The information quality and source credibility matter in customers’ evaluation toward food O2O commerce

International Journal of Hospitality Management xxx (xxxx) xxx–xxx

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The information quality and source credibility matter in customers’ evaluation toward food O2O commerce Jee-Won Kang, Young Namkung

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College of Hotel & Tourism Management, Kyung Hee University, 1 Hoegi-dong, Dongdaemon-gu, Seoul 130-701, South Korea

A R T I C LE I N FO

A B S T R A C T

Keywords: Food O2O commerce Information quality Source credibility Elaboration likelihood model (ELM) Technology acceptance model (TAM) Food industry

This study examines customer’s decision making when purchasing food product through O2O commerce applying the elaboration likelihood model (ELM) and the technology acceptance model (TAM). Further, this research investigates which information processing path, central route (information quality) or peripheral route (source credibility), is related to purchase frequency. Results of the data analysis demonstrate (1) the positive relationship between information quality, perceived usefulness, and perceived ease of use; (2) the significant relationship between source credibility, perceived usefulness, and perceived ease of use; (3) the significant influence of perceived usefulness and perceived ease of use on customer trust; and (4) the significant relationships among customer trust, attitudes, and behavioral intentions. In addition, customers with high purchase frequency tend to process messages via the central route, while customers with low purchase frequency focus on the peripheral route. These findings provide theoretical and managerial implications that contribute to O2O commerce marketing.

1. Introduction As the mobile internet infrastructure and the use of smartphones evolve rapidly, O2O commerce has emerged as a new business model that blends offline businesses and online activities (Ma, 2017). O2O is the pie of e-commerce (Carsten, 2014) that attracts online users to offline stores by offering information, services, and discounts through the O2O platform (Zhang, 2014). With the continuous growth of integrated online and offline environments, the development potential of O2O commerce is huge (Kang et al., 2015). O2O commerce also offers a variety of services, from taxi calls to food delivery. According to the 2015 Internet Economic Activity Status Investigation survey, food delivery (41%) and lodging (26.1%) were the most commonly used types of O2O commerce (KISA, 2015). As women’s education levels and workforce participation rise, dual-career families prefer food delivery services to save time (Linehan, 2008). With this socio-demographic change, the online food market, including O2O commerce, is anticipated to continue to growing (Jang et al., 2011). Therefore, corporations need to understand customers’ decision-making processes when they engage with food O2O commerce as this new tool for both customers and businesses grows in popularity. In order to clarify how customers process persuasive messages, this study applied the elaboration likelihood model (ELM). The ELM has

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been used to identify the process of persuasive marketing communication (Bhattacherjee and Sanford, 2006). The model suggests two different routes to persuasion—central path and peripheral path—through which information may affect attitudes. In previous ELM studies, information quality and source credibility have been considered the major variables that influence beliefs and attitudes (Kim et al., 2016; Petty and Cacioppo, 1986; Wang, 2015). Customers are exposed to a lot of information but only use information they find useful for decision-making (Yang, 2015). Therefore, the level of information quality delivered by the seller is critical to business success. This is particularly true with experience products like food because customers cannot evaluate the quality of the product before consuming it (Nelson, 1970). Thus, the richness of the information is important because it allows customers to assess products such as food (Maity and Dass, 2014). Further, when customers purchase experience goods they depend more on who the service provider, message sender, or producer is than when they search for goods since they cannot effectively assess experience products (Brown, 1998). Therefore, information quality and high seller credibility are key factors in a food O2O commerce context that influence customers’ purchasing intentions and business performance. Despite the close association between the ELM and customer decision-making processes, few studies have applied this model in the fields

Corresponding author. E-mail addresses: [email protected] (J.-W. Kang), [email protected] (Y. Namkung).

https://doi.org/10.1016/j.ijhm.2018.10.011 Received 7 February 2018; Received in revised form 28 August 2018; Accepted 12 October 2018 0278-4319/ © 2018 Published by Elsevier Ltd.

Please cite this article as: Kang, J.-W., International Journal of Hospitality Management, https://doi.org/10.1016/j.ijhm.2018.10.011

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the ELM they used. High-involvement customers made decisions about booking hotel rooms via the central route.

of the hospitality industry and food service industry. In addition, even though food O2O commerce is rapidly expanding, the study of food buying behaviors in the context of O2O is still insufficient. Food products have specific, characteristics that distinguish them other hospitality and tourism products. For example, food products are consumed on a daily basis and within a short period of time after purchase, and freshness is important. Further, O2O commerce is not a face-to-face transaction between a customer and a seller, but instead is a transaction via technology. Therefore, this study proposed an integrated model combining ELM, which was used to understand customers’ attitudes towards food O2O commerce and purchase behaviors, and the technology acceptance model (TAM), which was adopted to anticipate customers’ behaviors towards new technologies. As the use of information technology on marketing communication has become increasingly important, it is critical to confirm how customers respond to food O2O commerce platform as a channel of persuasive communication. However, there has been minimal research into customers’ decision-making processes in a food O2O commerce context by applying the integration model of ELM and TAM. With this in mind, this research examined factors affecting customers’ intentions to purchase food products using a food O2O commerce platform. The current study focused on: 1) identifying the influence of information quality and source credibility on perceived usefulness and perceived ease of use; 2) examining the effect of perceived usefulness and perceived ease of use on customer trust in a food O2O commerce context; 3) analyzing the influence of customers’ trust on attitudes and intentions to purchase food products; and 4) assessing the moderating effect of customer purchase frequency in the path between information quality, source credibility, perceived usefulness, and perceived ease of use. This research offers not only a theoretical foundation for further research but also practical implications for food O2O commerce marketing communication strategies.

