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IBIMA Publishing
IBIMA Business Review
https://ibimapublishing.com/articles/IBIMABR/2022/872205/
Vol. 2022 (2022), Article ID 872205, 14 pages, ISSEN: 1947-3788
DOI: 10.5171/2022.872205
______________________
Cite this Article as: Sílvia FARIA, Pedro FERREIRA, Sofia GOMES and Carla GABRIEL (2022),"
Brand Experience, Trust, and Perceived Risk in a Second-hand Online Marketplace the Case of
OLX Group", IBIMA Business Review, Vol. 2022 (2022), Article ID 872205,
DOI: 10.5171/2022. 872205
Research Article
Brand Experience, Trust, and Perceived
Risk in a Second-hand Online Marketplace
The Case of OLX Group
Sílvia FARIA1, Pedro FERREIRA2, Sofia GOMES3 and Carla GABRIEL4
1,2,3REMIT—Research on Economics, Management and Information Technologies, University
Portucalense, R. Dr. António Bernardino de Almeida 541, 4200-072 Porto, Portugal
4Higher Institute Miguel Torga, Largo Cruz de Celas 1, 3000-132 Coimbra, Portugal
Correspondence should be addressed to: Pedro FERREIRA; pferreira@upt.pt
Received date:11 May 2022; Accepted date:14 July 2022; Published date: 20 September 2022
Academic Editor: Luisa Lopes
Copyright © 2022. Sílvia FARIA, Pedro FERREIRA, Sofia GOMES and Carla GABRIEL. Distributed under
Creative Commons Attribution 4.0 International CC-BY 4.0
Introduction
Visiting physical stores to purchase goods
or services has given way to a gradual
adoption of online shopping. The
appearance of a considerable number of
websites, the improvement of
marketplaces, and the possibility of
purchasing through social networks lead to
a new and different way to search for
products’ information, prices, and
promotions (Rose, Hair, and Clark, 2011).
Abstract
The widespread presence of the Internet in people’s lives has transformed the way consumers
look for and buy a variety of goods and services. Shopping online is nowadays a popular way for a
considerable number of individuals, giving rise to numerous forms of alternative shopping
platforms. While in traditional e-commerce the seller is usually a known brand, another trend
emerged in recent years, where the seller can be virtually everyone. In this context, buyers interact
with little-known or even non-professional sellers. Since research on consumers’ behavior in
second-handed products selling platforms is still scarce, this study examines how brand
experience is influenced by perceived risk and brand trust in this context. The research uses a
hypothetical-deductive approach. Based on a sample of 185 consumers of an online marketplace
for second-hand goods, data were collected by a structured questionnaire. A regression analysis
model was used to conduct statistical analysis, and SPSS was used to execute the analysis. Findings
show that low perceived risk and high brand trust are associated with a better brand experience.
The research, despite being restricted to one particular online marketplace for second-handed
products, provides evidence to support the relevance of such platforms in lowering risk and
enhancing brand trust, as a way to offer a pleasant brand experience.
Keywords: Brand Trust, Perceived Risk, Brand Experience, Second-hand products, Online Auction
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DOI: 10.5171/2022. 872205
Shopping online is nowadays a popular way
for a considerable number of individuals,
due to the cost-effective availability of the
Internet and data (Padmavathy, Swapana,
and Paul, 2019). From a global perspective,
the usage of online shopping is growing, and
second-hand online shopping, in particular,
is the fastest-growing segment
(Padmavathy, Swapana, and Paul, 2019;
Chan et al., 2015). Although studies on
second-hand shopping are still scarce, this
growing acceptance seems to be justified by
a sense of convenience (easy to find and
compare), economic appeal (the capacity to
bargain and get a lower price compared to
the market price) and ideological
motivation, such as the need to be unique
(Padmavathy, Swapana, and Paul, 2019).
Also, easy access to products at any time (Xy
et al., 2014) together with good and clear
information about second-hand products
(Xy et al., 2014; Resnick and Zechauser,
2002) are reasons to buy online.
