The Influence of Price Comparison Websites on Online Switching Behavior: A Consumer Empowerment Perspective

Abstract

While online price comparison websites have burgeoned, there is scant understanding of how they influence online consumer behavior. This study addresses this gap in the literature by investigating the influence of price comparison websites on online switching behavior, and also suggests some additional factors that may be considered when looking at this relationship. We argue that shopper innovativeness, their perceived usefulness of the ad, and their customer service experience consciousness are important factors to consider when evaluating the impact of price comparison websites on eSwitching behavior. We also argue that the most appropriate theoretical lens through which to investigate this relationship is that of the consumer empowerment paradigm. A conceptual model is proposed and tested. Our analysis of 345 sample respondents finds that perceived usefulness of ads and customer service experience expectations are important enablers to price comparison websites use. Similarly, we find that shopper innovativeness and customer service expectations, in addition to price comparison websites use, are significant enablers to eSwitching behaviour. However, contrary to prediction, we find that shopper innovativeness has little to no influence on shoppers’ use of price comparison websites; we also observed similar patterns concerning the link between the perceived usefulness of online ads and eSwitching behaviour. In conclusion, our research contributes to better understanding the influence of price comparison websites on online switching behavior, and the factors that might influence this relationship.