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Dear Colleagues,
On behalf of the Journal of Electronic Commerce Research (JECR), I
am pleased to announce that Vol. 12, Number 1, 2011 issue of JECR is
now available at the journal web site:
"http://www.csulb.edu/journals/jecr/c_i.htm". This is a regular issue
guest edited by Dr. Shirish C. Srivastava, Operations Management and
Information Technology Department,
HEC School of Management, Paris, France.
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Bidding on the Buying Funnel for Sponsored Search and Keyword
Advertising
Bernard J. Jansen College of Information Sciences and Technology,
The Pennsylvania State University, University Park, PA 16802, USA
Simone Schuster Department of Marketing, Smeal College of
Business, The Pennsylvania State University, University Park, PA
16802, USA 1-18
ABSTRACT
In this research, we evaluate the effectiveness of the buying funnel
as a model for understanding consumer interaction with keyword
advertising campaigns on web search engines. We analyze data of nearly
7 million records from a 33 month, $56 million (US) search engine
marketing campaign of a major US retailer. We classify key phrases
used in this campaign into stages of the buying funnel (i.e.,
Awareness, Research, Decision, and Purchase) and then compare the
consumer behaviors associated with each stage of the buying funnel
using the critical keyword advertising metrics of impressions, clicks,
cost-per-click, sales revenue, orders, and items sold. Findings from
our analysis show that the stages from the buying funnel are effective
for classifying types of queries, with statistically different
consumer behaviors for all attributes among all stages. However,
results also indicate that the buying funnel model does not represent
the actual process that consumer engage in when contemplating a
potential purchase, as the stages do not seem to be associated with
expected consumer actions as predicted by the model. Results show that
Awareness key phrases cost less and generate more sales revenue than
Purchase queries, indicating that these broader phases can be a
lucrative advertising segment for sponsored search campaigns. The
results reported in this paper are important to researchers interested
in understanding online consumers interaction with search engines and
beneficial to search engine marketers striving to design successful
advertising campaigns. Insights from this research could produce
keyword advertising efforts being more effectively targeted to
consumers in order to achieve campaign goals.
Keywords: keyword advertising, pay-per-click, PPC, paid search
advertising, search engine marketing
************************************************************************************************
The Power of Many: An Assessment of Managing Internet Group Purchasing
Yujie Wei Department of Marketing & Real Estate, Richard
College of Business, The University of West Georgia, 1601 Maple
Street, Carrollton, GA, USA
Detmar W. Straub Department of Computer Information Systems, J.
Mack Robinson College of Business, Georgia State University, 35 Broad
Street, Atlanta, GA, USA
Amit Poddar Department of Marketing, J. Whitney School of
Business, Georgia College and State University, Milledgeville, GA,
USA 19-43
ABSTRACT
This article introduces Internet group purchasing (IGP) as a novel
e-commerce phenomenon. Drawing on collective cognition and other
relevant theories, we investigate the management of IGP by analyzing
the four stages of IGP: (1) information accumulation, (2) interaction,
(3) examination, and (4) accommodation. Netnographic methods were
employed to collect qualitative data from eleven online group
purchasing websites selected from hundreds of possible study websites.
Analysis of the four stages of IGP lends support to the group-level
cognition theory and makes contributions to collective cognition
theory, especially as how it can be applied to the e-commerce context.
It also situates group purchasing within the phenomenon of social
networking marketing and discusses the symbiosis between IGP and
businesses goals. Findings can help e-commerce practitioners to better
understand online consumers and the manner in which they organize
Internet group purchasing using social media. The research also
provides managerial implications and directions for future research.
Keywords: Internet group purchasing, social media, collective
cognition theory, netnography and hermeneutics
*********************************************************************************************
An Investigation of Willingness to Spend Dynamics in Simultaneous
Online Auctions
Mayukh Dass Rawls College of Business, Texas Tech University,
Lubbock, TX 79409, USA 44-60
ABSTRACT
Willingness to spend (WTS), as defined by the amount a bidder is
willing to spend in a particular auction event, is a crucial component
for an auctions success. This paper investigates the dynamics of WTS
of a simultaneous online auction of a specific genre of fine art
called modern Indian art and compare it with the dynamics of
cumulative Willingness to pay (WTP), using an innovative statistical
method called Functional Data Analysis. Functional Data Analysis,
which is fundamentally considered to recover the underlying WTS and
cumulative WTP function curves of each bidder, is further used to
examine the effects of current number of bids, current number of lots
winning, pre-auction low estimate of the lots they are currently
winning, bid time, and number of proxy bids on WTS and cumulative WTP
dynamics. Results suggest that only current number of bids and bid
time have significant positive effect on the bidder WTS, whereas only
current number of bids have influence on cumulative WTP. Implications
for auction house managers are further discussed in the paper.
