The Effects of Virtual Reality on

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Nov 14, 2013 (3 years and 11 months ago)

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The Effects of Virtual Reality on
Consumer Learning

“An empirical Investigation”


Kil
-
Soo

Suh


Yonsei

University
-

KOREA

Young
Eun

Lee

University of British Columbia


CANADA

2005
-

School of Business


Presented by:



Alyaa Hussien

Goals of the Study

1.
Examine

whether

the

use

of

VR

in

Web
-
based

storefronts

positively

influences

consumer

learning,

including

consumer

intentions

to

purchase
.


2.
Investigate

whether

and

how

the

impact

of

VR

on

consumer

learning

may

be

contingent

upon

product

type
.


Outline


Review previous research on VR and consumer learning.


Present a review of existing literature on the theory of
cognitive fit and product attributes.


Explicate product types and predict the moderating effects
of the different product types on consumer learning.


Explaining research method and presenting data analysis.


Summary of the results of the experiment.

Theoretical Background and Hypotheses

What is Virtual Reality ?


VR

is

a

computer
-
generated,

interactive,

3
D

environment

in

which

people

become

immersed
.

It

provides

interaction

with

the

product

&

increased

telepresence
.

Virtual Reality
(cont’d)


It

enables

users

to

experience

product

virtually

by

examining

and

manipulating

the

visual

images,

functions,

and

features

of

products

in

a

variety

of

ways
.




VR

brings

truth
-
likeness

to

Web
-
based

stores,

partially

alleviating

the

major

constraints

caused

by

the

lack

of

contact

between

consumers

and

products

online
.


Types of Virtual Reality


Depending on the extent of this immersion,
VR applications can be classified into 2
categories:



Immersive Virtual Reality



Non
-
Immersive Virtual Reality

Immersive Virtual Reality


Users

wearing

head
-
mounted

displays

are

totally

surrounded

by

enclosed

virtual

environments
.


Non
-
Immersive Virtual Reality


It’s

most

commonly

conveyed

by

desktop

or

laptop

computers
.

Thus,

users’

VR

experiences

are

limited

to

what

they

see

on

their

display

monitors

and

what

they

hear

from

their

speakers
.


Strengths of VR Interfaces

High Media Richness


VR

provides

high

levels

of

representational

quality

and

volume

of

content

in

a

mediated

environment
.



The

degree

of

media

richness

is

determined

by

the

sensory

depth

and

breadth

of

an

interface
.



VR

has

the

capability

to

increase

depth

and

breadth

of

an

interface
.

High Interactivity


The

degree

to

which

users

can

manipulate

the

form

and

content

of

a

mediated

environment

in

real

time
.



Interactivity

is

achieved

when

users

are

provided

with

immediate

feedback

through

their

perceptions

that

a

mediated

environment

is

modified

based

on

their

input
.




It

offers

a

high

level

of

control

over

computer
-
mediated

environments

in

terms

of

user

abilities

to

be

active

rather

than

passive
.

Telepresence


VR

can

generate

a

sense

of

“being

there”

in

an

environment

by

means

of

a

communication

medium
.



Sensory

stimuli

conveyed

by

a

VR

interface,

can

create

a

perceptual

illusion

of

being

present

and

highly

engaged

in

a

mediated

environment,

while

in

reality

we’re

physically

present

in

another

place
.


Consumer Learning


Consumer

learning

refers

to

any

process

that

changes

a

consumer’s

memory

and

behavior

as

a

result

of

information

processing
.



VR

reduces

ambiguity

by

providing

rich

information,

and

it

motivates

consumers

by

enabling

them

to

interact

with

products
.



Thus,

by

providing

VR,

Web

retailers

can

positively

influence

consumer

learning

about

products
.





Consumer Learning
(cont’d)


Effective

consumer

learning

is

assumed

to

be

a

critical

mediator

of

consumption

and

ascertained

from

:



Cognitive,




Affective,




Conative

Dimensions
.


Cognitive Dimension


The

cognitive

dimension

determines

the

extent

to

which

information

about

products

enhances

consumer

comprehension
.

It

can

be

measured

based

on

either

actual

or

perceived

knowledge
.



H1a
. Compared to static interfaces, VR interfaces
increase consumers’
actual product knowledge.



H1b.

Compared to static interfaces, VR interfaces
increase consumers’
perceived product knowledge



Affective & Conative Dimension


The

affective

dimension

identifies

whether

or

not

consumer

attitudes

are

influenced

by

particular

stimuli
.



The

conative

measurements

investigate

behavioral

responses

to

various

stimuli,

such

as

purchase

intentions

that

may

be

invoked

by

the

stimuli
.



Affective & Conative Dimension
(
cont’d)


H2.

Consumers’
attitudes

toward products presented
with VR interfaces differ from their attitudes toward
products presented with static interfaces.


H3.
Consumers’
purchase intentions

toward products
presented with VR interfaces differ from their
purchase intentions toward products presented with
static interfaces.


Theory of Cognitive Fit and

Product Types


The

theory

of

cognitive

fit

posits

that

a

match

between

IT

applications

and

users’

tasks

is

important

for

the

realization

of

positive

results

from

IT
.


Marketing

research

has

demonstrated

that

an

important

influence

on

the

consumer

task

is

the

nature

of

the

product
.


So,

the

advantages

of

VR

are

augmented

only

in

relation

to

products

whose

critical

attributes

can

be

assessed

adequately

by

the

characteristics

of

VR
.



Product Experience and Attributes

Salient attributes of products


Attributes that are most prominent & important
when consumers make decisions about purchasing
the products.