In the past, consumers preferred to buy
second-hand products at retail stores but
younger generations (especially Y and Z)
feel comfortable buying online since they
are used to technologies and spend a lot of
time online (Padmavathy, Swapana, and
Paul, 2019; Xy et al., 2014). At the same
time, older generations (X and Baby
Boomers) also frequently use the Internet
and join social networks, changing
consumption habits.
While in traditional e-commerce the seller
is usually a known brand, another trend
emerged in recent years, where the seller
can be virtually everyone. In this context,
buyers interact with little-known or even
non-professional sellers. As a consequence,
the already risky situation of buying online
from a known vendor (Gefen, 2002)
becomes even riskier since the lack of
familiarity, the reputation of the vendor,
and even previous interaction experience
may not exist (Pavlou and Gefen, 2004).
To overcome this potential lack of trust and
risk perception, online marketplaces offer a
supposedly safer environment, where
buyers have a third-party online platform to
make their purchases. Online marketplaces
have been growing in popularity,
presenting the fastest growing type of
online shopping (Padmavathy, Swapana,
and Paul, 2019). For example, third-party
sellers on Amazon represent 55% of total
purchases on the platform (Statista, 2021).
But the growth of customer-to-customer
(C2C), or peer-to-peer (P2P), is remarkable
(McKnight and Chervany, 2001). Clothing,
accessories, home furnishings, cars,
furniture, and technological products can
have no use to certain individuals and,
therefore, become obsolete and take up
space. Bearing in mind the famous spring
cleaning or the so common minimal trend,
some digital platforms appeared to help
getting rid of these "no longer wanted
products": Wallapop, Apartment Therapy,
Poshmark, reCloset, and ECOA are good
examples.
The consumer purchasing decision is
personal and usually complex, therefore
one may account for considerable
differences in a purchase process (Chan et
al., 2015). In other words, facing similar
situations does not mean a similar behavior.
"One aspect of personality, exhibiting an
attitude of trust in novel situations, can
determine what action one takes when
dealing with risk" (Chan et al., 2015: 272).
When buying online, consumers may feel
confused when having to make a purchase
decision involving possible risks to get
possible benefits (Chan et al., 2015;
Fernando, Sivakumaran, and Suganthi,
2018). Despite offering more convenience,
flexibility, and the power to get a lower
price, buying online is also perceived as
riskier. No possibility to touch the product
or even try it may lead to some discomfort
and reluctance, for making a bad purchase.
Therefore, having a strong brand seems to
induce trust and impact online shopping
behavior and brand equity (Hong-Youl and
Perks, 2005; Kumar, 2013; Frasquet, Mollá
Descals and Ruiz-Molina, 2017). On the
other hand, trust propensity determines
how much a person accepts to depend on
others and is willing to rely on information
provided by others, therefore impacting
purchasing decisions (Chan et al., 2015).
Consumers are afraid to buy from a Web-
based vendor, because of the uncertainty of
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not knowing the vendor and the fear that
comes with it (Chan et al., 2015; Kumar,
2013). Consumers' perception about the
risk of a potentially negative outcome of
consumption is high and generally related
to financial, physical, and social
consequences of a buying experience. This
may affect the purchasing decision. A well-
known and a prestige brand influences
trust, therefore positively affecting
customer satisfaction (Frasquet, Mollá
Descals and Ruiz-Molina, 2017).
Specifically, Mansour, Kooli and Utama
(2014) found that risk perception and
brand trust influence online buying
intention.
The lack of research on online marketplaces
of second-hand products, the scientific
evidence about the role of risk and trust,
alongside the importance of brand
experience for brands and consumers to
build a positive relation, form the basis of
this research. As such, this study aims to
understand the role of perceived risk and
brand trust on the formation of brand
experience of an online marketplace
platform of second-hand products.
The study is presented in the following
manner: first, the literature review on
brand trust, perceived risk, and brand
experience is presented, followed by the
research hypotheses and research
framework. The results are presented
followed by the discussion. Finally, the
concluding remarks are presented,
including the limitations and future
research.
