• Title/Summary/Keyword: Online Purchase Decision

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Measuring Trusts And The Effects On The Consumers' Buying Behavior

  • LE, Nguyen Binh Minh;HOANG, Thi Phuong Thao
    • Journal of Distribution Science
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    • v.18 no.3
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    • pp.5-14
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    • 2020
  • Purpose: Trust plays an important role in e-commerce because consumers perceive more risk involved with this type of shopping than traditional way of shopping. Trust is defined as complex and multidimensional issue. This paper argues that trust should be considered to have two important components as trust belief and trust intention, in which trust belief has three components as competence, integrity and benevolence. Research design, data and methodology: This study examines the relationship between retailer website quality (web design, navigation, information), reputation and risk toward trust. In addition, trust and risk toward buying behavior are also considered, leading to customer satisfaction. The paper is conducted on a sample of 594 customers with direct experience of online shopping in Vietnam. Both confirmatory factor analysis (CFA) and a structural equation model (SEM) were utilised. Results: Empirical findings from this paper indicate that trust is high order construct. Website quality and reputation have positive impacts on customers' trust. Trust has a positive relationship to buying behavior and customers' satisfaction while perceived risk has negative relationship to buying behavior. In contrast, a relationship between perceived risk and trust is not supported in this study. Conclusions: Improving reputation and website quality (especially information) may increase customers' trust and eventually lead to purchase decision.

A Machine Learning-based Customer Classification Model for Effective Online Free Sample Promotions (온라인 무료 샘플 판촉의 효과적 활용을 위한 기계학습 기반 고객분류예측 모형)

  • Won, Ha-Ram;Kim, Moo-Jeon;Ahn, Hyunchul
    • The Journal of Information Systems
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    • v.27 no.3
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    • pp.63-80
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    • 2018
  • Purpose The purpose of this study is to build a machine learning-based customer classification model to promote customer expansion effect of the free sample promotion. Specifically, the proposed model classifies potential target customers who are expected to purchase the products included in the free sample promotion after receiving the free samples. Design/methodology/approach This study proposes to build a customer classification model for determining customers suitable for providing free samples by using various machine learning techniques such as logistic regression, multiple discriminant analysis, case-based reasoning, decision tree, artificial neural network, and support vector machine. To validate the usefulness of the proposed model, we apply it to a real-world free sample-based target marketing case of a Korean major cosmetic retail company. Findings Experimental results show that a machine learning-based customer classification model presents satisfactory accuracy ranging from 70% to 75%. In particular, support vector machine is found to be the most effective machine learning technique for free sample-based target marketing model. Our study sheds a light on customer relationship management strategies using free sample promotions.

Mediating Effects of Perceived Risk and Usefulness between Online Information Credibility and Intention to Use (온라인 정보의 신뢰성 및 정보 활용의도 사이의 지각된 위험과 유용성의 매개효과에 관한 연구)

  • Sun, Jonghak;Yoon, Jung-Hyeon
    • Management & Information Systems Review
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    • v.33 no.4
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    • pp.99-118
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    • 2014
  • Using the theory of attribution, this study investigates the determinants if controllability and explores underlying dimensions of online information credibility, and then investigates if the credibility of online information influences the users' intention to use the online information for evaluating or judging the involved products. Moreover, as a research attempt to investigate the impacts of online information credibility, this study examines whether the main effect of perceived online information credibility on the intention of using online information to make a decision of purchase is mediated by both perceived risk and perceived usefulness. A total of 287 survey forms were collected from online consumers. We examined reliability by exploring internal consistency of the multiple item scales in the overall sample. Convergent and discriminant validity were also examined for evidence of construct validity. Then, PLS technique was employed to test the research model. As a result of analyzing data from a dataset of 287 responses via PLS technique, it is found that (1) both sources (controllability and stability) of perceived credibility are significantly associated with both perceived risk and perceived usefulness, and (2) perceived risk as well as perceived usefulness partially mediate the link between the two sources of credibility and intention to use. The findings of this study also suggest that the two dimensions of online information credibility influence information recipient's intention to use. Moreover, the online information including descriptions about controllability and stability can trigger potential consumers to perceive risk about consumption of the informed products and services. Therefore, providing online information with highly described controllability and stability can increase not only the credibility of the online information itself, but also the intention to use the online information through perceived risk and usefulness.

