THE INFLUENCE OF SERVICE QUALITY AND PROMOTION TOWARD
CUSTOMER SATISFACTION (Case: Lazada Indonesia Fashion Segment)
By:
Fahdzian Ghassandy Merzadi 1111081200008
DEPARTMENT OF MANAGEMENT INTERNATIONAL CLASS PROGRAM FACULTY OF ECONOMICS AND BUSINESS
SYARIF HIDAYATULLAH STATE ISLAMIC UNIVERSITY JAKARTA
i
THE INFLUENCE OF SERVICE QUALITY AND PROMOTION TOWARDCUSTOMER SATISFACTION
Undergraduate Thesis
Submitted to the Faculty of Economics and Business In Partial Fulfillment of the Requirements For Acquiring Bachelor Degree of Economics
By:
Fahdzian Ghassandy Merzadi 111108120008
Under Supervision of:
Supervisor I Supervisor II
Dr. Muniaty Aisyah, Ir., MM Ade Suherlan, MBA, MM
ID: 19780307 201101 2003 ID: 19800525 2009 12 1 001
DEPARTMENT OF MANAGEMENT INTERNATIONAL CLASS PROGRAM FACULTY OF ECONOMICS AND BUSINESS
SYARIF HIDAYATULLAH STATE ISLAMIC UNIVERSITY JAKARTA
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CERTIFICATION OF THESIS EXAM SHEET Today is Friday November , 2015 has been conducted on the student comprehensive examination:
1. Name : Fahdzian Ghassandy Merzadi
2. Student Number : 1111081200008
3. Department : Management ( International Class )
4. Thesis title : Relationship Between Service Quality and Promotion Toward Customer Satisfaction
After careful observation and attention to appearance and capabilities relevant for comprehensive examination process, it was decided that the above student passed for the comprehensive examination was accepted as one of requirements to obtain a Bachelor of Economics in The Faculty of Economics and Business
SyarifHidayatullah State Islamic University Jakarta. Jakarta, December 29, 2015
Dr. Desmadi Saharuddin, MA ( _____________________ )
NIDN : 0422125902 Chairman
Ela Patriana, Ir., MM ( _____________________ )
ID: 19720516 200901 1 006 Secretary
Dr. Muniaty Aisyah, Ir., MM ( _____________________ )
ID: 19780307 201101 2003 First Supervisor
Ade Suherlan, MM., MBA ( _____________________ )
ID: 19800525 200912 1001 Second Supervisor
Leis Suzanawati, SE, M.Si ( _____________________ )
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CERTIFICATION OF COMPREHENSIVE EXAM SHEET
Today is ThursdayOctober8, 2015 has been conducted on the student comprehensive examination:
1. Name : Fahdzian Ghassandy Merzadi
2. Student Number : 1111081200008
3. Department : Management ( International Class ) 4. Thesis title : The Influence of Service Quality And
PromotionToward Customer Satisfaction
After careful observation and attention to appearance and capabilities relevant for comprehensive examination process, it was decided that the above student passed for the comprehensive examination was accepted as one of requirements to obtain a Bachelor of Economics in The Faculty of Economics and Business SyarifHidayatullah State Islamic University Jakarta.
Jakarta, October9, 2015
M. Hartana I Putra, SE., M.Si ( _____________________ )
Examiner I
Amalia, SE., MSM ( _____________________ )
Examiner II
Masruroh, SE., M.Si ( _____________________ )
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SHEET STATEMENT
AUTHENTICITY SCIENTIFIC WORKS
Signature below:
Name : Fahdzian Ghassandy Merzadi Student ID : 1111081200008
Faculty : Economics and Business Department : Management
Hereby declare that in the writing of this thesis, I:
1. Do not use other people’s idea without being able to develop and accountable.
2. Do not do plagiarism of other people’s works manuscript.
3. Do not use other people’s work without mentioning the original source or without the owner’s permission.
4. Do not manipulate and falsify the data.
5. Own work and able to work responsible for this work.
If in the future is a demand from other side of my work, and have been
accountably proved, was indeed found evidence that I have violated the above statement, then I am ready to be sanctioned according to rules applicable in the Faculty of Economic and Business Syarif Hidayatullah State Islamic University Jakarta.
Thus statement truly made with sincerely.
Jakarta, November 2015
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Curriculum Vitae
Formal Education :
Education Name of School Year
University : Universiti Utara Malaysia
Bachelor of International Business Management (Hons.) (CGPA: 3.37)
(Double Degree Program)
Universitas Islam Negeri Syarif Hidayatullah Jakarta
Sarjana Ekonomi (CGPA: 3.59) (Double Degree Program)
2013 – 2015
2011– 2013
Senior High School : Madrasah Aliyah Swasta Miftahussalam, Medan, Indonesia
2008 – 2011
Junior High School : Yayasan Pendidikan Shafiyyatul Amaliyah, Medan, Indonesia
2005 – 2008
Elementary School : Sekolah Dasar Percobaan Negeri, Medan, Indonesia
1999 – 2005
Skill Proficiency:
Language Skill
> English Competent in Speaking and Writing
>Malay Competent in Speaking and Writing
>Indonesian Competent in Speaking and Writing
Personal Detail : Jati Murni, Psr. Minggu, Jakarta Selatan 12540 Handphone : +62812-49750321
E- mail : fahdziangm@gmail.com
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Computer User Skill
> Internet User Skill
> Windows PC User Skill
> Microsoft Windows Application (Microsoft Word, PowerPoint, Excel)
A Affiliation:Attributes:t Attriributes:Attributes:
ENACTUS Member of H.O.M.E project of the Year (2013)
Dean Award receiver in 1st semester in Universiti Utara Malaysia (GPA: 3.54) Scholarship Scheme receiver for 3-semester in Universiti Utara Malaysia (2014)
Champion in Enactus Malaysia National Cup 2014 in Malaysia (May 2014)
Semi-finalist in Enactus World Cup 2014 in Beijing, China (October 2014)
Dean Award receiver in 3rd semester in Universiti Utara Malaysia (GPA: 3.61)
Attributes:
Honest, have a good personality, and friendly
Good leadership
Responsible
Ability to adapt to different environments
Hard working
Willing to learn
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Motivational and energetic
Able to work independently
Able to change
Committee Member of Islamic Event Organizer (2009-2011)
English Club MAS Miftahussalam Medan (Leader, 2009-2011)
