Factors Affecting Customer Satisfaction on Online Shopping: An Empirical Study

Abstract

This paper examines the effect of website layout, privacy and security, customer experience, customer service, and product delivery service on online shopping satisfaction in Malaysia. With swift economic development and advanced digital technology infrastructure, online shopping in Malaysia is undergoing transformation. Businesses are advised to change their business operation towards digitalization. In this study, the survey link containing the questionnaire was sent to 300 respondents randomly via several online social media platforms. As a result, 257 responses were received with 85.67% of the response rate. Based on the findings from the multiple regression analysis, website design, customer experience, and product delivery service all had a significant impact on online shopping satisfaction. Further investigation also revealed that website layout was the most important determinant of satisfaction. Therefore, it is critical for online retailers to better understand their online customers' preferences to create better customer values that lead to customer satisfaction and the development of long-term profitable relationships.