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A Study on the Influence of Consumers Functional Recognition on Their Switching Behaviors, using Food Providers' Web Sites (외식기업 온라인 웹사이트를 이용하는 소비자들의 기능별 지각 수준이 전환 행동에 미치는 영향)

  • Choi, Eun-Joo
    • Culinary science and hospitality research
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    • v.16 no.2
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    • pp.31-48
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    • 2010
  • The purpose of this study was to examine the influence of food service web site users' functional recognition extent on switching behaviors. For this, a survey of web site users was carried out. As for analytic methods, frequency analysis was used to examine respondents' demographic features. In addition, simple regression analysis and multiple regression analysis were carried out used to look into the influence of functional recognition of food providers' web sites on switching behaviors. Study findings are as follows: all the functional variables such as entertainment, advertisement & public relations, communication and purchase decision-making function have significant influence on users' switching behaviors. When users' recognition extent of food providers' online web sites is high, their switching behavior is also high. In particular, the following clause have the greatest influence upon users' switching behaviors pattern. In the function of entertainment, (1) it is easy to search on web site; in the advertisement function, (2) the image of restaurant can easily be recognize; In the communication function, (3) the image of new products can be seen with ease; and in the purchase decision-making function, (4) web sites are easily accessible.

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A study of customer's emotional change by the ways of presenting pictures of clothing at online shops (온라인 쇼핑몰에서 상품 표현방식에 따른 감성변화에 관한 연구)

  • Park, Seong-Jong;Seok, Hyeon-Jeong
    • Proceedings of the Korean Society for Emotion and Sensibility Conference
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    • 2008.10a
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    • pp.74-77
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    • 2008
  • Online shoppers are not able to try clothing on. Therefore, the pictures of clothing on the website play a significant role when shoppers make decision on their purchase. There are generally three different ways to show clothing at online shops. The first one is showing only clothing images, and the second one is showing the pictures that have actual fitting models wearing clothing on (In this case, Model's face is mostly not shown in the picture.), and the third is showing the pictures of professional fitting models who wear goods. The shopping malls adopt each of the different ways but little is known about affect on purchasing from these three ways. The aim of this study is to figure out how the online shopper's emotional status is affected by these three ways of presenting pictures of clothing. At first, we developed a set of adjective words of human emotion to set up the evaluation criteria for user's emotional status. Those adjectives are originally from the precedent research on human emotion. To cut 99 adjectives down to a proper number for the criteria, we conducted a preliminary survey, and finally, 5 adjectives are selected as appropriate criteria for evaluating users' emotional status while they are shopping. Those five adjectives are 'possess','sensual', 'unique', 'tasteful', and 'stylish'. Then, we conducted the main survey showing 10 kinds of cloth (each cloth was consist of 3 ways). And in the page of model images, we measured the model's preference for understanding the relation with customer's emotion criteria of the product. As a result of the test there was statistically significant difference between product only images and anonymous images, but there was no significant difference between anonymous images and model images. And the preference of the model and value of the emotion criteria have large correlation except 'unique' criteria. It is expected that the result in this study will help to build new marketing strategy which satisfy customers' emotion.

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Too Much Information - Trying to Help or Deceive? An Analysis of Yelp Reviews

  • Hyuk Shin;Hong Joo Lee;Ruth Angelie Cruz
    • Asia pacific journal of information systems
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    • v.33 no.2
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    • pp.261-281
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    • 2023
  • The proliferation of online customer reviews has completely changed how consumers purchase. Consumers now heavily depend on authentic experiences shared by previous customers. However, deceptive reviews that aim to manipulate customer decision-making to promote or defame a product or service pose a risk to businesses and buyers. The studies investigating consumer perception of deceptive reviews found that one of the important cues is based on review content. This study aims to investigate the impact of the information amount of review on the review truthfulness. This study adopted the Information Manipulation Theory (IMT) as an overarching theory, which asserts that the violations of one or more of the Gricean maxim are deceptive behaviors. It is regarded as a quantity violation if the required information amount is not delivered or more information is delivered; that is an attempt at deception. A topic modeling algorithm is implemented to reveal the distribution of each topic embedded in a text. This study measures information amount as topic diversity based on the results of topic modeling, and topic diversity shows how heterogeneous a text review is. Two datasets of restaurant reviews on Yelp.com, which have Filtered (deceptive) and Unfiltered (genuine) reviews, were used to test the hypotheses. Reviews that contain more diverse topics tend to be truthful. However, excessive topic diversity produces an inverted U-shaped relationship with truthfulness. Moreover, we find an interaction effect between topic diversity and reviews' ratings. This result suggests that the impact of topic diversity is strengthened when deceptive reviews have lower ratings. This study contributes to the existing literature on IMT by building the connection between topic diversity in a review and its truthfulness. In addition, the empirical results show that topic diversity is a reliable measure for gauging information amount of reviews.

