Influences of online store perception by Pedro D.

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Journal of Retailing and Consumer Services 14 (2007) 95–107 www.elsevier.com/locate/jretconser

Inﬂuences of online store perception, shopping enjoyment, and shopping involvement on consumer patronage behavior towards an online retailer$ Jihyun Kima, , Ann Marie Fioreb, Hyun-Hwa Leec a

Virginia Polytechnic Institute and State University, 111 Wallace Hall, Blacksburg, VA 24061, USA b Iowa State University, 1062 LeBaron Hall, Ames, IA 50011, USA c Bowling Green State University, 206 Johnston Hall, Bowling Green, OH 43403, USA

Abstract Online apparel retailers have adopted various types of image interactivity technology (IIT), such as close-up pictures or zoom-in functions, mix-and-match functions, and 3D virtual models to enhance consumers’ online shopping experience. The purpose of the present study was to examine the inﬂuence of level of IIT on consumer perception of online retail environment, shopping enjoyment, shopping involvement, a desire to stay, and patronage intention. Signiﬁcant structural relationships between these research variables were found, supporting a pleasure-oriented conceptual model of consumer patronage behavior in the online retailing environment. Theoretical and managerial implications are discussed. r 2006 Elsevier Ltd. All rights reserved. Keywords: Interactivity; Virtual model; Online retailer; Shopping enjoyment; Patronage behavior

1. Introduction Even though online sales still represent a small segment of overall retail sales, online sales are growing rapidly (DesMarteau, 2004). US Department of Commerce reported that the e-commerce sales estimate in the third quarter of 2005 increased 26.7% from the third quarter of 2004 and 2.7% from the second quarter of 2005 (Quarterly retail e-commerce sales, 2005). Apparel became the second largest online product category with $6 billion in sales in 2003, which is doubled from the sales in 2001 (United States Department of Commerce, 2003, 2005). Online sales of apparel grew by 54% in 2003, eclipsing the growth rates of online stalwarts such as books, music, videos, software, and hardware (Marlin, 2004). Hence, with apparel sales burgeoning, understanding the impact of image interactiv$ This research was partially funded by Iowa State University’s College of Family and Consumer Sciences Research Incentive Grant. Corresponding author. Tel.: +1 540 231 6177; fax: +1 540 231 1697. E-mail addresses: jhkim@vt.edu (J. Kim), amﬁore@iastate.edu (A.M. Fiore), leeh@bgnet.bgsu.edu (H.-H. Lee).

ity technology (IIT) on an apparel firm takes on more significance. Steuer (1992) defined interactivity as the ‘‘extent to which users can participate in modifying the form and content of a mediated environment in real time (p. 84).’’ Interactivity of a Web site may offer a wide range of benefits to customers and marketers including facilitated communications, customization of presented information, image manipulation, and entertainment (Fiore et al., 2005a). Moreover, the interactive nature of Web sites has been credited with positively affecting consumer responses, including increasing the desire to browse and purchase online (Fiore and Jin, 2003; Fiore et al., 2005a, b; Gehrke and Turban, 1999; Lee et al., in press; Mathwick, 2002). In the present study we focus on one aspect of IIT employed by Internet apparel retailers, the 3D virtual model, which provides the ability to manipulate presentation of an apparel product or combinations of products on a virtually created body on a Web site. This IIT method allows the viewer/shopper to view the garments from various angles or distances (Fiore and Jin, 2003). IIT offers an innovative way to present the product, articulate product attributes, and simulate product

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experience in a virtual world. The level of interactivity offered by IIT varies by technology used. A single 2D pictorial image of the product that is clicked to enlarge the image provides the user with a low level of interactivity, whereas a mix-and-match feature or zoom-in function, which allows the user more control over the manipulation of the product image, offers a higher level of interactivity. A relatively new form of IIT, 3D virtual model technology, offers an even higher level of interactivity. This form of IIT allows the customer to view a combination of products on the body and from different angles and distances. Research shows that 3D virtual product presentations provide a stimulating experience due to vivid sensory information and the psychological sensation of being present in the online environment (Li et al., 2001). The ability to simulate trying the product on one’s body using a 3D virtual model may also be an important interactive feature for apparel Web sites because consumers frequently state the inability to try on the product leads to hesitation to purchase apparel online (Abend, 2001). According to Sam Taylor, vice president of e-commerce for Lands’ End, virtual model technology used on Landsend.com contributed to a 34% increase in conversion rate of shoppers to buyers and more apparel purchases (DesMarteau, 2004). Various apparel retailers have adopted this virtual model technology to enhance the online shopping experience. Currently, Lands’ End, Sears, L.L. Bean, Adidas, Speedo, H&M, and iVillage utilize My Virtual ModelTM technology on their Web sites (Go shopping, 2005). For example, one of the largest online apparel retailers, Lands’ End, claimed that the updated version of My Virtual ModelTM that allows customers to use their speciﬁc body measurements when creating the virtual model makes shopping for

