Advances in Consumer Research
Issue 7 : 50-57
Original Article
Consumer Perceptions of Dynamic Pricing in E-Commerce Fairness, Trust, and Purchase Intentions
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1
Professor of Management, Commerce and Management, Arunachal University of Studies, Namsai, Arunachal Pradesh,
2
Assistant Professor, Department of Business Management, Malla Reddy College of Engineering, Medchal Malkajigiri, Hyderabad, Telangana,
3
Associate Professor, Department of Business Management, Dhruva College of Management, Medchal Malkajigiri, Hyderabad, Telangana,
4
Assistant Professor, Department of Business Management, Malla Reddy College of Engineering and Technology, Medchal Malkajigiri, Hyderabad, Telangana,
Abstract

Dynamic pricing has become a widely adopted pricing strategy in e-commerce, enabling online retailers to adjust product prices in real time based on factors such as market demand, customer behavior, competitor pricing, inventory levels, and seasonal trends. While this approach enhances pricing efficiency and revenue optimization, it also influences consumer perceptions regarding fairness, transparency, and trust, which ultimately affect purchase intentions and long-term customer relationships. This study proposes a Consumer Dynamic Pricing Perception Framework (CDPPF) to examine the relationships among dynamic pricing strategies, perceived price fairness, consumer trust, and purchase intentions in online retail environments. The proposed framework integrates consumer price evaluation, pricing transparency, trust formation, perceived value, and behavioral responses to provide a comprehensive understanding of customer decision-making under dynamic pricing conditions. Furthermore, the framework considers the influence of personalized pricing, information availability, and digital shopping experiences on consumer attitudes toward pricing practices. The effectiveness of the framework is evaluated using key performance indicators including perceived fairness, consumer trust, purchase intention, customer satisfaction, repurchase intention, and recommendation behavior. The findings indicate that transparent and fair dynamic pricing strategies significantly enhance consumer trust and positively influence purchase intentions, whereas perceived price discrimination and lack of transparency reduce customer confidence and loyalty. The proposed framework provides valuable managerial insights for developing ethical, customer-centric, and sustainable pricing strategies that improve consumer relationships and organizational performance in competitive e-commerce markets.

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