The Impact of Social Influence and Trust on Customer-to-Customer Online Shoppers’ Purchase Intention: An Empirical Study in Indonesia

Abstract

Customer-to-customer (C2C) electronic commerce is a
growing area of e-commerce. It is facilitated in large part by
websites offering free classified advertisement, auctions, forums
and individual pages for small-medium sized and start-up
entrepreneurs. What factors are affecting C2C online shoppers’
Purchase intention? To answer this question, a theoretical
framework was formed and tested using multiple regression on
196 Indonesian customers collected via a Web survey. The results
show that social influence and trust are key predictors of purchase
intention in C2C e-commerce. These findings also indicate, based
on gender, only social influence has a significant difference. While
based on age, it reveals that only trust has no significant difference.
This suggests that to facilitate C2C online shopping, marketplace
or C2C stores need to enhance social influence and develop more
trust as well as take into account shoppers’ perception based on
gender and age.