Advances in Economics, Business and Management Research, volume 193

Proceedings of the BISTIC Business Innovation Sustainability and Technology

International Conference (BISTIC 2021)

Analysis of Trust: A Perception on E-Commerce

Transaction Among Students
Agus Hermawan1*, Wening Patmi Rahayu2, Mohammad Arief3
1,2,3
Faculty of Economics, Department of Management, Universitas Negeri Malang
*
Corresponding author. Email: agus.hermawan.fe@um.ac.id

ABSTRACT
This study analyses the role of consumer trust regarding the role of multi vendors in electronic commerce.
Starting from the functional perspective of vendors, trust is seen as a different mechanism that occurs in
individuals based on their experience. This study use qualitative method through initial surveys, in-depth
interviews and focus group discussions (FGDs). Research subjects are on 10 students whereas analysis focuses
on trust issues, with a sub-focus on the aspects of trust in vendors, security, and privacy, delivery of goods,
payment transactions and physical performance. The results illustrate that vendors can build and maintain their
trust, maintain trust relationships regarding safeguarding (data), privacy, payment transparency system, smooth
delivery of goods, but some informants have not been successfully given trust regarding conditions of goods
performance and product shipping risks. In certain items that require touch and see first-hand, and the condition
of the goods has not been able to prove its suitability, so that in the future the return of goods must be used as a
form of excellent service to consumers. Consumers need to be smarter in buying based on provided knowledge
from buyers as part of consumer protection and education.

Keywords: trust, risk, private, physical payment, e-commerce

1. INTRODUCTION impersonal nature, the insecurity of using open

network infrastructure for transactions, the
Electronic commerce refers to the buying and involvement of third parties in the transaction process
selling of goods or services using the internet, and the (delivery), online payment systems, and the threat of
transfer of money and data to execute these hackers to buyer's privacy and monetary information
transactions. Ecommerce is often used to refer to the and unclear regulatory guidelines.
sale of physical products online, but it can also
describe any kind of commercial transaction that is In general, the separation of the distance between
facilitated through the internet [1]. Internet facilities consumers and marketers also increases the concern of
have reduced physical boundaries and made the world web retailers about identity uncertainty, and there are
a smaller place where people can connect anytime concerns about the involvement of third parties or
from anywhere. As more and more people are hackers that could threaten consumer privacy. Online
connected to the Internet every day, Value-added consumers may be afraid to provide credit card details
electronic markets are increasing. This research to any commercial Web provider so that consumers do
focuses on qualitatively identify consumers' not trust the majority of Web providers enough to
perceptions of online market users regarding the engage in money-related exchange relationships.
reasons they are interested in using online product Previous researchers identified various factors that
ordering tools. Millions of consumers browse suppressed online decision making by buyers. Such
thousands of websites of Web vendors every day research confirms that "Customer Trust" plays a key
offering products to buy products and services. E- role in the buyer's decision-making process. Web
commerce is defined as part of the electronic business shopping involves some problems for consumers,
in the buying, selling and exchanging of goods and including the possibility of transaction fraud, product
services through a computer network where quality, money loss, privacy, information quality and
transactions or terms of sale are conducted so on [2]. Srinivasan (2004) states that gaining customer
electronically. Online shopping has certain trust depends on many things such as the attractiveness of
characteristics that are the use of technology to the website, product or service offerings, branding,
complete transactions, the nature of distance and service quality, and product assurance [3].

Copyright © 2021 The Authors. Published by Atlantis Press International B.V.

