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Telematics and Informatics 34 (2017) 145–156

Contents lists available at ScienceDirect

Telematics and Informatics


journal homepage: www.elsevier.com/locate/tele

Mobile application driven consumer engagement


Asta Tarute a, Shahrokh Nikou b,⇑, Rimantas Gatautis a
a
Kaunas University of Technology, Lithuania
b
Åbo Akademi University, Turku, Finland

a r t i c l e i n f o a b s t r a c t

Article history: The growing popularity of mobile technologies and applications, lead many companies to
Received 15 December 2016 develop relations with consumers through mobile applications. Therefore, it is important
Received in revised form 11 January 2017 to understand how to design applications based on consumer preferences. This research
Accepted 14 January 2017
seeks to understand which features of mobile applications stimulate consumer engage-
Available online 20 January 2017
ment and lead to continuous use of mobile applications. This study used an online ques-
tionnaire to collect data from 246 respondents. The data was analyzed making use of
Keywords:
Structural Equations Modeling (SEM). The results indicate that perception of such features
Consumer engagement
Mobile application
as design solutions and information quality will result in higher engagement leading to
Consumer behavior continuous usage of mobile applications. Moreover, consumer engagement positively
Intention to use influenced users’ intention to continuous usage of mobile applications. Inconsistent with
expectation, consumer interaction and functionality features are not found to be positively
related to consumer engagement with mobile applications.
Ó 2017 Elsevier Ltd. All rights reserved.

1. Introduction

The extensive use of smart mobile devices and mobile applications provides new opportunities for companies. The modern
consumer is often referred as to be social, local, and mobile (Marsden and Chaney, 2013). The convergence of user’s locality,
mobility, and sociability aspects require a deeper understanding of consumer behavior. These changes of consumer behavior
impose new challenges to companies seeking to influence consumer behavior by making use of mobile technologies. There-
fore, in response to these changes, companies are met with questions, as for how to make better use of mobile devices to
engage consumers. The phenomenon of consumer engagement has raised significant interest both in academia (Avnet and
Higgins, 2006; Higgins and Scholer, 2009; Brodie et al., 2011; Hollebeek, 2011a,b; Vivek et al., 2012; Zakir, 2013; Dessart
et al., 2015) and also in business sectors. Renowned research and advertisement agencies such as Nielsen Media Research,
Gallup Group, American Association of Advertising Agencies expressed their interest in consumer engagement for the last
twenty years. Moreover, consumer engagement is considered to be one of the primary marketing research areas according
to Marketing Science Institute (2014). However, there is little consensus in scientific literature regarding antecedents and
consequences of consumer engagement in a traditional physical context (Vivek et al., 2012; Gummerus et al., 2012;
Hollebeek and Chen, 2014), let alone in a context that is virtual and, or mobile (Wirtz et al., 2013; Kim et al., 2013).
Literature informs us that consumer engagement is dynamic and complex multidimensional concept. For instance,
Bowden (2009) defines it as psychological process that leads to the formation of loyalty and Patterson et al. (2006) define
it as psychological state that is characterized by a degree of vigor, dedication, absorption and interaction. van Doorn et al.

⇑ Corresponding author at: Faculty of Social Sciences, Business and Economics, Åbo Akademi University, Finland.
E-mail addresses: asta.tarute@ktu.lt (A. Tarute), snikou@abo.fi (S. Nikou), rimantas.gatautis@ktu.lt (R. Gatautis).

http://dx.doi.org/10.1016/j.tele.2017.01.006
0736-5853/Ó 2017 Elsevier Ltd. All rights reserved.
146 A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156

