Effects of pros and cons of applying big data analytics to consumers' responses in an e-commerce context

Abstract

The era of Big Data analytics has begun in most industries within developed countries. This new analytics tool has raised motivation for experts and researchers to study its impacts to business values and challenges. However, studies which help to understand customers' views and their behavior towards the applications of Big Data analytics are lacking. This research aims to explore and determine the pros and cons of applying Big Data analytics that affects customers' responses in an e-commerce environment. Data analyses were conducted in a sample of 273 respondents from Vietnam. The findings found that information search, recommendation system, dynamic pricing, and customer services had significant positive effects on customers' responses. Privacy and security, shopping addiction, and group influences were found to have significant negative effects on customers' responses. Customers' responses were measured at intention and behavior stages. Moreover, positive and negative effects simultaneously presented significant effect on customers' responses. Each dimension of positive and negative factors had different significant impacts on customers' intention and behavior. Specifically, information search had a significant influence on customers' intention and improved customers' behavior. Shopping addiction had a drastic change from intention to behavior compared to group influences and privacy and security. This study contributes to improve understanding of customers' responses under big data era. This could play an important role to develop sustainable consumers market. E-vendors can rely on Big Data analytics but over usage may have some negative applications.