Trust in the online environment

Trust is not associative: 

In E-Commerce the trust between buyers and sellers is not always at the same level. Each party may have different level of trust, whilst the seller trusts that he will get the money for his goods, the buyer may not trust that the product they purchased will be intact upon delivery or even make it to them.


Trust is not transitive:

Trust cannot be directly passed onto the next customer. However customers rely on what other people say to determine whether to trust a business or another online consumer. The key is for a seller to build up that trust. Not only by word of mouth, but have proof that the customer won't be disappointed the quality of product purchased.


Trust is it 2 parties:

This depends on the number of parties involved. When a transaction is between a buyer and seller as a general rule this is generally true. However adding suppliers, re-sellers (third parties) to the mix can add to the level of distrust a party may have.


Direct trust or recommended trust:

Direct trust relates to a consumer basing their judgment of trust on their perspective to the transaction taking place. Recommended trust goes back to the word of mouth; consumers will base their judgment on the views of others who have already had experience with the business be it bad or good.

Sites that build trust: 

eBay.com

eBay has built as security center which gives tips on increasing the users security, it also recommends whether the item you intend to purchase is off as well trusted party. Having this feature creates confidence that security is an important aspect for this site.

PayPal.com

PayPal, like eBay also has a security center and is a credible third party protector. It acts verify transactions and business companies and sellers. Having this instills a level of confidence to the user that the site is legitimate in what it is offering.