(2010) postulate the consumer engagement as ‘‘the behavioral manifestation from a consumer toward a brand or a firm which
goes beyond purchase behavior (p. 254)”. In this research, we borrow the definition provided by Vivek et al. (2012) and state
that consumer engagement is the intensity of an individual’s participation in and connection with an organization’s offerings
and activities, which either of the parties initiate. We further argue that consumer engagement is composed of cognitive,
emotional, behavioral, and social elements.
The ability to engage consumers is necessary to capture and retain market share in a highly competitive market, specif-
ically in the mobile applications market. The number of mobile applications is rapidly increasing, but the margins per sales
are very low (Lim et al., 2015; Dovaliene et al., 2015). A plausible explanation for this observed phenomenon is that con-
sumers are overwhelmed with increasing numbers of mobile applications every day. Deciding which application to adopt
and to use is a challenging task. According to Gartner (2014, 2016), mobile devices continue to proliferate, and companies
need to develop applications complying with the needs of mobile consumer in their ever changing contexts and environ-
ments. Considering this, companies, their marketers, designers and business developers, are obliged to carefully rethink
opportunities for application development and strategies. The literature (c.f. Hoehle and Venkatesh, 2015; Deloitte, 2012)
shows the research results of number of mobile applications and the actual scale of use. Interestingly, in 2010–2011, only
1% of all available mobile applications is downloaded for over a million times, and every fourth of the downloaded applica-
tions are not used more than once. A total of 80% of all mobile applications are downloaded for less than 1000 times
(Deloitte, 2012; Dredge 2011). Moreover, recent statistical data shows similar tendencies, 25% of installed mobile applica-
tions are never used and 26% of installed mobile applications are abandoned after the first use (Google/Ipsos, 2015). These
numbers suggest a lack of familiarity and a weak consumer engagement with applications.
From an academic research perspective, there is a lack of research focusing on the relations and causality between mobile
applications, consumer engagement and their potential consequences for continuous usage of the applications. Even though
several studies related to mobile technologies and consumer engagement exist (Bellman et al., 2011; Kim et al., 2013), prior
research results are fragmented and inconclusive. For example, Bellman et al. (2011) only determine whether using mobile
applications affects brand attitude and brand purchase intention and do not explicitly investigate the relationship between
mobile applications and consumer engagement. Moreover, there is a significant knowledge gap discussing the relation
between specific features and usage of mobile applications in understanding the specific role of consumer engagement.
Despite growing interest from academic research, consumer engagement in a mobile environment specifically with regard
to mobile applications is, to the best of our knowledge, not explored. This paper addresses this limitation and fills this gap in
part by theoretically conceptualizing and empirically validating the model to measure consumer engagement in relation to
specific features and continuous usage of mobile applications. We aim to identify features of mobile application that are sig-
nificant for consumer engagement and may lead to repetitive usage of mobile applications.
This paper is organized as follows. Section two provides an overview of existing consumer engagement literature, fol-
lowed by discussions on consumers’ motivation to engage with and via mobile applications and the features of such appli-
cations that potentially impact mobile consumer engagement. Next, the importance and nature of features of mobile
applications to consumer engagement are discussed. Section three provides the research methodology, followed by the sec-
tion in which results are presented. Section five provides the discussion of the findings and section six concludes the paper
with the theoretical and practical contributions, limitations, and suggestions for future research.

2. Literature review and hypotheses development

2.1. The concept of consumer engagement

Consumer engagement has been extensively studied in a number of disciplines, such as consumer and brand engagement
since the beginning of the 21st century (Brodie et al., 2011; Hollebeek, 2011b; Flynn, 2012). Interest in this phenomenon is
highly related to social, economical and technological changes in the market that consequently cause changes in consumer
behavior. Even though semantically the term ‘‘engagement” is related to the act or a behavioral expression, expanded
research in different fields of social sciences (e.g. psychology, educational psychology, organisational Behavior, sociology,
etc.) led to different interpretations of the phenomenon (Brodie et al., 2011; Hollebeek, 2011a,b; Zakir, 2013). In this
research, we focus on consumer behavioral studies. The necessity to understand how to build and maintain long-term rela-
tionships with consumers in the retail market caused an increased attention to the conceptualization of consumer engage-
ment. According to Cheung et al. (2011), three approaches to engagement exist:

 Consumer engagement as behavioral manifestation from a customer toward an engagement object (brand or firm) which
goes beyond purchase behavior;
 Consumer engagement as a psychological process that leads to the formation of loyalty;
 Consumer engagement as a psychological state of mind that is characterized by a degree of vigor, dedication, absorption
and interaction.

The origin and evolution of each interpretation are closely related to the development of consumer engagement research.
The analysis of literature in this domain reveals four prioritized consumer engagement research areas, i.e. behavioral aspects,
A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156 147

uni- and multi-dimensionality of the concept, and the role of mobile and social media in relation to consumer engagement
communities. According to Javornik and Mandelli (2013) primarily, behavioral aspects of consumer engagement were stud-
ied and only later on other dimensions of consumer engagement received extensive attention. The earlier studies of con-
sumer engagement actively discussed the unidimensional point of view to engagement, while more recent research
assumes that engagement is characterized by multiple dimensions. Although researchers who are referring to a one-
dimensional approach also agreed on the existence of more than one dimension. However, other dimensions were not con-
sidered to be equally important. Some authors, Hollebeek (2011a,b), Guthrie and Cox (2001) suggested the importance of
cognitive dimension, Catteeuw et al. (2007) emphasized the importance of the emotional dimension and Pomerantz
(2006) considers the behavioral dimension to be the most important.
The multidimensional approach supports the idea that consumer engagement is a multidimensional concept. It is
important to note that cognitive, emotional and behavioral dimensions are also most commonly identified a set of
dimensions in scientific literature related to consumer engagement studies (Hollebeek, 2011a,b; Hollebeek et al., 2014).
The multidimensional perspective suggests combining different dimensions for the best representation and of the consumer
engagement construct. Gatautis et al. (2016) identified the three most commonly dimensions that can be described in the
following way:

 Cognitive engagement dimension refers to the consumer’s level of engagement object related through processing, con-
centration and interest in specific object (business enterprise, brand, online social network, brand community). For exam-
ple, in the brand engagement context cognitive engagement refers to consumer concentration or interest regarding
specific brand.
 Emotional engagement dimension refers to a state of emotional activity also known as the feeling of inspiration or pride
related to and caused by engagement object. For example, in the brand engagement context emotional engagement refers
to consumer association, dedication or commitment regarding specific brand.
 Behavioral dimension refers to a state of consumer behavior related to engagement object and understood as endeavor
and energy given for interaction. For example, in the brand engagement context behavioral engagement refers to con-
sumer intention to take action towards specific brand or obtain/purchase specific brand.

