IDEAS home Printed from https://ideas.repec.org/a/eee/joreco/v61y2021ics0969698921001314.html
   My bibliography  Save this article

Factors influencing consumers' purchase decision-making in O2O business model: Evidence from consumers' overall evaluation

Author

Listed:
  • Wang, Chong
  • Wang, Yanqing
  • Wang, Jixiao
  • Xiao, Jiuling
  • Liu, Jian

Abstract

Online-to-offline (O2O) has become a rapidly growing e-commerce model worldwide, but the factors influencing consumers' purchase decision-making have not been examined well. After exploring the working mechanism of the O2O model, we extract eleven indexes of consumers' overall evaluation in the O2O model with Crawlzilla and R techniques. Social network analysis (SNA) is adopted to build social networks reflecting consumers' overall evaluation in the O2O model. Based on the modified social network and the extracted subgraph, this study (N = 768) reveals consumers' overall evaluation behavior patterns in the O2O model by calculating network density, central potential, edge betweenness. The results show that shoppers overall evaluate the eleven indexes, especially perceived product quality, online product price, promotion intensity, business reputation, and product brand, which reflects the significant associations between the indexes. Among all the eleven evaluation indexes, perceived product quality, online product price, and business reputation dominate consumers’ decision-making behavior. When making purchase decisions, consumers not only overall consider online product price, perceived product quality, and business reputation but also balance perceived product quality, business reputation, and promotion intensity. Finally, we make some suggestions on marketing strategy for e-commerce companies.

