scholarly journals The impact of risk factors on South African consumers’ attitude towards online shopping

2021 ◽  
Vol 21 (1) ◽  
Author(s):  
Khathutshelo M. Makhitha ◽  
Kate M. Ngobeni

Orientation: The advances in technology have resulted in an increasing number of people choosing to shop online, globally. Despite the growing number of those shopping online and online retailers, most customers continue to avoid shopping online. This could be because of risks inherent in online shopping that have resulted in some consumers opting not to shop online.Research purpose: The main aim of the research study is to identify the risks influencing consumers’ attitude towards online purchases.Motivation for the study: The study was driven by the need to determine the risks associated with online shopping that influence whether consumers will shop online or not.Research design, approach and method: A survey, using the non-probability convenience sampling method, was used to reach respondents (207 consumers in South Africa who visited two shopping malls) in Gauteng, South Africa. Data were collected from consumers at the two shopping malls from March 2019 to April 2019. Structural equation modelling (SEM) was used to test the conceptual model for the study.Main findings: The results showed that product risk and privacy risk influence consumer attitude in online shopping positively and that delivery risk does not to have a great influence on attitude towards online shopping. The attitude towards online shopping was also found to positively influence their intention to shop online.Practical/managerial implications: The practical implications for this study would be that retail owners and marketers would understand and manage product and privacy as risks that inhibit consumers from shopping online. Retailers should formulate appropriate marketing and retail strategies that address these risks to change consumers’ perceptions about online shopping and reduce the level of risks related to online shopping.Contribution/value-add: Marketing and retail strategies should include strategies on how product risk and privacy risks will be managed and reduced to ensure they do not influence consumer’s attitude against online shopping.

2018 ◽  
Vol 10 (6) ◽  
pp. 222
Author(s):  
Ephrem Habtemichael Redda

The internet has enabled businesses to make a wide range of products available for consumers to shop online, conveniently, anytime from anywhere in the world. While online shopping has shown tremendous growth over the recent past, literature indicates that consumers do cite some serious risks in transacting through the internet, and show reluctance in engaging in such activities. Therefore, the purpose of this paper is to identify positive and negative antecedents of consumer attitudes towards online shopping in an emerging economy, South Africa. Primary data through a survey method was collected from a sample of 215 consumers in Gauteng, South Africa, in early 2018. The study utilized descriptive, correlation and multivariate regression analysis to achieve its stated objective. The study identifies convenience, better deals/competitive pricing, a wider selection of products and online atmospherics as positive antecedents of consumer attitudes towards online shopping, while trust/reliability issues, financial risk, product risk, non-delivery risk and return policy issues are identified as negative antecedents of consumer attitudes towards online shopping. Online retailers are therefore encouraged to building on the positive antecedents by offering value for money (i.e. competitive pricing), offering a wide range of goods and services in their web pages, providing valuable information to customers, and designing visually appealing websites. Similarly, online retailers should try as much as possible to reduce the real and/or perceived risks related to financial risk and product risk by building trust with their customers.


2018 ◽  
Vol 10 (6(J)) ◽  
pp. 222-228
Author(s):  
Ephrem Habtemichael Redda

The internet has enabled businesses to make a wide range of products available for consumers to shop online, conveniently, anytime from anywhere in the world. While online shopping has shown tremendous growth over the recent past, literature indicates that consumers do cite some serious risks in transacting through the internet, and show reluctance in engaging in such activities. Therefore, the purpose of this paper is to identify positive and negative antecedents of consumer attitudes towards online shopping in an emerging economy, South Africa. Primary data through a survey method was collected from a sample of 215 consumers in Gauteng, South Africa, in early 2018. The study utilized descriptive, correlation and multivariate regression analysis to achieve its stated objective. The study identifies convenience, better deals/competitive pricing, a wider selection of products and online atmospherics as positive antecedents of consumer attitudes towards online shopping, while trust/reliability issues, financial risk, product risk, non-delivery risk and return policy issues are identified as negative antecedents of consumer attitudes towards online shopping. Online retailers are therefore encouraged to building on the positive antecedents by offering value for money (i.e. competitive pricing), offering a wide range of goods and services in their web pages, providing valuable information to customers, and designing visually appealing websites. Similarly, online retailers should try as much as possible to reduce the real and/or perceived risks related to financial risk and product risk by building trust with their customers.


