IMPROVING PURCHASING DECISIONS THROUGH TRUST AND ELECTRONIC WORD OF MOUTH AS INTERVENING VARIABLES IN ONLINE SHOPPING

Rahmi Yuliana, Muliawan Hamdani

Abstract

This research aims to analyze and dig deeper into the concept of purchasing decisions by using trust variables and electronic word of mouth variables as intervening variables. The phenomenon of consumer behavior related to e-commerce will be said to increase with the high growth of internet users, where the total internet users in Indonesia are predicted to reach 72.8 million people, which overall ranks third in the Asean region. The increase in the number of internet technology users has an impact on online shopping behavior among consumers. However, this is inversely proportional to offline retail sales which have experienced a setback, marked by the lack of consumers in shopping centers. This has made the situation of out-of-network retail in Indonesia worse, marked by (1) changes in consumer behavior, (2) reduced employment opportunities (3) Increased number of online stores. The data for this research uses primary data, namely by taking direct samples of respondents who have shopped online at three marketplaces, Tokopedia and Lazada in Indonesia. The data analysis techniques used are descriptive analysis and inferential analysis. Then the data is processed using Smart PLS software to test the hypothesis that there is a significant influence between exogenous variables and endogenous variables. The results of this research will be able to find out how big the influence is.

Full Text:

PDF

References

Ahmad, S.N., & Laroche, M. (2017). Analyzing electronic word of mouth: A social commerce construct. International Journal of Information Management, 37(3), 202–213.

Ahn, T., Ryu, S., & Han, I. (2007). The impact of Web quality and playfulness on user acceptance of online retailing. Information & Management, 44(3), 263–275.

Ajzen, I., & Fishbein, M. (1977). Attitude-behavior relationships: A theoretical analysis and review of empirical research. Psychological Bulletin, 84(5), 888.

Caruana, S., & Schembri, C. (2016). The Significance of Electronic Word-of-Mouth (e-WOM) Content in the Shaping of the Visitor's Perception of Quality and Value. Tourism and Culture in the Age of Innovation: Second International Conference IACuDiT, Athens 2015, 535–550.

Chu, S.-C., & Kim, Y. (2011). Determinants of consumer engagement in electronic word-of-mouth (eWOM) in social networking sites. International Journal of Advertising, 30(1), 47–75.

DeLone, W. H., & McLean, E. R. (2003). The DeLone and McLean model of information systems success: a ten-year update. Journal of Management Information Systems, 19(4), 9–30.

Ghozali, I. and H. Latan (2015). "Partial Least Squares, concepts, techniques and applications using the Smartpls 3.0 program for empirical research." Semarang: UNDIP Publishing Agency.

Grabner-Kräuter, S., & Kaluscha, E. A. (2003). Empirical research in on-line trust: a review and critical assessment. International Journal of Human-Computer Studies, 58(6), 783–812.

Gunasekaran, A., Subramanian, N., & Papadopoulos, T. (2017). Information technology for competitive advantage within logistics and supply chains: A review. Transportation Research Part E: Logistics and Transportation Review, 99, 14–33.

Gupta, P., & Harris, J. (2010). How e-WOM recommendations influence product consideration and quality of choice: A motivation to process information perspective. Journal of Business Research, 63(9–10), 1041–1049.

Hasan, A. (2010). Word-of-Mouth Marketing. Yogyakarta: Media Presindo.

Jalilvand, M.R., & Samiei, N. (2012). The impact of electronic word of mouth on a tourism destination choice: Testing the theory of planned behavior (TPB). Internet Research, 22(5), 591–612.

Kotler, P., & Keller, K. L. (2009). Thirteenth edition of Marketing Management. Jakarta: Erlangga.

Kure, E. (2016). 26% of Indonesian consumers are victims of online fraud. Newsone. Com.

Li, H., Liu, Y., & Suomi, R. (2013). Exploring the factors motivating e-service users' WOM behavior. International Journal of Services Technology and Management 11, 19(4–6), 187–200.

Minor, M., & Mowen, J. C. (2002). Consumer behavior. Jakarta: Erlangga.

Moldovan, S., Goldenberg, J., & Chattopadhyay, A. (2011). The different roles of product originality and usefulness in generating word-of-mouth. International Journal of Research in Marketing, 28(2), 109–119.

Shih, Y.-Y., & Fang, K. (2006). Effects of network quality attributes on customer adoption intentions of internet banking. Total Quality Management & Business Excellence, 17(1), 61–77.

Tjiptono, F., & Chandra, G. (2010). Strategic Marketing, 2nd Edition. Yogyakarta: Andi Publishers.

Vazquez, D., & Xu, X. (2009). Investigating linkages between online purchase behavior variables. International Journal of Retail & Distribution Management, 37(5), 408–419.

Yusuf, O. (2014). Indonesia's internet users are number six in the world. Accessed On, 17.

Zeithaml, V. A., Parasuraman, A., & Malhotra, A. (2002). Service quality delivery through web sites: a critical review of instant knowledge. Journal of the Academy of Marketing Science, 30(4), 362–375.

Refbacks

  • There are currently no refbacks.