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Word‐of‐mouth is a powerful communication tool which is often beyond the control of the marketer. This study used a 3 x 2 x 2 factorial experiment in a laboratory simulation to examine the main and interaction effects of three independent variables — message, source and user‐type — on credibility and behavior intention. The experiment involved 1,440 respondents from two different demographic sample groupings — secondary school students and undergraduates. ANOVA results for the experiments showed that, generally, source and user‐type were found to be significant factors affecting the credibility of word‐of‐mouth. In terms of source, father was perceived to be more credible than close friend as a word‐of‐mouth source. Likewise, past users were found to be more credible than non‐past users. Message was, however, found to affect significantly the behavioral intention variable. Negative message was found to generate the strongest negative behavioral intention than positive message and two‐sided messages. Two‐sided message was also found to have a stronger effect than positive message in behavioral intention. In addition, t‐tests results also revealed significant differences in perceptions between the two samples.

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