Lands’ End apparel online even easier and more accurate by providing size recommendations (Lands’ End, 2004). Researchers found that simple technologies providing interactivity have positive effects on consumer responses (Klein, 2003; Schlosser, 2003). However, the present researchers propose advanced IIT, providing a higher level of image interactivity, will promote more positive consumer responses than does lower level IIT. Hence, the present study will compare the relative effect of level of IIT, with virtual model technology (described above) as a high level of IIT and enlargement of front views of products as a low level of IIT, on approach responses (e.g., desire to stay, patronage intention to an online retailer). In the next section we will discuss relationships among research variables and propose a conceptual model. Fig. 1 displays the proposed conceptual model of online patronage behavior suggesting relationships among research constructs. 2. Conceptual background 2.1. Effects of IIT on shopping enjoyment, store environment, shopping involvement, and approach responses In line with the stimulus–organism–response (S–O–R) model, which poses that the environment (S) inﬂuences an individual’s affective and cognitive experiences (O) that mediate approach/avoidance responses (R; e.g., desire to stay) towards the environment (Bitner, 1992; Donovan and Rossiter, 1982; Mehrabian and Russell, 1974), IIT of a retail Web site may inﬂuence cognitions and affect that have an impact on approach responses. In particular, the use of IIT features on a Web site may signal a change from

Online Shopping Enjoyment H1-a (+)

Level of Image Interactivity Technology (IIT)

H1-b (+)

H3-a (+) H2-a (+)

Desire to Stay at an Online Store

H1-d (+) H2-c (+)

Online Store Perception

H4-a (+)

H1-c (+)

H2-b (+)

H3-b (+)

H5 (+)

H1-e (+)

Online Shopping Involvement

H4-b (+)

Fig. 1. A theoretical model predicting online retailer patronage behavior.

Patronage Intention towards an online store

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a myopic focus on the needs-driven, rational consumer to include one who seeks (hedonic) experiential aspects of consumption, which consist of sensory pleasure, satisfying emotional experiences, mental play, and fantasies according to Hirschman and Holbrook (1982). Mental play and fantasies may generate an emotional (affective) experience (Fiore and Yu, 2001); in the present case affective experience is generated during mental play when coordinating product images using the IIT feature. The affective experience involved in the consumption process may be effectively represented by two dimensions, arousal and pleasure (Donovan and Rossiter, 1982; Holbrook, 1986; Mehrabian and Russell, 1974). Arousal refers to the degree to which one feels stimulated, excited, or alert in the situation, whereas pleasure is the evaluative dimension of affect referring to the degree to which one feels good, happy, or satisfied (Mehrabian and Russell, 1974). The process of trying garments on a 3D virtual model may provide both affective experience dimensions. Creating attractive, novel, or complex ensembles to one’s liking may generate arousal and pleasure. Reflecting on the seminal work of Berlyne (1971), Fiore et al. (2005a) proposed the created ensembles offer order, novelty, and complexity of aesthetic elements, which lead to stimulation and positive affective responses. Novelty of new IIT, similar to novelty of mass customization technology (Fiore et al., 2004), may also result in emotional arousal and pleasure. A recent study also found a direct effect of environmental cues (e.g., high or low task relevant information) from an online shopping Web site on consumer affective response (e.g., pleasure) (Eroglu et al., 2003). Moreover, interactivity of a Web site, in general, is seen as offering utilitarian benefits of saving time/effort, reducing risk, and increasing likelihood of finding a superior alternative (Klein, 1998) and hedonic benefit of enjoyment (Koufaris et al., 2001–2002). Li et al. (2001) noted that participants reported enjoyment from using advanced IIT to interact with the products. Lee et al. (in press) investigated the effects of level of IIT in the online retailing environment on components of the technology acceptance model and found a significant positive effect of level of IIT on consumer perceptions of online shopping enjoyment. Therefore, we propose: H1a. There is a positive relationship between level of IIT and online shopping enjoyment. Recently, Fiore and Jin (2003) provided empirical evidence that more advanced IIT, a mix-and-match feature, enhanced consumers’ global attitude towards an online retailer. Global attitude is an overall evaluation of the object, such as evaluation of the online store environment. Because a 3D virtual model provides customers with more enhanced indirect experience with the product than does the simple 2D enlarged photos of the product (Li et al., 2003), customers may evaluate the online store offering higher IIT more positively than the online store offering simpler or lower IIT. In addition, more user control of examining the