Some authors (Vivek et al., 2012; Mollen and Wilson, 2010; Kozinets, 2014) suggest additional social dimension of con-
sumer engagement. Social engagement appears when ‘‘consumer begins to simultaneously interact with the brand and with
other people” (Kozinets, 2014). The social engagement in particular is important in digital environment due to new oppor-
tunities brought by social and mobile technologies. Moreover, according to Javornik and Mandelli (2013) a multidimensional
approach also aims to bridge consumer and company perspectives through the co-creation concept and its reference to
active consumer participation. Co-creation is one of the most extensively studied areas of consumer engagement (Verhoef
et al., 2010; Dessart et al., 2015).
More recent research areas are related to social and psychological aspects of consumer engagement, considering con-
sumers role in community and engagement in consumer-to-consumer communication. The development of information
and communication technologies has created new opportunities for consumer engagement, for instance in virtual environ-
ment (Barker et al., 2015; O’Brien and Toms, 2008; Reitz, 2012). Consumer engagement has also been studied in the context
of online brand communities (Algesheimer et al., 2005; Brodie et al., 2013; Chan et al., 2014), and social media platforms
(Cheung et al., 2011; Di Gangi and Wasko, 2009). Therefore, consumer engagement in virtual and mobile environment, social
networks, communities and consumer-to-consumer environment are researched from a psychological (Calder et al., 2009) as
well as a social (Gambetti et al., 2012; Fliess et al., 2012; Gummerus et al., 2012) research perspectives.

2.2. The role of mobile applications in consumer engagement

Consumer engagement in the mobile environment occurs when mobile device users interact with mobile devices to meet
their needs (O’Brien and Toms, 2008). It should be noted that engagement in the mobile environment is motivated and cat-
egorized accordingly to different aims and activities of the consumer (Kim et al., 2013). Based on these differences, in con-
sumer behavior studies two distinct approaches explaining the purchase itself and purchasing behaviors were identified.
While, the representatives of the former approach argue that a consumer is encouraged to purchase and engage in the activ-
ities of the company only based on personal factors and characteristics, the later approach claims that there are more uni-
versal, hedonic, and utilitarian reasons for purchase and purchasing behavior (Guido, 2006). Hedonic consumption aspect
usually occurs through joy, excitement and new experiences that are evoked during the processes of buying or using the ser-
vices. According to Bridges and Florsheim (2008), utilitarian aspect occurs through received convenience, accessibility, and
availability of information. Both the utilitarian and the hedonic aspects are characterized by goal seeking -the hedonic aim is
associated with the various forms of excitement, for instance, joy or entertainment stimulation. The utilitarian aim is related
to a particular execution of a task.
Consumer’s motivation to engage with the mobile device and mobile application is based on lifestyle decisions,
timetable or organization of meetings, collecting information when travelling, playing games, giving priority to activities
or tasks, functionality or goals (utilitarian aspects) or on the need to have a good time (hedonic aspects) (Bridges and
Florsheim, 2008; Kim et al., 2013; Hamka et al., 2014). It is the utilitarian aspect that is closely associated with the
148 A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156

