Effect of Online Second-Hand Shopping Experience on Repurchase Intention: Evidence From Indian Shoppers

Effect of Online Second-Hand Shopping Experience on Repurchase Intention: Evidence From Indian Shoppers

Murali Swapana (VIT Business School, Vellore Institute of Technology (VIT), Vellore, India) and Chandrasekaran Padmavathy (VIT Business School, Vellore Institute of Technology (VIT), Vellore, India)
DOI: 10.4018/IJABIM.2018100103
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Research on online shopping experience has been studied intensively over the past years. However, there are only few studies related to online second-hand shopping experience. The present study aims to investigate the effect of online second-hand shopping experience on trust, attitude, and repurchase intention. The results indicate that online second-hand shopping experience has a significant and positive effect on attitude, trust, and repurchase intention. Attitude and trust also have a positive influence on repurchase intention. This study provides implications to second-hand e-retailers to develop marketing strategies to retain the existing customers.
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In recent years, the dynamics of shopping patterns have been changing. Customers are so passionate towards buying products through e-commerce portals. People have shifted their shopping patterns from brick-and-mortar to online stores due to its varied advantages (Dholakia and Uusitalo, 2002). Products such as electronics, furniture, apparel, and home appliances are certain product categories that fascinate online buyers and attract huge profits to an online retailer (Overby and Lee, 2006). However, online retailers face many challenges to gain competitive advantage and sustain in the business (Papatla, 2011). Understanding and meeting customer expectations is crucial to e-retailers (Sheth, Sisodia, and Sharma, 2000). Measuring the effect of customer’s online shopping experience is pivotal to understand customer expectations and to develop and maintain customer relationships in online platform, since poor online customer experience can generate a loss of 24 per cent of online revenue (Econsultancy, 2011). Hence, e-retailers have to focus on providing a positive online shopping experience in order to survive in today’s competitive online shopping environment.

Similar to online shopping, online second-hand shopping is highly booming in India (Singh, 2016). The rise of online second-hand shopping is increasing drastically because of expediency and cheaper rates. It attracts a large customer base by enabling customers to even dispose products respectably and still earn profit. Many studies have analysed the concept of online shopping experience in various contexts (e.g., Miyazaki and Fernandez, 2001; Zhou et al., 2007; Bilgihan, Kandampully and Zhang, 2016), only a few research have been conducted on examining the significance of online shopping experience in second-hand context. For instance, few researches have studied factors that motivates the customer to shop second-hand products offline (e.g., Guiot and Roux, 2010; Roux, and Guiot, 2008); few studies on customer initial trust towards online second-hand products (e.g., Lee and Lee, 2005); and few scholars have considered online second-hand business from seller’s point of view (e.g., Turunen and Leskinen, 2015). Most of these studies have examined pre-purchase behaviour and motivating factors of online-second-hand consumers. There is a pressing need to investigate the post-purchase behaviour on online second-hand shoppers. Moreover, consumer behaviour often varies between new product and used goods consumption (Anderson and Ginsburgh, 1994). Most of the studies on second-hand shopping are based on developed countries, research on developing countries like India is essential (Kim, Ferrin, and Raghav Rao, 2009).

Hence, this study aims to address the above research gaps by testing the effect of shopping experience on customers’ outcome variables. Specifically, this study examines the impact of online second-hand shopping experience on customer’s attitude, trust and repurchase intention. The rest of the paper is divided as follows. The next section presents brief review of literature and develops hypotheses. We then present research methodology followed by discussion of findings and implications. Finally, the last section outlines the limitations of the present study and future research directions.

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