Theoretical Background
Brand Trust
In relationship marketing literature, trust is
understood as the consumer's perception
that a specific organization and/or brand
can fulfill promises and is motivated to do it
(Jin, Line, and Merkebu, 2016). It is a key
concept for customer relationships and is
often accepted as the main determinant of
brand loyalty (Mansour, Kooli, and Utama,
2014; Menidjel, Benhabib, and Bilgihan,
2017; Rather, et al., 2019). To trust a brand
seems to reduce anxiety, diminishes
vagueness associated with a buying process,
and may result in an emotional bond that
makes customers comfortable with the
brand and predisposed to go on buying
and/or paying attention to new products
and services (Jin, Line, and Merkebu, 2016;
Menidjel, Benhabib, and Bilgihan, 2017;
Zohaib et al., 2014). Previous studies show
that brand trust impacts (positive) brand
experience, especially for utilitarian brands
(Huaman-Ramirez and Merunka, 2019).
Understanding trust as a multidisciplinary
concept is crucial for online marketers.
Three dimensions were identified, one
being dispositional (Rose, Hair, and Clark,
2011). This is a psychological approach to
trust, perceived as a deep-rooted feeling or
belief and, within this perspective, possible
to be accepted as an antecedent of online
customer experience.
Perceived Risk
Risk perceptions of potential negative
outcomes of consumption have often been
investigated in marketing literature.
Perceived risk is commonly described as the
subjective evaluation of the financial,
physical, and social consequences of a
specific consumption experience (Jin, Line,
and Merkebu, 2016). These evaluations
seem to impact shopping decisions,
specifically at online shopping (Wai et al.,
2019; Ariffin, Mohan. and Goh, 2018).
Consumers seem to have a higher risk
perception when buying online, compared
to offline and/or store purchases (Wai et al.,
2019). Risk perception is recognized as
producing a negative effect on the
individual's intention to buy online (Jin,
Line, and Merkebu, 2016; Bangun and
Handra, 2021; Chang and Chen, 2008).
Perceived risk is seen as a synonym for an
unfavorable outcome (Das and Teng, 2004).
Wood and Scheer (1996) proposed that
customer value is a function of perceived
benefits, costs, and risk; reducing any
concern about risk will increase customers'
perceptions of value in an exchange
experience.
BrandExperience
Pine and Gilmore (1999) presented their
Brand Experience Model, showing the
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DOI: 10.5171/2022. 872205
relationship between the addition of
experiences on products, services, and
successful branding; the authors' main idea
was that a positive brand experience
contributes to a top-of-mind position of the
brand which, in turn, is related to a high
probability of being considered in shopping
decision moments. Brand experience is a
concept that has attracted the attention and
interest of many marketing researchers. It is
recognized that consumers tend to prefer
brands that can deliver unique and
memorable experiences. In other words,
purchase decisions are not based on the
products or services' functionality.
Consumers decide based on the ability of
brands to provide unique experiences,
something new, genuine, and authentic,
capable to surprise them (Cardoso, Portela,
and Dias, 2013). Ensuring a positive brand
experience is crucial for brands to keep
customers’ attention in time and even brand
loyalty (Ong, Lee, and Ramayah, 2018; van
der Westhuizem, 2018; Khan and Fatma,
2019; Quan et al., 2020). To provide unique
and memorable brand experiences to
customers seems to be very important for
brands, regardless of off- or online contexts
(McKnight and Chervany, 2001; Khan and
Fatma, 2019; Cleff, Walter, and Jing, 2018;
Dwivedi, Nayeem, and Murshed, 2018). For
Shamin and Burt (2013), brand experience
is the strongest direct predictor of brand
credibility. Almad et al. (2014) found that
any online company that doesn't manage
customer experience will quickly go out of
business. Brand experience occurs when
the consumer looks for information on
products and services, buys and interacts
with a brand. When customers are aware of
the role and importance of a brand, they will
feel satisfied with the experience and
become more loyal to the brand products or
services (Zohaib et al., 2014).
HypothesisDevelopment
This study's main goal is to analyze the role
of brand trust and perceived risk in the
formation of brand experience.
