Differential Impact of Web and Mobile Interactivity on E-Retailers' Performance

This study investigates the differential impact of machine and person interactivity on both Web and mobile interfaces on e-retailers' operational and financial performance. Based on data from 463 large e-retailers in the United States and Canada, interesting findings are obtained indicating that Web machine interactivity and mobile person interactivity have significantly positive impacts on e-retailers' operational performance, whereas Web person interactivity and mobile machine interactivity do not. Furthermore, machine interactivity on a Web interface (i.e., Web machine interactivity) has a stronger impact than machine interactivity on mobile interfaces (i.e., mobile machine interactivity), and person interactivity is more influential on mobile interfaces (i.e., mobile person interactivity) than on Web interfaces (i.e., Web person interactivity). E-retailers' operational performance is found to have a significantly positive impact on e-retailers' financial performance. Overall, this study provides in-depth insights into the differential roles of machine and person interactivity on Web and mobile interfaces in affecting e-retailers' performance. Implications for research and practice as well as suggestions for future research are discussed.

[1]  Roy Rada,et al.  Interactive Media , 1995, Springer New York.

[2]  Alok Gupta,et al.  GIST: A Model for Design and Management of Content and Interactivity of Customer-Centric Web Sites , 2004, MIS Q..

[3]  Alladi Venkatesh,et al.  Mobile Marketing in the Retailing Environment: Current Insights and Future Research Avenues , 2010 .

[4]  Yong Liu.  Word-of-Mouth for Movies: Its Dynamics and Impact on Box Office Revenue , 2006 .

[5]  David A. Griffith,et al.  An emerging model of Web site design for marketing , 1998, CACM.

[6]  Dongsong Zhang,et al.  Can Convenience and Effectiveness Converge in Mobile Web? A Critique of the State-of-the-Art Adaptation Techniques for Web Navigation on Mobile Handheld Devices , 2011, Int. J. Hum. Comput. Interact..

[7]  Dale Goodhue,et al.  Task-Technology Fit and Individual Performance , 1995, MIS Q..

[8]  Sally J. McMillan.  Exploring Models of Interactivity from Multiple Research Traditions: Users, Documents, and Systems , 2002 .

[9]  Guohua Wu,et al.  The Mediating Role of Perceived Interactivity in the Effect of Actual Interactivity on Attitude Toward the Website , 2005 .

[10]  R. Lennox,et al.  Conventional wisdom on measurement: A structural equation perspective. , 1991 .

[11]  Paul Alpar,et al.  Measuring the Efficiency of Web Site Traffic Generation , 2001, Int. J. Electron. Commer..

[12]  Wenyu Dou,et al.  Interactive functions and their impacts on the appeal of internet presence sites , 1998 .

[13]  Min-Jae Lee,et al.  Are You Still with Us? A Study of the Post-Adoption Determinants of Sustained Use of Mobile-Banking Services , 2012, J. Organ. Comput. Electron. Commer..

[14]  Jennifer Stromer-Galley,et al.  Interactivity-as-Product and Interactivity-as-Process , 2004, Inf. Soc..

[15]  Gerald L. Lohse,et al.  Internet retail store design: How the user interface influences traffic and sales , 2006, J. Comput. Mediat. Commun..

[16]  H. Teo,et al.  The effects of retail channel integration through the use of information technologies on firm performance , 2012 .

[17]  Izak Benbasat,et al.  Investigating the Influence of the Functional Mechanisms of Online Product Presentations , 2007 .

[18]  Per E. Pedersen,et al.  Intentions to use mobile services: Antecedents and cross-service comparisons , 2005 .

[19]  Arik Ragowsky,et al.  Establishing Trust in Electronic Commerce Through Online Word of Mouth: An Examination Across Genders , 2008, J. Manag. Inf. Syst..

[20]  Chrysanthos Dellarocas,et al.  The Digitization of Word-of-Mouth: Promise and Challenges of Online Feedback Mechanisms , 2003, Manag. Sci..

[21]  Wynne W. Chin.  Issues and Opinion on Structural Equation Modeling by , 2009 .

[22]  F. Bookstein,et al.  Two Structural Equation Models: LISREL and PLS Applied to Consumer Exit-Voice Theory: , 1982 .

[23]  Jonathan W. Palmer,et al.  Web Site Usability, Design, and Performance Metrics , 2002, Inf. Syst. Res..

[24]  David Schuff,et al.  What Makes a Helpful Review? A Study of Customer Reviews on Amazon.com , 2010 .

