IMPACT OF PANDEMIC COVID-19 ON CONSUMER PURCHASE INTENTION: EMPIRICAL STUDY FROM INDONESIA
Abstract
The Covid-19 pandemic has caused an economic recession in many countries around the world. The economy has contracted with reduced customer demand due to the policy of large-scale social applications in Indonesia. This study aims to analyze consumer preferences from the demand-side side of several industrial sectors affected by the pandemic so that business players can develop strategies during the pandemic and post-Covid-19. The research was carried out on September 14-30, 2020, through an online survey of 722 respondents who live in the Jakarta, Bogor, Depok, Tangerang, and Bekasi areas. The results showed that in addition to basic needs, which occupy the first preference, consumers prefer to withhold their consumption of other commodity goods. According to the study findings, the transportation and tourism industry sectors are the weakest. The vehicle purchase subsector during the pandemic is also the lowest. Therefore, innovative policies are needed for businessmen or government policies to stimulate the automotive industry.
References
Addo, P. C., Jiaming, F., Kulbo, N. B., & Liangqiang, L. (2020). COVID-19: Fear appeal favoring purchase behavior towards personal protective equipment. The Service Industries Journal, 40(7-8), 471-490. https://doi.org/10.1080/02642069.2020.1751823
Bank Indonesia. (2020). Survei Penjualan Eceran, Agustus 2020.
Biskanaki, F., Rallis, Ε., Andreou, Ε., Sfyri, Ε., Tertipi, Ν., & Kefala, V. (2020). Social‐economic impact of COVID‐19 pandemic on aesthetic centers in Greece. Journal of Cosmetic Dermatology, 19(9), 2165-2168. https://doi.org/10.1111/jocd.13517
Chang, H. H., & Meyerhoefer, C. D. (2021). COVID‐19 and the demand for online food shopping services: Empirical Evidence from Taiwan. American Journal of Agricultural Economics, 103(2), 448-465. https://doi.org/10.1111/ajae.12170
Coibion, O., Gorodnichenko, Y., & Weber, M. (2020). The cost of the covid-19 crisis: Lockdowns, macroeconomic expectations, and consumer spending (Working Paper No. w27141). National Bureau of Economic Research. https://doi.org/10.3386/w27141
Dietrich, A., Keuster, K., Muller, G. J., & Schoenle, R. (2020). News and uncertainty about COVID-19: Survey evidence and short-run economic impact (FRB of Cleveland Working Paper No. 20-12R). https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3573123
Featherstone, M. (2007). Consumer culture and postmodernism. SAGE Publications Ltd. https://doi.org/10.4135/9781446212424
Firmansyah, R. (2020, November 7). Imbas pandemi, Garuda Indonesia rugi Rp 15,2 triliun per September 2020. Kumparan. Retrieved on November 15, 2020, from https://kumparan.com/kumparanbisnis/imbas-pandemi-garuda-indonesia-rugi-rp-15-2-triliun-per-september-2020-1uXhgdZiFf9/full
Gusman, H. (2020, June 19). Bagaimana pandemi COVID-19 menghantam industri otomotif RI. Tirto.id. Retrieved on November 15, 2020, from https://tirto.id/bagaimana-pandemi-covid-19-menghantam-industri-otomotif-ri-fJiu
Goodell, J. W. (2020). COVID-19 and finance: Agendas for future research. Finance Research Letter, 35, 101512, https://doi.org/10.1016/j.frl.2020.101512
Grashuis, J., Skevas, T., & Segovia, M. S. (2020). Grocery shopping preferences during the COVID-19 pandemic. Sustainability, 12(13), 5369. https://doi.org/10.3390/su12135369
Hasanat, M. W., Hoque, A., Shikha, F. A., Anwar, M., Hamid, A. B. A., & Tat, H. H. (2020). The impact of coronavirus (COVID-19) on e-business in Malaysia. Asian Journal of Multidisciplinary Studies, 3(1), 85-90.
Kanitkar, T. (2020). The COVID-19 lockdown in India: Impacts on the economy and the power sector. Global Transitions, 2, 150-156. https://doi.org/10.1016/j.glt.2020.07.005.
Kompas.com. (2020). Program Penanganan Covid dan Pemulihan Ekonomi Telan Biaya Rp 905,1 Triliun, Retrieved on 20th June 2020 from https://money.kompas.com/read/2020/06/19/163919426/program-penanganan-covid-dan-pemulihan-ekonomi-telan-biaya-rp-9051-triliun.
Kothari, C. R. (2004). Research methodology: Methods and techniques. New Age International Ltd Publisher, New Delhi.
Kotler, P., & Keller, K. L. (2006). Marketing management. Prentice Hall.
Kotler, P., & Keller, K. L. (2015). Analyzing consumer market. In Marketing management (pp.199-201). Pearson.