This is an open access article distributed under the CC BY-NC 4.0 license -http://creativecommons.org/licenses/by-nc/4.0/. 76
 Advances in Economics, Business and Management Research, volume 193

The purpose of this study is to explore and identify desire is not easy given the increasing variety of
consumer perceptions among students that influence choices and variety of offerings. The high level of
their belief in e-commerce adoption in a youth competition from similar companies has forced
generation environment. The positive effects of the companies to be more creative in offering their
Internet have reduced physical limits and made the products.
world a small place where people (producers and
marketers) can stay in touch with each other at any 2.2. Consumer Trust
time from every angle and aspect of the trade. This Kennedy (2006) state that the definition of "trust"
study raises research questions concerning the is when a customer buys a product or service from a
following from a consumer perspective. How are particular "merchant", the client has a "trust", that the
security and privacy issues in online transactions seller will send goods with adequate quality and
related to e-commerce adoption? How is the trust and quantity according to the order [6]. In online shopping
reliability of the web related to consumer trust in e- activities, risk and safety are always the focus of
commerce? Moreover, what are the performance, attention among online consumers. An extensive
physical, security, privacy, and shipping risks of goods literature review shows that the factors that influence
and services through e-commerce as well as other consumer purchasing decisions can be classified into
psychological factors of their minds? several aspects such as individual character,
personality and often play an important role in the
2. LITERATURE REVIEW purchase decision-making process. Srinivasan (2004)
states that "Two factors that significantly contribute to
2.1. E-commerce transactions e-business success relate to people's trust in online
Electronic Commerce (e-commerce) is the process business and how secure they feel in transacting
of selling, purchasing, or transaction services, business on the Internet"[3]. Godwin (2001) mentions
products, and information through computer networks. that privacy and security issues are the main reason
E-commerce occurs as part of e-business, which is a why users do not buy via the Web [7]. Yi Yi, Mahmood
deeper e-business, not only covering trade but includes & Dominic (2009) states that the lack of consumer
efforts to synchronize commercial work between acceptance in conducting electronic commerce today
customer services, business partners, for business is not only due to concerns about the security and
transactions. In addition to www network technology, privacy of their data, but also the lack of trust and
e-commerce is usually supported by data-based reliability of marketers (Web vendors) [8]. Azadavar
technology (database), email and involves elements of & Mohammad (2011) states that e-commerce and
internal management and the involvement of external online shopping depend on buyers about how people
parties who send goods in an organized manner [4]. In interact with the internet [9]. Suresh & Shashikala
the implementation of e-commerce three processes (2011) state that, the Internet is becoming a relatively
occur. First, the distribution system infrastructure new purchasing channel, consumers feel the risk and
(flow of good); second, payment infrastructure (flow electronic commerce is considered riskier than
of money); and third, information system traditional trade [10]. Yi Yi, Mahmood & Dominic
infrastructure (flow of information). To integrate the (2009) points out that even though e-commerce is
supply chain system, a process occurs from the spreading throughout the world, customers are still
supplier to the factory, to the warehouse, distribution, reluctant to do so because of security and privacy
transportation services, to the consumer, which issues [8]. Suresh & Shashikala (2011) further stated
requires the integration of the enterprise system to that the main concerns of online shopping are 'online
realize supply chain visibility. There are three factors, payment security' and 'privacy regarding personal
which factors need to be considered in building e- information'[10].
commerce stores, namely: variability, visibility, and
velocity. Variability is an effort to availability of goods The results of other studies show that perceived
or services promptly, visibility, tangible evidence that ability, perceived goodness/integrity, waiting period,
the existing goods are by reality, and velocity, the and trust in a website are four important antecedents of
exchange from producers/sellers to consumers has trust in product recommendations on social networking
well-established and accountable transactions. In sites. Besides, trust in product recommendations from
velocity, the speed of organizing data, processing and consumers who have bought can influence consumers'
responding to data based on real-time is the key to intention to buy from a website through an increase in
winning the competition [5]. their desire to buy the product [11]. Meanwhile using
structural equation modelling, Hsin & Su (2008)
To produce a successful and sustainable e- confirm that the quality of the website and website
commerce company, in general, the company must brand affect consumer trust and perceived risk, and in
strive to find ways to be able to build satisfaction, turn, of course, consumer purchase intentions [12].
loyalty, and good relationships with customers both Specifically, this study found that the website brand
online and offline so that customers have enough image is more important than the quality of the website
loyalty to keep buying products again. Building this in influencing customer purchase intentions. In