2.1.1. Information quality In the words of Rieh (2002), the quality of information is the degree to which individuals consider the message as current, preciseness, good, and useful. Low quality information increases information-processing costs, time, and effort due to reading useless messages (Gu et al., 2007). However, high quality information benefits both customers who want valuable information on a particular topic and service providers who present the information (Butler et al., 2002; Zheng et al., 2013). Service providers can increase their reputation and positive image by offering high quality information (Butler et al., 2002). Numerous researches have defined information quality as a multi-dimensional concept (Chen et al., 2017; Xu et al., 2013). However, information quality categories (e.g., accuracy, timeliness, adequacy, reliability, etc.) have been presented differently by various researchers, and there is no standardized quality attributes yet. This paper employed Huang et al. (1999)’s approach using four dimensions of information quality: (1) intrinsic, (2) contextual, (3) representational, and (4) accessibility. Huang’s four dimensional concept contains relatively most aspects of information quality and classifies them systematically. Intrinsic information quality is the message’s internal characteristics including accuracy, objectivity, and credibility (Huang et al., 1999; Michnik and Lo, 2009). Contextual information quality is concerned with the quality of information in terms of contextual factors such as time or the context of the task (Herrera-Viedma et al., 2006). Representational information quality is defined as whether the information is interpretable, understandable, and consistent (Michnik and Lo, 2009). Accessibility information quality means the ease with which the sought messages was obtained (Huang et al., 1999).

2. Literature review 2.1.2. Source credibility According to Wu and Wang (2011), source credibility indicates how much the message’s recipient believes in the addresser. It is an important factor in decision making, particularly in an ambiguous online environment (Mak et al., 1997) since the positive nature of the information sender enhances the recipient’s acceptance of the information (Ohanian, 1990). A company or brand’s credibility can decrease expected costs and perceived risk and increase brand choice (Erdem and Swait, 2004). More specifically, trustworthiness and expertness have been proposed by many researchers as the main components of source credibility (Erdem and Swait, 2004; Wu and Wang, 2011). Trustworthiness is described as a person’s perception of confidence in a message sender’s reliability and integrity (Ohanian, 1990). Expertness refers to a person’s belief that the message sender possesses professional knowledge, helpful information, and experience, which will allow the customer to deal effectively with his or her problems (Wu and Wang, 2011). An expert seller induces a considerably higher number of customers to buy products than non-expert sellers (Woodside and Davenport, 1976). This study also included reputation as an attribute representing source credibility together with trustworthiness and expertness. Goldberg and Hartwick (1990) invoked advertiser reputation as one aspect of source credibility. In e-commerce, the reputation of service providers encourages customers to reduce information asymmetry and increases acceptance of e-commerce (Ruohomaa and Kutvonen, 2005). According to Xiao and Dong (2015), a merchant’s reputation reduces information asymmetry in the online commerce market. Further, with the importance of eWOM, an O2O platforms’s reputation could serve as an extrinsic cue that customers can use to judge a message and experience products such as food products (Park and Lee, 2009). Drawn from the literature, this study suggests three sub-factors of source credibility: trustworthiness, expertness, and reputation.

2.1. Elaboration likelihood model The ELM originated in social psychology and utilizes a dual process model to figure out attitude formation, persuasion, or behavioral changes (Petty and Cacioppo, 1986). This model suggests that individual’s attitudes are transformed via two distinct routes: central versus peripheral (Petty and Caccioppo, 1986). In the central route, individuals under conditions of high elaboration settings critically consider issue-related arguments presented in the informational message, including the message’s content, text, and words (Bhattacherjee and Sanford, 2006; Morris et al., 2005). Therefore, the central path requires a lot of cognitive effort to process a message (Zhou et al., 2016). On the contrary, the peripheral route requires relatively less cognitive effort because individuals depend on heuristic cues, such as source credibility, reputation, company size, and general impressions to change their attitudes (Zhou et al., 2016; Wang, 2015). Individuals with low levels of elaboration rely on the peripheral route and changes in attitude usually occur based on simple decision criteria (Petty and Cacioppo, 1986; Zhou, 2012). Source credibility is a peripheral cue in persuasive messages and a determinant of decision making in ambiguous situations (Mak et al., 1997). Despite the importance of the ELM in the field of persuasive communication and its impact on attitude formation and change (Bhattacherjee and Sanford, 2006), relatively few studies using the ELM have been carried out in the hospitality industry. Tseng and Wang (2016) suggested the information quality and source credibility as the factors encourage customers to effectively accept information on travel websites. Yoo et al. (2016) applied the ELM to smart tourism technology and verified the role of information quality and source credibility in determining satisfaction in technology. Their study found that customers’ levels of involvements impacted which of the two routes of 2

