Headline FeedsE-Commerce Times Talkback
|
|
See Full Story
Buyers are naturally cautious when considering whether or not to make a purchase from unfamiliar merchants. Even if this anxiety is not justified, the effect on online retailers is often detrimental. Shopper anxiety creates a complicated challenge for online merchants, especially ones without national, trusted brands. This phenomenon -- a lack of consumer confidence -- is called the "risk discount," which states that buyers who perceive risk when making a purchase will discount the price they are willing to pay.
Re: Turning the Risk Discount Into a Trust Premium
Posted by: TrustEnabler 2007-06-25 14:18:55 In reply to: Steven L. Woda
Similarly, my research has revealed far broader and more profound business and economic performance benefits from increased levels of trust. See "The Facts on Trust" at http://trustenablement.com/opt/The_Facts_on_Trust.pdf.
It is surprising that management is so adept at managing risk (a defensive strategy), but nearly oblivious to enabling trust (an offensive strategy).
It is surprising that management is so adept at managing risk (a defensive strategy), but nearly oblivious to enabling trust (an offensive strategy).
Re: Turning the Risk Discount Into a Trust Premium
Posted by: swoda 2007-06-25 06:56:56 In reply to: Steven L. Woda
If you are interested in this subject, you can read more articles on my blog, "Steve Woda's Blog: buySAFE, eCommerce, Trust and Safety", at http://blog.swoda.com . Thanks. - Steve Woda