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addition, this study revealed that the relationship that exists in their minds in online shopping. This is to
between trust and perceived risk is reciprocal. show the relationship between the emergence of
perspectives as consumers and made learning as a
Chellappa & Pavlou, (2002). Test the proposition
social process that is useful in learning economics in
in a study of 179 consumers and show a significant
business classes concerning consumer behavior. The
relationship between perceptions of information
narrative paradigm expresses the belief that humans
security and consumer trust in e-commerce
are narrators and that reason, emotional and aesthetic
transactions [13]. Their research revealed that
considerations become beliefs and behavior and
consumer trust in EC transactions is influenced by
humans experience life in the form of narratives.
perceptions of information security and distinguishes
them from objective assessments of security threats. The subject of this research was conducted an
Researchers here propose mechanisms for encryption, initial survey among 30 students of undergraduate
protection, authentication, and verification as management study program Economics and Business
antecedents of the security of information perceived by Faculty Universitas Negeri Malang class of 2018 and
consumers to protect their privacy. This mechanism 10 students of Master management program class of
can be carried out with solutions to the use of 2019. Among the 44 students selected 10 students,
transaction technology to protect security threats who have online transactions more than 10 times in 2
perceived by consumers. Understanding the role of months. To explore their attitudes and perceptions
limited financial responsibility instead of perceived with in-depth interviews and through FGD. Each
security. Ibrahim at al. (2009) in his research analysing interview was recorded and coded with a set of
trust among 605 respondents from various continents categories developed through discourse analysis [22].
[14]. The findings show the importance of third-party The results obtained are made and it is possible to
recommendations and overall site presentation in develop cross-case comparisons from the extraction of
mediating trustworthy communication interactions. similarities in the narrative code and construct the
Meanwhile, Grabner-Kraeuter (2002) draws on same theory.
information theory two types of uncertainty are
explained: system-dependent and transaction-specific 4. RESULT AND DISCUSSION
uncertainty [15].
This study finds 20 articles that potentially caters a
Finally, various activities and instruments are substantial research result for the topic of these papers.
explained and categorized that Internet companies can Majority of the articles are in qualitative research
be used to build and maintain trust. YunShin (2016), nature with regards to current pandemic situation in
the find that the quality of online product reviews has 2020. Whereas in term of social media marketing it
a significant influence on purchase intentions, and for publishes during the year of 2014 to 2019. The articles
search goods, the quality of reviews has a positive selected are demonstrates in the Table 1 below
indirect effect through product evaluation [16]; while
for good experience, the quality of reviews has both Table 1. Research about Social Media Marketing and
direct (-) and indirect effect (+); Review quality affects Pandemic & Business
website evaluation only when reviewers' photos are No Classifications Author & Title
present. Park & Nicolau (2015) findings reveal that
Tiago, et.al (2014).
online review has beneficial effects that attract interest Digital marketing and
in buying, and negative ratings of reviews more useful social media: Why
than positive reviews, and positive ratings are bother?
associated with higher enjoyment than negative Constantinides (2014).
reviews [17]. Based on Zhao (2014) performance Foundations of Social
expectancy and usage intention effect on initial trust. Media Marketing
Thus, service providers need to build users' initial trust Balakrishnan, Bamini
in order to facilitate their usage of mobile payment K.P.D et.al (2014) The
[18]. Impact of Social Media
Social Media Marketing Medium
1 toward Purchase
3. RESEARCH METHODS Marketing
Intention and Brand
Loyalty among
The method used in this research is social
Generation Y
constructionism [19], narrative [20] and interpretive Felix, Reto et.al (2017).
[21], the narrative approach becomes recognized as a Elements of strategic
valid method in interpretive studies of social media marketing:
entrepreneurship. Theme analysis is used to interpret A holistic framework
the narratives of student experiences in e-commerce Paquette, Holly (2013).
users (online). The material from them in the form of Social Media as a
learning experiences is used to support the Marketing Tool: A
development of conceptual models of trust behavior Literature Review

