Abstract

In an online shopping environment, consumers sometimes hesitate to purchase a product even if they evaluate it positively. This is because the product still causes consumers to perceive uncertainty and feel the pain of paying when purchasing the product. This study examined how social cues provided in the online shopping environment affect consumers' purchases. To this end, the authors conducted an field study and two experimental studies. First, we compared data when companies did and did not use social cues on their online shopping platforms. The analysis results show that social cues presented to consumers at the time of purchase have a positive effect on the overall purchase quantity and payment amount of the product. And the results of two experimental studies both show that social cues have a positive effect on consumers' purchases. This is because social cues reduce the uncertainty and pain of paying that consumers perceive in purchasing decisions. Study 2, which investigated the role of product type, shows that the positive effect of social cues is greater for experience products than for search products. Based on these research results, we suggest academic and practical implications.