• Title/Summary/Keyword: Consumer Adoption

Search Result 197, Processing Time 0.036 seconds

Impact of Net-Based Customer Service on Firm Profits and Consumer Welfare (기업의 온라인 고객 서비스가 기업의 수익 및 고객의 후생에 미치는 영향에 관한 연구)

  • Kim, Eun-Jin;Lee, Byung-Tae
    • Asia pacific journal of information systems
    • /
    • v.17 no.2
    • /
    • pp.123-137
    • /
    • 2007
  • The advent of the Internet and related Web technologies has created an easily accessible link between a firm and its customers, and has provided opportunities to a firm to use information technology to support supplementary after-sale services associated with a product or service. It has been widely recognized that supplementary services are an important source of customer value and of competitive advantage as the characteristics of the product itself. Many of these supplementary services are information-based and need not be co-located with the product, so more and more companies are delivering these services electronically. Net-based customer service, which is defined as an Internet-based computerized information system that delivers services to a customer, therefore, is the core infrastructure for supplementary service provision. The importance of net-based customer service in delivering supplementary after-sale services associated with product has been well documented. The strategic advantages of well-implemented net-based customer service are enhanced customer loyalty and higher lock-in of customers, and a resulting reduction in competition and the consequent increase in profits. However, not all customers utilize such net-based customer service. The digital divide is the phenomenon in our society that captures the observation that not all customers have equal access to computers. Socioeconomic factors such as race, gender, and education level are strongly related to Internet accessibility and ability to use. This is due to the differences in the ability to bear the cost of a computer, and the differences in self-efficacy in the use of a technology, among other reasons. This concept, applied to e-commerce, has been called the "e-commerce divide." High Internet penetration is not eradicating the digital divide and e-commerce divide as one would hope. Besides, to accommodate personalized support, a customer must often provide personal information to the firm. This personal information includes not only name and address, but also preferences information and perhaps valuation information. However, many recent studies show that consumers may not be willing to share information about themselves due to concerns about privacy online. Due to the e-commerce divide, and due to privacy and security concerns of the customer for sharing personal information with firms, limited numbers of customers adopt net-based customer service. The limited level of customer adoption of net-based customer service affects the firm profits and the customers' welfare. We use a game-theoretic model in which we model the net-based customer service system as a mechanism to enhance customers' loyalty. We model a market entry scenario where a firm (the incumbent) uses the net-based customer service system in inducing loyalty in its customer base. The firm sells one product through the traditional retailing channels and at a price set for these channels. Another firm (the entrant) enters the market, and having observed the price of the incumbent firm (and after deducing the loyalty levels in the customer base), chooses its price. The profits of the firms and the surplus of the two customers segments (the segment that utilizes net-based customer service and the segment that does not) are analyzed in the Stackelberg leader-follower model of competition between the firms. We find that an increase in adoption of net-based customer service by the customer base is not always desirable for firms. With low effectiveness in enhancing customer loyalty, firms prefer a high level of customer adoption of net-based customer service, because an increase in adoption rate decreases competition and increases profits. A firm in an industry where net-based customer service is highly effective loyalty mechanism, on the other hand, prefers a low level of adoption by customers.

The Relationships among Social Influence, Use-Diffusion, Continued Usage and Brand Switching Intention of Mobile Services (사회적 영향력과 모바일 서비스의 사용-확산, 그리고 지속적 사용 및 상표 전환의도 간의 관계에 대한 연구)

  • Sang-Hoon Kim;Hyun Jung Park;Bang-Hyung Lee
    • Asia Marketing Journal
    • /
    • v.12 no.3
    • /
    • pp.1-24
    • /
    • 2010
  • Typically, marketing literature on innovation diffusion has focused on the pre-adoption process and only a few studies explicitly examined consumers' post-adoption behavior of innovative mobile services. Besides, prior use diffusion research has considered the variables that determine the consumers' initial adoption in explaining the post adoption usage behavior. However, behavioral sciences and individual psychology suggest that social influences are a potentially important determinant of usage behavior as well. The purpose of this study is to investigate into the effects of network factor and brand identification as social influences on the consumers' use diffusion or continued usage intention of a mobile service. Network factor designates consumer perception of the usefulness of a network, which embraces the concept of network externality and that of critical mass. Brand identification captures distinct aspects of social influence on technology acceptance that is not captured by subjective norm in situations where the technology use is voluntary. Additionally, this study explores the effect of the use diffusion on the brand switching intention, a generally unexplored form of post-adoption behavior. There are only a few empirical studies in the literature addressing the issue of IT user switching. In this study, the use diffusion comprises of rate of use and variety of use. The research hypotheses are as follows; H1. Network factor will have a positive influence on the rate of use of mobile services. H2. Network factor will have a positive influence on variety of use of mobile services. H3. Network factor will have a positive influence on continued usage intention. H4. Brand identification will have a positive influence on the rate of use. H5. Brand identification will have a positive influence on variety of use. H6. Brand identification will have a positive influence on continued usage intention. H7. Rate of use of mobile services are positively related to continued usage intention. H8. Variety of Use of mobile services are positively related to continued usage intention. H9. Rate of use of mobile services are negatively related to brand switching intention. H10. Variety of Use of mobile services are negatively related to brand switching intention. With the assistance of a marketing service company, a total of 1023 questionnaires from an online survey were collected. The survey was conducted only on those who have received or given a mobile service called "Gifticon". Those who answered insincerely were excluded from the analysis, so we had 936 observations available for a further stage of data analysis. We used structural equation modeling and overall fit was good enough (CFI=0.933, TLI=0.903, RMSEA=0.081). The results show that network factor and brand identification significantly increase the rate of use. But only brand identification increases variety of use. Also, network factor, brand identification and the use diffusion are positively related to continued usage intention. But the hypotheses that the use diffusion are positively related to brand switching intention were rejected. This result implies that continued usage intention cannot guarantee reducing brand switching intention.

