• Title/Summary/Keyword: Online shopping

Search Result 1,025, Processing Time 0.029 seconds

Does Loss-Leader Pricing Work in Online Shopping Malls?

  • Yeum Dai-Sung;Chae Myungsin;Kim Ji-Young
    • Management Science and Financial Engineering
    • /
    • v.11 no.3
    • /
    • pp.95-107
    • /
    • 2005
  • As online shopping malls have emerged as a substantial shopping channel, they have used various sales promotion strategies to acquire new customers. Most of these strategies have been applied by offline malls for years. One, loss-leader pricing, is a type of promotional pricing in which stores sell well known products below their marginal cost, in order to attract customers and induce them to purchase more goods through impulse buying. This strategy is based on the expectation that customers will factor transaction costs into their purchasing decisions. However, its application to online malls fails to recognize that transaction costs are lower online, and that customers will behave differently as a result. Our study predicts that loss-leader pricing will not work online because online malls entail lower searching and moving costs than offline malls The study examines the effectiveness of loss-leader pricing with empirical data from a survey as well as log data from a Korean online shopping mall. The results show that while loss-leader pricing does attract customers to online shopping malls, it encourages cherry-picking rather than impulse purchases of regular-price goods.

A Study on the Effect of Online Activation Business Transaction Factors of Fresh Food Shopping Mall on e-Customer Relationship Quality and e-Customer Loyalty

  • Shin, Jong-Kook;Lee, Sang-Youn
    • East Asian Journal of Business Economics (EAJBE)
    • /
    • v.7 no.1
    • /
    • pp.1-16
    • /
    • 2019
  • Purpose - For the development of fresh food shopping malls, consumers should continue to experience loyalty and favorability for the company's products or brands, and this should lead directly to purchase so that active word-ofmouth and recommendation should be encouraged. Therefore, the purpose of this study is to investigate the effect of e-service quality and e-ERM on e-loyalty with customer satisfaction and commitment as mediators. Research design, data, and methodology - This study was conducted by sample survey method on 320 online customers who have experience in using major online fresh food shopping malls for more than one year. Data analysis methods were frequency analysis, confirmatory factor analysis, reliability analysis, correlation analysis, and structural equation model analysis. Result - Hypothesis 1 through Hypothesis 7 were all supported. The results of this study suggest that e-service quality and e-CRM of online fresh food shopping malls have a significant effect on satisfaction and commitment. Therefore, the conclusion has been derived that the focus of this study, that such satisfaction and commitment have a significant effect on e-customer loyalty. has been supported theoretically and empirically. Conclusion - This study suggests that studies on customer loyalty based on activation commerce factors related to fresh food in online shopping malls will be an index that can reflect on customer's needs corresponding with future trends of not only online shopping malls but also offline shopping malls.

A Study on Design and Implementation of Automatic Product Information Indexing and Retrieval System for Online Comparison Shopping on the Web (웹 상의 온라인 비교 쇼핑을 위한 상품 정보 자동 색인 및 검색 시스템의 설계 및 구현에 대한 연구)

  • 강대기;이제선;함호상
    • The Journal of Society for e-Business Studies
    • /
    • v.3 no.2
    • /
    • pp.57-71
    • /
    • 1998
  • In this paper, we describe the approaches of shopping agents and directory services for online comparison shopping on the web, and propose an information indexing and retrieval system, named InfoEye, with a new method for automatic extraction of product information. The developed method is based on the knowledge about presentation of the product information on the Web. The method from the knowledge about presentation of the product information is derived from both the point that online stores display their products to customers in easy-to-browse ways and heuristics made of analyses of product information look-and-feel of domestic online stores. In indexing process, the method is applied to product information extraction from Hypertext Markup Language (HTML) documents collected by a mirroring robot from online stores. We have made InfoEye to a readily usable stage and transferred the technology to Webnara commercial shopping engine. The proposed system is a cutting-edge solution to help customers as a shopping expert by providing information about the reasonable price of a product from dozens of online stores, saving customers shopping time, giving information about new products, and comparing quality factors of products in a same category.

