Antecedents of Loyalty Towards Online Retailers: Heavy Shopper versus Light Shopper Groups

Antecedents of Loyalty Towards Online Retailers: Heavy Shopper versus Light Shopper Groups

Soma Sur (Department of Commerce and Management, West Bengal State University, Kolkata, India)
Copyright: © 2014 |Pages: 14
DOI: 10.4018/jeco.2014100104
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Abstract

E-tailing has had a phenomenal growth in the last few years but still great potential remains unused because of consumers' general lack of trust in online retailers. The purpose of this study is to develop and test an integrated model to understand the role of satisfaction and trust in building e-loyalty. It further explores the moderating effects of shopping levels on antecedents of trust, satisfaction and loyalty toward an Internet retailer. The study has used structural equation modeling to reveal the nature of relational influences of these constructs on loyalty. The moderating effects of the levels of shopping are observed as the price/value had a stronger effect on e-satisfaction for light shoppers, while e-trust had a stronger effect on e-satisfaction for heavy shoppers. This study not only advances our theoretical understanding but also helps practitioners to formulate strategies to convert light shoppers to heavy and loyal ones.
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2. Conceptual Framework

Thus the importance of e-loyalty in online retailing is obvious and a critical issue, as an Internet store has to face intense price pressures from different competitors. E-loyalty can be defined as customer’s favourable attitude and commitment towards the online retailer that results in repeat purchases (Rodgers, Negash, & Suk, 2005).

The Internet-based distance trade is a service and therefore an experience good whose quality can be judged only after completion of the transaction. The safe transmission of sensitive financial data for the transaction and the e-tailer’s general integrity in dealing with personal data can be assessed only long after completion of the transaction. Thus trust plays a central role in buyer–seller relationships, which is derived from the prevailing asymmetry in information between the buyer and seller (Akerlof, 1970). Trust has always been an important element in successful marketing and it is especially true in e-commerce (Urban, Sultan, & Qualls, 2000).

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