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(1)

The Relationship between Customer Satisfaction and

Repurchase Behavior in Online Shopping

Environments

An empirical analysis of online product reviews in the undergarment market

(2)

Table of contents

✓ Relevance page 3

✓ Research questions page 4

✓ Conceptual model page 5

✓ Methodology page 6-7

✓ Results page 8

✓ Discussion page 9

✓ Managerial implications page 10

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Relevance

“Happy customers tell 3 friends about their experiences with a company, while angry customers tell about their experiences to 3000 people” (Chatterjee, 2001)

• Provides insights into the effect of customer satisfaction, measured through online product reviews, on repurchase behavior

• Adresses the question whether the reasons for being (dis)satisfied with a product alter the effect of customer satisfaction on repurchase behavior

(4)

Research questions

What is the influence of customer satisfaction, measured through online product

reviews, on the repurchase behavior of the customer who wrote a review in an online

shopping environment?

Do the antecedents of customer satisfaction have an influence on the determined

relationship between customer satisfaction and customer repurchase behavior?

(5)

Conceptual model

• Hedonic

(6)

Methodology (1)

Repurchase dummy ~

Rating + Sentiment score + Category dummies

Sentiment

Score ProductRating

(7)
(8)
(9)

Discussion (1)

Overall effect

• Difference in level satisfaction level represented by textual part and rating (Overall satisfaction <-> product part-based satisfaction)

• Incentive could cause inaccurate measures • Mismeasurement

Categorized effect

(10)

Managerial implications

• Carefully evaluate customers’ satisfaction levels

• Online product rating can influence repurchase behavior Should be taken serious!

• Make no distinction between satisfaction levels based on different categories

Advise:

(11)

Limitations & Future Research

Specific market / specific time

Investigate in a broad panel of representative markets, with different sample profiles or

volumes and in different countries

Short time-window

Collect data over longer period

Possibility of translation errors

Use different sentiment dictionary

Subjective self-built dictionary

Inevitable limitation

Sentiment analysis at word level

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