garments allowed by a 3D virtual model (e.g., rotation of the model to see the views from multiple angles) may also lead to the more positive evaluation of the online store environment. Therefore, we propose: H1b. There is a positive relationship between level of IIT and perception of the online store. According to Yuille and Catchpole (1977), the interactive and vivid nature of presentation of products or advertisements may evoke mental imagery drawing on past ideas, feelings and sensations. Fiore and Jin (2003) proposed that IIT of apparel retailers, such as a mix-andmatch feature and virtual model feature, provides consumers with more information about the product, which evokes a sense of control, enjoyment, and involvement. Fiore and Jin (2003) indicted that these IIT features provide more of the visual sensory information (e.g., how products look together) and behaviors (e.g., checking the side and back views of the product on the body) found when shopping for the actual product. These researchers explained that involvement (perceived relevance to the consumer) may be enhanced because the product can be evaluated in relationship to products the consumer already owns or on a body form similar to the consumer’s. Li et al.’s (2001) qualitative study supports that 3D virtual product presentations result in consumption experiences characterized as offering rich product information and generating involvement along with control and enjoyment. Therefore, we propose: H1c. There is a positive relationship between the level of IIT and involvement in the online shopping experience. Environmental psychologists suggest that individuals react to places with two general forms of behaviors: approach and avoidance (Mehrabian and Russell, 1974). Approach behaviors are positive behaviors directed at a particular place, such as a desire to stay, explore and affiliate with the environment (Mehrabian and Russell, 1974). On the other hand, avoidance behaviors reflect the opposite, such as a desire not to stay, explore and affiliate with the environment. Donovan and Rossiter (1982) found that consumers’ approach behaviors such as returning to the store, spending money, time spent browsing, and exploration of the store were influenced by their perceptions of the retail store environment. In terms of the online retail environment, the interactive nature of Web sites has been credited with enhancing attitude toward the online store, desire to browse or return to the Web site, and online purchasing (Gehrke and Turban, 1999; Hartnett, 2000; Li et al., 2001). Shih (1998) posited that when the Web site provides high interactivity, visitors would spend more time on the site and make repeated visits to the site. Fiore and Jin (2003) found that the addition of advanced IIT, in the form of a mix-andmatch feature of the online store, affected the likelihood of spending more time than planned shopping on the site. Because a high level of IIT allows shoppers to modify the

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product presentation and/or environment, shoppers may have more desire to stay at the site than if it did not contain such technology. Li et al. (2001) showed that consumers had more positive approach responses (i.e., attitude and purchase intentions) when they were exposed to 3D visualizations of bedding, as compared to 2D graphics of the product. Because shoppers engage more with a product presentation using a higher level of IIT than a lower level of IIT, they may experience a high level of the desire to stay at the online retail site. Therefore, we propose: H1d. There is a positive relationship between the level of IIT and desire to stay on a retail Web site. Interactive features of a Web site motivate shoppers or browsers to revisit the Web site (Joines et al., 2003; Kolsar and Galbraith, 2000). Moreover, the 3D virtual model has been reported by developers and retailers to attract customers, increase sales, and decrease returns (New data from lands’ end shows value of My Virtual ModelTM technology, 2001; Waxer, 2001). Virtual model technology may help convert online non-shoppers into online shoppers (Li et al., 1999; Swinyard and Smith, 2003). Researchers investigated the influence of various IITs, a mix-and-match feature (Fiore and Jin, 2003) and a 3D virtual model (Fiore et al., 2005b), on consumer response towards Internet apparel retailers. Both studies showed that the technology increased the participants’ willingness to return to the online store, purchase from the online store, and the likelihood of patronizing the retailer’s bricks-and-mortar store. Therefore, we propose: H1e. There is a positive relationship between the level of IIT and patronage intention towards a retail Web site. 2.2. Effects of online store environment on shopping enjoyment, involvement, and desire to stay A positive link between store environment and consumers’ affective states of pleasure and arousal have been empirically supported (e.g., Babin et al., 1994; Baker et al., 1992; Sherman et al., 1997). For instance, Kim and Jin (2001) found a positive relationship between discount store attributes (e.g., neatness/spaciousness) and shopping excitement. Similarly, Yoo et al. (1998) found that consumers’ emotional responses were induced by the store environment. In terms of online retailing, Dailey and Heath (1999) found that Web site atmospherics significantly influence shoppers’ behavioral intentions through altering consumer affect, especially pleasure. More recent online atmospherics research demonstrated that there is a positive relationship between the design of Web site (i.e., store environment perception in the present study) and pleasure experienced by online shoppers of apparel products (Mummalaneni, 2005). Moreover, online store layout producing easy navigation (i.e., part of store environment perception in the present study) leads to a higher level of online entertainment (Vrechopoulos et al.,

2004). Consumer shopping enjoyment culminates from pleasure and excitement triggered by the store environment. Therefore, we expect that a positive relationship between store environment perception and shopping enjoyment will occur in bricks-and-mortar retail settings as well as online shopping environments. Research shows that a pleasing store environment enhances a shopper’s engagement in the shopping activity (Swinyard, 1993). In a positive and appealing store environment, consumers may be less distracted during their shopping activities. In this situation, consumers may be more involved in and focus on their shopping experience, compared to consumers in negative and unappealing store environments. Novak et al. (2000) found a positive influence of Web site characteristics on the cognitive (i.e., involvement) and emotional states of the consumer while shopping online. Therefore, we propose: H2a. There are positive relationships between the online store perception and online shopping enjoyment. H2b. There are positive relationships between the online store perception and involvement in the online shopping experience. Bitner (1992) conceptualized a positive association between ‘‘servicescapes’’ (built environment where service is provided) and approach behavior (e.g., desire to stay). Hui and Bateson (1991) found perceptions of the physical store environment influence approach–avoidance behavior. In addition, pleasing sensory qualities of store design positively affected shoppers’ behavioral intentions (e.g., willingness to stay longer, purchase intentions) (Donovan and Rossiter, 1982; Fiore et al., 2000; Mattila and Wirtz, 2001; Yalch and Sprangenberg, 1990). Research shows that online store environments (e.g., online atmospherics) influence the shopper’s attitude, satisfaction, and approach/avoidance behaviors towards the online retailer, mediated by emotions (Eroglu et al., 2003). According to Eroglu et al. (2003), a positive or pleasing online store environment results in higher consumer pleasure and arousal, ultimately leading to approach responses towards the online retailer. Another online atmospherics study showed a positive linkage between Web site quality and shoppers’ behavioral intentions (i.e., return to the site) (Lynch et al., 2002). Richard (2005) also found that navigational characteristics of the Web site are positively related to visitor’s exploratory behaviors on the site. Thus, consumers may have more desire to stay when the online retailer has more pleasing atmospherics. We propose: H2c. There is a positive relationship between the online store perception and desire to stay on a retail Web site.

