Examining The Mediating Effect of Word-Of-Mouth on The Relationship Between Customer Experience, Effort Expectancy and Customer Trust in E-Commerce
Millions of internet users visit online shopping sites on a daily basis, but only a few of them complete a transaction. A large number of internet users are left as non-participants in e-commerce and may abandon the purchase completely. There is therefore, a need for online retailers to build sustainable relationships with customers to ensure the sustainability and profitability of their businesses. The purpose of the study was to examine the mediating effect of word-of-mouth on the relationship between customer experience, effort expectancy and customer trust in e-commerce using the Stimulus-Organism-Response (S-O-R) approach, and the moderating effect of preferred payment method on the relationship between word-of-mouth and customer trust. A random sampling technique was used to identify 100 online shoppers and data were collected using structured questionnaires. Descriptive statistics and Structural Equation Modeling were applied in data analysis. Results revealed that both customer experience and effort expectancy have significant impact on word-of-mouth, which in turn, has a significant effect on customer trust. Preferred payment method significantly moderated the relationship between word-of-mouth and customer trust. Word-of-mouth plays a prominent role in assisting online retailers to build trust between themselves and their customers. These retailers should create enjoyable experiences through their user-friendly websites to encourage customers to spread positive word-of-mouth, which in turn, will attract other customers and retain them.
Index Terms- Customer Experience, Effort Expectancy, Word-of-Mouth, Customer Trust, E-commerce