Consumer perception of interface quality, security, and loyalty in electronic commerce

1. Chang, H. H. & Chen, S. W. (2009). Consumer perception of interface quality, security, and loyalty in electronic commerce. Information & Management, 46, 411-417. Consumer perception of interface quality, security, and loyalty in electronic commerce 淡江資管所 碩二 李依倫 淡江資管所 碩二 鄭佳容 2011/04/29

2. The Authors • HsinHsin Chang 張心馨 • 英國Bradford大學管理博士 • 行銷服務與顧客關係、企業電子化與創新、科技管理與經營策略 • 專任教授,任職於國立成功大學 • Su Wen Chen 陳淑雯 • 國立成功大學企業管理博士 • 網路行銷、線上商店設計、消費者行為、電子商務 • 副教授,任教於國立屏東商業技術學院

3. Outline • Introduction • Literature review • Research model and hypotheses development • Data analysis and results • Discussions and implications • Conclusions

4. Introduction • In the context of e-commerce, salespeople are replaced by a customer interface. • Consumer attitudes and beliefs about security have significant effects on the intention to purchase online. • Few studies have examined whether customer interface quality and perceived security affect customer satisfaction and switching costs, and in turn, influence customer loyalty.

5. Literature review • Customer interface quality • Parasuraman et al. developed a scale with four dimensions (i.e. efficiency of the website, system availability, privacy, and the post-transaction experience). • Bauer et al. used five eTransQual dimensions (functionality/design, enjoyment, process, reliability and responsiveness). • This study primarily focused on the components of customer interface quality that are related to online store atmospherics rather than to the entire online buying experience.

6. Literature review(Cont.) • Customer interface quality • This paper adopted four components of customer interface quality that deal with its atmosphere: • Convenience • Interactivity • Customization • Character

7. Literature review(Cont.) • Perceived security • This paper defined perceived security as the extent to which a potential customer believes that the e-commerce website is secure for transmitting sensitive information. • Customer satisfaction • This paper treats customer satisfaction as a cumulative factor.

8. Literature review(Cont.) • Switching costs • Burnham et al. thought switching costs are not only economic in nature, but can also be psychological and emotional. • This paper defined switching costs as the consumers perceptions of the time, money, and effort associated with changing e-service providers. • Customer loyalty • This paper defined customer loyalty as a customer’s favorable attitude toward an e-commerce website that predisposes the customer to repeat buying behavior.

9. Research model and hypotheses development • Research model

10. Research model and hypotheses development(Cont.) • Hypotheses development • Customer interface quality and perceived security • Consumersmay use interface quality as a surrogate indicatorwhen forming beliefs about security. H1. Customer interface quality has a significant positive influence on perceived security.

11. Research model and hypotheses development(Cont.) • Hypotheses development • Customer interface quality, satisfaction and switching costs • Customer satisfaction toward a website depends primarily on the evaluation of its attributes. • A good website avoids wasting customer time by providing orderly screens, simple search paths, fast and readable presentations, and simple navigation H2. Customer interface quality has a significant positive influence on customer satisfaction. H3. Customer interface quality has a significant positive influence on switching costs.

12. Research model and hypotheses development(Cont.) • Hypotheses development • Perceived security, satisfaction and switching costs • Consumers ' attitudes and beliefs about security have had significant effect on their intention to purchase online. • High switching costs are engendered when a customer perceives one e-commerce website as being secure. H4. Perceived security has a significant positive influence on customer satisfaction. H5. Perceived security has a significant positive influence on switching costs.

13. Research model and hypotheses development(Cont.) • Hypotheses development • Customer satisfaction, switching costs and loyalty • Customers are satisfied, they believe that a website will deliver what they expect. • The influence of customer satisfaction on customer loyalty decreases under conditions where high switching costs are perceived by customers. H6. Customer satisfaction has a significant positive influence on customer loyalty. H7. Switching costs have a significant positive influence on customer loyalty. H8. The relationship between customer satisfaction and loyalty is weaker when customers perceive higher switching costs.