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online interfaces do not allow customers to judge whether a vendor is trustworthy in the same ways (Reichheld and Schefter, 2000). Therefore, in order to understand a customer’s purchasing behaviors, it is important to figure out the determinants of trust. When customers perceive an online service as beneficial, they also perceive themselves as highly capable of using the operating system, which leads to trust in the online service (Kim and Kim, 2014). When a system is uncomplicated to use and navigate, users perceive the service supplier as investing in the relationship for the customer’s convenience, which in turn greatly increases trust (Gefen et al., 2003). If a user feels that a technology is too complex to control, then it is difficult to form trust due to increased perceptions of risk (Cho, 2010). Zhou (2012) suggested that ease of use is the attribute of building trust in mobile systems. Thus, it is essential to create an easy-to-use mobile system environment for customers. Gefen et al. (2003) argued that perceived ease of use positively affects trust. Flavián et al. (2006) confirmed that the ease of understanding the system’s structure, interface, and functions offers more trust online system. Hence, this study hypothesized:

2.2. Technology acceptance model The TAM developed by Davis (1989) and measures determinants of technology usage. The TAM considers perceived usefulness and perceived ease of use as important beliefs that lead to technology usage, which influences behavioral intentions, which in turn affects whether people actually perform a behavior (McCloskey, 2006). The TAM has been broadly applied in the context of e-commerce adoption. Yadav et al. (2016) found that perceived usefulness is one of the most important predictors in e-commerce adoption. In addition, perceived ease of use influences technology acceptance, if only weakly. Gefen et al. (2003) suggested an integrated model with TAM and trust in the context of online shopping. In the field of hospitality, Ozturk et al. (2016) applied the TAM to hotels and online travel agencies and identified the significant paths among compatibility, perceived ease of use, and loyalty. Cobanoglu et al. (2015) explored customers’ intentions to use mobile payment technologies in the restaurant industry. Yeo et al. (2017) explored the structural relationship among motivation, usefulness, prior experience, attitudes, and behavioral intentions toward online food delivery services.

H5. Perceived usefulness is positively related to customer trust in the food O2O commerce.

3. Model development and hypotheses

H6. Perceived ease of use is positively related to customer trust in the food O2O commerce.

3.1. Integrated model of ELM and TAM Many researchers consider information quality to be crucial to ELM’s central processing route (Kim et al., 2016). Service providers that offer high quality information to customers are regarded as useful and help customers make better decisions to improve their performance (Saeed and Abdinnour-Helm, 2008). High quality posts and discussions allow customers to not only receive useful information but also get advice on a particular topic (Zheng et al., 2013). Kim et al. (2016) demonstrated that when online shoppers receive higher quality information, they are likely to perceive it as usefulness. Ahn et al. (2007) showed that information quality had a positive impact on perceived usefulness and perceived ease of use. Chen et al. (2014) also contended that the quality of information generated stronger perceived usefulness. In addition, Li (2013) found that when system users receive persuasive messages with higher levels of information quality, they regard the system as useful and easy to use. Therefore, we hypothesized:

3.3. Customer trust, attitudes, and behavioral intentions Several researchers have emphasized the significance of trust as a determinant of a person's attitudes or intentions (Al-Debei et al., 2015; Hsu et al., 2014). Al-Debei et al. (2015) suggested that higher levels of trust increases positive attitudes toward online commerce. Hsu et al. (2014) found that trust in a web site and vendor are significantly associated with a customer's attitude towards online shopping. Thus, this study hypothesized the following: H7. Customer trust is positively related to attitudes toward food O2O commerce As Ajzen and Fishbein (1977) pointed out, an individual who has a favorable attitude towards an action will be more inclined to perform that particular behavior. Rivera et al. (2015) also found that a user’s attitude played a critical role in shaping intention of using mobile apps. Yeo et al. (2017) revealed that positive attitudes towards an online food delivery service lead to intentions to use the service. Chang et al. (2005) and Gupta and Arora (2017) reported that a customer’s attitude has a positive impact on intentions to use in the context of online shopping. Hence we hypothesized (Fig. 1):

H1. Information quality of the food O2O commerce is positively related to perceived usefulness. H2. Information quality of the food O2O commerce is positively related to perceived ease of use. Aderonke (2010) proposed that source credibility impacts perceived usefulness and perceived ease of use. Later, Li (2013) demonstrated that source credibility exerts cognitive and affective responses, such as usefulness and ease of use, in the acceptance of new technology systems. Chen et al. (2014) reported that source credibility had a positive effect on perceived usefulness. Similarly, Kim et al. (2016) found that customers who perceived a source as highly credible experienced greater perceived usefulness in an online shopping environment. Thus, we hypothesized the following:

H8. Attitudes toward food O2O commerce is positively related to behavioral intentions to use food O2O commerce.

