IDEAS home Printed from https://ideas.repec.org/a/eee/joreco/v54y2020ics0969698919305740.html
   My bibliography  Save this article

What drives customers’ post-purchase price search intention in the context of online price matching guarantees

Author

Listed:
  • Lin, Hsin-Hui
  • Tseng, Timmy H.
  • Yeh, Ching-Hsuan
  • Liao, Yi-Wen
  • Wang, Yi-Shun

Abstract

Using a research model based on customer value theory, this study investigates the determinants of customer post-purchase price comparison searches in the context of online price-matching guarantees (PMG). Data collected from 222 eligible respondents are tested against the proposed research model using partial least squares structural equation modeling (PLS-SEM). The results indicate two PMG characteristics, refund length and refund scope, influence utilitarian benefit (i.e., refund depth) and hedonic benefit (i.e., playfulness). These two benefits subsequently contribute to customer perceived value, which leads to price search intentions. This study pioneers the exploration of online PMGs and the determinants of customer post-purchase price search intentions. Several important theoretical and practical implications can be drawn from the findings to guide online retailers’ PMG strategies.

Suggested Citation

  • Lin, Hsin-Hui & Tseng, Timmy H. & Yeh, Ching-Hsuan & Liao, Yi-Wen & Wang, Yi-Shun, 2020. "What drives customers’ post-purchase price search intention in the context of online price matching guarantees," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).
    • Handle: RePEc:eee:joreco:v:54:y:2020:i:c:s0969698919305740
    DOI: 10.1016/j.jretconser.2019.102015
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969698919305740
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jretconser.2019.102015?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Arbatskaya, Maria & Hviid, Morten & Shaffer, Greg, 2004. "On the Incidence and Variety of Low-Price Guarantees," Journal of Law and Economics, University of Chicago Press, vol. 47(1), pages 307-332, April.
    2. Hardesty, David M. & Bearden, William O., 2004. "The use of expert judges in scale development: Implications for improving face validity of measures of unobservable constructs," Journal of Business Research, Elsevier, vol. 57(2), pages 98-107, February.
    3. Holbrook, Morris B, et al, 1984. "Play as a Consumption Experience: The Roles of Emotions, Performance, and Personality in the Enjoyment of Games," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 11(2), pages 728-739, September.
    4. Oghazi, Pejvak & Karlsson, Stefan & Hellström, Daniel & Hjort, Klas, 2018. "Online purchase return policy leniency and purchase decision: Mediating role of consumer trust," Journal of Retailing and Consumer Services, Elsevier, vol. 41(C), pages 190-200.
    5. Mao, Wen & Oppewal, Harmen, 2010. "Did I choose the right university? How post-purchase information affects cognitive dissonance, satisfaction and perceived service quality," Australasian marketing journal, Elsevier, vol. 18(1), pages 28-35.
    6. Babin, Barry J & Darden, William R & Griffin, Mitch, 1994. "Work and/or Fun: Measuring Hedonic and Utilitarian Shopping Value," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 20(4), pages 644-656, March.
    7. Enrique Fatas & Juan Mañez, 2007. "Are low-price promises collusion guarantees? An experimental test of price matching policies," Spanish Economic Review, Springer;Spanish Economic Association, vol. 9(1), pages 59-77, March.
    8. Png, I P L & Hirshleifer, D, 1987. "Price Discrimination through Offers to Match Price," The Journal of Business, University of Chicago Press, vol. 60(3), pages 365-383, July.
    9. Rose, Susan & Clark, Moira & Samouel, Phillip & Hair, Neil, 2012. "Online Customer Experience in e-Retailing: An empirical model of Antecedents and Outcomes," Journal of Retailing, Elsevier, vol. 88(2), pages 308-322.
    10. Desmet, Pierre & Le Nagard, Emmanuelle & Vinzi, Vincenzo Esposito, 2012. "Refund depth effects on the impact of price-beating guarantees," Journal of Business Research, Elsevier, vol. 65(5), pages 603-608.
