Determinants of Online Purchase Intention: Evidence from Indonesia’s E-Commerce

Authors

  • Dewi Wuisan Universitas Pelita Harapan
  • Zefanya Hisqia Gedalia South China University of Technology (SCUT)
  • Gabriel Kennard Chan South China University of Technology (SCUT)
  • Benny Aristo South China University of Technology (SCUT)
  • Christoffel Wantah Universitas Indonesia

Keywords:

Perceived Ease of Use, Perceived Usefulness, Social Influences, Price Perception, Perceived Risk, Online Purchase Intention

Abstract

This study aims to examine the effect of perceived ease of use, perceived usefulness, social influences, price perception, and perceived risk on online purchase intention. The development of internet technology in Indonesia in various sectors is getting faster. One of the industrial sectors that rely on internet technology as a place to do business is e-commerce. Indonesia is one of the countries with the highest percentage of e-commerce users in the world, but the development of e-commerce cannot be separated from the problems that occur. As one of the e-commerce sites in Indonesia, “XYZ” is currently developing its services to make it more attractive to consumers, but there are still many problems that are felt by consumers related to “XYZ”, such as service quality that is not yet optimal. Thus, research is needed regarding the factors that influence online purchase intention. This study uses a quantitative approach with data collection methods using electronic questionnaires distributed through Google Forms. Analysis of the measurement model and structural model in this study was carried out using the Partial Least Square-Structural Equation Modeling (PLS-SEM) method with the help of the SmartPLS 3.0 application. The respondents of this research are Indonesian people who are more than 16 years old and have used “XYZ” e-commerce. The measurement model test consists of testing the validity and reliability, while the measurement model testing consists of testing the coefficient of determination, t -count, significance, and the relationship between constructs. The results of this study indicate that the perceived ease of use variable affects online purchase intention, the perceived usefulness variable affects online purchase intention, the social influences variable affects online purchase intention, and the price perception variable affects online purchase intention. Meanwhile, the perceived risk variable has no effect on online purchase intention.

References

Ariffin, SK, & Mohan, T. (2018). Influence of consumers' perceived risk on consumers' online purchase intention. Journal of Research in Interactive Marketing, 12 (3), 309–327.

Auka, DO (2012). Service quality, satisfaction, perceived value, and loyalty among customers in commercial banking in Nakuru Municipality, Kenya. African Journal of Marketing Management, 4 (5), 185–203.

Al-Eqab, M., & Adel, D. (2013). The impact of IT sophistication on the perceived usefulness of accounting information characteristics among Jordanian listed companies. International Journal of Business and Social Science, 4 (3), 145–155.

Behrend, TS, Wiebe, EN, London, JE, & Johnson, EC (2011). Cloud computing adoption and usage in community colleges. Behavior & Information Technology, 30 (2), 231–240.

Bell, E., Bryman, A., & Harley, B. (2018). Business research methods. Oxford University Press.

Beldad, AD, & Hegner, SM (2018). Expanding the technology acceptance model with the inclusion of trust, social influence, and health valuation to determine the predictors of German users' willingness to continue using a fitness app: A structural equation modeling approach. International Journal of Human-Computer Interaction, 34 (9), 882–893.

Chang, E.-C., & Tseng, Y.-F. (2013). Research note: E-store image, perceived value, and perceived risk. Journal of Business Research, 66 (7), 864–870.

Cheah, I., Phau, I., & Liang, J. (2015). Factors influencing consumers' attitudes and purchase intentions of e-deals. Marketing Intelligence & Planning, 33 (5), 763–783.

Cheung et al., (2011). Consumer's decision to shop online: The moderating role of positive informational social influence. Elsevier. Volume 48, Issue 6.

Chiu, C.-M., Wang, ET, Fang, YH, & Huang, HY (2014). Understanding customers' repeat purchase intentions in B2C e-commerce: The roles of utilitarian value, hedonic value, and perceived risk. Information Systems Journal, 24 (1), 85–114

Deng, X. (2015). Understanding Chinese consumers' ethical purchasing decision-making process: A combination of qualitative and quantitative study. Geoforum, 67, 204–213.