effective and productive usage of the Information Systems. These motives reflect the users’ beliefs that engagement
within the mobile environment helps to satisfy their needs and encourage a continued usage of mobile devices, such
as smartphones and tablets.
Academic literature predominantly contents that consumer’s motivation in a mobile environment follow the same rea-
soning, expectations, and behavior as in the virtual environment (Magrath and McCormick, 2013a,b). Traditionally, the vir-
tual environment is described as a set of visible and audible stimuli. However, it should be noted that the mobile
environment is characterized by substantial differences and unique characteristics compared to the virtual online environ-
ment, e.g. the possibility of identifying the location, also known as ‘‘geolocation” (Zhao and Balagué, 2015), and obtaining the
relevant information based on the user’s location or where abouts. In the mobile environment, consumers are offered the
possibility to carry out various actions: scan QR codes, take pictures, create and share self-generated content. Mobility also
allows businesses to gather detailed information about their consumers and use such information in making business and
marketing decisions (Chen et al., 2012).
Recent studies show that poor usability of applications within the context of mobility is the most important factor in
deciding to reject, not to use or to delete a mobile application (Deloitte, 2012; Eshet and Bouwman, 2015; Forrester
Research, 2011). Poor usability could be decisive in selecting several different reasons, including inappropriate features of
mobile applications. Attention should be drawn to the fact that website and mobile application environments have signif-
icant differences. Mobile applications have unique functions which are determined and dependent on the technical proper-
ties of smart devices, such as the screen size, storage space, layout of screens, icons used, and relevance of functions given the
mobile context (Islam and Bouwman, 2015).
Zhao and Balagué (2015) and Eshet and Bouwman (2015) emphasize that the specificity of the mobile environment
enables users to gain a different experience when browsing the ‘‘mobile environment”. A different browsing experience
for users is created through the stimulation of a variety of visual and audio senses via a mobile application. Features of appli-
cation typically refer to use of different multimedia aspects such as animation, graphics, icons. Despite the wide use of
mobile applications, there is a variety of studies proposing different taxonomies of the features of mobile applications.
One of the most extensive classifications is suggested by Zhao and Balagué (2015). This taxonomy refers to three types of
mobile applications’ features related to social, functional and brand related issues. It must be noted that this taxonomy is
not considered to be conclusive. Moreover, it does not include other important features of mobile applications, such as qual-
ity of information (Richard and Chebat, 2016).
Based on the previous research with a focus on identification of mobile application features that might have an impact on
consumer behavior, this research addresses the four main features of mobile application that are repetitively mentioned in
previous research: (1) functionality (presented by various functions of a mobile application) (Lee and Benbasat, 2004;
Kennedy-Eden and Gretzel, 2012; Zhao and Balagué, 2015), (2) design solutions (aesthetics) (Lee and Benbasat, 2004;
Vrechopoulos et al., 2009; Kennedy-Eden and Gretzel, 2012), (3) nature of supported interaction (among consumers/with
content) (Lee and Benbasat, 2004; Kennedy-Eden and Gretzel, 2012; Zhao and Balagué, 2015), and (4) perceived quality
of information (quality of content) (Lee and Benbasat, 2004; Vrechopoulos et al., 2009; Kennedy-Eden and Gretzel, 2012;
Adukaite et al., 2013). The main idea for our explicit choice to use these features lies in the fact that incorporation of these
features into mobile application development might increase and foster a high level of consumer engagement. In the follow-
ing subsections, these four features of mobile applications are further elaborated and research hypotheses are postulated
accordingly.

2.2.1. Features of mobile applications: functionality


The functionality feature of a mobile application, defined as ‘‘an action that can be performed by the user” (Adukaite
et al., 2013, p.49), represents consumer’s perception of different functions within a mobile application. Previous studies
have demonstrated that perceived functionality of mobile applications mostly relies, next to basic functions, on for
instance mobile commerce, location awareness, and augmented reality (Lee and Benbasat, 2004; Nickerson et al.,
2009; Nikou et al., 2011b; Magrath and McCormick, 2013a). On specific mobile features, Zhao and Balagué (2015) state
that there are eight mobile features that are used in mobile applications representing the basic functionality – camera,
location awareness, multi-touch gestures, a voice sensor (recognize human voices), augmented reality, and virtual mirror,
mobile video, and mobile payments. The importance of functional feature can be grounded by the results of a study that
shows consumer preferences for the location-based mobile applications allowing consumers to engage in the usage of
mobile application when receiving location-based coupons, discounts or other relevant information (Bhave et al.,
2013). Moreover, functional features can be implemented in the applications based on the purpose of mobile applica-
tions, e.g. mobile payments are used for retail-oriented commerce and multi-touch is applied for game-oriented appli-
cations. So, various functions of mobile applications, such as mobile sensor technologies, location awareness and
augmented reality, although seems to be trivial as these functions are coming as built-up applications in most of latest
smartphones, allow consumers to engage more with their devices and applications. Therefore, we propose the following
hypothesis:

H1. If the functionality of mobile applications, like basic functionalities, commerce, and payment are used in an application
then there will be a positive impact on consumer engagement.
A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156 149

2.2.2. Features of mobile applications: Design solutions


Design (aesthetics) solutions are commonly included in various taxonomies as one of the most important features of
mobile applications that may have an impact on consumers’ behavior and consumer engagement (Lee and Benbasat, 2004;
Vrechopoulos et al., 2009; Kennedy-Eden and Gretzel, 2012). Individual perception of the interface of a mobile application
has an impact on the consumers’ engagement level (Binti Ayob et al., 2009). There are a few common issues related to design
solutions, such as selection of colors, styles, layouts and icons, which help the consumer’s to navigate through a mobile appli-
cation (Kennedy-Eden and Gretzel, 2012; Islam and Bouwman, 2015). These design solutions are not only focussed on to
usability issues of mobile application but to evoke certain emotions as well. Zhang and Adipat (2005) and Eshet and
Bouwman (2015) suggest that usability of mobile applications is related to the specific contexts in which applications are
used, i.e. mobile education, entertainment, mobility, public and private context. Li and Yeh (2010) support this idea by point-
ing to the relationship between visual appeal (design solutions) and ease of use. Therefore, the usability of mobile applications
becomes an important factor considering fulfillment of consumers’ needs and encouraging more intense engagement in the
further usage of mobile applications. Summarizing the above arguments, we propose the following hypothesis:

H2. A positive perception of the usability of mobile applications, as also is explicit by the use of visuals, leads to a positive
impact on consumer engagement.

