The Effect of Security, Information Availability, Delivery, Quality,

Price and Time on Online Shopping Consumer Satisfaction

Natasya Novialeta, and Muhammad Ramadhan Slamet

Department of Business Management, Politeknik Negeri Batam, Jl. Ahmad Yani, Batam, Indonesia

Keywords: Security, Information Availability, Delivery, Quality Price, Time, Customers Satisfaction in Online Shopping.

Abstract: Technology that is increasingly developing now is able to increase various kinds of influences for its users.

The technology used today is not only focused on communication and information technology, but also is

used as a means to conduct trade transactions with a variety of unlimited marketplaces. This study aims to

determine the selected factors that influence online shopping consumer satisfaction conducted in Batam.

There are six factors that will be used as independent variables in this study, security, information availability,

delivery, price and time. This study uses primary data in the form of a survey with a questionnaire as a research

instrument measured using a 1-5point Likert scale. The sampling technique in this study used the convenience

sampling. The sample used in this study was 200 respondents. The analytical tool used in this study is multiple

regression and t-test. The results of this study are the quality, price and time have a significant effect on online

shopping consumer satisfaction, while security, information availability and delivery have no significant

effect on online shopping consumer satisfaction. The limitation of this study is that it only uses the population

in Batam. Suggestions for further research are expected to be able to increase the population with a wider area

and add other variables that affect consumer satisfaction online shopping.

1 INTRODUCTION

Technology that is increasingly developing now is

able to increase various kinds of influences for its

users. People who are spoiled by technology are

required to be able to utilize technology in

accordance with their functions. The internet is one

form of technology that is currently a major need for

the community.

The technology used today is not only focused on

communication and information technology, but also

can be used as a means to conduct trade transactions

with a new market place that is not limited by time

and space. The development of technology is

increasingly increasing to provide special space for

the business world without any limitations.

According to data released by the Menkominfo

that the e-commerce transactions or online trade in

2016 reached 25 billion US dollars. The amount has

increased up to 40% compared to 2015 which

reached 13 billion US dollars. The growth of e-

commerce transactions was driven by the strong

socialization and promotion carried out by the online

trade, as well as the internet penetration that

continues to increase.

Online shopping is one factor that contributes

directly to the economy of a country. According to

data released by the Institute for Development of

Economics and Finance (INDEF), the contribution of

the digital economy to Indonesia's GDP in 2018

reached Rp 814 trillion (US $ 56.4 billion) or 5.5%

of GDP. This contribution becomes very important

to maintain and increase Indonesia's GDP.

Other data released by EcommerceIQ stated the

conditions of the e-commerce landscape and online

marketplace in Indonesia. EcommerceIQ uses the top

6 platforms based on the level of frequency of visits

and application ratings in the Play Store namely

blibli.com, Bukalapak, JD.ID, Lazada, Shopee and

Tokopedia. When viewed from the best reputation,

blibli.com is the leading online marketplace

compared to others with 14.8%. The product with the

lowest price is Bukalapak with the highest

percentage of 14.6%. Lazada excels with the fastest

shipping data at a percentage of 10%. Shopee which

offers free shipping becomes the highest marketplace

with a percentage of 18.4%.

One of the things that can increase online

shopping transactions is consumer satisfaction for

what they have got. Consumer satisfaction illustrates

Novialeta, N. and Slamet, M.

The Effect of Security, Information Availability, Delivery, Quality, Price and Time on Online Shopping Consumer Satisfaction.

DOI: 10.5220/0010353500050011

In Proceedings of the 2nd International Conference on Applied Economics and Social Science (ICAESS 2020) - Shaping a Better Future Through Sustainable Technology, pages 5-11

ISBN: 978-989-758-517-3

an important thing especially for the existence,

sustainability and growth of every business including

e-commerce. Today many companies have

understood the importance of customer satisfaction

and always improve the company's strategy in

meeting customer satisfaction. Consumers who are

satisfied with the services or products offered are

able to build harmonious relationships between

companies and consumers. Not only that, if

consumers are satisfied, the company can make

consumers make repeat purchases which indirectly

creates consumer loyalty.

Consumer survey data released by the Daily

Social in collaboration with JakPat states that

consumer satisfaction consists of several factors.

