increase if the video material is entertaining (Huang et al., 2022). Since purchase
intention is an excellent predictor of actual action, it may be seen as a representation of consumer
behavior outcomes (Venkatesh & Davis, 2000). Another factor that the customer takes into
consideration before purchasing a product is their purchase intention, which is their decision to

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purchase goods or services (Younus et al., 2015). Consumer cognitive behavior is also seen as a buy
intention when it uses the phrases "I must do," "I will do," and "I will do" to convey a personal purpose
to acquire a certain brand (Kian et al., 2017). The behavioral intention is seen to be a particular action
that a person may subjectively carry out, whereas the intention is thought to be the primary factor that
influences a person's behavior (Davis, 1989). As per Kim and Ko (2012), the intention to buy may be
characterized as a combination of the customers' financial capabilities and their desired aims. The
study also clarified how purchase intention, which is strongly correlated with consumers' attitudes
and proclivities toward brands or items, might forecast consumers' future behavior (Kim & Ko, 2012).

In this research, purchase intention refers to the increased likelihood of a user on TikTok livestream
shopping to make a future purchase of the presented products, influenced by factors like influencer
credibility and customer trust, customer engagement, Limited time offers within the livestream
environment.

2.2 Review of literature pertaining to the problem

2.2.1 Influencers Credibility

In a study by Joana Nascimento (2019), the author focuses on digital influencers and how their
credibility affects consumers' inclination to purchase. The research, which utilized both exploratory
and quantitative methods, collected 1,924 valid responses through a survey. The findings revealed
that for products with low involvement, influencer expertise, trustworthiness, and attractiveness
significantly influence purchase intention. Enhancing influencer credibility can further bolster this
intention. However, for high-involvement products, only trustworthiness and attractiveness impact
purchase intention, with no significant effect from enhancing influencer credibility.

Overall, the study underscores the importance of influencer credibility in consumer decision-making.
Regardless of the product category, consumers tend to be swayed by credible sources' opinions and
viewpoints. While influencer expertise plays a role in persuasion, it's insufficient on its own to sway
purchasing decisions. The research concludes that credibility outweighs expertise in influencing
consumers' choices. Moreover, the attractiveness of influencers also plays a role in shaping purchase
intention, as revealed by the study's results.

2.2.2 Customer Trust

Development of the initial theoretical research framework to explore the relationship between
customer trust and customer engagement, along with the mediating role of swift relationships (Guo
et al., 2021) . Live streaming e-commerce divides customer trust into 3 different types including trust
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in broadcast, trust in community members, trust in product to consider the positive impact
relationship (Guo et al., 2021). In complex social and technical environments, trust can reduce
uncertainty or risk associated with systems. Customers who watch the live broadcast will be able to
make more educated purchasing decisions because they will gain a deeper understanding of the
presenter through their words, gestures, facial emotions, and distinctive product presentations from
multiple angles. (Wongkitrung & Assurant, 2020). The existing literature has examined various factors
that influence purchase intentions in the context of social commerce, including social factors such as
community, social support, and relationship quality (Liu & Guo, 2017). Consumers tend to ask for
advice from community members. Research has shown that customer trust has a positive influence
on customer relationships and engagement, and that connectivity has a beneficial mediating effect on
the relationship between customer trust and promotional factors and customer engagement.

2.2.3 Customer Engagement

Based on the research by Qianyu and Chompu (2022), this study aims to explore the role of
influencers and customer engagement on purchase intention in TikTok live streaming shopping, using
their framework. Four hundred online questionnaires were gathered in total. The findings show that
users often bookmark their preferred rooms or streams on TikTok and frequently tell friends about
their favorite live-streamed shopping experiences. The author made the decision to incorporate into
the model research the connection between customer involvement and trust.

This significantly enhances customer engagement, and such engagement during live streaming
positively impacts purchase intention.

