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Power of Online Apology in e-Commerce Power of Online Apology in e-Commerce

Power of Online Apology in e-Commerce - PowerPoint Presentation

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Uploaded On 2015-10-19

Power of Online Apology in e-Commerce - PPT Presentation

Leah Wing National Center for Technology and Dispute Resolution amp U of MA Amherst Orna RabinovichEiny U of Haifa Ethan Katsh National Center for Technology and Dispute Resolution amp U of ID: 165497

impact apology apologies odr apology impact odr apologies relationship research resolution complaint full experiment dispute students seller purchased item

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Slide1

Power of Online Apology in e-Commerce

Leah Wing

, National Center for Technology and Dispute Resolution & U. of MA Amherst

Orna Rabinovich-Einy

, U. of Haifa

Ethan Katsh

, National Center for Technology and Dispute Resolution & U. of

MA

Amherst

Doron Dorfman

, Stanford U.

ODR’15 NYCSlide2

Experiment

conducted in conjunction with

Youstice

Special thanks to:

Zbynek

Loebl and Youstice

Staff

Rachel Ran (U

. of

Haifa)

Sarah

Williams, Bill Fritz, Sabrina Kozikis,

and

Hunter

Trubatch (U. of MA Amherst)Slide3

Goal

To

understand more deeply the impact of electronically communicated apologies on the handling and resolution of low value e-

commerce

disputesSlide4

Knowledge Gap

Multidisciplinary Literature Review

Dispute

Resolution

Computer

Mediated

Communication

Commercial

Consumer Relations

Social Psychology

More Research Needed on Impact of:

A

n e-apology

An e-apology in commercial disputes

Types of e-apology (content, strength, timing)

Relationship between e-apology and compensation

Role of e-apology regarding process and outcome

Relationship between e-apology and ODR choice

Relationship between culture and demographics on e-apologies

Text, visuals, and sound on e-apologiesSlide5

Research Experiment:Pilot

Research Subjects:

University students in the US

Experiment Design:

Students read fictional roleplay: book purchased online is received too late; significant ramifications for student’s grade

Students filed

an online complaint in the

Youstice ODR system and negotiated with roleplay e-retailer; option to elevate complaint to ODR neutral for decision

All students received full refund in the negotiation; half also received an apology

Participants completed survey, consent/debriefing

formSlide6

Experiment Apology Typologies

Seller gives no apology:

After receiving your complaint we will provide you with full compensation for the item you had purchased.”

Seller gives full

apology (takes responsibility and states empathy

):

After receiving your complaint we will provide you with full compensation for the item you had purchased. We acknowledge that the item was delivered to you later than it was guaranteed to arrive and that the delay had a grave impact on you and your academics. In addition, we wish to apologize for not responding to your emails. We have identified the bug in our system that caused these errors and wish to express our sincere regret this very unfortunate circumstance has so negatively impacted you.” Slide7

Preliminary Results*

Indications of the positive impact of an e-apology:

on satisfaction with ODR process

on satisfaction with outcome of ODR process

on forgiveness of e-seller

on willingness to buy from e-seller in future

*

Pilot sample was small, results are not generalizableSlide8

Next Studies

Additional variables

:

Relationship between money/apologies

Relationship between demographics/apologies

Impact of culture on e-apologies

Impact of sound and visuals

International Participant Pool

Universities in US, UK/Scotland, Korea, Japan, Czech Republic, Slovakia, France, Germany, Argentina, Belgium

, IsraelSlide9

Impact of Research on Practice

These first exciting findings raise important concerns and opportunities:

Benefits for business: loyalty, positive image, and financial savings?

Manipulation to reduce refunds to customers?

Benefits for customers: recognition of negative impact of corporate behavior, respectful treatment, maintenance/repair of relationship?

Will the presence, absence, or type of an apology influence ODR decision-makers?

Should they?

How might differences in the value, power, and role of apologies--due to culture, gender, race, age--impact ODR prevention strategies employed by businesses?

Impact dispute resolution strategies by ODR providers?

How might such research findings be incorporated into training for ODR providers?Slide10

Thanks!