These factors are the percentage of 31.03% in terms

of affordable prices, 26% of discount promos, 19%

variation in product choices and 15% of the

availability of free shipping products. The

availability of the survey results can be utilized for

e-commerce to compete in maintaining and

increasing customer satisfaction.

The formulation of the problem in this study is

whether security has a significant effect on customer

satisfaction, whether the availability of information

has a significant effect on customer satisfaction

whether delivery has a significant effect on customer

satisfaction. whether quality in terms of service has

a significant effect on customer satisfaction. whether

the price has a significant effect on customer

satisfaction. whether time has a significant effect on

customer satisfaction.

The purpose of this study is to examine the

selected factors that influence consumer satisfaction

in the marketplace in Indonesia, especially in the city

of Batam. The importance of a marketplace to know

these influences and understand these factors in

maintaining customer satisfaction so as not to choose

another marketplace. If the company is able to keep

consumers satisfied with the services provided by the

company, customer loyalty is increasing.

This study is a replication of the study of Vasic,

Kilibarda & Kaurin (2019), in this study there were

differences in time, place and population from

previous studies. If previous research uses

consumers from online markets in Serbia, this study

selects consumers from online markets in the city of

Batam. Researchers chose a sample of online market

consumers because they wanted to find out whether

there was a significant influence from previous

studies (Vasic, Kilibarda, & Kaurin, 2019).

2 LITERATURE REVIEW

2.1 Technology Acceptance Model

(TAM)

TAM is a theory put forward by Davis in 1986. Davis

(1986) explains that TAM is used to see the

understanding of individuals who are continuously

using information technology in their activities.

Davis (1986) states that this model states that

information system users will be affected by the

usefulness variable which supports that the

availability of information and the price of a product

offered by the seller can provide benefits for

consumers in choosing products where this can affect

consumer satisfaction. The time savings in shopping

online provide benefits that greatly benefit

consumers, this can indirectly increase customer

satisfaction. Davis (1986) explains in TAM theory

that the theory has another variable, ease of use. The

convenience can be felt by consumers through timely

and expected delivery, thereby increasing customer

satisfaction.

2.2 Motivation Theory

Motivation theory is a theory that was coined by

Abraham in 1943, the theory is quoted in the book

Management of human resources by Bangun (2012).

Abraham states that this theory divides the 5 needs of

human life based on a hierarchy of needs, starting

from the basic needs to the highest needs. The fifth

hierarchy of needs include the first, physiological

needs, namely basic human needs. Second, security

needs, namely the need for a sense of security against

various threats. Third, social needs, namely the need

for family and friends. Fourth, the need for

appreciation that can be interpreted as a sense of

wanting to be appreciated by others. The five needs

for self-actualization are the needs to fulfill self-

ambition. Abraham also mentioned that security

needs are very necessary for consumers, which is

directly able to influence consumer satisfaction.

2.3 Expectation Disconfirmation

Theory (EDT)

Expectation disconfirmation theory (EDT) is a theory

put forward by Oliver (2015). This theory Oliver

(2015) states that consumer satisfaction and

dissatisfaction is the result of a comparison between

expectations and pre-purchase or selection and

decision making (pre purchase expectation). This

theory explains that one way to encourage customer

ICAESS 2020 - The International Conference on Applied Economics and Social Science

satisfaction is in terms of quality. One feature of

customer satisfaction can be seen from consumer

loyalty to the products produced by the company.

Based on these theories the company can increase

customer satisfaction by growing the quality of

products and services in accordance with consumer

expectations.

2.4 Security

Security according to Vasic, Kilibarda, & Kaurin

(2019) can be interpreted as the ability of an e-

commerce to protect the personal data of its

consumers from the threat of information theft when

transacting online. Security is considered an

important factor for online consumers. E-commerce

that is able to maintain consumer security and privacy

can foster consumer satisfaction with e-commerce.

Security needed by consumers is in line with one of

the five hierarchies of needs according to motivation

theory, namely security needs. These needs are

related to the safety variables of this study which are

able to influence customer satisfaction. Irantaj &

Huseynov (2018) stated in his research that the

security and privacy of e-commerce has a positive

effect on consumer satisfaction in Digikala Iran.