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 2.2.4 Limited time offers:

Bhisana et al. (2024) identified the positive impact of Limited Time Offers (LTOs) on the purchase
decisions of GenZ customers on the TikTok app. The sample size for this study comprised 100
individuals. The population members were residents of Manado who have either participated or are
currently participating in shopping through live streaming. Data were collected online using purposive
sampling technique with a questionnaire. The data were analyzed using Structural Equation Modeling
(SEM) method using AMOS 24 software.

The results indicate that time-limited offers, such as discounts, gifts, discount vouchers, and flash
sales, can attract consumer attention, stimulate interest, and promote purchase intention. Further
research, Refasa et al. (2023) suggested that LTOs evoke positive emotions. This is because
consumers experience positive emotions that make it difficult for them to resist when they encounter
discounted prices. This urgency, coupled with the perception of a bargain, may influence consumers
to make purchasing decisions they might not otherwise make. Strong emphasis on free gifts, as
indicated by high scores, extends its influence to other aspects of purchase intention. This aligns with
previous research on Livestream selling stimulus, where price discounts lead to positive emotions in
consumers during shopping. The more frequent price discounts, the happier consumers feel.
Discounts are a price-based sales promotion strategy where customers are offered the same product
at a lower price. Previous research has stated that price discounts affect positive emotions. Based on
previous research articles, Limited time offer has been applied to test purchasing intentions,
especially in GenZ. From there, we decided to include Limited Time offers in the model study.

2.3 Hypothesis development

2.3.1 Influencers’ credibility

In the realm of social media, influencers wield considerable influence over their followers, as noted by
Council (2018) & Henry (2020). This influence translates into active emulation of their behaviors and
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endorsement of the products they promote online, as highlighted by Balaban and Mustățea (2019).
Particularly in the domain of live streaming, influencers typically boast larger fan bases compared to
traditional broadcasters. When consumers perceive an influencer as credible, their intent to purchase
from the influencer's endorsed products tends to increase, as found by Silvera and Austad (2004).
Credibility, in this context, encompasses attributes such as expertise, trustworthiness, and
attractiveness, as elucidated by Erdogan (1999, p. 299). Attractiveness, as Erdogan notes, extends
beyond physical appearance to encompass various admirable qualities that consumers associate
with a celebrity endorser. Consequently, an influencer perceived as highly attractive is more likely to
influence their followers' purchasing intentions, as suggested by Van der Waldt et al. (2009).

Based on these insights, the current study puts forward the following hypothesis:

Hypothesis 1a (H1a): The credibility of influencers' attractiveness has a positive effect on purchase
intention toward live-streaming shopping in TikTok in Vietnam.

Trustworthiness is measured by Van der Waldt et al. (2009) as the degree of likeability the endorser
has among consumers and is defined as the level of honesty, integrity, and believability that the
endorser possesses. According to Ohanian (1990), the most important variable in assessing
trustworthiness is likability. In other words, customers tend to trust people they like or feel more
favorably towards. The concept of trustworthiness is linked to the perceived honesty and credibility of
the speaker, while goodwill reflects the speaker's perceived care and concern for their audience
(Sokolova and Kefi, 2020). AlFarraj et al. (2021) investigated the impact of trust between customers
and influencers, revealing a positive influence on the long-term relationship between followers and
brands. This suggests that when customers trust the influencers, they tend to have a more long-
lasting affiliation with the brands that these influencers represent. Based on the foregoing analysis,
the following hypothesis is put forth:

Hypothesis 1b (H1b): Influencers’ credibility in trustworthiness have a positive effect on purchase

intention toward live-streaming shopping in TikTok in Vietnam.