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No Classifications Author & Title No Classifications Author & Title

Appel, Gil et.al (2020), COVID-19 pandemic:
The future of social "Enterprise effectiveness
media in marketing and sustainability model"
Godey, Bruno et.al De’, Rahul et.al (2020).
(2016) Social media Impact of digital surge
marketing efforts of during Covid-19
luxury brands: Influence pandemic: A viewpoint
on brand equity and on research and practice
consumer behavior
Dahnil, Mohd Irwan et.al 4.1. Trust in Web Vendors (Marketers)
(2014) Factors The success of relationship marketing is very
Influencing SMEs dependent on consumers' perceptions of the
Adoption of Social
organization (vendor). When companies that trade
Media Marketing
Jin, S. Venus et.al (2019)
through the Internet change, manipulate, or misuse the
Instafamous and social information they have about consumers, there is a
media influencer possibility that they could jeopardize the relationship.
marketing Likewise, when they send unsolicited e-mails to
Vinerean, Simona et.al consumers, they may risk destroying relationships or
(2013). The Effects of the potential to generate negative relationships.
Social Media Marketing Research has shown that activities such as sending
on Online Consumer unsolicited e-mails to consumers are also a reason for
Behavior consumers to view it as a matter of privacy [23]. Thus,
Hoffman, Donna L.
vendors who market products via the Internet must try
& Fodor, Marek (2010).
Can you measure the
to get a better understanding of online consumer
ROI of your social media behavior. Consumers are known to be sensitive to
marketing? certain influences and tend to change their minds about
Jacobson, Jenna et,al last-minute purchasing decisions [24]. This is
(2020) Social media particularly relevant in the case of Internet users who
marketing: Who is have more control over purchase transactions.
watching the watchers? Addressing privacy issues may be a step in the right
Surabhi Verma & Anders direction to create a good relationship between vendors
Gustafsson (2020). and customers
Investigating the
emerging COVID-19 The online multi-vendor market is a website that
research trends in the houses vendors (third parties) who provide product
field of business and information and sales services while the owner
management: A manages the website. Consumers buy products in the
bibliometric analysis
market and the owner gets a commission from every
approach
Pantano, Eleonora
sale made by many vendors (stores). The multi-vendor
Et.al (2020). Competing market benefits owners and sellers and helps ease
during a pandemic? access for consumers. As multi-vendor market owners,
Retailers’ ups and downs entrepreneurs can make money-selling products
during the COVID-19 without touching and providing a warehouse, without
outbreak packaging a single box, even without managing the
Pandemics & Caligiuri, Paula et.al distribution process directly. In reality, the success of
2
Business (2020) International vendors has been so widespread, sites such as Amazon,
HRM insights for eBay, Airbnb, Alibaba are expanding their business
navigating the COVID-
worldwide [25]. More than 1300 online stores have
19 pandemic:
Implications for future grown worldwide. Multi-vendor has become a solution
research and practice in the field of online business. In its implementation,
He, Hongwei the Multivendor Marketplace is an online store where
Harris, Lloyd (2020). several vendors gather to sell their products to make a
The impact of Covid-19 profit. So there are many relationships between sellers
pandemic on corporate and customers. This allows customers to choose from
social responsibility and a variety of products. This factor also plays a major
marketing philosophy role in reducing traffic to prospective buyer websites.
Obrenovic, Bojan Gairola (2019) a Quality Assurance Analyst at
Et.al (2020). Sustaining
enterprise operations and
CedCommerce divides the three entities involved in
productivity during the the Multivendor Marketplace, namely: admin, vendor,
and customer. All vendors are required to register with

