The Effect of Cashback and Free Shipping, Customer

Satisfaction, and Product Diversity on Consumer

Buying Interest in Marketplace:

Study on University of Sumatra Utara Students Using Tokopedia,

Shopee, and Bukalapak

Rikka Pratiwi Walga and Onan Marakali Siregar

Faculty of Social and Politic, Universitas Sumatera Utara, Medan City, Sumatera Utara, 20222, Indonesia

Keywords: Cashback and Free Shipping, Consumer Satisfaction, Product Diversity, Repurchase Interest.

Abstract: The sophistication of informatics and technology brings various innovations in various fields. The invention

from the culture makes a significant impact on business. Its creation meant a new platform called the

marketplace. People can buy and sell activities effectively and flexibly in the marketplace in many product

diversity. To attract their target and build consumer satisfaction, most of the marketplace gives Cashback

and Free shipping to the consumer in their transaction. This study aims to analyze the effect of Cashback

and free shipping on repurchase intention, the impact of customer satisfaction on repurchase interest, and

how product diversity influences repurchase interest in students application users Marketplace at the

University of Sumatra Utara. The research uses a comparative quantitative. The population in this study

were students who used the Shopee, Tokopedia, and Bukalapak applications at USU, with a total sample of

99 respondents, and the sampling technique used purposive sampling. The collection technique used is

primary data and secondary data. The data analysis methods used in this study are validity and reliability

tests, classical assumption tests, multiple linear analysis, partial tests, simultaneous tests, and tests of

determination obtained by using SPSS software application tools. The result of this research shows that

partially every independent variable for the repurchase interest in the marketplace is different. Meanwhile,

in simultaneous testing, the cashback and free shipping variables, consumer satisfaction, and product

diversity simultaneously influence the repurchase interest in the marketplace. In the determination test, it is

known that the value of the adjusted R square on the Cashback and free shipping variables, consumer

satisfaction, and product diversity on repurchase interest in the Shopee marketplace is 63.7%, while the

adjusted R square value on Tokopedia is 59.9%, and the amount the adjusted R square value in the

Bukalapak application is 27.7%.

1 INTRODUCTION

Technology is developing very rapidly in the era of

globalization; many aspects are influenced by

technological developments. Daily activities are also

influenced by technological developments, for

example, communicating, shopping online, and so

on. The effects of technological developments and

the influence of globalization at this time not only

have an impact on industrial aspects but also on

people's lives. Most Indonesians take advantage of

technological developments through the use of

gadgets or also known as smartphones, in their daily

activities. Online people who choose to shop online

have increased from 11% before the pandemic to

25.5% in early 2021. Interestingly, 74.5% of

consumers who continue to shop offline and online

during the pandemic shop online more (Nurcahyadi,

2021),

The increasing interest in online shopping is

also influenced by current technological

developments. From the first quarter of 2020 to the

third quarter of 2021, Tokopedia noted that this

application continued to experience an increase in

the number of visitors to its website and application.

During this period, there were 3 (three) top

marketplaces in Indonesia, namely Shopee,

Walga, R. and Siregar, O.

The Effect of Cashback and Free Shipping, Customer Satisfaction, and Product Diversity on Consumer Buying Interest in Marketplace: Study on University of Sumatra Utara Students Using

Tokopedia, Shopee, and Bukalapak.

DOI: 10.5220/0011510600003460

In Proceedings of the 4th International Conference on Social and Political Development (ICOSOP 2022) - Human Security and Agile Government, pages 63-68

ISBN: 978-989-758-618-7; ISSN: 2975-8300

 2023 by SCITEPRESS – Science and Technology Publications, Lda. Under CC license (CC BY-NC-ND 4.0)

Tokopedia, and Bukalapak. Shopee or known by its

official name PT. Shopee Indonesia is a company

engaged in the electronic trading sector,

headquartered in Singapore. Tokopedia, or with the

official name PT. Tokopedia is a platform that

provides online shopping services. Founded in 2009

by William Tanuwijaya and Leontinus Alpha

Edison. Meanwhile, Bukalapak, Bukalapak is one of

the online marketplaces in Indonesia, which was

founded by Achmad Zaky in 2010 with the aim of

providing a platform for SMEs in Indonesia.

