HOW TO INCREASE CUSTOMER REPURCHASE INTENTION IN AN ONLINE RETAILING STORE? AN EXTENDED EXPECTATION CONFIRMATORY MODEL

Abstract

This research investigates factors driving customers repurchase intention for one of Indonesia’s largest online bookstores. Business-to-customer e-commerce has grown in line with the increasing number of internet users in Indonesia. The number of new customers on websites is increasing, but although the investigated company profits more from recurrent customers than new ones, this bookstore has difficulty retaining customers. To address this, we extend the expectation confirmatory model, using the site quality and regret variables. We collected data from customers who had bought products from the company website; the analysis employed the structural equation modeling approach. The results showed that customer satisfaction, customer trust, and regret directly affect repurchase intention. Site quality and confirmation are factors that indirectly affect repurchase intention. To retain existing customers, the company should improve its website design, enhance the payment and delivery options, and add a discussion forum and customer service features.