    11. Ohiomah, Alhassan & Andreev, Pavel & Benyoucef, Morad & Hood, David, 2019. "The role of lead management systems in inside sales performance," Journal of Business Research, Elsevier, vol. 102(C), pages 163-177.
    12. Juncai Jiang & Nanda Kumar & Brian T. Ratchford, 2017. "Price-Matching Guarantees with Endogenous Consumer Search," Management Science, INFORMS, vol. 63(10), pages 3489-3513, October.
    13. Tenenhaus, Michel & Vinzi, Vincenzo Esposito & Chatelin, Yves-Marie & Lauro, Carlo, 2005. "PLS path modeling," Computational Statistics & Data Analysis, Elsevier, vol. 48(1), pages 159-205, January.
    14. B. Babin & Adilson Borges & J. Kevin, 2016. "The Role of Retail Price Image in a multi-country context: France and the USA," Post-Print hal-01331850, HAL.
    15. Marios Koufaris, 2002. "Applying the Technology Acceptance Model and Flow Theory to Online Consumer Behavior," Information Systems Research, INFORMS, vol. 13(2), pages 205-223, June.
    16. Kukar-Kinney, Monika & Grewal, Dhruv, 2006. "Consumer willingness to claim a price-matching refund: A look into the process," Journal of Business Research, Elsevier, vol. 59(1), pages 11-18, January.
    17. Babin, Barry J. & Borges, Adilson & James, Kevin, 2016. "The role of retail price image in a multi-country context: France and the USA," Journal of Business Research, Elsevier, vol. 69(3), pages 1074-1081.
    18. Holbrook, Morris B & Hirschman, Elizabeth C, 1982. "The Experiential Aspects of Consumption: Consumer Fantasies, Feelings, and Fun," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 9(2), pages 132-140, September.
    19. Srivastava, Joydeep & Lurie, Nicholas, 2001. "A Consumer Perspective on Price-Matching Refund Policies: Effect on Price Perceptions and Search Behavior," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 28(2), pages 296-307, September.
    20. Xinshu Zhao & John G. Lynch & Qimei Chen, 2010. "Reconsidering Baron and Kenny: Myths and Truths about Mediation Analysis," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 37(2), pages 197-206, August.
    21. Alford, Bruce L. & Biswas, Abhijit, 2002. "The effects of discount level, price consciousness and sale proneness on consumers' price perception and behavioral intention," Journal of Business Research, Elsevier, vol. 55(9), pages 775-783, September.
    22. Huang, Zongsheng & Feng, Ting, 2020. "Money-back guarantee and pricing decision with retailer's store brand," Journal of Retailing and Consumer Services, Elsevier, vol. 52(C).
    23. Cheema, Amar & Papatla, Purushottam, 2010. "Relative importance of online versus offline information for Internet purchases: Product category and Internet experience effects," Journal of Business Research, Elsevier, vol. 63(9-10), pages 979-985, September.
    24. Pierre Desmet & Emmanuelle Le Nagard & Vincenzo Esposito Vinzi, 2012. "Refund depth effects on the impact of price-beating guarantees," Post-Print hal-01631381, HAL.
    25. repec:dau:papers:123456789/9598 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Liu, Chih-Hsing & Dong, Tse-Ping & Vu, Ho Tran, 2023. "Transformed virtual concepts into reality: Linkage the viewpoint of entrepreneurial passion, technology adoption propensity and advantage to usage intention," Journal of Retailing and Consumer Services, Elsevier, vol. 75(C).
    2. Kapoor, Anuj Pal & Vij, Madhu, 2021. "Following you wherever you go: Mobile shopping ‘cart-checkout’ abandonment," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    3. Rokonuzzaman, Md & Iyer, Pramod & Harun, Ahasan, 2021. "Return policy, No joke: An investigation into the impact of a retailer's return policy on consumers' decision making," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).
    4. Fernandes, Semila & Venkatesh, V.G. & Panda, Rajesh & Shi, Yangyan, 2021. "Measurement of factors influencing online shopper buying decisions: A scale development and validation," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ben Mimoun, Mohammed Slim & Poncin, Ingrid, 2015. "A valued agent: How ECAs affect website customers' satisfaction and behaviors," Journal of Retailing and Consumer Services, Elsevier, vol. 26(C), pages 70-82.
    2. Desmet, Pierre & Le Nagard, Emmanuelle & Vinzi, Vincenzo Esposito, 2012. "Refund depth effects on the impact of price-beating guarantees," Journal of Business Research, Elsevier, vol. 65(5), pages 603-608.