2016 ◽  
Vol 44 (7) ◽  
pp. 713-730 ◽  
Author(s):  
Gopal Das

Purpose – The purpose of this paper is to examine the antecedents and consequences of trust in online shopping from an e-tail branding perspective. Design/methodology/approach – A structured questionnaire was used to collect data online from Indian e-tail shoppers (n=309). A structural equation modelling (CB-SEM approach) was used to analyse the data. Findings – The results found e-tailer awareness, e-tailer associations, and e-tailer perceived quality as antecedents of trust in online shopping. The results also showed online trust positively influences the behavioural intentions, namely, purchase intention, repurchase, and recommendation. Originality/value – This study examines the applicability and branding and brand management principles in an e-tail branding context. Theoretical and managerial implications of these results are further discussed.


2015 ◽  
Vol 5 (1) ◽  
pp. 38-50 ◽  
Author(s):  
Rajyalakshmi Nittala

This study examines the factors influencing online shopping behavior of urban consumers in the State of Andhra Pradesh, India and provides a better understanding of the potential of electronic marketing for both researchers and online retailers. Data from a sample of 1500 Internet users (distributed evenly among six selected major cities) was collected by a structured questionnaire covering demographic profile and the factors influencing online shopping. Factor analysis and multiple regression analysis are used to establish relationship between the factors influencing online shopping and online shopping behavior. The study identified that perceived risk and price positively influenced online shopping behavior. Results also indicated that positive attitude, product risk and financial risk affect negatively the online shopping behavior.


2019 ◽  
Vol 15 (1) ◽  
pp. 46-53
Author(s):  
Paulus Wardoyo ◽  
Lia Kumalasari ◽  
Endang Rusdianti

The tight competition in the banking industry has forced management to be creative in serving customers. Research related to product quality and service excellence has been carried out, but the research is still done partially. This research combines product quality and service excellence by utilizing customer satisfaction as a mediating variable in the decision to save again. The study population was customers of deposit accounts. This study used purposive sampling, with a number of respondents as many as 125 people. The analysis technique used was structural equation modeling, the collected data was then processed using AMOS software. After analysis, all hypotheses submitted in this study were considered to be acceptable. The managerial implications of the research are that the service excellence provided by the bank must be a service that can truly be directly felt and provide benefits, so that it can satisfy customers.


Author(s):  
Hoang Thi Phuong Thao ◽  
Lu Van Bao Long ◽  
Nguyen Le Thai Hoa

The purpose of this study is to measure the effectiveness of factors of brand, including Brand Positioning, Brand Knowledge, Attitude towards Organic Rice Brand, and Organic Rice Purchase Intention. The survey was conducted with a sample of 224 consumers shopping at four organic rice shops in Ho Chi Minh City. The research was performed by quantitative research methods: Cronbach's Alpha Reliability Analysis, Exploratory Factor Analysis (EFA), Confirm Factor Analysis (CFA), and Structural Equation Modeling (SEM). The research results were conducted in two direct models and the indirect models in which the indirect model was supported. This means that brand positioning and brand knowledge had no direct impact on the Intention to buy organic rice, but only an indirect one through the consumer attitude towards the organic rice brand.