Consumer repurchase interest is a process in

which people repurchase the goods and services they

have purchased. Most consumers use the

marketplace as a means of purchasing the goods or

services they want. The increased interest in

repurchasing consumers in a marketplace will

certainly result in increased income from the

marketplace itself. Shopee, which is one of the

largest marketplaces in Indonesia, based on a report

from Setiyawati (2021), explained that Shopee's

revenue in 2021 is predicted to reach US$ 4.5

billion-US$ 4.7 billion or around Rp. 64.5 trillion-

Rp 67. .3 trillion. Meanwhile, with Tokopedia in 7

2018, its revenue has reached Rp. 73 trillion. This

value is estimated to increase to IDR 222 trillion in

2019, or equivalent to 1.5 percent of the Indonesian

economy (Pramudita, 2019). Furthermore, with

Bukalapak announcing its financial performance in

the third quarter of 2021, it reached a revenue of Rp.

1.34 trillion, which was triggered by the significant

growth of the revenue of Bukalapak's partners. If

you look at Bukalapak's financial report in 2020 of

Rp 948.4 billion, it can be seen that there is an

increase in the Bukalapak marketplace in 2021

(Anestia, 2021).

One of the efforts made by the marketplace to

maintain consumer repurchase interest can be made

with several promotional techniques such as

Cashback and free shipping. Cashback is a

promotional strategy by giving coins and discounts

to buyers when making a purchase transaction. Free

shipping is a form of marketplace promotion to

attract consumers to make online shopping

transactions in the marketplace. Consumers will get

Cashback and free shipping together if consumers

claim the two vouchers. One of the advantages

offered by other marketplaces is that the marketplace

provides various types of products. from various

sellers in the application or on the website. In

addition to having a variety of products, the

marketplace always strives to create trust, safety,

and consumer comfort. This is done by the

marketplace so that the desires and expectations of

consumers in shopping through their applications

and websites can be maintained; in this context, it is

hoped that it can lead to consumer confidence and

satisfaction during shopping.

Wenas (Syukro, 2016) said that of the many

cities in Indonesia, there are five cities whose

consumers are the most active in shopping. The five

cities are Jakarta, Surabaya, Medan, Bandung, and

Makassar. Of the five cities, every day, there must

be an order transaction in the marketplace. Students

are one of the market targets for the marketplace in

the city of Medan. The cause of the marketplace

favoring students as its market share is because

students are very concerned about lifestyle in terms

of clothing and beauty. This makes students often

make purchases, especially in the field of fashion

and beauty products, for their daily activities, one of

the marketplace markets is the University of

Sumatra Utara (USU) campus. ). The University of

Sumatra Utara. It is the largest campus in North

Sumatra Province. In addition to its large campus,

the University of North Sumatra has a very large

number of students compared to other campuses in

North Sumatra. In 2021 the number of students

registered on the USU campus will reach 50,414

students. The presence of online shopping presents a

variety of products, discounted prices, ease of

payment, and other advantages offered by the

marketplace, which students can use to shop. The

advantages offered by various stores in the

marketplace can be used by students for the

shopping process, for example, saving time in

choosing items because they can be accessed via

smartphones, students can maximize the promotions

offered such as discounted prices and free shipping

to save their pocket money, so you can make

purchases at a later date.

2 LITERATURE REVIEW

Andika et al. (2021) say that Cashback is money

according to the price of the product that consumers

buy. Cashback can be interpreted as an offer given

to a buyer where the buyer will receive a proportion

of cash or virtual.

Saputra et al. (2019) said that free shipping is

a promotion providing discounts on shipping costs

provided by the marketplace aimed at making

consumers interested and also inciting consumers to

make purchasing decisions.

According to Indasari (2019:21), Product

diversity is a collection of all products and goods

offered by certain sellers to buyers.

ICOSOP 2022 - International Conference on Social and Political Development 4

According to Ritonga (2018:11), Customer

satisfaction is the expectation of all producers.

Customer satisfaction can be achieved if the

customer feels the value of the product purchased is

in accordance with their expectations.

According to Hellier (Gama 2020:1),

Repurchase can be interpreted as someone's interest

in making another purchase at a particular company

based on previous experience. This causes

consumers who shop online to make repeat

purchases on online sites through previous purchase

experiences.