Community of People against Corruption in Madrasah Aliyah Miftahussalam (2009-2011)
Member of International Student Society UUM (2013 – 2015)
Indonesian Students’ Asso iation PPI , Universiti Utara Malaysia (Member, 2013
–2015)
Member of Entrepreneurial Action Us (ENACTUS), Universiti Utara Malaysia (2013– 2015)
Participant in Malaysia Independence Celebration Day held by UUM (August 2013)
Participant in Industry Talk: Ethics in Workplace (2014) Participant in UUM-CIMA
Students’ Conferen e held by CIMA
Participant in International Entrepreneurial Networking Course (2013)
Participant in IM4U workshop in USM (2014)
Participant in ENACTUS Malaysia National Cup (25-27 May 2014)
Participant in ENACTUS World Cup (22-24 October 2014)
Affiliation:
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Audience in Family Day PPI A131 held by PPI UUM (September 2013)
Fashion Show Performer in Family Day PPI A131 held by PPI UUM (September 2013)
Audience in Pementasan Teater Fragmen Tolong (December 2013)
ENACTUS Member of H.O.M.E project of the Year (2013)
Master of Ceremony in ENACTUS Day held by ENACTUS UUM (2014)
Event Manager in ENACTUS preparation week held by ENACTUS UUM (2014)
Fashion Show performer in Global Fiesta 2014 held by AISEC (2014)
Leader of UIN Jakarta Students’ So iety in UUM August – 2014)
Drama Performer in ENACTUS Grand Dinner held by ENACTUS (2014)
Dancer Performer in ENACTUS Grand Dinner held by ENACTUS (2014)
Event Organizer in LDK PPI held by PPI UUM (2014)
Committee in ENACTUS Exhibition in Beach street, Penang (2014)
Committee in ENACTUS Exhibition in RTC, Changlun (2014)
Committee in International Student Orientation Week 2014 in UUM (25/8-4/9 2014)
Master of Ceremony in International Student Orientation Week 2014
Teaching 24 elementary students in 1000 Guru Sukabumi (22-23 Agustus 2015)
PT. Proxis Solusi Bisnis Internship January 2012 - February 2012
PT. Perkebunan Nusantara III Internship February 2015 – May 2015
Co-Curricular Activities:
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Identity :
Place and Date Of Birth Nationality
: :
Bandung, April 21, 1993 Indonesian
Religion : Moslem
Sex : Male
Marital Status Interests/ Hobbies
: :
Single
Swimming
Entrepreneurship
Travelling
Photographing
Gathering
Adventuring
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ABSTRAK
Penelitian ini bertujuan untuk menganalisis pengaruh kualitas layanan dan promosi terhadap kepuasan pelanggan Lazada Indonesia. Metode convenience sampling telah dipilih untuk memperoleh data dalam penelitian ini. Penelitian ini menggunakan 100 responden dan keseluruhan responden adalah pelanggan Lazada Indonesia yang berbelanja di halaman web Lazada Indonesia. Metode analisis yang digunakan adalah multiple linier regression. Hasil penelitian menunjukan bahwa service quality dan promotion berpengaruh secara simultan terhadap customer satisfaction. Secara parsial service qualitydan promotion berpengaruh signifikan terhadap customer satisfaction.
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ABSTRACT
This research aims to analyze the influence of service quality and promotion towards customer satisfaction of Lazada Indonesia. Convenience sampling method has been selected in order to obtain the data in this study. This research uses 100 respondents and respondents overall are Lazada Indonesia customers whose shop in the Lazada Indonesia website. Methods of analysis used is multiple linier regression. The result of this research shows that service quality and promotion simultaneously have significant influence towards customer satisfaction. Partially, service quality and promotion have significant influence towards customer satisfaction.
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PREFERENCE Bismillahirrahmanirrahim,
Assalammualaikum Warahmatullahi Wabarakaatuh
Alhamdulillahirabbilalamin, I would say thanks and being grateful to AllahSubhanahu wa ta’ala for His gift. Best regards also to prophet Nabi Muhammad Shalallahu’alaihi wassalam for being the role model for me. So, I can finish thisthesis and fulfilling one of the requirement to get my Bachelor of Economy Degree in State Islamic University, Syarif Hidayatullah Jakarta.
In the process of the preparation of this thesis, the author realized that thisthesis is far from perfect. but with effort and prayer, then the author of the successful completion of this thesis. With prayers and the support given by the people closest to me. I say thanks to the people who have helped me in the preparation of thesis:
1. Thanks to mother Faizah Khaiyat, father Melloukey Ardan, and my brothers Riffadel Mohammad Merzadi and Farhannabil Caesario Merzadiwho are always give the support and never Business Faculty of State Islamic University Syarif Hidayatullah Jakarta.
3. Dr. Muniaty Aisyah, Ir., MM as a first supervisor, thank you for your advice and knowledge during guiding to finish my thesis. 4. Mr. Ade Suherlan, MBA, MM as a second supervisor, thank you
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5. Lecturer of UIN Syarif Hidayatullah Jakarta, who have gave the knowledge and experience.
6. All academic staff FEB UIN Jakarta, who have worked well to serve all student.
7. Firas Azhari, thank you for your support, concern, reminder, nagging and time for me . Thanks for helping me so much to finish this thesis, youwere always there when I need.
8. To my friends who always help me to complete this thesis Pramayassya Amero, Akira Aula Afif, Ilma Rafika, Andhianty Nur Pratiwi, Rendy Aditya Yusantri, Nadiah Intan Sahara, Iqbal Almaududi, Maulidan Septiawan, Vidro Amero, Uji Abu, Fahrur Rozi, Imanina Almas, Ratu Balgis, Siti Fatimah,Bang Rohiim, Bang Andro, Bang Bonix and the others thank you for helping me, success for all of you guys.
9. To my classmate in International Management 2011, I miss the moment which were we spent together.
10.To 1000 guru sukabumi, thank you for the lesson and experience which were given to me.
