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2013 International Conference on Innovation, Management and Technology Research (ICIMTR 2013

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Proposal of A Research Framework on Consumer Purchasing DecisionMaking Model in Online Group-Buying Shi Bin
School of Management, Shenzhen Polytechnic, Shenzhen, P.R.China shib1972@szpt.edu.cn, Keywords: online group-buying; interactivity; perceived usefulness; perceived ease of use; perceived risk; decision-making model

Abstract: Online group-buying characterized by Groupon model in network socialization is developing rapidly in recent years. This paper focus on the description of consumer participation in online group-buying based on the aspects of the consumer point of view, analyzing four factors including interactivity, perceived usefulness, perceived ease of use, and perceived risk which affect consumers’ decision-making process. Based on the foundation of existing empirical research results, this paper proposes a consumer purchasing decision-making model in online group-buying, and proposes some suggestion for future research. Introduction to Online Group-buying The so-called online group-buying is to gather together the individual with common interest goals through the network, improve bargaining power in shopping, and gain the negotiation advantage to win the ultimate interests. Its core is demand aggregation and quantity discount0. Since 2010 there have appeared nearly two thousand online group-buying websites to imitate Groupon mode in China, and attendant appeared fierce competition situation within these online group-buying websites. Due to Chinese online group-buying market is still at the developing stage, studies on online group-buying just started and related results are not so much. Previous studies have focused on the characteristics, business model, operating mechanisms and profit model. Relatively there are much qualitative research and less quantitative research. In particular, there are few research results in formation mechanism of online group-buying from the point of view of consumer. One of the important issues in the research on online group-buying is how to gather demand effectively and increase consumer willingness to participate, so as to increase the total volume. This paper is based on the above background, from the point of view of consumers, taking the technology acceptance model (TAM) as the foundation, combined with consumers' personal characteristics analysis, and considered risk cognitive factors and interactive factors, discusses the various factors to influence consumers to participate in online group-buying and constructs the model, and hope it can provide the reference for the marketing practice of online group-buying. Literature Impact of Usefulness & Ease of Use of Online Group-buying on Consumers Based on the Theory of Reasoned Action, Davis(1989)proposed the Technology Acceptance Model (TAM). This theory holds that the system usefulness is determined by the behavioral intention, while behavioral intentions is determined by someone's attitude of usefulness and perceived usefulness, and perceived ease of use jointly0. Perceived usefulness refers to making the individual believe using a particular system will be helpful to them; perceived ease of use refers to the degree of individual expectations from avoiding efforts. Other factors affect individual perceived usefulness and perceived ease of use through usefulness and perception in order to affect their attitudes and behavior until consumers accept new technologies and new systems. Technology acceptance model aims to explain and predict the situation of the accepted system after system interactions over a period of time. On this basis, Mathieson further introduced the theory of planned behavior0; Taylor and Todd added the subjective standard and perceived behavioral control0;
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business insufficient reception capacity. customer complaints can't be received timely and effective processing. thus it needs that consumers have computers connected with network and certain computer network technology. simultaneously in the process of group buying. but also to business cooperated with the online groupbuying. worrying about the difficulties to return or unsubscribe. Impact of Interactivity of Online Group-buying on Consumers The so-called network interaction is to form human-computer interaction and human interaction via the Internet. there have uncertainty and the resulting risk. In the online group-buying the network interaction not only includes the interaction between websites and consumers. Their purchasing decision are affected by their individual characteristics and background. existing orders and users’ comment also greatly reduce the perceived risk of users to participate online group-buying 错误 ! 未找到引用源。 . with the aid of social network tools and the MicroBlog to develop user. taking both perceived usefulness and perceived ease of use as important variables to influence consumers' attitude to accept and participate in online group-buying. and to develop the network markets (1995)0. the number of interactive connection and profit model. Because consumers are not sure the useful result of the products in considering buying. purchasing behavior at home. namely focus on communication purpose. and his constructed extended model could be used to explain the acceptance behavior of enterprise information systems0. Impact of Consumer’s Individual Characteristics in Online Group-buying In the e-commerce context. naturally online group-buying participants have the characteristics of computer user and network users. technology platforms. These theories further enrich the technology acceptance model.. the network interaction is an important analysis factor. shirking responsibility. etc. Therefore. Therefore the process for consumers accepting and participating is similar to the process of accepting the new technology. etc. while analyzing the consumer willingness to participate in online group-buying. Correspondently we can use the technology acceptance model to establish the consumer acceptance model of online group-buying. this 133 . so actually the consumers have take a certain risk 0. perceived risk is an important factor to influence consumers on participating in online group-buying. Porter put forward five attributes of network interactivity. too long appointment time. On the other hand. At present the perceived risk of consumers is not only to websites involved in online group-buying. Therefore. features of interaction site. Impact of Perceived Risk of Online Group-buying on Consumers In 1960. different consumer has different attitude and intention. while the perceived risk of business cooperated with the online group mainly include the quality cannot be assured. It is the original meaning of the perceived Risk. This theory mainly hold that the consumer behavior as a risk taking behavior. and a variety of media-related purchasing risk. the perceived risk theory is used to explain the purchasing risk of the traditional purchasing behavior. Online group-buying has the dual characteristics of online purchasing and group-buying. Online group-buying is completed by consumers via the interaction between the computer and network.buying site. Thus. The perceived risk of online group-buying sites mainly include consumers’ mistrusting on group. business bad service attitude. and "user recommendation" is the important influence factor for consumer first participating in online group-buying. worrying about unsafe paying. explaining the inherent features of network interaction and referencing group effect are extremely important to understand the online purchasing decision-making process and the online purchasing behavior. Perceived Risk was introduced into the consumers' behavior associated research field by Bauer for the first time.Dishawa integrated the technology acceptance model and the task matching technology model. On the one hand group-buying sites widespread use the viral marketing means. but also includes the interaction within the consumers. Thereafter. Rayport and Sviokla thought identifying the market mechanism of virtual communities and online interaction. computers and other tools.

