The moderating role of perceived effectiveness of provider recommendations on consumers’ satisfaction, trust, and online repurchase intention

Abstract

Despite the importance of online provider recommendations in e-commerce transactions, there is still little understanding about how provider recommendations impacts on customer retention. Addressing this gap, this study introduces a key construct, perceived effectiveness of provider recommendations (PEPRs) to investigate the differential moderating effects of PEPRs on the relationships between satisfaction, trust and repeat purchase intention. The research models are designed based on a research model and an online survey is conducted with 130 respondents. We draw conclusions that (1) PEPRs negatively moderate the relationship between satisfaction with vendor and trust in vendor and (2) PEPRs positively moderate the relationship between trust in vendor and repurchase intention. These findings are important theoretical contributions to know that first-hand experience can be to some extent replaced by supplementary information. In addition, we give some managerial countermeasures towards the new situation.