2.2.3. Features of mobile applications: interaction


Recently, social features, defined as features that enable to increase the sense of intimacy with consumers or allow con-
sumers to communicate and collaborate with their friends, family, colleagues and build relationships (Zhao and Balagué,
2015), have gained more attention among scholars to understand the magnitude of mobile applications usage.
McCormick et al. (2014), argue that the social experience is a critical aspect. Dinner et al. (2015) proposed that mobile appli-
cations should include social features that capture consumers’ attention. Kennedy-Eden and Gretzel (2012) state that social
features of mobile applications include communication, sharing and collaboration. These social features relate to two types
of interactions. The first type of interaction refers to interaction with content of mobile applications. The second type refers
to interaction among consumers making use of the applications or between consumers and providers of the applications.
Magrath and McCormick (2013a) argue the importance of consumer-led interaction, specifically about the ability to cus-
tomize/personalize content to personal needs. The interaction between consumers is related to online chat in a mobile appli-
cation, the ability to follow/unfollow people and invite other consumers from external social networks, and the usage of
avatars, Usually, online chat and avatar are not implemented into mobile applications (Magrath and McCormick, 2013b).
Moreover, the interaction with content is mainly associated with user-generated content (UGC), content personalization
(e.g., tagging), content rating, commenting and sharing. Considering that consumers tend to spend much more time in
mobile applications that enable interaction feature, i.e. mobile applications of social networks (Bhave et al., 2013; Nikou
and Bouwman, 2014), we hypothesize that:

H3. The more social features are included in mobile applications, the stronger the impact on consumer engagement.

2.2.4. Features of mobile applications: Information (content) quality


Timely and relevant information, e.g. information about company’s products/services, are one of the main reasons why
consumers use mobile applications (Kennedy-Eden and Gretzel, 2012; Nikou and Mezei, 2013). The ‘‘quantity” of informa-
tion highly depends on the types of mobile applications, e.g. information–oriented mobile applications provide more infor-
mation than game-oriented mobile applications. Lee and Benbasat (2004), Vrechopoulos et al. (2009) stress the importance
of content quality (what a mobile application delivers to consumer) of a mobile application. Magrath and McCormick (2013a,b)
and Zhao and Balagué (2015) states that information quality also is dependent on the format of information, i. e. text, video,
graphics, and the impact of the information format on consumers’ perception on how well his/her needs are met, as well as
on consumer satisfaction. Therefore, we propose the following hypothesis:

H4. If Information quality of mobile applications are perceived to be high then there is a positive impact on consumer
engagement.

2.2.5. Consequences of mobile consumer engagement, the persistence to continue to use


Continued usage of a mobile application is considered to be a consequence of consumer engagement (Kim et al., 2013).
Often people are disappointed after the first usage and after a first exploration people discontinue usage. However, literature
informs us that specific consequences of consumer engagement are usually based on the examples of consumer behavior in
traditional business environments where the focus is not on mobile and the Internet (Reitz, 2012; Vivek et al., 2012). Accord-
ing to the results of the studies conducted in such a traditional environment, it is assumed that the users who engage into the
usage of mobile applications may be even more emotionally committed to the company and their product/service which is
presented via a mobile application and discontinuance are less likely. Users are then characterized by loyalty and also tend to
recommend the usage of a mobile application to other potential users. Kang et al. (2015) analyzed factors of the intention to
150 A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156

return to products/services and concluded that the emotional engagement is closely related with the intention to use mobile
applications. Accordingly, we hypothesize that:

H5. Increased engagement has a positive impact on consumer continued intention to use mobile applications.
Fig. 1, depicts the proposed conceptual research model which summarizes the hypotheses. The model considers that fea-
tures of mobile applications (i.e., perceived functionality, design solutions, interaction and information quality) are the key
factors affecting consumers’ engagement while consumer engagement affects consumers’ continued intention to use mobile
applications. The figure below presents the hypothesized relations between the constructs.

3. Research methodology

Based on the above discussions, we design an empirical research to understand and evaluate features of mobile applica-
tions that stimulate consumer engagement and lead to a positive consumer behavior to use mobile applications.

3.1. Sample and data collection

The current study used a survey design requiring respondents (active users of mobile applications) to respond to an
online questionnaire during October-November 2015. The survey was pretested on a randomly selected sample of users.
Pretesting approach allowed us to check for the ambiguous expressions and to structure and refine, if needed, the wording
of the items. In order to have a sample presenting active users of mobile applications, we only invited respondents who were
using various mobile applications on a daily basis. This approach enabled us to get a sample of heavy (homogenous) users of
mobile applications. The main purpose for having this type of respondents lies in the fact that we wanted to have a sample
representing a cohort of respondents for whom mobile applications play an important role in their daily routines.

