Examining the impact of intangible product features and e-commerce institutional mechanics on consumer trust and repurchase intention

Urvashi Tandon (), Amit Mittal and Sridhar Manohar ()
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Urvashi Tandon: Chitkara University
Amit Mittal: Chitkara University
Sridhar Manohar: Amity University

Electronic Markets, 2021, vol. 31, issue 4, No 13, 945-964

Abstract: Abstract The present study examines virtual try-on technology (VTO), return policies, pay-on-delivery (POD) mode of payment, vendor-specific guarantees, and free shipping policy of online retailers as antecedents of trust. The study also examines the role of perceived effectiveness of e-commerce institutional mechanisms (PEEIM) as a moderator between repurchase intention and trust. Data were collected through an online survey. The link to the questionnaire for the online survey was shared on different social media platforms and social networking sites. A total of 614 responses were considered for the study. Results revealed that return policies, POD mode of payment, free shipping policy, and VTO technology emerged significant predictors of trust. Surprisingly, vendor-specific guarantee had a negative relationship with trust. Trust, in turn, influenced repurchase intention. Considering the trust and survey responses, the results confirmed that PEEIM negatively moderates the relationship between trust and repurchase intention. This study contributes to the literature by empirically validating the impact of return policies, VTO technology, POD mode of payment, free shipping policies, and vendor-specific guarantees on trust. Most of these constructs have been analyzed as solitary constructs. In this study, the impact of these constructs is measured collectively, thereby indicating their importance as compared with other policies implemented by an online retailer. This is a first-of-its-kind study that validates the policies of online retailers in the Indian context.

Keywords: Online shopping; Virtual try-on technology (VTO); Return policies; Pay-on-delivery (POD) mode of payment; Vendor-specific guarantees; Free shipping policy; India; PEEIM (search for similar items in EconPapers)
JEL-codes: M31 (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (4)

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DOI: 10.1007/s12525-020-00436-1

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