Virtually High Experiential (VHE):
products whose
salient attributes are mainly virtually experiential


Virtually Low Experiential (VLE):
products whose
salient attributes are not primarily virtually
experiential


Salient attributes of products


H4a.

Increases in consumers’
actual knowledge
, effected by
VR interfaces, are more significant for VHE products than VLE
products.


H4b.

Increases in consumers
’ perceived knowledge
, effected
by VR interfaces, are more significant for VHE products than
VLE products.


H5.

The impacts of VR interfaces
on consumer attitudes
toward products are more significant for VHE products than
VLE products.


H6.

The impacts of VR interfaces on
consumer purchase
intentions
toward products are more significant for VHE
products than VLE products.


Research Method


A

laboratory

experiment

was

employed

to

empirically

test

the

effects

of

VR

on

consumer

learning

and

the

moderating

effect

of

product

types
.



To

enhance

realism,

the

similarity

of

experimental

events

to

real

experiences

and

the

generalizability

of

the

findings,

They

selected

products

sold

in

real

Web
-
based

stores

and

interfaces

developed

by

a

commercial

VR

application

provider
.


Experimental Design


A 2
×

2 factorial design with a



Within
-
subject factor :

The Interface Design

> had 2 levels: VR & Static.



Between
-
subject factor:

The
Product Type

> had 2 levels: VHE and VLE.


Counterbalancing Products

Web
-
Based Store Interface Design


Four

Web
-
based

stores,

each

offering

four

products
.



Two

used

a

VR

interface
;

two

used

a

static

interface
.



The

two

stores

for

each

product

type

were

identical
.

They

contained

the

same

products,

information,

and

design,

thereby

ensuring

information

symmetry
.

Choice of Products

Choice of Products

Dependant Variables


Actual

knowledge

was

measured

by

a

comprehension

test
.


Perceived

product

knowledge

was

assed

by

three

existing

Likert
-
scale

items
.


Participants’

attitudes

toward

the

products

were

measured

by

adopting

an

established

scale

using

seven
-
point

semantic

differential

items

.


Participants’

purchase

intentions

were

assessed

using

an

existing

seven
-
point

semantic

differential

scale
.

Experimental Procedure


After

the

participants

fully

understood

how

to

manipulate

the

interfaces,

they

were

asked

to

navigate

freely

around

the

Web
-
based

store

for

as

long

as

they

wanted
.


After navigating around the store, participants were
asked to minimize their browser windows and to
complete the actual knowledge test.


Hypothesis Testing


Participants

reported

significantly

higher

scores

for

the

Actual

Product

Knowledge

test

in

the

VR

treatment

than

the

static

treatment
.



H1a

is

supported
.



Perceived Product Knowledge
in the VR treatment
was also higher than the static treatment.


H1b is supported.


Hypothesis Testing
(cont’d)


The

participants

reported

more

Positive

Product

Attitudes

in

the

VR

treatment

compared

to

those

in

the

static

treatment
.


H2

is

supported
.



Purchase

Intentions

for

products

in

the

VR

treatment

were

more

pronounced

than

those

in

the

static

treatment
.


H3 is supported.


Hypothesis Testing
(cont’d)



Although

the

enhancement

of

Actual

Product

Knowledge

by

the

VR

treatment

for

VHE

products

(
12
.
4
%
)

was

greater

than

that

for

VLE

products

(
1
.
6

%
)
.


H4a

is NOT

supported
.



The enhancement of
Perceived Product Knowledge
by
the VR treatment for VHE (60%) was greater than that
for VLE Products (8%).


H4b is supported.


Hypothesis Testing
(cont’d)



The

enhancement

of

Product

Attitudes

by

the

VR

treatment

for

VHE

(
29
%
)

was

greater

than

that

for

VLE

Products

(
11
%
)
.


H5

is supported
.



The enhancement of
Purchase Intensions
by the VR
treatment for VHE (41%) was greater than that for VLE
Products (14%).


H6 is supported.


Conclusion


VR

enables

consumers

to

experience

products

virtually

over

the

Internet,

alleviating

consumers’

lack

of

physical

contact

with

products
.


Compared

to

static

interfaces,

consumers

exhibit

significantly

higher

levels

of

actual

and

perceived

product

knowledge,

product

attitude,

and

purchase

intentions

with

a

VR

interface
.



The

type

of

a

product,

either

VHE

or

VLE,

moderates

the

effects

of

VR

interfaces

on

consumer

learning,

except

for

the

consumer’s

actual

product

knowledge
.


HOWEVER,


Increases

in

purchase

intentions

do

not

always

result

in

corresponding

increases

in

actual

purchases
.

It

is

difficult

to

estimate

what

increase

in

purchase

intentions

will

be

sufficient

to

compensate

businesses

for

the

costs

involved

in

providing

VR

interfaces
.


Conclusion
(cont’d)


If

Web
-
based

stores

want

to

enhance

consumer

learning

with

less

concern

for

the

costs

necessary

to

achieve

this

goal,

they

can

achieve

it

by

adopting

VR

for

all

products
.



However,

it

might

not

be

worthwhile

for

e
-
commerce

sites

dealing

in

VLE

products

to

introduce

VR

because

the

costs

may

exceed

the

benefits
.


So,

Vendors

can

use

VR

to

represent

only

those

VHE

products

that

they

want

to

highlight

in

a

Web
-
based

store,

or

display

selected

attributes

only

through

VR,

while

displaying

other

qualities

in

static

modes
.