Purchase intention of smart home services in Ho Chi Minh metropolis and vicinity: A stimulus – organism – response model

Abstract

In today’s world of advanced science and technology, the Internet of Things (IoT) has become an exceptional phenomenon all over the world due to its ability to transfer data over a network without requiring human-to-human or human-to-computer interaction. Because of its practical applications, the IoT has the potential to drastically transform the way people live in the future. One of the most innovative applications of IoT is smart home – a home setup where internet-enabled appliances can be automatically controlled remotely using a network device. With the goal of improving humans’ quality of life as well as providing convenience, residents’ safety and security, smart home is widely adopted by several countries such as the USA, Germany, Japan, Korea, etc. However, in Vietnam, researchers and suppliers still question the customers' purchase intention of smart home services. Based on the Stimulus-Organism-Response, this study proposes a comprehensive research model that can explain potential customers’ intention to purchase smart home services in Vietnam and explore key factors that affect their purchase intention. Data were collected using a self-administered survey distributed through the internet. The sample consists of participants living in Ho Chi Minh metropolis and its vicinity. The data (N=300) from the survey were analyzed using Partial Least Square – Structural Equation Modeling. The results suggested that facilitating conditions, compatibility and price value positively affects customers’ attitudes towards smart home services, which in turn positively affects smart home purchase intention. Besides, compatibility and price value positively affect smart home purchase intention, whereas facilitating conditions is found to be insignificant. The recommendations based on the results in this research are expected to provide important inputs on the critical factors for suppliers to improve the value of the products, thus enhancing the development of smart home usage in Vietnam in general and in Ho Chi Minh metropolis and its vicinity in particular.