Purchase Intention in the Fashion Industry on Local and International E-Commerce in Indonesia

Lim Sanny,Serafim Savionus,Beni Widarman Bin Yus Kelena,Tita Dwi Julianto

doi:10.4018/ijabim.20220701.oa4

Abstract

The purpose of this research is to examine the impact of the two categories of sales promotional tools (monetary and non-monetary) on purchase intention with the consideration of consumers’ perceived quality for fashion products in local and international e-commerce. As the competition between local and international e-commerce is increasingly fierce, it requires an appropriate sales promotion strategy that is in accordance with customers perceptions in Indonesia to capture customers’ purchase intention. This research is purely quantitative by using primary data through distributing online questionnaires to customers who have shopped fashion products in local or international e-commerce. Path analysis was used to verify the conceptual model and hypotheses in this research. This research confirms that sales promotions (both monetary and non-monetary) affect customers’ perceived quality of a product in both e-commerce.

Highlights

Total internet users in Indonesia for the year 2018 accounts for 171,17 million people out of Indonesia’s total population 264,16 million people in 2018
The purpose of this research is to examine the impact of the two categories of sales promotional tools on purchase intention with the consideration of consumers’ perceived quality for fashion products in local and international e-commerce
The characteristics of consumers of the fashion industry in e-commerce platforms based on age, the majority are 21 - 30 years old by 75.9%

Summary

Introduction

Total internet users in Indonesia for the year 2018 accounts for 171,17 million people out of Indonesia’s total population 264,16 million people in 2018. Monetary promotions are a strategy that deducts the original selling price of a product or service, such as giving price discounts or reductions, providing a money saving benefit to consumers (Sinha & Verma, 2020). These include coupons, rebates, and discounts (Chandon et al in Santini et al, 2015). The benefits of non-monetary promotions are not always related to short-term increased sales (Nbudisi & Moi in Santini et al, 2015), these promotions are related to a long term effects between buyers and sellers, such as strengthening their relationships (Kwok & Uncles in Santini et al, 2015)

Objectives

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Conclusion