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the admin website to sell their products on the admin especially in "mobile-first" countries; Shopee is a
website [26]. mobile and diversified online store that also provides
the usual web shopping experience. The main platform
In Indonesia, with e-commerce traffic data based
throughout Southeast Asia, Shopee is also present in
on table 2, there is a huge market potential (Internet
Singapore, the Philippines, Malaysia, Thailand,
users).
Vietnam, as well as in Taiwan. Even though Tokopedia
Table 2. Indonesia Digital – January 2019 ranked first in the top ten rankings, from the initial
survey of this study, Shopee became the first platform
Data Amount
choice for 46 students.
1 Population 268,2 millions
2 Mobile Subscription 355,5 millions Further deepening of the 10 selected informants
3 Internet Users 150,0 millions showed that they believed that the existing vendors
4 Social Media Users 150,0 millions were able to fulfil every transaction in the existing
5 Mobile Social Users 130,0 millions goods.
Source: Hootsuite, 2019 [27]
Table 4. Responses to Vendor Performance Code
The table shows, Indonesian e-commerce has Response to Vendors
become a very promising market for years because
many businesses are attracted by its enormous Code Responses to Vendor Performance
potential. Recognizing the country's large population R1 I believe because I saw the review before
buying the item. There are the same items
and anticipating its digital explosion, local and foreign
in different stores, different reviews, there
companies, and investors have launched e-commerce are good things that are lacking. Finally
websites, applications, and markets. Some of them compare, especially price.
become very successful, with millions of visitors every In my opinion, it is safe because, before
month. online transactions, I must first look for
information related to the rating from
There are ten well-known and major Multi vendors buyers of e-commerce (shanties or stores,
in Indonesia: or the like).
Table 3. Top ten Multi-vendor Indonesia R2 I believe because before I decided to buy
Vendors Monthly Traffic Estimate products online I really chose a trusted
1 Tokopedia 148,500,000 online store and saw the reviews first,
especially the existing products, I also
2 Shopee 95,300,000
consider ratings, which are often visited
3 Bukalapak 95,100,000
R3 I am not worried because before i decided
4 Lazada 47,800,000
to buy products online i chose a trusted
5 Bibli 34,200,000 online store. Comparing with Instagram -
6 Orami 9,050,000 new to shoopee to order goods.
7 JD.id 8,600,000 R4 I have worries, but by seeing someone's
8 Bhinneka 5,950,000 testimony I feel confident. The color of
9 Sociolla 4,400,000 goods, and different sizes and are only
10 Zalora 3,750,000 certain after comparison
R5 I believe because I have assessed and
In addition to their website, most of the top 10 e- found out the truth and whether the
commerce players detailed here also have mobile application has been proven reliable. Also
applications available on various application platforms see other sellers who are star sellers, from
to enable users to shop online via mobile devices. reviewers who have already bought
Although the general websites mentioned above R6 Learn from the experiences of others
before you unbelievably. Item not arrived.
constitute the largest part of Indonesian e-commerce
Guarantee that until the goods.
several other specialized players deserve to be included Ecommerce who has many transitions
in this category; certain specific websites are also very believe.
active in selling their products online. In Indonesia, R7 Believe more because of
Traveloka and Garuda Indonesia each lead the hotel recommendations from friends. Friends
and travel booking industry and online airplane tickets. and neighbours, and more to give
recommendations.
Leading the online marketplace, with more than 70 R8 I am not worried, because the application
million visitors per month, Kaskus is also a big player guaranteed if there is an error or fraud can
because of its scope, potential and active platform in e- be tracked. Based on the receipt number.
commerce. There are several other classified JD.id is not detected, sincere
advertisers, general or specialized in marketing cars R9 Sometimes I have worries about the store
and / or houses and apartments, but only a few are truly or product that I want to order. Therefore,
superior including OLX Indonesia, which has more before ordering I see a review from a
than 50 million visitors per month. previous buyer, whether good or not. See
how many items are sold, hundreds or
Shopee is an important player among students, thousands of items sold.