3 RESEARCH METHOD

Research form Quantitative method with

comparative descriptive approach. Comparative

research is research that compares two or more

symptoms. Yusuf (2014: 57) comparative research is

research that explores events that occur, both the

causes and objects studied, and then compared with

phenomena that occur in groups. According to Nazir

(2018:47), comparative research is a comparative

study. This comparison that is studied in this study is

to compare three marketplace objects, namely

Shopee, Tokopedia, and Bukalapak.

4 RESULT AND DISCUSSION

This multiple linear regression analysis aims to

examine the effect of the independent variables,

namely Cashback and Free Shipping (X1),

Consumer Satisfaction (X2), and Product Diversity

(X3), on the dependent variable Repurchase Interest

(Y).

Table 1: Multiple linear regression analysis

Source: Primary Data Processing Results (2022)

Based on the results of the regression test

above, the multiple linear regression analysis model

used in this study can be formulated as:

Equation 1 (Shopee) Y= -0.419 + 0.729 X1 + 0.640

X2 + 0.192 X3

Equation 2 (Tokopedia) Y= 2.425 +0.165 X1 +

0.460X2 + 0.754 X3

Equation 3 (Bukalapak) Y= 15.969 + 0.231 X1 +

0.315 X3 + 0.109 X3.

Table 2: Partial Significance Test Results (t Test)

Source: Primary Data Processing Results (2022)

The T-test is used to determine the effect of the

variable Cashback and free shipping (X1), consumer

satisfaction (X2), product diversity (X3) partially on

repurchase interest (Y), and whether it has a

significant effect or not. The significance level used

is 5% or 0.05 (two-tailed test) with degrees of

freedom df = n-k = 29, then the table value of 2.045

can be obtained. The results of the partial

significance test (T-test) are as follows:

1. Hypothesis testing on the Shopee application can

be explained

Cashback and free shipping (X1) for repurchase

interest (Y) count 3,457 > table 2,045, with a

significance value of 0.002 < 0.05, Ha1.1 is

accepted.

The variable of consumer satisfaction (X2) on

repurchase interest (Y) obtained a value of tcount

2,947 > ttable 2,045, with a significance value of

0.006 <0.05. Ha1.2 accepted.

Product diversity (X3) on repurchase interest (Y)

obtained a count value of 0.556 < table 2.045, while

the significance value was obtained at 0.192> 0.05.

Ha1.3 is rejected, and H01.3 is accepted.

2. Hypothesis testing on the Tokopedia application

can be explained

Cashback and free shipping (X1) variables on

repurchase interest (Y) obtained a count value of

2.045, while with a significance value of 0.451 >

0.05. Ha2.1 is rejected, and H02.1 is accepted.

The variable of consumer satisfaction (X2) on

repurchase interest (Y) obtained a count value of

The Effect of Cashback and Free Shipping, Customer Satisfaction, and Product Diversity on Consumer Buying Interest in Marketplace:

Study on University of Sumatra Utara Students Using Tokopedia, Shopee, and Bukalapak

2,382 > table 2,045, while the significance value was

obtained at 0.024 <0.05. Ha2.2 accepted

product diversity (X3) on repurchase interest (Y)

obtained a count value of 2,780 > table 2,045, while

the significance value was obtained at 0.009 <0.05.

Ha2.3 accepted.

3. Hypothesis testing on the Bukalapak application

can be explained

Cashback and free shipping (X1) on repurchase

interest (Y) obtained a count of 1.097 < table of

2.045, while with a significance value of 0.282>

0.05. Ha3.1 is rejected, and H03.1 is accepted.

consumer satisfaction (X2) on repurchase interest

(Y) obtained a count value of 1,280 < table 2,045,

while the significance value was obtained at 0.211>

0.05. Ha3.2 is rejected, and H03.2 is accepted.

product diversity (X3) on repurchase interest (Y)

obtained count 0.301 < table 2.045, while the

significance value was obtained at 0.766 > 0.05.

Ha3.3 is rejected, and H03.3 is accepted.

Table 3: Simultan Result ( F - Test)

Source: Primary Data Processing Results (2022)

A simultaneous test (F test) was carried out with a

significance level of 5% or 0.05, a Fable of 3.09. 1.