    3. Juncai Jiang & Nanda Kumar & Brian T. Ratchford, 2017. "Price-Matching Guarantees with Endogenous Consumer Search," Management Science, INFORMS, vol. 63(10), pages 3489-3513, October.
    4. Zha, Dongmei & Marvi, Reza & Foroudi, Pantea, 2023. "Synthesizing the customer experience concept: A multimodularity approach," Journal of Business Research, Elsevier, vol. 167(C).
    5. Karine Picot-Coupey & Nina Krey & Elodie Huré & Claire-Lise Ackermann, 2021. "Still work and/or fun? -Corroboration of the hedonic and utilitarian shopping value scale," Post-Print hal-02572817, HAL.
    6. Haruvy, Ernan & Popkowski Leszczyc, Peter T.L., 2016. "Measuring the Impact of Price Guarantees on Bidding in Consumer Online Auctions," Journal of Retailing, Elsevier, vol. 92(1), pages 96-108.
    7. Shabnam H. A. Zanjani & George R. Milne & Elizabeth G. Miller, 2016. "Procrastinators’ online experience and purchase behavior," Journal of the Academy of Marketing Science, Springer, vol. 44(5), pages 568-585, September.
    8. Erhan Boğan & Bekir Bora Dedeoğlu, 2020. "Hotel employees' corporate social responsibility perception and organizational citizenship behavior: Perceived external prestige and pride in organization as serial mediators," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(5), pages 2342-2353, September.
    9. Zhani, Najlae & Mouri, Nacef & Ahmed, Tariq, 2022. "The role of mobile value and trust as drivers of purchase intentions in m-servicescape," Journal of Retailing and Consumer Services, Elsevier, vol. 68(C).
    10. Cohen-Vernik, Dinah & Pazgal, Amit, 2017. "Price Adjustment Policy with Partial Refunds," Journal of Retailing, Elsevier, vol. 93(4), pages 507-526.
    11. Trost, Michael, 2022. "Unraveling the spreading pattern of collusively effective competition clauses," Hohenheim Discussion Papers in Business, Economics and Social Sciences 01-2022, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    12. Kukar-Kinney, Monika, 2006. "The role of price-matching characteristics in influencing store loyalty," Journal of Business Research, Elsevier, vol. 59(4), pages 475-482, April.
    13. Ernest Emeka Izogo & Chanaka Jayawardhena, 2019. "Building committed online shoppers through shopping goals and switching cost," Journal of Marketing Analytics, Palgrave Macmillan, vol. 7(3), pages 127-140, September.
    14. Hsin‐Hui Lin & Pin‐Han Chen & Chih‐Lun Wu, 2023. "Exploring the price anchoring effect in mobile commerce: An experimental study," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(3), pages 1601-1623, April.
    15. Akram, Umair & Junaid, Muhammad & Zafar, Abaid Ullah & Li, Zhiwen & Fan, Mingyue, 2021. "Online purchase intention in Chinese social commerce platforms: Being emotional or rational?," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
    16. Sammon, Rachel & Kwon, Kyoung-Nan, 2015. "Host׳s interpersonal influence on guests in a home sales party," Journal of Retailing and Consumer Services, Elsevier, vol. 23(C), pages 32-38.
    17. Tyrväinen, Olli & Karjaluoto, Heikki & Saarijärvi, Hannu, 2020. "Personalization and hedonic motivation in creating customer experiences and loyalty in omnichannel retail," Journal of Retailing and Consumer Services, Elsevier, vol. 57(C).
    18. Peter H. Bloch & Omid Kamran-Disfani, 2018. "A framework for studying the impact of outdoor atmospherics in retailing," AMS Review, Springer;Academy of Marketing Science, vol. 8(3), pages 195-213, December.
    19. Aurelio Scaglione & Daria Mendola, 2017. "Measuring the perceived value of rural tourism: a field survey in the western Sicilian agritourism sector," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(2), pages 745-763, March.
    20. Hamby, Anne & Daniloski, Kim & Brinberg, David, 2015. "How consumer reviews persuade through narratives," Journal of Business Research, Elsevier, vol. 68(6), pages 1242-1250.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:joreco:v:54:y:2020:i:c:s0969698919305740. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-retailing-and-consumer-services .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.