Standing Between Purchase Intention And Action: Product Value And Its Uncertainty

This study examines the decision-making process of customers focusing on how purchase intention is transformed into actual purchase. Specifically, we investigate 1) how purchase intention is formed, 2) how purchase intention drives action, and 3) what factors stand between purchase intention and action. After reviewing literature on purchase intention and action, and the product evaluation mechanisms employed by the customer, we propose the following hypotheses. First, product value has a positive impact on purchase intention (H1). Second, purchase intention increases the probability of purchase (H2) and third, the relationship between purchase intention and purchase will be moderated by uncertainty levels in product valuation (H3). To validate, we conduct a survey regarding four types of products and collect data from 300 respondents. Regression and Probit analyses methods are used for validation. H1 and H2 are supported while H3 is partially supported. This study challenges the conventional notion that customers with high purchase intentions will necessarily move to the purchase stage. To this end, we examine the relationship between purchase intention and purchase, and find that uncertainty in valuation moderates the relationship.