According to Andersen and Clevenger (1963), individuals who demonstrate expertise and specialized
knowledge related to the information they are conveying will be regarded as more credible by others,
compared to those who do not demonstrate the corresponding expertise. The research findings of
Pornpitakpan (2003) and Thomas and Johnson (2017), the level of expertise demonstrated has been
shown to significantly influence consumers' purchase intentions. Ohanian (1990) suggests that an
individual's expertise as an information source stems from the knowledge, skills, and competencies
they have acquired through their prior experiences and learning. Furthermore, individuals often assert
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their expertise to cultivate a positive impression, enhance their perceived credibility, and potentially
boost their persuasive influence (Willemsen, Neijens & Bronner, 2012). The study by Lisichkova and
Othman (2017) found that consumer purchase intention is positively influenced by influencers who
demonstrate product knowledge through detailed, objective reviews, real-life usage examples, and
consistent patterns of repeated product use. Based on this, the following hypothesis is put forth:

Hypothesis 1c (H1c): Influencers’ credibility in expertise has a positive effect on purchase intention
toward live-streaming shopping in TikTok in Vietnam.

2.3.2 Customer Trust

While online consumption models may differ in terms of the platforms, methods, and target audience
they cater to, at their core, they involve the exchange of products or services, and Jarvenpaa, (2001)
highlights trust as a crucial element in driving consumer purchasing decisions and repeat
transactions. Various research studies have explored the factors influencing customer engagement,
with trust consistently emerging as a significant contributor (Huang & Chang, 2019; Liu et al., 2018;
Laosuraphon & Nuangjamnong, 2022; Soe & Nuangjamnong, 2021).

In the realm of live streaming, broadcasters are recognized as industry experts and are commonly
followed by consumers (Guo et al., 2021). Engaging with a professional broadcaster during a live
stream can greatly impact the enjoyment experienced by online consumers and influence their
actions (Dehouche and Assarut, 2020). Live e-commerce, in contrast to traditional online shopping
models, allows for instant information sharing among all participants involved in the live stream (Hu
and Chaudhry, 2020). Broadcasters help consumers obtain a variety of information by showcasing
products, production processes, and sales in real-time. They cater to consumers' informational needs
when making purchasing decisions by leveraging their own expertise on the products being discussed
(Hu and Chaudhry, 2020). Customer absorbing the broadcaster’s information impacts their
willingness to make purchases and influences their intention (Syvertsen, 2004). Specifically, when a
broadcaster is well-versed in a recommended product, they are better able to communicate their
understanding or experience effectively to the audience, showcasing professionalism. The more
consumers are impacted by the information shared by the broadcaster, the more likely they are to
connect with both the broadcaster and the products being promoted. This connection fosters a desire
to purchase and streamlines decision-making for consumers. The following hypothesis is proposed
based on the foregoing:

Hypothesis 2a (H2a): Trust in broadcasters has a positive effect on Customer Engagement toward
purchase intention in TikTok live-streaming shopping in Vietnam.
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Trust within the TikTok live streaming community is built on the belief that members are supportive
and responsive to each other's inquiries (Lin & Nuangjamnong, 2022). Effective communication plays
a crucial role in fostering this trust among community members (Wood & Fowlie, 2013). The live
streaming room's real-time bullet screen messaging feature acts as a communal hub for interacting
with others (Zhou et al., 2019). Through connecting over shared values, preferences, or opinions
about products, customers can experience a sense of camaraderie that mirrors the feeling of meeting
kindred spirits (Lu et al., 2010). Wu et al. (2010) this shared connection enhances customer loyalty
and encourages repeated visits to live streaming rooms. Hence, the following hypothesis is proposed:

Hypothesis 2b (H2b): Trust in community members has a positive effect on Customer Engagement
toward purchase intention in TikTok live-streaming shopping in Vietnam.

Trust is the cornerstone of business transactions, and consumers make purchase decisions based in
large part on their trust in the merchant and its products. This trust significantly impacts users'
engagement and behavior in online settings (Qing & Jin, 2022). Zhou & Fan, (2021) emphasized that
customer trust in products originates from both their technical belief in product quality and their
institutional reliance on after-sales support. Macdonald et al., (2000) also found that customers’ trust
in a product has a positive impact on purchase intentions. Based on the above analysis, trust in
products positively influences customer purchase intention. Hence, we propose the following
hypothesis:

Hypothesis 2c (H2c): Trust in products has a positive effect on Customer Engagement toward
purchase intention in TikTok live-streaming shopping in Vietnam.