2018 ◽  
Vol 14 (2) ◽  
pp. 177-192 ◽  
Author(s):  
Zheshi Bao ◽  
Taozhen Huang

Purpose The purpose of this paper is to explore the roles of flow experience and e-trust in online consumers’ stickiness intentions from a perspective of information quality and discuss how to retain these consumers. Design/methodology/approach The authors proposed a research model by integrating three dimensions of information quality, flow experience and e-trust. These factors were analyzed to explore the direct and indirect effects on consumers’ stickiness intention. Online questionnaires were adopted to collect data and 259 valid samples were analyzed by structural equation modeling approach. Findings The findings show that information quality provided by B2C online shopping malls can indirectly affect consumers’ stickiness intention through the mediation effects of flow experience and e-trust. Besides, flow experience can also significantly affect e-trust and then indirectly influence stickiness intention. Research limitations/implications The findings suggest that information quality can trigger the effects of flow experience and e-trust to keep stickiness of online consumers. Besides, in the context of online shopping, flow experience would promote consumers’ trust toward e-retailers. Some other theoretical and practical implications are also provided. Originality/value This study indicates the effects of flow experience and e-trust on stickiness intention from an information quality perspective. Meanwhile, the authors also intend to discuss the relationship between consumers’ flow experience and e-trust in the context of B2C online shopping.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pedro Espírito Santo ◽  
Alzira Maria Ascensão Marques

PurposeThe Internet has changed the nature of purchasing, proof of this being the proliferation of e-commerce sites which have seen their activity grow more quickly due to the COVID-19 pandemic. Therefore, the authors aim to investigate the impact of the consumer's hedonic motivations, price, access to information and trust on the online purchase intention.Design/methodology/approachA quantitative, transversal study of a conclusive nature was carried out. Based on information gathered through a questionnaire administered to a sample of 750 online purchasers, a structural equation model was estimated.FindingsThe results showed that the intention to continue purchasing in online shops is partly explained by access to information online, hedonic motivations and trust in e-commerce sites. It stands out that online information generates trust, and the perception of online prices does not influence loyalty but has a positive influence on hedonic motivations.Research limitations/implicationsAlthough some constructs were ignored, for example, the integration of channels, experiential marketing and the fear of fraud, including unauthorised use of personal details, the study shows that easy access to useful information about products, prices, promotions is an important antecedent of online purchase.Practical implicationsOnline shop managers should pay special attention to e-commerce websites, and the information provided there should explore consumer's hedonic motivations for adventure. Furthermore, it is fundamental to create trust in order to maintain the interest in online shopping.Originality/valueThe estimation of the structural model in the context of online shopping includes the influence of utilitarian motivations (price and access to information), which offer a rational experience and also include emotional motivations (hedonic adventure motivations) on the intention to buy online. The results also revealed that it plays an important role to promote online trust and online loyalty.


Author(s):  
Rajyalakshmi Nittala

This study examines the factors influencing online shopping behavior of urban consumers in the State of Andhra Pradesh, India and provides a better understanding of the potential of electronic marketing for both researchers and online retailers. Data from a sample of 1500 Internet users (distributed evenly among six selected major cities) was collected by a structured questionnaire covering demographic profile and the factors influencing online shopping. Factor analysis and multiple regression analysis are used to establish relationship between the factors influencing online shopping and online shopping behavior. The study identified that perceived risk and price positively influenced online shopping behavior. Results also indicated that positive attitude, product risk and financial risk affect negatively the online shopping behavior.


2020 ◽  
Vol 16 (1) ◽  
pp. 21-30 ◽  
Author(s):  
Larry Sau Kei Leung

The importance of positive word of mouth (WOM) and repurchasing in competitive online retail environments demands their further study. Although customer satisfaction has been found to drive positive WOM and repurchasing, limited research has explored what type of customers feel more satisfied with online shopping. It was anticipated that the convenient nature of online shopping would better match the conscientious personality traits of customers with earlier sleep and wake times. Data collected from 334 Indian college students participating in this study using a snowball sampling method were analysed by multiple regression. As hypothesised, based on self-congruency theory, customers with earlier sleep and wake times were found to feel more satisfied with online shopping, which in turn enhanced their positive WOM and increased repurchase intention. Theoretical and managerial implications are discussed.


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