Can the building of trust overcome consumer perceived risk online

Purpose – To explore the role of trust and risk in consumers' apparent reluctance to convert from internet browsers to potential online purchasers. To consider how marketing planners in that environment can devise strategies that balance perceptions of risk against perceptions of trustworthiness.Design/methodology/approach – The literatures of trust and risk were reviewed, with a focus on internet usage and online buying. Six components of organisational trust are used as the framework for a discussion of perceived risk, and of the tactics available to counterbalance perceptions of the riskiness of online buying with evidence of the trustworthiness of the online merchant.Findings – The conclusion is that marketing planners can overcome the barrier of perceived risk if they find the means to generate sufficient trust among their potential customers.Research limitations/implications – This presents no empirical evidence but does draw together the work of others and build from it a framework for understandin...

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