According to several studies, trust seems to
reduce negative perceptions towards
brands by diminishing anxiety and
vagueness and resulting in positive
perceptions (Jin, Line, and Merkebu, 2016;
Mansour, Kooli, and Utama, 2014; Zohaib et
al., 2014; Molinno et al., 2017). We may
expect that brand trust impacts positively
on brand experience (Huaman-Ramirez and
Merunka, 2019):
H1 – Brand trust is positively
associated with brand experience.
Perceived risk is recognized as a factor that
produces negative effects on the
individual's intention to buy online (Jin,
Line, and Merkebu, 2016; Bangun and
Handra, 2021; Chang and Chen, 2008; Das
and Teng, 2004). It is acceptable to expect
that:
H2 – Perceived Risk is negatively
associated with brand experience.
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Figure 1. Research Model
Source: Own elaboration
Research Methodology
Measurements
The research model followed a quantitative
approach with variables being measured
using already validated constructs. The
questionnaire's main constructs were based
on the previous literature. The brand
experience was measured by the Brakus,
Schmidt, and Zarantonello scale (2009),
keeping the 7 points Likert scale. Perceived
risk was measured using Laroche,
McDougall, Bergeron, and Yang scale
(2003), with a 5-points Likert Scale as
suggested by the authors. Brand trust was
measured using Bhattacherjee scale (2002),
with a 7 Likert points scale.
Table 1: Constructs, Scales and Questions
Constructs
Scales
and
Authors
Questions
Brand Experience Brakus, Schmidt and Zaratinello
(2009)
Q1-Q12
Perceive
d
Risk
Laroche,
McDougall,
Beregeron
and Yang (2003)
Q13
-
Q16
Brand Trust Bhattacherjee (2002) Q17-26
Source: Own elaboration
Data Collection
The research involves concepts related to
the brand, implying that participants
needed to express their feelings,
perceptions, and attitudes towards a
specific object. As such, it was necessary to
offer a context to participants to examine
the constructs of brand trust, perceived risk,
and brand experience. OLX is a global online
marketplace brand, founded in Argentina in
2006. The brand is in Portugal since 2012
and is managed locally by FixeAds. It is
currently one of the most successful online
marketplaces in Portugal.
At the beginning of the questionnaire, all
potential participants were informed about
the nature of the study and required to
provide formal consent to take part in the
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research. Participants were told about
ethical aspects, mainly confidentiality and
anonymity. The questionnaire took
approximately 8 minutes long to be
completed.
The questionnaire was made available
online and disclosed using social networks.
The first question in the questionnaire was
a control question, asking respondents if
they had a buying/selling experience in the
online marketplace platform OLX in the last
6 months. If the answer was "No", they were
not selected to continue with the
questionnaire. The study sample consists of
193 participants, with 185 valid answers.
42,7% are female respondents, 55,7% male
respondents and 1,6% did not state gender;
average ages are between 26 and 45 years
(69,7%) and 41,1% are married. As far as
education level, 71,3% of the respondents
have a higher degree and 86% were
employed.
Data Analysis
The first step of data analysis was to assess
the construct validity and internal
consistency. For that purpose, exploratory
factor analysis (EFA) and Cronbach Alpha
were used. In the second step, a multiple
regression analysis was performed to test
the hypotheses.
The EFA to brand experience revealed 4
items with factor loadings below threshold
(Hair et al., 2006), corresponding to the
reversed items of the Brakus, Schmidt, and
Zarantonello scale 2009. The decision was
to remove these items and perform new
exploratory factor analysis.
In the second EFA, the items were grouped
into a single factor, with a total percentage
of variance accounted for (PVAF) of
71.649%, with robust factor loadings
around or above 0.800. Thus, brand
experience is presented as a one-
dimensional construct, with an extremely
robust internal consistency (α=.943)
(Marôco and Garcia-Marques, 2006). The
single-factor solution was saved as a new
variable using the regression method (Table
2).