3.4. Purchase frequency An individual can vary widely in their ability, motivation, and involvement to elaborate on messages(Bhattacherjee and Sandford, 2006). According to the ELM, if customers are familiar with an online shopping technology and can use it with competency, skillfulness, and knowledge, then they can focus their energy on issue-related information such as scrutinizing the pros and cons of a particular product or service (Garcia-Marques and Mackie, 2001). On the other hand, nonexperts who do not have enough competency, skill, and knowledge are hesitant to process information based on message content. They are less affected by the quality of the information presented and instead tend to concentrate more on source credibility (Lord et al., 1995). Researchers have typically operationalized an individual’s ability as the level of experience with an object (Bhattacherjee and Sanford,

H3. Source credibility of the food O2O commerce is positively related to perceived usefulness. H4. Source credibility of the food O2O commerce is positively related to perceived ease of use. 3.2. Perceived usefulness, perceived ease of use, and customer trust Trust is generally considerably crucial to e-commerce because customers are not able to face the vendor’s face directly, nor physically inspect the goods (Corbitt et al., 2003). Unlike face-to-face interactions, 3

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Fig. 1. A theoretical model. Note-IQ: information quality.

4.2. Measurement development

2006; Larsen and Phillips, 2002). Experience in performing a variety of tasks using technology could facilitate to build a better understanding of the characteristics of the technology (Jasperson et al., 2005). Bhattacherjee and Sanford (2006) stated that experienced users expend cognitive effort to judge the quality and information content of messages more carefully, while inexperienced users depend on peripheral cues. Hackbarth et al. (2003) identified that more experienced technology users tend to regard information systems as easier to use. Rivera et al. (2015) noted that a user’s experience with mobile devices is closely related to perceived usefulness and exerts a positive influence that moderates intentions to use mobile apps. Thus, we hypothesized:

All constructs were measured using 7-point Likert scales (1=strongly disagree to 7=strongly agree). Based on Huang et al. (1999)’s study, information quality was measured using four dimensions: intrinsic information quality, contextual information quality, representational information quality, and accessibility information quality. Each dimension of information quality was evaluated using four items developed by Lee et al.(2002) and Aladwani and Palvia (2002). The construct of source credibility was measured using three dimensions: trustworthiness, expertness, and reputation. Trustworthiness was measured with two items developed by Lichtenstein and Bearden (1989) and Ohanian (1990). Expertness was measured with three items from Ohanian (1990) and Giffin (1967). Reputation was assessed using two items adopted from Nguyen and Leblanc(2001). Perceived usefulness was measured with three items from Gefen et al. (2003) and Crespo et al.(2009). Perceived ease of use was measured with three items drawn from Davis (1989) and Venkatesh and Davis (2000). Trust was assessed using three items adopted from McKnight et al. (2002). Attitude was measure with three items drawn from Davis (1989) and Mitchell and Olson (1981). Behavioral intentions was assessed using three items adopted from McKnight et al. (2002).

H9-1. Purchase frequency moderates the relationship between information quality and perceived usefulness. H9-2. Purchase frequency moderates the relationship between information quality and perceived ease of use. H9-3. Purchase frequency moderates the relationship between source credibility and perceived usefulness. H9-4. Purchase frequency moderates the relationship between source credibility and perceived ease of use.

4. Methodology

4.3. Data analysis

4.1. Data collection

This study used descriptive statistics to profile the respondents’ demographic characteristics and was based on Anderson and Gerbing (1988)’s two-step approach. First, confirmatory factor analysis (CFA) was performed to test the measurement model, and then structural equation modeling (SEM) was performed to verify the proposed hypothesis. The multiple-group analysis was employed to analyze the moderating role of purchase frequency.

The data were collected from food O2O commerce users in Korea in May 2017. Online questionnaires were sent out by an online survey firm to randomly selected respondents who had purchased food products using food O2O commerce within the last three months. Researchers are able to get more detailed and comprehensive answers through online surveys than paper-and pencil surveys (Schaefer and Dillman, 1998). Respondents can freely express their willingness to participate in the survey, which positively affects the quality of the response (Lefever et al., 2007). Online surveys provide convenient access to individuals with specific experiences. A screening item (e.g., what products have you purchased using O2O?) was used to ensure relevant responses. Using this screening item, respondents who selected food from among the various product categories listed participated in the survey. A total of 405 responses were collected; 351 qualified answers were used for the final analysis after 54 were excluded for incompleteness.

5. Results 5.1. Profiles of respondents Table 1 demonstrates detailed respondents’ demographic profile. Of the 351 respondents with valid surveys, 38.7% were male and 61.3% were female. The majority of the respondents were in their 30′s (38.8%), married (64.7%), university graduates (64.7%), office workers (36.8%), and lived in a four person house hold (36.5%). 40.2% of 4

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Table 1 Demographic characteristics of the respondents (N = 351).

Table 2 Reliabilities and confirmatory factor analysis properties.

Variable

Descriptive

N

%

Gender

Male Female 20-29 30-39 40-49 50-59 Married Single High school and below College/University Graduated school and above Student Office worker professional Self-employed Housewife Others < USD 2,000/month USD 2,000-2,999/month USD 3,000-4,999/month USD 5,000-6,999/month USD 7,000-9,999/month ≥USD 10,000/month One person (self) Two persons Three persons Four persons Five persons Six persons or more Baeminfresh Market Kurly Hellonature Goodeats Wingeat Etc.

