Building Ethical Customer Relations in Electronic Commerce Environment: Dialogic Communication and Making Customers' Expectations Real.
Wu, Ming-Yi
Building Ethical Customer Relations in Electronic Commerce Environment: Dialogic Communication and Making Customers' Expectations Real.
Introduction
Due to the rapid growth of electronic commerce (e-commerce),
organizations can communicate with customers and sell products globally
through Internet channels. Recently, the market of e-commerce is fast
growing. eMarketer (2016) projects that worldwide retail e-commerce
sales, which include products and services, will reach $4.058 trillion
in 2020 and account for 14.6% of total retail spending that year. Pew
Research Center's (2016) research findings also suggested that
roughly 80% Americans are online shoppers. Among these online shoppers,
15% of them purchase online on a weekly basis. In such a competitive
business environment, it is very important for online vendors to build
ethical relationships with customers, in order to retain customers and
increase revenue. Thus, customer relations in the e-commerce environment
has become a current research issue. Researchers (e.g., Burgess &
Karanasios, 2008; Beatty, Relay, Dick, & Miller, 2011; Davis,
Buchanan-Oliver, & Brodie, 1999; Hajli, 2014; Lee, Chu, & Chao,
2011; Wu & Huang, 2015) attempt to explore customer relations and
consumer relations in the e-commerce environment.
In the e-commerce environment, customer relations and consumer
relations are closely related concepts, because of the nature of online
shopping. Different from in-store shopping, consumers in general and
specific online vendors' customers need to face higher level of
uncertainty when shopping online. Either online consumers in general or
customers in specific cannot physically see the products when making
purchases online. In addition, online shoppers need to pay first and
wait for the products being delivered to them. Therefore, it is very
important for online vendors to reduce uncertainties and build trusted
relationships with consumers and customers. Some previous e-commerce
researchers (e.g., Beatty et al., 2011) would use the terms, customer
relations and consumer relations, interchangeably in their research
reports. Beatty et al. (2011) conducted a meta-analysis to investigate
trust issue in e-commerce. They described the process of a generic
e-commerce transaction and argued that "This transaction begins
when a customer navigates to the vendor's Web site. The consumer
will then most likely traverse the vendor's Web site, and browse
the vendor's online catalog. In the course of this navigation and
browsing, he or she will select the items to purchase...The online
transaction requires consumers to disclose a large amount of sensitive
information to the vendor, placing themselves at significant risk"
(Beatty, 2011, 14:1). Because of high level of uncertainties that online
shoppers encounter in the shopping process, the success of e-commerce is
affected by customer trust. They argued that "consumer trust is
essential for the continuing development of e-commerce" (Beatty et
al., 2011, 14:2). In Beatty et al.'s (2011) article which address
the issue of consumer trust in e-commerce web site, customer and
consumer are used interchangeably. It implies that customer relations
and consumer relations are closely related concepts in the e-commerce
environment. Actually, a customer is also a consumer. Therefore, both
terms, customers and consumers, are used in this article. In this study,
the researchers investigate why young consumers choose to shop online
and why they become customers of specific online vendors.
Several previous studies (e.g., Burgess & Karanasios, 2008;
Beatty, Relay, Dick, & Miller, 2011; Davis, Buchanan-Oliver, &
Brodie, 1999; Hajli, 2014; Lee, Chu, & Chao, 2011; Wu & Huang,
2015) were conducted to explore customer relations in marketing,
information management, and e-commerce fields. For example, Davis,
Buchanan-Oliver, and Brodie (1999) conducted a focus group study to
explore relationship marketing in e-commerce environment. They proposed
a trust-based approach which defines the good retailer-customer
relationships in the e-commerce environment. Based on this approach,
on-line retailers need to keep the promises of their customers.
"This promise is defined by the virtual image of
interorganizational service brand held in the customer's mind and
created by their interaction with that brand" (Davis et al., p.
328). The findings of their focus group interviews supported this
research proposition. Davis et al. found that the relationship between
on-line vendors and their customers can be defined by the discrepancy of
two types of cognitive images, the expected virtual experience and
actual real/service-process created experience. Higher levels of
consumer satisfactions result when the actual real service experience
exceeds the expected virtual experience. The high level of satisfaction
can lead to the development of trust and loyalty (customer retention) to
the on-line shopping service.
Internet banking is classified as one type of electronic commerce.
