Study on drivers of online shopping and significance of cash-on-delivery mode of payment on behavioural intention

Abstract

The purpose of this paper is to examine different drivers of online shopping and their impact on behavioural intention. The study also examines how cash-on-delivery mode of payment acts as mediator to improve online shopping intention. Based on UTAUT2 (Venkatesh et al., 2012), the drivers of online shopping were identified. Security and privacy and ease of ordering were also added to develop the construct of online shopping drivers. The mediating effect of cash-on-delivery mode of payment on behavioural intention has been empirically validated by structural equation modelling using a sample of 500 online shoppers. Results reveal that performance expectancy, effort expectancy, social influence, hedonic motivation, price value, security and privacy and ease of ordering are the drivers of online shopping but price value and facilitating conditions do not have significant impact on behavioural intention. Further, cash-on-delivery mode of payment emerged as a key construct to improve online shopping intention.