The impulsiveness of gen Z buyers in Tiktok live: a study of the competitive arousal model.

Chu, Isabel Xin Lyn (2023) The impulsiveness of gen Z buyers in Tiktok live: a study of the competitive arousal model. Final Year Project, UTAR.

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Abstract

In recent years, live shopping has changed consumers' way of shopping and this trend has absolutely no indication of slowing down. Due to the characteristics of live-streaming shopping, impulsive buying action is obvious when consumers join the sessions. Additionally, according to statistics, Gen Z has performed the most impulse buying. However, studies focusing on Gen Z in such area were minimal. Therefore, the decision of performing impulsive buying among Gen Z is essential for sellers' business growth. The major objective of this paper is to examine the reasons that lead to impulsive buying of Gen Z customers during live stream shopping. This study focuses on sales made during TikTok Live. Four factors were identified through the literature review identified as independent variables, namely, Limited-Quantity Scarcity (LQS), Limited-Time Scarcity (LTS), Visuality (VSL) and Entertainment (ENT) which influence the dependent variable, Impulsive Buying Behaviour (IBB) while their relationship is mediated by Arousal (ARO). This study employs PLS-SEM to analyse the relationship between the variables to assists in making conclusion of the results. From the 430 samples used in this study, it was found that LQS, VSL and ENT have a significant relationship in influencing IBB with full mediation from ARO, while there is no relationship and mediation between LTS, ARO and IBB. The result of this study can be applicable when sellers, especially live-stream sellers are developing a customised strategy that can eventually enhance both sales and profitability. Moreover, the study enables firms to leverage consumer behaviour to gain a strategic edge in the ever-changing environment of the digital world.

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