On-line gross sales will continue to rise. Taylor Nelson Sofres Interactive (TNSI) in June 2001 reported a fifty p.c enhance in the number of Web users in thirty-six international locations between June 2000 and 2001 ( ). Nonetheless, the U.S. Census Bureau report for the primary quarter of 2001 demonstrated that on-line retail sales in the U.S. have not elevated as rapidly as predicted.
Although consumers may want to purchase only certain varieties of merchandise on the Internet, it could be possible for e-tailers to encourage customers to buy troublesome-to-promote products on-line by understanding and providing the attributes that are essential to shoppers.
As the revenues from online sales continued to grow significantly researchers recognized several types of internet buyers, Rohm & Swaninathan 7 identified 4 categories and named them “convenience customers, variety seekers, balanced patrons, and store-oriented consumers”.
A complete of 64 merchandise were listed by the respondents beneath the search product category, 70 products have been listed below the expertise-1 class, 87 merchandise have been listed underneath the expertise-2 class, and 69 merchandise were listed below the credence product category.
The primary makes an attempt to define the time period search, expertise and credence had been triggered by shoppers’ skepticism about advertisers’ exaggerated claims and consumers’ efforts to confirm the truthfulness of those claims ( Darby & Karni, 1973 ; Nelson, 1970 ). Deriving from Stigler’s (1961) explanation of the searchâ€ phenomena and the theory of economics of information, Nelson (1970) initially describes the qualities of search and expertise goods within the advertising context.