Edvardsson, B., Tronvoll, B., & Gruber, T. (2011). Expanding understanding of service exchange and value co-creation: A social construction approach. Journal of the Academy of Marketing Science, 39 (2), 327–339.

Faziharudean and Li-Ly, (2011). Consumers’ behavioral intentions to use mobile data services in Malaysia. Academic Journals. 10.5897/AJBM10.794

Fitri, RA, & Wulandari, R. (2020). Online purchase intention factors in Indonesian millennials. International Review of Management and Marketing, 10 (3), 122–127.

Friedkin, NE, & Johnsen, EC (2011). Social influence network theory: A sociological examination of small group dynamics. Cambridge University Press,

Gensler, S., Neslin, SA, & Verhof, PC (2017). The showrooming phenomenon: It's more than just about price. Journal of Interactive Marketing, 38, 29–43.

Gomez-Perez, SL, Haus, JM, Sheean, P., Patel, B., Mar, W., Chaudhry, V., McKeever, L., & Braunschweig, C. (2016). Measuring abdominal circumference and skeletal muscle from a single cross‐sectional computed tomography image: A step-by-step guide for clinicians using National Institutes of Health ImageJ. Journal of Parenteral and Enteral Nutrition, 40 (3), 308–318.

Haryanto, B., Purwanto, D., Dewi, AS, & Cahyono, E. (2019). How does the type of product moderate consumers' buying intentions towards traditional foods? (Study of consumer behavior in Indonesia). Journal of Asia Business Studies, 13 (4), 525–542.

He, H., & Harris, L. (2020). The impact of the COVID-19 pandemic on corporate social responsibility and marketing philosophy. Journal of Business Research, 116, 176–182.

Hong, IB, & Cha, HS (2013). The mediating role of consumer trust in an online merchant in predicting purchase intention. International Journal of Information Management, 33 (6), 927–939.

Jeon, MM, Lee, S., & Jeong, M. (2018). E-Social influence and customers' behavioral intentions on a bed and breakfast website. Journal of Hospitality Marketing & Management, 27 (3), 366–385.

Jia, H., Yang, S., Lu, X., & Park, CW (2018). Do consumers always spend more when coupon face value is larger? The inverted U-shaped effect of coupon face value on consumer spending level. Journal of Marketing, 82 (4), 70–85.

Khan, MT (2014). The concept of the marketing mix and its elements (a conceptual review paper). International Journal of Information, Business, and Management, 6 (2), 95.

Liaw, S.-S., & Huang, H.-M. (2013). Perceived satisfaction, perceived usefulness, and interactive learning environments as predictors of self-regulation in e-learning environments. Computers & Education, 60 (1), 14–24.

Lu, J. (2014). Are personal innovativeness and social influence critical to continue with mobile commerce? Internet Research, 24 (2), 134–159.

Prebensen, NK, Woo, E., Chen, JS, & Uysal, M. (2013). Motivation and involvement as antecedents of the perceived value of the destination experience. Journal of Travel Research, 52 (2), 253–264.

Safitri, A., & Purnomo, HD (2019). Consumer behavior analysis using apriori algorithm. International Journal of Information Technology and Business, 1 (2), 5–15.

Seturi, M., & Urotadze, E. (2017). About marketing process models and relationship marketing. Proceedings of International Workshop, Model-Based Governance for Smart Organizational Future, 169–171.

Yeh, RK-J., & Teng, JT (2012). Extended conceptualization of perceived usefulness: Empirical test in the context of information system use continuance. Behavior & Information Technology, 31 (5), 525–540.

Zokaee, S., & Ghazizadeh, M. (2012). Electronic payment systems evaluation: A case study in Iran. Information Management and Business Review, 4 (3), 120–127.

Yuliantoro, N., Goeltom, V., Juliana, Bernarto, I., Pramono, R., & Purwanto, A. (2019. Repurchase intention and word of mouth factors in the millennial generation against various brands of Boba drinks during the Covid 19 pandemic African Journal of Hospitality, Tourism and Leisure, 8(2), 1-11

Downloads

Published

2025-12-10

Issue

Vol. 5 (2025): Proceedings of the 5th International Conference on Entrepreneurship (IConEnt)

Section

Articles

License

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.