EXPLORING FACTORS RELATED TO THE TECHNOLOGY ADOPTION IN PURCHASING SYSTEM OF PRODUCT THROUGH MOBILE APPLICATION

The rapid change of digital technology in human activities has changed human behavior today. Since the last five years, Indonesia has become home for new products with innovation and disrupting many conventional methods or processes, especially in the purchase of a product or service. The adopti...

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Bibliographic Details
Main Author: Kurniawan Nugraha, Harry
Format: Theses
Language:Indonesia
Online Access:https://digilib.itb.ac.id/gdl/view/34059
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Institution: Institut Teknologi Bandung
Language: Indonesia
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Summary:The rapid change of digital technology in human activities has changed human behavior today. Since the last five years, Indonesia has become home for new products with innovation and disrupting many conventional methods or processes, especially in the purchase of a product or service. The adoption of something new is a difficult process for some people. Not all products are suitable to combine with technology, for instance utilizes mobile applications as a distribution channel. To analyze the problems, it is known that there are five segmentations or social groups in the process of technology adoption. This study will discuss a company called MuslimApp. One of MuslimApp's services is to provide consumers to buy aqiqah and qurban through a mobile application. Aqiqah and qurban can be categorized as products that have special segmentation such as early majority and late majority. In the cycle of technology adoption theory, early majority and late majority segmentation have a character where they require a longer time in the process of technology adoption. To identify how to acquire the early and late majority segmentation, this research was conducted to be able to find factors that can accelerate and simplify the technology adoption process for selected segmentations. Discounts, company reputation and ease of use of application are factors that can influence the technology adoption process. In the implementation plan, this study provides a recommendation regarding the process and pattern of customer journey to be able to adopt technology with the help of TAM (Technology Adoption Model). In the process of analyzing the problems of technology adoption for MuslimApp, the author found that most transactions for aqiqah and qurban were still dominated by manual transactions. This is because the profiles of consumers of aqiqah and qurban which are dominated by those of different ages, behaviors, and interests with generations who savvy on technology. In the technology adoption lifecycle, there is a chasm between the early adopters and early majority. This chasm that causes the transaction process of aqiqah and qurban is still dominated by offline or manual transactions. In previous studies, there were several factors that could help the process of technology adoption such as the ease of use of technology and the larger benefits that consumers can have than conventional methods. To fulfill this factor, companies based on a mobile application are required to provide ease of use applications and more benefits in the process of product transactions through applications such as provide discounts for transactions through applications. In addition, the company's reputation is one of the important aspects to be able to provide a sense of safety and trust for consumers who make transactions for the first time. These three factors are the factors that can be implemented by companies as a form of market penetration strategy. In the implementation process, this study provides an overview of the processes that occur to be able to assist early adopters, early majority and late majority in the process of technology adoption. The process begins with ensuring that a company's technological infrastructure is ready. Then prepare the company's internal strengths such as the organizational structure to the company's culture. Early adopters will influence the early majority so that when the early adopter and early majority have adopted technology, then this social impact will encourage the late majority to adopt technology and in the end, the company will gain optimal market share and increase the company's revenue in future. Keywords: Technology, Purchasing Canal, Customer Behavior, Mobile Application.