11.Finally, the author expect for any critics as well as suggestion that could improve the content of this thesis. Hopefully this thesis could be worth for all of us. Aamiin
Waullahul Muwafik Ila Aqwamit Thariq
Wassalamualaikum Warahmatullahi Wabarakaatuh
Jakarta, October 26th 2015
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LIST OF CONTAINS
ACCEPTANCE OF LETTER ... i
CERTIFICATION OF THESIS EXAM ... ii
CERTIFICATIOKN OF COMPREHENSIVE EXAM ... iii
SHEET STATEMENT ... iv
CURRICULUM VITAE ... v
ABSTRACT ... ix
ABSTRAK ... x
PREFERENCE ... xi
LIST OF CONTAINS ... xiv
LIST OF TABLE ... xviii
LIST OF FIGURE ... xx
APPENDIX ... xxi
CHAPTER I INTRODUCTION A. Background of the Study ... 1
B. Problem Definition ... 6
C. Objectives of the Study ... 7
xv
CHAPTER II LITERATURE REVIEW
A. Theory Development
1. Consumer Behavior ... 9
2. Purchase Decision Process ... 10
3. Customers Satisfaction ... 11
4. Marketing Mix ... 14
5. Service Quality ... 17
6. Promotion ... 23
B. Previous Research ... 25
C. Logical Framework ... 32
D. Hypothesis ... 33
CHAPTER III RESEARCH METHODOLOGY A. Scope of Research ... 34
B. Sampling Method 1. Population ... 34
2. Sample ... 35
C. Data Collection Method 1. Data Type a.Primary Data ... 36
b.Secondary Data ... 37
2. Collecting Data Method ... 38
D. Data Quality Test 1. Validity Test ... 39
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E. Classic Assumption
1. Normality Test ... 40
2. Multicollinearity Test ... 41
3. Heteroscedascity Test ... 41
F. Hypothesis Test 1. Simultaneous Test (F – Test) ... 42
2. Partial Test (T – Test) ... 43
G. Multiplee Linier Regression Anaysis ... 44
H. The Coefficient of Determination (r2) ... 45
I. Research Variable Operation ... 45
CHAPTER IV ANALYSIS A. General Overview Research Object ... 48
B. Analysis and Discussion 1. Data Quality Test a.Validity Test ... 52
b.Reliability Test ... 54
2. Classic Assumotion a.Normality Test ... 55
b.Multicollinearity Test ... 59
c.Heteroscedasticity Test ... 60
3. Descripitive Analysis a.Service Quality ... 62
b.Promotion ... 74
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4. Hypothesis Test
a.Simlaneous Test (F – Test) ... 79
b.Partial Test (T – Test) ... 80
5. Multiple Linier Regression Analysis Test ... 82
6. Coefficient of Determination (Adjusted R2) ... 84
CHAPTER V CONCLUSION AND RECOMMENDATION A. Conclusion ... 85
B. Recommendation 1. For Company a.Promotion ... 86
2. Future Researcher ... 87
REFERENCE ... 88
xviii
4.2 The Result of Realibility Test of Service Quality 54
4.3 The Result of Realibility Test of Promotion 54
4.4 The Result of Realibility Test of Customer Satisfaction 55
4.5 One-Sample Kolmogrov-Smirnov Test 59
4.6 Coefficients of Multicollinearity Test 60
4.7 Coefficients of Heteroscedasticity Test 62
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4.23 Question 16 72
4.24 Question 17 73
4.25 Question 18 74
4.26 Question 19 74
4.27 Question 20 75
4.28 Question 21 76
4.29 Question 22 76
4.30 Question 23 77
4.31 Question 24 78
4.32 Question 25 78
4.33 Question 26 79
4.34 Simultaneous Test 79
4.35 Result of T – Test 80
4.36 Multiple Linier Regression Analysis 82
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LIST OF FIGURE
No Description Page
2.1 Relationship between E-Service Quality and Customer Satisfaction 19
2.2 Logical Framework 32
4.1 Normal P-Plot of Regression Standardized Residual 57
xxi
LIST OF PICTURE
No Descroption Page
1.1 Estimated B2C eCommerce 5
1.2 Fact About Mobile Phone User In Indonesia 5
2.1 Model of Buying Behavior 10
2.2 Types of Advertising 24
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APPENDIX
No Descroption Page
1 Research Questionnaire 94
2 Multiple Linier Regression Analysis Questionnaire 99
3 Frequency of Respondents 120
4 Validity and Realibility Test 129
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CHAPTER I INTRODUCTION
A. Background of the Study
Business is concerning on how to sale things, exchange their goods into money. In the last decades, firms have come to realize that understanding, meeting and anticipating customer needs is probably the most important source of sustained competitive advantage for a firm (Vilares and Coelho, 2003). Offering things that might be needed by their consumer and focus on what the consumer wants then produce it is the only concern of business. Whereas beside selling, offering and giving products to the customer, about how we deliver, communicate our product and last to the consumer and make consumer satisfied with it, is important. That is why delivering our product with a good manner of service is essential in the business. Excellent customer service may indeed be the best answer to encounter the increasing trend of outsourcing. In order to maintain and gain consumer and to sustain the business, we must concern to the service as well.
2
another. Often time-based, services performed bring about desired results to recipients, objects, or other assets for which purchasers have responsibility. In exchange for money, time, and effort, service customers expect value from access to goods, labor, professional skills, facilities, networks, and systems; but they do not normally take ownership of any of the physical elements involved. (Christopher and Wirtz, 2011).
In this tight competition world of business, the way we compete with other is not only by the quality of our products but also the quality of service that we offer to the consumer who wants to buy our products. The fact that the perceived quality of the product is becoming the most important competition factor in business world has been the reason of naming the present business era as “Quality Era” (Peeler (1996) cited in Mosahab et al. (2010)). Service that satisfied consumer will lead to the consumer loyalty once they know the quality of service a business has. Consumer will feel more comfortable when entering a store with a warm greet from the seller than nothing at all. And a word such ‘thank you and see u again’ or ‘thank you and have a good day’ will affect the mood of consumer after buying an item from a store.
3
assurance, responsiveness, empathy and tangibles. Then, these variables used as the variables to explain the dimension that make service quality.
Modernization is one of the impacts of globalization that bring along the life style changes. Everyone uses technology to help doing the daily life activity including buying and selling. As stated by Szymanski and Hise (2000), Devaraj et al. (2002), Anderson and Srinivasan (2003), Ribbink et al. (2004), Shih (2004), Flavian et al. (2006) cited in Sun and Lin (2009) that a number of studies have documented the significant role of website technology factors and service quality in influencing customer e-satisfaction and e-loyalty, concerned with consumers’ psychological state, attitude and behavior, derived from how they feel about their online shopping experiences. Recent research also suggests that customer satisfaction in the online environment is significantly higher than in traditional channels as a result of ease of use in acquiring information (Hernandez et al. (2009), Poddar et al. (2009), Yang et al. (2008), Verhagen and Dolen (2009) cited in Lin and Sun (2009)).
Digital facility become closer to the people daily life. Almost every thing done by the digital technology. Because the technology using is consider more efficient and cheaper. However, the conflict caused to get the market happen. “The growing of daring business in 2013 reach 71% (Rp 18 billion), over Tiongkok that reached 61%” (Kompas, 2015:15). In 2012, an
4
are not only in Jakarta that regularly buying, even consumers outside Jakarta also did to follow the globalization era. Data from the research institution ICD predicted that e-commerce market in Indonesia will grow 42% from 2012-2015. This number is quite higher compare to other countries such as Malaysia (14%), Thailand (22%) and Philipines (28%).