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2.3. Effect of shopping enjoyment on desire to stay and patronage intention towards the online retailer site Understanding consumer’s desire to stay on a retailer site is important because the longer individuals stay in a retail environment, the more they are likely to spend (Donovan et al., 1994). The quality of the shopping experience has been found to have a signiﬁcant effect on shopping intentions (Swinyard, 1993). Researchers found that consumers’ positive affective states are positively related to not only their purchase behavior (Babin and Darden, 1996; Isen, 1987) but other approach responses as well (Babin et al., 2004; Donovan and Rossiter, 1982; Mehrabian and Russell, 1974). Affect created by the store environment inﬂuenced unplanned time spent in the store and unplanned purchasing (Donovan et al., 1994) and actual time (Forsythe and Bailey, 1996) and money spending at the store (Babin et al., 1994). Recent studies provide evidence that pleasure experienced from online shopping has a direct effect on approach responses towards online shopping (Eroglu et al., 2003; Fiore et al., 2005a; Menon and Kahn, 2002). Therefore, we hypothesize: H3a. There is a positive relationship between shopping enjoyment and desire to stay on a retail Web site.

(Wakefield and Baker, 1998). In another study, Griffith et al. (2001) reported that the interface design of an online retailer’s Web site, which created a vivid experience (i.e., sensory and behavioral experience similar to that with the actual product), affected consumer involvement with the online shopping. In turn, online shopping involvement positively influenced approach responses towards the product. Shoppers who are highly involved with a Web site are more willing to search for information on the site, to explore new stimuli (Balabanis and Reynolds, 2001), and more likely to purchase products online than others (Kwak et al., 2002). More recent Internet atmospherics research showed that surfers who had high involvement with the Web site had high purchase intentions on that site (Richard, 2005). We expect that when consumers are highly involved in the shopping process, they will have a desire to stay longer and patronage to the online retailer. Therefore, we propose: H4a. There is a positive relationship between involvement in the online shopping experience and desire to stay on a retail Web site. H4b. There is a positive relationship between involvement in the online shopping experience and patronage intention towards a retail Web site.

Numerous studies support a positive linkage between affect and patronage intention towards the retailer (Bitner, 1992, Donovan and Rossiter, 1982; Donovan et al., 1994). Wakefield and Baker (1998) found a positive relationship between excitement and patronage intention towards a mall. Kim and Jin (2001) also found that shopping excitement at discount stores positively influenced patronage intention. Recent empirical evidence (Eroglu et al., 2003; Menon and Kahn, 2002) illustrates the mediating effect of emotion (e.g., pleasure) created by Web site design on approach responses towards online shopping. Menon and Kahn (2002) found that consumers who experienced higher levels of pleasure from the Internet site exhibited higher levels of approach responses towards the site, including store patronage (revisit) intentions. In addition, Koufaris et al. (2001–2002) concluded that enjoyment from product search functions influenced new Web customers to return to the site. Therefore, we propose:

Customer loyalty and patronage towards a retailer are keys for the success of the online retailing (Harris and Goode, 2004). When consumers experience the enjoyment of shopping and, in turn, have a desire to stay longer on a retail Web site, they may be more likely to patronize (revisit) the online retailer to repeat the enjoyable shopping experience. Wakeﬁeld and Baker (1998) provided empirical support for the positive relationship between desire to stay and patronage intention towards a mall. As found in the bricks-and-mortar retail environment, we expect to see a positive relationship between desire to stay and patronage intention towards a retail Web site. Therefore, we hypothesize:

H3b. There is a positive relationship between shopping enjoyment and patronage intention towards a retail Web site.