The Usefulness of Product Display of Online Store by the Product Type of Usage Situation - Focusing on the moderate effect of the product portability - (사용상황별 제품유형에 따른 온라인 점포 제품디스플레이의 유용성 - 제품 휴대성의 조절효과를 중심으로 -)

  • Lee, Dong-Il;Choi, Seung-Hoon
    • Journal of Distribution Research
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    • v.16 no.2
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    • pp.1-24
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    • 2011
  • 1. Introduction: Contrast to the offline purchasing environment, online store cannot offer the sense of touch or direct visual information of its product to the consumers. So the builder of the online shopping mall should provide more concrete and detailed product information(Kim 2008), and Alba (1997) also predicted that the quality of the offered information is determined by the post-purchase consumer satisfaction. In practice, many fashion and apparel online shopping malls offer the picture information with the product on the real person model to enhance the usefulness of product information. On the other virtual product experience has been suggested to the ways of overcoming the online consumers' limited perceptual capability (Jiang & Benbasat 2005). However, the adoption and the facilitation of the virtual reality tools requires high investment and technical specialty compared to the text/picture product information offerings (Shaffer 2006). This could make the entry barrier to the online shopping to the small retailers and sometimes it could be demanding high level of consumers' perceptual efforts. So the expensive technological solution could affects negatively to the consumer decision making processes. Nevertheless, most of the previous research on the online product information provision suggests the VR be the more effective tools. 2. Research Model and Hypothesis: Presented in

    , research model suggests VR effect could be moderated by the product types by the usage situations. Product types could be defined as the portable product and installed product, and the information offering type as still picture of the product, picture of the product with the real-person model and VR. 3. Methods and Results: 3.1. Experimental design and measured variables We designed the 2(product types) X 3(product information types) experimental setting and measured dependent variables such as information usefulness, attitude toward the shopping mall, overall product quality, purchase intention and the revisiting intention. In the case of information usefulness and attitude toward the shopping mall were measured by multi-item scale. As a result of reliability test, Cronbach's Alpha value of each variable shows more than 0.6. Thus, we ensured that the internal consistency of items. 3.2. Manipulation check The main concern of this study is to verify the moderate effect by the product type of usage situation. indicates that our experimental manipulation of the moderate effect of the product type was successful. 3.3. Results As
    indicates, there was a significant main effect on the only one dependent variable(attitude toward the shopping mall) by the information types. As predicted, VR has highest mean value compared to other information types. Thus, H1 was partially supported. However, main effect by the product types was not found. To evaluate H2 and H3, a two-way ANOVA was conducted. As
    indicates, there exist the interaction effects on the three dependent variables(information usefulness, overall product quality and purchase intention) by the information types and the product types. As predicted, picture of the product with the real-person model has highest mean among the information types in the case of portable product. On the other hand, VR has highest mean among the information types in the case of installed product. Thus, H2 and H3 was supported. 4. Implications: The present study found the moderate effect by the product type of usage situation. Based on the findings the following managerial implications are asserted. First, it was found that information types are affect only the attitude toward the shopping mall. The meaning of this finding is that VR effects are not enough to understand the product itself. Therefore, we must consider when and how to use this VR tools. Second, it was found that there exist the interaction effects on the information usefulness, overall product quality and purchase intention. This finding suggests that consideration of usage situation helps consumer's understanding of product and promotes their purchase intention. In conclusion, not only product attributes but also product usage situations must be fully considered by the online retailers when they want to meet the needs of consumers.

