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Analysis of Factors Affecting Consumer Purchase Decision at Online Shops

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Volume 4, Issue 3, March – 2019 International Journal of Innovative Science and Research Technology

ISSN No:-2456-2165

Analysis of Factors Affecting Consumer Purchase


Decision at Online Shops
Muhammad Fachmi1), Ikrar Putra Setiawan2), Andi Hidayat3)
Management Department
STIE Amkop Makassar
Makassar, Indonesia

Abstract:- Purpose of a study, to analyze the effect of Hosseini & Norouzi, 2017; Kore, Lamalewa, &
trust, promotion, and e-service quality on consumer Mulyaningsih, 2018; Rachbini, 2018; Wibowo, Sari, &
purchasing decisions in online stores. Respondents in Saidani, 2017).
this study were users of online shops in Makassar City
with a total sample of 100 people. Sampling was done Promotional factors are also a consideration in
randomly for college students who had shopped at consumer purchasing decisions to shop online. In the
Tokopedia, Bukalapak, and Shopee. To test the research that has done in various places, it shows that the
hypothesis, the researcher using Multiple Regression better the promotional activities carried out, the consumers
Analysis with a software SPSS 22.0. The findings of this will decide to make product purchases (Indriani, 2016;
study are that trust, promotion, and e-service quality Kore et al., 2018; Tiantian & Liaogang, 2017). This was
have a positive and significant effect on purchasing done by several online shops, such as holding discounts,
decisions at online shops. That is, the higher the trust, giving vouchers, and various other promotional strategies.
the better promotions carried out, and good e-service
quality, consumers will decide to shop using online Consumer purchasing decisions are also influenced
shops at Tokopedia, Bukalapak, and Shopee. by e-service quality. This is because if the e-service quality
perceived by consumers is getting better, then consumers
Keywords:- Trust, Promotion, E-Service Quality, Purchase will decide to purchase the product (Arslan & Zaman,
Decision. 2015; Lahindah, Merisa, & Siahaan, 2018; Raje & Khanna,
2012). Various strategies have been carried out by online
I. INTRODUCTION shops such as by guaranteeing transaction security,
guaranteeing the quality of products delivered, a speed of
The advancement of information technology service, etc. so that it becomes a driving factor for
influences the development of the marketing world, one of consumers to make purchases at online shops. But other
which is the increasingly widespread online market. As studies view that quality does not have a significant impact
indicated by one of the online markets, Amazon, by on consumer purchasing behaviour (Kusumah, 2015).
providing consumers with a world-class online purchasing
experience find and discover anything they might want to II. LITERATURE REVIEW
buy online (Kotler, Armstrong, & Opresnik, 2018). The
trend of advertising in social media has increased rapidly, A. Trust
and it took considerable attention (Alnemah, 2019). Even in When a party has confidence that the other party
recent years, some new approaches to marketing, ranging involved in the exchange has reliability and integrity, it can
from imaginative websites and smartphone applications to be said that there is trust. According to the theory that, trust
blogs, online videos, and social media, aim to make it is defined as the positive expectations individuals have
easier to reach consumers directly, privately and about the intent and behaviours of multiple (Shockley-
interactively (Kotler et al., 2018). This situation also occurs Zalabak, P., & Winograd, 2000). The concept of "trust" is
in China, where with the increasing popularity of the defined as willingness party to be vulnerable to actions of
Internet and e-commerce technology, the size of online another party on the basis that the other party will take an
shopping users has gradually increased (Tiantian & official point of view on specific significant actions
Liaogang, 2017). For this reason, there are many online regardless of the ability to monitor or control the other
shops in Indonesia to provide secure transactions for party (Mayer, Davis, & Schoorman, 1995).
consumers, including Tokopedia, Bukalapak, and Shopee
with innovative strategic approaches to each other. B. Promotion
In the theory of marketing, promotion refers to
Consumer purchasing decisions in using online shop activities that communicate product superiority and
media such as Tokopedia, Bukalapak, and Shopee, are persuade target customers to buy it (Kotler et al., 2018). Li
influenced by various factors. Trust is the first factor that and Zhang in Indriani (2016) stated that however,
focuses on changing consumer purchasing decisions promotional activates for online products or services were
because if a consumer has trust in the product at the Online not successful for e-retailers because there were not
Shops, they will decide to purchase products at the online effective ways to inform consumers of promotional
shops, as some research has shown that trust has a activities. Therefore, according to Kotler in Kore et al.
significant effect on purchasing decisions (Alnemah, 2019; (2018) promotion is an attempt to communicate a product

