The Effects of Perceived Value, Website Trust and Hotel Trust on Online Hotel Booking Intention

Abstract

With the rapid development of information technology in hotel booking context, it is no doubt that many hotels consequently enhance the needs of integrating information technologies into their overall business operations. In this study, we developed a research model which consists of perceived value, trust toward a third party online booking site, and trust toward hotels, and tested it by using partial least square techniques. Survey data were collected from 307 individuals who have prior experiences on making a reservation using third-party online booking sites. Based upon our findings, we found that the perceived value, which was affected by both price and quality, was positively related to individuals' intention to book. We also found that both trust toward third-party online booking sites and trust toward hotels, which was influenced by online review, have positive impacts on individuals' intention to book. The implications of these findings for both research and practice are discussed.

A Study on Bandwagon Consumption Behavior Based on Fear of Missing Out and Product Characteristics

“…Contrasted with the normal assumption that the tendency towards bandwagon consumption is the lowest for this group, Asian international students in this group show the second-highest bandwagon consumption behavioral trend. This indicates those who have a low FoMO are very practical, price-sensitive, and have a risk-free disposition in order to reduce failure probability [68]. Regardless of psychological traits such as belonging to a main group and anxiety of deviation, they, as foreigners and students, seek to be reasonable, risk-aversive consumers within an unfamiliar environment [55,68].…”

“…This indicates those who have a low FoMO are very practical, price-sensitive, and have a risk-free disposition in order to reduce failure probability [68]. Regardless of psychological traits such as belonging to a main group and anxiety of deviation, they, as foreigners and students, seek to be reasonable, risk-aversive consumers within an unfamiliar environment [55,68].…”

Examining Consumers’ Attitudes toward Gmarket Online Shopping

“…Word of mouth is an important factor affecting the consumption before purchase and influences consumers' attitudes [25] (p. 4). The Internet extends consumers' ability to gather information about products and services from other consumers worldwide [55] (p. 4) and provides the consumers with an opportunity to offer consumption-related advice by posting online comments which results into electronic word-of-mouth (eWOM) [25,56]. Any statement, negative or positive, made by actual, potential, or former customers about a company, its products, or services, which can be accessed on the Internet for anybody to read is referred to as the electronic word of mouth [56].…”

“…Retail consumers develop trust perceptions based on their website experience [20,55] or the experiences of their trusted peers [30,55]. Customers post online comments about their experiences with online retailers' websites [55] (p. 4). When online retailers meet customers' expectations, positive eWOM results [25] (p. 4).…”

“…The information provided by similar shoppers is used to judge the product and services quality [30]. Positive online opinions reduce the risk perceived by Internet users when purchasing products or services [55]. Therefore, we hypothesize that: Hypothesis 5.…”