How to reduce perceived risk when buying online: The interactions between intangibility,product knowledge,brand familiarity,privacy and security concerns

This paper studies how product intangibility and its moderators affect perceived risk in an online shopping setting. The moderators studied were brand familiarity, product knowledge, privacy concerns and security concerns. Student samples performed online experimental tests, wherein product intangibility was manipulated. The findings indicate that both mental intangibility and physical intangibility increased perceived risk. Mental tangibility had more impact over perceived risk than physical tangibility. This study is the first to show how intangibility, product knowledge, brand familiarity, privacy and security concerns interact and affect perceived risk. Previous studies did not have the opportunity to observe the interactions of these relevant dimensions, thus not identifying which one would have a stronger effect over the perceived risk of buying online. In short, we found that when interacting with intangibility security and privacy concerns increase perceived risk to the same degree. On the other hand, product knowledge reduces the perceived risk more than brand familiarity.     

Customer Response to Web Site Atmospherics: Task-relevant Cues,Situational Involvement and PAD

Using the pleasure, arousal, and dominance (PAD) model, this study seeks to extend existing knowledge about consumers' activities in online retail environments by focusing on the largely ignored role of perceived dominance. In online environments, perceived dominance might influence purchasing intentions both directly and indirectly through pleasure. Furthermore, consumers' perceptions of Web site atmospherics (informativeness, navigational cues, perceived organization, and entertainment) likely affect two dimensions of emotion (perceived dominance and arousal). This study also investigates the moderating effects of situational involvement on the relationships among the PAD dimensions for online consumers. The results affirm that perceived dominance has direct effects on purchasing intentions, as well as indirect impacts through pleasure. The impact of perceived dominance on pleasure also is moderated by situational involvement. Whereas high task-relevant cues exert significant effects on perceived dominance, low task-relevant cues influence arousal. Therefore, this research shows that perceived dominance relates to online customers' purchasing intentions, which represents an extension of existing knowledge about the PAD model applied online; it also provides notable managerial implications for e-marketers.     

Effects of perceived interactivity of augmented reality on consumer responses: A mental imagery perspective

As the use of technological features is becoming more common in digital retailing, retailers have adopted augmented reality (AR) solutions to help consumers browse their products. This study examines dimensions of perceived interactivity after experiencing shopping with AR and investigates the relationships between perceived interactivity and mental imagery and between mental imagery and other consumer responses in a mobile shopping context. A total of 302 female online consumers in South Korea participated in a survey. After shopping cosmetic products with the AR function in a mobile app, participants completed the questionnaire. The findings reveal that the controllability and playfulness dimensions of perceived interactivity influence mental imagery, which, in turn, affects consumers' attitudes toward a product and their behavioral intentions. The relationship between perceived interactivity and mental imagery differs based on an individual's involvement level. These results provide practical insights for digital retailers in creating effective mobile shopping environments.     

Consumers' Perceptions of Online and Offline Retailer Deception: A Moderated Mediation Analysis

This research examines the effects of consumers' perceptions of retailers' deceptive practices on their evaluations of online and offline retailers. Results from two samples of consumers (shopping in online versus offline channels) show the direct and indirect influence of consumers' perceptions of retailers' deceptive practices on consumers' evaluations, including product satisfaction, retailer satisfaction and word-of-mouth. Perceptions of deception influence retailer satisfaction through product satisfaction, and word-of-mouth through retailer satisfaction. These mediated effects are further moderated by the online vs. offline purchase channel. Implications for theory and management are discussed.     

A cross-country comparison of online deal popularity effect

The paper examines the effect of online deal popularity for service deals in a cross-country context. A 2 (deal popularity: low vs high) X 2 (culture: collectivist vs individualist) quasi experimental design was used to collect data in Australia and Taiwan to examine the consumer reactions toward deal popularity information of service deals on e-retailing websites. Results show consumers' perceived performance and psychological risk mediate the effect of deal popularity on purchase intention both in the Australian and Taiwanese samples. In addition, consumers' reactions towards online popularity information for online service deals do differ across cultures. While high deal popularity increases the Australian consumers' performance and psychological risk perceptions, which in turn lowers their purchase intention, high deal popularity decreases the Taiwanese consumers’ risk perception and enhances their purchase intention. This paper contributes to the broader fields of retailing and services studies by providing insights for online retailers concerning how deal popularity can be leveraged as a means to reduce perceptions of risk for Taiwanese consumers but with caveats for their Australian counterparts. As a first study that examines the effect of online deal popularity for service deals in a cross-country context, it extends the body of knowledge in a fast-changing domain of consumer behavior e-commerce settings.     

