HOW THIRD-PARTY CERTIFICATION PROGRAMS RELATE TO CONSUMER TRUST IN ONLINE TRANSACTIONS: AN EXPLORATORY STUDY

Abstract

Consumer fears about Internet security and ordering over the Internet can influence on-line buying behavior, and these fears may be exacerbated by increasing attention to identity theft. A key strategy to increase consumer trust in ordering has been participation in third party certification programs. This study presents a model describing the relationship between third-party identifying logos, trust transfer, and trust buildup and tests the model with data collected by an online survey. The results support hypotheses that perceptions of third party logos are related to intensity of seal exposure, importance of trust factors in online shopping and disposition towards third party certification. Also, such perceptions and the current level of consumer trust in general in online shopping are positively related to transfer of trust from certification to online e-marketers. Prior research found that validating logos does not increase transfer of trust; a post-hoc analysis revealed that this finding is dependent on type of logo. The findings indicate that web site certification can reassure potential customers and increase the probability of purchase.

Jiang, P., Jones, D. and Javie, S. (2008), How third-party certification programs relate to consumer trust in online transactions: an exploratory study, Psychology & Marketing, 25, 9, September, 839-858.