3.2. Developing measurements

The survey consisted of several sections. The first section includes questions aimed to identify potential respondents that
use mobile applications. Only those (i.e. active users) who use mobile applications on a daily basis (other than already built-
in application in mobile device) were asked to proceed with filling in the survey. In addition to demographic questions, the
survey includes statements that were used to examine how important the elements and the features of mobile applications
were for the respondents in general. Several statements were used to examine the level of user engagement with mobile
applications, and also statements aiming at examining the user perceptions towards the importance of mobile applications.
The questions regarding consumer engagement and continued intention to use mobile applications where framed more
specific (see Table 1). Respondents were asked to pick out (and to indicate) one particular mobile application that they
use the most often and have it in mind while answering questions related to consumer engagement and continued intention
to use. This was done in order to connect consumer engagement to a specific object, as required by Hollebeek (2011a). In
total, after explanatory factor analysis, 27 manifested items were used in the final stage of the analysis. Survey questions
were assessed with 5-point Likert-scales, anchoring at ‘‘strongly disagree/strongly agree” or ‘‘very unimportant/very impor-
tant”. All of the manifested items used in this research have provided sufficient evidence of validity in previous studies and
hence, can be used in the current research with a reasonable level of confidence. If needed, minor changes have been made to
the questions to fit into the context of current research. Table 1 presents the constructs, question items used for the path
(measurement) and structural model analysis.

Fig. 1. Proposed Conceptual Model.


A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156 151

Table 1
Question items used in the study.

Construct Items: 5-point Likert scale, ranging from ‘‘strongly disagree/strongly Item Source
agree” and ‘‘very unimportant/very important coding
Functionality Possibility to shop quickly using mobile applications. K216 Zhao and Balagué (2015)
Possibility to do mobile payment via mobile applications. K219
Function enabling various actions via touch-screening (e.g. press, bend, K220
zoom in/out).
Design I can easily find what I need/search because the content of the mobile K423 Ballantine et al. (2010)
application has a convenience interface.
I can easily browse/navigate because the content of the mobile application K419
has a convenience interface.
The visual appeal of a mobile application is important for me. K416
The visual design of a mobile application is important for me. K48
Information quality Mobile applications should be informative. K43 Wu and Wu (2006), Richard and
I can find various information in mobile applications. K420 Chebat (2016)
Mobile applications should be very engaging. K49
Interaction Possibility to follow others’ actions using mobile applications. K215 Zhao and Balagué, 2015
(consumer & Possibility to receive the invitation to join social networks via mobile K218
content) applications.
Using mobile applications, I can tag myself or my friends in K22
photos/comments.
Mobile applications should allow me to upload photos or videos. K23
Using mobile applications, I can share the information with my friends. K24
Possibility to follow others using mobile applications. K29

The next questions were framed in such a way that respondents have to relate their answers to a specific mobile application
Consumer Whenever I have to use mobile applications, I usually use this mobile K311 Hollebeek et al. (2014), So et al.
engagement application. (2014)
I am passionate about this mobile application. K35
I love this mobile application. K36
I am excited when using this mobile application. K37
I am proud of using this mobile application. K38
Continued intention I think that I would use this mobile application in the future. K41 Overby and Lee (2006), Jones et al.
to use I like to use this mobile application. K418 (2006), Ryu et al. (2010)
I tend to leave positive comments about this mobile application. K42
I think this mobile application is the best out of similar ones. K422
I would like to use this mobile application in the future. K45
I would recommend this mobile application for my family and friends. K46

4. Data analysis and results

4.1. Descriptive statistics

A total of 246 responses were collected (fully completed and useable for purposes of the study). The majority of the sub-
jects (61.3%) indicated that the most often used applications are mobile social networking applications (e.g., Facebook Mes-
senger, Instagram, Viber, WhatsApp). Moreover, mobile applications dedicated for navigation (e.g. Trafi, Busas Kaunas, Here
WeGo Maps), e. banking (e.g. Swedbank, DNB bank, SEB bank), studying (e.g. Duolingo, Todoist, MyStudyLife) or health (e.g.
Endomondo Sports tracker, Noom Walk, WaterDrink) purposes can be identified as the most often (in total 14.1%) mentioned
other than mobile social networking applications. The average age of respondents is 25 years. 42.5% of the respondents are
male, and 57.5% of them are female.

4.2. Measurement model

In order to determine the factor structure, we performed exploratory factor analysis (EFA). The explanatory factor analysis
helps to determine what and how much the directly unobservable factors characterizes the observed phenomenon. Since
features of mobile applications (i.e., functionality, design, information quality, interaction), consumer engagement, and con-
sequences of consumer engagement are the latent constructs of the research model, the factor analysis was performed for
each construct. Maximum likelihood extraction method, with Varimax rotation were employed during the factor analysis.
After several iterations of EFA, the final output results in six-factor solutions, depicted in Fig. 1. For testing the adequacy
of the measurement model, the reliability, convergent validity, and discriminant validity were tested. To do so, IBM AMOS
21 and IBM SPSS 21 software were used. The analyses results reveal that the measurement model has a good fit with the data
according to the indices listed in Table 2.
152 A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156

The reliability of the data was also tested according to the Cronbach’s Alpha values. The recommended value for Cronbach
Alpha (a) is 0.70 or higher. In the current research, the Cronbach’s Alpha values exceed the recommended threshold, showing
that the measures have all acceptable reliability towards their respective constructs. Still, the reliability was examined
through the composite reliability test. The results show that all the CR values (ranged from 0.834 to 0.908) are above and
satisfy the recommended value 0.7 (Bagozzi and Edwards, 1998). Table 3 shows the correlation among constructs and the
square root of the AVE.