The fluent online shopping experience

Consumers increasingly use various Internet-enabled devices for online shopping; thus, a critical topic for both research and practice is the visual characteristics of the information presented in this medium. This study builds on fluency theory within an environmental psychology framework. Specifically, this research examines how consumers' perceived fluency of the verbal online information affects their perceived cognitive effort and positive affect within a choice context. The experimental results show that (1) perceptual fluency affects both cognitive effort and positive affect experienced during online shopping and (2) cognitive effort and positive affect influence judgments about the perceived decision quality of the choice made. This research is notable in its simultaneous (as opposed to consecutive) examination of the relationship among the three dimensions of processing fluency (perceptual fluency, positive affect, and cognitive effort) and their impact on consumers' choice satisfaction with an online shopping task.     

Understanding the inhibitors to consumer mobile purchasing intentions

Consumers frequently browse online stores via mobile (m-) channels but seldom realize transactions through m-channels. Although this m-purchasing yields an attractive growth opportunity for online retailers, existing research still insufficiently explains m-purchasing (intentions). Hence, this research develops and empirically tests a model of m-purchasing intention. This study's findings suggest that both task-related (e.g., perceived security risk of m-purchasing) and m-channel-related (e.g., perceived security risk of m-channels) factors inhibit consumers' decision to use m-channels for online transactions. Prior experiences with m-purchasing moderate the effect of perceived m-purchasing security risk on m-purchasing intention; the effect is stronger for experienced than for inexperienced consumers.     

“互联网+”情境下农资网购的“情·理·法”：农户在线信任构建机制的实证研究

电商交易是农资行业变革传统流通渠道的重要尝试,也是未来农资销售市场多元化、技术服务信息化的新趋势。由于农资产品和购买主体的特殊性,目前农资电商主要采取的是以线下服务带动线上交易的经营方式。本文从信任迁移视角实证探究和比较农户线下信任对线上信任的不同影响、线下与线上整体感知对线下信任与线上信任关系调节的不同作用。研究表明：线下信任对线上信任存在正向影响,其中线下品牌信任对线上能力信任的影响最大,对线上正直信任的影响次之,对线上友善信任的影响则最低,但线下零售商信任对线上友善信任的影响最大,对线上正直信任的影响次之,对线上能力信任的影响则不显著;在线下品牌信任对线上信任的影响关系中感知差异性的调节作用最大,感知集成性次之,感知一致性最小,而在线下零售商信任对线上信任的影响关系中感知一致性的调节作用最大,感知集成性较小,感知差异性则不显著。     

Influence of congruity in store-attribute dimensions and self-image on purchase intentions in online stores of multichannel retailers

Online stores of multichannel retailers continue to lag pure internet retailers with reference to consumers' shopping intentions and sales. This study develops and tests a framework in which (a) trust and attitude (conceptualized as a second-order construct with hedonic and utilitarian dimensions) influence purchase intentions, (b) congruity between the multichannel retailer's land-based and online stores (conceptualized as a second-order constructs made up of seven dimensions: aesthetic appeal, navigation convenience, transaction convenience, atmosphere, service, price orientation, and security) influences trust in and attitude toward the online store, and (c) congruity between consumers' self-image and perceived image of the online store influences trust in and attitude toward the online store. The findings provide robust support for the framework and have strong implications for theory and practice.     

What Promotes Online Group-Buying? A Cross-Cultural Comparison Study between China and the United States

Considering the universal prosperity of online group-buying (OGB), this research study used online surveys to gauge the impact of perceived risk, opinion seeking, and hedonistic/recreational and brand conscious decision-making styles on consumers' OGB intention in two diametrically distinguished countries—China and the United States. The research findings indicated both cultural similarities and differences in the mechanisms underlying Chinese and American consumers' OGB intention. Perceived risk emerged as the most important predictor in the U.S. data while brand consciousness was the key driver of Chinese consumers' OGB intention. Promotion and management implications based on the research findings are also presented.     

The impact of channel integration on consumers’ channel preferences: Do showrooming and webrooming behaviors matter?

