Document Type : ORIGINAL RESEARCH ARTICLE
Authors
1
Department of Marketing, Faculty of Business and Management, UCSI University, Kuala Lumpur, Malaysia
2
Department of Management Studies, Faculty of Business and Management, UCSI University, Kuala Lumpur, Malaysia
3
Pusat Tamhidi, Universiti Sains Islam Malaysia, Kuala Lumpur, Malaysia
4
Faculty of Accountancy, Finance and Business, Tunku Abdul Rahman University of Management and Technology, Kuala Lumpur, Malaysia
Abstract
BACKGROUND AND OBJECTIVES: One of the "15 Guiding Principles" designed to achieve the 2030 aim highlights the importance of giving priority to exploration in the digital economy as a crucial element in defining the future economy. Consumers’ interest in using social media and e-commerce platforms for their shopping activities is rising in this day of modern technology. However, based on a study conducted by the Small Medium Enterprise Corporation indicated that a substantial majority of Small and medium enterprise entrepreneurs, acknowledge the importance of incorporating digital technology into their fundamental business operations. Nevertheless, there is a noticeable discrepancy between the level of awareness regarding these technologies and their actual adoption. Therefore, the research objectives are to determine the relationship between perceived convenience, E-promotion, brand awareness, and personalization toward consumers’ purchase intention.
METHODS: Data was collected from a wide range of individuals in urban areas using probability sampling methods. This study aims to gain a deeper understanding of the various factors that can impact individuals' intentions. A sample size of 385 participants from the e-commerce sector in the Klang Valley, Malaysia. Therefore, stratified sampling is employed by considering pertinent characteristics such as location, age, and intention to use e-commerce. The analyses were conducted using SmartPLS software to measure the influence of digital marketing on consumers' purchase intention.
FINDINGS: The variables of E-Promotion (β=6.601, p<0.05), Brand awareness (β=3.975, p<0.05), and Personalization (β=4.152, p<0.05) had a statistically significant impact on Customer Purchase Intention. Nevertheless, the variable of Perceived Convenience does not have a significant impact on Purchase Intention (β=1.646, p<0.05). Consequently, e-promotion was deemed the most influential component, followed by personalization in second place, and brand awareness in third place.
CONCLUSION: The findings are expected to assist businesses in identifying the factors that influence the purchase intentions of urban consumers on an e-commerce platform. These encompass micro, small, and medium-sized enterprises (MSMEs), which serve as the foundation of Malaysia's economic development. The process of digitalization is anticipated to enhance opportunities for micro, small, and medium enterprises (MSMEs) to grow and flourish. The potential of digitalization to enhance integration across economic sectors and promote cost effectiveness through a collaborative economy is evident. This aligns with the goals stated in the My Digital Economic Blueprint, which is scheduled to be implemented until 2030.
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