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Sustainable Development of Online Group-Buying Websites: An Integrated Perspective of ECM and Relationship Marketing

Author

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  • Yu Xiang Xia

    (Department of Digital Technology Management, HOSEO University Graduate School, Cheonan 31066, Korea
    Department of Economics, Jiujiang University, Jiujiang 332005, China)

  • Seong Wook Chae

    (Department of Digital Business, Hoseo University, Cheonan 31066, Korea)

Abstract

Online group buying (OGB) is a unique, innovative, and interesting online business model that seems to have a bright future. However, many group buying websites (GBWs) have not stood the test of time. Different from traditional e-commerce websites, GBWs create a rich value experience for consumers, but no research has explored how these benefits help GBWs achieve sustainable development. In this study, the expectation confirmation model (ECM) and relationship marketing are integrated to explore how these multi-dimensional perceived values influence relationship quality (satisfaction and relationship commitment) and ultimately shape loyalty (continuous intention and positive electronic word of mouth (eWOM)). The research model and hypotheses are empirically tested with 278 valid responses using partial least squares-structural equation modeling (PLS-SEM). The results show that satisfaction (SAT) and relationship commitment (RC) are primary antecedents of continuous intention (CI) and positive eWOM (PE). We found interesting differences in the effects of multi-dimensional perceived values on relationship quality and loyalty. Hedonic value can help GBWs improve relationship quality and directly promote the spread of PE, thus attracting new users. Utilitarian value can only increase satisfaction and directly affect CI, helping GBW retain existing users. Social value cannot improve user satisfaction, but it can help GBW develop long-term emotional connections with users and indirectly shape user loyalty. Finally, the implication, limitations, and future research directions are described.

Suggested Citation

  • Yu Xiang Xia & Seong Wook Chae, 2021. "Sustainable Development of Online Group-Buying Websites: An Integrated Perspective of ECM and Relationship Marketing," Sustainability, MDPI, vol. 13(4), pages 1-20, February.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:4:p:2366-:d:503937
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    References listed on IDEAS

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    1. Lang Xiong & Tingting Xiao & Fuhai Nie, 2022. "Group Buying of Competing Retailers with Strategic Inventory," Sustainability, MDPI, vol. 14(20), pages 1-18, October.
    2. Li, Jianfei & Li, Bei & Shen, Yang & Tang, Kun, 2022. "Study on the steady state of the propagation model of consumers’ perceived service quality in the community group-buying," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).

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