3.1. Sample

2.4. Effects of shopping involvement on approach responses Finn et al. (1994) found that involved consumers are likely to stay longer at the retail store. Wakeﬁeld and Baker (1998) found a positive relationship between involvement and approach behavior towards a mall. Consumers who were more interested in shopping were inclined to spend more time shopping and to return to the mall more frequently than those who were less interested in shopping

H5. There is a positive relationship between desire to stay and patronage intention towards a retail Web site. 3. Research method

We obtained a total of 206 usable responses from participants for testing the hypotheses. They represented a variety of undergraduate majors recruited from various courses at a large university in the Midwest of the United States. Instructors of these courses gave respondents extra credit points for participating. Respondents also had a chance to win one of two $25 gift certiﬁcates. About 44% of responses were from the College of Family and Consumer Sciences and about 26% were from the College of Business. Seventy-four percent were female and 95% were between the ages of 18–25 years. The majority of

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respondents were Caucasian (83.3%), followed by Asian American (6.2%), and African American (3.8%). All participants met the requirement of having previous experience with the Internet. A majority (85%) reported using the Internet for gaining product information before purchasing a product; moreover, 73.8% reported using the Internet to purchase products. Participants had no prior experience with the IIT feature of the Web site used as the stimulus. 3.2. Stimuli We used two stimulus Web sites for this study, differing only in level of image interactivity technology. One stimulus (low IIT level) included a common IIT feature of apparel retailer Web sites (i.e., thumbnail pictures that open to enlarged product images when clicked), whereas the other stimulus (high IIT level) also included a virtual model for trying on various product combinations. The ImaginariX.com site itself was used for the high interactivity treatment. For the low IIT treatment, the present researchers and a Web programmer created a Web site by copying Web page design, product information, graphics (thumbnails and enlarged images of products), and navigational tools from ImaginariX.com. It was necessary to create this low IIT stimulus site, because ImaginariX.com required users to examine product images on a model before seeing an enlarged image of the product and product information. Based on the following reasons, we determined that www.imaginariX.com would make the best stimulus site for the sample. ImaginariX.com was not a well-known brand. Therefore, prior attitude towards the Web site would not be confounded by established attitude towards the brand (Balabanis and Reynolds, 2001). ImaginariX. com offered a wide variety of products similar in style to those currently worn by college-aged men and women and offered a virtual model feature for both men’s and women’s products. A pretest using ten undergraduate subject responses towards ImaginariX.com products (i.e., college students would like [M ¼ 3:7=4:0] and would wear [M ¼ 3:7=4:0]) conﬁrmed the appropriateness of the styles on the stimulus sites for college-aged respondents. For both treatment levels, female subjects limited their examination to 25 products under the Sunday Afternoon collection and male subjects limited their examination to 19 products under the Sunday Afternoon and Weekend Wear collections. ImaginariX.com offered a limited number of models within their virtual model feature; the user could try products on any of four generic female models of various body shapes and skin colors and one white male model. The perceived ages of the generic models used for the IIT feature were similar to the average age of the present sample according to pretest subjects. More advanced IIT features from other online apparel merchants (e.g., Home Shopping Network, Lands’ End, Lane Bryant) that

allowed manipulation of size and skin and hair color of the model were eliminated as stimuli because the age of their target markets did not coincide with the age of the present sample. The generic virtual models may also be the first tried by consumers, because developing ones’ own personalized model takes considerable time. Other sites were eliminated because their IIT feature worked with a small number of products. We see the present study as a step in a research program that examines increasingly more advanced IIT features on apparel Web sites and determines the effects of these features on approach responses. 3.3. Instrument The general instructions for the subjects included a statement that the ‘‘study is looking at consumers’ evaluation of an apparel retailers’ Web site’’. Before subjects were exposed to the treatment they completed three items to assure experience with the Internet and to assess use of the Internet to gather product information and for purchasing products. We used nine-point Likerttype scales (1: ‘‘strongly disagree’’ to 9: ‘‘strongly agree’’) to measure the concepts in the study. To measure the online store perception variable, we modified three design and two layout items used by Wakefield and Baker (1998) to suit the online retailing context (see Table 1). For example, two of design items read, ‘‘the online retailer’s Web site has an attractive character’’ and ‘‘the color schemes of this online retailer are attractive’’ and one of the layout items reads, ‘‘overall, the layout of this online retailer makes it easy to navigate this site.’’ We used six items to measure online shopping enjoyment and five items to measure online shopping involvement, both adopted from the Personal Involvement scale developed by Zaichkowsky (1985). To assess desire to stay at an online store and subject’s patronage intention towards an online store, we modified items from Wakefield and Baker (1998) and Fiore and Jin (2003) scales. We also included items to gather demographic information (e.g., age range, gender, major). 3.4. Experimental procedure Two graduate assistants pilot tested the instrument and procedure to ensure clarity of item wording and instructions, to determine time needed to sufficiently explore the products and IIT feature, and to test for potential computer/network problems. The pilot test data were not used for hypothesis testing. We randomly assigned subjects to one of the two Web site treatments run sequentially in a college computer lab to avoid awareness of the differences in treatments and to ensure consistent Internet connection speeds, timed exposure to the site, and the use of the same browser (Internet Explorer version 6.0). Trained research assistants distributed questionnaires along with text and pictorial instruction sheets for navigation tools of the Web site

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101

Table 1 Factor analysis results for model constructs Variables

Factor items

Online store perception

The online retailer’s Web site has an attractive character The color schemes of this online retailer are attractive The overall design of this online retailer is interesting The layout of this online retailer makes it easy to browse for the product you want Overall, the layout of this online retailer makes it easy to navigate this site

.79 .84 .87 .81 .69

If I were actually shopping for clothing online, this Web site would create a shopping experience that wouldy Be entertaining Be enjoyable Be interesting Be fun Be exciting Be appealing