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R10 It is okay, because guaranteed security. another study by Tsai & Yeh (2010), consumers'
There is a fraud there is registration so that perceptions about the safety of online vendors are
it is easy to track and there is a receipt. known as the main concern for consumer decision
The data show that not many consumers are making [32]. They found that web site design (web site
skeptical or suspicious about the functional mechanism features), service quality efficiency, product quality
of electronic commerce, although the process and information, and transaction and delivery capabilities
effects of vendor transparency are not transparent, and were factors related to the perceived risk of
the quality of many products offered online is doubtful. information security and purchase intentions.
the role of consumer trust in vendors is still relatively The results of the study above showed that almost
good, as a basis for the diffusion and acceptance of all informants felt security as a consideration in
electronic commerce. From the functional perspective purchasing. When a vendor provides a guarantee of
of student consumers, trust in vendors is seen as a delivery, and binding rules regarding clear transaction
different mechanism according to a personal character rights and obligations as a seller and buyer will further
as a consumer. Reducing the uncertainty and guarantee the security of the goods and services
complexity of transactions and relationships in the purchased.
market place, confirmation of the vendor becomes the
most important part, as stated by Respondent 1 (R1): Security and privacy important to consumers
“I believe because I saw the review first before buying engaged in online shopping transactions and differs
goods. In my opinion, it is safe because, before online from the traditional theory of perceived risk
transactions, I must first look for information related dimensions. Scholars emphasize that website security
to the rating from buyers of e-commerce (shanties or and privacy should encompass confidentiality of
stores, or the like).” information, information integrity, and communication
of non-repudiation, authentication security, IT
Reading the comment of reviews and checking the effectiveness, and protection of personal privacy, all of
truth vendors is also an important part, as part of which relate to website characteristics [32]. Culnan
increasing trust and anticipating the possibility of (1995) defines privacy as the ability of individuals to
decreasing trust in vendors. As the statement R9 and control vendor access to personal information about
R5: Because sometimes I have worries about the store them [33]. Privacy issues is defined as the use of
and the product that I want to order. Therefore, before personal information freely given by individuals to
ordering I see a review from previous buyers, whether business vendors in the buying process. In this study,
or not the vendor is good (R9), and R5: I believe privacy concerns are limited to the problems that
because I have assessed and found out the truth and consumers have in connection with the ownership of
whether the application has proven to be trusted. This personal information by companies. Thus, the
analysis focuses on the conditions of e-commerce definition of privacy that applies to this study is that
transactions that are relevant for forming trust issues. proposed by Campbell (1997) - the ability of
individuals to determine the nature and level of
4.2. Trust in Security and Privacy information about them that is communicated to others
Safety issues of concern to customers have been [34]. Managers should identify information practices
cited in online purchase studies [28]. The researchers that have the potential to raise a red flag in the eyes of
agreed that transaction security is not only a technical the public and help them understand what steps they
challenge, it also covers human aspects and how can take to address public concerns about information
vendors behave. Security perception is defined as the privacy.
extent to which people believe that online vendors or
websites are secure. Security perception is classified as
a security problem both objective and subjective. Table 5 Responses about Security and Privacy Code
Customer goals refer to measures such as security Response to Vendors
policy statements and technical protection from
vendors, while subjective security refers to a security Code Response to Vendors
R1 Because as long as I buy online my data is
that is felt overall for consumers [13]. Chang & Chen
never used for things that harm me.
(2008) emphasize that security must be utilized and R2 Because as long as I buy online I have never
considered by online websites to protect customer data, experienced negative things related to my
they mention that online websites are the main target data.
of hackers [29]. Delafrooz et al., 2011 considers Because sometimes I have to worry about the
security issues as a factor affecting online purchase store or product that I want to order.
intentions [30]. Sharma & Yurcik (2004) have Therefore, before ordering I see a review from
mentioned attitudes towards security, experience about a previous buyer, whether good or not
security features [31] R3 Because as long as I buy online I never get
anything negative related to my data. Even
Website features and point out third-party security though some offer online debt who do not
as factors that influence security perceptions. In know what to have