Research conducted by Noori (2019) also states that

security and privacy have a significant effect on

consumer trust and satisfaction. Based on this

explanation, the following hypotheses can be

developed:

H1: Security has a significant effect on online

shopping consumer satisfaction

2.5 Information Availability

Online trading therein requires the availability of

information on the products offered. The availability

of accurate information can be very beneficial for

online shopping consumers, because if shopping

online, consumers cannot directly touch the product

without making a purchase first. The perceived

benefits are in line with the TAM theory which

explains that users of information systems will be

influenced by the usefulness variable. The benefits of

the information provided by the marketplace make

consumers feel helped to choose the desired product.

It encourages consumers to shop again and feel

satisfied with the marketplace. The research of Vasic,

Kilibarda & Kaurin (2019) revealed that the

availability of information has a positive effect on

customer satisfaction. Based on this explanation, the

following hypotheses can be developed:

H2: The availability of information has a

significant effect on online shopping consumer

satisfaction

2.6 Shipping

Shipping is a link that directly influences and

triggers customer satisfaction. In shopping online,

reliable, safe and timely delivery is the main thing

that drives consumer satisfaction. Shipping is able to

provide convenience for consumers to get the

product they want. The simplicity is in line with the

TAM theory which explains that users of

information systems will be influenced by the ease

of use variable or ease of use. Research conducted

by Yuen & Thai (2015) in which shipping is

represented by reliability and speed has a significant

effect on customer satisfaction. Delivery service is

stated to be positively related to the satisfaction of

consumers who have shopped online in China and

Taiwan Cao, Ajjan & Hong (2018). Based on these

arguments, the hypothesis can be developed as

follows:

H3: Shipping has a significant effect on online

shopping consumer satisfaction

2.7 Quality

Quality of service describes a consumer's

assessment of the overall superiority of a given

service. Therefore, it is very important to manage

quality in business to ensure the best quality service

for consumers. Maximum quality can drive

consumer satisfaction in shopping. In accordance

with EDT theory which explains that customer

satisfaction is obtained when the products obtained

by consumers in accordance with the desired

expectations, including in terms of product quality.

Previous research that examined Foster (2016) states

that quality has a positive effect on customer

satisfaction. Quality has a positive effect on

consumer satisfaction also examined by Vasic,

Kilibarda & Kaurin (2019) in Serbia. Based on these

arguments, the hypothesis can be developed as

follows:

H4: Quality has a significant effect on online

shopping consumer satisfaction

2.8 Price

Price becomes the main concern of consumers when

assessing the products or services offered. From a

consumer perspective, price is what has been given

to get a product or service. Price is one of the factors

The Effect of Security, Information Availability, Delivery, Quality, Price and Time on Online Shopping Consumer Satisfaction

that influence customer satisfaction. The price of a

product from an online store is considered to be

cheaper than the price of a product in an offline store.

The price difference provides benefits that are felt by

consumers online, because if shopping at a cheaper

price, then consumers can buy other products in

accordance with what is desired. These benefits are in

line with the TAM theory which explains that users

of information systems will be influenced by the

usefulness variable. Research conducted to examine

the impact of prices on consumer satisfaction in

Mutiara hotels in Bandung. Research conducted by

(Foster, 2016) states that prices have a positive impact

on consumer satisfaction. Other research conducted

by (Usmana & Rehmanb, 2017) states that price has

a significant effect on customer satisfaction. Based on

these arguments, the hypothesis can be developed as

follows:

H5: Price has a significant effect on online

shopping consumer satisfaction

2.9 Time

Shopping online is considered able to save in terms

of time. Consumers who choose to shop online can

make transactions on time. Consumers do not need

to go to the store to see the products needed, only

through mobile phones consumers can meet their

needs in a practical way so that it can trigger

consumer satisfaction in shopping. The benefits are

felt when consumers have to shop but do not require

a long time. These benefits are in line with the TAM

theory which states that users of information

systems will be influenced by the usefulness

variable. Research conducted by Vasic, Kilibarda, &

Kaurin (2019) explains that time has a significant

relationship to customer satisfaction. Based on these

arguments, the hypothesis can be developed as

follows:

H6: Time has a significant effect on online

shopping consumer satisfaction

Based on the hypotheses that have been

presented, the research model is obtained as follows:

Figure 1: Research Model.