136 215 79 136 73 63 227 124 57 227 67 22 141 49 32 80 27 21 58 113 90 47 22 27 65 97 128 28 5 171 68 66 41 5 0

38.7 61.3 22.5 38.8 20.8 17.9 64.7 35.3 16.2 64.7 19.1 6.3 40.2 14.0 9.1 22.8 7.6 6.0 16.5 32.2 25.6 13.4 6.3 7.7 18.5 27.6 36.5 8.0 1.7 48.7 19.4 18.8 11.4 1.4 0

Less than 1 times/month 2-3 times/month 1-2 times/week 3-4 times/week 5-6 times/week > 7 times/week

36 109 150 97 26 13

8.4 25.3 34.8 22.5 6.0 3.0

Age

Marital status Education

Occupation

Family income

Household size

Primary usage food O2O commerce

Frequency of buying food product

Construct (Cronbach’s alpha) Factor analysis (level 1) Information quality (0.928) Intrinsic information quality Contextual information quality Representational information quality Accessibility information quality Source credibility (.862) Trustworthiness Expertness Reputation Perceived usefulness (0.841) Perceived usefulness 1 Perceived usefulness 2 Perceived usefulness 3 Perceived ease of use (0.882) Perceived ease of use 1 Perceived ease of use 2 Perceived ease of use 3 Customer trust (0.892) Customer trust 1 Customer trust 2 Customer trust 3 Attitude (0.901) Attitude 1 Attitude 2 Attitude 3 Behavioral intention (0.899) Behavioral intention 1 Behavioral intention 2 Behavioral intention 3 Factor analysis_1 (level 2) Information quality Intrinsic information quality (0.917) Intrinsic information quality 1 Intrinsic information quality 2 Intrinsic information quality 3 Intrinsic information quality 4 Contextual information quality (0.881) Contextual information quality 1 Contextual information quality 2 Contextual information quality 3 Contextual information quality 4 Representational information quality (0.864) Representational information quality 1 Representational information quality 2 Representational information quality 3 Representational information quality 4 Accessibility information quality (0.914) Accessibility information quality 1 Accessibility information quality 2 Accessibility information quality 3 Accessibility information quality 4

respondents purchased food products 2–3 times a month, followed by less than once a month (32.5%), and 1–2 times a week (21.1%). 5.2. Measurement model A CFA was performed to validate the measurement model. Information quality and source credibility were theorized as secondorder constructs. Information quality consisted of intrinsic quality, contextual quality, representational quality, and accessibility quality. Three sub-constructs, trustworthiness, expertness, and reputation, loaded on a second factor, which represents source credibility. The overall fit of the measurement model was good (χ2 = 517.640; df = 188; χ2/df = 2.753; CFI = 0.949; NFI = 0.923; IFI = 0.949; RMSEA = 0.071). All standardized factor loadings were greater than 0.50 at a significance of p < 0.001. Reliabilities of each construct raged from 0.72 to 0.92 in Cronbach’s alpha coefficients, which were higher than the reference value of 0.7 (Nunnally, 1978). AVE for all constructs exceeded 0.50, ranging from 0.653 to 0.835. All composite reliabilities of constructs were above the threshold value of 0.70, ranging from 0.888 to 0.962. These values indicated that convergent validity of the measurement scale was supported (Fornell and Larcker, 1981). Discriminant validity was examined by comparing the squared correlation between a pair of construct with the AVE (Fornell and Larcker, 1981). When the squared correlation between two constructs of interest is lower than the AVE for each construct, there is evidence of discriminant validity (Fornell and Larcker, 1981). As presented in

Standardized factor loadings

Composite reliabilities

AVE

0.962

0.835

0.901

0.698

0.903

0.653

0.936

0.747

0.941

0.761

0.940

0.760

0.888

0.727

0.932

0.917

0.735

0.836 0.852 0.862 0.880 0.959

0.903

0.701

0.862

0.610

0.891

0.673

0.893 0.908 0.916 0.855

0.898 0.728 0.875 0.811 0.785 0.800 0.778 0.905 0.856 0.879 0.845 0.847 0.869 0.901 0.835 0.906 0.890 0.803

0.813 0.830 0.823 0.762 0.952

0.796 0.817 0.721 0.806 0.877 0.813 0.856 0.861 0.871

Factor analysis_2 (level 2)

(continued on next page) 5

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(β = 0.445; t = 3.518, p < 0.001), supporting Hypotheses 1 and 2. Source credibility significantly influenced perceived usefulness (β = 0.535; t = 4.768, p < 0.001) and perceived ease of use (β = 0.322; t = 2.497, p < 0.05), supporting Hypotheses 3 and 4. The effects of perceived usefulness (β = 0.789; t = 8.972, p < 0.001) and perceived ease of use (β = 0.314; t = 5.330, p < 0.001) on trust were significant, supporting Hypotheses 5 and 6. Trust also had a positive effect on attitude (β = 0.781; t = 14.299, p < 0.001), supporting Hypothesis 7. Lastly, the path between attitude and behavioral intentions was significant (β = 0.765; t = 15.063, p < 0.001), supporting Hypothesis 8.