14. Data analysis and results • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

15. Data analysis and results • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

16. Data analysis and resultsAnalysis of the measurement model • We first developed the measurement model by conducting confirmatory factor analysis • Conducting confirmatory factor analysis (CFA) • 驗證性因素分析 • The SEM was then estimated forhypotheses testing • Structural equation model (SEM) • 結構方程模式 • The models were assessed by the maximumlikelihood method using AMOS 5.0 • Maximumlikelihood method (MLE) • 最大概似估計法

17. 平方均值估計殘差根 Root Mean Square Error of Approximation (RMSEA) 又稱為RMS、RMSE、或自由度偏差。如果RMSEA ≤0.05，代表「好」的模式適配；RMSEA≤0.08，都是「適合」的模式，RMSEA是常用的絕對適配指標（SEM外在品質） 基準適配指數 Nomed fit index(NFI) 適配度指數 Goodness-of-fit index(GFI) 比較適配指標 Comparative Fit Index (CFI) 理想數值需大於等於0.9 調整的適配度指標 Adjusted goodness of fit index (AGFI) 理想數值需大於等於0.8 NC=(χ2/df)來考驗模式適配度，若 NC 值介於1.0~5.0 之間則代表 χ2值可接受，NC 值小於 1.0~2.0 時表測量模式有非常好的適配度，介於 2.0~3.0 之間表中度適配，大於 5.0 時表示模式尚未真實反應觀察資料，適配度不佳。 Data analysis and resultsAnalysis of the measurement model • 模式配適度分析

18. Data analysis and results • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

19. Data analysis and results Psychometric properties of measures • 構念信度 • Construct reliability(CR) • 平均變異抽取量 • Average variance extracted(AVE)

20. Data analysis and results • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

21. Data analysis and results Analysis of the SEM-Testing the structural model

22. Data analysis and results • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

23. Data analysis and results Analysis of the SEM-Testing the moderating effect of switching costs • We used a multi-group causal analysis to test the moderatingeffect of switching costs

24. Discussions and implications • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

25. Discussions and implications • First,customer interface quality positively affected perceived security,which implied that a well-established website interface couldimprove customer perceptions of security • 顧客介面品質會正向影響安全認知，這意味著一個介面設計良好的網站可以改善顧客對安全的認知

26. Discussions and implications • Second, our study demonstrated that customer interfacequality both directly and indirectly influenced customer satisfaction • 研究證實顧客介面的品質會直接也會間接影響到顧客滿意度

27. Discussions and implications • These results implied that higher perceivedcustomer interface quality and security could encourage onlineshoppers to be more loyal, increasing the probability that they willreturn and repurchase from the e-commerce websites with whichthey were satisfied • 證實高度介面品質與安全度會促使線上購物者更具有忠誠度,同時也因為感到滿意而增加回購率

28. Discussions and implications • Finally, our study found that switching costs positivelymoderated the effects of customer satisfaction on customerloyalty • 研究發現轉換成本對顧客滿意度與忠誠度這條關係具有正向的調解效果

29. Conclusions • Data analysis and results • Analysis of the measurement model • Psychometric properties of measures • Analysis of the SEM • Testing the structural model • Testing the moderating effect of switching costs • Discussions and implications • Conclusions

30. Conclusions • Customer interface quality can increase customer perceptionsof security • 顧客介面品質會增加安全認知 • Customer interface quality and perceivedsecurity positively affected customer satisfaction and switchingcosts, and consequently customer loyalty • 顧客介面品質與安全認知會正向影響顧客滿意度、轉換成本與顧客忠誠度

31. Conclusions • Building customer loyalty in e-commerce is difficult; it requiresonline companies to differentiate themselves from their competitors.Practitioners should consider focusing more on customerinterface design as a marketing strategy, particularly in improvingcustomer convenience, interactivity, customization, and character • 在電子商務中建立顧客的忠誠度是困難的。它需要使自己能與其他競爭者有與眾不同的地方。從業人員應當考慮更加注重顧客介面設計，來作為一種營銷策略，特別是在提高顧客的便利性，互動性，客製化和特性這四個方面

32. Consumer perception of interface quality, security, and loyalty in electronic commerce Q&A