Trust plays a crucial role in fostering customer engagement, as live streamers often incorporate
entertaining elements into their broadcasts to cultivate a welcoming environment and enhance the
appeal of the content, prompting consumers to consider purchasing the showcased products
(Oktaviani et al., 2024, Song et al., 2022). Moreover, according to research by Oktaviani et al. (2024)
the consumer trust felt by consumers when watching live streaming on TikTok platform has an
influence on purchase engagement because high consumer trust will increase customer engagement.
When customers watch live streaming, they carefully assess not only the streamer's conduct but also
how products are presented and experienced. Consequently, this process instills confidence in
customers regarding the product being showcased, ultimately boosting their engagement levels (Wu
& Huang, 2023). Using the data above, the following theory is put forth:

H2: Customer Trust has a positive effect on Customer Engagement toward live-streaming shopping in
TikTok in Vietnam
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 2.3.3 Customer Engagement

Carlson et al. (2019) emphasize that "experiential elements on social media platforms, such as
TikTok, play a vital role in capturing consumer engagement and driving behavioral intentions''.
Customer engagement in TikTok livestream shopping is key to influencing the buying decisions of
consumers. The platform's interactive features, like real-time chats and immersive videos, play a
major role in boosting engagement Dessart, Veloutsou, and Morgan-Thomas (2016) explain that
understanding customer engagement means looking at how people think, feel, and act . On TikTok,
cognitive engagement happens when viewers focus on and pay attention to livestreams. Anderson
and Dill (2000) found that interactive and visually appealing content keeps people interested .
Emotional engagement occurs when influencers share relatable and genuine content, which helps
build a connection and trust with the audience. Lim et al. (2017) note that the emotional reactions
influencers create can influence buying decisions. Behavioral engagement includes activities like
commenting, sharing, and purchasing during live streams, which show a high level of interest and
intent to buy. Schivinski and Dabrowski (2016) state that active participation on social media
improves how consumers view brands and makes them more likely to buy. Therefore, creating
engaging and emotionally appealing content is essential for increasing purchase intentions among
consumers on TikTok.

H3: Customer Engagement has a positive effect on Purchase Intention toward live-streaming shopping
in TikTok in Vietnam

2.3.4 Limited time offers

In recent years, online shopping through livestreams has become a significant trend in e-commerce,
particularly on platforms like TikTok. This trend is especially popular in Vietnam, where social media
usage is very high, and consumer behavior is rapidly shifting towards online shopping. Among the
marketing strategies used to enhance consumer engagement and drive sales, Limited-Time Offers
(LTOs) have proven to be particularly effective. LTOs create a sense of urgency that can significantly
increase purchase intentions

To develop our hypothesis, we draw on Prospect Theory:

This theory suggests that consumers evaluate potential gains and losses relative to a reference point,
and the pain of loss is more sensitive than the joy of gain. According to Kahneman and Tversky
(1979), this phenomenon is known as loss aversion, where losses generally loom larger than gains.
Their Prospect Theory indicates that individuals are more impacted by potential losses than by

9
equivalent gains, making them more risk-averse. Additionally, subsequent research by Thaler (1985)
supports these findings, highlighting that the negative emotional impact of losing is often more
intense than the positive feeling associated with gaining.

Hypothesis 4a (H4a): The presence of limited-time offers positively affects the perceived value of
products in live-streaming shopping on TikTok.