Companies need to avoid the mistake of setting customer expectations too high through exaggerated promotional claims since this can lead to dissatisfaction if performance falls short of expectations (Jobber stated in Mattsson, (2009:12) cited in Azhari (2015).
Lazada is one of few of e-commerce sites in Indonesia. The largest online shopping mall in Southeast Asia, which launched in 2012 selling electronics, health and beauty aids and lifestyle products, Lazada quickly gained a following. The Web site has five million Facebook fans, said Martell Hardenberg, cofounder and fashion category manager. Lazada partners with local delivery companies to ship thousands of orders every day to the five countries it services Indonesia, Malaysia, Vietnam, Thailand and the Philippines (Edelson, 2013).
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Picture 1.1
Estimated B2C eCommerce
Picture 1.2
Fact About Mobile Phone User In Indonesia
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million daily visits. The company had 1.6 million unique active product listings (SKUs), 15,000 active selling partners, 58 ;ast mile distribution hubs and 51 logistics partners. Lazada’s total user base grew from 3.9
million at hte end of 2014 to 5.3 million end of Q1 2015.
Online business gives customers a wider product selection, competitive price and most importantly, an easy access to information (Khristianto et al. (2012) cited in Hila Ludin et al. (2014)). Christodoulides and Michaelidou (2011) cited in Hila Ludin et al. (2014) state that online retailers that are able to provide and exchange information via formal or informal platform with the customers would most likely increase the customers' satisfaction and add value to the shopping experience.
Based on this background, the title of the study is “The Influence of Service Quality and Promotion toward Costumers’ Satisfaction”.
B. Problem Definition
The improved market globalization improves the market competition among businesses. Market is increasingly hypercompetitive. Giving a good service means to gain competitive advantages. This perception should, in turn, force business to concern on how to satisfy the consumer by its service. To examine the influence of service quality and promotion toward customer satisfaction, this research under-lays these following questions:
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2. Does promotion influence customer satisfaction?
3. Do service quality and promotion influence customer satisfaction simultaneously?
C. Objectives of the Study
To be more specific, the study was undertaken in order to:
1. To analyze the influence of service quality to customer satisfaction.
2. To analyze the influence of promotion to customer satisfaction.
3. To analyze the influence of service quality and promotion to customer satisfaction simultaneously.
D. Benefits of the Study
This research will provide the following benefits: 1. For The Universities
On the basis of findings of the study, the report has identified the reasons behind the influence of service quality and promotion toward customers’ satisfaction.
2. For the Company
As the consideration for business in making decision about the influence of service quality and promotion toward customers’ satisfaction.
3. For the Research
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the influence of service quality and promotion toward customers’ satisfaction.
4. For Further Research
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CHAPTER II LITERATURE REVIEW
A. Theory Development
The review will start with the understanding of service quality and customer satisfaction. In the next step this literature review intends to elaborate a critical evaluation of the influence of service quality and promotion toward customer satisfaction.
1. Consumer Behavior
Consumer is defined as someone who acquires goods or services for direct use or ownership rather than for resale or use in production and manufacturing (Ajibola & Njogo, 2012). There are some powers that consumers have. One of the present fundamental presumptions for the consumer behavior is the fact, that people often buy products not because of their main function but for their main subjectively perceived value. It does not mean that product’s basic functions is not important, but that’s the
today’s roleof products exceeds its service limits (Salomon, 2004).
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2. Purchase Decision Process
Decision making is painful (Pfister, 2003). It requires effortful processing of available information to reach a suitable judgement. Thus, consumers may rely on inferences to make a choice. Family members play an important role in the unit of analysis in consumer purchase decision-making is well established (Xia et al, 2006). There are many previous studies that illustrated the purchase decision making from the view point of family e.g. (Xia et al, 2006), while the others facused on the subject from the view point of the couple (Frikha, 2010). Sallam (2014) defines purhcase decision making as process by which (1) consumers identify their needs, (2) collect information, (3) evaluate alternatives and (4) make the purchase decision. These actions are determined by psychological and economical factors, and influences by the environmental factors such as cultural, group and social values (Xia et al., 2006).
Picture 2.1
Model of Buying Behavior
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3. Customers Satisfaction
Satisfaction is a post-activity measuring index that measures the interior state of thecustomer’s feelings about past purchases and
experiences of shopping. Measuring the degree of satisfaction of customers is rather critical since satisfaction with the distribution service influences the customer’s decision whether to continue using thechannel. Oliver (1997)cited inSun & Lin (2009) described customer satisfaction as the summary psychologicalstate resulting when the emotion surrounding disconfirmed expectations is coupled with a customer’s prior feeling about the customer experience. Szymanski and Hise (2000) cited in Sun & Lin (2009) contended that consumer perceptions of online convenience, merchandising (product offerings and product information), site design and financial security play important roles in e-satisfaction assessments.
Oliver (1997, p. 233) cited in Sun & Lin (2009) defined customer loyalty as “a deeply held commitment to rebuy or patronize a preferred product/service consistently in the future, thereby causing repetitive same-brand or same same-brand-set purchasing, despite situational influences and marketing efforts having the potential to cause switching behavior”.
This definition has been used extensively in related research on e-loyalty. Anderson and Srinivasan (2003, p. 417) cited in Sun & Lin (2009) identified e-loyalty as “a customer’s favorable attitude toward an electronic business resulting in repeat buying behavior”. Furthermore, they
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commerce. They concluded that although satisfaction has an impact on e-loyalty, this relationship is moderated by consumers’ individual level factors and firms’ business level factors. Among consumer level factors, convenience motivation and purchase sizewere found to accentuate the impact of e-satisfaction on e-loyalty, whereas inertia was found to suppress the impact of e-satisfaction on e-loyalty. With respect to business level factors, both trust and perceived value, as developed by the company, were found to significantly accentuate the impact of e-satisfaction on e-loyalty.
As determined by Kotler (2008:136), customer satisfaction is a person’s feelings of pleasure or disappointment that result from comparing
a product’s perceived performance (or outcomes) to their expectations.
Satisfaction can be associated with feeling of acceptance, happiness, relief, and delight (Hoyer, 2005:98). Customer satisfaction is a pleasurable fulfillment response while dissatisfaction is an un pleasurable one (Buttle, 2004).
Customer satisfaction is defined as a customer’s overall evaluation
of the performance of an offering to data. This overall satisfaction has strong positive effect on customer loyalty intentions across a wide range of product and service categories (Gustafson, 2005).
