What is the most important factor that influences customer’s satisfaction when buying online?
Over the past two decades, the rapid growth of the internet becomes a platform for buyer-seller interaction, constituting a well-practiced system. With the emergence of e-commerce there has been a significant increase in online transactions. Online shopping could be defined as the concept of buying and selling of goods over the internet. From the aspect of the seller, the buyers tend to attract and persuade the prospect to conduct the purchase decision-making process, and ensure satisfaction and loyalty. However, fraud and unsafe service performances have reduced trust in online retailers. Consumers at all levels of Internet experience are cautious when making Internet purchases, newcomers are likely to require more specific evidence of trustworthiness prior to purchase. Therefore, the important issue that needs to be addressed is trust among the seller-buyer, if the web site does not lead the consumer to believe that the merchant is trustworthy, no purchase decision will result and customers’ satisfaction cannot be fulfilled. This essay contend that ‘‘trust’’ is the most important factor to influence customers’ satisfaction when buying online. The essay starts with the concept of trust, then goes on to explain the concept towards the background of online buying and trust will be demonstrated in terms of perceived security and privacy, reputation of the company, atmospheric cues respectively.
Computers and the Internet are becoming faster and capable of new and exciting things every day. Through this evolution, businesses have begun to reach out to consumers in new, unprecedented ways. With the amazing growth of users of the Internet, and the enormous growth that is expected to continue, businesses are aware that there is tremendous potential to provide and promote products and ...
Trust as a concept has been studied and researched across numerous disciplines and fields (Wang & Emurian, 2005).
It has been studied with ‘‘. . . both institutional phenomena (system trust) and personal and interpersonal forms of trust (dispositional trust, trusting beliefs, trusting intentions and trust-related behaviors . . . ’’ (Grabner-Krauter & Kaluscha, 2003).
The concept applied in various fields, the earliest works being in the area of psychology (Deutsch, 1958; Zand, 1972) and sociology (Luhmann, 1979).
Trust has been defined as ‘‘confidence in or reliance on some quality or attribute of a person or thing, or the truth of a statement’’ (Oxford English Dictionary).
However, trust as a concept in the terms of marketing appeared later, which relates the interpersonal relationships between buyers and sellers as well as the relationship of marketing. The occurrence of e-business which is different from physical exchange, then trust as a fundamental element satisfies the psychological expectation of customers in virtual and invisible trades.
Moreover, online trust is a belief that the online seller can be trusted, when it associated to online buying. It is a feeling of confidence and security towards the online transactions. According to Gefen (2002a, b), trust is the outcome of the ‘‘specific beliefs of integrity, ability, and benevolence’’; in the context of e-commerce, ‘‘integrity’’ guarantees the rules and promises; ‘‘ability’’ is the capacity to provide quality products and services; ‘‘benevolence’’ means treating customers kindly, avoiding only materialistic gain of the company. These three beliefs have close connection towards customer satisfaction and interpret the original demands of customers’ expectation. Trust as a concept has been studied in the environment of marketing, the manufacturer-retailer-buyer exchange, related to transactions, commitment and loyalty, which underlie the satisfaction of customers.
Bikes or two wheelers in India cater to various needs of the consumers. With the choice of the Indians improving from bicycles to two wheelers, the Indian two-wheeler market has seen a significant growth over the years. Now owing a bike has become a must for most Indians. Even if people own a car they prefer to have a bike as it is very economical and fuel efficient. With the growth in the economy ...
After analyzing the concept of trust, the specific field of it should be demonstrated. Perceived security and privacy are key elements affecting consumers’ online initial trust in a company, which are vital in constructing satisfaction. Trust plays an important role in online transactions, since it performs a driver or a barrier in introducing new technologies, thus the importance of trust in the online context is significant, which helps retain customers by a satisfied consuming experience. It also helps reduce the levels of risk associated with purchase transaction processes. The lack of trust becomes a barrier of the intension which encourages consumers participating online shopping (Chen & Barnes, 2007).
A high degree of trust arouses and meets consumers’ expectations of satisfying transactions and reduces uncertainty risks in online buying. The higher the degree of consumers’ trust, the higher the degree of buying intentions of consumers, namely, more impulsive-buying may be triggered. In reality, many companies adopt 3rd party consensus to improve perceived security and privacy by clarifying peer rating in terms of website reliability, in order to improve the online trust. Moreover, compare other aspects related to trust, people concern more about perceived security and privacy, because the payment safety and personal information are the most initial element people take into consideration. Fraud Watch International (2008) indicates 31% of buyers have lost money when purchasing online and over 80% think they will become a victim in the future. Besides, 21% of Internet users report never trusting information online, causing 29% of online shoppers to reduce the frequency of customer purchasing online and an additional 25% of users to stop buying products online totally. Hence, this aspect of trust can fulfill the very prior requirement of customer, which is more fundamental than other components of trust mentioned below. Assuring data privacy and security in online buying which develops trust in the consumer, moreover, improve satisfaction of customers, relieve the concern as well.
