A theoretical application of exchange theory to online purchase decisions

Recent discussion within the marketing literature has accentuated the overlap and interrelationships between relationship marketing and e-commerce. However, as discussion is yet to focus on relationship marketing’s theoretical antecedent of exchange theory, this paper considers the evolution of e-commerce in terms of the exchange continuum. It is proposed that insight can be derived from the application of the concepts of extrinsic and intrinsic value (Houston and Gassenheimer, 1987) to online exchange. A theoretical model of extrinsic and intrinsic evaluation is developed, based on online consumers’ valuation of the object of exchange (i.e., the product). Possible empirical measures, to test the model, are suggested, derived from the relationship and services marketing literature.