Article

Why do shoppers abandon shopping cart? Perceived waiting time, risk, and transaction inconvenience

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Abstract

Purpose – The purpose of this study is to explore the factors leading to the consumer's propensity to abandon the shopping cart at the transaction completion stage. Design/methodology/approach – Data were collected using a self-administered survey distributed through the internet. The sample consisted of consumers who shopped online at least once during the preceding one-year period. Findings – The results indicate that perceived transaction inconvenience is the major predictor of shopping cart abandonment. The other predictors are perceived risk and perceived waiting time. Positive relationship was found between perceived transaction inconvenience, perceived risk and propensity to abandon the shopping cart. It was also found that propensity to abandon the shopping cart is negatively associated with the perception of waiting time. Practical implications – The paper provides transaction completion stage specific guidance to the managers operating in an online environment to prevent shopping cart abandonment at the transaction completion stage. Specifically, the findings suggest that marketers must pay attention to the perception of risk and transaction inconvenience; otherwise they risk losing consumers during the final stage of transaction. Originality/value – The paper examines the unexplored area of consumer behavior at the final stages of transaction culmination and, hence, is an initial step toward filling that gap.

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... According to Graham (2019), 79.17% of online shoppers abandon their virtual shopping carts prior to payment. This occurs for various reasons, such as the concern about costs, the use of shopping cart as a research and organizational tool, or waiting for a sale or lower prices Close, Kukar-Kinney, & Benusa, 2012;Huang, Korfiatis, & Chang, 2018;Rajamma, Paswan, & Hossain, 2009). Thus, how to encourage consumers to reconsider the items in their shopping carts is an important part of the normal sales funnel. ...
... Prior research has primarily focused on investigating the antecedents of shopping cart abandonment (Close et al., 2012;Huang et al., 2018;Rajamma et al., 2009;Renaud, Cockshott, & Hair, 2009). However, how to facilitate consumers' reconsideration of the products in their shopping carts has received scant attention. ...
... For example, consumers with entertainment motivation are more likely to abandon their shopping carts Melek, 2018). The risks involved in online shopping (e.g., privacy concerns as well as financial and psychological risks) facilitate consumers' shopping cart abandonment behavior (Cho, Kang, & Cheon, 2006;Egeln & Joseph, 2012;Huang et al., 2018;Rajamma et al., 2009). Huang et al. (2018) found that attributes conflicts, interpersonal conflicts, and self-efficacy can arouse consumers' emotional ambivalence and further increase shopping cart abandonment behavior. ...
Article
Online companies, such as eBay and Taobao, often set limits on the maximum number of items placed in the shopping cart. When the number of items added exceeds the limit, a warning message would pop up, asking consumers to clean, remove, or purchase first. Extant research on online shopping cart abandonment examines the various factors that can lead to shopping cart abandonment but does not explore the effect of such warning messages on attitudes and purchase intention. Through five studies (i.e., Studies 1, 2A, 2B, 3, and 4), we show that reminding consumers to clean items in their online shopping carts can polarize liking and purchase intention towards the most-favorite and least-favorite items. Furthermore, we find that reminding consumers to remove items (rather than to purchase them) magnifies the polarization. Consumers' anticipated regret mediates the interactive effect of warning message type and preference ranking on liking and purchase intention. In addition, the scarcity or abundance of product supply moderates the interaction effect of shopping cart warning message type and preference ranking on liking and purchase intention. Implications for both theories and practices are discussed.
... Second, convenience makes an important contribution to the value of consumers' desired outcome (Sembada and Koay, 2019). Prior research has shown that when transactions become complex (e.g., lengthy registration forms, technical glitches, complex discount rules), consumers are more inclined to abandon their shopping carts due to the challenging buying process (Rajamma et al., 2009). In consideration of this evidence, another aim of this study is to explore the potential of perceived transaction inconvenience as the conditioning factor affecting hesitation to checkout. ...
... Accordingly, a convenient website can accelerate online consumers' willingness to shop (Raman, 2019), whereas if consumers are hindered and frustrated during the transaction, they are less likely to return (Cameron, 1999). Rajamma, Paswan and Hossain (2009) study extended the concept of convenience by proposing perceived transaction inconvenience (i.e., lengthy registration forms, technical glitches, etc.) as an important inhibiting factor that affects OSCA by complicating transactions and increasing consumers' frustration. Xu and Huang (2015) also highlighted that perceived transaction inconvenience (e.g., slow loading of web pages, complex transaction process, etc.) affects consumers' access to the shopping cart usage stage. ...
... All items measured in this study were based on validated and reliable multi-item scales drawn from previous research, with some modifications to accommodate the current research setting. Wait for lower prices and OSCA were measured using the scales developed by Kukar-Kinney and Close (2010); hesitation at checkout was adapted from Cho, Kang and Cheon (2006) and Wong and Yeh (2009) scales; DBLR was measured using Rapp, Baker, Bachrach, Ogilvie and Beitelspacher (2015) scale; and finally, the scale for perceived transaction inconvenience was adapted from Rajamma et al. (2009). All these measurements have demonstrated great validity and reliability results, which is the reason for their inclusion in this study. ...
Article
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Shopping cart abandonment remains a challenge for many e-retailers despite the continued growth of the e-commerce industry worldwide. However, the issue of online shopping cart abandonment (OSCA) has not been explored extensively in the literature. Grounded by the stimulus-organism-response (S-O-R) model, this study explores a sequential mediation model comprising consumers' wait for lower prices as an antecedent, hesitation at checkout and OSCA as mediators, perceived transaction inconvenience as a moderator, and decision to buy from a land-based retailer (DBLR) as an outcome. An online questionnaire was designed and distributed to 883 online consumers in Mainland China. Partial least squares-structural equation modeling (PLS-SEM) was employed to analyze the survey data. The results show that waiting for lower prices positively influences hesitation at checkout, and subsequently, impacts both OSCA and DBLR. Hesitation at checkout and OSCA play sequential mediating roles in the framework path. In addition, perceived transaction inconvenience strengthens the relationship between waiting for lower prices and hesitation at checkout. Overall, this study contributes to theory and serves as a guideline for e-retailers in reducing the OSCA rate.
... This phenomenon is known as shopping cart abandonment and is particularly apparent in the context of e-commerce: it is the behavioral outcome of consumers placing item(s) in their online shopping cart without making a purchase by completing the checkout process during that online session Kukar-Kinney and Close, 2010). Extant literature investigated the behavioral perspective of online shopping cart abandonment by identifying inhibitors to the purchase process: financial risks and concerns about delivery and return policies (Kukar-Kinney and Close, 2010) the usage of shopping carts as organization tools or for entertainment purposes (Kukar-Kinney and , and inhibitors at the checkout stage like perceived transaction inconvenience and privacy intrusion (Rajamma et al., 2009) areinter aliathe main factors leading to online shopping cart abandonment. ...
... The online shopping cart abandonment phenomenon causes substantial losses of turnover for online retailers Rajamma et al., 2009) study. They found intrapersonal (i.e., conflicts regarding mobile shopping attributes and low selfefficacy regarding mobile shopping) and interpersonal (i.e., discrepancies from the other's attitudes to self-attitudes) conflicts to disturb consumers' emotions during mobile shopping, and in turn, implying shopping cart abandonment. ...
... resulting in a weakened position within their competitive environment. Therefore, extant marketing literature addressed this problem by drawing on a behavioral perspective to identify and understand essential determinants of online shopping cart abandonment:Rajamma, Paswan, and Hossain (2009) focused on potential inhibitors at the checkout stage and found increased perceived transaction inconvenience (e.g., long registration forms) and high perceived risk (e.g., perceived security of information asked) to enhance online shopping cart abandonment. Partially, these findings seem to be applicable to new customers which are unfamiliar with the checkout process. ...
Thesis
Based on recent developments caused by the big data revolution, data science has massively increased its importance for businesses. Within the marketing context, various types of customer data have become available in enormous amounts and need to be processed as efficiently as possible for creating valuable knowledge. Therefore, data scientists’ performance has become crucial for marketing departments to achieve competitive advantages in the modern highly digitalized economy. Within the raising field of data science, machine learning has become an outstanding trend since these approaches are able to automatically solve numerous classification and prediction problems with enormous performance. Thus, machine learning is seen as a key technology which will radically transform business practice in the future. Even though machine learning has already been applied to various marketing tasks, research is still at an early stage requiring further investigations of how marketing can successfully benefit from machine learning applications. Besides these data-driven opportunities provided by digitalization, technostress has evolved into an enormous downside of digitalized workplaces, leading to a significant decrease in employees’ performance. However, existing research lacks to provide evidence about different coping strategies and their potential to support employees in overcoming technostress. Furthermore, research currently fails to consider technostress regarding both highly digitalized occupational groups like data scientists and respective workplace environments for providing a deeper understanding of how employees suffer from stress caused by the use of digital technologies. Due to these recent challenges for data scientists, this cumulative thesis provides useful insights and new opportunities by focusing on machine learning and technostress issues as two aspects which promise major potentials for enhancing data scientists’ performance in today’s marketing contexts. Five research papers are included for effectively tackling both fields of research: three papers deliver both methodological and empirical findings for extending machine learning in marketing research by examining model architectures as well as applying machine learning to recent marketing problems. In addition, two research papers contribute to research by providing knowledge about technostress issues of data scientists as a heterogeneous and highly digitalized occupational group as well as examining different coping strategies for effectively overcoming stress due to the use of digital technologies. Beyond that, the findings deliver practical implications for marketing managers who aim to improve the performance of data scientists in a contemporary marketing environment.
... This phenomenon is known as shopping cart abandonment and is particularly apparent in the context of e-commerce: it is the behavioral outcome of consumers placing item(s) in their online shopping cart without making a purchase by completing the checkout process during that online session (Huang et al., 2018;Kukar-Kinney and Close, 2010). Extant literature investigated the behavioral perspective of online shopping cart abandonment by identifying inhibitors to the purchase process: financial risks and concerns about delivery and return policies the usage of shopping carts as organization tools or for entertainment purposes (Kukar-Kinney and , and inhibitors at the checkout stage like perceived transaction inconvenience and privacy intrusion (Rajamma et al., 2009) areinter aliathe main factors leading to online shopping cart abandonment. ...
... The online shopping cart abandonment phenomenon causes substantial losses of turnover for online retailers (Huang et al., 2018;Rajamma et al., 2009) resulting in a weakened position within their competitive environment. Therefore, extant marketing literature addressed this problem by drawing on a behavioral perspective to identify and understand essential determinants of online shopping cart abandonment: Rajamma, Paswan, and Hossain (2009) focused on potential inhibitors at the checkout stage and found increased perceived transaction inconvenience (e.g., long registration forms) and high perceived risk (e.g., perceived security of information asked) to enhance online shopping cart abandonment. ...
... The online shopping cart abandonment phenomenon causes substantial losses of turnover for online retailers (Huang et al., 2018;Rajamma et al., 2009) resulting in a weakened position within their competitive environment. Therefore, extant marketing literature addressed this problem by drawing on a behavioral perspective to identify and understand essential determinants of online shopping cart abandonment: Rajamma, Paswan, and Hossain (2009) focused on potential inhibitors at the checkout stage and found increased perceived transaction inconvenience (e.g., long registration forms) and high perceived risk (e.g., perceived security of information asked) to enhance online shopping cart abandonment. Partially, these findings seem to be applicable to new customers which are unfamiliar with the checkout process. ...
Article
Full-text available
Excessive online shopping cart abandonment rates constitute a major challenge for e-commerce companies and can inhibit their success within their competitive environment. Simultaneously, the emergence of the Internet's commercial usage results in steadily growing volumes of data about consumers' online behavior. Thus, data-driven methods are needed to extract valuable knowledge from such big data to automatically identify online shopping cart abandoners. Hence, this contribution analyzes clickstream data of a leading German online retailer comprising 821,048 observations to predict such abandoners by proposing different machine learning approaches. Thereby, we provide methodological insights to gather a comprehensive understanding of the practicability of classification methods in the context of online shopping cart abandonment prediction: our findings indicate that gradient boosting with regularization outperforms the remaining models yielding an F 1-Score of 0.8569 and an AUC value of 0.8182. Nevertheless, as gradient boosting tends to be computationally infeasible, a decision tree or boosted logistic regression may be suitable alternatives, balancing the trade-off between model complexity and prediction accuracy.
... In addition to security, transaction convenience is also found to be a significant factor that prevents consumers from conducting an online purchase. Rajamma et al. (2009) found that an inconvenient transaction is the cause of consumers not completing online transactions. A complex transaction is an inhibiting factor for online transaction adoption (Ozkan et al., 2010). ...
