Abstract

Although the Internet offers numerous benefits, some consumers are still reluctant to purchase travel products online due to perceived risk. Travel products are associated with higher risk not only because of their tangibility, but also because they typically involve higher cost and complex choices. Additionally, the perceived risk of purchasing travel products online is magnified by privacy and risk involved. This study investigates perceived risk associated with online travel purchasing by Taiwanese consumers with a special focus on their reaction to risk-relievers provided on travel websites. Data were collected through participant observation of the searching/ purchasing process of online travel products by the Taiwanese consumers. The results show some risk-relievers are considered to be more effective in reducing perceived risk related to online travel purchase. Based on this finding, it is suggested that travel websites should try and develop risk-relievers aimed at supporting consumers in the prepurchase phase in order to reduce perceived risk, which may lead to positive online travel purchasing intentions.

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