13
Eastern cultures, where the social life has been shaped in a way that socialcommunication with other people enhances the society, is more important (Jamal &Naser, 2002).
Although satisfaction has been defined as the difference between expectation and performance, but there are differences between quality and satisfaction. For example, Parasuraman et al. (1991) say that satisfaction is a decision made after experience while quality is not the same. On the other hand, in satisfaction literature, expectations for goodsis “would”, while in
service quality literature, expectations for goods is “should”.
Cadotte & Turgeon (1988) cited in Mosahabet al. (2010) have introduced another group of factors known as neutral factors. Besides, Liljander & Strandvik (1993) say that experience is not needed for evaluating service quality, and service can be evaluated on the basis of the knowledge about service provider, while satisfaction is an inner view, resulted from customer’s own experience from the service.
The conducted research by Irawan cited in Amri (2009:24), Marketing and Research consultant from Frontier says there are five primary drivers of customer satisfaction:
a. Product quality.
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b. Price.
For sensitive consumer usually low price is an important source of satisfaction because they will get satisfaction of high value of money. This price component is not important for those who are not sensitive toward price.
c. Service quality.
Service quality always depends on three things: system, technology, and people.
d. Emotion.
The feeling of product, confident, symbol of successes are example of emotion value that serves as a basic for customer satisfaction.
According to Peter (2007: 181) service quality and customer satisfaction is growing concern to business organizations throughout the world, and research on these topic generally focuses on two key issues, understanding the expectations and requirements of the customer and determining how well a company and its major competitors are succeeding in satisfying these expectation and requirements.
4. Marketing Mix
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a. Product Elements
Managers must select the features of both the core product (either agood or service) and the bundle of supplementary service elements surrounding it, with reference to the benefits desired by customers and how well competing products perform. In short, we need to be attentive to all aspects of the service performance that have the potential to create value for customers.
b. Place and Time
Delivering product elements to customers involves decisions on the place and time of delivery, as well as the methods and channels employed. Delivery may involve physical or electronic distribution channels (or both), depending on the nature of the service being provided.
c. Promotion and Education
16
where and when to obtain it, and provide instructions on how to participate in service processes.
d. Price and Other Cost of Service
This component addresses management of the costs incurred by customers in obtaining benefits from the service products. Service managers not only set the selling price, trade margins, and establish credit terms; they also seek to minimize, where possible, other costs that customers may bear in purchasing and using a service, like related costs (e.g., travel expenses), time, and mental and physical effort. e. Physical Environment
The appearance of buildings, landscaping, vehicles, interior furnishing, equipment, staff members, signs, printed materials, and other visible cues all provide tangible evidence of a firm’s service quality.
f. Process
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g. People
Many services depend on direct interaction between customers and afirm’s employees (like getting a haircut or
talking to a call centerstaff). The nature of these interactions strongly influences thecustomer’s perceptions of service
quality. 5. Service Quality
According to Kotler (2008:225), a service is any activity of benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Its production may or may not be tied to a physical product. A service is a time-perishable experience performed for a customer acting in the role of co-producer (Fitzsimmons, 2007:4).
The fact that the perceived quality of a product is becoming the most important competition factor in business world has been the reason of naming the present business era as “Quality Era” (Peeler (1996) cited in Mosahabet al. (2010)). Avkiran (1994) has introduced a model consisting of four dimensions (personnel’s contact, reliability, communication, access
to services), and seventeen components. Othman & Own (2001) have offered a model called CARTER, consisting of Complaint, Assurance, Reliability, Tangibles, Empathy and Responsiveness which includes 34 components.
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shoppers can be shown infigure 2.1. The five e-service quality dimensions have been selected from the E-SERVQUAL model. E-SERVQUAL measures website E-SQ (Service Quality) asperceived by customers. It is a method for measuring website E-SQ that is based on thesame principle as the original SERVQUAL method and includes some dimensions similar to those of SERVQUAL. The E-SERVQUAL scale contains a core and recovery scale, represented by four and three dimensions respectively (Zeithaml, Parasuraman, and Malhotra; 2000, 2002 cited in Rahman & Miazee (2010)). Core scale is used to measure the customer’s perceptions of service quality delivered by online retailers. Recovery scale refers to specific situations, when a customer has a question or runs into a problem, in which the three dimensions of the recovery scale become silent. In simpler terms, it can be said that core scale refers to the quality of the website itself, while the recovery scale is more concerned with the actual performance of the company, rather than with website performance.
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Figure 2.1
Relationship between E-Service Quality and Customer Satisfaction based on E-SERVQUAL
Source: E-Service Quality and Customer Satisfaction, 2010
a. Efficiency
Efficiency defines as customer’s ability to effectively access the
low-20
speed PCs, by reducing the number of complicated graphics (any given page contains few graphics and these are appropriateto page content, graphics are not essential to site use. If graphics are turned off or atext-only client is used, the site remain fully functional) and by using interlacing.
b. Fulfillment
Fulfillment refers to a company’s actual performance in contrast
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chasing delivery or querying the progress of the order. Likewise, if the right product is provided, it saves the customer time in searching for an alternative elsewhere.
c. Reliability
Reliability is a technical function of the website such as the extent to which it is available and functioning properly (Cristian & Iulian (2007) cited in Rahman & Miazee (2010)). Scholar (Jessica (2003) cited in
Rahman & Miazee (2010)) said “reliability refers to the ability to perform the promised service accuracy and consistently, including frequency of updating the website, prompt reply to customer enquiries and accuracy of online purchasing and billing”. This findings is consistentwith the view of
Parasuraman et al (1998) cited in Rahman & Miazee (2010), he stated that reliability is the mostimportant dimension in all services. Focus group participants repeatedly emphasized frustration that many websites do not update frequently. In contrast, websites providing up-to-date information received high appraisals. Moreover, Reliability involves consistency of performance and dependability. It means that the firm performs the service right the first time. It also means the firm honors its promises. Especially it involves: accuracy in billing, keeping records correctly, performing the service at the designated time (Berry et al. (1985) cited in Rahman & Miazee (2010)).