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  • A Qualitative Research about the CRM Experiences of Apparel Brand Customers (의류브랜드 소비자의 고객관계관리 경험에 관한 탐색적 연구 - 남성복, 여성복, 캐주얼, 스포츠의류 소비자의 비교를 중심으로 -)

    • Ko, Eun-Ju;Lee, Joo-Yun;Yun, Hye-Lim
      • Journal of the Korean Home Economics Association
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      • v.44 no.5 s.219
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      • pp.21-33
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      • 2006
    • The purpose of this study were 1) to analyze customer relationship management(CRM) based on the online customer experiences by product types (i.e., men's, women's, casual, sports wear), 2) to analyze CRM based on the off-line customer experiences by product type, and 3) to examine customer purchase behavior of fashion products and internet usage behavior by product types. Survey and 1:1 interview were conducted from January 13th to May 16th, 2005. Six consumers from each brand (i.e., 3 loyal customers and 3 general customers) in a total of 24 customers were selected from each product type. For the data analysis, content analysis and descriptive statistics (i.e. frequency) were used. Among the key study findings first, as a result of the on-line CRM experience, the customers of men's wear preferred receiving customized information through e-mail or SMS service. The customers of sports wear preferred receiving a different level of information and participating in customized product service. Second, as a result of the off-line CRM experience, the customers of men's wear need to be encouraged to join a membership at a sales encounter and the customers of women's wear preferred receiving quick information of new products and participating in a design development planning of the merchandising process. Third, the purchasing behavior of the customers of women's wear are influenced mostly by the salesperson and the store atmosphere when they purchase clothes and the customers of men's wear are price-sensitive. The results of this study can be used when fashion brands perform strategic planning and decision making on CRM.

    Effects of Imported Fashion Products' Use of an Ecolabel, Product Category, and Country of Origin on Consumers' Perceived Physical Risk, Attitude Towards the Products, and Purchase Intention (수입 의류 제품의 에코라벨 인증마크 부착 여부, 제품군, 원산지 국가가 소비자의 신체적 위험지각, 제품에 대한 태도 및 구매의도에 미치는 영향)

    • Yu, Heejeong;Shim, Soo In
      • Journal of the Korean Society of Clothing and Textiles
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      • v.44 no.1
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      • pp.33-52
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      • 2020
    • Some consumers question the safety of imported fashion products. We examine the effects of the use of an ecolabel, product category, and country of origin on consumer responses such as perceived physical risk, attitude towards a product, subjective norm, and intention to purchase imported fashion products. A sample of 508 adults in their 30s to 40s participated in online survey experiments. The survey experiments used 2 (the use of the ecolabel vs no label) × 4 (country of origin: China, Dominican Republic, Norway, and the United States) between-subjects and 4 (product category: men/women's wear, children's wear, underwear, and accessories) within-sub-jects factorial design. A total of 32 product-catalog images (stimuli) and eight versions of the questionnaire were developed. The use of the ecolabel is identified as having a significantly lower perceived physical risk than the no-label. The consumers' perceived physical risk also differs depending on product category and country of origin. Consumers perceive a higher physical risk about children's wear and underwear than other product categories as well as fashion products sourced from developing countries than from developed countries. The reduction of physical risk is found to facilitate consumers' purchase decision-making process.

    A Path Analytic Exploration of Consumer Information Search in Online Clothing Purchases (온라인 의복구매를 위한 소비자 정보탐색의 경로분석적 탐구)

    • Kim, Eun-Young;Knight, Dee K.
      • Journal of the Korean Society of Clothing and Textiles
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      • v.31 no.12
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      • pp.1721-1732
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      • 2007
    • This study identified types of information source, and explored a path model for consumer information search by shopping attributes in the context of online decision making. Participants completed self-administered questionnaires during regularly scheduled classes. A total of 219 usable questionnaires were obtained from respondents who enroll at universities in the southwestern region of the United States. For data analysis, factor analysis and path model estimation were used. Consumer information source was classified into three types for online clothing purchases: Online source, Offline retail source, and Mass media. Consumers were more likely to rely on offline retail source for online clothing purchases, than other sources. In consumer information search by shopping attributes, online sources were more likely to be related to transaction-related attributes(e.g., incentive service), whereas offline retail source(e.g., displays in stores, manufacturer's catalogs and pamphlets) were more likely to be related to product and market related attributes(e.g., aesthetics, price) when purchasing clothing online. Also, the path model emphasizes the effect of shopping attributes on traditional retailer search behavior, leading to online purchase intention for clothing. This study supports consumer information search by attributes, and discusses a managerial implication of multi-channel retailing for apparel.


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