3 RESEARCH METHOD

The method approach used in this study is the

hypothesis test, where there are data analyzed in the

form of numbers and this study there is an influence

test that requires quantitative approach in processing

the data.

This type of research is descriptive using

quantitative data. The object of this research is online

shopping consumers in Batam. The sampling

technique in this study is to use convenience

sampling. Criteria in this research is online shopping

consumers of marketplace in Batam.

4 RESULTS AND DISCUSSION

4.1 Characteristic of Respondents

The characteristics of the respondents in this study

explain the information on the sample of respondents

who use online shopping. Questionnaire was

distributed by 200 and returned at the same level.

Based on 200 samples, there were 75 males (37,5%)

and 125 females (62,5%). From the number of

samples of research respondents, it can be explained

that males use e-commerce products less than female.

Based on age, the range of age were in 39-54 (3,5%),

25-38 (30%), 19-24 (61,5) and under 19 (5%), it can

explain that young people with range age 19-24 years

old are the biggest users of online shopping.

Based on last education, respondents were senior

high school (15,5%), diploma (80%), and master

(4,5%), it can be explained that online shopping user

have diploma background. Base on time internet

usage under 1 hour (1,5%), 1-2 hours (6,5%), 3-4

hours (14%), over 4 hours (78%), it can be explained

that online shopping users use the internet for more

than four hours to shopping. Base on maximum

estimates issued for online shopping, under

Rp100.000 (14%), Rp100.000-300.000 (46,5%),

Rp300.000-500.000 (24,5), Rp 500.000-1.000.000

(10%), and over Rp 1.000.000 (5%), it can be

explained that many online shopping user set an

estimated maximum for shopping between

Rp100.000 until Rp 300.000.

Based on the type of marketplace that is often

used, shoppe (81%), tokopedia (35,5%), Lazada

(19%), bukalapak (16%), and zalora (13%), it can be

explained that shoppe the most popular marketplace.

Based on how consumers choose shipping costs in

online purchases, free shipping (65%), Reducing

freight costs (26%), Paying the total cost of shipping

ICAESS 2020 - The International Conference on Applied Economics and Social Science

goods so that the price of the product is reduce (9%),

it can be explained that online shopping user choose

the free shipping method when shopping. Based on

the Delivery Period Until the Goods Arrived in the

Consumer's Hand, 3 days (37%), 4 days (26%), 1

week (18%), and over 1 week (20%), it can be

explained that delivery period until the good arrive in

the consumer within three days.

4.2 Research Instrument Test

The research instrument test was conducted to

understand whether the questionnaire used was valid

and reliable. Validity test was done to test how valid

the distributed questionnaire to research respondents.

An instrument can be described valid if the

validity value is high, vice versa. If the result was

obtained r count> r table, then the questionnaire was

valid. If the result was r count <r table, then the

questionnaire was not valid.

Table 1: Validity Test Result.

Reliability test referred on reliability instrument

level, if the data tested is in accordance with reality

then if it will be retaken the data the result would be

the same. Reliability test used Alpha Cronbach

formula. If the value of Cronbach’s Alpha > 0,70 then

data was reliable, if the value of Cronbach’s Alpha <

0,70 then data was not reliable. Based on table 2, it

can be concluded that questionnaire research

questions were reliable.

Table 2: Reliability Test Result.

Table 3: Hypothesis Test.

From table 3, obtained the multiple linear

regression equation is as follows.

Y = 5,764 + -0,144X

+ 0,141X

+ 0,069X

0,226X

+ 0,278X

+ 0,570X

6 (1)

The multiple regression explained that a constant

value of 5.764 which means that if security (X1),

information availability (X2), delivery (X3), quality

(X4), price (X5) and time (X6) have a zero value, then

the level of customer satisfaction (Y) is the value

5,764. The regression coefficient for the security

variable (X1) is -0.144, the availability of information

The Effect of Security, Information Availability, Delivery, Quality, Price and Time on Online Shopping Consumer Satisfaction

(X2) is 0.141, delivery (X3) is 0.069, quality (X4) is

0.226, price (X5) is 0.278 and time (X6) is 0.570.