Lee, Chu, and Chao (2011) conducted a quantitative study to investigate
the relationships between service quality, relationship quality, and
customer loyalty in Taiwanese Internet banks. They surveyed 444 young
adults in Taiwan. They found that "crisis handling and
relationships are negatively, and relationship quality and customer
loyalty, and service quality and customer loyalty, positively
correlated". Thus, Lee et al. (2011) suggested that Taiwanese
Internet banks can increase customer loyalty by improving service
quality and relationship quality. Specifically, they suggested that
"if Internet users are unfamiliar with Internet banking face an
uncertain and unsafe transaction model, the main determinant of customer
loyalty for Internet banking providers is the beneficial interactive
relationships in order to gain user trust" (p. 1138). Lee et
al.'s (2011) research findings suggested that building interactive
and trusting relationships with customers is the key for successful
customer relationship management for Internet banks.
Due to the popularity of social media usage, many organizations now
use social media to communicate and maintain relationships with
customers. Thus, social media greatly impacts today's e-commerce
practice. Hajli (2014) conducted a quantitative study to investigate the
impact of social media on consumers and found that social media
positively affect users' trust for a vendor. According to Hajli
(2014), trust is the cornerstone in developing e-commerce. Specifically,
trust is viewed in the context of transactions over the Internet through
social network sites (SNSs) and online communities. Both trust in peers
on the network and trust in the SNSs themselves are important. Hajli
(2014) found that trust in SNSs has positive effects on perceived
usefulness and individual's intention to buy in the e-commerce
environment. He argued that "when potential consumers are
encouraged to trust in vendors by their peers, and also trust in SNS
itself, they are more likely to buy through social networking
sites...Therefore, trust has a significant role in e-commerce by
directly influencing intention to buy and indirectly through perceived
usefulness" (p. 400). Hajli's (2014) research findings
highlight social media impacts on trust building in e-commerce.
Specifically, his research findings suggest that peer influence affect
customers' trust on specific online vendors in the social
environment.
Recently, Wu and Huang (2015) used a quantitative approach to
explore the relationships between justice, performance confirmation,
perceived usefulness, satisfaction, and customers' complaint
intention in B2C e-commerce environment. Wu and Huang developed their
research model by combing Justice Theory (Smith et al., 1999) and
Expectation-Confirmation Model (ECM) (Oliver, 1980; Davis et al., 1989).
They collected online survey data and empirically tested the structural
model. They found that distributive justice and interactional justice
significantly contribute to customer satisfaction and complaint
intentions. They also found that "in the ECM-based components,
confirmation of expectations plays an important role in determining
perceived usefulness and customer satisfaction...Specifically,
confirmation of expectations positively affects perceived usefulness and
further, both significantly influence customer satisfaction" (Wu
& Huang, p. 76). In order words, meeting customers'
expectations is an important factor which affects customer satisfactions
and customer relations in the online environment.
Previous studies (e.g., Beatty et al., 2011; Davis et al., 1999;
Hajli, 2014; Lee et al., 2011, Wu & Huang, 2015) provided some
insights about customer relations in the e-commerce environment.
However, the e-commerce market is continuously changing and growing. In
addition, most of the studies were in the marketing, information
management, and e-commerce fields. It will be noteworthy to explore
ethical customer relations in the e-commerce environment from a public
relations perspective, because ethical relationship is a current
research issue in the PR field. The following section reviews literature
about ethical public relationships in mediated environment.
Literature Review
Ethical Relationship
Ethical relationship is a well-discussed issue in the public
relations field. For example, the conference theme for 2010
International Public Relation Research Conference (IPRRC) is ethical
issues for public relations practice in a multicultural world. What is
ethics? According to Newsom, Turk, and Kruckburg (2004), "ethics
are founds on moral principles that are themselves grounded in
effects" (p. 145). Heath and Coombs (2006) argued that "a
central theme of today's public relations is that to be an
effective communicator requires being an ethical communication" (p.
223). Heath and Coombs (2006) further discussed about the principles for
ethical public relations practices, such as meeting public expectations,
achieving openness as the basics of mutually beneficial relationships,
building and protecting trust, and recognizing and aligning interests.
