The Influence of Customer Perceived Risk on Online Purchasing Intention: with reference to Fast fashion Retail industry in Sri Lanka

Abstract

Consumers' lifestyles and behavioral habits have altered substantially since the advent of digital marketing platforms, which has a big influence on consumption. More significantly, despite the fact that internet buying has many benefits, some consumers are a little more skeptical about it. According to the literature, there are several restrictions that affect consumers' purchasing intentions for online consumption of retail fashions and a nation like Sri Lanka is not particularly strong for online transactions or online shopping. This study is primarily based on online consumers’ behavioral shopping intentions. The independent variable, customer perceived risk is comprised with Financial Risk, Product Risk, Information Security Risk, Time Risk, Psychological Risk and delivery Risk. This study uses the positivistic research paradigm and deductive approach. Accordingly, purposive sampling technique was used by delivering the 400 questionnaires to internet users in Colombo district. Accordingly, data were analyzed using SPSS software after removing outliers. To evaluate the data, the study employed descriptive statistics, correlation analysis, and regression analysis. According to the findings, Time risk was found to be not significant for purchasing online. Delivery Risk and Information security risk were the top-ranked determining variables among the major elements. Consequently, by reducing their perceived risk, this research assists in educating all dealers on how to draw clients to their online platform.