[25]  R. Bucklin,et al.  Modeling Purchase Behavior at an E-Commerce Web Site: A Task-Completion Approach , 2004 .

[26]  Avi Goldfarb,et al.  How Is the Mobile Internet Different? Search Costs and Local Activities , 2013, Inf. Syst. Res..

[27]  Tommi Laukkanen.  Customer preferred channel attributes in multi‐channel electronic banking , 2007 .

[28]  Sally J. McMillan.  A four-part model of cyber-interactivity , 2002, New Media Soc..

[29]  Valerie J. Trifts,et al.  Consumer Decision Making in Online Shopping Environments: The Effects of Interactive Decision Aids , 2000 .

[30]  Jonathan Steuer,et al.  Defining virtual reality: dimensions determining telepresence , 1992 .

[31]  Fay Sudweeks,et al.  Networked Interactivity , 1997, J. Comput. Mediat. Commun..

[32]  Herbjørn Nysveen,et al.  Building brand relationships online: A comparison of two interactive applications , 2002 .

[33]  S. Haeckel.  About the Nature and Future of Interactive Marketing , 1998 .

[34]  Yubo Chen,et al.  Online Consumer Review: Word-of-Mouth as a New Element of Marketing Communication Mix , 2004, Manag. Sci..

[35]  S. Shyam Sundar,et al.  Theorizing Interactivity's Effects , 2004, Inf. Soc..

[36]  Lars Mathiassen,et al.  Early Adoption of Mobile Devices: A Social Network Perspective , 2010 .

[37]  Michael J. Shaw,et al.  Task-technology fit for mobile information systems , 2010, J. Inf. Technol..

[38]  Ann E. Schlosser.  Experiencing Products in the Virtual World: The Role of Goal and Imagery in Influencing Attitudes versus Purchase Intentions , 2003 .

[39]  Patrali Chatterjee,et al.  Commercial Scenarios for the Web: Opportunities and Challenges , 1997, J. Comput. Mediat. Commun..

[40]  Michael J. Shaw,et al.  Success Factors and Impacts of Mobile Business Applications: Results from a Mobile e-Procurement Study , 2004, Int. J. Electron. Commer..

[41]  Milena M. Head,et al.  The Impact of Infusing Social Presence in the Web Interface: An Investigation Across Product Types , 2005, Int. J. Electron. Commer..

[42]  Rolph E. Anderson,et al.  Customer loyalty in e-commerce: an exploration of its antecedents and consequences , 2002 .

[43]  Hock-Hai Teo,et al.  Consumer Value Co-creation in a Hybrid Commerce Service-Delivery System , 2010, Int. J. Electron. Commer..

[44]  Dennis L. Hoffman,et al.  Marketing in Hypermedia Computer-Mediated Environments : Conceptual Foundations 1 ) , 1998 .

[45]  Sonja Utz,et al.  Consumers rule: How consumer reviews influence perceived trustworthiness of online stores , 2012, Electron. Commer. Res. Appl..

[46]  Ben Shneiderman,et al.  Designing the User Interface: Strategies for Effective Human-Computer Interaction , 1998 .

[47]  Izak Benbasat,et al.  Research Note: The Influence of Recommendations and Consumer Reviews on Evaluations of Websites , 2006, Inf. Syst. Res..

[48]  A. Parasuraman,et al.  Service quality delivery through web sites: A critical review of extant knowledge , 2002, Journal of the Academy of Marketing Science.

[49]  Hock-Hai Teo,et al.  An empirical study of the effects of interactivity on web user attitude , 2003, Int. J. Hum. Comput. Stud..

[50]  Eva A van Reijmersdal,et al.  Interactivity in Brand Web Sites: Cognitive, Affective, and Behavioral Responses Explained by Consumers’ Online Flow Experience , 2012 .

[51]  SchuffDavid,et al.  What makes a helpful online review? a study of customer reviews on amazon.com , 2010 .

[52]  A. Fiore,et al.  Effect of image interactivity technology on consumer responses toward the online retailer , 2005 .

[53]  Andrew Whinston,et al.  The Dynamics of Online Word-of-Mouth and Product Sales: An Empirical Investigation of the Movie Industry , 2008 .

[54]  Sally J. McMillan,et al.  Online Marketing Communications , 2009 .

[55]  María Sicilia,et al.  EFFECTS OF INTERACTIVITY IN A WEB SITE: The Moderating Effect of Need for Cognition , 2005 .