  • PDF

The Effect of Brand Trust of Home Meal Replacement on Repurchasing in Online Shopping

  • CHA, Seong-Soo;SEO, Bo-Kyung
    • Asian Journal of Business Environment
    • /
    • v.9 no.3
    • /
    • pp.21-26
    • /
    • 2019
  • Purpose - This study aims to investigate the effect of brand image and trust of a home meal replacement (HMR) industry on customer satisfaction and repurchase during online shopping. Research design, data, and methodology - With 217 questionnaires, this study was conducted by AMOS 20.0, and the Structural Equation Model (SEM) as statistical method was used for examining the hypotheses in this study. Factors such as brand image and brand trust in customer shopping for HMR products online were tested, and relationships between satisfaction and repurchase were studied. Results - Brand image and brand trust in terms of online shopping for HMR were found to affect satisfaction significantly; in addition, the path where satisfaction leads to repurchase was found to be significant. However, brand image and brand trust for HMR in online shopping differed depending on customer age groups. The path-coefficients from brand image of HMR in online shopping to satisfaction were more significant in the older age group; meanwhile, the path-coefficient from brand trust to satisfaction was significant in the younger age group. Conclusions - Results of the study suggested the importance of the attributes for buying HMR products online and provided meaningful implications of difference between age groups when they choose the products.

The Application of the Theory of Planned Behavior to Transnational Consumption Behaviors: Focused on Cross-Border Online Shopping (합리적 행동이론을 적용한 초국가적 소비행동에 관한 연구: 해외직구를 중심으로)

  • Seo, Min Jeong;Jeong, Yu-Jin
    • Human Ecology Research
    • /
    • v.56 no.2
    • /
    • pp.109-122
    • /
    • 2018
  • Cross-border online shopping is an example of non-mobile transnational consumption behavior that has become more popular over the last decade due to the development of technology and transportation. Based on the Theory of Reasoned Action(TRA), this study proposed and tested the hypothesized model that would explain the relationships among consumption beliefs, attitudes toward cross-border online shopping, subjective norms, and purchase intention. Consumption beliefs were measured by global consumption orientation, consumer orientation, and global brand beliefs. In addition, subjective norms included two types: online and offline norms. Descriptive statistics and path analysis were employed for the analysis of the dataset of 174 participants. As a result, the hypothesized model was generally supported. Consistent with the hypothesis, global consumption orientation and global brand beliefs were positively related to positive attitudes toward cross-border online shopping but negatively associated with consumer ethnocentrism. Offline subjective norms positively predicted both the attitudes and purchase intention whereas online subjective norms only predicted purchase intention. The results reflected that TRA was applicable to the intention of cross-border online shopping in a current on-line shopping context. We also discussed the practical applications and limitations of the study.

Consumer Type and Characteristics According to Word-of-Mouth Behavior (구전행동에 따른 소비자 유형과 특성)

  • Seo, Hyun-Jin;Lee, Kyu-Hye
    • Journal of the Korean Society of Clothing and Textiles
    • /
    • v.37 no.1
    • /
    • pp.27-38
    • /
    • 2013
  • Word-of-mouth (WOM) communication (traditionally important in consumption) is expanding its influence into cyber space and is playing an important role in online shopping. Consumers who use online shopping might not readily make purchasing decisions due to information overload, lack of accurate product recognition, and the distrust of commercial information. Subsequently, people use WOM communication for a mutual interchange with others who share common concerns, interests, and purposes. This study examines the consumer characteristics, perceived risk on online shopping and benefits of online shopping according to WOM behavior that may significantly affect consumer actions. Factor analysis, t-test, one-way ANOVA, cluster analysis, and Chi-square analysis were used for statistical analysis to identify the differences in consumer characteristics. Online WOM behavior consumers purchased more various items than offline WOM behavior consumers; however, the most influential purchasing factor was price regardless of WOM behavior. Offline WOM behavior consumers have shown higher perceived online shopping risks and benefits.

