Relationship Marketing via online Trust:

1
Relationship Marketing via online Trust A look
at the Accommodation Industry Kim Shyan Fam,
City University of Hong Kong Thomas Foscht,
Karl-Franzens University of Graz 31st EMAC
Conference Braga, Portugal, May 2002
2
Purpose of Study
To examine the importance of trust as demanded by
a consumer using the internet service as opposed
to that provided by the company. How to reduce
the number of uncertainties and at the same time
establish trust?
3
In the Internet . We Trust
Trust Based Process
Web Site Features
Calculation Predictability Intentionality Cap
ability Transference Tangibilisation Interacti
vity
- formal guarantee of service and/or product -
extensive coordinates of the web provider -
brand notoriety and reputation - brand
credibility for electronic transactions -
presentations of past activity of the site
(revenues, no. of customers served, etc) -
policy statement - reinsurance of respect for
privacy - detailed information on operations -
certification - support from well known brand -
security label - testimonials - design -
navigation (simplicity, clarity, consistency) -
technical quality of the site - electronic
access to the Web provider (email, feedback
comments) - search choice features - feedback
confirmation of orders
Adapted from Levy Lendrevie 1999
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Research Methodology

• consumer motel user, service provider motel
  owner/operator
• questionnaire distributed to both consumers and
  service
• providers
• 6 main centers in NZ were surveyed Auckland,
  Wellington
• Christchurch, Dunedin, Queenstown Wanaka
• research instrument24 items in total to measure
  the seven trust
• factors
• Scale 1 strongly disagree, 5 strongly
  agree
• Responses consumers (108), Service Providers
  (44)

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Demographic Profile

• Consumer (n 108)
• 57 male
• 47 age 26-45
• 30 gt NZ70,000 pa
• 23 professional
• 16 services/sales
• 63 use the internet daily
• 26 have booked accommodation through
• internet
• 58 will use in the future

• Provider (n 44)
• 100 provided internet booking
• service
• 82 of providers were receiving
• bookings on a daily/weekly basis
• 50 have been online for
• between 1 and 3 years
• 35 viewed the internet as an
• effective marketing medium
• for their business

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Results
7
Consumer vs Providers views of the importance of
the various trust factors
5
4.5
4
Consumer
Importance
3.5
Provider
3
2.5
2
Time
Users
Visual
Speed
Privacy
Refund
Security
Feedback
Operation
Customer
Statement
Guarantee
Reputation
Experience
Recognition
Coftion mail
Confirmation
Testimonials
Factors
8
Consumers Most Important Trust Factors (mean gt 4)
9
Service Providers Most Important Trust Factors
(mean gt 4)