... Perceived transaction convenience is the consumer's evaluation that online transaction is a simple and fun process so that there is no psychological burden when undergoing the process. Inconvenience transaction is the cause of consumers not completing an online transaction (Rajamma et al., 2009). Kim et al. (2011) and Chen et al. (2010) found that a convenient transaction encourages consumers to make an online transaction. ...
... Shen, Li, and DeMoss (2012) measured perceived transaction convenience with several indicators including: ease of ordering procedure, ease of product search, and ease of payment. In addition, perceived transaction convenience is also reflected in a quick transaction process (Rajamma et al., 2009); no significant additional costs during payment process (Indiani et al., 2015); uncomplicated transaction mechanisms (Kim et al., 2011); availability of various payment methods and online retailer displays detailing ordering information before proceeding to the payment stage (Chen et al., 2010). ...
Article
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Online retail trade in Indonesia has grown dramatically in recent years. However, it is not being followed by an increase in the transaction completion ratio, with a cart abandonment rate of up to 70 percent. This indicates that the transition from online purchase intention to actual purchase is not as simple as postulated in the theory of planned behaviour (TPB); yet, there are other factors moderating the conversion. Therefore, this study aims to develop a model analysing the moderating role of perceived transaction security and convenience in the relationship between online purchase intention and actual purchase. Model development was also motivated by critics regarding TPB’s robustness in explaining consumer purchase behaviour; therefore, this model is expected to enrich TPB by providing a more comprehensive picture in online purchase behaviour. The sample consisted of consumers who had shopped for retail products online. The proposed relationship was tested with partial least square method. Results showed that perceived transaction convenience has a positive and significant moderating effect, whereas perceived transaction security showed an insignificant moderating impact. This finding is noteworthy amid risky online purchase environment. Respondents’ characteristics and alternative payment methods might explain the insignificant moderation. As a practical implication, it is recommended that online retailers improve online transaction convenience to increase the conversion rate.
... Surprisingly, a phenomenon largely particular to online shopping has received significantly less attention from the consumer behavior literature-shopping cart abandonment Rajamma et al., 2009). That is, consumers often place items in an online shopping cart, but end up not actually finalizing a purchase of any of those items ...
... Notably, other factors that have been identified as potential sources of shopping cart abandonment relate to friction in the transaction process, including encountering unexpected costs, having to complete lengthy order forms, facing website issues and technical glitches, nonavailability of alternative methods of payment, excessive security checks, and concerns regarding privacy or security ( (Rajamma et al., 2009;Statista, 2013b;Xu and Huang, 2015;Egeln and Joseph, 2012;Close and Kukar-Kinney, 2010;Kukar-Kinney and Close, 2010). ...
... While this problem can negatively impact companies' revenue, it also harms consumers who may waste time and effort on abandoned carts. The current research answers the call for further exploration of the drivers of online shopping cart abandonment (Kukar-Kinney and Rajamma et al., 2009) by investigating the specific role of consumers' mindsets in the online consumption process. Results from three studies demonstrate that consumer mindsets impact the likelihood of shopping cart abandonment, evince involvement as the driver of these effects, and highlight the moderating role of the number of peripheral attributes included in product descriptions. ...
Article
Full-text available
Purpose While the popularity of online shopping has increased in recent years, surprisingly little research has examined the factors affecting consumers’ behavior in this context. Furthermore, though a widespread problem for companies, the phenomenon of online shopping cart abandonment has garnered even less attention. The purpose of this study is to examine the role of consumers’ mindsets in online shopping cart abandonment. Design/methodology/approach Three experimental studies were conducted to examine the effect of consumer mindsets (i.e. abstract vs concrete) on purchase intentions. Findings Results indicate that consumers who have an abstract (as opposed to concrete) mindset when shopping online rate the products they include in their shopping carts to be more important, and consequently are more likely to purchase them, reducing shopping cart abandonment. Practical implications The findings suggest that online retailers can reduce shopping cart abandonment by implementing strategies that allow consumers to think abstractly. Originality/value This research contributes to the literature by identifying an important underlying mechanism affecting online shopping cart abandonment.
... As approximately two-third of online shoppers abandon the shopping process after filling their shopping cart (Overby and Lee, 2006), a huge potential lies in analyzing the reasons for shopping cart abandonment. Thus, extant literature investigated the behavioral perspective of online shopping cart abandonment by identifying inhibitors to the purchase process: financial risks and concerns about delivery and return policies (Kukar-Kinney and , the usage of shopping carts as organization tools or for entertainment purposes (Kukar-Kinney and , and inhibitors at the checkout stage like perceived transaction inconvenience and privacy intrusion (Rajamma et al., 2009) areinter aliathe main factors leading to online shopping cart abandonment. ...
... The online shopping cart abandonment phenomenon causes substantial losses of turnover for online retailers (Huang et al., 2018;Rajamma et al., 2009) resulting in a weakened position within their competitive environment. Therefore, extant marketing literature addressed this problem by drawing on a behavioral perspective to identify and understand essential determinants of online shopping cart abandonment summarized in Table 1. ...
... Website design features influence consumers' purchase decision and further, shopping cart abandonment Cho et al. (2006) Consumers' confusion by information overload, high value-consciousness, negative past experiences, intention to conduct price comparisons, and unreliable websites might trigger online shopping cart abandonment (n=245) Various motives inherent to potentially different consumer groups affect online shopping cart abandonment Rajamma et al. (2009) Increased perceived transaction inconvenience and high perceived risk serve as inhibitors at checkout stage enhance online shopping cart abandonment (n=707) Findings seem to be applicable to new customers unfamiliar with the checkout process Kukar-Kinney and Close (2010) Perceived privacy intrusion and security concerns propels consumers to buy offline (n=255) Shopping carts as entertainment value, as an organization tool, as the wait for sale, and the concerns about costs appear to be antecedents of shopping cart abandonment Close and Kukar-Kinney (2010) Items are added to online shopping cart for reasons other than immediate purchase (n=289) Shopping carts are used for entertainment, as organization tool, as the wait for sale, and for obtaining additional information on products Huang et al. (2018) Intrapersonal and interpersonal conflicts disturb consumers' emotions during mobile shopping and in turn, lead to shopping cart abandonment (n=232) Device utilized for shopping online impacts purchase behavior and thus, shopping cart abandonment behavior As shopping cart abandonment is affected by security concerns (Huang et al., 2018;Kukar-Kinney and Close, 2010;Park and Kim, 2003), previous experiences (Cho et al., 2006), and interpersonal conflicts (disagreement between oneself and others) (Huang et al., 2018), it becomes obvious that these behavioral patterns might vary by person (Ding et al., 2015). Hence, such differences in 6 online shopping cart abandonment would require large sample sizes to reveal precise and representative results for relevant subgroups (such as new and existing customers). ...
Article
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For e-retailers, shopping cart abandonment rates are essential measures of their success within the e-market. Extant behavioural literature determined factors triggering cart abandonment, whereas another stream of literature explored customers' online purchase behaviour with clickstream data drawing on different segmentations such as mobile versus desktop shoppers. Nevertheless, research still lacks an understanding of cart abandonment with unbiased user generated behaviour. This study fills a research gap by determining factors resulting in cart abandonment based on clickstream data. Since particularly new and existing customers need to be addressed differently, the study identifies drivers for both. The findings indicate that mobile shoppers exhibit a higher likelihood of abandoning their cart, which even intensifies for new customers. For existing customers, the odds of completing the purchase decreases with every additional item in the customers' cart and new customers are rather likely to abandon the cart with an increasing number of cart page impressions.
... Previous research has separately investigated the motivations for placing items in the cart and perceptual determinants of online cart abandonment (Cho et al., 2006, Huang et al., 2018Moore & Mathews, 2008, Oliver & Shor, 2003Rajamma et al., 2009;Rubin et al., 2020;Song, 2019;Xu & Huang, 2015). However, there is an under-addressed need to consider both stages of the online purchase funnel: (1) consumers' cart use, which we define as the frequency (i.e., number) of items that consumers place into their cart during a current shopping session, and (2) cart abandonment, which refers to when consumers decide to leave the shopping session without purchasing the item(s) placed in the cart as opposed to completing the transaction by purchasing the item(s) placed into the cart during the online shopping session. ...
... For instance, research by Oliver and Shor (2003) finds that having to enter a digital promotion code increases noncompletion purchase intentions as a proxy for cart abandonment, while Moore and Mathews (2008) determine that a company's reputation is a reason behind frequent cart abandonment. Likewise, completing an online purchase can be inconvenient; Rajamma et al. (2009) find that perceived greater transaction inconvenience increases cart abandonment. ...
... For instance, Oliver and Shor (2003) demonstrate that when required to enter a promotion code, consumers less often complete online transactions due to the inconvenience of locating and entering the code. Related, Rajamma et al. (2009) find that the inconvenience of an online transaction drives an increase in cart abandonment. Making a purchase also often requires a disclosure of sensitive information such as contact information and a credit card number. ...
Article
This research investigates online consumer behavior in an e-commerce context with a focus on consumer online shopping cart use and subsequent cart abandonment. A model rooted in the Uses and Gratifications Theory, the Unified Theory of Acceptance and Use of Technology, and the concept of the purchase funnel is developed to explain the predicted relationships. Empirical findings based on clickstream data show that returning to an existing cart increases the subsequent cart use and decreases cart abandonment. Conversely, viewing clearance pages and viewing a large number of product reviews increases both cart use and cart abandonment. Browsing product pages decreases cart use, and increases cart abandonment. The moderating role of smartphone-based shopping is also examined, with the moderating effects primarily occurring early in the purchase funnel affecting cart use, and influencing cart abandonment to a smaller degree. Theoretical contributions and managerial implications for digital marketers are provided.
... Top reasons included having to register for an account, fees for alternative payment methods, and lack of trust in site security (see also Baymard Institute, 2019). Additional factors associated with cart abandonment during the final stage of a transaction include transaction inconvenience, perceived waiting time, and risk (Rajamma et al., 2009). Recent work has also underlined the importance of organization of items within the cart in order to prevent shopping cart abandonment (Xu and Huang, 2015). ...
... Privacy and security concerns are paramount in the minds of online shoppers when divulging personal and financial information (Sørebø, 2018). For instance, perceived risk was observed to be a significant predictor of transaction abandonment (Rajamma et al., 2009;El Haddad et al., 2018). Consumers were concerned that the company might misuse their information or that details may be stolen due to poor site security. ...
Article
Full-text available
It is estimated that more than half of all online transactions are abandoned before completion. This paper investigates the psychological factors that influence online shopping behavior, with a view to improving transactional success rates. Through a review of the literature, we identify a range of factors which predict abandonment of online shopping, highlighting affective and motivational dimensions in addition to processing style and characteristics of the consumer, device, and product. We conclude that online purchasing and payment systems that boost consumers’ motivation to buy and prevent or attenuate negative affective states will demonstrate the greatest rates of transactional success. However, with rapid advancement in technology, continued research is needed to fully understand the potential impact on future online purchasing behavior.
... The online shopping cart abandonment phenomenon causes substantial losses of turnover for online retailers Rajamma et al., 2009) resulting in a weakened position within their competitive environment. Therefore, extant marketing literature addressed this problem by drawing on a behavioral perspective to identify and understand essential determinants of online shopping cart abandonment: (Rajamma et al., 2009) focused on potential inhibitors at the checkout stage and found increased perceived transaction inconvenience (e.g., long registration forms) and high perceived risk (e.g., perceived security of information asked) to enhance online shopping cart abandonment. ...
... The online shopping cart abandonment phenomenon causes substantial losses of turnover for online retailers Rajamma et al., 2009) resulting in a weakened position within their competitive environment. Therefore, extant marketing literature addressed this problem by drawing on a behavioral perspective to identify and understand essential determinants of online shopping cart abandonment: (Rajamma et al., 2009) focused on potential inhibitors at the checkout stage and found increased perceived transaction inconvenience (e.g., long registration forms) and high perceived risk (e.g., perceived security of information asked) to enhance online shopping cart abandonment. Partially, these findings seem to be applicable to new customers which are unfamiliar with the checkout process. ...