Suggested Citation

  • Wang, Chong & Wang, Yanqing & Wang, Jixiao & Xiao, Jiuling & Liu, Jian, 2021. "Factors influencing consumers' purchase decision-making in O2O business model: Evidence from consumers' overall evaluation," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
  • Handle: RePEc:eee:joreco:v:61:y:2021:i:c:s0969698921001314
    DOI: 10.1016/j.jretconser.2021.102565
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969698921001314
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.jretconser.2021.102565?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Heitz-Spahn, Sandrine, 2013. "Cross-channel free-riding consumer behavior in a multichannel environment: An investigation of shopping motives, sociodemographics and product categories," Journal of Retailing and Consumer Services, Elsevier, vol. 20(6), pages 570-578.
    2. Alberto Sa Vinhas & Richard Gibbs, 2018. "Exclusive dealing without territory exclusivity in multichannel systems: managing channel conflict and driving commitment," Marketing Letters, Springer, vol. 29(3), pages 291-305, September.
    3. Sandrine Heitz-Spahn, 2013. "Cross-channel free-riding consumer behavior in a multichannel environment: An investigation of shopping motives, sociodemographics and product categories," Post-Print hal-01369291, HAL.
    4. Dholakia, Utpal M. & Kahn, Barbara E. & Reeves, Randy & Rindfleisch, Aric & Stewart, David & Taylor, Earl, 2010. "Consumer Behavior in a Multichannel, Multimedia Retailing Environment," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 86-95.
    5. Du, Shaofu & Wang, Li & Hu, Li, 2019. "Omnichannel management with consumer disappointment aversion," International Journal of Production Economics, Elsevier, vol. 215(C), pages 84-101.
    6. Suryandari, Retno Tanding & Paswan, Audhesh K., 2014. "Online customer service and retail type-product congruence," Journal of Retailing and Consumer Services, Elsevier, vol. 21(1), pages 69-76.
    7. Kokho Sit, Jason & Hoang, Anna & Inversini, Alessandro, 2018. "Showrooming and retail opportunities: A qualitative investigation via a consumer-experience lens," Journal of Retailing and Consumer Services, Elsevier, vol. 40(C), pages 163-174.
    8. Gensler, Sonja & Neslin, Scott A. & Verhoef, Peter C., 2017. "The Showrooming Phenomenon: It's More than Just About Price," Journal of Interactive Marketing, Elsevier, vol. 38(C), pages 29-43.
    9. Sandrine Heitz-Spahn, 2013. "Cross-channel free-riding consumer behavior in a multichannel environment: An investigation of shopping motives, sociodemographics and product categories," Post-Print hal-03010102, HAL.
    10. Pantano, Eleonora & Viassone, Milena, 2015. "Engaging consumers on new integrated multichannel retail settings: Challenges for retailers," Journal of Retailing and Consumer Services, Elsevier, vol. 25(C), pages 106-114.
    11. Rapp, Adam & Baker, Thomas L. & Bachrach, Daniel G. & Ogilvie, Jessica & Beitelspacher, Lauren Skinner, 2015. "Perceived customer showrooming behavior and the effect on retail salesperson self-efficacy and performance," Journal of Retailing, Elsevier, vol. 91(2), pages 358-369.
    12. Xu Chen & Xiaojun Wang & Xinkuang Jiang, 2016. "The impact of power structure on the retail service supply chain with an O2O mixed channel," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 67(2), pages 294-301, February.
    13. Fassnacht, Martin & Unterhuber, Sebastian, 2016. "Consumer response to online/offline price differentiation," Journal of Retailing and Consumer Services, Elsevier, vol. 28(C), pages 137-148.
    14. Wang, Shiying & Chen, Huimiao & Wu, Desheng, 2019. "Regulating platform competition in two-sided markets under the O2O era," International Journal of Production Economics, Elsevier, vol. 215(C), pages 131-143.
    15. Pauwels, Koen & Neslin, Scott A., 2015. "Building With Bricks and Mortar: The Revenue Impact of Opening Physical Stores in a Multichannel Environment," Journal of Retailing, Elsevier, vol. 91(2), pages 182-197.
    16. Shi, Ruixia & Chen, Hongyu & Sethi, Suresh P., 2019. "A generalized count model on customers' purchases in O2O market," International Journal of Production Economics, Elsevier, vol. 215(C), pages 121-130.
    17. Trampe, Debra & Konuş, Umut & Verhoef, Peter C., 2014. "Customer Responses to Channel Migration Strategies Toward the E-channel," Journal of Interactive Marketing, Elsevier, vol. 28(4), pages 257-270.
    18. Cao, James & So, Kut C. & Yin, Shuya, 2016. "Impact of an “online-to-store” channel on demand allocation, pricing and profitability," European Journal of Operational Research, Elsevier, vol. 248(1), pages 234-245.
    19. Jin, Ming & Li, Gang & Cheng, T.C.E., 2018. "Buy online and pick up in-store: Design of the service area," European Journal of Operational Research, Elsevier, vol. 268(2), pages 613-623.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chen, Yanhong & Liu, Luning & Zheng, Dequan & Li, Bin, 2023. "Estimating travellers’ value when purchasing auxiliary services in the airline industry based on the RFM model," Journal of Retailing and Consumer Services, Elsevier, vol. 74(C).
    2. Qing Yang & Lei Xiong & Yanfeng Li & Qian Chen & Yijing Yu & Jingyang Wang, 2022. "Contract Coordination of Fresh Agri-Product Supply Chain under O2O Model," Sustainability, MDPI, vol. 14(14), pages 1-20, July.
