Untangling the relationships between consumer characteristics, shopping values, and behavioral intention in online group buying

Abstract

This study examines the link among consumer characteristics (price-sensitive behavior, variety-seeking behavior, and compulsive buying behavior), shopping values (utilitarian and hedonic shopping values), and behavioral intention in online group buying (OGB). This study tests usable responses collected by means of mall-intercept systematic sampling from consumers who previously participated in OGB. Structural equation modeling was used to analyze data and test the hypothesized relationships. Findings suggest that price-sensitive and variety-seeking behaviors are significantly related to utilitarian shopping value, whereas price-sensitive, variety-seeking, and compulsive buying behaviors are significantly related to hedonic shopping value. Both utilitarian and hedonic shopping values significantly influence consumers’ OGB intentions. For a successful OGB strategy, Internet marketers and site operators should emphasize the utilitarian shopping value of price saving and selection and introduce the hedonic shopping values of promotions and sensory experiences. This study provides a link between two streams of prior research – that is, consumer characteristics and shopping values. Furthermore, it validates an empirical model whose results can help business practitioners make better-informed marketing management decisions for OGB and help academics and consumers better understand OGB behavior.

Keywords:

• Online group buying
• consumer characteristics
• shopping values
• behavioral intentions

Acknowledgments

The author is especially grateful to the anonymous reviewers and the editors for their helpful comments, which improved the quality of this paper.

Notes

1. One reviewer raised concerns over some contradictory suggestions related to the finding on compulsive buying behavior and hedonic shopping value. The study argues that suggestions to improve the hedonic shopping value derived from OGB among compulsive shoppers are appropriate, as engaging in compulsive purchases may provide a relief to negative emotions and a sense of gratification to such consumers (provided that it does not lead to significantly detrimental effects on consumers e.g. financial well-being). The problem with this type of buying behavior is when consumers become addicted to compulsive buying (e.g. continuously spending more than what they could afford and leading to debt situations), and thus suggestions to curb potentially addictive compulsive buying behavior are offered.