DETERMINANTS OF DECISION TO USE AND CONTINUED USE OF ONLINE SHOPPING MEDIUM: A BIVARIATE PROBIT APPROACH

Internet shopping has grown rapidly all over the world, Nigeria, inclusive owing to the associated benefits and growth in digital environment. Despite the benefits associated with online purchasing, the medium has not been widely used yet in Nigeria. This study was therefore, conducted to determinants factors influencing decision to use and continued use of online shopping medium in Nigeria. Data for the study were collected using self-constructed structured questionnaire administered to 210 respondents out of which data from 198 respondents were suitable for coding and analysis. Descriptive statistics and biprobit regression model were used for analysis. Data collected were analyzed using SPSS version 16.0 and STATA version 12.0. Results of analysis showed that 106 respondents have used online purchasing medium while just 56 of them continued the use of online purchasing medium. Decision to use online purchasing medium was negatively influenced by age and positively influenced by online literacy while continued use was negatively influenced by perceived financial risk involved and positively influenced by perceived convenience, perceived privacy concern, year spent using the internet and amount spent on internet subscription monthly. The study concludes that socio-demographic factors, risk factors and webbased factors significantly influence decision to use and continued use of online purchasing medium in Nigeria.