    3. Pinyi Yao & Syuhaily Osman & Mohamad Fazli Sabri & Norzalina Zainudin, 2022. "Consumer Behavior in Online-to-Offline (O2O) Commerce: A Thematic Review," Sustainability, MDPI, vol. 14(13), pages 1-24, June.
    4. Pei-Ju Wu, 2023. "O2O switching determinants and successful drivers in omnichannel retailing services," Service Business, Springer;Pan-Pacific Business Association, vol. 17(3), pages 771-788, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Flavián, Carlos & Gurrea, Raquel & Orús, Carlos, 2019. "Feeling Confident and Smart with Webrooming: Understanding the Consumer's Path to Satisfaction," Journal of Interactive Marketing, Elsevier, vol. 47(C), pages 1-15.
    2. Aw, Eugene Cheng-Xi & Kamal Basha, Norazlyn & Ng, Siew Imm & Ho, Jo Ann, 2021. "Searching online and buying offline: Understanding the role of channel-, consumer-, and product-related factors in determining webrooming intention," Journal of Retailing and Consumer Services, Elsevier, vol. 58(C).
    3. Tueanrat, Yanika & Papagiannidis, Savvas & Alamanos, Eleftherios, 2021. "A conceptual framework of the antecedents of customer journey satisfaction in omnichannel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    4. Fassnacht, Martin & Beatty, Sharon E. & Szajna, Markus, 2019. "Combating the negative effects of showrooming: Successful salesperson tactics for converting showroomers into buyers," Journal of Business Research, Elsevier, vol. 102(C), pages 131-139.
    5. Shakir Goraya, M. Awais & Zhu, Jing & Akram, Muhammad Shakaib & Shareef, Mahmud Akhter & Malik, Aneela & Bhatti, Zeeshan Ahmed, 2022. "The impact of channel integration on consumers’ channel preferences: Do showrooming and webrooming behaviors matter?," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).
    6. Flavián, Carlos & Gurrea, Raquel & Orús, Carlos, 2020. "Combining channels to make smart purchases: The role of webrooming and showrooming," Journal of Retailing and Consumer Services, Elsevier, vol. 52(C).
    7. Aw, Eugene Cheng-Xi, 2020. "Understanding consumers’ paths to webrooming: A complexity approach," Journal of Retailing and Consumer Services, Elsevier, vol. 53(C).
    8. Heitz-Spahn, Sandrine & Belaud, Lydie & Ferrandi, Jean-Marc, 2024. "A regulatory focus theory approach to understanding cross-channel free-riding behaviour," Journal of Retailing and Consumer Services, Elsevier, vol. 78(C).
    9. Li, Yanran & Li, Bo & Zheng, Wei & Chen, Xue, 2021. "Reveal or hide? Impact of demonstration on pricing decisions considering showrooming behavior," Omega, Elsevier, vol. 102(C).
    10. Neslin, Scott A., 2022. "The omnichannel continuum: Integrating online and offline channels along the customer journey," Journal of Retailing, Elsevier, vol. 98(1), pages 111-132.
    11. Jing Zhu & Muhammad Awais Shakir Goraya & Yu Cai, 2018. "Retailer–Consumer Sustainable Business Environment: How Consumers’ Perceived Benefits Are Translated by the Addition of New Retail Channels," Sustainability, MDPI, vol. 10(9), pages 1-22, August.
    12. Schneider, Patricia J. & Zielke, Stephan, 2020. "Searching offline and buying online – An analysis of showrooming forms and segments," Journal of Retailing and Consumer Services, Elsevier, vol. 52(C).
    13. Viejo-Fernández, Nuria & Sanzo-Pérez, María José & Vázquez-Casielles, Rodolfo, 2020. "Is showrooming really so terrible? start understanding showroomers," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).
    14. Cai, Ya-Jun & Lo, Chris K.Y., 2020. "Omni-channel management in the new retailing era: A systematic review and future research agenda," International Journal of Production Economics, Elsevier, vol. 229(C).
    15. Hult, G. Tomas M. & Sharma, Pratyush Nidhi & Morgeson, Forrest V. & Zhang, Yufei, 2019. "Antecedents and Consequences of Customer Satisfaction: Do They Differ Across Online and Offline Purchases?," Journal of Retailing, Elsevier, vol. 95(1), pages 10-23.
    16. Schneider, Patricia J. & Zielke, Stephan, 2021. "Price versus service: Can retailers beat showrooming with competence?," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    17. Kim, Jikyung (Jeanne) & Song, Hyeasinn & Choi, Jeonghye & Kim, Yongseob & Hong, Jeonghan, 2021. "Channel stickiness in the shopping journey for electronics: Evidence from China and South Korea," Journal of Business Research, Elsevier, vol. 130(C), pages 506-516.
    18. Patten, Elena & Ozuem, Wilson & Howell, Kerry & Lancaster, Geoff, 2020. "Minding the competition: The drivers for multichannel service quality in fashion retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 53(C).
    19. Sun, Shuzhen & Liu, Tieming, 2023. "Pricing and sales-effort coordination facing free riding behaviors between a brick-and-mortar retailer and a platform store owned by the manufacturer," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 179(C).
    20. Vipul Patel, 2024. "Profiling ROPO Shoppers: Shopping Value Perspective," Business Perspectives and Research, , vol. 12(3), pages 344-360, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:joreco:v:61:y:2021:i:c:s0969698921001314. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-retailing-and-consumer-services .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.