Online Purchase: Risk Cognizance Influencing Intention

Background/Objectives: To investigate the effective method of reducing risk in consumer's point of view. To examine the association between perceived risk and risk reduction strategies. To study the impact of marketers risk reduction strategies towards purchase intentions. Methods/Statistical Analysis: The association between risk and risk reduction strategies were taken into account. A quantitative survey was conducted in order to measure perceived risk level and risk reliever utility. 400 samples were collected across Chennai. Among them 320 of them are valid. Findings: The results from current study suggested that Website loyalty; Possibility of communicating with a salesperson (by phone or mail), Word of mouth-comments on the Internet will be adopted to reduce the risk. Time risk and financial risk plays a predominant role among online consumers. Application/Improvement: Online buying is one of the fastest growing phenomena in Indian context. However, knowledge regarding consumers' awareness and possible ways to reduce the perceived risk in online context are limited. Results from current study can contribute to the field by illustrating the useful risk aversion strategies that e-vendors can use to reduce possible concerns.