Factors obstructing intentions to trust and purchase products online

Purpose - The purpose of this paper is to explore reasons for not buying products through online. The study also tries to explain the relationship between intentions to trust ( IT) and online purchase intentions. Design/methodology/approach - Data were collected through well-structured instrument, distributed to 226 students of Masters of Business Administration and Masters of Computer Applications departments of a north Indian University. Confirmatory Factor Analysis and Structural Equation Modelling were used to analyse the data and to test the formulated hypotheses. Findings - The results of the study highlight that 90 per cent of the respondents are aware about online shopping sites but only 38 per cent are online buyers of various products. Major reasons for not shopping are lack of security, absence of physical examination and testing of products, lack of product's complete information, unattractive visual displays and layouts, etc. However, it is observed that nearly 79 per cent respondents have positive intentions to buy products online in near future. Research limitations/ implications - There is a need to study actual online buying behaviour. Also, models like Technology Acceptance Model and Diffusion of Innovation have not been studied. As the study was confined to students only, it can be replicated to other age group consumer segments and extended to other emerging economies as well. There is a need to take into consideration some other important dimensions in the future studies, namely, predictability, familiarity, third party certification, attitude, ease of use, perceived risk, etc., for the better analysis of behaviour. Practical implications - E-vendors must properly implement money back guarantee schemes when there is non-delivery of ordered goods, provide dispute resolution system, instil confidence in customers, highlight security, privacy policy, display contacts details, etc., to increase customers' IT and purchase products online. Originality/value - The paper identifies the factors that obstruct customer to purchase products online. More particularly, in Indian context the present study makes valuable contribution as the Indians have been reported to be technophobic and uncertainty avoidant.