Determinants of online shoppers' satisfaction in Korea

Abstract

The purpose of this article is to identify the factors that might lead to the customer satisfaction in the online shopping malls across Korea. It is hypothesized that customer's positive perception of usefulness of internet shopping, security, technical competence, customer support and the interface of shopping mall positively affects the customer satisfaction. It is also hypothesized that satisfied customer becomes loyal customer. The survey results confirm that customer satisfaction has a significantly positive impact on the customer loyalty, which reveals that internet shoppers show high loyalty when they are satisfied with the service. We also find that online customers' risk perception about the security of the transactions, customer support to the online shopping and interface of the shopping mall are positively related to the customer satisfaction.

Acknowledgement

This article was supported by the international collaborative research funds of Chonbuk National University (ICR-2006).

Notes

¹ Most cited reasons for this achievement are the dense urban population, the lowest broadband subscription fee in the world due to severe competition, and government supports, among others.

² Madden et al. (2004) provide evidence that the internet penetration rate is positively related to the growth of e-commerce retailers as their potential market size increases.