Online Hedonic-Experiential Value in Internet Shopping: Antecedents and Consequences (온라인 쇼핑에서 헤도닉-경험가치(Hedonic-Experiential Value): 영향변수와 결과변수)

  • Park, Cheol
    • Asia pacific journal of information systems
    • /
    • v.13 no.4
    • /
    • pp.73-96
    • /
    • 2003
  • Shopping is a work and fun for a consumer. Retailers satisfy social and physiological needs through various experiences as well as economic and rational. Do offer online shopping malls fun and hedonic experiences that offline retailers do? This study applied the hedonic-experiential value relating to the consumption dimension of fun and excitement to online shopping. Especially, a model of online hedonic-experiential value, consisted of its antecedents and consequences, was developed and identified through a survey(n=436). As the result, graphic & multi-media, site structure & design, customer services, payment, individualization, product assortment & display, interactivity, dynamic pricing factors influence online hedonic-experiential value. Also, online hedonic-experiential value significantly related to revisiting, purchasing, and word-of mouth intention of the shopping site. The implications for online retailer are discussed and further research is suggested.

The Effect of Online Review Writing Motives of Internet Shopping on Repurchase Intention and Recommendation Intention about Fashion Merchandise (온라인 구매후기 작성동기가 패션제품 재구매의도 및 추천의도에 미치는 영향)

  • Ku, Tae-Hee;Ku, Yang-Suk
    • Fashion & Textile Research Journal
    • /
    • v.12 no.2
    • /
    • pp.188-193
    • /
    • 2010
  • The purpose of this study was to investigate the online review writing motives of online shopping on repurchase intention and recommendation intention about fashion merchandise. The questionnaire was administered to 279 people who had experience in online shopping. The data were analyzed by utilizing factor analysis, multiple regression analysis and t-test. The results of this study were as follow. First, the online review writing motives were divided into three categories such as benefit pursuit/hedonic shopping value, information transmission and evaluation. Second, the consumer who has experience of writing review prefers to repurchase other products in that online shopping mall and to recommend those products more than the consumer who doesn't have that experience. Third, the benefit pursuit/hedonic and information transmission had an effect on repurchasing intention and recommendation intention.

How consumer characteristics moderate time effects on online purchase preference: an empirical analysis

  • Li, Zhen;Huang, Lin
    • Asia Marketing Journal
    • /
    • v.16 no.3
    • /
    • pp.1-22
    • /
    • 2014
  • In this paper, we posit that time-related effects (i.e., the importance of saving time) on patronage preference for shopping online will be moderated by consumer characteristics. To explore these moderating effects, we empirically examine the moderating roles of consumer characteristics on the respective effects of shopping-time-saved and delivery on online purchase preference. On the basis of analyses performed on data gleaned from an Internet-based survey, this study demonstrate that time effects related to both shopping-time-saved and delivery on online purchase preference are more pronounced for consumers who are male, young, and more starved for time. In addition, the effect of delivery time on online patronage preference is amplified by disposable income, but attenuated by online shopping experience. Through our analyses, we also find that Japanese consumers value delivery time to a greater degree than Chinese and American consumers do.

Effects of Consumers' Technology Readiness on Telepresence and E-loyalty toward 3D Online Shopping Mall

  • Yang, Hee-Soon;Jung, Hye-Jung;Youn, Cho-Rong;Choi, Yun-Jung;Lee, Yu-Ri
    • Journal of the Korean Society of Clothing and Textiles
    • /
    • v.35 no.6
    • /
    • pp.659-669
    • /
    • 2011
  • Consumer responses to 3D online shopping malls are influenced by their attitudes toward technology. This study examines the consumer differentiation according to technology readiness, compares customers with different technology readiness in terms of their perceived telepresence and e-loyalty, and examines the effect of their perceived telepresence on their e-loyalty. Samples from 300 females aged 21 to 39 were used for the final analysis. The results are as follows. First, consumers were classified into three groups, Explorers (N=72), Pioneers (N=105), and Skeptics (N=123), through factor analysis and k-means cluster analysis. Second, the Explorers evaluated the telepresence of the 3D online shopping mall higher than any other group. The Skeptics presented lower e-loyalty and perceived less telepresence in the 3D online shopping mall than the other two groups. Finally, telepresence had a significant influence on e-loyalty, as identified by the regression analysis. This verifies the effectiveness of 3D technology adopted or to be adopted by online shopping malls and demonstrates that 3D shopping malls can be a strategic alternative in the online shopping sector where competition is fierce. The results show that online shopping malls should focus on establishing 3D shopping environments with further effort to utilize the technology.