Although many researchers in information systems and marketing have studied the effect of product reviews on sales, few have looked at their effect on product returns. We hypothesize that, by ...reducing product uncertainty, product reviews affect the probability of product returns. We elaborate this hypothesis starting with an analytical model that examines how changes in valence and precision of information from product reviews influence the purchase and return probabilities of risk-averse, but rational, consumers. We then empirically test our hypotheses using a transaction-level data set from a multichannel, multibrand North American specialty retailer. Harnessing different consumers’ purchases and returns of the same products, but with varying sets of product reviews over two years, we show that the availability of more reviews and the presence of more “helpful” reviews, as voted by consumers, lead to fewer product returns—after controlling for customer, product, and other context-related factors. Analyzing the purchase behavior of the consumers, we find that when fewer product reviews are available, consumers buy more substitutes in conjunction with a product, potentially to mitigate their uncertainty. Purchase of substitutes, in turn, leads to more product returns. Finally, leveraging a discontinuity in the displayed average ratings, we find that when products are shown with an average rating that is higher than the true rating, they are returned
more
often. These results support the predictions of our theoretical model—unbiased online reviews indeed help consumers make better purchase decisions, leading to lower product returns; biasing reviews upward results in more returns. The presence of online reviews has important cost implications for the firm beyond the cost of reprocessing the returns; we observe that when consumers return products, they are more likely to write online reviews and that these reviews are more negative than reviews that follow a nonreturned purchase.
The online appendix is available at
https://doi.org/10.1287/isre.2017.0736
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Coffee is a significant commodity in terms of both consumption and production. As a result, marketing interactions with systems and activities must be capable of bringing consumers closer to the ...items and corporate brand names offered. Urban neighborhoods are currently undergoing lifestyle adjustments. The consumption patterns exhibited by certain cohorts of persons who frequent coffee establishments might be viewed as a reflection of contemporary societal norms and values. The aim of this research is to determine the characteristics of customers and to examine the impact of the consumer lifestyle connected with XYZ Coffee on consumer buying decisions. The research employed a non-probability sampling method, especially convenience sampling, consisting of a sample size of 271 participants. The data were analyzed using descriptive statistics and Structural Equation Modeling (SEM). The study's findings indicate that the target demographic for XYZ Coffee products consists of economically active individuals with adequate income and substantial expenditures on food and beverages. This consumer segment is characterized by a favorable lifestyle and image, making them the primary purchasers of XYZ Coffee products.
Conventional marketing strategies have lost effectiveness by not taking into account as distinctive aspects the changes that society has experienced, such as the growth in consumers' environmental ...awareness, which is in line with the degradation of our environment.
Purchasing decisions and customer satisfaction are what determine marketing. This study aimed to analyze the effect of marketing mix variables of price, place, and promotion on purchase decisions and ...customer satisfaction at SDS Nusantara of Batam City. The research method used was quantitative method with data collected using questionnaires distributed directly to 150 respondents and using accidental sampling. The data processing analysis used in this research was SemPLS 3.2.9 application. The results of this study found that the price, place and promotion variables had a positive and significant effect, then the price, place and promotion variables also had significant and positive effect on customer satisfaction, finally the purchase decision had a positive and significant effect on customer satisfaction.
The increase of digital experience in advertising media is significantly influenced by the development of technology, which is considered superior to conventional advertising media. Consequently, ...traditional advertising firms are compelled to assess their marketing strategies in order to enhance customer purchasing decisions. The objective of this study is to elucidate the mediating function of brand image in the influence of place and promotion on purchase decisions. The study was carried out in Bali, focusing on the clientele of Bali Kita Kita, a company specializing in advertising services. A total of 140 respondents were selected using non-probability purposive selection technique. The data was collected via sending surveys in the form of a Google Form. The present study involves conducting data analysis on research findings. This study employs a Partial Least Squares (PLS) approach to Structural Equation Modelling (SEM). This study demonstrates that the factors of place and promotion have a considerable and favorable impact on purchasing decisions. The influence of place and promotion on a brand's image is both considerable and favorable. A positive brand image, in turn, has a major impact on consumers' purchasing decisions. Furthermore, the brand image has the ability to partially mediate the influence of place and promotion on consumers' purchasing decisions. This study aims to make an empirical addition to the field of marketing by examining the relationship between variables such as place, promotion, brand image, and purchasing decisions. The findings of this research will enhance our understanding of marketing concepts and practices. The anticipated outcomes of this study are intended to serve as a valuable resource for companies in formulating their business strategies. Specifically, these findings are expected to assist in enhancing brand image and facilitating informed decision-making processes regarding customer purchases.
