Gen Z Switching Behaviour in Indonesia Smartphone Industry

Abstract

Objective – This paper investigates the effect of satisfaction, product consumption, values on the brand commitment, and switching behaviour of Gen Z in the Indonesian smartphone industry. The study focuses on the potential of this generation as a big smartphone market in Indonesia. The behaviour of Gen Z in switching its smartphone brand is also examined. Methodology/Technique – This research evaluates the relationship between variables and their mediation using the PLS-SEM approach. A total of 944 Gen Z’s responses were collected through a face-to-face paper-based questionnaire from 4 capital cities of 4 provinces in Java Island. Findings – According to the results, satisfaction significantly influences brand switching. Product consumption value is essential in boosting commitment, an essential aspect that influences the switching of smartphone brands. Previous studies established that commitment mediates between product consumption values and brand switching behaviour. However, it has no mediation effect between satisfaction and brand switching behaviour. Novelty - This research provides new theoretical insight, specifically showing that Gen Z product consumption values and brand commitment could drive them to switch their smartphone brand. These two aspects mediate between product consumption value commitment and brand switching behaviour. Type of Paper: Empirical. JEL Classification: M30, M31, M39 Keywords: Product Consumption Values; Satisfaction; Brand Commitment; Brand Switching Behaviour; Gen Z; Smartphone Reference to this paper should be made as follows: Timotius, Prasastyo, K.W. (2020). Gen Z Switching Behaviour in Indonesia Smartphone Industry, J. Mgt. Mkt. Review, 5(4) 260 – 266. https://doi.org/10.35609/jmmr.2020.5.4(8)