Transference and congruence effects on purchase intentions in online stores of multi-channel retailers: initial evidence from the U.S. and South Korea

Abstract

Drawing from research on retailing, online shopping behavior, and theories of cognitive psychology, we develop and test a framework that investigates purchase intentions in online stores of multi-channel retailers. The framework simultaneously examines the influence of transference of attitude and trust from the multi-channel retailer's physical to online stores, image congruence between the multi-channel retailer's physical and online stores, and image congruence between the multi-channel retailer's online store and a prototypical online store. Further, recognizing that several retailers now operate as multi-channel retailers in different countries, we examine the influence of cultural differences in thought processes (i.e., holistic versus analytic thinking) on shoppers' evaluation of online stores of multi-channel retailers. Toward this end, we test the framework using data collected from respondents in the U.S. (analytic thinkers) and South Korea (holistic thinkers). We conclude with a discussion of the findings, suggestions for future research, and potential limitations.

Understanding the online channel extension of traditional retailers: Online-offline and online-prototypical congruence

“…In context of this study, attribute associations derived from online store category may be linked to the retail brand and thus become secondary associations [16] . Prototypical online stores possess a fuzzy set of category attribute associations that best represent the category [3] . These category attribute associations may be transferred to the retail brand as secondary associations and promote the favorability of retail brand beliefs, thus boosting the positive change of retail store attitude (i.e.…”

“…Furthermore, research on categorization theory suggests that prototypes allow individuals to group objects into categories, making it easier for them to judge a new stimulus [17] . According to the categorization approach of information processing, if a new stimulus can be categorized as an example of a previously defined category, then the associations related to the category can be quickly retrieved and applied to the stimulus [3] . Applying this theory to the current context, the better the congruence of product selections and prices between a traditional retailer's online store and a prototypical online store is, the easier the traditional retailer's online store to categorize as an example of online store category represented by the prototypical online store is, and the more complete the attribute associations transference from the prototypical online store is.…”

“…Thus, secondary associations sourced from category attribute associations of online stores will play a more important role when low-familiarity consumers search or shop through the online store of a traditional retailer. In this situation, consumers are more likely to compare the online store of a traditional retailer with the prototypical online store since the latter possesses salient category attributes of online stores which may be transferred as secondary associations [3] . In other words, when the retail brand familiarity is low, consumers are more susceptible to attribute congruence between the online store of a traditional retailer and the prototypical online store.…”

“…online-prototypical congruence orientation). To be competitive, multichannel retailers must make sure that their online stores possess requisite points of parity with prototypical online stores [3] . These requisite points are represented by product selections and price levels when multichannel retailers adopt "pursuit of ideal."…”

“…As Badrinarayanan et al [3] supposed, the effectiveness of both orientations may be constrained by characteristics of customers. Existing literature indicates that the retail brand familiarity is an important psychographic variable that influences consumers' attitudes toward the brand [6,7] .…”