d. Privacy
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data are not shared and that credit card information is secured (Zeithaml (2002) cited in Rahman & Miazee (2010)). The construct of privacy refers to companies not sharing information with third parties unless the customer gives permission. It also includes the security of sensitive information between the customer and the company (Hoffman, Novak & Peralta (1999); Wolfinbarger & Gilly (2002) cited in Rahman & Miazee (2010)). Inaddition, this includes providing visual symbols, so customers know a secure connection is being achieved. Lessig (1999) cited in Rahman & Miazee (2010) mentioned that as the number of consumer’s purchases through the internet increases, electronic vendors canincreasingly obtain online buyer’s private information such as demographic profiles or
consumer shopping behavior which can be passed on to third parties. However, Shapiro (2000) cited in Rahman & Miazee (2010) argued that many successful online service providers have customized their services and redesigned the offered products to match individual customers’ needs identified through the customer’s personal information. Shapiro also found
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e. Responsiveness
Responsiveness measures the ability of a company to provide appropriate information to customers when a problem occurs, have mechanism for handling returns and providing online guarantees (Zeithaml (2002) cited in Rahman & Miazee (2010). The ability to prompt provides service;examples of responsiveness include calling the customer back quickly, serving lunch fast to someone who is in a hurry or mailing a transaction slip immediately (Lamb, Hair, McDaniel, (2009) cited in Rahman & Miazee (2010). Accordingly, Watson et al. (1998) cited in Rahman & Miazee (2010) referred to responsiveness as willingness to help customers and it can be measured by the time taken before replying to customer’s inquiries. As suggested by Dubbs (2001)cited in Rahman &
Miazee (2010), responsiveness is enhanced when the site provides flexible return and exchange policies that will encourage customers to make online purchases since it reduces the perceived risk associated withthe purchase. Liao & Cheung (2002) cited in Rahman & Miazee (2010), customers expect online stores to respond to their inquiries promptly. In sum, previous researchers found that responsiveness of web-based services have highlighted the importance of perceived service quality and customer satisfaction (Yang & Jun (2002); Zhu et al.(2002) cited in Rahman & Miazee (2010)).
6. Promotion
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through promotion, companies communicate with customers tomake them aware of the existence of companies products and services to that they interest to visit and make purchase.
According to Cheney et al. (2015) that most owners used some form of social media or electronic communication, but owners varied widely in how often they utilized social media orhow well it was integrated into other marketing strategies. Facebook was the primary method owners used to communicate with customers. It was an easy way for them to quickly post specials, feature new e-liquid “juice” flavors, and post pictures of newly arrived products: We typically do weekly specials and then we’llthrow in those specials with them just a way for if people, if they keep up with our Facebook, theyare rewarded for it basically.
Picture 2.2 Types of Advertising
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According to Sullivan & Adcock (stated in Japarianto and Djati,2011:5), retail promotion is the activity of the company in order to attract visitors and obtain information on how many the consumers. The retail promotion mix elements are as follows:
a. Sales Promotion
Sales Promotion, are special incentives or excitement-building program that encourage consumers to purchase a particular product or service (Levy and Weitz (2012) cited in Azhari (2015)).
b. Advertising
Advertising is part of the promotional mix, simply advertising is defined as a message that offers a product aimed at the public through a medium. (Kasali(2007:9) cited in Azhari (2015)). B. Previous Research
This literature review tries to find out the research that already conducted in this field and to what this thesis contribute. The following researches have already been conducted in this field:
Table 2.1 Previous Research
Researcher Title Result
Rossomme
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Researcher Title Result
challenges inherent in this context by incorporating learning’s from the fields of
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Researcher Title Result
Lin and associated with each other and how they are affected by these dynamics. The method used in this research was structural equation modeling (SEM) as the main analytical tool. The research results point to the following: first, customer e-satisfaction will positively influence customer e-loyalty directly; second, technology acceptance factors will positively influence customer e-satisfaction and e-loyalty directly; third, website service quality can positively influence customer satisfaction and e-loyalty directly; and fourth, specific holdup cost can positively influence customer e-loyalty directly, but cannot positively influence customer e-satisfaction directly.
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Researcher Title Result
loyalty. The result of this research shows that in all aspects, customers’ expectation is
higher than their perceptions of the Bank’s
operation, and in fact the quality of offered services is low. Besides, this research findings show that the customer satisfaction plays the role of a mediator in theeffects of service quality on service loyalty. In fact, findings of this research show that although in all fivefold dimensions of service quality Sepah Bank’s performance has been higher
than average limit, but its service quality does not satisfy customers’ expectations. In
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Researcher Title Result
motivational factor. But this research limit into only one branch of Sepah Bank thus
The purpose of this research was to determine the influence of Internet Retail Service Quality (IRSQ) (website performance, access, security, sensation and information) to the satisfaction
www.kebenaran.com online shoppers. The
method of analysis used was path analysis. Based on the research revealed that:
1. IRSQ variable (performance, access, sensation, information and security) jointly influentialto consumer online
shopping satisfaction at
www.kebanaran.com. It’s obtained from
the results of path analysis; F count (23.757) is greater than the F table (2.3134) so the hypothesis (H1) is received.
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Researcher Title Result
This indicates that the craft tires online shoppingwebsite already used standard terms online shop in general, such as membership and return policy.
3. Access variable (X2) had no significant effect on satisfaction (Y). The absence of this influence that the craft tires online shopping website already used standard terms online shop in general as a unique craft product offerings, the choice of language and the choice of currency, so that consumers are no doubt to purchase through the online shopping website www.kebanaran.com.
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Researcher Title Result
the online shopping website
www.kebanaran.com.
5. Security variable (X4) has significant influence on satisfaction (Y). This shows that the security applied to the website www.kebanaran.com very important so that the consumers not hesitate to transact through the online shopping website.
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C. Logical Framework
Figure 2.2
Conclusion Recommendation
Hypothesis Test 1. F – Test
2. T - Test
Multiple Linier Regression
Coefficient of Determination (Adjusted R2)
Costumers’ Satisfaction (Y1)
Promotion (X2) Service Quality (X1)
Data Quality Test 1. Validity Test 2. Reablity Test
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D. Hypothesis
From the explanation concern with this research, hypothesis can be formulated as follows:
Ha1 : Service quality doesn’t influence customer satisfaction. H01 : Service quality influences customer satisfaction.
Ha2 : Promotion doesn’t influence customer satisfaction. H02 : Promotion influences customer satisfaction.
Ha3 : Service quality and promotion don’t influence customer satisfaction simultaneously.
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CHAPTER III
RESEARCH METHODOLOGY A. Scope of Research
This research is empirical study of research testing to prove the influence of service quality and promotion toward customers’ satisfaction. Scopes of research for this study are as follows:
1. The focus of the author in this study is the influence of service quality and promotion toward customers’ satisfaction.
2. The location and the objects to be examined are the customers of Lazada that located in www.lazada.co.id period June 2015. 3. For the purpose of the study, researcher employs customers’
satisfaction (Y) and service quality (X1) and promotion (X2). B. Sampling Method
1. Population
The population of this study covers the customers of Lazada Indonesia in the fashion segment. The reason why researcher chooses this population because the researcher wants to know the influence of service quality and promotion toward customers’ satisfaction of Lazada Indonesia.
