Perceived Value, Consumer Engagement, and Purchase Intention in Virtual Influencer Marketing: The Role of Source Credibility and Generational Cohort

As virtual influencers gain popularity, understanding the factors driving consumer responses is essential. However, limited research explores how perceived value (informativeness, entertainment, novelty, and incentives) and consumer engagement influence purchase intention. Perceived value is a key predictor of consumer behavior, while consumer engagement enhances perceived value and marketing effectiveness. Additionally, the moderating roles of source credibility and generational cohort remain underexplored. This study examines these relationships through a survey of 331 Chinese Generation Y and Z consumers, analyzed using structural equation modeling (SEM). The results show that informativeness, entertainment, and incentives positively influence purchase intention, while novelty has a negative effect. Consumer engagement drives purchase intention and enhances perceived value. Source credibility and generational cohort moderate these effects. When source credibility is low, novelty reduces purchase intention, while incentives increase it. High source credibility makes consumer engagement more influential. Informativeness enhances purchase intention among Generation Y, whereas Generation Z is more influenced by consumer engagement. This study extends research on advertising value and consumer engagement, offering insights for brands optimizing virtual influencer marketing strategies across different consumer segments.