Purchase intention through search engine marketing: E-marketplace provider in Indonesia

Abstract

In Indonesia, the use of search engine marketing (SEM) for online marketing has carried out by many companies that provide e-marketplaces, so it is necessary to study the effect of SEM on purchase intention for online purchasing. Therefore, this study describes a conceptual model that becomes the structural model in detail and analyzes purchase intention by customers who shop online. After developing the questionnaire as the first step in this study, we survey the 351 customers who have online shopping at the leading companies that provide the largest e-marketplace in Indonesia. The analysis presents “Interactivity” on online shopping correlates with “Hedonic Motivation” and “Purchasing Intention”. “Informativeness” on online shopping correlates with “Performance Expectancy”, and the “Habit” of online shopping relates with “Purchase Intention”. Based on the central equation and t-values of the hypotheses proposed, we can suggest the strategy and present the positive correlation to increase “Purchase Intention” at companies that provide the e-marketplace in Indonesia. This study provides a methodology for implementing a conceptual model (structural model) for another case with the same characteristics.