Online Travel Agencies in China: The Impact of Online Reviews, Trust, Perceived Risk, Perceived Ease of Use, Perceived Usefulness and Perceived Enjoyment on Purchase Intention
Article Sidebar
Main Article Content
Abstract
The purpose of this study is to better understand online consumer behavior by analyzing consumers’ motivations and intentions leading to the purchase of hotel rooms through online travel agency (OTA). In particular, this paper seeks to demonstrate the impact levels of the following independent variables: electronic word-of-mouth (eWOM) (in the form of online reviews, or ORs), perceived risk (PR), trust (TR), perceived ease of use (PEOU), perceived usefulness (PU), and perceived enjoyment (PE), on purchase intention (PI) or hotel room booking as the dependent variable. Quantitative research methods and Structural Equation Modeling were applied in order to construct a conceptual model into which survey data collected from 334 respondents in China were input. The results indicated that all of the independent variables could have significant impacts on online travel agency customers’ purchase intentions, and that consumers’ attitudes and perceptions were critical factors affecting the motivation, which in turn affected these tourists’ decision-making towards online hotel booking transactions.
Article Details
The manuscript submitted for publication must be the original version, submitted only to this particular journal with no prior acceptance for publication elsewhere in other academic journals. The manuscript must also not violate the copyright issue by means of plagiarism.
References
Agag, G., & El-Masry, A. A. (2016). Understanding consumer intention to participate in online travel
community and effects on consumer intention to purchase travel online and WOM: An integration of innovation diffusion theory and TAM with trust. Computers in Human Behavior, 60, 97-111.
Awad, N. F., & Ragowsky, A. (2008). Establishing trust in electronic commerce through online word of
mouth: An examination across genders. Journal of Management Information Systems, 24(4), 101-121.
Bauer, R. A. (1960). Consumer behavior as risk taking. In R.S. Hancock (Ed), Dynamic Marketing for a
Changing World (pp. 389-398). Chicago: American Marketing Association.
Bedi, S. S., Kaur, S., & Lal, A. K. (2017). Understanding web experience and perceived web enjoyment
as antecedents of online purchase intention. Global Business Review, 18(2), 465-477.
Bhatnagar, A., & Ghose, S. (2004). Online information search termination patterns across product
categories and consumer demographics. Journal of Retailing, 80(3), 221-228.
Blal, I., & Sturman, M. C. (2014). The differential effects of the quality and quantity of online reviews
on hotel room sales. Cornell Hospitality Quarterly, 55(4), 365-375.
Blazevic, V., Hammedi, W., Garnefeld, I., Rust, R. T., Keiningham, T., Andreassen, T. W., Donthu, N., &
Carl, W. (2013). Beyond traditional word-of-mouth: An expanded model of customer-driven
influence. Journal of Service Management, 24(3), 294-313.
Browning, V., So, K. K. F., & Sparks, B. (2013). The influence of online reviews on consumers'
attributions of service quality and control for service standards in hotels. Journal of Travel
& Tourism Marketing, 30(1-2), 23-40.
Casaló, L. V., Flavián, C., Guinalíu, M., & Ekinci, Y. (2015). Do online hotel rating schemes influence
booking behaviors? International Journal of Hospitality Management, 49, 28-36.
Cheung, C. M., Lee, M. K., & Rabjohn, N. (2008). The impact of electronic word-of-mouth: The
adoption of online opinions in online customer communities. Internet Research: Electronic
Networking Applications and Policy, 18(3), 229-247.
Chiemeke, S. C., Evwiekpaefe, A. E., & Chete, F. O. (2006). The adoption of internet banking in Nigeria:
An empirical investigation. Journal of Internet Banking and Commerce, 11(3), 1-10.
Dai, B., Forsythe, S., & Kwon, W.-S. (2014). The impact of online shopping experience on risk
perceptions and online purchase intentions: Does product category matter? Journal of
Electronic Commerce Research, 15(1), 13–24.