Kurniawan, T., Muslim, M. A. & Sakapurnama, E., (2018). Regulatory impact assessment and its challenges: An empirical analysis from Indonesia. Kasetsart Journal of Social Sciences, 39(1),105-108. https://doi.org/10.1016/j.kjss.2017.12.004
Kusumarini, A. P. I., Fariyanti, A., & Tinaprilla, N. (2022). Consumer attitude and satisfaction by online application for ready-to-eat food delivery service in Jabodetabek. Jurnal Ilmu Keluarga dan Konsumen, 15(2), 192-204. https://doi.org/10.24156/jikk.2022.15.2.192
Laguna, L., Fiszmana, S., Puertaa, P., Chaya, C., Tárrega, A.. (2020). The impact of COVID-19 lockdown on food priorities. Results from a preliminary study using social media and an online survey with Spanish consumers. Food Quality and Preference, 86, 104028. https://doi.org/10.1016/j.foodqual.2020.104028
Laoli, N. (2020, June 2). BPS catat penjualan online melonjak tajam selama pandemi corona. Kontan.co.id. Retrieved on August 13, 2020, from https://nasional.kontan.co.id/news/bps-catat-penjualan-online-melonjak-tajam-selama-pandemi-corona
Malhotra, N., Nunan, D., & Birks, D. (2017). Marketing research: An applied approach (5 ed). Pearson.
Malhotra, N. K., Mukhopadhyay, S., Liu, X., & Dash, S. (2012). One, few or many?: An integrated framework for identifying the items in measurement scales. International Journal of Market Research, 54(6), 835-862. https://doi.org/10.2501/IJMR-54-6-835-862
Nicola, M., Alsafi, Z., Sohrabi, C., Kerwan, A., Al-Jabir, A., Iosifidis, C., Agha, M., & Agha, R. (2020). The socio-economic implications of the coronavirus pandemic (COVID-19): A review. International Journal of Surgery, 78, 185-193. https://doi.org/10.1016/j.ijsu.2020.04.018
Sharma, A. (2020). Changing consumer behaviours towards online shopping-an impact of COVID-19. Academy of Marketing Studies Journal, 24(3).
Sheth, J. (2020). Impact of Covid-19 on consumer behavior: Will the old habits return or die?. Journal of Business Research, 117, 280-283. https://doi.org/10.1016/j.jbusres.2020.05.059
Soedjatmiko, H. (2007). Saya berbelanja maka saya ada: ketika konsumsi dan desain menjadi gaya hidup konsumeris. Jalasutra.
Stanciu, S., Radu, R. I., Sapira, V., Bratoveanu, B. D., & Florea, A. M. (2020). Consumer behavior in crisis situations. Research on the effects of COVID-19 in Romania. Annals of Dunarea de Jos University Fascicle I: Economics and Applied Informatics, 26(1), 5-13. https://doi.org/10.35219/eai1584040975
Susilawati, Reinpal Falefi, Agus Purwoko, (2020). Impact of Covid-19‘s pandemic on the economy of Indonesia. Budapest International Research and Critics Institute-Journal (BIRCI-Journal), 3(2), 1147-1156. https://doi.org/10.33258/birci.v3i2.954
Takahashi, H., Ban, M., & Asada, M. (2016). Semantic differential scale method can reveal multi-dimensional aspects of mind perception. Frontiers in Psychology, 7, 1717. https://doi.org/10.3389/fpsyg.2016.01717
Tempo.co. (2020). PHRI: Sektor Pariwisata Rugi Rp 85,7 Triliun Akibat Pandemi. Retrieved on 20th August 2020, from https://bisnis.tempo.co/read/1365055/phri-sektor-pariwisata-rugi-rp-857-triliun-akibat-pandemi
Teng, L., Tan, Q. and Ehsani, A. (2022), "Assessing the impact of cultural characteristics, economic situations, skills and knowledge on the development and success of cloud-based e-learning systems in the COVID-19 era", Kybernetes, Vol. 51 No. 9, pp. 2795-2813. https://doi.org/10.1108/K-12-2020-0838
Victoria, A. O. (2020, September 24). PSBB pukul bisnis retail dan restoran, dampaknya ke ekonomi kuartal IV. Katadata.co.id. Retrieved on October 15, 2020, from https://katadata.co.id/agustiyanti/finansial/5f6c41a5972b0/psbb-pukul-bisnis-retail-dan-restoran-dampaknya-ke-ekonomi-kuartal-iv
Widayat, & Arifin, Z. (2020). Attitude and behavior on daily food purchasing decisions in the time of Covid-19: A case study of Indonesia customers. Jurnal Inovasi Ekonomi, 5(2), 37-44. https://doi.org/10.22219/jiko.v5i02.11866
Worldometer. (2020). Coronavirus cases. Retrieved on October 15, 2020, from https://www.worldometers.info/coronavirus/
World Health Organization (WHO). (2020). Covid-19 Strategy Update. Retrieved on 4th March, 2023, from https://www.who.int/emergencies/diseases/novel-coronavirus-2019/technical-guidance-publications
Zwanka, R. J., & Buff, C. (2020). COVID-19 generation: A conceptual framework of the consumer behavioral shifts to be caused by the COVID-19 pandemic. Journal of International Consumer Marketing, 33(1), 58-67. https://doi.org/10.1080/08961530.2020.1771646
Copyright (c) 2023 Jurnal Ilmu Keluarga & Konsumen
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Authors submitting manuscripts should understand and agree that copyright of manuscripts published are held Jurnal Ilmu Keluarga dan Konsumen. The statement to release the copyright to Jurnal Ilmu Keluarga dan Konsumen is stated in Copyright Release Form. Copyright encompass exclusive rights to reproduce, to distribute, and to sell any part of the journal articles in all form and media. The reproduction of any part of this journal is allowed with a written permission from Jurnal Ilmu Keluarga dan Konsumen.