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the conclusion Population is subject or object which have certain qualities and characteristics are determined by researcher. Thus, the population is not only people but also objects or other natural objects. Population also not only quantity, but includes all of characteristics’ subject or object (Sugiyono, 2011:80).
2. Sample
Samples are selected using non probability convenience sampling by means of sample units drawn easily be reached anywhere and anytime, is not troublesome to measure and cooperative (Hamid, 2007: 30).
Sample is a subject of the population that should represent that entire group. Or the sample is a subset of the population, and the sample unit pertains to the basic level of investigation (Burns, 2005: 334). A sample is a member of the selected population using a specific procedure that is expected to represent its population (Sugiyono, 2007:57).
Sample is a subgroup of the elements of the population selected for participation in the study (Maholtra, 2009:373). According to Cooper (2007:204) convenience sampling is non probability sampling where researcher use any radial available individuals as participants.
The researcher takes 100 samples respondent, because according to Sugiyono (2010:74) guidelines to determining sample are as follows :
a. Sample size should be between 30-500 elements.
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number of variables to be analyzed.
c. A simple experiment for research, with strict controls, sample size between 10-20 elements.
C. Data Collection Method 1. Data Type
Data collection methods used in this study is as follows: a. Primary Data
Primary data are originated by a researcher for the specific purposes of addressing the problem at hand (Malhotra, 2004: 102).
Primary data was collected through Questioner. According to Malhotra (2004:280) Questioner is a structured techniques for data collection that consist of a series of questions, written or verbal, that a respondent answers. Questioner method is technique data collections that had been done with give a set of questions or written statement to the respondent to be answered (Sugiyono, 2009:199).
This study used a likert scale that is consists of five level. Likert scale is widely used a rating scale that requires the respondents to indicate agreement and disagreement with each of a series statement about the stimulus objects. Typically, each scale item has five response categories, ranging from “strongly disagree” to “strongly agree” (Maholtra,
2004:258).
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The Likert Scale of five levels to express the attitude of the respondents’ answer is as follows: literatures books, scientific journals, Internet and mass media research reports associated with this research. Secondary data is the result of studies done by others and for different purpose than the one for which the data are being reviewed (Cooper, 2006:89).
According to Malhotra (2004:37) data is collected for some purpose other than the problem at hand. In the development of this study research, techniques of taking secondary data will be used are:
1) Library Study, done for collecting the data with information through reference books, journals, and other information which suitable according to this study.
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company.
2. Collecting Data Method
Data used in this study are primary data. Primary data is data obtained directly from the source first. Data collection is done by:
a. Questionnaire
Questionnaire is a formalized set of questions for obtaining information for respondents. It has three specific objectives (Maholtra, 2009:330).
Three specific objectives (Maholtra, 2009:330)
a. The overriding objective is to translate the researcher’s information needs into a set of specific questions that respondents are willing and able to answer.
b. A questionnaire should be written to minimize demands imposed on respondents. It should encourage them to participate in the entire interview, without biasing their responses.
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D. Data Quality Test 1. Validity Test
Validity is a characteristic of measurement concerned with the extent that a test measures what the researcher actually wishes tool reflect true differences among participants drawn from a population (Cooper, 2006:765). According to Ghozali (2005:45) the validity of this research is used to measure the legality of a questionnaire. Test validity used to measure the legal valid or invalid of a questionnaire. A questionnaire is said valid if the questions on the questionnaire are able to reveal something that will be on the questionnaire measure. The total score on test validity said valid if the number of scores > 0.30 (Sugiono, 2007:178).
2. Reliability Test
Reliability is a characteristic of measurement concerned with accuracy, precision, and consistency; a necessary but not sufficient condition for validity (if the measure is not reliable, it cannot be valid). Reliability is concerned with estimates of the degree to which a measurement is free a random or unstable error (Donald Cooper, 2006:352).
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E. Classic Assumption 1. Normality Test
Normality test aims to test whether the regression model, the dependent variable (customer satisfaction) and independent variables (service quality (X1), and promotion (X2)) both have a normal distribution or not. If the distribution of the residual values cannot be considered to be normally distributed, then it is said there are problems with the normality assumption.
According Ghozali (2006: 149), the principle of normality can be detected by looking at the spread of the data (dots) on the diagonal axis of the graph probability plots or by looking at the histogram of the residual.
Basis for decision making as follows:
a. Detection of the histogram, if the normal curves in the graph follow a bell shape, then the data are normally distributed. b. While the detection of the normal probability plot on the
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Basis for decision making, when the value of the Kolmogorov Smirnov significance greater than 0.05, it can be said to be normally distributed data. If the value of the significance of the KS test is smaller than 0.05, it can be said the data was not normally distributed.
2. Multicollinearity Test
According to Ghozali (2006:95), multicollinearity test aims to test whether the regression model found a correlation among the independent variables (service quality (X1), promotion (X2)). Good regression model should not happen correlation between the independent variables (service quality and promotion), If among the independent variables correlated with each other, then these variables are not orthogonal. To detect the presence or absence of multicollinearity among the independent variables in regression model, it can be seen from Tolerance and VIF value. Cutoff value commonly used to indicate whether there is multicollinearity or not is Tolerance value ≤0.10 or equal to VIFvalue ≥10.
3. Heteroscedascity Test
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238).
a. Looking at the scatterplot graph, if forming certain patterns, such as dots form a certain pattern regularly (wavy, widened then narrowed), then heteroscedasticity indicates has occurred. If there is no clear pattern, and the points spread above and below the 0 on the Y axis, then there is no heteroscedasticity (Santoso, 2012: 240).
b. Glejser Test
Glejser test is done with the regressed absolute value of residuals against the independent variables (service quality (X1), and promotion (X2)). Guideline from glejser test are looking at the significance level of each independent variable (service quality (X1), and promotion (X2)) on the dependent variable (customer satisfaction). If the significance level yield number > 0.05, it can be said regression model does not contain any heteroscedasticity. (Ghozali, 2006: 129).
F. Hypothesis Test
1. Simultaneous test ( F – Test )
According to Sarwono (2007:29) cited in Akbar (2014) F-test is used to see the influence of exogenous variable to endogenous variable simultaneously. The criteria for testing the significant level is 5% or 0.05. Step to examine the hypothesis with F-test are as follow:
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b. Calculate the F table with the criteria significant level is 0.05 c. Determine the criteria of hypothesis test as follows :
1) If Ftest> Ftable, H0 is rejected and H1 is accepted, it means exogenous variable has significant influence to endogenous variable simultaneously
2) If Ftest<Ftable , H0 is accepted and H1 is rejected, it means exogenous variable doesn’t have significant influence to endogenous variable simultaneously.