[56]  Richard P. Bagozzi,et al.  On the Use of Structural Equation Models in Experimental Designs , 1989 .

[57]  Jason Q. Zhang,et al.  When does electronic word-of-mouth matter? A study of consumer product reviews☆ , 2010 .

[58]  Sid L. Huff,et al.  Electronic Banking Channels and Task-Channel Fit , 2009, ICIS.

[59]  Wynne W. Chin,et al.  A Partial Least Squares Latent Variable Modeling Approach for Measuring Interaction Effects: Results from a Monte Carlo Simulation Study and an Electronic - Mail Emotion/Adoption Study , 2003, Inf. Syst. Res..

[60]  Rod Sims,et al.  Interactivity: A Forgotten Art? , 1997 .

[61]  Izak Benbasat,et al.  A Framework for the Study of Customer Interface Design for Mobile Commerce , 2004, Int. J. Electron. Commer..

[62]  Paul Benjamin Lowry,et al.  A Theoretical Model and Empirical Results Linking Website Interactivity and Usability Satisfaction , 2006, Proceedings of the 39th Annual Hawaii International Conference on System Sciences (HICSS'06).

[63]  Kun Chang Lee,et al.  Analysis of Mobile Commerce Performance by using the Task-Technology Fit , 2004, MOBIS.

[64]  Detmar W. Straub,et al.  Structural Equation Modeling and Regression: Guidelines for Research Practice , 2000, Commun. Assoc. Inf. Syst..

[65]  Grace J. Johnson,et al.  Interactivity and its Facets Revisited: Theory and Empirical Test , 2006 .

[66]  S. Shyam Sundar,et al.  Does Blogging Empower Women? Exploring the Role of Agency and Community , 2012, J. Comput. Mediat. Commun..

[67]  Rajan Varadarajan,et al.  Interactivity in the electronic marketplace: An exposition of the concept and implications for research , 2005 .

[68]  Detmar W. Straub,et al.  Specifying Formative Constructs in Information Systems Research , 2007, MIS Q..

[69]  Constantinos K. Coursaris,et al.  A Meta-Analytical Review of Empirical Mobile Usability Studies , 2011 .

[70]  Hafizul Islam,et al.  Effects of Website Interactivity on Online Retail Shopping Behavior , 2009, AMCIS.

[71]  Viswanath Venkatesh,et al.  Turning Visitors into Customers: A Usability-Centric Perspective on Purchase Behavior in Electronic Channels , 2006, Manag. Sci..

[72]  Anteneh Ayanso,et al.  Profiling Retail Web Site Functionalities and Conversion Rates: A Cluster Analysis , 2009, Int. J. Electron. Commer..

[73]  Richard T. Watson,et al.  WebQual: An Instrument for Consumer Evaluation of Web Sites , 2007, Int. J. Electron. Commer..

[74]  Jang-Sun Hwang,et al.  Measures of Perceived Interactivity: An Exploration of the Role of Direction of Communication, User Control, and Time in Shaping Perceptions of Interactivity , 2002 .

[75]  Shelly Rodgers,et al.  Relationships Between Blogs as EWOM and Interactivity, Perceived Interactivity, and Parasocial Interaction , 2006 .

[76]  Cate Riegner.  Word of Mouth on the Web: The Impact of Web 2.0 on Consumer Purchase Decisions , 2007, Journal of Advertising Research.

[77]  Judy A. Siguaw,et al.  Formative versus Reflective Indicators in Organizational Measure Development: A Comparison and Empirical Illustration , 2006 .

[78]  David C. Yen,et al.  Improving the quality of online presence through interactivity , 2004, Inf. Manag..

[79]  D. Hoffman,et al.  How to acquire customers on the Web. , 2000, Harvard business review.

[80]  K. Ruyter,et al.  An assessment of value creation in mobile service delivery and the moderating role of time consciousness , 2007 .

[81]  Paul A. Pavlou,et al.  Evidence of the Effect of Trust Building Technology in Electronic Markets: Price Premiums and Buyer Behavior , 2002, MIS Q..

[82]  Shuiqing Yang,et al.  Does Context Matter? The Impact of Use Context on Mobile Internet Adoption , 2012, Int. J. Hum. Comput. Interact..

[83]  Ann Marie Fiore,et al.  Influence of image interactivity on approach responses towards an online retailer , 2003, Internet Res..

[84]  D. Sandy Staples,et al.  Testing the Technology-to-Performance Chain Model , 2004, J. Organ. End User Comput..