"The best practice principle is to work toward mutually beneficial
outcomes" (Heath & Coombs, 2006, p. 226). In summary, ethical
organization-public relationships are mutually beneficial and trusting
relationships between an organization and its publics, such as media,
investors, and customers. Because of the advancement of technology and
rapid growth of Internet, organizations need to establish ethical
relationships with their publics in the mediated environment as well.
Therefore, some public relations scholars (e.g., Kazoleas & Teigen,
2006; Kent & Taylor, 1998, 2002) addressed the issue about ethical
public relationships in the mediated environment. The next section of
this paper reviews literature on ethical public relations in mediated
environment.
Ethical Public Relations in Mediated Environment
In the last two decades, the impacts of technology on public
relations have attracted much scholarly attention. Kent and Taylor
(1998; 2002) proposed a Dialogic Theory of Public Relations to describe
ethical public relations in mediated environment. Kent and Taylor (1998)
argued that dialogic communication is like the product of two-way
symmetrical communication. The nature of dialogic communication
emphasizes on a process of negotiated communication between
organizations and publics, and thus, it is considered as an especially
ethical way of conducting public relations. Kent and Taylor proposed
five principles for the successful integration of dialogic public
relations and the World Wide Web. These dialogic principles include the
dialogical loop, the usefulness of information, the generation of return
visit (RV), the intuitiveness /ease of the interface, and the rule of
conservation of visitors.
Similar to Heath and Coombs' (2006) principles for ethical
relationships, the purpose for dialogic communication is to create
mutually beneficial and trusting relationships between organizations and
their publics. Kent and Taylor (2002) further emphasized that the
practice of ethical public relations is to have two-way dialogic
communication rather than one-way monological or manipulative
communication and proposed five features of dialogic communication.
These five features include "mutuality, or the recognition of
organization-public relationships; propinquity, or the temporality and
spontaneity of interactions with publics; empathy, or the supportiveness
and confirmation of public goals and interests; risk, or the willingness
to interact with individuals and publics on their own term; and finally,
commitment, or the extent to which an organization gives itself over to
dialogue, interpretation, and understanding in its interactions with
publics" (p. 25).
Kent and Taylor (2002) argued that organizations can build dialogic
relationships with publics through interpersonal, mediated, and
organizational channels. In terms of building mediated dialogical
relationships, organizations should provide e-mail addresses, web
addresses, and 1-800 telephone numbers to their publics in their
corporate communication materials. Specifically, Kent and Taylor believe
that the corporate Websites can function dialogically rather than
monologically with publics by offering discussions, feedback loops,
places to post comments, sources for organizational information, and
postings of organizational members' contact information.
According to McAllister-Spooner (2009), Kent and Taylor's
(1998; 2002) Dialogic Theory has served as a theoretical framework for
many studies which investigate web-based public relationships in
different types of organizations, such as nonprofit activist
organizations, Fortune 500 companies, colleges and universities,
congressional websites, and litigation public relations firms. For
example, Park and Reber (2008) investigated how Fortune 500 corporations
use their Web sites to build relationships with publics, such as media
publics, consumers, investors, and internal audiences. The results of
their content analysis study suggested that these organizations try to
enhance trust, satisfaction, and openness in their public relationships
by following dialogic principles, such as providing useful information
on their Web sites. Park and Reber concluded that corporations need to
utilize their Web sites effectively with an understanding of the
capacity to promote dialogue in order to develop mutually beneficial
relationships with multiple publics.
In addition to Kent and Taylor's (1998; 2002) Dialogic Theory,
Kazoleas and Teigen's (2006) Technology-Image Expectancy Gap Theory
also focuses on technology and public relations. This theory suggests
that the marketing and media coverage of technological advances create
unrealistic expectations about organizations' abilities to meet
their stakeholders' needs. The unrealistic expectations can lead to
crises or reputation damage if the organizations' performance
cannot meet the stakeholders' expectations. Thus, organizations
have to close the expectancy-reality gap by carefully monitoring their
stakeholders' expectations about their products and services and
communicate with their target audience through modern technology without
creating unrealistic expectations.
Kazoleas and Teigen (2006) also analyzed how modern technology
changed the characteristics of communication when discussing the
technology-image gap. They argued that technology has created four major
changes in business communication. First, business communication moves
from few-to-many communication to many-to-many communication. With the
help of modern technology, smaller organizations can possibly present
themselves as bigger organizations in the mediated environment. Second,
there is a shift from producer-driven communication to receiver-driven
communication. As a result, consumers become more demanding and more
difficult to be satisfied. Third, communication becomes more
access-driven because internet users can retrieve specific information
from the Web quickly. Organizations must provide the information which
their stakeholders want in order to satisfy their information needs.