.93 .97 .97 .97 .96 .90

If I were actually shopping for clothing online, this Web site would create a shopping experience that wouldy Be important Be of concern to me Be relevant Mean a lot to me Matter to me

.89 .88 .92 .91 .94

Percent of variance explained ¼ 64.2 Cronbach’s a ¼ 0.86 Online shopping enjoyment

Percent of variance explained ¼ 90.4 Cronbach’s a ¼ 0.98 Online shopping involvement

Percent of variance explained ¼ 82.5 Cronbach’s a ¼ 0.95 Desire to stay at an online store

I would like to stay at this online store as long as possible I enjoyed spending time at this online store I would probably spend more time shopping on this retailer’s Web site than I planned

.91

I would visit this online retailer again In the future, I would very probably shop at this online retailer I would patronize this online store of this retailer

.93 .94 .84

.92 .89

Percent of variance explained ¼ 82.2 Cronbach’s a ¼ 0.89 Patronage intention towards an online store

Percent of variance explained ¼ 81.5 Cronbach’s a ¼ 0.88

treatments. Subjects were free to examine any garments within the specific product collections of the stimulus Web site identified above. Because level of exposure to a stimulus can affect evaluation, with an increase in exposure leading to more positive responses towards the stimulus (Zajonc, 2001), the assistant limited exposure for each treatment to 5 min. Then subjects completed the remainder of the questionnaire including responses towards the online retailer. Data collection took place over a 4-week period to ensure students would be able to find an available time to participate. 4. Results The theoretical model consists of one exogenous variable (level of IIT) and five endogenous constructs (online store

environment, shopping enjoyment, shopping involvement, desire to stay, and patronage intention to an online retailer). Descriptive statistics and correlations among constructs for the model are presented in Table 2. 4.1. Preliminary analysis Construct validity was assessed with the use of factor analysis (Cronbach and Meehl, 1955). Exploratory factor analysis using varimax rotation was conducted to determine whether multiple indicators for each research variable comprised one factor dimension. Factor loading above .55 (Nunnally, 1967) and not higher than .30 on other factors (Kline, 1998) were considered evidence for construct validity. Cronbach’s a scores assessing internal consistency of all research constructs were above .85 indicating good

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Table 2 Descriptive statistics and correlation matrix of model constructs Model constructs

Level of IIT Online store perceptiona Online shopping enjoymenta Online shopping involvementa Desire to stay at an online storea Patronage intention towards an online storea

Mean

1.52 6.04 6.45 5.80 5.95 4.82

.50 2.09 1.56 1.93 2.34 2.15

Correlations 1

1 .23 .47 .31 .45 .29

1 .48 .49 .67 .62

1 .79 .67 .58

1 .64 .63

1 .86

po.01. a

Indicates use of nine-point scale.

reliabilities of measures (see Table 1). Means of summated multiple item variables were used as research variables for hypotheses testing. 4.2. Causal model analysis: hypothesis and model testing The analysis of the causal model was conducted by a maximum-likelihood estimation procedure using Analysis of Moment Structures (AMOS) version 4.0. To assess the model fit, a w2 statistic, goodness-of-fit index (GFI), adjusted goodness-of-fit index (AGFI), and root-meansquared-residual (RMSR) were used. The w2 test assesses the adequacy of a hypothesized model to reflect variance and covariance of the data. We used Kline’s (1998) criteria as an indicator of good model fit to the data (GFI4.95, AGFI4.90, RMSRo.10). For the statistical significance of parameter estimates t-values were used. The results of causal model analysis obtained for the proposed conceptual model revealed a w2 of 1.11 with 1 degree-of-freedom (p ¼ :29). The GFI was .99; AGFI of .96; and RMSR was .006. The fit indices revealed that the hypothesized model fit the data very well. Fig. 2 displays the results of the causal model analysis, including significant standardized path coefficients and t-values for each relationship as well as squared multiple correlations (R2) for each endogenous construct. All hypotheses except one were supported. Hypotheses 1a through 1e examined the effects of the experimental treatment (level of IIT) on shopping enjoyment, store environment perception, shopping involvement and approach responses. We expected to see significant differences in all endogenous variables due to the difference between two treatment stimuli—high and low IIT provided by the retail Web site. Results showed that level of image interactivity had a significant positive effect on shopping enjoyment (H1a: g11 ¼ :38, po:001), store environment (H1b: g21 ¼ :23, po:001), shopping involvement (H1c: g31 ¼ :21, po:001), desire to stay (H1d: g41 ¼ :19, po:001), and patronage intention (H1e: g51 ¼ :11, po:01). Hypothesis 2a–c examined the effect of online store perception on shopping enjoyment, shopping involvement, and desire to stay. As we hypothesized, consumer percep-

