Web Systems Design and Online Consumer Behavior [Electronic resources] نسخه متنی

Introduction

Does “Look-and-Feel” Really Lack? A Glance to the Shopping
Experience in a Digital Economy

E-commerce is growing rapidly and has penetrated
almost all industries. Given its enormous potential, the number of electronic stores has increased
at an unprecedented rate during the last five years. Theory seems to support the prediction that
online shopping will keep rising in the future, as online search engines and various intelligent
agents can dramatically reduce search costs associated with purchase decisions (Alba et al., 1997;
Bakos, 1997; Brondoni, 2002a, 2002b; Maggioni, 2000). However, online shopping lacks
“look-and-feel” (Figueiredo, 2000) and hence evaluation of product attributes for firms online can
be still difficult. Indeed, while in off-line commerce it is often the salesperson that influences
the buyer’s trust in the seller (Doney & Cannon, 1997) thus inducing loyal behaviors, in the
Internet context it is the Web site that should do that (Lohse & Spiller, 1998; Del Giudice
& del Giudice, 2003). That’s why nowadays the assessment of the effectiveness of e-commerce Web
sites is of critical importance to online retailers. As e-commerce begins to mature, the ability to
retain customers is the only way an e-business can survive (Agrawal & Karahanna, 2000; Agrawal
et al., 2001; Chen & Hitt, 2002). Apparently the quality of the online customer experience that
effectively-designed Web sites create not only has a positive effect on the economic performance of
a firm, but also possesses the potential to create a unique and sustainable competitive advantage
for Internet-based sellers, by turning Web crawlers into loyal customers (Rajgopal et al., 2001).
In fact, since quality service is something customers generally expect vendors to provide
(Parasuraman et al., 1985; Zeithaml et al., 1996), high quality service through interface design
and Web site usability should arguably build customer loyalty, as a recent study with customers of
online vendors indicates (Reichheld & Schefter, 2000). Overall, Web sites’ design elements
influence perceptions of Web site complexity, and perceived complexity, in turn, has a direct
influence on communication efficiency and effectiveness and, thus, on purchase intentions.

Wanting to be Loyal or Having to be Loyal?

Following those premises, this chapter focuses on how
Web site elements (interface design, tools provided, usability, information, etc.) can influence
customer satisfaction and prevent switching behaviors, acting as positive switching costs. Jones et al. (2000) mention that some switching
barriers can be seen as more positive in their nature and others as more negative. Psychologically,
it should make a great difference whether one maintains a relationship because of a perception that
the supplier is superior in services and products (a positive reason), or because it is too
expensive to leave the supplier, there is a monopoly on the market or the supplier is powerful
(negative reasons). The main rationale behind the distinction between positive and negative reasons
is similar to Lund’s idea of barrier push vs. positive pull (Lund, 1985); a supplier that retains
its customers through positive pull rather than through barrier push is likely to develop a
stronger position vis-à-vis its customers. Only a few empirical studies, however, investigate how
various kinds of switching costs affect satisfaction with suppliers, repurchase intentions,
cognitive loyalty and the relationships between these variables (Jones et al., 2000). The purpose
of this chapter is to make some distinctions as to the character of switching barriers, and to
formulate and empirically test hypotheses regarding the role of positive switching costs stemming
from Web sites’ elements in the context of satisfaction, repurchase intentions and cognitive
loyalty. Particularly, a dynamic framework of cognitive lock-in
is then discussed. The aim of this chapter, therefore, is to highlight the strategic role that
customer switching costs play both in traditional sectors and in the expanding networked
environment, to expand and improve upon the conceptualization of the force, and to develop a
customer switching cost framework in an effort to improve understanding and management of this
phenomenon. The chapter is organized as follows. In the first part of this work we focus on the
literature review (the strategic importance of customer switching costs by analyzing their role in
the strategy, economics, and marketing literature). Next we explore why switching costs are even
more strategic in today’s digital environment. We discuss, then, and expand upon the concept of
customer switching costs in an effort to provide a more complete and useful conceptualization. Next
we discuss the key issues and challenges involved in managing switching costs and we attempt to
develop a switching cost framework to help improve understanding and management of these
challenges. Finally, we discuss key implications of the work and offer our conclusions.