Table 2. Descriptives and EFA for Brand Experience
Items/Constructs Mean Standard
Deviation
Factor
Loadings
Cronbac
h Alpha
Eigenvalue
PVAF
Brand Experience
0.943
5.732
71.649
I find OLX brand interesting in a
sensory way
4.55
1.625
0.719
OLX
brand
makes
a
strong
impression
on my visual sense or other senses
4.46
1.675
0.836
OLX brand induces feelings and
sentiments
4.15
1.784
0.877
OLX
brand
is
an
emotional
brand
3.92
1.836
0.907
OLX brand induces feelings and
sentiments
4.54
1.863
0.839
I engage in a lot of thinking when I
encounter OLX brand
4.04
1.838
0.868
I
engage
in
physical
actions
and
behaviors when I use OLX brand
3.97
2.009
0.846
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Items/Constructs Mean Standard
Deviation
Factor
Loadings
Cronbac
h Alpha
Eigenvalue
PVAF
OLX brand results in bodily experiences 3.86
2.086
0.867
Source: Own elaboration
The same procedure was followed for
perceived risk (Table 3). The results of the
factor analysis revealed a single-factor
solution (PVAF=74.908%) and a high
internal consistency (α=.888) (Marôco and
Garcia-Marques, 2006). Again, the single-
factor solution was saved as a new variable
using the regression method.
Table 3. Descriptives and EFA for Perceived Risk
Items/Constructs Mean
Standard
Deviation
Factor
Loadings
Cronbach
Alpha
Eigenva
lue
PVAF
Perceived Risk
0.888
2.996
74.908
There is a strong chance that I will
make a mistake if I make a buy/sell on
OLX
2.68
1.143
0.812
I
have
a
feeling
that
buying/sell
ing
on
OLX can cause me a lot of problems
2.5
1.133
0.904
I will take some risks if I buy/sell on
OLX
2.89
1.208
0.881
OLX purchases/sales are very risky 2.54
1.128
0.862
Source: Own elaboration
Finally, items of brand trust were subjected
to an EFA, revealing a single-factor solution
(PVAF=71.031%). The internal consistency
is high (α=.954) (Marôco and Garcia-
Marques, 2006). A new variable was
computed using a regression method (Table
4).
Table 4. Descriptives and EFA for Brand Trust
Items/Constructs
Mean
Standard
Deviation
Fac
tor
Loadings
Cronb
ach
Alpha
Eigenvalue
PVAF
Brand Trust
0.954
7.103
71.031
OLX has the skills to carry out
transactions in an expected manner
5.02
1.389
0.801
OLX
has
access
to
the
information
necessary to handle transactions
properly
4.85
1.506
0.788
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Items/Constructs Mean
Standard
Deviation
Factor
Loadings
Cronb
ach
Alpha
Eigenvalue
PVAF
OLX is able to meet most customer
needs
5.11
1.429
0.816
OLX is honest in its conduct of
customer transactions
4.88
1.375
0.883
OLX is honest in the use of the user's
private data during the transaction
4.92
1.376
0.816
OLX is upstanding in its customer
service policies after transaction
4.81
1.457
0.827
OLX is open and responsive to
consumer needs
4.98
1.41
0.897
OLX has customers' needs in mind
during most transactions
4.75
1.415
0.891
OLX
makes
efforts
to
address
most
customer concerns
4.68
1.426
0.826
Overall OLX is reliable 5.36
1.399
0.874
Source: Own elaboration
Results And Analysis
Following the procedures suggested by
Zarantonello & Schmitt (2010), a linear
regression analysis was performed to verify
the relationships between the various
constructs. To test the hypotheses, the
multiple regression analysis computed
brand experience as the dependent
variable, and perceived risk and brand trust
as the independent variables, using the
"enter" method.
Table 5: ANOVAa
Sum
of
Squares df
Mean
Square F Sig.
Regression 74,438 2 37,219 65,031 .000b
Residual 95,006 166 .572
Total 169,443 168
a.
Dependent
Variable:
Brand
Experience
b.
Predictors: (Constant), Brand Trust, Perceived Risk
Source: Own elaboration
The ANOVA (Table 5) shows that the model
is valid (F=65,031; sig=.000). According to
the results presented in table 6, perceived
risk and brand trust explain 43.9% of the
variation of brand experience.
