Abstract
The purpose of this paper is to examine consumer attitudes toward online shopping in Marketplace, Shoppee. The paper used three variables which includes trust, perceived website quality, and electronic word of mouth (eWOM) along with their relationships in order to examine the effects of eWOM as mediator toward website quality and trust relationship. An offline survey was employed targeting online shoppers of Shoppee, one of reputable marketplace in Indonesia. A sample of 200 students in Universitas Atma Jaya Yogyakarta as online shoppers was involved in the online survey. Regression and Path analysis was used to test the hypothesized relationships of the research model. The empirical findings of this research shows that website quality and eWOM are predictor of consumer trust. Hence, EWOM also has mediation effect. The implication of this research is to support the importance of eWOM as key drivers to build trust among customers in online shopping. It also underlines the importance of website quality as important factors in online shopping.Keywords: eWOM, Website quality, Trust, Online Shopping
Highlights
The number of internet users in Indonesia has risen exponentially
The purpose of this research is to investigate the impact of website quality and electronic word of mouth (eWOM) toward consumer trust
The research investigates the effect of web quality, eWOM, toward trust in online transaction, and the role of eWOM as mediation
Summary
The number of internet users in Indonesia has risen exponentially. In 2015, 89.32 million people were accessing the internet in Indonesia, and in 2017 have grown until 104.96 million, and it is projected to increase to 133.39 million in 2021. The Indonesians are netizens in every sense of the word, with a need for constant connectivity, instant information, and a growing appetite for digital content. They spend a higher-than-average amount of time on the Internet, primarily engaging in heavy social media usage and e-commerce. In 2016, revenue of ecommerce in Indonesia amounted to USD 6 billion, 78 percent of current Internet users made online purchases. The industry is expected to grow by approximately 18 percent annually in the five years, reaching a market volume of USD 16.4 billion by the end of 2020 (Das et al, 2016)
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