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The Impact of Security and e-WoM to Purchase Decision with Trust as Mediator in Online Shopping Through the Shopee Application

In: Proceedings of the 4th Asia Pacific Management Research Conference (APMRC 2022)

Author

Listed:
  • Novena Qirana Ranti

    (Universitas Katolik Widya Mandala Surabaya, Faculty of Business)

  • Deatri Arumsari Agung

    (Universitas Katolik Widya Mandala Surabaya, Faculty of Business)

  • Lena Ellitan

    (Universitas Katolik Widya Mandala Surabaya, Faculty of Business)

Abstract

The number of e-commerce popping up in Indonesia, shifting Indonesian buying behavior from offline to online. The largest e-commerce company in Indonesia now is Shopee, therefore this research aims to analyze the impact of security and electronic word of mouth (e-wom) on purchase decisions with trust as a mediator in online shopping through the Shopee application. This study uses a quantitative deductive approach. The analytical technique used in this study is SEM-PLS analysis using the smartPLS program. The population in this study is Shopee users in Makassar, with a sample size of 150 respondents, using the purposive sampling technique. This research proves that security and e-wom significantly affect purchase decisions. This study demonstrates that security and e-wom significantly affect trust. Then, this study also demonstrates that trust has a significant effect on purchase decisions. Trust is also significant as a mediator between security and purchase decision, as well as between e-wom and purchase decision. This research suggests that Shopee should improve the quality of payment information security, explain the information that must be given in the review column, increase trust by keeping promises made to customers, and update the security system to make users feel protected.

Suggested Citation

  • Novena Qirana Ranti & Deatri Arumsari Agung & Lena Ellitan, 2023. "The Impact of Security and e-WoM to Purchase Decision with Trust as Mediator in Online Shopping Through the Shopee Application," Advances in Economics, Business and Management Research, in: Eva Hotnaidah Saragih & Rike Penta Sitio & Rosita Fitriyani & Dhinar Silalahi & Yeneneh Tamirat Nega (ed.), Proceedings of the 4th Asia Pacific Management Research Conference (APMRC 2022), pages 346-359, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-076-3_26
    DOI: 10.2991/978-94-6463-076-3_26
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