Keywords: willingness to spend, functional data analysis, dynamic
modeling, simultaneous online auctions, online fine art auctions
********************************************************************************************
Effects of Price Recommendations in Name-Your-Own-Price Auctions
Kholekile L. Gwebu Department of Decision Sciences, Whittemore
School of Business and Economics, University of New Hampshire, USA
Jing Wang Department of Decision Sciences, Whittemore School
of Business and Economics, University of New Hampshire, USA
Andrew Wei Hao Department of Management and Marketing, Barney
School of Business, University of Hartford, USA
Michael Y. Hu Department of Marketing, College of Business,
Kent State University, USA 61-77
ABSTRACT
This article examines how price cues can be used strategically to
influence consumers' perceptions and bid judgments in
Name-Your-Own-Price (NYOP) auctions. It focuses on three specific
types of price cues: a low and plausible price cue, a high but
implausible price cue, and a range price cue that is bounded at the
upper end by the high price cue and at the lower end by the low price
cue. A controlled experiment indicates that consumers perceive the
range and low price cue as more useful in aiding their bidding
decisions than the high price cue. The range and low price cue
positively impact bidders confidence in winning while the high price
cue reduces their confidence level. Interestingly, consumers value
and bid judgments can be influenced by the high price cue even though
they view it with skepticism. The low end of a range price cue is
found to have a greater impact on consumers perceptions and bid
judgments than the high end, possibly because a range price cue has
the potential to make loss aversion more pronounced.
Keywords: NYOP auctions, price recommendations, bidder perceptions
******************************************************************************************
Determinants of E-Commerce Customer Satisfaction, Trust, and Loyalty
in Saudi Arabia
Mustafa I. Eid Department of Accounting & MIS, College of
Industrial Management, King Fahd University of Petroleum and Minerals,
P. O. Box 5076, Dhahran 31261 Saudi Arabia
78-93
ABSTRACT
Managing customer trust, satisfaction, and loyalty attitudes of
e-commerce services is very important for the long-term growth of many
businesses. Previous research has shown that e-retailers experience
difficulty maintaining customer loyalty despite the recent rapid
growth in Business to Customer (B2C) e-commerce applications. Numerous
studies have empirically examined B2C e-commerce customer trust,
satisfaction, and loyalty attitudes in various countries.
Nevertheless, empirical research on these key constructs of e-commerce
in developing Arab countries is generally limited. Thus, the main
objective of this paper is to identify the factors that influence the
extent to which Saudi consumers trust, are satisfied with, and are
loyal towards B2C e-commerce. This study draws on previous research to
build a conceptual framework which hypothesizes relationships between
these three e-commerce constructs and their antecedents. A survey was
conducted among B2C e-commerce customers in the eastern province of
Saudi Arabia using a structured self-administered questionnaire. The
findings of this study show that B2C e-commerce customer loyalty in
Saudi Arabia is strongly influenced by customer satisfaction but
weakly influenced by customer trust. The study limitations,
implications, along with directions for further research are
discussed.
Keywords: B2C e-commerce, e-retailer, customer trust, customer
satisfaction, customer loyalty
*******************************************************************************************
Culture and Localization on the Web: Evidence from Multinationals in
Russia and Turkey
Serkan Yalcin Boeing Institute of International Business, John Cook
School of Business, Saint Louis University, 3674 Lindell Bldv, St.
Louis, MO 63108, USA
Nitish Singh Boeing Institute of International Business, John Cook
School of Business, Saint Louis University, 3674 Lindell Bldv, St.
Louis, MO 63108, USA
Yogesh K. Dwivedi School of Business and Economics, Swansea
University, Swansea, SA2 8PP, Wales, UK
Ali Riza Apil Department of Business Administration, International
Black Sea University, D.Agmashenebeli Kheivani 13km, No:2, 0131,
Tbilisi, Georgia
Salavat Sayfullin Department of Business Administration, International
Black Sea University, D.Agmashenebeli Kheivani 13km, No: 2, 0131,
Tbilisi, Georgia 94-114
ABSTRACT
The broad goal of this study is to explore how the perennial debate on
standardization and localization is being shaped on the Worldwide Web.
More specifically, the study explores the depiction of cultural values
on the web. With limited research investigating this issue, there is
no consensus yet regarding whether multinationals depict local
cultural values in their international web sites or design
standardized sites for global audiences. In an attempt to broaden the
empirical evidence from different cultural settings (Russia and
Turkey) and to provide a regional perspective, we examined through
both qualitative and quantitative analyses the international (Russian
and Turkish) web sites of 115 multinationals from the US, Europe, and
Asia-Pacific with respect to 37 cultural values in seven cultural
dimensions. The results provided support for depiction of local
cultural values; however, the multinationals utilize a multi-focus in
their web communication strategies that include cultural (domestic and
foreign) and marketing strategy elements.
Keywords: Standardization, localization, cultural depiction, the Web,
international marketing communication strategy
******************************************************************************************
Dr. Melody Kiang
Co-Editors in Chief,
Journal of Electronic Commerce Research
Professor,
Information Systems Department
College of Business Administration
California State University at Long Beach
Long Beach, CA 90840
Tel: 562-985-8944
Fax: 562-985-5478
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