Consumer satisfaction and purchasing decisions made by consumers have always been a concern of marketers, taking into account these two aspects can encourage businesses to develop. Digital marketing ...is one of the factors that can shape consumer satisfaction and purchase decisions. For this reason, this study aims to prove whether there is an influence between digital marketing on purchasing decisions and consumer satisfaction, the influence of purchasing decisions on consumer satisfaction, and to prove whether purchasing decisions can mediate the relationship between digital marketing and customer satisfaction. This study, using Structural Equation Modeling (SEM) Partial Least Squares (PLS) analysis to test the hypothesis. This study also using a non-probability sampling method through a judgmental sampling technique. The minimum number of samples in using SEM is 100-200 samples, and this study uses a sample of 100 respondents. The results of the study show that digital marketing influences purchasing decisions and also influences consumer satisfaction. Other findings show that purchasing decisions have a positive effect on consumer satisfaction. The research findings also show that purchasing decisions can positively mediate the relationship between digital marketing and consumer satisfaction. The findings of this study have practical implications especially transformations in digital-based marketing strategies. The use of various digital marketing strategies such as email marketing, search engine optimization, search engine marketing, content marketing, social media marketing, etc., can help companies or marketers to increase consumer decisions in making purchases which at the last can build their satisfaction.
With the continuous development of the Internet and information technology, online shopping has become a popular purchase mode. The in-depth analysis of consumer decision-making in online shopping is ...an important issue. Our purpose is to study how the factors of the shopping web pages corporately affect online purchase decisions and determine which are the core factors that affect consumer purchase decisions. We screen the influencing factors on the shopping webpage and deploy e-commerce network evolution based on various weight combinations of these factors to generate sales distributions of online products. By comparing these simulated sales distributions to the real data, the optimal weight of each factor is obtained. The results show that sales volume and the number of high-quality negative comments are the most important factors influencing consumers' decision-making, the number of comments and the number of comments with pictures are relatively minor factors, store type and video presentation of the products have the least impact. The optimal simulated sales distribution is very close to the real case and verifies that the introduced network evolution technology is applicable. The proposed model can be used as a uniform evaluation platform for correlational study, which is an important link in the purchase research chain.
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This study tries to clarify how trust influences repurchase intention by mediating the effects of product quality and e-women. Purposive sampling was employed in this investigation, which had a ...sample size of 170 participants. In this study, survey and questionnaire approaches were used to collect data. The route analysis methods, Sobel test, and vaf test are used in this work. Based on the findings of this study, it could be concluded that e-women and product quality both had favourable and significant effects on consumers' intentions to repurchase products. E-wom has a favourable and large impact on trust, and product quality also has a positive and significant impact. Trust is a mediating variable between product quality and repurchase intention as well as between e-women and repurchase intention. Trust has a positive and significant impact on repurchase intention. An empirical addition to management science in particular is anticipated from this study.
The research aims to examine the determinants that influence the decision to buy a smartphone. Several factors there are product quality, price, market, promotion were examined to prove the purchase ...decision and show the effects of the consumer decision in buying a Samsung Galaxy smartphone in Bandar Lampung city. This study uses questionnaire data of respondents. The analysis method in this study uses the Partial Least Square analysis method (PLS). The findings of this study reveal that the low level of purchase decisions Samsung Galaxy smartphones can be damaged by good product quality, more affordable prices for consumers, ease when making pre-orders in the marketplace and attractiveness as well as power promotion of brand ambassadors.
Keywords: Purchase Decision, Product Quality, Price, Market, Promotion
This study aims to empirically measure the distinctive characteristics of customers who did and did not order food through Online Food Delivery services (OFDs) during the COVID‐19 outbreak in India. ...Data are collected from 462 OFDs customers. Binary logistic regression is used to examine the respondents’ characteristics, such as age, patronage frequency before the lockdown, affective and instrumental beliefs, product involvement and the perceived threat, to examine the significant differences between the two categories of OFDs customers. The binary logistic regression concludes that respondents exhibiting high‐perceived threat, less product involvement, less perceived benefit on OFDs and less frequency of online food orders are less likely to order food through OFDs. This study provides specific guidelines to create crisis management strategies.
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