  • PDF

Diffusion of the Information Telecommunication Service in Kwangju (光州市 하이텔(HiTEL) 서비스의 擴散 및 利用行態)

  • Lee, Jeong-Rock;Kim, Jae-Chul
    • Journal of the Korean Geographical Society
    • /
    • v.28 no.2
    • /
    • pp.123-136
    • /
    • 1993
  • The growth of radidly improving computer and information technology has a profound impact upon economical, social and cultural sectors. With the progress of information technology, information-telecommunication services are produced. This service is used in sending the information to order service-users, and search the need information. This case study considers information-telecommunication service as a consumer-innovation. Information telecommunication services are provided by firms involved in collection. HiTEL(High-Telecommunication) service represents a subset of this group in that the collection, processing and transmission is primarily in an electronic from. The purpose of this paper is concerned with examining the spatial diffusion process, the issues, and behavior to used in HiTEL service one of the information-telecommunication services in Kwangju. HiTEL service is one of the typical information-telecommunication services, and is begun in Seoul and Kwangju area from October 1991, and diffusing several cities and regions now. Diffusion process of HiTEL services in Kwangju showed the irregular pattern in major residential areas, particularly Daewei-dong, Dongun-dong present higher adoption rate than other area, and where functioned as a diffusion center, the social and economic characteristics of residential area have a critical effect on diffusion process. The major adoption areas are recently built residential area, apartment districts, and diffusion direction shows two directions according to development of residental area; one is to south, another is from northeast to southwest. In order to understand the use-behavior of HiTEL service, questionary survey was carried out. Most adopters have a concern to actual life, as HiTEL, information of telephonenumber, and Daewoo Dial-Van compared with other information service. But the actual use-frequency of service is very low. In use of Kwangju regional information service, the use-frequency of operator is very low because of the lack of advertisement, the lack of providing information, and the low-concerns for regional information. But most of adopters need the providing of various regional information as regional news, education, medical and cultural events, housing, city-transportation, and job market. Thus, in order to increase and diffuse the HiTEL service, the establishment of diffusion strategies and the scheme for solution of related issues are very important. The direct diffusion strategies are the diffusion of information-mind, establishment of diffusion and education center, providing of regional information. The scheme for solution of related issues revealed in operating process are reduction of rental fee, development of the related technology and services.

  • PDF

The Empirical Analysis of Factors Affecting the Intention of College Students to Use Generative AI Services (대학생의 생성형 AI 서비스 이용의도에 영향을 미치는 요인에 대한 실증분석)

  • Chang, Soo-jin;Chung, Byoung-gyu
    • Journal of Venture Innovation
    • /
    • v.6 no.4
    • /
    • pp.153-170
    • /
    • 2023
  • Generative AI services, including ChatGPT, were becoming increasingly active. This study aimed to empirically analyze the factors that promoted and hindered the diffusion of such services from a consumer perspective. Accordingly, a research model was developed based on the Value-based Adoption Model (VAM) framework, addressing both benefit and sacrifice factors. Benefits identified included usefulness and enjoyment, while sacrifices were security and hallucination. The study analyzed how these factors affected the intention to use generative AI services. A survey was conducted among college students for empirical analysis, and 200 valid responses were analyzed. The analysis utilized structural equation modeling with AMOS 24. The empirical results showed that usefulness and enjoyment had a significant positive impact on perceived value, while security and hallucination had a significant negative impact. The order of influence on perceived value was usefulness, hallucination, security, and then enjoyment. Perceived value had a significant positive impact on usage intention. Moreover, perceived value was found to mediate the relationship between usefulness, enjoyment, security, hallucination, and the intention to use generative AI services. These findings expanded the research horizon academically by validating the effectiveness of generative AI services based on existing models and demonstrated the continued importance of usefulness in a practical context.