Thesis
E-commerce has seen a steady increase in usage since its establishment in the 1970s and 80s: By 2025, two-thirds of the world’s population (4,913.9M people) are expected to be e-commerce users. Throughout these decades, e-commerce businesses had to face a variety of different challenges, which, to some extent, determined their survival within their competitive environment. Within this thesis, two selected current phenomena are shed light on with which e-commerce businesses are struggling: A shift within society’s mindset towards environmental awareness and analytical approaches to manage the infinite pool of data about online consumer behavior. Since both research fields have an extremely granular spectrum of different facets, many sub-facets still lack a comprehensive investigation. The overall purpose of this research is thus twofold: (1) Gathering insights on consumers’ sustainable clothing consumption behavior and (2) proposing Artificial Intelligence-driven approaches for analytical problems in the e-commerce context. More specifically, Part A focuses on consumers’ sustainable clothing consumption behavior as the textile industry causes an excessive environmental footprint considering valuable resources as ever inexhaustible and, simultaneously, yields the highest sales among all e-commerce segments. Research Paper No. 1 hence takes a macro-perspective on sustainable clothing consumption behavior by examining the determinants of consumers’ purchase intention for sustainable clothing and factors influencing the intention-behavior gap. Research Paper No. 2 and No. 3 take a deeper dive and provide micro-perspectives on the topic: the impact of specific sustainable clothing attributes on customer satisfaction is investigated (Research Paper No. 2). To complement these findings, the importance of specific sustainable clothing (and online shop) attributes is then compared to the importance of specific conventional clothing (and online shop respectively) attributes (Research Paper No. 3). Within Part B of this thesis, Research Paper No. 4 and No. 5 focus on call center arrivals’ forecasting as call centers still constitute an essential customer touchpoint for e-commerce businesses: Reliable forecasts can enhance customer satisfaction with shortened waiting times and avoid overstaffing (and thus, unnecessary costs). Research Paper No. 4 therefore investigates the trade-off between accuracy and practicability of different machine learning models as these have been neglected by traditional forecasting literature. Research Paper No. 5 draws on these preceding findings and proposes a new dynamic harmonic regression model by incorporating the benefits of both approaches without (i.e., time series models) and with explanatory variables (i.e., machine learning and regression models). Research Paper No. 6 considers another prediction problem, which is particularly inherent to the online context of e-commerce, i.e., online shopping cart abandonment. It investigates the trade-off between accuracy and practicability of machine learning models for shopping cart abandonment prediction. Overall, this thesis allows the reader to gather a better understanding of the underlying challenges by providing fruitful insights and proposes different approaches as a solution. Thereby, it makes several key contributions to extant literature and provides essential insights and implications for practitioners.
... The delivery time is also important from the consumer's perspective, as wait times can lead to dissatisfaction (Katz et al. 1991;Pruyn and Smidts 1998) and adversely affect purchase intentions (Giebelhausen et al. 2011). For example, long wait times in online shopping will lead the consumer to abandon any products in their shopping carts (Rajamma et al. 2009). This tendency is primarily observed for mass brands; as few products and services cannot be replaced, any shortage or long wait times may create the risk of consumer loyalties shifting to other companies. ...
... For example, when few employees were working at a jewelry store or the store had many customers, the store was poorly evaluated due to concerns regarding wait times (Grewal et al. 2003). It has also been reported that wait times for services adversely affect consumer behavior in hospitals (Mowen et al. 1993), supermarkets (Tom and Lucey 1995), airlines (Taylor 1994), and on online shopping (Rajamma et al. 2009) and other websites (Nah 2004). Further, some consumers are willing to pay more to decrease wait times (Kalantari and Johnson 2018;Nguyen et al. 2019). ...
Article
Full-text available
Long wait times lead to consumer dissatisfaction and adversely affect purchase intentions. Therefore, in some cases, delivery times can be shortened by exceeding a company’s manufacturing and sales ability. However, the excess inventory accumulated due to the constant shortening of delivery times decreases the willingness to consume, and the brand value may decline due to consequent price reductions. Therefore, it is important to build an appropriate supply system by understanding the conditions under which the length of the delivery time adversely affects purchase intentions. The focus of this study is on the fact that, for the first candidate car, delivery time may not adversely affect the purchase intention. The impact on purchase intentions is examined under a randomized controlled trial within the Japanese automobile industry by extending the delivery time from 3 to 10 weeks. The results reveal that extending the delivery date of the first candidate car had no effect, but extending it for the second and subsequent candidates decreased purchase intentions. Thus, the consumer’s psychological time changes depending on purchase intentions, even if the wait time is physically the same. Therefore, for products with the highest category share, it is not worthwhile to excessively decrease delivery times.
... For example, more and more private and confidential financial info such as debit/credit card details are recorded on the database servers, online customers may be suspicious of using websites that are seems to be have less security aspects (Huang, 2002;Tarafdar and Zhang, 2005). Rajamma et al. (2009) quote insufficient privacy and security aspects as one of the main causes to leave the shopping cart of the website. Ranganathan and Ganapathy (2002) and Vijayasarathy (2004) privacy and security are significant factors of online shopping. ...
... The importance of trust is heightened in online environment owing to uncertainty. Customers fear on time delivery of product, quality of product, service provided and security/privacy of private and financial info (Mcknight et al., 2002;Pavlou, 2003;Forsythe et al., 2006;Rajamma et al., 2009). This trust feature mainly helps customers diminish sensitivities of risk (Pavlou, 2003). ...
... Perceived convenience influences consumers' cross-buying behavior (Liu and Wu, 2007) because it is one of the main advantages of one-stop shopping availability from one provider, allowing consumers to save time and effort shopping (Ngobo, 2004). Because cross-buying is perceived as easier and faster than sourcing separate suppliers, perceived convenience will positively influence cross-buying intention and negatively influence shopping cart abandonment (Rajamma et al., 2009). Thus, we hypothesize that: ...
... As a consumer's perception of time loss increases, he/she becomes more likely to abandon the purchase. Additionally, the perception of waiting for delivery time is assumed to be particularly crucial for online shoppers intending to economize on time, possibly generating sufficient dissatisfaction to cause them to abandon their shopping carts (Balabanis and Vassileiou, 1999;Rajamma et al., 2009;Wolfinbarger and Gilly, 2001). ...
... In an e-service environment, Zona Research (1999) cited in Chaffey (2009) concluded that customers" patience is even more worse; and thus are not willing to wait longer than 8 seconds for a page to load. Rajamma et al. (2009) recognize that especially for online shoppers who are termed as "conveniences seekers", any form of actual or perceived further delay of waiting time would most likely disconfirm their expectation of quick online shopping episode, and would consequently lead to abandonment. ...
... It is said, about 70% of purchasing decisions and 90% of all purchasing transactions are made offline (NOMi, n.d.); and hence it makes total economic sense to consider the topic of service level in the offline setting as well while discussing waiting. Customers in the offline environment on the other hand are referred to as those who shop for pleasure/experience (Rajamma et al., 2009). A customer who has made an effort to walk to a service center is willing to spend some time shopping, and has made a sacrifice, hence would not easily give up on waiting. ...
... Therefore, the researcher selects TPB in order to adequately explain why trust moderates the relationship of intention to buy online and buying online behaviour which is not sufficiently explained in the TPB. While marketing literature is complete with investigations focusing on virtually every aspect of consumer and shopping behaviour, little academic research focus has been directed toward understanding why consumers abandon a shopping cart towards the end, after they have selected the product (Rajamma, Paswan, & Hossain, 2009). Therefore, it is necessary to find more about this to fill the knowledge gap. ...
... This two stages process did not identify the complicated situations in abandoning the e-carts It is also important to probe the causes of the abandonment behaviour. According to Rajamma, Paswan, & Hossain (2009), reasons for abandonment are taking long lines, cumbersome and boring checkout process. However, perceived uncertainty factors, medium/channel innovation factors and contextual factors may be the reasons for abandonment (Cho et al., 2006). ...
Thesis
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This study focuses on Ajzen’s (1991) theory of planned behaviour (TPB) to explain and predict the buying behaviour of online customers. The study trails two online consumer behaviours: (1) buying online (success) and (2) abandoning online shopping cart (failure). First, researcher probed the literature related to these two online customers’ behaviour and developed two possible hypotheses to result these two behaviours. Secondly, the successful behaviour was influenced by the purchase intention (PI) as suggested in TPB and the unsuccessful behaviour is determined in association with trust as suggested in the Commitment Trust theory. The study started with an empirical gap of abandonment behaviour. A 71% of the online buyers who have the buying intention tend to place products in the online shopping carts and leave without buying those. This is a severe issue for electronic commerce web vendors and e-tailers. Not much of researchers focused on this issue and as a result the researcher wanted to study on this. The successful behaviour (29% of users buying online) can be explained by the TPB whereas no researcher could explain the failure behaviour (71% of the abandonment behaviour) in terms of a moderating interaction. The researcher developed a conceptual framework to express this problem and the relationship. The hypotheses were developed in order to find out the possible causes of the failure behaviour. Literature revealed that the causes associated with the failure behaviour was more trust and commitment oriented. Therefore the researcher developed the conceptual framework towards the supported literature. A cross sectional study with online respondents was proposed by the researcher and accordingly the data collection, data analysis techniques were developed. Researcher followed the quantitative method to gather primary data and survey method was used. A standard and tested questionnaire was distributed to measure the variables of the model and the collected data were analysed using statistical data analysis methods. Data were collected through both online and on-paper methods. The number of respondents were 589 and initial data screening eliminated 68 questionnaires due to inappropriateness of the responses. The remaining 521 responses were analysed using Statistical Package for Social Sciences and AMOS. The initial model fit was tested and the results confirmed the appropriateness of remaining data for the analysis. Then both the Bayesian regression and Logistic regression were used in order to analyse the demographic factors and hypotheses testing. The Bayesian regression provided for each gender, age, country basis and marital status. Since the dependent variable consisted of a categorical type (binary) variable the Logistic regression statistics were used to test the hypotheses. The first hypothesis was the direct relationship of Purchase Intention (PI)” and Buying Behaviour (BB). It was accepted since the logistic regression model was statistically significant, χ2 (2) = 26.606, p-value=0.000 < 0.05. The model explained 7.6% (Nagelkerke R2) of the variance in the “(BB)”. Further, when “ (PI)” score increases by one unit, the odds of buying behaviour increases by 2.882 times, and when the trust score increases by one unit, the odds of buying behaviour increases by 1.501 times. The next hypothesis was the trust as a moderator. It was too accepted as the logistic regression mode with the interaction between of “Purchase Intention” and “Trust” added, is also statistically significant χ2(3) = 29.745, p-value=0.000 < 0.05. Further, this new model explains 8.4% of the variance in the “Buying Behaviour”, which is slightly higher compared to the previously fitted model. The interaction effect is statistically significant at 10% significance level (p-value= 0.079 < 0.10). This indicates, there is a potential moderating effect of “Trust” on the relationship between “Purchase Intention” and “Buying Behaviour”. Thus, it can be concluded that there is a complete moderation occurs. This study has contributed towards building new knowledge. It has implications for TPB, trust literature and also implications for practice and public policy.
... An inconvenient transaction process can cause consumers to abandon the purchase. According to Rajamma et al. [49], the complication of filling an order, inflexibility in common information selection, technical failure at the checkout stage [49], and inconvenient payment method can affect a transaction. In the bricks-and-mortar shopping context, consumers generally dislike waiting too long for payment [50]. ...
... An inconvenient transaction process can cause consumers to abandon the purchase. According to Rajamma et al. [49], the complication of filling an order, inflexibility in common information selection, technical failure at the checkout stage [49], and inconvenient payment method can affect a transaction. In the bricks-and-mortar shopping context, consumers generally dislike waiting too long for payment [50]. ...
Article
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The research aims to examine what service convenience factors drive customer satisfaction in travel websites from the perspective of older travelers, and if older travelers’ satisfaction enhances e-loyalty. Additionally, drawing on socioemotional selectivity theory, this study argues that the social presence in travel websites plays a significant moderating role in increasing older travelers’ satisfaction. To empirically verify the conceptual model, an online survey was conducted targeting older travelers aged over 50 in the USA who have purchased products via travel websites. The data from 308 older travelers were analyzed, and the results revealed four dimensions of service convenience positively influence satisfaction. Unexpectedly, access convenience and transaction convenience do not influence older travelers’ satisfaction. The older travelers’ satisfaction with travel websites has a positive impact on e-loyalty. Additionally, social presence amplifies the effect of post-purchase convenience on satisfaction. The current research makes a significant contribution to understanding older travelers’ perceptions and behaviors for using e-commerce service in the field of tourism and provides practitioners with effective ways to attract older travelers for sustainable management of travel websites.