Table 2 (continued) Construct (Cronbach’s alpha)

Standardized factor loadings

Composite reliabilities

AVE

Source credibility Trustworthiness (0.716) Trustworthiness 1 Trustworthiness 2 Expertness (0.875) Expertness 1 Expertness 2 Expertness 3 Reputation (0.865) Reputation 1 Reputation 2

0.998 0.825 0.681 0.696 0.796 0.906 0.810 0.960 0.891 0.859

0.700

0.535

0.874

0.700

0.842

0.728

5.4. The moderating role of purchase frequency

Fit indices. 1) Factor analysis (Level 1): χ2 = 517.640; df = 188; χ2/df = 2.753; CFI = 0.949; NFI = 0.923; IFI = 0.949; RMSEA = 0.071. 2) Factor analysis_1 (Level 2): χ2 = 298.599; df = 100; χ2/df = 2.985; CFI = 0.955; NFI = 0.935; IFI = 0.955; RMSEA = 0.078. 3) Factor analysis_2 (Level 2) : χ2 = 25.350; df = 11; χ2/df = 2.305; CFI = 0.991; NFI = 0.984; IFI = 0.991; RMSEA = 0.061.

This study also examined which path purchase frequency has a greater impact on, the central or peripheral route. To verify the moderating role of purchase frequency, the sample was split into two groups according to purchase frequency. The high purchase frequency group included 237 samples who buy food 2–3 times a month, while the low purchase frequency group included 114 samples who buy food less than once a month. The multiple-group analysis approach using a chi-square differences between the constrained model and the unconstrained model was employed to examined the moderating role of purchase frequency (Jöreskog and Sörbom, 1993; Yang and Forney, 2013). Table 5 shows the chi-square differences to confirm Hypotheses 9-1 through 9-4. There were significant moderating effects on the four hypothesized paths: information quality to perceived usefulness (Δχ2(1) = 26.54) and perceived ease of use (Δχ2(1) = 6.64) and source credibility to perceived usefulness (Δχ2(1) = 26.05) and perceived ease of use (Δχ2(1) = 8.78). The effect of information quality on perceived usefulness (β = 0.804; t = 10.763, p < 0.001) and perceived ease of use (β = 0.635; t = 8.144, p < 0.001) was only significant in the group with high purchase frequency. Information quality had no significant influence on perceived usefulness (β=−0.174; t=−0.962, n.s.) or perceived ease of use (β = 0.028; t = 0.142, n.s.) in the low purchase frequency group. Conversely, source credibility had a stronger impact on perceived usefulness (β = 0.993; t = 4.545, p < 0.001) and perceived ease of use (β = 0.774; t = 3.595, p < 0.001) for the low purchase frequency group than it did for the high purchase frequency group. The path from source credibility to perceived usefulness was not significant (β = 0.013; t = 0.267, n.s.) for the high purchase frequency group. Further, source credibility had a stronger impact on perceived ease of use (β = 0.774; t = 3.595, p < 0.001) in the low purchase frequency group than in the high purchase frequency group (β = 0.163; t = 2.398, p < 0.05).

Table 3 Correlations matrix among the latent constructs. Variables

1.

1. Information quality 2. Source credibility 3. Perceived usefulness 4. Perceived ease of use 5. Customer trust 6. Attitude 7. Behavioral intention

0.914*

Mean SD

2.

3.

4.

5.

6.

7.

0.650

0.835*

0.771

0.592

0.808*

0.727

0.589

0.665

0.864*

0.772 0.780 0.689

0.550 0.554 0.511

0.690 0.671 0.653

0.753 0.658 0.656

0.872* 0.666 0.780

0.872* 0.721

0.853*

4.96 0.798

4.59 0.860

5.07 0.916

5.03 0.883

4.96 0.893

5.14 0.880

5.01 0.978

Note-* The square roots of AVE.

Table 2, discriminant validity of all constructs were statistically supported (Table 3).

5.3. Structural equation modeling The proposed model was estimated using SEM. The proposed model had an acceptable fit indices (χ2 = 603.300; df = 199; χ2/df = 3.032; CFI = 0.936; NFI = 0.908; IFI = 0.936; RMSEA = 0.076). Table 4, shows the SEM results with standardized path coefficient and t-values. Information quality had significant effects on perceived usefulness (β = 0.297; t = 2.849, p < 0.01) and perceived ease of use

6. Conclusions 6.1. Discussions This study examined customers’ information processing in the food

Table 4 Standardized parameter estimates. Hypothesized path

Standardized estimate

H1 Information quality → Perceived usefulness 0.297 H2 Information quality → Perceived ease of use 0.445 H3 Source credibility → Perceived usefulness 0.535 H4 Source credibility → Perceived ease of use 0.322 H5 Perceived usefulness → Customer trust 0.781 H6 Perceived ease of use → Customer trust 0.314 H7 Customer trust → Attitude 0.781 H8 Attitude → Behavioral intention 0.765 χ2 = 603.300; df = 199; χ2/df = 3.032; CFI = 0.936; NFI = 0.908; IFI = 0.936; RMSEA = 0.07

***p < .001, **p < .01, *p < .05. 6

t-value

P

Results

2.849 3.518 4.768 2.497 8.972 5.330 14.277 15.063

0.004** *** *** 0.013* *** *** *** ***

Supported Supported Supported Supported Supported Supported Supported Supported

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Instead, they focus on the food O2O commerce’s reputation and expertness. If customers perceive that a service’s credibility is high, then they tend to trust the products and make purchases.