Apart from Perceived security and privacy, the reputation of the company is significant factor that people usually concern. Because a company with good reputation reduces the transaction risk involved in online buying. For instance, a company contains reliable brands and consistency of pre purchase and post purchase services, which means it has capacity to guarantee the quality of selling and satisfy the expectation of customers. It is believed that the larger a company, the greater reputation may generate, hence the more capable it is and better at fulfilling satisfaction of customers. People care more about reputation of the company, concern more about the confidence and reliance on quality of website. The more well-known companies, provides more trust, not only in empirical aspect but also in psychological aspect, which can pacify the suspicion of consumers and satisfy the expectation of customers. Lacking of reputation means may lack of trust in online security and policy, reliability of a company and web site technology cannot stimulate consumers’ buying intentions and fulfill satisfaction.
The Implications of Online Consumer Behavior on Web Site Design The e-commerce business has become very competitive and customers now dictate how they want web sites to look and function. Web site designers have to have an idea of who their target audience is and they need to design a site accordingly as well as be aware of the technology, which is likely to be used. When designing a web site a ...
In addition to perceived security and privacy, reputation of the company, atmospheric cues is another area to reflect the degree of trust. Atmospheric cues contain three main parts, e-store content, e-store design and e-store navigation respectively. These three parts of e-store quality can present the stage of websites’ accessibility, which can influence consumer behavior in the context of online retailing strongly. These factors positively affect online trust and purchase intentions of consumers dramatically. The easier the technology is to apply, the more likely the consumer is to trust the organization and company behind it. Perceived ease-of-use is a belief that an online system would be regarded as the fun and enjoyment factor stimulating consumers’ desire to transact online. To be more specific, the evidence which stems from the record (Floh & Madlberger, 2013): the higher perceived quality of the e-store content, the greater is the shopping enjoyment in the e-store. The better customers perceive the e-store design to be, the greater is their shopping enjoyment in the e-store. The better consumers perceive the navigation in an e-store to be, the greater is their shopping enjoyment in the e-store.
E-Shopping Online shopping has impacted the economic, political and cultural development of the financial markets and the economy. Many consumers have been using the World Wide Web in order to purchase items. The computer technology has allowed consumers to use the internet to their convenience to shop. Online shopping has impacted the United States economy greatly. The impacts of online shopping ...
Three of them may enhance the customer’s s satisfaction, as a consequence, improve the intention of consuming, proceeding to the next step, triggering impulsive purchasing. Establishing accessibility of websites in terms of atmospheric cues, e-store content, e-store design, e-store navigation, improve the enjoyment by functional convenience and delight. The higher quality of design and navigation of websites link to ease of use and website communication style respectively, categorizing accessibly of adequate content contributes the convenience of websites as well. A website with good graphic design in terms of structure and content, as well as easy and quick navigation, attracts potential buyers; navigation is an important aspect of website design. It is directly related to the flow construct, which is important for calculating and understanding consumer behavior on the internet. The design of website provides the accessibility by clicking on to get to locations, which can also enhance trust and ensure that consumers follow the online site for buying products and services. By way of illustration, display of brand promoting information through the company logo, comprehensive and up-to-date product and service information, display of 3rd party symbols and certifications, also contributes in boosting trust in buyers. Illustrating information and communication media via messaging, online chat, also develop trust in buyers. Consumers’ perceptions of web sites significantly affect their trust in web sites and drive them to make transactions. Therefore, every element composes to the comprehensive whole to influence the intention of buying online that derives from customer satisfaction.
In comparison, other involved factors like service quality (e.g., quality of products) are usually taken into consideration by people as well. However, the importance of service quality is not as significant as trust. A case in point is that in online booking of railway tickets in India via using the registered railway website of Indian Railway Catering and Tourism Corporation (www.irctc.com) (Sahney, Ghosh & Shrivastava, 2013).
The survey respondents (327) were classified on age groups. People belonging to the lower age (15-30) care more about service quality than higher age group (30-50), because of their greater familiarity towards websites. On the other hand, buyers belonging to the higher age, in terms of security of online transaction, there were no significant differences found compared with lower age group. These findings can also be attributed to that customers tend to think highly about payment safety, financial risks, as well as privacy statements which are prior to quality of service.
Introduction Grading and reporting are relatively recent phenomena in education. Throughout much of the nineteenth century most schools grouped students of all ages and backgrounds together with one teacher in one-room schoolhouses, and few students went beyond college studies. The teacher reported students learning progress orally to parents, usually during visits of parents in their schools. ...
In conclusion, after analyzing the concept of trust, combining the concept towards the background of online buying further, thereafter illustrating trust in three main aspects: perceived security and privacy, reputation of the company, atmospheric cues. In the aspect of perceived security and privacy, the initial step of trust presents the link and effect between customer’s satisfaction. In terms of reputation of the company, which show people’s usual concerns influencing satisfaction. Furthermore, atmospheric cues demonstrate how they affect customer satisfaction as well. Hence, considering the satisfaction and intention of buying factors which relate to customer satisfaction is very important for establishing any category of e-business websites. At the same time, revealing trust as a factor influences customer satisfaction when buying online, plays a very important role. Paying attention to all the factors, especially the trust as a principal element as a fundamental factor. Furthermore, think highly of the aspects related to trust in order to develop websites more reliable, which will bring more satisfaction of consumers then triggering the intention of buying.