Electronic Marketing

Permanent URI for this collectionhttps://hdl.handle.net/10125/107512

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Now showing 1 - 9 of 9

Striking a Balance: Harnessing Both the Business and Informational Value of Online Reviews through Resource-matching
(2024-01-03) Zhang, Yicheng; Lu, Tian; Zhang, Yingjie; Han, Jiayan; Zhang, Chenghong
A majority of consumers now are getting used to consulting reviews before making any purchase decisions. Although we have witnessed fruitful studies in this stream of literature, there lacks sufficient knowledge regarding whether and how we can realize the information and business values simultaneously. We undertook to bridge this gap. Drawn from the cognitive tuning theory and resource-matching theory, we posit that review sentiment would intertwine with the information richness of a review to affect consumers’ judgment of review helpfulness and purchase decision. Our empirical results demonstrate that the information richness of a review, overall, moderates the U-shaped relationship between review sentiment and review helpfulness, as well as the inverted U-shaped relationship between review sentiment and consumer purchase likelihood. These findings unravel certain conditions under which increasing both purchases and review helpfulness could be achieved, which, therefore, offer non-trivial insights into business practice about review-featuring designs.
Consumer Trust Building on CBEC Platforms: The Perspective of Product Authenticity Assurance Mechanisms
(2024-01-03) Wu, Wei; Wang, Sihang; Wang, Juan
In light of a growing interest in cross-border e-commerce, this study proposes a conceptual framework unraveling the consumer trust-building process on the cross-border e-commerce (CBEC) platform. Given consumers’ concern about the authenticity of imported products, this study is grounded on signaling theory to understand consumer trust in the CBEC platform from the institutional mechanisms perspective. Through conducting a qualitative study with 24 in-depth interviews with consumers who had had shopping experiences on cross-border e-commerce platforms, we extracted the key components of the perceived effectiveness of product authenticity assurance mechanisms (PEAAM) and the boundary conditions of its effect on the consumer trust-building process. Future work is illustrated and some important implications for theory and practice are discussed.
Understanding the Impact of Emotional Comments and Image on Resistance Intention and Participation: A Study of Taiwanese Consumers' Buying
(2024-01-03) Liang, Chih-Chin; Shiau, Wenlung
Consumer resistance behavior is becoming increasingly prevalent in the age of social media, and this study aims to investigate the influence of emotional comments on such behavior and its underlying mechanisms. To achieve this objective, an eye-tracking experiment was conducted, with online comments from actual users on a popular social media platform used as stimuli. The findings indicate that both positive and negative emotional comments are associated with resistance intention and resistance participation, which, in turn, affect consumers' purchasing behavior. Product image was found to be linked to resistance intention, whereas brand image had little impact. Participants' liking or disliking of a comment description may serve as a basis for their behavior. The study underscores the importance of prompt action by managers in addressing inappropriate behaviors in the face of resistance movements. They can accomplish this by highlighting the specific differences between the product before and after improvement and targeting young potential resistance groups to receive the brand's message before they join the resistance movement.
Platform Pricing in the Presence of Cross-platform Network Effects
(2024-01-03) Ji, Zhe(Betty); Wu, Ruhai
As platform businesses are booming, different platforms are connected through multi-homing users. Thus, cross-platform network effects arise and have become a strategic concern among business practitioners. However, extant literature has largely ignored cross-platform network effects. We use a stylized model to examine the network effects through the feedback loop and the impact of cross-platform network effects on platform pricing through two levels of impact: the number of multi-homing users and service complementarity. We find that platforms charge less on both sides in the presence of cross-platform network effects when they are separately owned. Moreover, platforms charge even lower prices on both sides when services are complementary. An important caveat is that platforms are willing to sacrifice prices to attract more users when cross-platform network effects are present. We also extend our model to analyze the impact of cross-platform network effects on platform pricing when two platforms are integrated.
Rundle in the Jungle! Why Do People Subscribe to Amazon Prime? Analyzing the Combination of Flat Rate and Bundle Pricing within a Loyalty Program
(2024-01-03) Straubert, Christian; Sucky, Eric; Altewischer, Delia
We analyze the flat rate and bundle pricing nature of the Amazon Prime subscription. Based on two customer surveys (n=2062, n=906) and using a best–worst scaling (BWS) discrete choice experiment, we determine how important the different Prime benefits are to the subscribers. We perform a correlation and cluster analysis. We find mostly very weak correlations between the importance scores of the different Prime benefits. This is beneficial for a bundle pricing model such as Amazon Prime. We also find that the importance scores of the individual benefits are only weakly correlated with the actual usage rates of the benefits. This is beneficial for a flat rate pricing model such as Amazon Prime. Furthermore, we see indications customers value having various benefits included in Prime, even if they do not use them. We also discuss how Amazon Prime fits into the business strategy of Amazon.
The Value of Reputation Systems in Business Contexts – A Qualitative Study Taking the View of Buyers
(2024-01-03) Hemmrich, Simon; Schäfer, Jannika; Hansmeier, Philipp; Beverungen, Daniel
Reputation systems for companies to rate each other's performance are largely unexplored in research and hardly available in practice. However, these systems are relevant for prospective buyers to find a trustworthy seller. This observation applies especially to short-lived business relationships where fulfilling the performance promise is subject to a high degree of uncertainty. This paper explores the value of a reputation system for a business-to-business (B2B) context and focuses on three novel solutions for designing reputation systems. These solutions include selling ratings, conducting ratings as payments, and employing a counter-rating mechanism. We interview buyers to fathom the added value of these solutions in different contexts. Our findings suggest that such a system is useful for companies acting in less transparent markets and also helps when companies already have a good market overview. Depending on the market conditions and business context, the perceived value of the proposed system varies.
How Green Consumption Values Affect the Intention-Behavior Relationship in C2C e-commerce
(2024-01-03) Ovaska, Maria; Hallikainen, Heli; Laukkanen, Tommi
The intention-behavior gap is a true concern in sustainability contexts. Given that consumers vary in their pro-environmentalism, we study might green consumption values reinforce the intention-behavior relationship in sustainable consumption? Consumer-to-consumer e-commerce marketplaces provide platforms to implement the circular economy and sustainable consumption in daily life. A two-stage longitudinal study of 210 respondents asks consumers’ intentions to buy second-hand Christmas gifts before Christmas and the same individuals’ actual behavior after Christmas. The present study finds that intentions predict actual behavior. The effect is moderated by green consumption values suggesting that green consumption values reinforce the effect of intentions on behavior in a sustainability context. The effects are not confounded by age, gender, education, or income of the respondents.
Riding the Referral Express: Examining the Impact of Referral Reward Programs on Digital Transportation Platforms
(2024-01-03) Urban, Felix; Thies, Ferdinand
This paper examines the effectiveness of referral reward programs (RRP) in sustaining network effects in digital transportation platforms (DTP). Using data of 119,130 users, the study assesses differences between referred and non-referred users in terms of revenue, retention, and engagement. Results show that referred users spend 5.77% more on average, have 11.66% less likelihood to defect and refer seven times more than non-referred users. However, the positive effects of RRPs do not significantly affect revenue of younger users and increases risk of defection in older generations over time. The study recommends firms to balance the referral and organic word-of-mouth effects of RRPs as one-size does not fit all.
Introduction to the Minitrack on Electronic Marketing
(2024-01-03) Akaka, Melissa; Schau, Hope

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