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Volume 4, Issue 3, March – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
to consumers and then influence consumer buying interest disagree, 2 was disagreeing, 3 was disagreeing, 4 was
in the company's products. agreeing, and 5 was strongly agreeing. Each indicator on
the variable under study is first tested by an instrument
C. E-Service Quality with a valid test and a reliable test, with a validity threshold
The difference between expected services and in the trial that is 0.3 and a reliable test on Cronbach's alpha
provided services is called the service quality (Arslan & > 0.6. Furthermore, the analytical technique used is by
Zaman, 2015). According to Stafford & Gillenson in Raje multiple regression analysis with the t-test in testing the
and Khanna (2012), service quality is more useful for hypothesis.
service-based offerings that include information and access
to information for purchasing more general online IV. RESULTS
merchandise. The three main characteristics of e-services
are (Raje & Khanna, 2012): A. A goodness of Fit (F) Test and Determination
 Can be accessed via the Internet or other electronic Coefficient Test
networks. This test is used for this test can be used to find out
 Consumed by someone through the Internet or other whether the model built meets the criteria of fit or not. The
electronic systems. full F test results can be seen in the following table.
 There may be fees paid to the provider for using
electronic services, or it may be free as in the case of ANOVAb
government services. Sum of Mean
Model Squares df Square F Sig.
D. Purchase Decision
Consumers market when they search for products, 1 Regression 563.788 3 187.929 64.931 .000a
interact with companies to obtain information and make Residual 277.852 96 2.894
their purchases (Kotler et al., 2018). Consumer purchasing
decisions are the process of decision making, and physical Total 841.640 99
activities carried out by individuals by compiling, a. Predictors: (Constant), E-Service Quality, Promotion,
obtaining, using or disposing of goods and services Trust
(Khuong & Duyen, 2016). One notice thing is that purchase b. Dependent Variable: Purchase Decisions
decision does not finish with the purchase of products or Table 1:- F-test (Source: Processed Primary Data, 2019)
services but also post purchase activities consist of
consumer behaviour (Khuong & Duyen, 2016). The data in table 1, are the test results to see whether
the model can meet the Fit criteria or not. Based on the
Based on the above theory, the following framework findings show that the value of F-count is 64.931 with
can be described in this study: significance < 0.05, so it can be stated that this research
model meets the criteria of goodness of fit.

As for seeing the amount of contribution given from


the variables of trust, promotion and e-service quality to
purchase decisions, it can be seen from the determination
coefficient (R2). Obtaining a determination value (R2) can
be seen in the following table:

Model Summary
Fig 1:- Framework
Adjusted R Std. Error of
III. RESEARCH METHOD Model R R Square Square the Estimate
1 .818a .670 .660 1.70126
The method used is an empirical study with an a. Predictors: (Constant), E-Service Quality, Promotion,
associative research approach, which aims to determine the Trust
influence or relationship between two variables or more .
Table 2:- Test results for the coefficient of determination
The population in this study were people in the city of
(R2) (Source: Primary Data processed, 2019)
Makassar who were college students. The sample was
determined by 100 respondents, with the distribution of
Based on the results of the coefficient of
questionnaires or research instruments carried out randomly
determination test above, seen from the adjusted R Square
using google forms, and if the sample was fulfilled and
value is 0.660 or 66.0%. The coefficient of determination
fulfilled the requirements as respondents, then the data will
(R2) states that trust variables, promotion and e-service
be analyzed further.
quality can explain or contribute to variations in changes in
consumer purchase decisions online shop by 66.0%. While
Questionnaires using a 5-level Likert scale, with
the remaining 34.0% is influenced by other variables not
perceptions of respondent's answer 1 were strongly
included in this study.