Davis, F. D. (1985). A technology acceptance model for empirically testing new end-user information
systems: Theory and results (Doctoral dissertation, Massachusetts Institute of Technology).
Davis, F. D., Bagozzi, R. P., & Warshaw, P. R. (1989). User acceptance of computer technology: A
comparison of two theoretical models. Management Science, 35(8), 982-1003.
De Pelsmacker, P., Van Tilburg, S., & Holthof, C. (2018). Digital marketing strategies, online reviews
and hotel performance. International Journal of Hospitality Management, 72, 47-55.
Drozdowska, M., Faron, A., & Gruszka, I. (2019). Meeting guests’ expectations and hotel classification
systems. In Proceedings of the 2nd International Conference on Tourism Research (p.71-81).
Porto, Portugal: University Portucalense.
eMarketer. (2013). Users seek out the truth in online reviews: Consumers look for indicators of
review authenticity. Retrieved July 8, 2018, from https://www.emarketer.com/Article/Users-Seek-Truth-Online-Reviews/1009656
Fam, K. S., Foscht, T., & Collins, R. D. (2004). Trust and the online relationship - an exploratory study
from New Zealand. Tourism Management, 25(2), 195-207.
Forsythe, S. M., & Shi, B. (2003). Consumer patronage and risk perceptions in internet shopping.
Journal of Business Research, 56(11), 867-875.
Gabbianelli, L., & Pencarelli, T. (2020). The role of the electronic word-of-mouth in the hotel industry.
In S. M. C. Loureiro, & H. R. Kaufmann (Eds.), Exploring the Power of Electronic Word-of-Mouth
in the Services Industry (pp. 217-239). Hershey, PA, USA: IGI Global.
Green, C. E., & Lomanno, M. V. (2012). Distribution channel analysis: A guide for hotels. McLean,
VA: HSMAI Foundation.
Kesharwani, A., & Bisht, S. S. (2012). The impact of trust and perceived risk on internet banking
adoption in India: An extension of technology acceptance model. International Journal of
Bank Marketing, 30(4), 303-322.
Kietzmann, J., & Canhoto, A. (2013). Bittersweet! Understanding and managing electronic word of
mouth. Journal of Public Affairs, 13(2), 146-159.
Kim, M. J., Chung, N., & Lee, C. K. (2011). The effect of perceived trust on electronic commerce:
shopping online for tourism products and services in South Korea. Tourism Management,
(2), 256-265.
Kim, D. J., Ferrin, D. L., & Rao, H. R. (2008). A trust-based consumer decision-making model in
electronic commerce: The role of trust, perceived risk, and their antecedents. Decision
Support Systems, 44(2), 544-564.
Kim, S. Y., Kim, J. U., & Park, S. C. (2017). The effects of perceived value, website trust and hotel trust
on online hotel booking intention. Sustainability, 9(12), 1-14.
Kim, C., Zhao, W., & Yang, K. H. (2008). An empirical study on the integrated framework of e-crm in
online shopping: Evaluating the relationships among perceived value, satisfaction, and trust
based on customers' perspectives. Journal of Electronic Commerce in Organizations (JECO),
(3), 1-19.
Koufaris, M., & Hampton-Sosa, W. (2004). The development of initial trust in an online company by
new customers. Information & Management, 41(3), 377-397.
Lee, K. S., Lee, H. S., & Kim, S. Y. (2007). Factors influencing the adoption behavior of mobile
banking: A South Korean perspective. Journal of Internet Banking and Commerce, 12(2),
-9.
Lee, E. J., & Shin, S. Y. (2014). When do consumers buy online product reviews? Effects of review
quality, product type, and reviewer’s photo. Computers in Human Behavior, 31, 356-366.
Lee, K. S., & Tan, S. J. (2003). E-retailing versus physical retailing: A theoretical model and empirical
test of consumer choice. Journal of Business Research, 56(11), 877-885.
