Impacts Of Reference Price On The Adoption Of Reverse Pricing In Internet Air-ticket Booking Platform

With the further development of market economy and Internet information technology and the increasingly fierce competition,the air ticket market has also ushered in the mature period of application,especially in the online booking of air tickets.Traditional pricing mode is mostly "priced by the manufacturers",and the launch of the American company Priceline’s "pricing" by you(the Name Your Own Price:NYOP)buyer’s pricing model(hereinafter referred to as the "NYOP).It allowed consumers to bid according to their own expectations and this pricing model of NYOP has achieved great success in foreign countries and brought huge wealth to Priceline.Although there are not many studies on NYOP and its adaptability in the Chinese market,even some companies like Ctrip have made attempts in this aspect,but they have not been very successful.Some people speculate that it is because Chinese consumers are not used to Reverse Auction and Reverse Pricing Model,but there is a lack of verification and research.Air ticket products are time-sensitive and perishable products.In recent years,China’s online air ticket booking market has increased its overseas expansion and NYOP itself has achieved great success abroad,which is worthy of China’s verification and analysis.The Reverse Pricing Model based on Priceline.com transfers pricing power to consumers,making prices as close as possible to consumers’ expectations.When the price sensitivity of consumers is higher,the NYOP of Priceline.com,the impact of the enterprise’s value-added earnings is better than that of the seller’s pricing.Therefore,the focus of this article is the acceptance willingness of Chinese consumers to use NYOP Strategy in online booking of air tickets,and whether providing reference prices of other consumers or historical transactions is helpful for consumers to accept NYOP.Although there are deficiencies in both practice and research in this aspect in China,this article attempts to make up for this deficiency.In this article mainly through the experimental method,we analyze whether the price information source credibility and the quality of price information perceived by consumers are affected by different price sources with reference price and without reference price.This article focuses on whether the perception of these consumers will affect consumers’ trust in online air ticket booking platform and then affect consumers’ bid and purchase intention.By means of experiment,it is also concluded that the price with reference price has higher price source credibility and price information quality than that without reference price.At the same time,the study confirmed that the price are based on information from the customer,and have a reference price of source credibility higher price,reference price than without reference price are more likely to get the trust of the consumers,and affect consumers’ bidding and purchase intention.The credibility of price source and perceived price information quality are positively related to the trust in the online air ticket booking platform.When consumers have a high degree of trust in the online air ticket booking platform,their bid and purchase intention will also increase.