Purpose – This study aims to investigate the relationship between characteristics of O2O (online to offline) mobile shopping application (MSA) and the consumer behavior and to figure out how the perception of consumer towards O2O plays create the loyalty when they are using MSAs. The mobile application market is rapidly expanding while the mobile shopping market is also expected to grow.
Design/methodology/approach – Our study investigates the effect of O2O-based mobile shopping application characteristics and product characteristics on the user’s satisfaction, loyalty, and intention to use. In this study, 1063 questionnaires were collected for the purpose of the hypothesis test. Of these, 969 were used for statistical analysis. Statistical analysis includes frequency analysis, exploratory and confirmatory factor analysis, validation of fitness, and path analysis using structural equation method.
Findings – we confirmed that eight of nine hypotheses were supported and discussed one unsupported hypothesis. This study presents an effective business strategy and application characteristics suitable for users in O2O-based mobile shopping industry.
Research implications or Originality – This study suggests practical implications for establishing characteristics that can increase the intention to continuously purchase by application-based users. Among mobile application services, O2O is available in mobile applications and there is a rapid increase in O2O services in the form of mobile on demand that helps users instantly to search for what they want and to process orders and payments.