Factors Affecting Satisfaction and Continuous Use Intention of Subscription Economy (구독경제 이용 만족도 및 지속 이용 의도에 영향을 미치는 요인)

  • Chung, Byoung-gyu
    • Journal of Venture Innovation
    • /
    • v.6 no.1
    • /
    • pp.1-16
    • /
    • 2023
  • Due to the progress of the 4th industrial revolution and the COVID-19 pandemic, the subscription economy was rapidly expanding. In particular, the subscription economy was expected to expand further as the servicing of products(servitization) rapidly progresses. In this study, we tried to empirically analyze the factors that promote and hinder the spread of the subscription economy from the consumer's point of view. To this end, based on the Service Profit Chain (SPC) model, which identified mechanisms leading from quality to satisfaction, loyalty, and performance, a research model was established by combining the framework of the Value-based Adoption Model (VAM), which covers both benefit and sacrifice factors. Usefulness and convenience were derived as benefit factors, and perceived risks and perceived costs were derived as sacrifice factors. The effects of these factors on satisfaction and continuous use intention were analyzed. For empirical analysis, a survey was conducted targeting people who have experience in subscription economy, and 300 effective samples were analyzed. The analysis was performed as a structural equation model using AMOS 24. As a result of the empirical study, it was found that convenience had a significant positive (+) effect on satisfaction. Perceived risk and perceived cost were analyzed to have a negative (-) effect on satisfaction. On the other hand, usefulness was found to have no significant effect on satisfaction. The influences affecting satisfaction were in the order of perceived cost, convenience, and perceived risk. Satisfaction was found to have a significant positive (+) effect on continuous use intention. The results of this study were considered meaningful in that they broadened the horizons of research by combining existing validated models at the academic level and testing their validity, and found that perceived cost was still an important factor at the practical level.

A Case Analysis on Preference of Lighting Design - Focused on Well-being Design - (조명디자인의 기호도에 의한 사례 분석 연구 - 웰빙 디자인을 중심으로 -)

  • Kim, Chae-Yeon
    • Journal of Science of Art and Design
    • /
    • v.12
    • /
    • pp.5-41
    • /
    • 2007
  • As public attention on Well-being culture increases, it is now considered to be a new trend of modern society. The purpose of this study is to publicize the necessity of design products which are advanced in quality and encourage the use of it. The researcher judged that study on design of lighting product to adopt well-being trend is in preliminary level and aims to research on the tendency of well-bing trend and lighting design which the consumer of this age is demanding. As the result of changes in modern consumption trend, design is considered to be a factor of capricious cultural phenomenon. In addition to this, as high technology such as ubiquitous develops with the degitalisation and informatization, the consumer are paying attention to dynamic products rather than static products or products which respond to external stimulus. Products which adopt well-being trend pursuing nature friendly life are particularly preferred It means that not only the basic function of products but also design which satisfy the five sense is required. Modern consumers use products in various way. However, the pro-environmental and human-centered tendency is tried only in very limited area and general study on this matter is extremely rare. This study analyzes the factors which intercepts the adoption of well-being trend to lighting products and seeks for an alternative to solve the problem. Interaction design with well-being trend was adopted to lighting design and the result presented that there is a possibility to differentiate existing lighting design by adding interaction design to the existing lighting design. Therefore, the need for further study on this matter is presented.

  • PDF

Factors Influencing Fintech's Customer Loyalty for Cross Border Payments: Mediating Customer Satisfaction (국경간 핀테크 결제거래에서 고객충성도에 영향을 미치는 요인에관한 연구: 고객만족의 매개효과를 중심으로)

  • Rehman, Usman;Ha, Kyu Soo
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
    • /
    • v.16 no.6
    • /
    • pp.287-297
    • /
    • 2021
  • The goal of this study is to investigate and provide information to the Fintech Industry on the main factors responsible for customer loyalty via the mediating effect of customer satisfaction. Secondly, providing traditional banking reasons for customer shifts from banking to Fintech, therefore these factors could be more focused. The consumer choices presented in this study can thus serve as a foundation for further research into post-adoption behaviors associated with Fintech for cross-border payments. This study examines consumer evaluations of how key attributes of fintech using mobile payment services affect their choice by using a conjoint analysis approach, which allows for the approximation of user preferences for specific features. In our study we have used SPSS 26 to test the reliability and mediation effect on the sample size of 348 people who regularly used Fintech for cross border payments. All the questionnaires were prepared if the customers were given fintech as an option instead of traditional banks to send their remittances abroad. The result shows that(Service Quality, Customer's trust and product quality) effecting customer satisfaction significantly would be very helpful for the current fintechs working for home remittances to improve these factors and would serve as a benchmark for the upcoming fintech startups and traditional banks to focus on these factors and catch up the fintech Industry. Finally, it is argued that, in order to be successful, focusing on service quality, customer trust, and product quality triggered customer loyalty for the Fintech in comparison to other traditional options for cross-border payments via the mediation effect of customer satisfaction.