Fourth and finally, organizations are able to personalize the
communication through Web-based communication. Because of these
technological changes, a new term, net relations, emerges. According to
Kazoleas and Teigen, "Net relations is the management of
relationships between an organization and all its relevant publics
through the use of the Internet and the Web technology'' (p.
422). Net relations combines direct marketing and public relations to
deliver messages to the target audience.
Both Kent and Taylor's (1998; 2002) Dialogic Theory of Public
Relations and Kazoleas and Teigen's (2006) Technology-Image
Expectancy Gap Theory focus on technological impacts on
organization-public relationships. However, neither of them has been
applied in previous studies which investigate ethical customer relations
in e-commerce environment. In order to close this gap, the present study
aims to explore customer relations in e-commerce environment and examine
the applicability of existing public relations theories (Dialogic Theory
of Public Relations and Technology-Image Expectancy Gap Theory) in
e-commerce environment. A research question is proposed:
RQ: What are the keys for building ethical customer relations in
electronic commerce environment?
Methods
Nine structured focus group interviews (with IRB approval) were
conducted with 69 (31male; 38 female) young consumers (mean age=20) in
the United States. Structured focus group interviews were conducted
because standard interview questions were used by the researcher and the
researcher's graduate assistant. No matter whether the researcher
or the researcher's graduate assistant conducted the focus group
interviews, they asked the participants the same questions by following
the interview guide. Participants were college students in a mid-west
public University in the United States. The university is located in a
college town. College students were chosen as participants because
previous literature (e.g., Huang, Jung, & Salvendy, 2006; Lightner,
Yenisey, Ozok, & Salvendy 2002; Wu, 2013) suggested that college
students are the most active Internet users and on-line shoppers.
Convenience-sampling methods were used to recruit participants. The
researchers' colleagues helped the researcher recruit participants
by offering extra credits to their students. College students (young
consumers) who are interested in on-line shopping signed up for
participation. These nine structured focus group interviews lasted
approximately from 1 hour to 1 hour and half. The researcher and one of
her graduate research assistants conducted these nine focus group
interviews. The group size ranges from 6 participants to 10
participants.
The researcher arranged the focus group interview questions by
using the funneling concept. Krueger and Casey (2009) suggested
researchers arrange focus group questions with care. According to
Krueger and Casey (2009), "the most common procedure is to go from
general to specific - that is begin with general review questions that
lead to more specific questions of critical interests. "The
funneling concept is to move the discussion from broad to narrow or from
general to specific" (p. 57). By using the funneling sequence, the
researcher can better engage with participants. The participants were
asked the following questions. First, the participants were asked to
talk about why they choose the on-line channel to shop. Second, the
participants were asked to explain why they choose to shop from a
specific on-line vendor. Third, the participants were asked to express
their views about what on-line vendors can do to establish good and
ethical relationship with new customers. Fourth, the participants were
asked to tell the researcher about what on-line vendors can do to
maintain good and ethical relationship with existing customers. Finally,
the participants were asked to tell the researcher how they determine
whether they trust an on-line vendor or not. The focus group interview
process stops until the point of saturation. According to Krueger and
Casey (2009), "saturation is a term used to describe the point
where you have heard the range of ideas and aren't getting new
information" (p.21). The research stopped conducting more
interviews after she finished the 9 focus group interviews, because
participants in different groups have expressed similar points of views
and no new information could be gathered.
All of the focus group interviews were tape recorded with
participants' agreement. Then, the researcher and the
researcher's research assistant transcribed the results from the
tape. All transcripts were read holistically by the researcher in order
to identify themes and interesting quotes. Then the marked transcripts
were read a second time in order to compare across individuals and
groups. When the researcher analyzed the focus group interviews, she
looked for patterns and themes across groups, as suggested by Krueger
and Casey (2009). Based on the interviewing results, a number of
interesting results were found. The following section of this paper
summarizes the major findings for each question asked in the interview
process and discusses the theoretical and practical implications from
the results.