Based on the equation model above, it can be

explained that consumer satisfaction in doing online

shopping will still increase by 5,764. If customer

satisfaction increases by 1 value, then the security in

doing online shopping will decrease by 0.144. Based

on the table above, it can be explained that the

significance value of the security variable is 0.072,

which means that there is no significant effect

because the value is greater than 0.05, it can be

conclude that H1 not supported.

Based on table 3, it can be explained that

consumer satisfaction in doing online shopping will

still increase by 5,764. If customer satisfaction

increases by 1 value, the availability of information in

online shopping will increase by 0.141. Based on the

table above, it can be explained that the significance

value of the information availability variable is 0.096,

which means that there is no significant effect

because the value is greater than 0.05, it can be

concluded that H2 not supported.

Based on table 3, it can be explained that

consumer satisfaction in doing online shopping will

still increase by 5,764. If customer satisfaction

increases by 1 value, then online shopping delivery

will increase by 0.069. Based on the table above, it

can be explained that the significance value of the

shipping variable is 0.151 which means that there is

no significant effect because the value is greater than

0.05, it can be conclude that H3 not supported.

Based on table 3, it can be explained that

consumer satisfaction in doing online shopping will

still increase by 5,764. If customer satisfaction

increases by 1 value, then the quality of online

shopping will increase by 0.226. Based on the table

above, it can be explained that the significance value

of the quality variable is 0.006, which means that

there is a significant influence and has a positive

relationship to online shopping consumer

satisfaction. It can be concluded that H4 is

supported.

Based on table 3, it can explain that consumer

satisfaction in doing online shopping will continue to

increase 5,764. If customer satisfaction increases by

1 value, then the price of online shopping will

increase by 0.278. Based on the table above, it can be

explained that the significance value of the price

variable is 0,000, which means that there is a

significant influence and has a positive relationship to

online shopping customer satisfaction. It can be

concluded that H5 is supported.

Based on table 3, it can be explained that

consumer satisfaction in doing online shopping will

still increase by 5,764. If customer satisfaction

increases by 1 value, then the time to do online

shopping will increase by 0.570. Based on the table

above, it can be explained that the significance value

of the time variable is 0,000, which means that there

is a significant influence and has a positive

relationship to online shopping customer satisfaction.

It can be concluded that H6 is supported.

5 CONCLUSIONS

The main objective of this study is to determine the

selected factors that affect customer satisfaction

online shopping conducted in Batam. There are six

factors used as independent variables in this study,

namely security, information availability, delivery,

quality, price and time. Further research is

recommended to increase the number of samples in

the study. In addition, further research is expected to

add other characteristics to be used as research

samples. And further research should involve other

factors that can affect customer satisfaction in using

online shopping. The data of this study were obtained

from the results of distributing questionnaires

distributed to online shopping consumers directly and

through Google forms. The conclusions obtained in

this study are:

1. Security has no significant effect on online

shopping consumer satisfaction. That is, security

is not one of the factors that can affect consumer

satisfaction when doing online shopping.

2. The availability of information has no significant

effect on online shopping consumer satisfaction.

That is, the availability of information provided

by online sellers does not make consumers feel

satisfied. The information provided by online

sellers is considered less able to encourage

consumers to feel satisfied because the

information is sometimes only in the form of

seller's opinion where consumers cannot see and

touch the product directly.

3. Shipping has no significant effect on online

shopping consumer satisfaction. That is, shipping

does not have the influence that is able to

encourage consumers to feel satisfied when doing

online shopping.

4. Quality has a significant effect on online shopping

consumer satisfaction. That is, the better the

quality of a product can increase customer

satisfaction when doing online shopping.

5. Prices have a significant effect on online shopping

consumer satisfaction. That is, the price given

by online sellers is better and cheaper than the

ICAESS 2020 - The International Conference on Applied Economics and Social Science

prices given by traditional sellers (offline) so that

consumers feel more satisfied when shopping

online.

6. Time has a significant effect on online shopping

consumer satisfaction. That is, shopping online

can make consumers more efficient and effective

in using time to shop. Traditional shopping is felt

to be more time consuming because consumers

have to come directly to the store to shop.

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The Effect of Security, Information Availability, Delivery, Quality, Price and Time on Online Shopping Consumer Satisfaction