Services Innovation Using Web Technology: A Case of Consumer Adoption of Family Restaurant Web Sites (웹 기술을 활용한 서비스 혁신: 패밀리 레스토랑 웹사이트 소비자 수용 사례)

  • Lim, Se-Hun;Kim, Dae-Kil;Whang, Jae-Hoon
    • Journal of Korea Society of Industrial Information Systems
    • /
    • v.16 no.5
    • /
    • pp.137-149
    • /
    • 2011
  • Today, a web site is used as a strategic method to fulfill a company's objectives. In particular, a web site provides a service for customers to find satisfaction in visiting family restaurants, and it recently has helped to attract the interest of a variety of customers. Currently, companies that manage family restaurants operate their Web sites as strategic tools and use them to perform public relations and marketing of their restaurants. This effort influences management and helps to improve the business and profitability of family restaurants. The research model of this study is an expansion of the Technology Acceptance Model (TAM) and examines whether ease of use and usefulness of family restaurant web sites influence the relationship of intention to use, actual use, and recommendation to use by gender. The results of this research would suggest that web sites are useful in establishing a marketing strategy for companies that operate family restaurants.

On Rule-Based Inventory Planning Over New Product Launching Period (신제품 출시 시점의 규칙기반 재고계획에 관한 고찰)

  • Kim, Hyoungtae
    • Journal of Korean Society of Industrial and Systems Engineering
    • /
    • v.39 no.3
    • /
    • pp.170-179
    • /
    • 2016
  • In this paper we have tackled the outstanding inventory planning problems over new product launching period in a more holistic manner by addressing first the definition of efficient business rules to effectively control and reduce the inventory risks followed by the rigorous explanations on the implementation guide on suggested inventory planning rules. It is not unusual for many companies in the consumer electronics market to make a great effort to reduce the time to launch a new product because the ability to bring out higher performing products in such a short time period greatly increases the probability for them to remain competitive in the high tech market. Among so many newly developed products, those products with new features and technologies appeal to many potential customers while products which fail to win customers by design and prices rapidly disappear in the market. To adapt to this business environment, those companies have been trying to find the answer to minimize the inventory of old products so they can move to next generation products quickly with less obsolete material. In the experimental implementation of our rule-based inventory planning, Company 'S' reduced the inventory cost for the outgoing products as low as 49% of its peak level of its preceding product version in just 5 month after the adoption of rule-based inventory planning process and system. This paper concluded the subject with a suggestion that the best performance of rule-based inventory planning is guaranteed not from one-time campaign of process improvement along with system development but the decision maker's continuing support and attention even without seeing any upcoming business crisis.

Current situation and future prospects for the Australian beef industry - A review

  • Greenwood, Paul L;Gardner, Graham E;Ferguson, Drewe M
    • Asian-Australasian Journal of Animal Sciences
    • /
    • v.31 no.7
    • /
    • pp.992-1006
    • /
    • 2018
  • Beef production extends over almost half of Australia, with about 47,000 cattle producers that contribute about 20% ($A12.7 billion gross value of production) of the total value of farm production in Australia. Australia is one of the world's most efficient producers of cattle and was the world's third largest beef exporter in 2016. The Australian beef industry had 25 million head of cattle in 2016-17, with a national beef breeding herd of 11.5 million head. Australian beef production includes pasture-based cow-calf systems, a backgrounding or grow-out period on pasture, and feedlot or pasture finishing. Feedlot finishing has assumed more importance in recent years to assure the eating quality of beef entering the relatively small Australian domestic market, and to enhance the supply of higher value beef for export markets. Maintenance of Australia's preferred status as a quality assured supplier of high value beef produced under environmentally sustainable systems from 'disease-free' cattle is of highest importance. Stringent livestock and meat quality regulations and quality assurance systems, and productivity growth and efficiency across the supply chain to ensure price competiveness, are crucial for continued export market growth in the face of increasing competition. Major industry issues, that also represent research, development and adoption priorities and opportunities for the Australian beef industry have been captured within exhaustive strategic planning processes by the red meat and beef industries. At the broadest level, these issues include consumer and industry support, market growth and diversification, supply chain efficiency, productivity and profitability, environmental sustainability, and animal health and welfare. This review provides an overview of the Australian beef industry including current market trends and future prospects, and major issues and opportunities for the continued growth, development and profitability of the industry.