While online shopping experience refers to consumer’s online shopping experience. The three dimensions of the interactivity. selection. On the one hand. The demographic characteristics refers to individual’s innate. including gender. thus their. and in 134 . they have general consumer features. and inquiring pro-selling service. Moreover. Secondly. attitude and behavior will be affected by demographic factors such as age. geographical. the consumer purchasing decision-making model for consumers participating in online group-buying (refer to Fig. To testify the above hypothesis. 1) is propose and the model can be described and hypothesis is proposed: Interactivity. Based on the above consideration. such as searching for information. physiological.study introduces consumers’ personal characteristics as adjustment variables in the model. proceeding from the principle of integration. thus their intention. evaluation. Construction of Consumer Purchasing Decision-Making Model & Future Research Construction of Theoretical Model On the basis of the studies in the literature analysis. etc. The construction of the model is complied with the following points.. ease of use have positive correlation impact on consumers’ participating intention in the online group-buying. ease of use. decision-making. the constructing of theoretical model should be representative and implicative. On the other hand. Perceived risk has negative correlation impact on consumers’ participating intention. Online consumers have dual features. they belong to online shopping group. including the number of online shopping. Firstly. ease of use. 1: Consumer Purchasing Decision-Making Model In Online Group-buying Future Research Proposal This study only proposes a simple preliminary model and primary hypothesis. and perceived risk of the online group-buying are the four dimensions which influence consumers’ participating intention. The interactivity of the online group-buying has obvious impact on perceived ease of use and perceived risk. implementation of purchase. online payment tools. so as to prove various relations of this model proposed. the theoretical model should be able to reflect the basic considering points of consumer’s purchasing decision. occupation and income. Usefulness Interactivity Ease of use Participating Intention Purchasing Decision Perceived Risk Fig. such as usefulness. Interactivity has positive correlation impact on perceived ease of use. data comparison and qualitative analysis. this study try to construct a consumer decision-making model on online group-buying. age. while interactivity is also an important factor in the formation of online group-buying. whereas has negative correlation impact on perceived risk. it should also be will be incorporated into the model. Individual characteristics consists of demographic characteristics and online shopping experience. gender. online shopping experience will also affect their willingness in online group-buying. the scales of these dimensions should be developed based on the existing literature in the future research. social and economic attributes which plays important role in purchasing decision-making. usefulness. and perceived risk. usefulness. the amount of online shopping. occupation and income. educational level. educational level. some statistical methods could be used to prove relevant relations proposed in this model. Consumers’ participating intention and purchasing decision have positive correlation influence.

Predicting use intentions: comparing the technology acceptance model with the theory of planned behavior. On the basis of path analysis of relative facts casual role. S. 27(1): 51-90 [3]Mathieson. No. Manage Sci. A Typology of Virtual Communities: A Multi-Disciplinary Foundation for Future Research. 2003. 135 . after reliability and validity test of the theoretical model is passed. Information Systems Research. combined with Chinese consumers’ specific online groupbuying behavior. and User Acceptance of Information Technology[J]. Fourthly. Information & Management. Aron R. T. Explorting the Virtual Value. Perceived Ease of Use. 10. Secondly. data collection and evaluation of measurement quality. literature reading and small-scale interview. Consumer Behavior as Risk Taking: Dynamic Marketing For Changing World[c].Svilkla. the proposed theocratical model needs to be improved further and measurement indies needs to be defined.E. Thirdly. structural equation modeling method will be applied to testify the theoretical model. Todd. 1999. In order to ensure the effectiveness and scientific-ness of questionnaire. No. Vol.7(2004). empirical analysis based on structural equation model. 2(3): 173-191 [4]Taylor. 36(1):9-21 [5]Bauer.75-85 .F. effect relationship between the variables will be defined and conclusion will be explained. Acknowledgment This work was financially supported by the Shenzhen Polytechnic Social Science Fund (2012s3210003) in 2012 and Guangdong Province philosophic and social science fund (GD12XGL27). planning and pretest of questionnaire.73. P. So this study mainly modify and supplement existing variable indicators project. D.J. [7]C. and measurement quality will be evaluated by the way of reliability and validity test. as described above. MIS Quarterly. Hancock: Proceeding of the 43rd Conference of the American Marketing Association. the designing of the questionnaire is based on practice observation. 49(11). Firstly.6(1995). multi-group analysis could be applied to compare the difference between various consumer group with different demographic characteristics and online-shopping experience. Information Systems Research. the designing of the questionnaire is basis of research data collection. 1964: 389398 [6]J. pp. including definition of measurement of research variables. For each variable in the model. Future research mainly focus on the following tasks. interview research. Journal of Computer-Mediated Communication. Group buying on the web: a comparison of price-discovery mechanisms.Rayport & J. Perceived Usefulness. Extending the technology acceptance model with task-technology fit constructs. 2003. 1546-1562 [2]Davis Fred D. M. Understanding information technology usage: a test of competing models. 1991. relatively mature indicator structure has been formed based on previous research. M.order to modify and improve this model compared with actual conditions. Strong. Further. etc. Vol. Article 3. researchers will collect data by the way of online survey. K. The samples is defined as "consumers with online group-buying experience” and mainly consists of office workers in the enterprises and institutions. References [1]Anand KS. 6(2): 144-176 [5]Dishawa. after formal questionnaire is formed. Valid questionnaires will be executed by the way of descriptive statistics analysis.Porter. Harvard Business Review. 1995.