Table 5 The results of multi-group analysis. Paths

H1. Information quality → Perceived usefulness H2. Information quality → Perceived ease of use H3. Source credibility → Perceived usefulness H4. Source credibility → Perceived ease of use

Standardized estimate

Δχ2 (Δdf = 1)

6.2. Theoretical implications

High group (N = 237)

Low group (N = 114)

0.804***

−0.174

26.54

0.635***

0.028

6.64

0.013

0.993***

26.05

0.163*

0.774***

8.78

χ2 = 979.064; df = 398; χ2/df = 2.460; IFI = 0.916; RMSEA = 0.065. ***p < .001, **p < .01, *p < .05.

CFI = 0.914;

Important theoretical implications to contributes to the theoretical development. First, this study proposed an integrated model combining the ELM and TAM to provide a broad understanding and interpretation of customers’ s behaviors regarding food O2O commerce. It is meaningful to consider both individual’s attitudes of acceptance and information processing, which reflects the characteristics of this technology based marketing channel. Therefore, this extended model could be widely applied to predict customers’ behaviors regarding O2O commerce, as well as other forms of e-commerce and virtual communities related to communication. Second, the ELM is concerned with the possibility that a given variable, respectively, affects the persuasion process in different situations (Petty and Caccioppo, 1986). This study empirically analyzed this by taking into consideration experiential aspects such as purchase frequency or understanding information processing. The results of the study showed that customers rely on different information processing paths depending on their level of purchasing experience. These results deepen the field’s comprehension of the ELM and contribute to planning differentiation marketing strategies by customer segment. Third, most ELM studies dealt with information quality and source credibility as a single dimension (Kim et al., 2016; Wang, 2015). This study measured information quality and source credibility as a multidimensional concept and empirically validated the measures and structural model. Specifically, researchers have presented various attributes to measure information quality (e.g., accuracy, reliability, objectivity, and so on) (Li and Lin, 2006; Chen et al., 2017), but there is no common theoretical basis. The four components of information quality adopted from Huang et al. (1999) reflect the quality of information considering various factors and this multidimensional approach could help to identify the role of information quality in persuasive communications more clearly.

NFI = 0.865;

O2O commerce context applying the ELM and TAM. The aim of this study was to propose a model that integrated the ELM and TAM and empirically test a comprehensive model to explore factors that influence customers’ intentions to purchase food using O2O commerce. First, the findings of this study confirmed the significant relationships among information quality, source credibility, perceived usefulness, and perceived ease of use. Specifically, information quality was found to be a more influential factor than source credibility to improve perceived ease of use. The reason for the relatively low impact of information quality on usefulness is that customers have access to a great deal of information through not only the food O2O commerce platforms but other media such as SNSs or blogs as well. Because customers can easily obtain high quality information, which the source of information is has a greater impact on perceived usefulness. Information overload makes it difficult for customers to select which information to use for decision making. Thus, source credibility plays an important role in enhancing the benefits of a service. Second, this study confirmed that both perceived usefulness and perceived ease of use influence customers’ trust towards food O2O commerce, which is consistent with previous studies (Cho, 2010; Wu and Ke, 2015; Zhou, 2012). The result indicates that customers tend to believe that if a food O2O commerce is built on a useful and convenient system, then it has enough ability to make successful transactions. Third, this study found that trust is an important variable in creating positive attitudes toward services. In turn, favorable attitudes form intentions to purchase food using O2O commerce. This indicates that when customers have confidence in food O2O commerce, they feel a sense of psychological stability, which leads not only to positive feelings but also continuing to use the service and purchase items. Therefore, trust was confirmed as a key determinant affecting attitudes and ultimately influencing behavioral intentions. These results were consistent with prior research (Al-Debei et al., 2015; Rivera et al., 2015). Fourth, this study demonstrated that purchase frequency is a driver for choosing either the central route (information quality) or the peripheral route (source credibility). These results are consistent with the ELM in that information processing paths vary according to the degree of elaboration. In the group with high purchase frequency, information quality had more influence on perceived usefulness and perceived ease of use. On the other hand, in the group with low purchase frequency only source credibility influenced perceived usefulness, and information quality did not influenced perceived ease of use. As the frequency of purchasing increases, the customer accumulates purchase experiences and their ability to evaluate product quality increases. Therefore, customers with high purchase frequency are able to easily understand and interpret the information. But when purchase frequency is low, customers cannot accurately judge product quality using the information provided by food O2O commerce due to lack of experience.

