Abstract:
This study investigates how service provision can help to establish business value and further develop customer loyalty on auction websites. With respect to the increasing importance for long-term success of auction websites, this study also examines the moderating effect of webpage design in retaining customers by comparing different types of auction websites (i.e., customised vs. unified webpage design). The findings suggest that the service provision around purchasing does not have a direct impact on buyers’ repurchase intention. However, service provision contributes to the development of business value and customer loyalty, and this in turn motivates buyers’ intention to repurchase from the same online seller on auction websites.
