Relationship between Social Media Advertising and Consumer Purchase Intentions in the Saudi Arabian E-Commerce Sector: The Moderating Role of Consumer Trust

Abstract

Introduction: The current study was aimed to examine the relationship between Social Media Advertising (SMA) and Consumer Purchase Intentions (CPI) through direct relationships and examine how consumer trust in brands moderates the relationship amid SMA and CPI. Methodology: This study followed a quantitative research design in which data was collected through by applying a primary method in which structured close-ended survey questionnaire was used and items were measured on 5-point Likert scale. The sample size of the study was 380 respondents, who were primarily consumers in the e-commerce industry.  Data analysis was performed using Pearson’s correlation and Preacher and Hayes process model. Results: The findings demonstrated that SMA was positively and significantly related to CPI (β = 0.620, p < 0.001), implying that the greater the advertising performed through social media platforms, the greater the intention of consumers to purchase in the setting of e-commerce in Saudi Arabia. In addition, the interaction between SMA and consumer trust (SMA x CT) was statistically significant (β = 0.135, p = 0.030) which shows that consumer trust moderates the association between SMA and CPI. Conclusion: These results revealed that social media advertising has a high level of relationship with consumer’s intentions to purchase, within the Saudi e-commerce sector, and this is strengthened when consumer trust is high. Therefore, the process of advertising must be supplemented with clear trust-building solutions to maximise the outcome of campaigns run on social media and maintain a competitive position.