This study investigates the relationships among channel integration and consumers' online and offline patronage intentions. The theoretical framework proposes perceived empowerment, perceived assortment, and perceived benefits as mediating variables in the channel integration–patronage intention relationship, with consumer showrooming and webrooming behaviors as moderating variables. Data was collected by means of two studies; that is, for search and for experience products, respectively. The proposed conceptual model was tested by employing variance-based structural equation modeling. The results of both studies confirm that channel integration significantly affects consumers’ channel preferences. The mediating roles of empowerment, assortment, and benefits were confirmed for all of the relationships except for the mediating effect of empowerment on the relationship between channel integration and offline patronage intention. Further, showrooming and webrooming moderated the positive impact of channel integration on online/offline patronage intentions. The study contributes to the multi-channel retailing literature by providing useful implications for academicians and practitioners.     

Brands as substitutes for the need for touch in online shopping

This article addresses the potential of reputable brands to overcome the lack of tangibility that characterizes the process of e-commerce through an experiment-based analysis. In a sequential argument, the authors propose that (1) the brand becomes more important in online than in offline channels, as a consequence of the intangibility or lack of physical contact in online purchasing processes; (2) the limitations associated with the need for touch and the lack of access to the physical product during the buying process does not have equal importance across all product categories and (3) the role of the brand in online channels thus is more relevant if the product category is associated with a higher need for touch. The study based on the experimental design reveals that leading brands enjoy an advanta in consumers' quality assessments, regardless of the objective attributes that characterize the products. This advantage may be greater in online channels, though only for product categories for which the lack of physical contact with the product during the purchase process is an important limitation. In such cases, brand associations can compensate for intangibility during purchase.     

Determinants of consumers' repeat online buying of groceries

Abstract

This study developed and empirically tested a model for understanding what factors determine repeat buying behaviour of already experienced online grocery consumers. Data were collected from 198 consumers who currently buy groceries via the Internet. The obtained Lisrel results suggest that consumers' attitude towards online grocery buying is positively affected by perceived offline physical effort and negatively affected by offline shopping enjoyment. Multi group analysis shows that the strength of these relations differed across several consumer characteristics. Also, it was found that a perceived high Internet grocery risk does not form an action barrier for consumers who already have a positive attitude towards online grocery buying. The results also indicate that consumers may hesitate from repeat online buying if they are faced with high online complexity. Implications and future research directions are discussed.     

Additive omnichannel atmospheric cues: The mediating effects of cognitive and affective responses on purchase intention

In today's channel-centric retail ecosystem the right mix and orchestration of online and offline stimulus is paramount towards providing an optimal store atmosphere and shopping experience. Applying the S-O-R framework, this research explores additive omnichannel atmospheric cues stimuli, in order to discover their impact on affective (i.e., pleasure, arousal and dominance) and cognitive (i.e., store environmental quality perception) states and their consequential effect on consumer responses in the form of purchase intention. Employing a four-condition repeated measures experimental design in a physical store, utilizing mobile, IoT and social media channels (Study 1), as well as a between-subjects online lab experiment (Study 2), this research sheds light into the affective and cognition-mediated causal mechanisms that influence shopping outcomes. This work reveals that combining stimulus from all retail channels within the physical store (i.e., omnichannel atmospheric cues) increases consumers' pleasure, arousal and the quality of the environment as a whole, which in turn positively influences purchase intention. However, the impact of dominance is only prominent at the more controlled, laboratory setting, in which purchase intention increases while dominance attenuates.     

Conflicting attitudes and scepticism towards online shopping: the role of experience

Researchers typically study how levels of risk perception about online shopping affect whether and how consumers use the channel to buy products. In this paper, we propose to study how different types of attitudes towards online shopping are formed when consumers consider both the benefit and the risk of using the Internet to do their shopping. We consider the possibility that general types of attitudes are formed when consumers' perception of the risk and the benefit of using online shopping conflict. We pay particular attention to the concept of online shopping scepticism where consumers may fully realize the benefit of using the Internet to do their shopping, but also express a certain level of concern about the risk of using that channel. In the risk literature, researchers have shown that experience and increased exposure to a particular technology usually involves the accumulation of more and better knowledge that in turn may lead to a reduction in the perception of the risks involved. In this research, we also explore the role of experience in the context of consumers' intention to use online shopping. More specifically, we postulate that online shopping experience has a direct effect as well as an indirect effect on the intention to use online shopping. Experience with online shopping directly increases the consumer's intention to use the Internet to buy products but it also reduces the degree of scepticism and risk aversion, and that in turn, also increases the intention to use online shopping.     

