The Influence of Digital Literacy in the AI-Driven Educational Era on Online Brand Equity and e-WOM: A Structural Equation Modeling Approach

Abstract

In the contemporary AI-mediated digital landscape, digital literacy has emerged as a cornerstone competency for students and is closely associated with institutional perception. This study examines the relationship between students’ digital literacy—within the context of AI-integrated learning environments—on Higher Education Online Brand Equity (HEOBE), brand trust, brand affect, and electronic word of mouth (e-WOM). Utilizing a Structural Equation Modeling (SEM) framework, data were collected from university students in Taiwan (N = 645) between January and February 2024. Statistical validation and hypothesis testing were performed using SPSS and AMOS. The results demonstrate that digital literacy in the AI era exerts a significant positive association with HEOBE, indicating that technologically proficient students within AI-integrated educational environments perceive higher value in a university’s digital brand. Furthermore, the four dimensions of HEOBE—institutional reputation, brand identification, brand loyalty, and campus perception—were found to exhibit significant positive associations with both brand trust and brand affect. Intriguingly, the study uncovers a behavioral dichotomy in word-of-mouth intentions: while brand affect is positively associated with e-WOM, brand trust shows an unexpected negative structural association with e-WOM. This suggests that while emotional attachment spurs advocacy, high cognitive trust may lead to “passive loyalty” in AI-driven digital spaces. These findings provide critical theoretical insights and practical benchmarks for higher education institutions seeking to optimize AI-augmented brand management and student engagement strategies.