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DOI: 10.5171/2022. 872205
Table 6: Model Summary
R R Square
Adjusted R
Square
Std. Error of the
Estimate
Durbin-
Watson
.663
a
.439
.433
.75651987
1.309
a.
Predictors: (Constant), Brand Trust, Perceived Risk
b. Dependent Variable: Brand Experience
Source: Own elaboration
Brand trust makes a unique contribution of
58.6% to explaining the variation in brand
experience, while perceived risk makes a
unique contribution of -15.5% (Table 7).
According to these results, the hypotheses
were validated.
Table 7 : Coefficientsa
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig.
B
Std.
Error
Beta
(Constant) .025 .058
.426 .671
Perceived
Risk
-.156 .064 -.155 -2.453 .015
Brand Trust .581 .063 .586 9.254 .000
a. Dependent Variable: Brand Experience
Source: Own elaboration
Brand trust and perceived risk contribute to
brand experience, but in opposite ways:
while the increase in brand trust is
associated with an increase in brand
experience (more positive), the increase of
perceived risk is associated with a decrease
in brand experience (more negative), as
presented in the results of the linear
regression model.
The goal of this research was to examine the
relation of perceived risk and brand trust
with brand experience in an online
marketplace of second-hand products. The
study took a quantitative approach based on
a questionnaire. The sample was made of
185 participants that had been involved in an
online purchase on OLX, an online
marketplace of second-hand products.
The hypotheses tested were confirmed.
Perceived risk and brand trust are related to
the formation of brand experience, but while
brand trust enhances the formation of a
positive brand experience, perceived risk
contributes to a less positive brand
experience.
These results are in line with previous
literature. Brand trust is considered to
positively influence brand experience, either
as an antecedent (Morgan-Thomas and
Veloutsou, 2013) or as a mediator between
other variables and brand experience
(Menidjel, Benhabib, and Bilgihan, 2017).
Perceived risk, as expected, has a negative
association with brand experience. The
fewer risks consumers perceive, the more
positive the brand experience is. Although
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DOI: 10.5171/2022. 872205
previous literature is scarce on the relation
of brand experience and perceived risk, some
studies also validate this assumption in other
contexts. For example, Diallo and Siqueira
(2017) confirmed the association between
brand experience and perceived risk with
Brazilian consumers for retail stores. But
also in the online context, Pang and Xi (2010)
in a study of a non-standardized commodity,
found an association between perceived risk
and three dimensions of brand experience,
namely: sensory, affective and intellectual.
Trust determines how much a consumer is
willing to depend on others and to rely on
information provided by others (Chan et al.,
2015). Previous literature (Hong-Youl and
Perks, 2005; Kumar, 2013; Frasquet, Mollá
Descals, and Ruiz-Molina, 2017) supports the
idea that a strong brand is an important
factor for consumers' trust. However, in the
absence of a strong brand (or a brand at all),
it can be assumed that consumers will show
less compelled to buy.
In the case of the online environment,
consumers are less confident to buy from a
web-based vendor because of the
uncertainty of not knowing the vendor (Chan
et al., 2015; Kumar, 2013). In these cases,
consumers' risk perception of a negative
outcome is higher usually associated with
financial, physical, and social consequences
of the buying experience. As such, a well-
known and a prestige brand may contribute
to building trust, therefore affecting
positively customer satisfaction (Frasquet,
Mollá Descals, and Ruiz-Molina, 2017).
While this reasoning is valid for conventional
relations between consumers and brands,
when it comes to customer-to-customer
(C2C) or peer-to-peer (P2P) (McKnight and
Chervany, 2001) buying-selling relations, the
absence of a known and trustworthy brand
may affect the seller-buyer relation.
Although the literature (e.g., Mansour, Kooli,
and Utama, 2014) has found that risk
perception and brand trust influence online
buying intention, there is still a lack of
understanding of the dynamics of this
relationship in the context of C2C, even when
mediated by a third party that provides a
safer environment for individual sellers and
buyers. This was the goal of this research.
The results show that the general reasoning
is similar to the conventional online relations
between consumers and brands. Specifically,
this means that risk perception affects
consumers' experience negatively while
feeling trust will do the opposite (Mansour,
Kooli, and Utama, 2014). Taking into account
that this research was conducted in the
context of online marketplaces, risk
perception and brand trust in the third party
play a fundamental role.