Findings and Discussion
Reasons for Shopping On-Line
The focus group interviews started from a more general question:
"There are different channels for you to shop, such as Internet
(on-line channel), catalog shopping, and shopping at stores. Why do you
choose to shop on-line?" Several participants mentioned that they
choose to shop on-line because it is convenient. For example, a male
participant mentioned, "It's more convenient. You don't
have to leave your house. Sometimes, some stores are not in your area.
You need to shop on-line to get what you want". In another focus
group session, a female participant said, "I am too lazy to go to
the store. It's easier for me to shop on-line". Some other
participants mentioned that they shop on-line for economic reasons. For
example, a female participant mentioned that "I want to save the
gas. Gas price is very high right now". A male participant said,
"Sometimes, it is cheaper. There are on-line only deals". A
female participant echoed and said, "I agree. They give you online
coupons all the time".
In addition to convenience and economic reasons, several
participants mentioned that having more varieties of products is the
reason for them to shop on-line. A female participant said, "I shop
at Victoria's Secret a lot. They only have underwear and sleepwear
in their store. If you want to buy sweaters, dresses, or shoes from
them, you need to shop on-line". Another female participant agreed
and said that "Yes. There are broader varieties. Even for panties,
some of them are only available on-line. I did not see them at
Victoria's Secret's stores".
Another reason for the participants to shop on-line is that on-line
vendors can customize the advertisements, products, and communication to
meet each customer's needs. Specifically, they thought the social
media advertisements and chat function are very helpful. A female
participant said, "I saw advertisements on Facebook that is exactly
what I want. I Googled for sunglasses few days ago. Then, what I Googled
for immediately showed up on my Facebook page. I clicked it and bought a
pair of sunglasses. I got what I need". Another female participant
said, "there is chat function on the website. When I shopped for
make-ups online, I can chat with somebody and ask questions. The chat
function helps me to find the right product". These
participants' answers support Kazoleas and Teigen's (2006)
argument that organizations are able to personalize the communication
with publics through Web-based communication. On-line shoppers may also
become more demanding and expects personalized communication.
Reasons for Shopping from A Specific On-Line Vendor
The researcher also asked the participants about the reasons why
they choose to shop from a specific on-line vendor. The findings suggest
that there are various reasons for consumers to choose to shop from a
specific on-line vendor. Several male participants mentioned that they
choose to shop from eBay because they ask customers specific questions
during the shopping process to make sure that customers order the right
items. A male participant said, "I shop at eBay a lot. They asked
me a lot questions when I was shopping. They want to make sure that I
bought the right item and do not have to ship it back. Like shoes, there
are different widths. I was asked what's the width I need".
Another male participant followed and said, "They try to help you
make the right decision at the first time by asking specific questions.
But, they also let you know how to ship it back if you don't like
it". Several other participations said they feel the online reviews
at Amazon are helpful for them to make purchase decisions. For example,
a female participant said, "I often buy things from Amazon.com.
They sell a variety of products, pretty much everything... When I buy
books there, I take a look at reviews. These reviews are helpful. Well,
I can also review the product and post my comments there. It's good
to know how other people think about the product". What these
participants said seem to support Kent and Taylor's (1998; 2002)
dialogic principles of web design because these young consumers expect
two-way communication with the vendor and other customers when they are
ordering products on-line. They prefer on-line vendors ask them
questions about product details in order to make sure that they order
the right items and would like to find useful information about how to
return products if needed.
Some participants' answers seem to support the assumption of
the Technology-Image Expectancy Gap Theory that making customers'
expectation real is essential. Participants mentioned that they prefer
to shop from a specific on-line vendor because the vendor makes their
expectations real. For example, a male participant said:
They need to make my expectations real. It would be great that if they
let me know if there is a delay of delivery. I ordered a pair of gloves
from East Bay. Somebody called and told me that the product is a back
order. If I pay now, I may need to wait one or two weeks. He asked me
whether I want to wait or order something else. I told him I'll wait.
It's good. Some companies just let you wait forever.
A number of participants mentioned that they choose to continuously
shop from a specific on-line vendor because they can get something which
exceeds their expectations. A female participant said that "I got
something extra which exceeds my expectations from Victoria's
Secret. For example, I got panties as free gifts even I did not order
them." Another female participant said, "I have good
experiences, too. When I ordered something from Amazon, I got coupons
for next purchase and free bookmarks. It's always good to get
something exceeding my expectation". These participants'
answers support Davis et al.' (1999) argument that higher levels of
customer satisfaction result when on-line shoppers get services or
products which exceed their expectations.