Leeraphong, A., & Mardjo, A. (2013). Trust and risk in purchase intention through online social
network: A focus group study of Facebook in Thailand. Journal of Economics, Business and
Management, 1(4), 314-318.
Martinez-Costa, C., Pladevall Viladecans, J., Mas-Machuca, M., & Marimon, F. (2018). Behavioral
profiles of consumers of online travel agencies. International Journal of Quality Research,
(3), 703-722.
Masoud, E. Y. (2013). The effect of perceived risk on online shopping in Jordan. European Journal of
Business and Management, 5(6), 76-87.
McKenzie, G., & Adams, B. (2018). A data-driven approach to exploring similarities of tourist attractions
through online reviews. Journal of Location Based Services, 12(2), 94–118.
Moe, W. W., & Trusov, M. (2011). The value of social dynamics in online product ratings forums.
Journal of Marketing Research, 48(3), 444-456.
Nepomuceno, M. V., Laroche, M., & Richard, M. O. (2014). How to reduce perceived risk when buying
online: The interactions between intangibility, product knowledge, brand familiarity, privacy
and security concerns. Journal of Retailing and Consumer Services, 21(4), 619-629.
Pavlou, P. A. (2003). Consumer acceptance of electronic commerce: Integrating trust and risk with
the technology acceptance model. International Journal of Electronic Commerce, 7(3), 101-
Saleh, K. (2015). The importance of online customer reviews. Retrieved July 8, 2018, from
http://www.invespcro.com/blog/the-importance-of-online-customer-reviews-infographic.
Smith, D. N. (2002). Trust me, would I steer you wrong? The influence of peer recommendations
within virtual communities (Doctoral dissertation, University of Illinois).
Sparks, B. A., & Browning, V. (2011). The impact of online reviews on hotel booking intentions and
perception of trust. Tourism Management, 32(6), 1310-1323.
Sparks, B. A., Perkins, H. E., & Buckley, R. (2013). Online travel reviews as persuasive communication:
The effects of content type, source, and certification logos on consumer behavior. Tourism
Management, 39, 1-9.
Stangl, B., Inversini, A., & Schegg, R. (2016). Hotels’ dependency on online intermediaries and their
chosen distribution channel portfolios: Three country insights. International Journal of
Hospitality Management, 52, 87-96.
Togas, P. T., Kindangen, P., & Tumbuan, W. J. F. A. (2019). The influence of online review on online
hotel booking intention in Manado. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis
dan Akuntansi, 7(5), 3189-3198.
Torres, E. N., Singh, D., & Robertson-Ring, A. (2015). Consumer reviews and the creation of booking
transaction value: Lessons from the hotel industry. International Journal of Hospitality
Management, 50, 77-83.
Van der Heijden, H. (2003). Factors influencing the usage of websites: The case of a generic portal in
The Netherlands. Information and Management, 40(6), 541-549.
Vermeulen, I. E., & Seegers, D. (2009). Tried and tested: The impact of online hotel reviews on
consumer consideration. Tourism Management, 30(1), 123-127.
Wu, J. J., & Chang, Y. S. (2005). Towards understanding members' interactivity, trust, & flow in online
travel community. Industrial Management & Data Systems, 105(7), 937-954.
Xiang, Z., Magnini, V. P., & Fesenmaier, D. R. (2015). Information technology and consumer behavior
in travel and tourism: Insights from travel planning using the internet. Journal of Retailing
and Consumer Services, 22, 244-249.
Xie, K. L., Zhang, Z., & Zhang, Z. (2014). The business value of online consumer reviews and
management response to hotel performance. International Journal of Hospitality
Management, 43, 1-12.
Ye, Q., Law, R., & Gu, B. (2009). The impact of online user reviews on hotel room sales. International
Journal of Hospitality Management, 28(1), 180-182.