tion of online store environment exhibited a positive impact on shopping enjoyment (H2a: b12 ¼ :39, po:001) and shopping involvement (H2b: b32 ¼ :44, po:001). In addition, the proposed positive influence of online store environment on the desire to stay at the site (H2c) received support (b42 ¼ :43, po:001). Hypothesis 3a–4b proposed that shopping enjoyment and shopping involvement positively predict approach responses towards an online retailer. Results revealed that the proposed positive relationships between enjoyment and the desire to stay (H3a: b41 ¼ :20, po:01), shopping involvement and the desire to stay (H4a: b43 ¼ :21, po:01), and shopping involvement and patronage intention (H4b: b53 ¼ :18, po:01) received support, whereas a positive relationship between enjoyment and patronage intention did not receive support (H3b: b51 ¼ :07, p ¼ :257). Finally, Hypothesis 5, proposing a positive relationship between the desire to stay and patronage intention, received support (H5: b54 ¼ :84, po:001). 4.3. Decomposition of effects To further assess the significance of direct, indirect, and total effects of predictor variables on dependent variables, a decomposition of effects analysis was conducted (Table 3). The level of IIT had significant indirect effects on shopping involvement, enjoyment, desire to stay and patronage intention (po:05). The indirect effect of IIT on both desire to stay and patronage intention towards a retail Web site were significant (.26 and .18, respectively). Our proposed conceptual model explained a substantial amount of variance for patronage intention (R2 ¼ :76) and desire to stay (R2 ¼ :64) towards a retail Web site. For patronage intention, online store perception had the strongest indirect effect (.56) followed by the level of image interactivity (.40), and desire to stay had the strongest direct and total effect (.84). All predictor variables had significant direct and/or indirect effects on patronage intention, except shopping enjoyment which did not have a significant direct effect on patronage intention (.07). This suggests that the effect of shopping enjoyment on patronage intention might be mediated by the desire to stay. The

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103

R2= .36 Online Shopping Enjoyment 0.38 (6.68)

0.39 (6.91)

0.20 (2.78)

Desire to Stay at an Online Store

0.19 (4.06)

R2 = .05 Level of IIT

0.23 (3.35)

0.43 (8.87)

Online Store Perception

0.21 (3.11)

0.44 (7.24)

0.21 (3.51)

R2 = .64

0.84 (17.55)

0.07 (1.13)

R2 = .76

0.11 (2.91)

Patronage Intention towards an online store

R2 = .28 0.18 (3.15)

Online Shopping Involvement

χ2(1) = 1.11; p = 0.29 GFI AGFI RFI RMSR

= = = =

0.99 0.96 0.98 0.006

Fig. 2. A ﬁnal theoretical model of consumer online retailer patronage behavior. Notes: Standardized path estimates are reported with t-values in parentheses. An insigniﬁcant path is indicated by a broken line.

Table 3 Examining indirect, direct, and total effects of predictor variables on involvement, enjoyment, desire to stay, and patronage intention Predictor variables

Level of IIT Online store perception Online shopping enjoyment Online shopping involvement Desire to stay at an online store R2

Online shopping enjoyment

Online shopping involvement

Desire to stay at an online store

Patronage intention towards an online store

Indirect effect

Direct effect

Total effect

Indirect effect

Direct effect

Total effect

Indirect effect

Direct effect

Total effect

Indirect effect

Direct effect

Total effect

.09 —

.38 .39

.47 .39

.10 —

.21 .44

.31 .44

.26 .17 —

.19 .43 .20

.45 .60 .20

.18 .56 .17

.11 — .07

.29 .56 .24

—

.21

.18

.36

—

.84

.28

.36

.64

.76

Notes: Standardized path estimates are reported. po.05. po.01.

signiﬁcant indirect effect of shopping enjoyment on patronage intention (.17) supported this possible explanation for this mediating effect of desire to stay between shopping enjoyment and patronage intention.

For the desire to stay on a retail Web site, the level of IIT had the strongest indirect effect (.26) and online store perception had the strongest direct effect (.43). Shopping enjoyment and involvement also had signiﬁcant

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direct effects on desire to stay (.20 and .21, respectively). Online store perception and level of IIT had strong total effects on desire to stay (.60 and .45, respectively). Store environment perception had the strongest total effects for shopping involvement, enjoyment, desire to stay, and patronage intention in the conceptual model.

5. Discussion 5.1. Summary IIT is one of the most visited Web site features, attracts new customers, and retains existing customers for online retailers (New data from lands’ end shows value of My Virtual ModelTM technology, 2001; Waxer, 2001). Empirical research supports that a higher level of IIT enhances approach responses towards the online retailer or product (Fiore and Jin, 2003; Fiore et al., 2005a, b; Lee et al., in press; Li et al., 2001; Shih, 1998; Wu, 1999). The findings of the present study add to this empirical support; level of IIT had direct effects on approach responses towards the online retailer (e.g., desire to stay, patronage intention to the online retailer). In line with research (Li et al., 2001) showing that shoppers engage more with the shopping experience when provided highly interactive merchandise presentations, the results of the present study show that respondents exposed to a higher level of image interactivity, in the form of a 3D virtual model, expressed higher levels of shopping enjoyment, shopping involvement, and more positive online store environment perceptions as compared to respondents exposed to a lower level of image interactivity (i.e., clicking to enlarge images), commonly used by online retailers. The results also show that perception of an online store environment (e.g., color, layout) had a strong direct effect on shopping enjoyment, shopping involvement, and desire to stay and strong indirect effect on patronage intention towards an online store. These results confirm previous empirical findings for bricks-and-mortar environments showing that shopping enjoyment, engagement in the shopping activity, and approach responses are influenced by positive perceptions of store environment (Donovan and Rossiter, 1982; Swinyard, 1993). Shopping enjoyment, created by level of IIT and store environment perception, positively influenced the desire to stay on the Web site which is consistent with previous research (Eroglu et al., 2003; Fiore et al., 2005a; Forsythe and Bailey, 1996; Menon and Kahn, 2002). The results also illustrate that shopping involvement, created by the level of IIT and store environment perception, had a positive impact on both desire to stay and patronage intention towards the retailer. These results confirmed previous findings for involvement with a shopping mall context (Wakefield and Baker, 1998).