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Volume 4, Issue 3, March – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
B. Testing the Hypothesis with the t-Test  Ha: Promotion has a positive and significant effect on
To obtain the partial test results can be seen in the the consumer purchase decisions online shop
coefficients table which is a multiple regression analysis as
seen in the following table. Partial testing is analyzed through the magnitude of
the calculated t-value obtained then compares with the t-
Coefficients table value. When the value is calculated > t-table, then the
null hypothesis (H0) is rejected, and the alternative
Unstandardized Standardized hypothesis (Ha) is accepted. Conversely, if the value of t-
Coefficients Coefficients count < t-table then the null hypothesis (H0) is accepted,
and the alternative hypothesis (Ha) is rejected. Based on the
Std. results of the analysis in table 3, the calculated value of the
Model B Error Beta t Sig. promotion variable (X2) is 4,457 with a significant level of
1 (Constant) 1.756 1.397 1.256 .212 0,000. And obtained a t-table value of 1,985. Thus, the t-
count value is greater than the t-table value (4,457 > 1,985)
Trust .337 .077 .352 4.352 .000 and is positive, and the significance is smaller than 0,050,
so it can be stated that promotion (X2) has a positive and
Promotion .328 .074 .334 4.457 .000
significant effect on the consumer purchase decisions
E-Service online shop ( Y). Then it can be concluded that the
.313 .080 .288 3.900 .000
Quality hypothesis in this study is proven.
a. Dependent Variable: Purchase Decisions
c) Testing the influence of e-service quality on the
Table 3:- Partial Testing (t-Test) (Source: Primary Data consumer purchase decisions online shop
Processed, 2019) The hypothesis proposed in this study are:
Based on table 3, it can be seen that the results of
 Ha: E-Service quality has a positive and significant
multiple linear regression equations from this research effect on the consumer purchase decisions online shop
model are as follows:
Partial testing is analyzed through the magnitude of
Y = 1,756 + 0,337X1 + 0,328X2 + 0,313X3
the calculated t-value obtained then compares with the t-
table value. When the value is calculated > t-table, then the
The results of testing the hypothesis in this study are
null hypothesis (H0) is rejected, and the alternative
as follows:
hypothesis (Ha) is accepted. Conversely, if the value of t-
count < t-table then the null hypothesis (H0) is accepted,
a) Testing the influence of trusts on the consumer purchase
and the alternative hypothesis (Ha) is rejected. Based on the
decisions online shop
results of the analysis in table 3, the calculated value of the
The hypothesis proposed in this study are:
e-service quality variable (X3) is 3,900 with a significant
level of 0,000. And obtained a t-table value of 1,985. Thus,
 Ha: trust has a positive and significant effect on the the t-count value is greater than the t-table value (3,900 >
consumer purchase decisions online shop 1,985) and is positive, and the significance is smaller than
0,050, so it can be stated that e-service quality (X3) has a
Partial testing is analyzed through the magnitude of positive and significant effect on the consumer purchase
the calculated t-value obtained then compares with the t- decisions online shop ( Y). Then it can be concluded that
table value. When the value is calculated > t-table, then the the hypothesis in this study is proven.
null hypothesis (H0) is rejected, and the alternative
hypothesis (Ha) is accepted. Conversely, if the value of t- V. CONCLUSIONS
count < t-table then the null hypothesis (H0) is accepted,
and the alternative hypothesis (Ha) is rejected. Based on the Research conducted on online shop users, namely
results of the analysis in table 3, the calculated value of the Tokopedia, Bukalapak, and Shopee, especially among
trust variable (X1) is 4,352 with a significant level of college students, has proven that the higher the level of
0,000. And obtained a t-table value of 1,985. Thus, the t- trust, promotion, and e-service quality, the more purchase
count value is greater than the t-table value (4,352 > 1,985) decisions for online shopping. Trust is the most dominant
and is positive, and the significance is smaller than 0,050, factor in influencing consumer purchase decisions at online
so it can be stated that trust (X1) has a positive and shops.
significant effect on the consumer purchase decisions
online shop ( Y). Then it can be concluded that the This study implies that, the need to identify and
hypothesis in this study is proven. analyze other factors that can encourage increased purchase
decisions from consumers, because the adjusted r square
b) Testing the influence of trusts on the consumer purchase value is only 66%, while the rest is influenced by other
decisions online shop variables that have not been studied, including factors of
The hypothesis proposed in this study are: price, product quality, and others so.

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Volume 4, Issue 3, March – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
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