The effect of perceived risk on perceived usefulness, perceived ease of use, intentions to use and actual usage of mobile applications in furniture retail company : an empirical study in Jakarta and Bandung
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Institusion
Sekolah Tinggi Manajemen Ipmi
Author
Setianto, Candra
Subject
H Social Sciences (General)
Datestamp
2022-06-16 07:53:45
Abstract :
The rapid development of information technology and the use of the internet creates opportunities for businesses in the furniture retail sector to reach their customers to shop online. JYSK is a modern furniture retail company from Denmark that sells household goods such as mattresses, furniture, and room decorations with Scandinavian style, introducing JYSK application, to provide customers a convenient experience in online shopping. However, the sales target of mobile applications is not achieved. The target is 6% but the reality is 2-3%. The main factors that influenced the intention to use technology according to Technology Acceptance Model (TAM) are Perceived Usefulness (PU), Perceived Ease of Use (PEU), Intention to use the application. There is little research related to Risk as an external variable in the Technology Acceptance Model and focuses on the furniture retail business. The objective of the study is to increase online sales through mobile applications and apply TAM Framework with Perceived Risk as an external variable. The data collections use a questionnaire and taken from our existing customers in Jakarta and Bandung (4.677 customers where 89% Jakarta and 11% Bandung), using non-probability, and purposive sampling. The sample size was 105 collected from June to Sep 2021. The data were analyzed using SPSS v25 and Smart PLS3. The result indicated that there is a positive and significant effect of Perceived Risk on PU and PEU, positive and significant effect of PU and PEU on Intention to Use the JYSK application (ITU), and positive effect of Intention to use JYSK application on Actual Usage of Application. The theoretical implication is that the external variable Perceived Risk has a positive effect on the TAM framework in furniture retail companies. The practical implication is for the manager to consider indicators of Intention to use applications to improve the actual usage of mobile applications.
The rapid development of information technology and the use of the internet creates opportunities for businesses in the furniture retail sector to reach their customers to shop online. JYSK is a modern furniture retail company from Denmark that sells household goods such as mattresses, furniture, and room decorations with Scandinavian style, introducing JYSK application, to provide customers a convenient experience in online shopping. However, the sales target of mobile applications is not achieved. The target is 6% but the reality is 2-3%. The main factors that influenced the intention to use technology according to Technology Acceptance Model (TAM) are Perceived Usefulness (PU), Perceived Ease of Use (PEU), Intention to use the application. There is little research related to Risk as an external variable in the Technology Acceptance Model and focuses on the furniture retail business. The objective of the study is to increase online sales through mobile applications and apply TAM Framework with Perceived Risk as an external variable. The data collections use a questionnaire and taken from our existing customers in Jakarta and Bandung (4.677 customers where 89% Jakarta and 11% Bandung), using non-probability, and purposive sampling. The sample size was 105 collected from June to Sep 2021. The data were analyzed using SPSS v25 and Smart PLS3. The result indicated that there is a positive and significant effect of Perceived Risk on PU and PEU, positive and significant effect of PU and PEU on Intention to Use the JYSK application (ITU), and positive effect of Intention to use JYSK application on Actual Usage of Application. The theoretical implication is that the external variable Perceived Risk has a positive effect on the TAM framework in furniture retail companies. The practical implication is for the manager to consider indicators of Intention to use applications to improve the actual usage of mobile applications.
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