Brands operating exclusively online, such as
OLX, should seek to increase consumer
confidence, through the ability to meet
consumers' expectations and needs, integrity
in the fairway they relate to consumers, and
finally through goodwill, demonstrated by
empathy, benevolence, and resolution of
consumer concerns (Chan et al., 2015;
Frasquet, Mollá Descals and Ruiz-Molina,
2017; Mansour, Kooli, and Utama, 2014;
Chang and Chen, 2008; Mukherjee and Nath,
2007). On the other hand, online brands
should seek to reduce the risk perceived by
consumers, namely in aspects related to the
transaction (Resnick and Zechauser, 2002).
In the case of online marketplaces, this
concern should extend to control over
transactions between users.
Confidence in using a website is very
important as there is no physical interaction
between the seller and the buyer. Mukherjee
and Nath (2007) report that through the
absence of this interaction, gaining the
buyers' trust and fulfilling initial promises
become central issues in customer
relationship management. Service brands,
like online marketplaces of second-hand
products, need to develop and maintain
cordial and open relationships with
customers while creating an online business
model (Friman et al., 2002). Additionally,
customers' perception of trust and
commitment to the service will result in
increased loyalty (Kandampully, 2012).
A good or even memorable experience is
crucial to brand performance. Brand
experience can influence online shopping
behavior (Rose, Hair, and Clark, 2011) in
several ways, such as brand attachment
11 IBIMA Business Review
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______________________
Sílvia FARIA, Pedro FERREIRA, Sofia GOMES and Carla GABRIEL, IBIMA Business Review,
DOI: 10.5171/2022. 872205
(Huaman-Ramirez and Merunka, 2019),
brand equity (Kumar, 2013). For this reason,
it is important to understand what
contributes to a positive brand experience.
This study contributes by presenting
evidence of the role of perceived risk and
brand trust.
Conclusion And Implications
The online marketplace of second-hand
products is still understudied, which makes
the present research an important
contribution. Understanding consumers'
perceptions - in this case, brand trust and
perceived risk - in the context of non-
traditional purchases is relevant. This
relevance lies not only in the scarce literature
published on the topic but also because most
of the previous research of online consumer
behavior lays on the assumption of
individual consumers buying products or
services from institutional sellers. Taking
into account that, in the context of this
research, consumers buy second-hand
products from other consumers, the role of
the online marketplace platform assumes an
important role in assuring trust and reducing
risk, both necessary for exchanges to take
place.
Specifically, this research contributes to
understanding the role of brand trust and
perceived risk for the brand experience
offered by the online marketplace platform.
This study revealed that brand trust and
perceived risk are important factors to take
into account when managing the brand's
experience offered to consumers.
In terms of managerial implications, this
study offers two important takeaways. First,
online market platforms should work on
cues that contribute to inducing trust in the
online environment. On the other hand,
brands operating in this context should also
eliminate and manage all the cues that have
the potential to induce a perception of risk.
The main limitations of this research are
related to theoretical and empirical aspects.
The choice of brand trust and perceived risk
limits the extent of potential factors
contributing to the formation of brand
experience. Another limitation is the focus on
one specific online marketplace brand.
Following the results and limitations of this
research, future research should understand
the foundations of online brand trust
formation in the context of online
marketplaces of second-hand products. As
Nosi et al. (2021) concluded in their
research, it is important to understand the
role of other online actors, such as bloggers
and social network influencers, in the
formation of online brand trust. Additionally,
other elements, such as brands visual
content, could be examined as potential
elements in generating trust in online
marketplaces of second-hand products
(Karpenka et al., 2021). Following the same
reasoning, understanding the factors that
reduce or enhance risk in online
marketplaces of second-hand products is
another path worth examining. Finally,
addressing other factors that may contribute
to the formation of brand experience of
online marketplaces of second-hand
products should be considered in future
research.
Acknowledgements
This work was supported by the
UIDB/05105/2020 Program Contract,
funded by national funds through the FCT I.P.
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