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What factors determine e-satisfaction and consumer spending in e-commerce retailing?

Tahir M. Nisar and Guru Prabhakar

Journal of Retailing and Consumer Services, 2017, vol. 39, issue C, 135-144

Abstract: Evidently, the Internet has resulted in a fundamental shift in retailing practice, creating a shift in both consumer and business behavior, which has been compared to that of the Industrial Revolution. The purpose of this paper is to analyze customer satisfaction in e-commerce market. In particular, we determine the factors that affect customer e-satisfaction and the relationship between customer satisfaction and consumer spending in e-commerce retailing. We focus on how American based e-commerce firms are impacted by these developments and how marketing practices have reflected the developing e-commerce situation. The results show that customer satisfaction does have an impact on consumer spending in American based e-commerce retailers. Further, the relationship between customer satisfaction and consumer spending is positive, where higher e-satisfaction results in more spending in e-commerce. The results also show that there is a direct relationship among e-service quality, e- satisfaction and e-loyalty in terms of online spending by consumers. However, the analysis shows that e-commerce still faces challenges compared with traditional offline retailers since customers cannot feel and try the products, and may end up choosing the products that they do not want.

Keywords: E-satisfaction; Online shopping environment; American based e-commerce retailers; Purchase expenditures; Impact (search for similar items in EconPapers)
Date: 2017
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