Analysis of Online Customer Behavior in Social Commerce: Case Study of Consumers in Jakarta, Indonesia

Indonesia as an emerging country is having high growth of e-commerce and social media use. Online shoppers transactions increases significantly both through peer-to-peer or business-to-business platform. People and businesses have been gradually using social web services to reach wider range of customers, engage with customer and to assist online buying and selling activities: This phenomenon, also known as social commerce, is becoming increasingly popular in the country. This study aims to provide better understanding regarding social commerce in urban cities in Indonesia by capturing Indonesian customer online behavior in terms of social media uses for online transaction. The study used online questionnaire to survey 150 respondents in Jakarta, the capital of Indonesia. We used independent-samples t-test, Chi-square test and a Spearman rho correlation analysis in order to compute our data. Our results showed that customers age and gender directly influences the frequency of social media usage and online purchase. On the other hand, occupation and income have no influence in purchase pattern on social commerce. We also found that online shoppers in urban areas of Jakarta are considering transaction security as the most important factor affecting purchase decision-making among online shoppers and bank transfer still remain the main payment tool when purchasing online on social medias.