Trust and the online relationship—an exploratory study from New Zealand

Abstract

This study examines the importance of trust in an online accommodation booking relationship. Specifically, the study seeks to identify the trust criteria that are important to consumers in deciding whether to purchase online and also the trust criteria that the accommodation service providers (i.e. motel/hotel owners/operators) think are important in prompting the consumers to make the online purchase decision. In total 108 consumers and 44 motel/hotel owners/operators in New Zealand were examined. The results showed vast discrepancies between the two parties. For instance, consumers think a Web site should provide a formal guarantee of service and offer a refund of price paid. However, these trust criteria were deemed unimportant by the accommodation service providers. Our study concludes by recommending a number of actions, which the accommodation service providers need to include in their Web sites in order to increase trust, relationship and ultimately online purchases.