4.3. Structural model analyses

An adequate measurement enables to test the proposed conceptual model as well as the research formulated hypotheses
and their corresponding relationships. To test the hypotheses and determine the statistical significance of the path coeffi-
cients within the conceptual model, Structural Equation Modeling (SEM) technique was utilized in this research. The fit
of the model is satisfactory, v2 (732.261) = 298 and CMIN/DF = 2.457. The continued intention to use mobile applications
is explained by a variance of 31%, and consumer engagement with mobile applications is explained by the variance of
37%. Fig. 2, shows the path relationships between the constructs in the model, bold lines indicate the significant relationships
and dotted lines show insignificant relationships or unsupported hypotheses. In this research, six different fit statistics such
as, the root mean square error of approximation (RMSEA), the goodness-of-fit index (GFI), the adjusted GFI (AGFI), the
normed fit index (NFI), Tucker-Lewis index (TLI), and the comparative fit index (CFI) were computed. The results show that
the model fit indices satisfy the recommended guidelines and indicate that our proposed research model presents a good fit
with the data (Browne and Cudeck, 1992), see Table 4.

4.4. Hypothesis tests

One of our main objectives in this research is to advance our understanding as to how the consumer engagements with
various types of mobile applications impact their intention to repetitively use mobile applications. Moreover, we are also
interested in gaining new insights into how the perceptions of the various features of mobile services and applications
influence respondents to engage with mobile applications. Therefore, the research model has been assessed to verify the
research formulated hypotheses. Three out of five hypotheses were supported. H1–H4 state that the different features of
mobile applications have a positive impact on consumer engagement and H5 states that consumer engagements with mobile
applications lead to continued intention to use. To find out which features have the most significant impact on consumer
engagement, the SEM analysis reveals the following results (Table 5).

Table 2
Descriptive statistics, convergent validity, internal consistency, and reliability.

Latent construct Items Items loadings Mean Std.dev a CR AVE


Perceived functionality K216 .745 3.57 1.16 0.728 0.842 0.640
K219 .843 3.78 1.17
K220 .809 4.10 1.02
Design K416 .717 3.63 1.05 0.736 0.834 0.558
K419 .756 4.09 0.78
K423 .776 3.91 0.90
K48 .737 3.46 1.09
Information quality K420 .799 3.71 1.03 0.738 0.848 0.650
K43 .841 3.73 1.00
K49 .777 3.47 1.11
Interaction (consumer & content) K215 .789 3.17 1.21 0.832 0.877 0.543
K218 .710 2.89 1.23
K22 .752 3.02 1.22
K23 .723 3.93 1.07
K24 .723 4.11 1.04
K29 .737 3.10 1.19
Consumer engagement K311 .714 3.76 0.99 0.809 0.868 0.569
K35 .791 2.85 1.08
K36 .788 2.56 1.12
K37 .824 3.35 1.03
K38 .737 2.68 1.05
Continued intention to use K41 .792 4.36 0.66 0.878 0.908 0.624
K418 .827 4.03 0.78
K42 .804 4.11 0.77
K422 .756 3.82 1.00
K45 .849 4.13 0.80
K46 .777 4.04 0.81
A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156 153

Table 3
Correlation among constructs and the square root of the AVE.

Latent constructs Engagement Interact Design Function Info-quality Continued intention to use
Engagement 0.755
Interaction 0.324 0.737
Design 0.439 0.321 0.747
Functionality 0.199 0.441 0.304 0.800
Information quality 0.446 0.454 0.522 0.342 0.806
Continued intention to use 0.492 0.203 0.645 0.321 0.507 0.790

Fig. 2. SEM analysis results.

Table 4
Model fit indices.

Model fit indices GFI AGFI CFI NFI TLI RMSEA


Cut-off value >0.90 >0.80 >0.90 >0.80 >0.90 >0.080
Obtained value >0.91 >0.79 >0.89 >0.81 >0.91 >0.047

Table 5
Results of the hypotheses testing.

Hypothesis IV DV b (path coefficient) p-values Results


H1 FUNC CENG .030 .693 Not-supported
H2 DS CENG .376 .000 Supported
H3 INCC CENG .004 .696 Not-supported
H4 INQ CENG .318 .028 Supported
H5 CENG INU .549 .001 Supported

Note: FUNC = Functionality; CENG = Consumer engagement; DS = Design solution; INCC = Interaction with content and consumers; INQ = Information
quality; INU = Intention to use.

