Consequences of consumer regret with online shopping

Abstract

Negative online reviews can significantly hurt future sales. After impulsive decisions, consumers may feel regret and write negative online reviews. Two studies are conducted to understand the origin and consequences of negative reviews according to the review content and the responsibility for the mistake in the decision. The first study analyses the influence on the review creation of regret with the process and the outcome through structural equation modelling. For the second study, a 2 × 2 experimental design was conducted. This study analyses how different content in the review (regret with the process vs. regret with the outcome) and guilt of the error (the consumer vs. the seller) affects the perceived persuasiveness, usefulness and credibility of the information, and the intention to follow the advice. The results show that for generating negative reviews, it is the regret with the process coupled with the presence of regret with the outcome which ultimately leads to the intention to write negative reviews. However, the results of the second study show that reviews that criticize the outcome are more damaging than those that criticize the process. Furthermore, reviews that show regret in which the buyer is responsible affect readers more through the greater persuasion they generate.