Will artificial intelligence replace human customer service? The impact of communication quality and privacy risks on adoption intention

In the digital environment, chatbots as customer service agents assist consumers in decision making. Based on the computers-are-social-actors paradigm, this study examines the perceived differences in communication quality and privacy risks between different service agents and their impact on consumers' adoption intention, and investigates whether these perceived differences might depend on differences in the user's human interaction need. A series of five scenario-based experiments were carried out to collect data and test hypotheses. It was discovered that: different types of service agents directly affect consumers' adoption intention; perceived communication quality and privacy risk mediate the effect of service agent type on adoption intention; the effects of service agent type on perceived accuracy, communicative competence, and privacy risk are moderated by the need for human interaction. The findings of this study provide important insights into the rational use of human−computer interacation in e-commerce.     

Consumer perceived value and impulse buying behavior on mobile commerce: The moderating effect of social influence

This study examines how the consumers' perceived values (utilitarian and hedonic values) impact their impulse buying behavior (IBB) in the mobile commerce (m-commerce) context. Moreover, we view interpersonal influence as a moderator and test its impact on the correlation between the consumers' perceived value and their IBB. Data were collected through a survey in China (n = 199). The results show that environmental stimuli significantly influence consumer perceived values (i.e., perceived utilitarian value and perceived hedonic value), and the consumers’ perception of hedonic value significantly and directly impacts their IBB. In addition, the interaction effect of perceived hedonic value and interpersonal influence significantly affects IBB. The findings provide valuable guidance for m-commerce retailers to induce consumer IBB.     

Pricing coordination of a dual-channel supply chain considering offline in-sale service

With the rapid development of e-commerce, the problem of pricing conflicts between online and offline channels has become increasingly prominent. And the in-sale service has become an important factor influencing consumers' purchase decisions. To study the impact of in-sale service, this paper establishes a dual-channel supply chain model considering offline in-sale service. Using Stackelberg's game theory and backward induction, it solves the optimal pricing of supply chain members and makes comparisons in both cooperative and non-cooperative situations. Finally, it coordinates the supply chain through a two-part tariff contract. The results show that (1) The optimal wholesale price and offline retail price are positively correlated with in-sale service quality. And the opposite of the optimal online direct selling price. (2) With the quality of in-sale service improving, the retailer's profit will increase and then decrease but the manufacturer's profit will always decrease under non-cooperation. The total profit of the supply chain will rise and then fall under cooperation. (3) The two-part tariff coordination maximizes profits with the manufacturer reducing the wholesale price and the retailer paying a transfer cost. (4) Cooperative decision is better than the non-cooperative decision in terms of the supply chain as a whole.     

How a “China-made” label influences Chinese Youth's product evaluation: The priming effect of patriotic and nationalistic news

This study is to verify whether and how a “China-made” label can influence online consumers' product evaluation as adding labels to highlight products' attributes has become an acquainted measure online by e-tailers/firms to attract online consumers' attentions. For this purpose, we conduct a 2 (label of “China-made” vs. no label) x 3 (patriotism priming vs. nationalism priming vs. no priming) between-subject factorial design to verify hypotheses. The results reveal that when consumers' nationalism is primed, the label significantly enhances the product evaluation by increasing the perceived social value of the product. Priming consumers’ patriotism, on the other hand, does not play a moderating role for this effect. A follow-up study confirms such effects for both low involvement and high involvement products. Therefore, e-tailers/firms that own China-made brands/products are advised to signal the “Chinese identity” of their products to online consumers under the current circumstance when nationalism and domestic brands are rising in China. The results also indicate that although products produced in a developing country are marked with a negative country of origin effect, marketers can turn it into a strength in marketing in certain conditions.     

The Quality Dimensions of Internet Retail Food Purchasing

ABSTRACT

This exploratory study examines relevant factors affecting consumers' evaluation of product and service quality in the context of Internet retail food purchasing. A total of 489 anecdotes, written by online consumers based on their own shopping experience, were collected and content analyzed. In turn, 18 quality dimensions and 58 sub-attributes were identified. The asymmetric effect of positive and negative attribute-level performances on consumer dis/satisfaction was discussed. The impact of two delivery strategies on consumers' perceived quality was also examined. Finally, managerial implications and recommendations were provided in order to pave the way for possible improvement of the quality of Internet retail food purchasing and, in turn, consumer satisfaction.