Simultaneous testing for the variable Cashback and

free shipping (X1), consumer satisfaction (X2), and

product diversity (X3) on the variable of repurchase

interest (Y) in the Shopee application. It is obtained

that Fount > Ftable which is 19,709 > 3.09 or sig. ie

0.000 < 0.05. These results mean that the

independent variables, namely Cashback and free

shipping (X1), consumer satisfaction (X2) product

diversity (X3) at Shopee, have a simultaneous

(simultaneous) effect on the dependent variable,

namely repurchase interest (Y). So it can be

concluded that Ha 1.4 is accepted.

2. Simultaneous testing for the variable Cashback

and free shipping (X1), consumer satisfaction (X2),

and product diversity (X3) on the variable of

repurchasing interest (Y) in the Tokopedia

application. The value of Fount > Ftable is 16.917 >

3.09 or sig. ie 0.000 < 0.05. These results mean that

the independent variables, namely Cashback and

free shipping (X1), consumer satisfaction (X2)

product diversity (X3) at Tokopedia, have a

simultaneous (simultaneous) effect on the dependent

variable, namely repurchase interest (Y). So it can

be concluded that Ha 2.4 is accepted.

3. Simultaneous testing for the variable Cashback

and free shipping (X1), consumer satisfaction (X2),

and product diversity (X3) on the variable of

repurchase interest (Y) in the Bukalapak application.

The value of Fount > Ftable is 4.938 > 3.09 or sig. ie

0.007 < 0.05. These results mean that the

independent variables, namely Cashback and free

shipping (X1), consumer satisfaction (X2) product

diversity (X3) in Bukalapak, have a simultaneous

(simultaneous) effect on the dependent variable,

namely repurchase interest (Y). So it can be

concluded that Ha 3.4 is accepted.

Table 4: Coefficient of Determination Test Results (R2)

Based on the results of the termination test on the

Shopee application, the R-value is 0.819, indicating

that the Cashback and free shipping variables are

customer satisfaction, product diversity on

repurchase interest is 63.7%, and the remaining 36.3

is influenced by other variables not discussed in this

research.

Based on the results of the termination test on the

Tokopedia application, an R-value of 0.798 shows

that the Cashback and free shipping variables are

customer satisfaction, product diversity on

repurchase interest is 59.9%, while the remaining

40.1% is influenced by other variables not discussed

in this research.

Based on the results of the determination test on the

Bukalapak application, the R-value is 0.581,

indicating that the Cashback and free shipping

variables are customer satisfaction, product diversity

on repurchase interest is 27%, while the remaining

73% is influenced by other variables, other variables

not discussed in this study.

ICOSOP 2022 - International Conference on Social and Political Development 4

5 CONCLUSION

Based on the results of research and discussions

about Cashback and free shipping on the

marketplace, only the Shopee application can

influence USU students' repurchase interest.

Based on the results of research and discussion on

consumer satisfaction in the marketplace, only the

Shopee and Tokopedia applications can influence

the buying interest of USU students.

Based on the results of research and discussion

about product diversity in the marketplace, only the

Tokopedia application can influence the buying

interest of USU students.

Meanwhile, cashback and free shipping, consumer

satisfaction, product diversity in the marketplace,

and all applications, namely Shopee, Tokopedia and

Bukalapak, can influence USU students' repurchase

interest.

6 SUGGESTIONS

1. Shopee App

Shopee can improve product quality and safety

during the delivery of goods to consumers. So that

Shopee parties can improve their communication

with sellers at Shopee to maintain packaging so that

the safety and quality of products that reach

consumers are maintained without defects and

damage, provide vouchers that are easy for

consumers to claim.

2. Tokopedia Application

Tokopedia can provide free shipping on the second,

third, and fourth products ordered by consumers or

not only given to products that are checked out at the

beginning to increase repurchase interest, and

Tokopedia should be able to provide Free Shipping

Features also to users who transact as a drop shipper.

3. Bukalapak Application

It's better to do more in providing free shipping to

consumers because the free shipping provided by

Bukalapak is currently very little compared to other

marketplaces. And Bukalapak should make

improvements so that the application is easier to use

on various types of cellphones on the device.

Because the types of cell phones used by consumers

are different, there are consumers who use cell

phones at low prices, so this can burden the cell

phone when opening the Bukalapak application, it is

better for Bukalapak to pay attention to this so that

consumers are satisfied with the services provided

by the Bukalapak application.

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Study on University of Sumatra Utara Students Using Tokopedia, Shopee, and Bukalapak

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