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R4 Worried because we can find out our address. individuals who are not authorized to access personal
I am a little worried about my privacy be it data.
identity, address or the other for fear of being
abused by others to do something negative Because there is already, an SOP that privacy is
R5 I believe because I have assessed and found maintained. Remain cautious, to anticipate criminal
out the truth and whether the application has actions.
been proven reliable. Have different numbers
for transactions and for associates that are Invasion: unsolicited and undesirable
considered communication to consumers.
R6 Because there is, an SOP that privacy is
I do not give all the data that I give. There are limits
protected. Remain cautious, to anticipate
criminal actions to my giving out my data to prevent my data from
R7 For fear that, irresponsible parties will use my being misused.
address, the telephone numbers I use are often
misused with terror. 4.3. Trust in Physical Performance, Payment
R8 When we order through the application for and Product Delivery Risk
example grab, we contact the driver privately
and our presence can be monitored so that it Uncertainty in handling transactions and
is not a problem until the privacy term consumers' perceptions of risk have been identified as
R9 Because, we know that online shopee
some of the main problems that cause consumers to
companies, must have rules for not misusing
personal data from someone. Therefore, I can
doubt taking profits from online payments. With the
trust to provide my data. However, the data I development of online payment system mechanisms, it
gave was not all I gave. There are limits to my has increased consumer trust in the payment system
giving out my data to prevent my data from [35].
being misused
Safe because security is maintained. At the
Table 6. Trust in Physical Performance, Payment and
R10
full expedition address Product Delivery Risk
Code Response to Vendors
R1 I feel safe because so far, there has never
The results of this study indicate that privacy is
been a problem with payment, but for goods
more secure regarding personal data collected for one that have been of different sizes, shoes do
purpose to be used for other purposes without not meet expectations but cannot complain.
permission not to be misused by the vendor, as stated: Meanwhile, if the complaint process is long.
Shipping trips sometimes do not match the
As long as I buy online, I have never experienced
conditions of the goods because they are
negative things related to my private data. When we damaged, defective
order through the application for example grab, we R2 I feel safe because so far, I have never
contact the driver privately and our presence can be experienced fraud. The clothes sent did not
monitored, so it does not matter until it concerns the match the description, especially regarding
privacy. We know that online Shopee companies must the thickness, and size of the material.
have rules for not misusing personal data from R3 I feel safe because so far, I have never
someone. Therefore, I can trust to provide my private experienced fraud. COD is more reliant but
data. However, the data I gave was not all I gave. There often transfers keep people at home.
are limits to my giving out my private data to prevent R4 Safe, because there is evidence and before
making a payment I have also made sure by
my private data from being misused.
looking at the testimonials and ratings
This is in line with the research categorizing the R5 Because there is evidence of the transaction
contextual privacy problem into five main areas as and before the transfer, I also made sure by
follows: looking at the testimonials and ratings from
others. The physical picture is often
Secondary use without permission: Personal data incompatible with the arrival of goods but is
collected for one purpose is used for other purposes still acceptable
without permission. R6 Yes, because now it is very easy to report
that fraud has occurred and our money will
For fear that my address will be used by return 100 percent despite having to wait a
irresponsible parties, the telephone numbers that I long time but guaranteed security. When it
often use are terrorized comes to physical form, trust more official
online stores. JNE takes up to 10 days
Error: personal data is accidentally or intentionally longer than JNT distributors, complaints are
changed, damaging the integrity of the database. as not well received.
long as I buy online, I have never happened negative R7 So far, I still feel safe, because something
things related to my private data. Even though there are has not happened yet when I shop online,
those offering debt online who do not know from except for clothes, the fabric is worse than
owning an existing number ▪ Improper access: the picture, the connection is not
appropriate. Shipping prefers JNT