... This prompting may influence shoppers' perceptions and behaviours (e.g., becoming irritated) leading to the propensity to increase shopping cart abandonment. In addition to the impact of coupons, transaction inconvenience, risk and waiting time have also been found to increase the chances that consumers will abandon their cart (Rajamma et al., 2009). Kukar-Kinney et al. (2010) employed survey data from 289 online consumers to explore the reasons for cart abandonment. ...
... becoming irritated), leading to the propensity to increase shopping cart abandonment. In addition to the impact of coupons, transaction inconvenience, risk and waiting time have also been found to increase the chance of consumers abandoning their cart (Rajamma et al., 2009). Kukar-Kinney et al's (2010) study employed survey data from 289 online consumers to explore the reasons for cart abandonment. ...
Thesis
Machine Learning (ML) and Econometrics models are a powerful tool for developing and testing theories by way of prediction, causal explanation and description. In many businesses, the priority and focus are; do I predict, or do I explain? Nearly all decisions are based on predictions and causal explanation, whether more intuitive or deliberative. This thesis, which is divided into three papers, explores the use of prediction methods and causal explanation, with applications to financial markets and marketing/e-commerce. In paper one, we compared the accuracy of deep and shallow architectures by predicting thirty-four different stock indices across different time horizons (daily, hourly, minute and tick level) using financial market data. We contribute to the ML literature by exploring the degree to which is possible to predict stock price indices across different time horizon and markets. Paper two explore the use of behavioural data from a large retail organisation to understand cross device browsing behaviour. These allows us to fill an important gap that exists in marketing/e-commerce literature, about which platform offers higher conversion rates and how online consumer browsing and buying behaviour differs among these platforms. Despite conversion rate across devices, a large proportion of consumers leave items in their shopping cart without completing a purchase in a session. This is referred to as cart abandonment. Industry report shows the rate of cart abandonment across all sectors of 75.6%. In paper 3, we developed a unified framework using a recursive bivariate probit (RBP) model to explain the differences in online shopping cart abandonment across mobile and nonmobile devices. To our knowledge, extant research has not examined online shopping cart abandonment across mobile and non-mobile devices with field data or e-commerce click stream data. Our framework used features such as when shoppers have high basket values, browsing in the evening, if reading reviews on mobile vs non-mobile channel and numbers of attempted credit card failures on mobile vs non-mobile channel to understand device differences. In summary, this thesis offers insights into decision-making using prediction methods at the algorithmic and individual level.
... Expanded upon, transaction convenience consisted of simple and convenient online payment, flexible payment methods, and the absence of difficulty in completing a purchase; which, shall neglected would cause abandonment of purchasing process (Ling et al., 2013;Jih, 2007;Kaura, Prasad, & Sharma, 2015). Technical difficulties and lack of payment alternatives during online purchases would then entail customer's tendency to desert the transaction (Rajamma, Paswan, & Hossain, 2009). ...
Article
Service convenience has undoubtedly gain substantial recognition for both goods and service industries within recent years towards forging an enduring competitive advantage. Considering heightened market expectations in the mobile service industry, importance of capitalizing on relevant elements is highlighted to retain, further strengthen users’ loyalty. Technological advancement has then created opportunity for differentiation in the area of reachability, particularly on the transaction convenience and access convenience of specified mobile service. Alongside product involvement, brand image and perceived value as hypothesized predictors of users’ allegiance towards a mobile service, this study explored factors which influence customers’ loyalty and propensity to leave within the mobile service industry. Convenience sampling approach was hereby implemented, following distribution of close-ended questionnaires among 400 respondents. Data analysis was then conducted through employment of the SEM AMOS software. As such, results obtained discovered product involvement, perceived value, transaction convenience and access convenience being direct predictors of both dependent variables; with the exception of brand image which doesn’t affect propensity to leave, despite being a significant antecedent to customers’ loyalty. Additionally, transaction convenience was revealed as an active moderator to the impact of perceived value on (i) customer loyalty, and (ii) propensity to leave. Centred on the transactional aspect in the mobile service industry, more effective service marketing strategies can be developed through gained insights from this research, with excelling sustainable customer retentions. © 2020, Asia Business Research Corporation. All rights reserved.
... Moreover, waiting time also reduces people's overall satisfaction with the services they receive (Riel et al., 2012). For example, shoppers who are kept waiting could abandon their transaction mid-way through the loading of payment (Rajamma et al., 2009). Therefore, it is important to design a progress indicator that minimizes the anxiety caused by the subjective perception of waiting too long (Maister, 1984), thus reducing the chances that the user will abort the task (Conrad et al., 2010). ...
Article
Progress indicators act as a status indicator for the visual response process, which in turn has a significant impact on human-computer interaction. We often see ring type and bar type progress indicators in our daily life, but how does one choose the appropriately shaped design? This study uses two experiments to answer the above question, with the aim of maximizing the quality of the user experience. Thirty-six participants were asked to estimate the duration and to evaluate their preferences. The physiological data were collected in real time. The results show that shape affects women's preferences and speed perception for progress indicators. Under the condition of a long waiting time, the waiting experience is better when using the ring type design for all subjects. The quality of the user experience increased when using a progress indicator design that included percentage of task completion. In addition, we provide a reference for the user-friendliness design of progress indicators.
... Throughout the shopping activity in hypermarkets, the most critical bottleneck faced by shoppers is the checkout counter. Long queues (Ngamsirijit, 2012), inordinate waiting time (Yunus and Sumartoyo, 2012), the inconvenience of the transaction, and perceived risk might lead shoppers to abandon their shopping trolley (Rajamma et al., 2009). In line with the new generation that is highly adapted to technology, investment in better selfservice technology is expected to encourage more people to shop at a particular hypermarket outlet since the usage of service innovations (Sridhar and Ganesan, 2015) is expected to boost the market value (Anning-Dorson, 2017). ...
... A customer's reactions to WT can affect his/her perception of how goods and services are delivered (Rajamma, Paswan, & Hossain, 2009). According to some authors, delays in the process of delivering goods and services can bring discomfort to the customers that will, in turn, result in negative perceptions; on the other hand, the delivery of goods scheduled brings a positive perception. ...
Article
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This study examines customer satisfaction with waiting time (WT) and customer loyalty (CL) relationships in the airline industry. The mediating influence of waiting time satisfaction (WTS) in the self‐service technology (SST) and CL relationship was also examined. Seven hundred fifty structured questionnaires were administered at Sabiha Gökçen, and Instabul international airports in Turkey and partial least square–structural equation modeling were employed for the model analysis. The findings reveal that SST, perceived, retrospective, and prospective WTs are major determinants of WTS. Furthermore, SST and WTS were found to have a linear and significant positive influence on CL. Therefore, this study suggests that the airport management should identify the causes of WT, make the waiting environment conducive for the customers, make the WT inconsequential to the customers, and enhance their loyalty to the airport.
... Although such anxiety-related time distortion has been thought to be an evolutionary basis that facilitates adaptive responses to environmental stimuli (Matthews and Meck, 2014;Lake et al., 2016), in some situations, an anxious individual might not desire such time distortion. For example, previous studies have found that prolonged waiting of time can lead to anxiety (Dasu and Rao, 2009;Van Riel et al., 2012), which in turn leads to irrational decision-making behaviors (Rajamma et al., 2009;Aniae et al., 2011). Therefore, methods of reducing anxiety-related time overestimation are required. ...
Article
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Anxiety has been found to lengthen time perception, especially the time perception of negative stimuli. This anxiety-related time overestimation is thought to be mainly associated with massively increased arousal. Suppression, which can be achieved either deliberately or automatically, has been demonstrated to be effective in reducing arousal. Consequently, the present study explored the effectiveness of both deliberate suppression (Experiment 1) and automatic suppression (Experiment 2) in reducing the time distortion in anxiety. A temporal bisection task (TBT), featuring negative and neutral pictures, was used to measure time perception, while the self-reported arousal was used to assess arousal. The deliberate suppression was manipulated by asking participants to suppress their emotional expressions; while automatic suppression was manipulated through a sentence-unscrambling task featuring suppression-related words, which can unconsciously prime suppression. The results of Experiment 1 showed that deliberate suppression did not reduce the anxiety-related time overestimation and arousal. However, Experiment 2 showed that automatic suppression significantly reduced the anxiety-related time overestimation, with significant arousal reduction being observed. In conclusion, automatic suppression, but not deliberate suppression, is effective for reducing the effect of anxiety on time perception.
... On the other hand it has several disadvantages in medium of transaction. Several studies have pointed out the advantages (Pingjun, 2002;Hsin and Hsin Wei Wang, 2011) and disadvantages such as product risk, delivery and return risk etc. (Russell, 1999;Gregory, 2005;Anita Lifen etal., 2008;Rajasree et al., 2009 andKrishnan, 2017). ...
Article
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The present study is undertaken to explore perception among the consumers towards shopping of household products through online. In this regard a sample size of 680 consumers was selected through main survey. This descriptive study is adopted non-probability snowball sampling technique for obtaining consumer perception. The variables of the study are: Perceived Risks and Perceived benefits (independent variables), Consumer Attitude is mediating variable and online shopping behavior is the outcome variable. Structural Equation Modeling (SEM) is used to test the conceptual framework, the result shows good fit to the sample data. Hence, finding of the study shows that majority of the respondents perceive insecured transactions in online payments and risks on the online stores. Hence, the online stores would try to gain the faith on the consumers in online transactions.
... Time-saving is an antecedent to many shopping-related constructs. For example, greater time-saving perceptions lead to superior shopping enjoyment, higher store loyalty, and lower shopping cart abandonment rates (Marmorstein, Grewal, & Fishe, 1992;Rajamma, Paswan, & Hossain, 2009;Anderson et al., 2014). The time-saving convenience is the primary reason for consumers to shop online and prefer one-stopshopping (Messinger & Narasimhan, 1997;Morganosky & Cude, 2000). ...
Article
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Cashback shopping has proliferated in the modern retailing landscape. Intuitive thinking may imply that cash-back payment drives shoppers to patronize cashback sites; however, this research provides a counterintuitive explanation. Using a field study and an online experiment, this research demonstrates that cashback (vs. regular) shopping increases online shoppers' time/effort saving perceptions, enlarges their monetary saving perceptions, and the time/effort and monetary saving perceptions in turn, boost their online expenditure and shopping frequency. This work reveals that cashback shopping removes the cost of time and the cost of money in a price search and thus represents a more advanced shopping model that allows consumers to enjoy the shopping journey. Based on the findings, online retailers should consider integrating price search functions in their website design and emphasizing time-saving rather than money-saving in their marketing communications.
... The effect of payment as technical issues on online shopping experience and online shopping satisfaction was highlighted by previous researchers. For instance, Rajamma et al. [32] identified one the main reasons that led to the customers' abandon of online shopping cart was transaction inconvenience. Other technical problems during online shopping refer to inappropriate setup in website's navigation functions or the lack of computerize knowledge from online shoppers [33]. ...
Article
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The negative impacts of COVID-19 to every aspects of social-economic structure lead to the retail industry’s changes by shifting from traditional way to online shopping. Although Vietnam is potential market of e-commerce, there are still lots of barriers of online shopping to customer behaviour, especially how to improve the customer experience in purchasing process. Therefore, this paper analyses the mediating role of customer experience on the relationship between online shopping determinants such as: payment barrier, bad complaint resolve, slow delivery process, poor product quality, technical problem, and customer satisfaction in Vietnam. The online survey is conducted according to the related theories, relevant empirical evidence, and pilot study to collect reliable data from 360-400 respondents in Ho Chi Minh city and Ha Noi city. Some quantitative data analysis techniques are proposed and used in this study, including descriptive statistics, reliability, explanatory factor analysis, variance analysis, Pearson correlation analysis, confirmatory factor analysis, and structural equation modeling. For using them, the researcher expects that all factors have significant and negative effect on customer satisfaction through customer experience. By developing one of the first research attempt on pre-normal phase of COVID-19 pandemic, the researchers believes the marketers and top managers at e-commerce companies in Vietnam to have sufficient information about how their customers’ experience with online shopping platforms and related services.
... Visa UK estimated that consumers spend about 273 days of their lives waiting in queues and it takes 35-to 44 year olds 12 minutes in a queue to get seriously annoyed (Dickinson, 2006). Even in online shopping, customers abandon their shopping carts even before the purchase is completed (Rajamma, 2006). ...
Article
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This paper describes the common problems that urban Filipinos encounter while shopping for groceries in supermarkets. Store exit interviews with 500 customers were conducted to elicit reasons for retail patronage and shopping difficulties. Typical Filipino shopping problems are not markedly different from their Western counterparts. Implications on how to improve the shopping experience and retail patronage are identified for Filipino retailers.