[85]  H. Winklhofer,et al.  Index Construction with Formative Indicators: An Alternative to Scale Development , 2001 .

[86]  Gavriel Salvendy,et al.  Customer-centered rules for design of e-commerce Web sites , 2003, CACM.

[87]  Cheryl Burke Jarvis,et al.  A Critical Review of Construct Indicators and Measurement Model Misspecification in Marketing and Consumer Research , 2003 .

[88]  Charles H. Noble,et al.  Let them talk! Managing primary and extended online brand communities for success , 2012 .

[89]  Per E. Pedersen,et al.  An exploratory study of customers' perception of company web sites offering various interactive applications: moderating effects of customers' Internet experience , 2004, Decis. Support Syst..

[90]  Angelika Dimoka,et al.  The Nature and Role of Feedback Text Comments in Online Marketplaces: Implications for Trust Building, Price Premiums, and Seller Differentiation , 2006, Inf. Syst. Res..

[91]  Brant Barton.  Ratings, Reviews & ROI , 2006 .

[92]  Dongsong Zhang,et al.  The Effects of Tree-View Based Presentation Adaptation on Model Web Browsing , 2011, MIS Q..

[93]  Bernard C. Y. Tan,et al.  Effects of Interactivity on Website Involvement and Purchase Intention , 2010, J. Assoc. Inf. Syst..

[94]  Daniel L. Sherrell,et al.  Communications of the Association for Information Systems , 1999 .

[95]  Dale Goodhue,et al.  Two Worlds of Trust for Potential E-Commerce Users: Humans as Cognitive Misers , 2012, Inf. Syst. Res..

[96]  Barbara L. Marcolin,et al.  Understanding IT-enabled interactivity in contemporary marketing , 2001 .

[97]  Peter Tarasewich,et al.  Designing mobile commerce applications , 2003, CACM.

[98]  Yue-Yang Chen,et al.  Why Do Consumers Go Internet Shopping Again? Understanding the Antecedents of Repurchase Intention , 2012, J. Organ. Comput. Electron. Commer..

[99]  Jinwoo Kim,et al.  Use Contexts for the Mobile Internet: A Longitudinal Study Monitoring Actual Use of Mobile Internet Services , 2005, Int. J. Hum. Comput. Interact..

[100]  Louisa Ha,et al.  Interactivity reexamined: A baseline analysis of early business web sites , 1998 .

[101]  Glenn B. Voss,et al.  Do Satisfied Customers Buy More? Examining Moderating Influences in a Retailing Context , 2005 .

[102]  Joel R. Evans,et al.  Business-to-Business Marketing and the World Wide Web: Planning, Managing, and Assessing Web Sites , 1999 .

[103]  Yuping Liu,et al.  A Dual-Process Model of Interactivity Effects , 2009 .

[104]  David A. Griffith,et al.  The Effects of Interactivity on Cross-Channel Communication Effectiveness , 2005 .

[105]  R. Watson,et al.  THE WORLD WIDE WEB AS AN ADVERTISING MEDIUM , 1996 .

[106]  Yuping Liu,et al.  What is Interactivity and is it Always Such a Good Thing? Implications of Definition, Person, and Situation for the Influence of Interactivity on Advertising Effectiveness , 2002 .

[107]  Joseph N. Khamalah,et al.  MACHINE AND PERSON INTERACTIVITY: THE DRIVING FORCES BEHIND INFLUENCES ON CONSUMERS' WILLINGNESS TO PURCHASE ONLINE , 2010 .

[108]  RagowskyArik,et al.  Establishing Trust in Electronic Commerce Through Online Word of Mouth , 2008 .

[109]  H. Raghav Rao,et al.  Trust and Satisfaction, Two Stepping Stones for Successful E-Commerce Relationships: A Longitudinal Exploration , 2009, Inf. Syst. Res..

[110]  Dongsong Zhang,et al.  Challenges, Methodologies, and Issues in the Usability Testing of Mobile Applications , 2005, Int. J. Hum. Comput. Interact..

[111]  M. Yadav,et al.  Marketing strategy and the internet: An organizing framework , 2002 .

[112]  Catherine E. Connelly,et al.  Identifying the ideal fit between mobile work and mobile work support , 2010, Inf. Manag..

[113]  Robert LaRose,et al.  Interactive E-Commerce: Promoting Consumer Efficiency or Impulsivity? , 2006, J. Comput. Mediat. Commun..