Interestingly, features such as the design (b = 0.376, p < 0.000) and information quality of mobile applications (b = 0.318,
p < 0.005) have a positive impact on consumer engagement with mobile applications. Other theoretically identified features
of mobile application do not impact consumer engagement. Therefore, H2 and H4 were supported by the conceptual model
and H1 and H3 were not supported by the proposed model. Moreover, the results show that the consumer engagement has a
positive impact on the respondents’ intention to use mobile applications (b = 0.549, p < 0.000), see Fig. 2.

5. Discussion

This study proposes five hypotheses to understand the relationships between the perception of various features of mobile
applications and consumer engagement, which consequently leads to continuous intention to use mobile applications in the
future. According to the analysis results, three hypotheses were supported and two were not.
In this study consumer engagement is presented mostly by emotional dimension (feelings and emotions directed to the
usage of particular mobile application) due to the fact that scales for the other dimensions failed to meet reliability and valid-
ity standards.
154 A. Tarute et al. / Telematics and Informatics 34 (2017) 145–156

The results demonstrated that functional features (e.g., mobile payment and screen touching) are found to be not posi-
tively related to (emotional) consumer engagement in a mobile application. Past research also suggested significant differ-
ences in the importance of particular features (such as functional or entertainment features of the product) based on the
typology of consumers (Kim et al., 2013; Nikou et al., 2011a). Moreover, these findings could be related to the insights of
Kim and Hwang (2012) stating that mobile applications should be adapted to consumers’ hedonic/utilitarian needs and val-
ues. An alternative explanation can be sought in the fact that most of the functional possibilities are now so engrained in
consumer behavior that they are more or less taken for granted.
These results also could be related to the fact that the majority of respondents indicated that their most often used appli-
cation was mobile social networks. Applications of mobile social networks aim to create a social environment, encourage com-
munication between consumers and provoke pleasant emotions – therefore, such applications are not dedicated to fulfilling
utilitarian needs of consumers. While, most the respondents were seeking for sociability and entertainment using mobile
applications, the results show that they are less likely to perceive functionality features of mobile applications as significant.
Inconsistent with our expectation, interaction features are found to be insignificant and do not positively relate to consumer
engagement with mobile applications, even though many of the respondents claimed they mostly use social networking appli-
cations. These types of mobile applications naturally have some interactive features built-in. The reason for such outcome
might be related to the fact that perception of the importance of various social features is more related to behavioral and/or
cognitive engagement. Past studies (Dessart et al., 2016) have indicated that behavioral engagement encompasses the behav-
ioral manifestations which can take the form of sharing, learning and endorsing behaviors, which are all inherently social.
As expected, consumer engagement positively influenced users’ intention to continuous usage of mobile applications.
These results support previous theoretical insights provided by some authors, such as Kim et al. (2013). Moreover, the per-
ception of such features as design solutions and information quality will result in higher engagement leading to continuous
usage of mobile applications. Likewise, the design and information quality features have a positive impact on consumer
engagement. Past research indicated the importance of these features on consumer’s satisfaction and potentially – engage-
ment (Magrath and McCormick, 2013a,b; Zhao and Balagué, 2015).

6. Conclusions and limitations

As mobile applications, have become a popular marketing tool for many companies, the better understanding as to how
different features of mobile applications impacts consumer engagement and what consequences consumer engagement may
cause are required. In this paper, we have investigated the causal relations among different features of mobile applications
and consumer engagement, and its consequences.
Generalizing the results of quantitative research, conclusions can be made that attention should be given to the design
and navigation solutions of mobile applications. A positive perception of the usability of a mobile application, as also is expli-
cit by the use of visuals, leads to a positive impact on emotional consumer engagement. Moreover, to engage consumers in
the continuous usage of mobile applications, it is also important to make sure that content of a mobile application represents
intended object (e.g., brand or enterprise) and only necessary information is given.
This study is subject to certain limitations, and results should be interpreted with caution. First, we collected data from a
sample which included only those respondents for whom mobile applications play an important role in their daily routines.
Future studies could implement different sampling methods to gather information from respondents that use mobile appli-
cations in various intensities or lead for various reasons. Therefore, the importance of mobile application features could be
tested based on consumer typology (heavy/not heavy users) and the type of mobile application itself providing deeper
insights in this research area.
Next, our research sample was limited to mobile application users in Lithuania. Samples from different cultural back-
ground might show different results.
Finally, understanding functionality in combination with mobile applications is a research domain in which a lot of fac-
tors can play a role ranging from interface design elements, like use of icons, to user context, i.e. time-space differences,
public-private environments, vocational learning, group behavior and cultural aspects can all play a role and need closer
attention in how they affect preferences for functionalities, consumer engagement and continuous usage of applications.
We are still in the earlier phases in understanding the impact of mobile technologies on human behavior.

Acknowledgement

This research was funded by a grant from the R&D and Innovation Fund of Kaunas University of Technology.

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