... Additionally, excessive time a website may take to load and the transaction process that is too complicated, or the quality of the goods is questionable may lead to frustration (Harrison-Walker, 2002). Rajamma et al (2009) also showed that transaction inconvenience is a significant predictor that causes consumers' ceasing the online shopping process as they expect a fast and website-related convenient process. Hence, we expect that the higher the level of consumers' frustration with transaction inconvenience, the greater the shopping cart abandonment. ...
Article
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Online shopping has been around for decades; however, only recently it becomes mainstream, especially during a pandemic. Due to the rise of online shopping activities, the rate of shopping cart abandonment also increases concurrently. This issue damages the e�tailer's business. It causes trillions of dollar losses annually and generates problems such as high advertising costs, signals a poor user experience and impacts website analytics. Thus, this research is conducted to delve into this topic and explain this behaviour among young adults. A self-administered online questionnaire has been conducted and distributed to people in their 20's to '30s, and 255 completed questionnaires were obtained. However, only 252 respondents were analyzed. Regression and correlation analysis documented that organizational tools, entertainment value, and perceived cost were the underlying factors leading to young adults' shopping carts abandonment. These findings will help the e-tailers to understand young adult behaviour towards online shopping and can be treated as indications to lessen shopping cart abandonment.
... Security-related measures are generally viewed as bothersome and obstructive [34], constraining and inconvenient [35], and negatively impacting productivity [36], especially in the context of mobile devices. People tend to forsake their efforts when inconveniences are encountered [37][38][39][40]. The majority of respondents in [8] chose not to apply security measures to their mobile devices due to the complexity of the measures. ...
Article
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Abstract: Personal mobile devices form an integral part of business activities today. Mobile devices, nevertheless, pose various security issues and data privacy threats, which require a close attention. The rational choice theory was utilized to examine the determinants of employees’ security behavior in relation to mobile device usage. Employees were postulated to rationally evaluate the costs and benefits of mobile security measures and decide on the option that is perceived to provide the best expected outcome. Twelve out of thirteen hypotheses examined in this study were found to be significant. We also hypothesized that demographics and work-related variables significantly affect employees’ mobile security practices, examined using ordinal logistic regression analysis. The findings indicate the efficacy of the rational choice theory in explaining mobile security behavior. Security inconvenience has been found to be a significant cost to information security measures. Moreover, the findings also showed the influence of gender, job function, past security experience, and perceived risk on the dependent variable. In conclusion, we would like to draw considerable attention to the contribution of security awareness programs and security training to good mobile security behaviors.
... Download delay is one of the major impediments to growth in online commerce and one of the primary causes of e-commerce failures [15]. The literature has found that online waiting is associated with negative business outcomes, such as negative brand attitudes [16], lack of trust [17], interruption of the flow experience [18,19], problems in maintaining interactivity [20], consumer abandonment [21][22][23]. How network conditions impact user experience is a popular topic for online games. ...
... Online sellers also need to improve convenience and value for buyers and overcome their security and trust (MarkMonitor, 2018). Several works in the literature have pointed out barriers to online shopping, including risk, technology unfamiliarity and lack of physical contact (Rajamma et al., 2009;Hansen and Jensen, 2009;Tong, 2010;Lian and Yen, 2013;Qureshi et al., 2014;Tandon et al., 2015;Faqih, 2016). However, most of these works have not explored online shopping barriers with both the sellers' and buyers' perspectives. ...
... A recent stream of marketing research has examined the inhibitors and catalysts of OSCA across various themes, such as financial and psychological risks (Cho et al., 2006;Rajamma et al., 2009), privacy/security concerns and time pressure (Rubin et al., 2020), product presentation formats (e.g., visual and verbal information), and online decision styles and attitudes (Anesbury et al., 2016;Yazdanparast and Spears, 2013). Another noteworthy study by Huang et al. (2018) adopted the cognition-affect-behavior framework to investigate the influence of consumers' internal emotional ambivalence on OSCA. ...
Despite the widespread prevalence of online shopping cart abandonment (OSCA) and allusions to this behavior in popular press, scholars have yet to examine the key determinants of OSCA. This study used the stimulus-organism-response (S-O-R) model to explore the factors influencing consumers’ OSCA and decision to buy from a land-based retailer. Two studies were carried out to test the proposed hypotheses among Mainland China’s Generation Y consumers. Data was collected based on two product categories (i.e., apparel and electrical appliances) at two different time scenarios (i.e., pre- and post-pandemic). The findings reveal that hesitation at checkout increases OSCA, while consumers' decision to buy from a land-based retailer is influenced by their emotional ambivalence and OSCA. Furthermore, fear appeals appear to weaken the relationship between OSCA and the decision to buy from a land-based retailer. This study has implications for researchers and practitioners who seek to effectively reduce the rate of OSCA.
... These steps may slow down their work and thus pose an inconvenience to the employees. Past studies have shown that people tend to abandon their efforts or change their behaviour when faced with inconveniences (Rajamma et al., 2009;Cheng and Liu, 2012;Liang et al., 2013;Barbarossa and Pelsmacker, 2016). Therefore, we postulated that perceived inconvenience significantly influence SAB and outcome expectation. ...
Article
Purpose The purpose of this research is to explain the influence of information security monitoring and other social learning factors on employees’ security assurance behaviour. Security assurance behaviour represents employees’ intentional and effortful actions aimed towards protecting information systems. The behaviour is highly desired as it tackles the human factor within the information security framework. The authors posited that security assurance behaviour is a learned behaviour that can be enhanced by the implementation of information security monitoring. Design/methodology/approach Theoretical framework underlying this study with six constructs, namely, subjective norm, outcome expectation, information security monitoring, information security policy, self-efficacy and perceived inconvenience, were identified as significant in determining employees’ security assurance behaviour (SAB). The influence of these constructs on SAB could be explained by social cognitive theory and is empirically supported by past studies. An online questionnaire survey as the main research instrument is adopted to elicit information on the six constructs tested in this study. Opinion from industry and academic expert panels on the relevance and face validity of the questionnaire were obtained prior to the survey administration. Findings Findings from this research indicate that organisations will benefit from information security monitoring by encouraging security behaviours that extend beyond the security policy. This study also demonstrates that employees tend to abandon security behaviour when the behaviour is perceived as inconvenient. Hence, organisations must find ways to reduce the perceived inconvenience using various security automation methods and specialised security training. Reducing perceived inconvenience is a challenge to information security practitioners. Research limitations/implications There are some limitations in the existing work that could be addressed in future studies. One of them is the possible social desirability bias due to the self-reported measure adopted in the study. Even though the authors have made every effort possible to collect representative responses via anonymous survey, it is still possible that the respondents may not reveal true behaviour as good conduct is generally desired. This may lead to a bias towards favourable behaviour. Practical implications In general, the present research provides a number of significant insights and valuable information related to security assurance behaviour among employees. The major findings could assist security experts and organisations to develop better strategies and policies for information security protection. Findings of this research also indicate that organisations will benefit from information security monitoring by encouraging security behaviours that extend beyond the security policy. Social implications In this research, the social cognitive learning theory is used to explain the influence of information security monitoring and other social learning factors on employees’ security assurance behaviour; the finding implies that monitoring emphases expected behaviours and helps to reinforce organisational norms. Monitoring may also accelerate learning when employees become strongly mindful of their behaviours. Hence, it is important for organisations to communicate the monitoring practices implemented, even more imperative whenever security monitoring employed is unobtrusive in nature. Nonetheless, care must be taken in this communication to avoid resentment and mistrust among employees. Originality/value This study is significant in a number of ways. First, this study highlights significant antecedents of security assurance behaviour, which helps organisations to assess their current practices, which may nurture or suppress information security. Second, using users’ perspective, this study provides recommendations pertaining to monitoring as a form of information security measure. Third, this study provides theoretical contribution to the existing information security literature via the application of the social cognitive learning theory.
... Along with perceived waiting time, the perceived risk was both an antecedent to the abandonment of the shopping cart. (Rajamma et al., 2009). Thus, the developed hypothesis is: H4: There is a significant relationship on young shoppers' perception about the uncertainty of online shopping. ...
... This suggests that provider of PETs should offer tariffs with a low monetary barrier to convert free users to paying users. However, even with a low monetary barrier, there would still be the need to resolve the payment barrier, which regularly show in e-commerce when customers are abandoning their shopping cart before the payment process [176]. ...
Thesis
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In order to address security and privacy problems in practice, it is very important to have a solid elicitation of requirements, before trying to address the problem. In this thesis, specific challenges of the areas of social engineering, security management and privacy enhancing technologies are analyzed: Social Engineering: An overview of existing tools usable for social engineering is provided and defenses against social engineering are analyzed. Serious games are proposed as a more pleasant way to raise employees’ awareness and to train them. Security Management: Specific requirements for small and medium sized energy providers are analyzed and a set of tools to support them in assessing security risks and improving their security is proposed. Larger enterprises are supported by a method to collect security key performance indicators for different subsidiaries and with a risk assessment method for apps on mobile devices. Furthermore, a method to select a secure cloud provider – the currently most popular form of outsourcing – is provided. Privacy Enhancing Technologies: Relevant factors for the users’ adoption of privacy enhancing technologies are identified and economic incentives and hindrances for companies are discussed. Privacy by design is applied to integrate privacy into the use cases e-commerce and internet of things.
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Purpose: This research identifies and ranks the decision factors associated with online shopping adoption in Australia. Design/Methodology/Approach: Primary data for this study was collected with self-administered questionnaires and analysed using EFA and logit regression.Findings: The following factors, ranked in order of importance, influence online shopping behaviour in Australia: perceived risk, service quality, website factors, brand image, product variety and Australian product loyalty. The findings also show that demographic characteristics also influence the probability that Australian consumers will shop online. Originality/value: This is the first empirical study in which the decision factors influencing Australian consumers’ decisions to shop online are examined. The research contributes to the empirical literature on online shopping from a theoretical perspective as the modelling framework can be used to analyse online shopping behaviour in different cultural settings. Longitudinal studies based on the modelling framework can also be undertaken to identify emerging decision factors and to track the changes in importance of the current factors. The results will also enable retailers to make informed decisions on their existing or future shopping channels.
Article
Purpose This paper aims to examine the unintended negative effect of incentivizing shoppers to make unplanned purchases through incentive reminders during shopping trips. Design/methodology/approach Two experimental studies with between-subject designs were conducted to examine the effect of incentive reminders and related factors on abandonment intention. Findings When the search for unplanned purchases needed to reach promotional threshold fails, shoppers’ propensity to abandon a transaction increases if they are reminded of an incentive during their shopping trip. When the size of the planned purchases is relatively larger than the incentivized unplanned purchases, abandonment propensity is higher in response to reward type incentives, whereas when the size of the planned purchases is relatively smaller than the incentivized unplanned purchases, abandonment propensity is higher in response to avoidance type incentives. Research limitations/implications This research intersects and integrates several research domains, specifically transaction abandonment, promotional reactance, unplanned purchases and promotion framing. Practical implications Findings from this research help managers understand the possible negative consequences of incentive reminders and offer suggestions for decreasing shopper propensities to abandon transactions in response to incentive reminders aimed at increasing transaction sizes. Originality/value This is the first study to highlight (i) the possible effect of incentive reminders on transaction abandonment; (ii) the influence of the size of unplanned purchases and incentive types on abandonment; and (iii) the underlying roles of perceived value of planned purchases and fairness perceptions in abandonment.
Article
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This study attempts to understand online retail format choice behavior of Indians through cultural dimension of individualism-collectivism. Extended reasoned action model of Fishbein and Ajzen was used to explain the behavior. Owing to collectivist nature of Indian culture, effect of perceived risk, perceived norms, and perceived behavior control on customer attitude were examined by analyzing 615 Indian customers through multianalytic techniques of structural equation modeling and neural network. The results confirmed their role in attitude formation, with perceived norm revealed as dominant predictor of attitude and intention. This highlighted the pivotal role of normative pressure on consumer behavior in collectivist cultures, which is unlike individualist cultures that are governed by personal attitude.
Article
Consumer behavior and decision processes can differ according to product characteristics. To determine the characteristics that lead to explaining online shopping cart abandonment, this study adopts product categories as the unit of analysis and identifies product categorization variables and motivations for various shopping activities. The results of the present analysis indicate that among the motivations for shopping activities, deliberation, offline physical inspection, and hedonic shopping value have significant effects on cart abandonment. Among the product categorization variables, price, perceived importance, symbolic value, experience attribute, and purchase frequency have indirect significant effects on cart abandonment through the motivations for shopping activities. Finally, price has a direct effect on cart abandonment.