In the framework of Prospect Theory, the reference point is a critical concept that describes the
baseline against which gains and losses are evaluated. Typically, this reference point is the status
quo or the expected outcome, such as the regular price of a product (Kahneman & Tversky, 1979).
Outcomes that are better than the reference point are considered gains, whereas those that are worse
than the reference point are considered losses. In live-streaming shopping, the regular price of an
item can be considered the reference point. Consumers have an established expectation of what a
product should cost based on its regular price. When a Limited-Time Offer (LTO) is presented, the
discounted price serves as a new, favorable comparison point, making the discounted price more
attractive compared to the reference point (Grewal et al., 1998). The concept of the reference point is
pivotal in understanding the effectiveness of LTOs in live-streaming shopping on TikTok. By
establishing the regular price as the reference point and offering a significant discount, LTOs create a
perceived gain that motivates consumers to make immediate purchase decisions. This behavior is
strongly supported by the principles of Prospect Theory, which highlight the impact of deviations from
the reference point on purchase intention

Hypothesis 4b (H4b): Loss aversion on limited-time offers positively influences purchase intention
during live-streaming shopping on TikTok.

Loss aversion is a key concept in Prospect Theory, suggesting that people experience losses more
intensely than equivalent gains (Kahneman & Tversky, 1979). In the context of Limited-Time Offers
(LTOs), this principle explains why consumers might feel a strong motivation to make a purchase
when faced with a potential loss, such as missing out on a discount. LTOs capitalize on loss aversion
by creating a fear of missing out. Consumers fear the regret of missing a good deal more than they
value the pleasure of obtaining it (Grewal et al., 1998). In a TikTok live stream, a limited-time discount
or a flash sale that lasts only a few minutes can create a strong sense of urgency, pushing consumers
to make quick purchase decisions to avoid missing the opportunity. The principle of loss aversion
from Prospect Theory explains why limited-time offers are particularly effective in driving purchase
intentions. By creating a perceived potential loss, LTOs leverage the psychological impact of loss
aversion, encouraging consumers to act quickly to avoid missing out on attractive deals. This

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understanding can help marketers in Vietnam and beyond to design more effective promotional
strategies in live-streaming shopping contexts on platforms like TikTok.

LTOs can be viewed as a way to leverage the principle of loss aversion. When a promotion lasts only
for a short period, customers feel that they will "lose" the opportunity if they do not act immediately.
This sense of urgency makes customers more likely to make quick purchase decisions due to the fear
of missing out on potential benefits. According to Inman, Peter, and Raghubir (1997), such time
constraints heighten consumers' perceived value of the deal, thereby increasing their propensity to
purchase. Additionally, research by Suri, Monroe, and Koc (2003) supports that limited-time offers
enhance the urgency and speed of consumer decision-making by emphasizing the potential loss of a
favorable deal.Using the data above, the following theory is put forth:

H4: Limited time offers have a positive effect on purchase intention toward live-streaming shopping in
TikTok in Vietnam

2.3.5 Influencers’ credibility, Customer Trust, Limited time offers

In light of the preceding hypotheses and theoretical foundations, the following hypothesis is proposed
to encapsulate the effects of influencers’ credibility, customer trust, customer engagement, and
limited-time offers on purchase intention of customer. This hypothesis integrates the multifaceted
dimensions of influencer marketing, consumer trust dynamics, customer engagement, and
promotional strategies, suggesting that these elements collectively enhance consumers' likelihood to
engage in purchases during TikTok live-streaming sessions. The credibility of influencers
(encompassing expertise, trustworthiness, and attractiveness), coupled with the trust consumers
place in both influencers and products, the active engagement of customers during live streams, and
the urgency created by limited-time offers, synergistically drive higher purchase intentions among
Vietnamese consumers. The following hypothesis is proposed based on the foregoing:

H5: Influencers’ credibility, customer trust and limited-time offer simultaneously effect on purchase
intention toward live-streaming shopping in TikTok in Vietnam

2.4 Propose research model

The authors have developed a proposed positive model based on the aforementioned research
papers to examine the effect on purchase intention toward live-streaming shopping in TikTok in
Vietnam. Specifically, the authors chose six independent elements: Purchase Intention is the
dependent component, while the independent factors are Influencers’ Credibility, Limited-Time offers,
Customer Trust. The framework (research model) of this study is illustrated below:
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 H5

Influencers’
Credibility
attractiven
H1

Customer Trust
trust in H2 Customer H3
broadcast Purchase
Engagement
trust in

H4
Limited-Time

Proposed research model

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