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R8 If there is a mistake, for example, the stock cannot complain. Meanwhile, if the complaint process
runs out, we already paid the money back is long. Shipping trips sometimes do not match the
R9 Yes, because online, we can directly conditions of the goods due to damage, defects (R1,
transfer/pay through an ATM. Therefore, R4). I feel safe doing transactions because there is
that it will make us feel safer in conducting evidence of the transaction and before the transfer; I
online transactions. I cannot be sure of the
arrival of the product, because, by way of
made sure by looking at the testimonials and ratings
online, we cannot be sure that the person we from others. Physical photo is often incompatible with
ordered is really good or just deceiving us. the arrival of goods but is still acceptable (R5)”
R10 Safe, if you buy goods with greater needs, Good conditions of trust in the way mobile
prefer to go offline.
payments will help vendors improve their services.
There are deep feelings about money as real and Trust in online payments also affects other
physical. Cash remains a reference point when talking performance expectations, as evidenced by the
about money. They talk about paying by cash or check; continued complaints regarding the delivery of goods.
cash or credit card; cash, credit cards. Cash is seen as This shows that when users develop trust in online
"real money" or "money back." With advances in payments, they also hope to get positive benefits from
technology and transactions, cash payments are no mobile payments and other service factors. For
longer seen as an effective way to process online example, there are complaints about products that do
transactions. As a basic transaction application that not match the appearance of the actual goods.
supports cellular business, cellular payments have
“So far, I still feel safe (related to payment), because
received great attention from vendors.
something has not happened yet when I shop online,
Telecommunications service providers in Indonesia
except for clothing (shipments), the fabric is worse
such as Telkom, Indosat have also facilitated and
than the picture, the connection is not appropriate so
developed cellular payment products, which allow
Shipping prefers JNT, rather than JNE (R7”
users to pay for airplane tickets and buy food through
their mobile phones and are supported by multi The risk of sending the product is still a complaint
vendors with the transaction of various goods and by the informant, as stated below
services.
“In terms of money transfer because online, we can
Cellular payment means users to access directly transfer/pay through an ATM. So that it will
information and services, such as checking balances, make us feel safer in conducting online transactions.
transferring money, and making payments through However, I cannot be sure of the arrival of the product,
mobile devices such as cell phones. Compared to because, by way of online, we cannot be sure that the
offline payments, the main advantage with the help of person we ordered is good or just deceived us (R9).
mobile devices and networks, users have been freed Delivery is not a problem, but the clothes that are sent
from the limitations of space and time. They can make do not match the description, especially concerning the
cellular payments anytime from anywhere. This thickness, and material size (R2).”
provides users with convenience and value, which can
Besides being sensitive to the price of goods, the
facilitate the adoption of their mobile payments.
most important concern for consumers online is
However, cellular payments also involve considerable
shipping costs. Being the main reason among research
uncertainty and risk. For example, cellular networks
subjects (students) why they chose Shopee as the
are vulnerable to hacker attacks and information
vendor’s choice, the consideration is because of free
interception. Viruses and Trojan horses may also infect
shipping (free shipping). This is in line with the study
mobile devices. These problems can increase user
of Xing et al. (2010) which states that price is the most
concerns about payment security and reduce intentions
important online purchasing criteria in purchasing
to use them. They need to build trust to reduce the risk
decisions, while shipping costs are the main motivator
they feel and facilitate the use of their mobile
in the market, therefore the retail market is demanded
payments.
to be more transparent regarding prices considering
Trust in cellular payment systems positively consumers are becoming more sensitive to prices [36].
influences consumer loyalty to cellular payments and
multi-vendor sites [36]. The results of Zhou's (2014)
study show that trust in online payments is the main 5. CONCLUSIONS
factor determining initial trust in mobile payments Many marketing activities that use online systems
[18]. Among the factors that influence initial trust, trust have raised skepticism or suspicion about the
in online payments has the biggest effect. Empirically mechanism of the process, the effects of transparency
almost all informants who stated showed the same carried out by multi-vendors, and the quality of many
results: products offered online. Consumer trust is a very
“I feel safe because so far, there has never been a important part of online trading which is characterized
problem with payment, but for goods that have been of not through a process of direct meetings between
different sizes, shoes do not meet expectations but sellers. This study has analyzed the role of consumer

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 Advances in Economics, Business and Management Research, volume 193

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