Article
Purpose Online cart abandonment is a severe issue posing challenges to e-commerce growth. Emerging economies such as India fascinates global marketing practitioners because of favorable demographics and high levels of internet penetration. This study aims to consider the role of certain exogenous factors in developing shopping motivations that sequentially mediate to online purchase completion through impulsiveness under risk perceptions. The primary motivation behind this study is to understand the mental mechanism among online customers that develop purchase completion intentions, which prevent cart abandonment significantly. Design/methodology/approach Impact of e-commerce exogenous factors related to e-commerce such as website attributes, product features, promotional excellence and decision-making easiness on shopping motivations, impulsiveness and purchase completions intentions under the moderating effect of risk was estimated from the perceptions of Indian online customers ( n = 243) using variance-based structural equation modeling and SPSS process macro v.3.0. Findings The most important exogenous variable that can influence purchase completion directly, sequentially through shopping motivations is decision easiness and promotions. Even though utility motivations are dominant in purchase completion intentions, hedonistic aspects are more critical in developing impulsiveness. The translation of impulsiveness to purchase completion is happening, but risk perception significantly moderates impulsiveness formation. Research limitations/implications Theoretically, this study examined online purchase completions being the most sought response by a customer to various stimuli in e-commerce. The study adopted a moderated mediation analysis in which shopping motivations and impulsiveness were mediators and risk as moderator. The interaction effect of risk on purchase completions was significant even when the mediating effects were prominent. Practical implications Contributes to the current knowledge-related online buying behavior in virtual retail formats and helps marketers in streamlining their focus in using impulsiveness as a strategic tool in reducing cart abandonment. Originality/value This study helps in understanding emerging trends in online buying behavior in India.
Cart abandonment is a phenomenon which has perplexed online retailers since the inception of online shopping. Over time, the current phenomenon has become even more complicated, giving rise to a newer form of abandonment, check-out abandonment. While cart abandonment is a known term in online retailing, check-out abandonment is still not much known. Analyzing the responses of 267 users shopping on one of the largest online retailers in India, the study used structural equation modeling to reveal the two types of abandonment phenomenon's and their underlining factors. The study further investigates the two type of abandonment phenomenon's and identify related drivers leading to cart and check-out abandonment. Empirical results reveal that cart abandonment is a result of multiple variables starting from cross channel price disparity, free shipping, ratings and review to platform aesthetic design. Whereas check-out abandonment, is a result of shipping policy and account fatigue. In addition, ‘single females’ were identified to abandon their shopping process before the check-out page whereas ‘married males’ were identified to abandon their carts post the check-out page. The study discusses contribution to theory and provides future research directions for marketers, especially online retailers.
Article
Objective - The success of e-commerce depends on the numbers that is taken into consideration. At the customer side, the trend of online shopping triggers more people to do purchase by online and it also reflect on the business side where they will start to upgrade their business one step ahead by creating e-commerce website. Methodology/Technique - Jakarta, as Indonesia's capital city is the place of the survey of the study with 100 respondents where the result from the questionnaire feedback will portray on what are people take into consideration about the website and justification as well as the result provide a better understanding about web user behaviour or in the other words willingness to stick, trust and understand the consequences of perceived risk to a website. Findings - The result gives the suggestions to the businesses to create an overall reliable website design and structure to engage their customer and translate to the success of e-commerce. Novelty – However, the lack of overall website structure will affect to the web user behaviour which indirectly impact to the success of e-commerce. Novelty - The finding of this study would enhance understanding of the issues of reward system among employers in manufacturing organizations which can influence the effectiveness of employee creativity. It also will be beneficial to the management in puttingsuch efforts to increase employees' creativity. Type of Paper - Empirical Paper Keywords : Stickiness; Perceived Risk; Trust; Online Purchasing Intention; Website Quality; Web User Behaviour
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In this paper, we propose a system that is able to forecast the purchase intention of users visiting e-commerce platforms from data collected as they browse on these websites. We use the Online Shoppers Purchasing Intention Dataset available at the University of California Irvine Machine Learning Repository. Thanks to some feature engineering methods, we deeply study the correlation between the various information. We also derive new information / features from the dataset by inference. The most relevant data is fed to gradient boosting, artificial neural networks and other algorithms in order to forecast whether or not a user intends to make a purchase. We evaluate the performances with the precision metric and the F1- Score. The experiments show that our gradient boosting model performs better than the state-of-the-art models thanks to the new features used. This also confirms that, in addition to being interpretable, some classic machine learning models such as gradient boosting can be very competitive compared to neural networks. This system thus conceived can allow e-commerce platforms to identify users intending to make a purchase. This gives them the possibility of offering personalized solutions to their potential customers in order to better attract them and guarantee their purchase, which will imply increased sales and better customer satisfaction.
Conference Paper
Digital economy has brought about an era during which sales have become more automated and convenient. Geographical barrier is no longer an issue and traditional business organizations will eventually loose out if they do not change in this new economy. Consumers in Malaysia have become more accustomed to online shopping, especially during the Covid-19 pandemic, due to the a number of factors including time saving, price flexibility and range of products. However, several issues such as product quality and delivery time have hindered the full potential of online shopping in Malaysia. This study aims to identify the challenges of online shopping faced by consumers in University College TATI. A pilot study was conducted involving the staffs and students at University College TATI. Results reveal that lack of product information is seen as the most significant factor that inhibits online shopping followed by customer service, delivery time, payment option, and product quality. Additional results include Shopee as the most preferred online shopping platform, followed by Lazada, Amazon and GoShop. Smartphones is the device of choice for online shopping compared to other devices and it is expected that the trend would continue. This paper has empirically confirmed, to some extent, earlier studies regarding online shopping in Malaysia.
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Online shopping cart abandonment has become a major problem for e-tailing firms. This study aims to understand consumers’ online shopping behavior and provide valuable insights regarding psychological and cognitive factors behind shopping cart abandonment. The study uses structural equation modeling and SPSS process Macro for data analysis. The results show that ‘comparison shopping’ mediates the relationship between value-consciousness and shopping cart abandonment. Further, cognitive conflicts moderate the mediating effect of value-consciousness on shopping cart abandonment through comparison shopping. This study contributes to consumer behavior and retailing literature by identifying factors that influence online shopping cart abandonment behavior while examining cognitive consistency theory in the Indian online market. It enumerates several important implications and strategies for e-tailers, which they could implement to reduce shopping cart abandonment.
Purpose Big data analytics (BDA) and machine learning (ML) can be used to identify the influencing factors of online service supply chains (OSSCs) and can help in the formulation of optimal pricing strategies. This paper analyzes the influencing factors of customer online shopping from the demand-side perspective and formulates optimal pricing strategies from the supply-side perspective. Design/methodology/approach This paper uses ML and the Stackelberg game approach to discuss OSSC management. ML's feature selection algorithm is used to identify the important influencing factors of 12,330 customers' online shopping intention data using four different classifiers. The Stackelberg game approach is used to analyze the pricing strategies of integrators and suppliers in OSSCs. Findings First, the feature selection algorithm can improve the efficiency of optimization in big data samples of OSSCs. Second, the level of visualization and the quality of information (page value) will affect the purchase behavior of customers. Finally, the relationship between the optimal pricing and the level of visualization is obtained through the Stackelberg game approach. Practical implications This paper reveals the phenomenon of “mystery customers,” and the results of this paper can provide insights and suggestions regarding the decision-making behavior of integrators and suppliers in OSSC management. Originality/value Considering customer behavior intention, this paper uses a data-driven method to explore the influencing factors and pricing strategies of OSSCs. The empirical results enrich the existing OSSC management research, proposing that the level of product visualization and information quality plays an important role in OSSCs.
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Bilindiği üzere günümüzde artan bir hızla geleneksel alışverişe bir alternatif olarak çevrimiçi alışverişin payı gün geçtikçe artmaktadır. Geleneksel alışverişte müşterilerin bir alışveriş sepetine doldurdukları ürünleri satın almadan bırakmaları ender rastlanan bir durumken; çevrimiçi alışverişte her beş alışveriş sepetinden dördü terk edilmektedir. Bunun nedenlerinin araştırılması ve azaltılması hem akademisyenler hem de işletmeler açısından büyük önem arz etmektedir. Bu çalışmada Kukar-Kinney ve Close (2010) tarafından geliştirilen “Alışveriş Sepeti Terk Etme Oranı Ölçeği”’nin Türkçeye uyarlanması hedeflenmiştir. Analizler basit tesadüfi örneklem ile gönüllü katılımcıların olduğu üç farklı örneklem üzerinde yapılmıştır. Araştırmanın örneklemi, Türkiye’deki çevrimiçi alışveriş yapan bireylerden oluşmaktadır. Analizde güvenirlik analiz, frekans analizi, faktör analizi, KFA ve DFA’dan faydalanılmıştır Yapılan analizler sonucunda 5 faktörlü ve 17 maddeli bir ölçek elde edilmiştir. Elde edilen bu ölçeğin araştırmalarda kullanılmasının literatürdeki boşluğa fayda sağlayıcı düşünülmektedir.
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ÖZ Son yıllardaki sosyo-ekonomik gelişmeler tüketicilerin özellikle kıyafet sektöründe daha çok online alışveriş yapmalarına sebep olurken, online satın alma davranışlarının araştırılması pazarlamacılar açısından cazip hâle gelmiştir. Tüketicilerin karar verme tarzlarının sanal alışveriş sepetini terk etmelerine etkisinin araştırıldığı bu çalışmada, 402 kişiye kolayda örnekleme yöntemi kullanılarak anketler uygulanmıştır. Sonuç olarak çeşit karmaşası yaşayan, düşünmeden alışveriş yapan, fiyat odaklı ve marka odaklı tüketicilerin sanal alışveriş sepetini daha çok terk ettikleri saptanmıştır. Online satın alma sıklığının ve cinsiyetin de sanal alışveriş sepetini terk etme üzerinde anlamlı bir etkisi bulunmaktadır. Düzenleyici değişken olarak anında satın alma niyeti yükseldikçe, tüketicilerin online satın alma sıklıkları ile sanal alışveriş sepetinden vazgeçmeleri arasındaki negatif yönlü ilişkinin daha kuvvetli olduğu bulunmuştur. Anahtar Kelimeler: Online Alışveriş, Tüketici Karar Verme Tarzları, Alışveriş Sepetini Terk Etme ABSTRACT In recent years, socio-economic developments have led consumers to attach more importance to buy online shopping especially for apparel products. Moreover, in terms of marketers, it has become tempting to investigate the consumers' online buying behaviors. In this research, the effects of consumers’ decision-making styles on consumers’ shopping cart abandonment was investigated via analysis of questionnaires administered to 402 convenience sampling respondents. As a result, it has been determined that the consumers who were confused by over-choice, consumers who prone to impulsive buying, consumers who were price conscious and brand conscious abandon the online shopping cart more. Moreover, it was found that frequency of online buying and gender were other factors affecting shopping cart abandonment. One of the most remarkable findings in this research was that there is a moderation effect of current purchase intention between frequency of online buying and shopping cart abandonment. Keywords: Online Shopping, Consumer Decision-Making Styles, Shopping Cart Abandonment
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Purpose – This study aims to propose a theoretical model to investigate factors affecting the intentions of youngsters in switching to a virtual third place during the COVID-19 pandemic. Design/methodology/approach – This study obtained 221 responses from Indonesian youngsters, which was used to validate the proposed model using structural equation modeling analysis. Findings – The direct effect indicated that perceived behavior and social distance attitude were the most significant predictors of intention followed by boredom and place attachment (PA), and the indirect effect of loneliness and social presence. In addition, moderating impact contributed significantly by providing profound knowledge toward the result. Originality/value – The combination of PA and personal traits based on the push–pull–mooring framework relating to the virtual third place adoption during the COVID-19 pandemic offered a comprehensive model that has not been explored extensively by previous studies.
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As consumers experience a greater squeeze on their time, even short waits seem longer than ever before. If firms can improve customers’ perceptions of the time they spend waiting to be served, then customers will experience less frustration and may feel more satisfied with the service encounter. This paper examines customer perceptions of waiting in line and investigates methods for making waiting more tolerable.
