Impact of Perceived Risk on Consumers Technology Acceptance in Online Grocery Adoption amid COVID-19 Pandemic

Abstract

E-commerce industry has witnessed a phenomenal growth globally due to the sudden spread of the COVID-19 pandemic and the advancement of mobile Internet technology, with fast adaption of online shopping technologies by the customers. Previously, online shopping was only available in a few product categories and to a select group of consumers. The COVID-19 guidelines related to safety, physical distancing, closure, lockdown, and other restrictions have insisted that consumers shop online. Because of e-commerce growth, the grocery (FMCG) industry is also equipped with advanced technologies such as the Internet of Things (IoT), cloud computing, and block chain technology. This paper analyzes the UTAUT2 model and its influence on perceived risk and consumer trust in online purchase intention of grocery categories of products among Indian customers. We tried to analyze the growth potential of new technologies in grocery retail and formulated the hypotheses. The results showed that the spread of COVID-19 pandemic had a significant influence on the online shopping behavior of Indian customers. The outcome of the study partly assists businesses in understanding the impact of the factors of consumer adaption of technology, perceived risk associated with online transaction, consumer trust in online technologies and consumer online purchase intention of grocery products. To promote e-commerce in India, the current study suggests that marketers should try to develop consumer trust and lowering the perceived risk associated with online shopping. Some management implications and future area of study based on empirical findings are also highlighted in the present research work.