5.2. Contributions and implications Previous studies examined IIT such as a mix-and-match feature for apparel products (Fiore and Jin, 2003; Li et al., 2003), a 3D rotation feature for viewing watches and a mixand-match feature for bedding (Li et al., 2003). Only a few empirical studies investigated 3D virtual models for apparel products (Fiore et al., 2005a, b; Lee et al., in press). The present study expands the scope of empirical studies of the effect of this IIT on consumer behavior. Because assessment of apparel products is more intricate and requires more in-depth product examination before purchase (Eckman et al., 1990), as compared to examining products such as books, the 3D virtual model (more advanced IIT) may provide detailed indirect but vivid experiences needed to assess apparel products online. This experience may lead to a higher level of shopping enjoyment and shopping involvement and in turn result in a higher desire to stay and costumer patronage intention towards an online retail Web site. Our results support these assertions. Therefore, we suggest that online retailers consider adopting 3D virtual product presentation technology as a way of attracting and retaining customers. The present study empirically tested application of the shopping mall repatronage model (Wakefield and Baker, 1998) to the online shopping environment and extended the model by incorporating the concept of IIT as part of the environment. The shopping mall repatronage model entails positive relationships between variables of store perceptions, shopping enjoyment, involvement, desire to stay and patronage intention. Consumer patronage behavior was also found for the online shopping context. Direct and indirect effects of the store environment on creating shopping enjoyment and desire to stay at the retailer were found in the present study. In addition, the impact of shopping involvement and desire to stay on patronage intention towards the retailer was confirmed. However, the positive direct relationship between shopping enjoyment and patronage intention proposed in the original mall patronage model was not confirmed in the present study. The findings of the present study supported an indirect relationship between shopping enjoyment and patronage intention. Results suggest the possibility of an indirect effect of shopping enjoyment on patronage intention through desire to stay at the retailer. The online patronage behavior model in the present study deserves further investigation. The findings of the present study yield important insights and implications for online retailers and marketers. Online apparel retailers may adopt a higher level of IIT, such as a 3D virtual model, to enhance virtual product examination and improve consumer perceptions of the online store environment, which may in turn affect enjoyment from and involvement with the online shopping process leading to approach responses towards the online retailer. Experiential aspects of the 3D virtual model feature may attract more customers to visit the online store and to browse merchandise online, eventually increasing online sales.

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Li et al. (2003) found that 3D product presentations outperformed 2D pictorial presentations to enhance perception of indirect (virtual) product experience online, which was also confirmed in the present study. Providing more effective ways of examining attributes of products (e.g., zoom-in, multiple views of products on a virtual model), may lead consumers to become more involved in the online shopping experience, resulting in a desire to stay and return to the site. Retailers carrying products, such as apparel, that requires careful examination available through direct experience may deliver desired product information to consumers through virtual model technology. 5.3. Future research directions and study limitations Previous empirical evidence supports the positive linkage between the perception of the online store environment and the consumer satisfaction with service (Montoya-Weiss et al., 2003). Future studies may explore relationships between consumer perceptions of the online shopping environment, online shopping enjoyment, and consumer satisfaction with online service. Therefore, positive linkages between perceptions of online store environment and shopping enjoyment and consumer satisfaction with online service and more broadly, online shopping experience, may exist. Online store design affects consumer satisfaction with the online shopping experience (Evanschitzky et al., 2004; Szymanski and Hise, 2000), similar to findings for the bricks-and-mortar environment (Mano and Oliver, 1993; Russell and Pratt, 1980). It is possible that enjoyment resulting from the online store environment may also influence satisfaction with online shopping experience. Future research may explore theoretical linkages between online store environment, shopping enjoyment, and satisfaction. By incorporating the concept of shopping satisfaction, our proposed model can be expanded to examine the role of satisfaction in online patronage behavior. Images used with 3D virtual model technology differ in level of photorealism. Shih (1998) posited that individuals would find online retailing environments to be more interactive when images of products were vivid and realistic. Therefore, research comparing consumer responses towards various forms of 3D virtual model technology may be essential for online retailer looking to implement these visual merchandising strategies. Although previous literature supports the appropriateness of student subjects for model testing (Calder et al., 1981), the demographics of our sample limit external validity. Our college-aged sample does not permit generalization of our results to all Internet users who may not be as comfortable and involved with more advanced Internet technology. Internet users with less experience may find IIT (particularly personalized virtual models) too complex and time consuming, which may decrease enjoyment, desire to stay, and patronage intention.

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