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This study tested a model that organizes and presents factors that lead consumers to buy online. The model contained four explanatory variables (generalized innovativeness, innovativeness toward online buying, involvement with the Internet, and frequency of Internet use) and two response variables (amount of past purchasing done over the Internet and likelihood of future online purchase). A sample of 107 undergraduates reported their Internet-related attitudes and behaviors in the context of a longitudinal survey of purchasing behavior. Path analysis showed that a slightly modified model fit the data well. Frequency of online buying and intent to buy online in the future were predicted by general innovativeness, an innovative predisposition toward buying online, and involvement with the Internet. Thus, these appear to be important predictors of online buying that can help profile consumers for marketing strategy.
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Internet commerce is exploding and predicted to continue growing at a rapid rate for several more years. Online businesses that have a desire to tap into this Internet commerce explosion are seeking ways to convince online browsers to become online purchasers. To achieve this goal, businesses need to find ways to alleviate consumers' fears and concerns about making online purchases. This paper reports on a series of three studies focused on (1) determining the fears and concerns that online consumers have, (2) examining whether the leading brands of web assurance seals (Verisign®, TRUSTe, Good House Keeping, and CPA WebTrust) can help alleviate those fears and concerns, and (3) gaining insights into the process by which web assurance seals can influence consumers' online purchase decisions. This study identified seven distinct concerns that consumers had with purchasing goods/services online. Factor analysis revealed that these concerns were along two dimensions: concerns about the firm and concerns about technology. It was found that the leading brands of web assurance seals addressed only a few of the online purchasers' fears and concerns, and there was a big gap between consumers' needs for assurance and what they felt was being offered by the web seals. Further, it was also found that the process by which web assurance seals influenced consumers' online purchase behavior involved recognition of and familiarity with a particular web assurance seal, and possibly the number of associations consumers made with a particular web assurance seal.
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A major concern for service managers is to counteract negative effects of waiting. In this study, the effects of objective waiting time and waiting environment on satisfaction with the service were investigated. Two elements of the waiting environment were distinguished: the attractiveness of the waiting room and the presence of television (TV) as an explicit distracter. The mediating role of three subjective variables (perceived waiting time, acceptable waiting time and the (cognitive and affective) appraisal of the wait) was explored. Waiting appears to influence satisfaction quite strongly. The adverse effects of waiting can be soothed more effectively by improving the attractiveness of the waiting environment than by shortening the objective waiting time. Objective waiting time influences satisfaction mainly via a cognitive route: through perceived waiting time (in minutes) and the long/short judgment of the wait. Perceived attractiveness of the waiting environment operates mainly through affect, and thus serves as a mood inducer. The acceptable waiting time appears to be a critical point of reference, since surpassing it provokes strong affective responses. Although the presence of TV did not result in the expected effect of distraction, the tendency to watch it was found to be dependent on the length of the wait (and thus, boredom).
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Data obtained from 375 members of a consumer panel in a two-phase study of consumer experiences with automobile repairs and services were used to examine the antecedents and consequences of consumer satisfaction. The results support previous findings that expectations and disconfirmation are plausible determinants of satisfaction, and suggest that complaint activity may be included in satisfaction/dissatisfaction research as suggested by earlier descriptions of consumer complaining behavior.
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Consumers shop online for both goal-oriented and experiential reasons. However, goal-oriented motives are more common among online shoppers than are experiential motives. This article identifies and discusses attributes that facilitate goal-oriented online shopping, including accessibility/convenience, selection, information availability, and lack of unwanted sociality from retail sales help or shopping partners such as spouses. Importantly, consumers report that shopping online results in a substantially increased sense of freedom and control as compared to offline shopping. While consumers are more likely to describe offline rather than online shopping in experiential terms, evidence of experiential motivations for online shopping is emerging. Also, while closing transactions at web sites is one important e-commerce goal, companies should not lose site of the continuing importance and power of their web site as an information and communications vehicle.
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examines efforts to understand how individuals differ in risk taking / begin by outlining six conceptual approaches to studying risk taking / our review of research using these approaches finds evidence of both individual and situational differences in risk taking, i.e. understanding risk taking requires understanding both individual traits and risk-taking situations / organize our survey of individual differences in risk taking by situational categories, follow this with a look at several intersituational studies and what they find, and end with a general discussion and summary of these efforts personality characteristic or situation / risk as physical sensation / risk in games and lotteries / risk in everyday life experiences / risk in business and finance (PsycINFO Database Record (c) 2012 APA, all rights reserved)
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This research examines whether (1) consumers' shopping orientations are significantly related to their preference for shopping online, (2) consumers' demographic characteristics are significantly related to preference for shopping online, (3) relationships of shopping orientation and demographic variables with purchase preferences on the Internet will vary by the type of products (i.e., search, experience, or credence). Deriving from the product classification theory, products are classified into four categories: search products, two types of experience products, and credence products. Data were collected through self-administered surveys from adult population in two metropolitan areas in the Southern United States. The findings significantly support the study's hypotheses that shopping orientations such as convenience and recreational shopper and demographic variables such as gender, education, and household income were significantly related to consumer's online purchase preference. The researchers' findings also confirm that the relationships of shopping orientation and demographic variables with purchase preference for shopping online significantly differ by product category. More specifically, convenience and recreational orientations were positively related to preference for shopping online for experience-1, experience-2, and credence product types, though the directional relationship between recreational shopper orientation and preference for shopping on the Internet was positive rather than negative as hypothesized. The results and discussion section also includes implications drawn from the findings.
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textlessptextgreaterThe authors investigate the conceptualization and measurement of service quality and the relationships between service quality, consumer satisfaction, and purchase intentions. A literature review suggests that the current operationalization of service quality confounds satisfaction and attitude. Hence, the authors test (1) an alternative method of operationalizing perceived service quality and (2) the significance of the relationships between service quality, consumer satisfaction, and purchase intentions. The results suggest that (1) a performance-based measure of service quality may be an improved means of measuring the service quality construct, (2) service quality is an antecedent of consumer satisfaction, (3) consumer satisfaction has a significant effect on purchase intentions, and (4) service quality has less effect on purchase intentions than does consumer satisfaction. Implications for managers and future research are discussed.
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Motivations to engage in retail shopping include both utilitarian and hedonic dimensions. Business to consumer e-commerce conducted via the mechanism of web-shopping provides an expanded opportunity for companies to create a cognitively and esthetically rich shopping environment in ways not readily imitable in the nonelectronic shopping world. In this article an attitudinal model is developed and empirically tested integrating constructs from technology acceptance research and constructs derived from models of web behavior. Results of two studies from two distinct categories of the interactive shopping environment support the differential importance of immersive, hedonic aspects of the new media as well as the more traditional utilitarian motivations. In addition, navigation, convenience, and the substitutability of the electronic environment to personally examining products were found to be important predictors of online shopping attitudes. Results are discussed in terms of insights for the creation of the online shopping webmosphere through more effective design of interactive retail shopping environments.
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This article uses concepts derived from the investigation of product and services innovation failures to develop a strategic market framework to help understand why so many Internet-based business-to-consumer (B2C) companies failed to fulfill their initial promise. B2C crashes, viewed collectively, may be seen as representing an initial wave of failure of an entirely new class of technology-driven services. Such services sought to inform, promote, sell, and deliver B2C items in radically unfamiliar ways. Research shows B2C firms failed because they did not follow time-tested business precepts, but does not tell us why. In addressing this question, this article argues that unsuccessful B2C firms failed to realize they were marketing innovative services. It focuses on the difficulty of marketing innovative services by developing an integrated framework using the continuum of need-solution context, in conjunction with the notion that seller/buyer perceptions about the scope of innovations are not necessarily concordant. Matched perceptions lead to success, but not always because sellers and buyers can both misjudge the nature and scope of an innovation. Using secondary sources, the article illustrates the explanatory power of the framework and contributes to e-commerce management issues by clarifying why, despite resource availability, most B2C firms failed in the initial round.
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A simplified cognitive model is proposed to assess the dynamic aspect of consumer satisfaction/dissatisfaction in consecutive purchase behavior. Satisfaction is found to have a significant role in mediating intentions and actual behavior for five product classes that were analyzed in the context of a three-stage longitudinal field study. The asymmetric effect found demonstrates that repurchase of a given brand is affected by lagged intention whereas switching behavior is more sensitive to dissatisfaction with brand consumption. An attempt to predict repurchase behavior on the basis of the investigated cognitive variables yielded weak results. However, repurchase predictions were improved when the model was extended to a multipurchase setting in which prior experience with the brand was taken into account.
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Although Internet technology makes it possible for consumers world-wide to shop on-line, many companies are starting to realize that (1) simply building a web site does not automatically generate international sales and (2) when international consumers do visit a company with the intention purchasing, the transaction often comes to an abrupt halt. The current article reviews existing publications to identify some of the socio-cultural/demographic, financial, technological, political, and legal barriers that thwart international online buying. A series of research proposals are presented that relate specific web site adaptations to various measures of online success.
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In the study of consumer satisfaction (CS), there is a long running controversy about whether satisfaction and dissatisfaction are equal and opposite constructs or to some degree independent. Parallel to the exponential growth of e-commerce, this issue needs to be revisited with respect to the Internet due to its uniqueness compared with traditional retailing channels. This study employs depth-interviews with Web developers to address this issue. The findings suggest that corn satisfaction and .com dissatisfaction are partially, but not completely independent; just as they are partially, but not completely equal and opposite. This finding provides communication between Web professionals and their customers and further supports e-businesses in planning their marketing strategies. The exponential development of the Internet creates magic. These days, a domain name ending with ".com" is a symbol of corporate progressiveness and leading-edge image (Cross 1998). But of course, establishment and maintenance of a corporate Web site is expensive, and once a Web site has been created, its sponsor needs to know whether it is functioning as intended. Web user satisfaction is one such evaluation mechanism. The purpose of the present project is to understand how Web site developers think about online consumer satisfaction, how they position the relationship between online satisfaction and dissatisfaction, which factors they believe contribute to satisfaction and dissatisfaction, and their beliefs about the importance of satisfaction and dissatisfaction to e-business.
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Consumers favor retailers that save them time and energy. By understanding a retail experience from drive in to check. out, you can maximize the speed and ease of shopping and build lasting customer relationships.
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Based on a telephone survey, the authors found that Internet shoppers are older and make more money than Internet non-shoppers. Internet shoppers are more convenience seekers, innovative, impulsive, variety seekers, and less risk averse than Internet non-shoppers are. Internet shoppers are also less brand and price conscious than Internet non-shoppers are. Internet shoppers have a more positive attitude toward advertising and direct marketing than non-shoppers do. Implications of these findings are discussed.
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The growing number of academic studies on customer satisfaction and the mixed findings they report complicate efforts among managers and academics to identify the antecedents to, and outcomes of, businesses having more-versus less-satisfied customers. These mixed findings and the growing emphasis by managers on having satisfied customers point to the value of empirically synthesizing the evidence on customer satisfaction to assess current knowledge. To this end, the authors conduct a meta-analysis of the reported findings on customer satisfaction. They document that equity and disconfirmation are most strongly related to customer satisfaction on average. They also find that measurement and method factors that characterize the research often moderate relationship strength between satisfaction and its antecedents and outcomes. The authors discuss the implications surrounding these effects and offer several directions for future research.
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Though considerable research has been reported on the effects of coercive and noncoercive power sources in marketing channels, the particular effects of power sources that have been exercised, as opposed to those that remain unexercised, have not been identified. The authors summarize the findings of a research project examining these differential effects on selected variables of interest to channel managers, including power, conflict, dealer satisfaction, and channel performance.
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The authors propose to modify the basic confirmation/disconfirmation paradigm in two ways. First, expectations are replaced with experience-based norms as the standard for comparison of a brand's performance. Second, a zone of indifference is postulated as a mediator between confirmation/disconfirmation and satisfaction. Implications for future research are also presented.
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Marketers engage in a variety of tasks which are not carefully distinguished in the literature but which are radically different in the problems they pose. Eight different marketing tasks can be distinguished, each arising out of a unique state of demand. Depending upon whether demand is negative, nonexistent, latent, irregular, faltering, full, overfull, or unwholesome, the marketer finds himself facing a unique challenge to his craft and his concepts.