6.3. Managerial implications This research also provide relevant managerial implications for marketing practitioners. First, the results of this study indicate that to improve perceived usefulness and perceived ease of use service providers should offer high quality information. The information provided by food O2O commerce should be accurate, consistent, timely, understandable, and free of technical terms (Ponte et al., 2015). It is necessary to provide up-to-date information by periodically updating product information according to consumption trends. Further, it is crucial to note that food products are experiential goods, which are difficult to evaluate for quality before consuming. Therefore, food O2O commerce should provide not only its own product information but also food reviews by customers to increase accuracy and reliability. Second, food O2O commerce needs to disclose information about the overall operation to customers, such as the product development process, supplier selection criteria, and storage and delivery systems. O2O commerce also needs to present themselves as credible experts in the food service business. In addition, reputation management has become a crucial function over the last decade with the advent of social media (e.g., SNSs, blogs, and virtual communities) as a marketing channel for electronic word of mouth. SNSs should be actively used in marketing to raise awareness of O2O commerce. For instance, to build up a favorable reputation and image and create awareness of O2O commerce, service providers can create fan pages containing photos, videos, or product information. This provides a platform for interacting with both existing and potential customers. Recently, department stores and complex shopping centers have established an alliance with famous 7

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7. Limitations and future research

restaurants as a way to attract customers. Likewise, food O2O commerce also needs to find ways to enhance competitiveness and awareness of their services by launching unique F&B products selected by merchandisers. Third, food O2O commerce requires improving system quality to provide easy and quick purchase experiences, which builds customers’ trust. Faster page load times and easy online payment systems would enhance customer satisfaction and facilitate service usage. Besides, with O2O commerce both the seller and an online platform agent are responsible for introducing good quality F&B products and delivering them to customers. Accordingly, it is necessary to cooperate with sellers to maintain good quality goods and increase overall trust. Fourth, customers showed differences in information processing depending on purchase frequency. Therefore, customers should be segmented according to frequency of purchase and differentiated marketing strategies should be devised. For example, customers with high purchasing frequency should be provided with detailed product information, for examples, country-of-origin and the manufacturing process, as well as visual materials and occasionally recipes. On the other hand, for customers with low purchasing groups, information or data about food O2O commerce providers (e.g., industry ranking, number of subscribers, or sales) to improve the food O2O commerce’s credibility rather than detailed information about the products,

Despite its implications, some limitations of the current study should be discussed. First, this study was performed using a single country and the respondents were from South Korea. Accordingly, there is a limit to generalizing the results of this study to all customers. Future researchers should attempt to replicate and extend the present study in other cultures to assist in establishing the generalizability of the findings. Second, this study included information quality and source credibility as precedence factors affecting perceived usefulness and perceived ease of use. It would be interesting to examine the influence of other central and peripheral cues, for example system quality, service quality, and quality of online reviews. Third, this study measured information quality as measured reflectively by four first-order-dimensions and measured source credibility as assessed reflectively by three first-order-dimensions. Accordingly, it could not examine the individual influence of the sub-dimensions composing information quality and source credibility. It would be meaningful for later research to clarify the distinctive roles of each sub-dimension. Finally, we employed purchase frequency as the variable representing the online shopping experience and ability. However, purchase frequency is not a direct indicator explaining prior experience and ability. Developing and using items to measure a user’s ability would be lead to more accurate results.

Appendix A

Construct

Items

Intrinsic quality Food Food Food Food

product product product product

information information information information

on on on on

the the the the

food food food food

O2O O2O O2O O2O

is is is is

accurate. objective. clear. precise.

Contextual quality The food O2O provides up-to-date information. Food product information on the food O2O is sufficiently timely. Food product information on the food O2O is updated periodically. The amount of food product information on the food O2O is sufficient. Representational quality Food Food Food Food

product product product product

information information information information

on on on on

the the the the

food food food food

O2O O2O O2O O2O

is is is is

easy to understand. presented concisely. presented consistently. presented attractive.

Food Food Food Food

product product product product

information information information information

on on on on

the the the the

food food food food

O2O O2O O2O O2O

is is is is

easily obtainable. quickly accessible when needed. easily retrievable. easily accessible.

Accessibility quality

Trustworthiness The food O2O provides food product information as truthfully as possible. The food O2O provides food product information as honestly as possible. Expertness The food O2O is qualified to sell food products. The food O2O has substantial experience with selling food products. The food O2O is an expert in selling food products. Reputation The food O2O has a good reputation. The food O2O has a better image than its competitors. Perceived usefulness The food O2O would be useful for buying food products. The food O2O would enhance my effectiveness in buying food products.

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The food O2O would enable me to buy food products more quickly. Perceived ease of use I find it easy to get the food O2O to do what I want it to do. My interaction with the food O2O is clear and understandable. The food O2O would be easy to use. Customer trust The food O2O would keep its commitments. The food O2O would be truthful. The food O2O would honestly carries out the task related to the food sales. Attitude I feel good about using the food O2O. I like purchasing food products through the food O2O. I feel favorably about the food O2O. Behavioral intention I would choose the food O2O as a preference to purchase food products. I would be willing to use the food O2O to purchase food products. I would recommend the food O2O to others.

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