2. Partial test ( t – Test )
The t-test was conducted to test each independent variable (X) to the dependent variable (Y), which is conducted to determine how much each variable consumer dissatisfaction, the characteristics of the product category, and variety seeking influence on brand switching (brand switching). Test steps are as follows (Ghozali, 2011: 98):
a. Determining Hypothesis Formulation
1) Ho: bi = 0. That is, there is no influence of each independent variable (X) partially on the dependent variable (Y).
2) Ha: bi ≠ 0. That is, there is the influence of each independent variable (X) partially on the dependent variable (Y).
b. Determining the degree of probability of 95% or the 0.05 two-way (Two-tail).
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1) Quick look: if the value of t > 2 (in absolute value), then Ho is rejected and Ha accepted.
2) If the value of t < 2 (in absolute value), then Ho is accepted and Ha is rejected.
G. Multiple Linier Regression Analysis
According to Malhotra (2004:502), the regression analysis is a statistical procedure to analyze the relationship between the dependent variable and the independent variables. If there are two or more independent variables then using multiple linear regression analysis. Thus it can be seen how big the independent variables influence on the dependent variable.
According to Malhotra (2004:512) formulas that can be used as a multiple linear regression analysis calculation is as follows:
Y = a + b1X1 + b2X2 + e Description:
Y = customer satisfaction (dependent) a = constanta
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H. The Coefficient of Determination (r2)
According to Ghozali (2006:202) cited in Akbar (2014) the coefficient of determination (�2) essentially measure how far the ability of models to explain variation in the dependent variable. The value of determination coefficient is between zero and one. The small means that the ability of independent variables in explaining variations in the dependent variable is very limited.
Basic weaknesses use the coefficient of determination is based on the number of independent variables entered into the model. Each additional one independent variable, then R2 would increase, no matter whether these variables affect the dependent variable is not. Therefore, in this research used is the R square that have been adapted or adjusted R2 as adjusted for the variables used in this research. Adjusted R2 value can rise or fail if an independent variable added into the model.
I. Research Variable Operation Variable in this research consist of:
1. Independent variable
According to Cooper (2007:155), independent variable is the variable manipulated by the researcher, thereby causing an effect or change on the dependent variable. In this research as independent variables are service quality (X1) and promotion (X2).
2. Dependent variable
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measured predicted, or otherwise monitored by researcher, expected to be affected by manipulation of independent variable. In this Research as the dependent variable is customers’ satisfaction (Y).
Table 3.2 Operational Variable
Variable Indicator Scale
Service Quality (Zeithaml, Parasuraman and Malhotra, 2000, 2002)
Efficiency 1. Easy to find thing
2. Easy to get anywhere
3. Well organized information
4. Simple to use
Likert
Fulfillment 5. Delivers most relevant result
6. Quick search
7. Truthful about the services
8. Makes accurate promise
Likert
Reliability 9. Security policy is accessible
10. Privacy policy is accessible
11. Website contains company details
12. Website always maintain brand images
Likert
Privacy 13. Protects the web-job behavior
14. Keep personal information
15. Protects information about credit card
16. Product quality
Likert
Responsiveness 17. Easy to contact the e-retailer
18. E-retailer is interested in feedback
19. E-retailer quickly replies to
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Sales promotion 1. Clear information about sales promotion (discount, bonus, etc)
2. The attractiveness of sales promotion
Likert
Advertising 3. The attractiveness of board and signs used by a shop
1. Shopping website’s related business process
2. Content and layout of the shopping website
3. The shopping website’s service level
Likert
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CHAPTER IV ANALYSIS
A. General Overview Research Object
Lazada Indonesia, Online Mall Adding Fashion
Lazada is part of the e-commerce network which centered in Dubai, UAE which is also still part from Rocket Internet which is from Germany. Lazada used the blue nuance and orange that similar nuance that used by daring site Amazon.
Lazada focus to sell electronic consumer product and household staffs. Numbers of famous brand already registered in Lazada Indonesia, one of the benefits that Lazada offers is the free delivery around Jakarta, works with Go-Jek. It is because Rocket Internet Indonesia CEO also the founder of Go-Jek.
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Fashion is the next frontier for Lazada.
The largest online shopping mall in Southeast Asia, which launched in 2012 selling electronics, health and beauty aids and lifestyle products, Lazada quickly gained a following. The Web site has five million Facebook fans, said Martell Hardenberg, cofounder and fashion category manager.
Lazada is a marketplace that acts as a platform "to give large brands an opportunity to extend their reach, especially in non-metro areas where there is no retail infrastructure," Hardenberg said. "We started with fashion recently so there are a couple if brands in the pipeline. Building a category like fashion won't take very much time." The site charges brands a commission based on sales. "It's a partnership for us," he said.
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Lazada offers a variety of categories to appeal to many income brackets. "We have customers that can do high baskets, but the focus has been on the medium- to low-price level, mass-market brands," Hardenberg said. "We're going to test the premium sector."
Hardenberg is looking at China and believes the platform offers brands a way to overcome the lack of retail infrastructure in that country.
Lazada two months ago launched an Android app that got more than 100,000 downloads in the first two weeks. The company is also working on giving international brands their own shops-in-shop on the site. "We're helping them provide their own look and feel," he said. "In the Philippines, we started working on a shop-in-shop with Nike."
Payment method :
Credit card (Visa, MasterCard, BCA dan Mandiri)
COD (cash on delivery) with an additional payment for Rp. 10.000 special JABODETABEK region.
Picture 4.1
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Leading Online Shopping Mall in Indonesia
Lazada is the pioneer of e-commerce in some countries with the fastest growth in the world that offer online shopping experience fast, safe and comfortable with products in categories ranging from fashion, electronics, household appliances, children's toys and sports equipment. Lazada always striving to provide the best customer including by offering multiple payment options, free returns, customer service and warranty commitments.
We continue to expand our product range as the category Fashion Watches we offer a selection of the best quality products that you will find all at your fingertips. Online shopping in Indonesia has never been easier! Stay connected and get the latest offers and deals every day. Remember, every day is a day of shopping in Lazada!
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B. Analysis and Discussion 1. Data Quality Test
a. Validity Test
According to Ghozali (2006:49) the validity test is used to measure the validity of a Qustionnaire. A questionnaire is valid if the questions on the questionnaire is able to reveal something that will be on the questionnaire measure. The total score on test validity said valid if the number of scores > 0.30 (Sugiono, 2007:178).
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