The combination of the Dialogic Theory and Technology-Image
Expectancy Gap Theory explains parts of the reasons why the participants
choose to shop from a specific on-line vendor. However, there are other
reasons. First, getting a good price is important for young consumers. A
male participant said, "I shop where they have sales". A
female participant echoed and said, "Yes. I like coupons and
discounts". Second, the vendor's reputation helps consumers to
make the decision. A female participant said, "They need to have a
good reputation and treat their customers right". A male
participant said, "I think Best Buy has a very good reputation. I
had good experiences shopping at their stores before. Since there is no
Best Buy around, I shop at bestbuy.com". Another male participant
said, "I Google when I need to buy something on-line. I choose to
shop at the first few sites which pop up. The first few pop-ups are
usually well-known and have better reputations". Third, peer
influence is another reason for participants to choose from a specific
site. A female participant said, "I shop from the site my friends
recommend.". Another female participant in that group agreed and
said, "I do, too. I trust my Facebook friends'
recommendations. Before I decide to shop at a site, I may ask my
Facebook friends for recommendations, especially when I need to buy
something which is more expensive". These participants'
answers suggest that peer influence affects consumers' online
shopping behaviors. Specifically, some consumers would ask their social
media friends for recommendations.
Customers' Expected Relationship Building Strategies
After asking few general questions, the participants were very
engaged with the discussions about on-line shopping. Then, the
researcher asked the participants a more specific question: "From a
customer's point of view, what can an on-line vendor do to
establish good and ethical relationships with new customers?"
Interestingly, many participants mentioned that they expect the vendors
give first time shoppers special discounts. A female participant said,
"Bargains. Some sites give first time shoppers discounts. If there
competitors do give me first time shopper's discounts, I would
expect them give it to me". Another female participant echoed and
said, "Yes. Both Amazon.com and Barnes Nobel sell books. I just buy
from the cheaper one or the one gives me coupons or discounts".
These participants' answers extend the Technology-Image Expectation
Gap Theory. Kazoleas and Teigen's (2006) argued that corporations
should carefully monitor their stakeholders' expectations about
their products and services. The e-commerce environment is now very
competitive. Customers can quickly gather product and price information
on the web from different vendors. Therefore, on-line vendors may also
need to know how their customers' expectations are affected by
their competitors' special discounts and offers.
Several participants also mention that the vendor should make
customers' expectations about product quality real by providing
useful information. A male participant provided an interesting example
and said,
They need to meet my expectations. I bought a diamond pendent for my
girlfriend on-line. It was a Valentine's Day gift. The diamond looked
big and glorious on the site. But, when I got it, it was tiny, little.
Obviously, they enlarged it. I thought it's unethical to give customers
false expectations. It would be better if they told me that the picture
is enlarged.
A female participant agreed and said, "Sometimes, pictures are
misleading. They need to provide detailed product information, too.
There are different materials for clothing, like cotton, wool. They need
to provide such information". These participants' answers
support Kent and Taylor's (1998) Dialogic Theory that Websites
should provide useful information to publics. Specifically, on-line
shoppers cannot personally see the products or physically touch the
products when they shop on-line, they need accurate information and
detailed descriptions about the products.
Some participants expect the on-line vendor give them good first
impression in the very beginning. A female participant said, "They
need to send me the right product the first time. I don't want to
pay the postage and waste my time and energy to send the wrong product
back".
Then, the researcher asked the participants another question:
"What can an on-line vendor do to maintain ethical relationships
with existing customers?" Some participants' answers were
similar to the previous questions. For example, a female participant
said, "The same. They need to meet my expectations. Give me a good
price, a good product, and ship the item to me on time. It is not
broken. It does not take too long". Some participants stated the
importance of confirmation from the vendor. A female participant said,
They need to send me confirmations through email after I place an
order. I want a confirmation for each order I placed on-line. I want to
know the order went through and I should be able to get the items soon.
I can track the shipment after receiving the confirmation.
Some participants mentioned the importance of continued
communication between vendors and customers. For example, a male
participant said, "Continuously give me good deals. They can
continuously send me product information and coupons through emails. We
are cheap. We don't want to pay extra". Another male
participant said, "They can keep sending me coupons from time to
time, like birthday discounts". Similarly, a female participant
said, "Yes. They can email me the on-line coupons and sales
information". A male participant said, "I like product
recommendations. Amazon recommends products to me all the time. They
send me emails. If I like the recommendation, I'll buy".
