Peer Dynamics in Digital Marketing: How Product Type Shapes the Path to Purchase Among Gen Z Consumers

Dimitrios Theocharis ()
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Dimitrios Theocharis: Department of Organisation Management, Marketing and Tourism, International Hellenic University, Sindos, P.O. Box 141, 57400 Thessaloniki, Greece

Businesses, 2025, vol. 5, issue 3, 1-26

Abstract: This study addresses the growing importance of peer influence in digital marketing by examining how various forms of social interaction affect Generation Z’s purchase intentions, particularly in relation to newly launched technological products. As digital natives, Gen Z consumers navigate purchasing decisions within complex online environments shaped by social networks, peer dynamics, and evolving product categories. Understanding how these elements interact offers valuable insights for both marketers and consumer researchers seeking to engage this influential demographic. Grounded in Social Capital Theory and Relationship Marketing Theory, the study investigates five key social influence factors—social capital bonding, social capital bridging, electronic word of mouth (e-WOM), perceived social pressure, and friend-of-a-friend effects. A quantitative, cross-sectional design was applied, with data gathered from 302 Gen Z participants through printed questionnaires. The analysis showed that all variables were significantly related to purchase intention, with bonding social capital and indirect peer influence emerging as the most impactful. E-WOM demonstrated a moderate effect, while perceived social pressure had a weaker influence and bridging social capital was not a significant predictor. The results also revealed that product type influences the strength of these relationships, with peer influence being strongest for low-involvement products and weakest for luxury items. These findings suggest that both social context and product characteristics should be carefully considered in the design of effective digital marketing strategies.

Keywords: digital marketing; consumer behavior; social environment; social capital; Gen Z (search for similar items in EconPapers)
JEL-codes: A1 D0 D4 D6 D7 D8 D9 E0 E2 E3 E4 E5 E6 E7 F0 F2 F3 F4 F5 F6 G0 G1 G2 H0 J0 K2 L0 L1 L2 M0 M1 M2 M3 M4 M5 N0 N1 N2 O0 O1 P0 (search for similar items in EconPapers)
Date: 2025
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