Effects of Social Media on Purchase Intention and Brand Equity of Marketplace Sites in Indonesia

Dr. Lady and Andrean Kie
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Dr. Lady: Department of Business Management, Universitas Internasional Batam, Indonesia
Andrean Kie: Department of Business Management, Universitas Internasional Batam, Indonesia

International Journal of Research and Innovation in Social Science, 2020, vol. 4, issue 6, 423-426

Abstract: Marketplace is a popular term used in Indonesia online shopping experience, which a third party site who consists of many sellers (companies or individuals) selling their products to their customers. The purpose of this study was to analyze the effect of social media on the purchase intention of men’s fashion item on the Marketplace sites. This sample in this study was the customers of men’s fashion items in five largest marketplace sites in Indonesia, they are Tokopedia, Shopee, Lazada, Bukalapak and OLX. The results showed that all hypotheses were significantly positive, except for brand knowledge and perceived persuasiveness on marketplace brand equity; perceived in formativeness on purchase intention; and perceived usefulness as moderator between perceived persuasiveness and marketplace brand equity which are showed insignificant results. These results verify that companies must realize the enormity of the social media impact on the value of the company’s equity, which is a big thrust to trigger purchase intention.

Date: 2020
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