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The original idea for this handbook of attitude and personality measures came from Robert Lane, a political scientist at Yale University. Like most social scientists, Lane found it difficult to keep up with the proliferation of social attitude measures. In the summer of 1958, he attempted to pull together a broad range of scales that would be of interest to researchers in the field of political behavior. Subsequently, this work was continued and expanded at the Survey Research Center of the University of Michigan under the general direction of Philip Converse, with support from a grant by the National Institute of Mental Health. The result was a three-volume series, the most popular of which was the last, Measures of Social Psychological Attitudes. That is the focus of our first update of the original volumes. Readers will note several differences between this work and its predecessors. Most important, we have given responsibility for each topic to experienced and well-known researchers in each field rather than choosing and evaluating items by ourselves. These experts were also limited to identifying the 10 or 20 most interesting or promising measures in their area, rather than covering all available instruments. This new structure has resulted in more knowledgeable review essays, but at the expense of less standardized evaluations of individual instruments. There are many reasons for creating a volume such as this. Attitude and personality measures are likely to appear under thousands of book titles, in dozens of social science journals, in seldom circulated dissertations, and in the catalogues of commercial pub-lishers, as well as in undisturbed piles of manuscripts in the offices of social scientists. This is a rather inefficient grapevine for the interested researcher. Too few scholars stay in the same area of study on a continuing basis for several years, so it is difficult to keep up with all of the empirical literature and instruments available. Often, the interdisciplinary investigator is interested in the relation of some new variable, which has come to attention casually, to a favorite area of interest. The job of combing the literature to pick a proper instrument consumes needless hours and often ends in a frustrating decision to forego measuring that characteristic, or worse, it results in a rapid and incomplete attempt to devise a new measure. Our search of ihe literature has revealed unfortunate replications of previous discoveries as well as lack of attention to better research done in a particular area. The search procedure used by our authors included thorough reviews of Psychologi-cal Abstracts as well as the most likely periodical sources of psychological instruments (e.g., Journal of Personality and Social Psychology, Journal of Personality Assessment, Journal of Social Psychology, Personality and Social Psychology Bulletin, Child Devel-opment, and the Journal of Applied Psychology) and sociological and political measures (Social Psychology Quarterly, American Sociological Review, Public Opinion Quarterly, and American Political Science Review). Doctoral dissertations were searched by examin-ing back issues of Dissertation Abstracts. Personal contact with the large variety of empirical research done by colleagues widened the search, as did conversations with researchers at annual meetings of the American Sociological Association and the Ameri-can Psychological Association, among others. Papers presented at these meetings also served to bring a number of new instruments to our attention. Our focus in this volume is on attitude and personality scales (i.e., series of items with homogeneous content), scales that are useful in survey or personality research set-tings as well as in laboratory situations. We have not attempted the larger and perhaps hopeless task of compiling single attitude items, except for ones that have been used in large-scale studies of satisfaction and happiness (see Chapter 3). While these often tap important variables in surveys and experiments, a complete compilation of them (even for happiness) is beyond our means. Although we have attempted to be as thorough as possible in our search, we make no claim that this volume contains every important scale pertaining to our chapter headings. We do feel, however, that our chapter authors have identified most of the high quality instruments.
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Electronic commerce challenges companies to design electronic systems and interactions that retain customers and increase sales. This exploratory study examines the impact of consumer experience and attitudes on intention to return and unplanned purchases on-line. It also examines how certain consumer and Web site factors influence the on-line consumer experience. The study finds that perceived control and shopping enjoyment can increase the intention of new Web customers to return, but seemingly do not influence repeat customers to return. It also finds that a Web store that utilizes valueadded search mechanisms and presents a positively challenging experience can increase customers' shopping enjoyment. Further, the more often customers return to a Web store, the more their shopping enjoyment is determined by their product involvement. Customers with low need specificity (i.e., who do not know what they are looking for) are more likely to use value-added search mechanisms. Finally, neither perceived control nor shopping enjoyment has any significant impact on unplanned purchases.
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As businesses continue to expand their Internet-based services with the aims of reducing overheads and increasing revenues, a controlled security infrastructure is required to ensure survival. End-users must be confident in their suppliers capability to conduct online business safely and securely. Without such trust, neither businesses nor consumers will conduct transactions or sensitive communications across this medium. Although Internet security is at the forefront of financial institutions’ E-banking priorities — why are many banks failing to meet the authentication, integrity and non-repudiation requirements, which are the very foundations behind E-transactions?
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Delays in service are becoming increasingly common; yet their effects on service evaluations are relatively unknown. The author presents a model of the wait experience, which assesses the effects of delay duration, attribution for the delay, and degree to which time is filled, on affective and evaluative reactions to the delay. An empirical test of the model with delayed airline passengers reveals that delays do affect service evaluations; however, this impact is mediated by negative affective reactions to the delay. The degree to which the service provider is perceived to have control and the degree to which the delayed customer's time is filled also indirectly affect service evaluations, mediated by the customers' affective reactions of uncertainty and anger.
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The study focuses on consumer-related factors that affect the success of traditional store-based retailers' ventures on Internet shopping. In particular, the impact of income, involvement, home shopping and Internet shopping experience, attitudes towards a retailer's brand and attitudes towards a retailer's web site on consumers' intentions to buy through that retailer's web site are examined. Results indicated that high income favours Internet shopping from retailers with strong brand names and that high involvement with a product category affects adversely shopping from retailers' sites with weak brands. Both extensive home-shopping experience and positive attitudes towards a retailer's web site were found to have a positive effect on shoppers' buying intentions regardless the strength of the brands involved.
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This chapter discusses the psychology of risk: what risk is (if it is anything at all), how people think about it, what they feel about it, and what they do about it. The chapter describes the way psychologists think about risk: how they study it, what tasks they use, what factors they vary, and what models they build (or borrow) to describe risk-taking behavior. Technically, the word risk refers to situations in which a decision is made whose consequences depend on the outcomes of future events having known probabilities. Psychological studies of risky choice (it is the term used conventionally to refer to all but the most extreme instances of ignorance or ambiguity) fall into two groups. At one extreme are the studies run by mathematically inclined experimental psychologists in which subjects make decisions about gambles described in terms of amounts and probabilities. At the other extreme are studies run by personality psychologists, who are mostly interested in individual differences in risk taking. A theory of risky choice is presented in the chapter that attempts to meld the strengths of both approaches. Empirically and methodologically it is tied to the experimental approach to risky choice. But theoretically it is more strongly tied to motivational approaches.
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The customer's direct interaction with a service-producing process suggests that marketing concepts, such as customer satisfaction, should be incorporated into the operational decision-making process. Such an interfunctional approach might result in improved solutions to managerial problems that were previously afforded only an operational perspective. One area where this combined view might yield important insights is in defining the proper level of service that a firm should provide its customers.
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The experience of waiting for service is often the first direct interaction between customers and most service delivery processes. The literature on satisfaction with waiting has paralleled the literature on general service satisfaction, in which the relative importance of actual performance, perceived performance, and the disconfirmation between expected performance and perceived performance has been the subject of much debate. This paper presents an empirical study of satisfaction with waiting for service in a fast food environment. The study demonstrates that actual waiting time, perceived waiting time, and the disconfirmation between expected waiting time and perceived waiting time are all related to satisfaction with the waiting experience. It further demonstrates that the relative importance of each of these variables in predicting satisfaction depends on the differences in the needs of the customers. The implications for both theory and practice are significant: the importance of the perception of the experience increases as the importance of the satisfaction measure increases. More specifically, for customers who are concerned about time, the perception of the time spent waiting is a better predictor of satisfaction than the actual waiting time.
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This article uses concepts derived from the investigation of product and services innovation failures to develop a strategic market framework to help understand why so many Internet-based business-to-consumer (B2C) companies failed to fulfill their initial promise. B2C crashes, viewed collectively, may be seen as representing an initial wave of failure of an entirely new class of technology-driven services. Such services sought to inform, promote, sell, and deliver B2C items in radically unfamiliar ways. Research shows B2C firms failed because they did not follow time-tested business precepts, but does not tell us why. In addressing this question, this article argues that unsuccessful B2C firms failed to realize they were marketing innovative services. It focuses on the difficulty of marketing innovative services by developing an integrated framework using the continuum of need-solution context, in conjunction with the notion that seller/buyer perceptions about the scope of innovations are not necessarily concordant. Matched perceptions lead to success, but not always because sellers and buyers can both misjudge the nature and scope of an innovation. Using secondary sources, the article illustrates the explanatory power of the framework and contributes to e-commerce management issues by clarifying why, despite resource availability, most B2C firms failed in the initial round.
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The growing number of academic studies on customer satisfaction and the mixed findings they report complicate efforts among managers and academics to identify the antecedents to, and outcomes of, businesses having more-versus less-satisfied customers. These mixed findings and the growing emphasis by managers on having satisfied customers point to the value of empirically synthesizing the evidence on customer satisfaction to assess current knowledge. To this end, the authors conduct a meta-analysis of the reported findings on customer satisfaction. They document that equity and disconfirmation are most strongly related to customer satisfaction on average. They also find that measurement and method factors that characterize the research often moderate relationship strength between satisfaction and its antecedents and outcomes. The authors discuss the implications surrounding these effects and offer several directions for future research.
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A model is proposed which expresses consumer satisfaction as a function of expectation and expectancy disconfirmation. Satisfaction, in turn, is believed to influence attitude change and purchase intention. Results from a two-stage field study support the scheme for consumers and nonconsumers of a flu inoculation.
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A simplified cognitive model is proposed to assess the dynamic aspect of consumer satisfaction/dissatisfaction in consecutive purchase behavior. Satisfaction is found to have a significant role in mediating intentions and actual behavior for five product classes that were analyzed in the context of a three-stage longitudinal field study. The asymmetric effect found demonstrates that repurchase of a given brand is affected by lagged intention whereas switching behavior is more sensitive to dissatisfaction with brand consumption. An attempt to predict repurchase behavior on the basis of the investigated cognitive variables yielded weak results. However, repurchase predictions were improved when the model was extended to a multipurchase setting in which prior experience with the brand was taken into account.
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While the customer satisfaction/dissatisfaction literature is extensive and continually expanding, there has been little focus on pre-purchase satisfaction of first-time buyers and its likely impact on buying behaviour. Applies a field-based approach to examine and assess the nature of pre-purchase satisfaction and investigate its impact on first-time buyer behaviour. Indicates that pre-purchase satisfaction can be distinguished from anticipated satisfaction and that it helps to predict first-time purchases. Discusses the implications of the findings and provides directions for further research.
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Investigated in a longitudinal study the applicability of the disconfirmation model of consumer satisfaction/dissatisfaction of 243 restaurant customers. The basic model was also extended to test for a relationship between 2 types of disconfirmation. Results support the major hypothesis that satisfaction increases as positive disconfirmation increases (as performance exceeds expectations). (14 ref) (PsycINFO Database Record (c) 2012 APA, all rights reserved)
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Internet commerce should be viewed as a new way of value creation and provision. To attract consumers to visit Web sites, a critical question is: What are their major concerns in Internet shopping? Nine fundamental objectives to describe the bottom line concerns to Internet consumers have been proposed in the literature. From the perspective of the means–end chain theory and by focusing on the shopping goods, this study proposed that different weights on these nine fundamental concerns are assigned by different lifestyle individuals. Based on the results of a survey of 181 on-line respondents who provided consistent data, this study indicated that privacy, safety, and product quality were the most critical concerns of on-line consumers, contradicting the conventional wisdom that cost and convenience are the key concerns for consumers shopping on-line. Furthermore, for those consumers with active style, privacy factor received significantly more concern than safety and product quality. Respondents who preferred variety and excited lifestyle put more weights on these three Internet fundamental objectives than consumers with other lifestyles. However, principle lifestyle individuals put more weight on other factors, such as shopping enjoyment, environmental impacts, time to receive products, and less weight on cost and convenience. Implications are discussed. © 2006 Wiley Periodicals, Inc.
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The nature of perceived risk and its relationship to risk-handling behavior are explored. To date, researchers have operationalized a variety of risk-related constructs, and it is argued that these constructs can be usefully combined to form a unified theory of risk perception and handling.
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As more e-retailers promise their customers that online experiences will be satisfying ones, understanding what creates a satisfying customer experience becomes crucial. Even though this understanding appears crucial, no studies have examined the factors that make consumers satisfied with their e-retailing experiences. To partly fill this void, the authors examine the role that consumer perceptions of online convenience, merchandising (product offerings and product information), site design, and financial security play in e-satisfaction assessments. They find that convenience, site design, and financial security are the dominant factors in consumer assessments of e-satisfaction. The authors discuss the implications of these findings and offer directions for future research.
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This paper investigates the antecedents and consequences of customer loyalty in an online business-to-consumer (B2C) context. We identify eight factors (the 8Cs—customization, contact interactivity, care, community, convenience, cultivation, choice, and character) that potentially impact e-loyalty and develop scales to measure these factors. Data collected from 1,211 online customers demonstrate that all these factors, except convenience, impact e-loyalty. The data also reveal that e-loyalty has an impact on two customer-related outcomes: word-of- mouth promotion and willingness to pay more.