The Impact of Perceived Security on Consumer E-Loyalty: A Study of Online Tourism Purchasing

Abstract

With the development of e-commerce and smart tourism, the combination of tourism and the internet has caused tourism purchasing in China to shift from traditional channels to online ones. However, while online tourism consumption has many advantages there are also high associated security risks. Understanding how perceived security impacts online tourism purchasing behavior is extremely important for tourism ecommerce enterprises. In this paper, we adopt the self-regulatory process proposed by Bagozzi (1992) as our theoretical framework. By employing structural equation modeling and bootstrapping, we systematically investigated the effects of perceived security on consumer e-loyalty. Data were collected in two ways, via an online survey and via a field survey of several famous tourism spots in Xiamen, a seaside tourism city in southern China. After confirmation, 330 valid questionnaires were received from respondents who had recently purchased tourism products online. The study results indicate that the impact of perceived security comprises two parts: first, perceived security significantly and positively impacts customer emotional elements (trust and satisfaction), thereby affecting their loyalty behavior; second, perceived security also affects subsequent behavior through other cognitive elements (perceived value and website image). Discussion and implications are provided based on the research results.

Data leaking scandal, risks, and financial consumption behaviors in online tourism platforms: The role of trust on college students and teachers

“…The decrease in future consuming intentions and increase in defensive behaviors confirmed the seriousness of the negative effect of data leaking scandals on tourism platforms. This finding is in line with findings from previous studies that when customers feel concerned about security in online purchasing, their purchasing loyalty tends to decline ( Cui et al, 2015 ). Considering that presenting a vignette can already produce such large effects, this study highlights the importance of data security to keep customers.…”

“…The issue of online platforms leaking customers’ private data (e.g., credit card information) has attracted increasing attention, as it may cause serious consequences such as reduction in customers’ consumption intentions to continue visiting these platforms (see Baruh et al, 2017 for a meta-analytical review). Among which, leaking of personal data hold by online tourism platforms may be particularly concerning, since these data cover customers’ sensitive financial and personal information such as flight and hotel reservation and price ( Cui et al, 2015 ). As a matter of fact, the scandal that one of the biggest tourism platforms in China leaked customers’ personal data has caused public panic about data security ( Cui et al, 2015 ).…”

“…Among which, leaking of personal data hold by online tourism platforms may be particularly concerning, since these data cover customers’ sensitive financial and personal information such as flight and hotel reservation and price ( Cui et al, 2015 ). As a matter of fact, the scandal that one of the biggest tourism platforms in China leaked customers’ personal data has caused public panic about data security ( Cui et al, 2015 ).…”

Electronic trust-building for hotel websites: a social exchange theory perspective

“…Without confidence in security, exchanges between hotel website and tourist might be restricted. In an attempt to invocate trust on the tourists, assurances of secure financial transactions and data privacy can be manifested (Cui et al, 2015). Therefore, it is suggested that perceived security is a significant antecedent of e-trust engendered because of the internet nature.…”

Consumer Innovativeness: a Literature Review

“…The second most widely examined consequence of consumer innovativeness is consumers' attitudinal and behavioral responses to brands. Brand responses cover response to brand extension, satisfaction, brand loyalty, brand engagement, repurchase intention and brand switching (Chang et al, 2019;Cui et al, 2018;Eren-Erdogmus et al, 2018;Kelley and Alden, 2016;Quoquab et al, 2018;San-Martin and Lopez-Catalan, 2013;Simmons et al, 2017). Another consequence of consumer innovativeness examined in the literature is consumers' product evaluations.…”