Interestingly, some participants have opposite views about
continued communication from on-line vendors. For example, a female
participant said, "They should give me the choice to remove myself
from their email list. I suffered from information overload every day. I
already have too many emails". Another female participant in that
group agreed and said,
I hate junk mails. I got a bunch of junk mails every day. Once you buy
something from a site, they continuously send you junk mails almost
every day and saying so and so discount will end in the next 3 days or
next 2 days. It's annoying. My boyfriend has a separate account for
on-line shopping. Anyway, I don't want to be bothered, either.
It seems that some participants would prefer continued
communication. However, not everybody does. Therefore, on-line vendors
should respect consumers' choice to be communicated or not. This
finding supports Kent and Taylor's (2002) argument that the
dialogic communication system should have rules governing the
opportunity for beginning, maintaining, and ending interactions. If
consumers expect and welcome continued communication, on-line vendors
can continuously communicate with them. If consumers prefer NOT to be
communicated after a purchase is done, on-line vendors should also
respect their choice and end the continued communication.
Many participants also mentioned the importance of dialogic
communication if there are problems with the product. A female
participant said,
They need to make sure that clothes and shoes fit. If they don't fit,
they have to tell me how to return or exchange in a timely fashion. You
cannot try the clothes on when you shop on-line. If the size does not
fit, I need to contact them. I have called a 1-800 number with nobody
answering it. I will never shop at that site again.
Another female participant seemed to have a more positive
experience and said, "They need to answer emails in a timely
manner. Let me give you an example. I accidentally ordered a jacket
twice. I don't need two. I emailed the site. They replied my email
and canceled the second order. I feel good about that site".
Another female participant's answer also support the importance of
dialogic communication:
I think the chat function helps. I want to chat with the customer
service representative when I shop on-line. It's like the on-line
discussion when we take on-line courses. They reply your email
immediately if you have questions. It's easier than calling them. Some
sites have the chat function. Some sites don't. I prefer to shop at the
site with the chat function.
A male participant said, "Send me emails if there is a delay
of delivery. I don't have much patience. If I expect to get
something in the next 3 days, I don't want to wait for 1 week for
something I ordered".
The findings suggest that the combination of Kazoleas and
Teigen's (2006) Technology-Image Expectancy Gap Theory and Kent and
Taylor's (1998; 2002) Dialogic Theory of Public Relations helps to
explain young consumers' expected relationship building/maintaining
strategies in e-commerce environment. On-line vendors need to make
customers' expectations about products and delivery time real and
give consumers a very good first impression. On-line vendors also need
to follow the dialogic principles of Web site design and provide
consumers two-way communication channels. If there are problems of the
products, consumers know how to contact the vendor and solve the
problem. On-line shopping is different from on-site shopping because
consumers cannot physically touch the product or try the product on. It
is possible that consumers will need to return or exchange the clothing
type of products if the size does not fit. Therefore, on-line vendors
should provide multiple customer support channels, such as 1800 customer
service phone numbers, customer support email address, and chat function
in their social media sites, to their consumers. They also need to make
sure that they actually respond to their consumers in a timely manner.
Factors Affecting On-Line Trust
By the end of the focus group interview, the researcher asked the
participants a question regarding on-line trust: "How do you
determine whether you trust an on-line vendor or not"? The most
popular answer for this question is related to the security issues. For
example, a male participant said, "I'll trust a site if they
have a security lock that protects from identity theft. It's a
little icon at the bottom of the right hand corner". A female
participant agreed and said, "They have to make sure that the
confidentiality with my account is closely guarded. Nobody wants their
account information out there for any jerk to use". Another female
participant said, "Yes. They need to maintain their privacy policy.
Confidentiality helps, especially with credit card information".
In addition to the security issue, some participants mentioned the
importance of other people's opinions. A male participant said,
"I look at reviews and ratings". A female participant agreed
and said, "Yes. Other customers can rate the site and the product.
