ANALYZING INTENTION TO ADOPT E-COMMERCE SUBSCRIPTION MODEL USING UNIFIED THEORY OF ACCEPTANCE AND USE OF TECHNOLOGY 2 (UTAUT2): A CASE STUDY OF PLUS BY TOKOPEDIA

• Main Author: Fidelia, Aurel
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/72889
• Institution: Institut Teknologi Bandung

The Indonesian e-commerce industry has grown significantly as internet users have increased. E-commerce companies are striving to attract more consumers with various deals in response to this possibility. E-commerce will shortly require a return on investment and a profit, so the era of money burning cannot continue indefinitely. Tokopedia sees this as an opportunity to introduce an e-commerce subscription-based service, namely Tokopedia PLUS, which is still whitelisted for Java. Tokopedia PLUS offers more than 10 benefits, including in-app promotions and partnerships with other cooperating partners for additional benefits outside the app. Despite the innovative strategy, Tokopedia PLUS received 43% negative sentiments on social listening platforms in November 2022, and this worsened to 93.1% due to several policy changes within the application. Therefore, this study investigates the intention to adopt an e-commerce subscription model, specifically Tokopedia PLUS, utilizing the Unified Theory of Acceptance and Use of Technology 2 (UTAUT2) framework. Through a survey conducted among Tokopedia PLUS subscribers, the data was analyzed using PLS-SEM. The findings indicate that effort expectancy, price value, hedonic motivation, and facilitating condition are significant predictors of behavioral intention, and behavioral intention is a significant factor in predicting the actual adoption of Tokopedia PLUS. The findings of this study provide valuable insights for Tokopedia management to strategically restructure their offer and marketing. Furthermore, this study presents four recommendations that align with the current trend and are in line with the research findings. Firstly, the research suggests leveraging the digital presence of Tokopedia PLUS by aggressively promoting and creating emotionally compelling advertisements that take advantage of the platform's extensive reach. Secondly, it recommends creating reminder content to continuously remind those who were attracted by the first strategy. Thirdly, it suggests implementing a personalized subscription package that allows for adjustments in pricing and benefits to better cater to the specific needs and preferences of consumers. Lastly, the study proposes the introduction of an engaging feature aimed at retaining existing PLUS users and encouraging them to promote the subscription to their friends and family members.