I will take a look at their comments". Another female participant
said, "Sometimes, you listen to a friend who is familiar with a
site". These participants' answers suggested that peer
influence do affect consumer trust in the e-commerce environment. This
finding supports Hajli's (2014) argument that peer influence
affects consumers' trust toward online vendors in the social
commerce environment. Few participants mention the importance of quality
of website design. For example, a female participant said,
The design of the website must be professional and organized. I will
not shop from a poorly organized site because it looks untrustworthy. I
feel I may not get the proper item I ordered. The shipment may be late
or never come. I may even have problems returning the product if I need
to exchange size or color. Anyway, the site must be organized and
provide me good information about the company and the products.
Another female participant agreed and said, "I think so, too.
I want to find the items I want or something similar as soon as
possible. I don't want to shop from a disorganized site. I
can't find something I want if the site is disorganized".
These participant's answers seem to support Kent and Taylor's
(1998) dialogic principles of website design, such as ease of interface
and usefulness of information.
Conclusion
By collecting data from focus group interviews, this study has
explored ethical customer relations in e-commerce environment.
Organizations communicate with a variety of publics, such as government
officials, media, investors, and customers. Customer relations is one
type of organization-public relationships. Therefore, it would be
noteworthy to know whether the general technology and public relations
theories can be applied to specific customer relations in the e-commerce
environment. The findings of this study suggested that Kent and
Taylor's (1998; 2002) Dialogic Theory of Public Relations and
Kazoleas and Teigen's (2006) Technology-Image Expectancy Gap Theory
can be applied to explain ethical customer relations in e-commerce
environment. The findings of this study support the applicability of
existing public relations theories which focus on technology and public
relationships.
In addition to the theoretical contributions, there are also
practical implications from this study. The results of this study can
help on-line vendors understand their customers' expectations about
their website design, their products, and their services. With better
understanding about customers' expectations, online vendors can
establish and maintain mutually beneficial and trusting relationships
with customers. As Heath and Coombs (2006) suggested, ethical
relationships are mutually beneficial and trusting relationships. The
researcher would like to make some suggestions to the online vendors.
First, the researcher would suggest on-line vendors provide accurate and
detailed product information on their websites, in order to make
customers' expectations about product quality real. Second, the
researcher would recommend the online vendors to provide places for
their customers to rate their products and write product reviews in
their websites and social media sites. By doing so, customers can know
more about product details not only from the online vendors, but also
from other customers. Apparently, today's e-commerce becomes social
commerce (Hajli, 2014). Third, on-line vendors should incorporate
dialogic principles of Website design and allow customers to communicate
with them through multiple channels if customers have questions. Many
online customers expect quick responses from online vendors through
multiple channels, such as phones, emails, and chat function in online
vendors' website.
Limitations and Suggestions for Future Studies
Although there are a number of theoretical and practical
contributions, this study has limitations. The combination of the
Dialogic Theory (Kent & Taylor, 1998; 2002) and Technology-Image
Expectancy Gap Theory (Kazoleas and Teigen, 2006) helps to explain
customers' expected relationship building strategies from on-line
vendors. However, when participants were asked about on-line trust, many
of them mentioned the privacy and security issues. The privacy and
security issues have not been fully addressed by these two existing
public relations theories. Although Kent and Taylor (2002) identified
risk as one of the five features of dialogic communication, they did not
provide specific strategies for reducing risk and increasing trust.
Future studies may further investigate such issues which may greatly
affect consumer trust in e-commerce environment. New theories may be
developed to address the security and trust issues in mediated
environment.
This exploratory study serves as the first step to understand
customer relations in e-commerce environment based on young
consumers' perspective in the United States. However, consumers
from other generations or different cultures may have different points
of view. Future studies may interview consumers from different
demographic groups in different cultures, and compare the findings with
the present study. The electronic commerce market is rapidly growing in
different parts of the world. Building ethical customer relations in
e-commerce environment will continuously be an important research issue.
* An earlier version of this paper was presented at International
Public Relations Research Annual Conference, Miami, FL. The researcher
thanks Dr. Maureen Taylor, University of Tennessee, for her suggestions
on an earlier version and Meghan Mclaughlin for her assistance of
transcribing the focus group interviews. This project was sponsored by
Wayne Thompson Distinguished Professorship Grant, Western Illinois
University.
Correspondence to:
Ming-Yi Wu, Ph.D.
Faculty, Northeastern University
360 Huntington Street
Boston, MA 02115
Email:
[email protected];
[email protected]
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(7/1/2018)
Ming-Yi Wu
Northeastern University, USA
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