Model Analysis of Millennials' Purchase Intention Electric Cars in JABODETABEK


Authors : Veryzal Danang Nugraha; Djumarno

Volume/Issue : Volume 9 - 2024, Issue 7 - July

Google Scholar : https://tinyurl.com/yeym4swz

Scribd : https://tinyurl.com/3cd55kkm

DOI : https://doi.org/10.38124/ijisrt/IJISRT24JUL1113

Abstract : This study explores a model of customer purchase intention in millennial segment electric car buyers in Jabodetabek using a modified Theory of Planned Behavior (TPB) and analyzed by Structural Equation Modeling using Smart-PLS 3.2.9. Although sales of electric cars in Indonesia are increasing, consumer purchase interest, especially the millennial generation, is still low compared to other Asian countries. This study examines the influence of factors in the modified TPB, including Attitude, Subjective Norms, Perceived Behavioral Control, Government Policy and Environmental Concern on the purchase intention of electric cars. Data was collected through a survey of millennials in Jabodetabek. The results of SEM analysis show that Attitude and Environmental Concern have a positive and significant influence on the purchase intention of electric cars. Meanwhile, Subjective Norms, Perceived Behavioral Control and Government Policy have a positive but insignificant impact on the purchase intention of electric cars for millennials in Jabodetabek. The findings of this study provide insights for manufacturers, policymakers and marketers on how to increase the adoption of electric cars among millennials. Appropriate strategies can be designed to drive electric car market growth and overcome existing barriers.

Keywords : Electric Car, Purchase Intention, Millennial, Theory Of Planned Behavior, Structural Equation Modeling.

References :

  1. Adnan Padhilah Ilham Rizqian Fahreza Surya Pintoko Aji, F., Arinaldo Handriyanti Puspitarini Julius C Adiatma, D. D., & Tumiwa Julius Adiatma, F. C. (2023). Indonesia Electric Vehicle Outlook 2023 Electrifying Transport Sector: Tracking Indonesia EV Industries and Ecosystem Readiness.
  2. Ajzen. (1991). The Theory of Planned Behavior.
  3. Brinkmann, D., & Bhatiasevi, V. (2023). Purchase Intention for Electric Vehicles Among Young Adults in Thailand. Vision, 27(1), 110–118. https://doi.org/10.1177/09722629211001981.
  4. Cochran, C. E. (2009). American public policy : an introduction. Wadsworth Cengage Learning.
  5. Daxini, A., Ryan, M., Odonoghue, C., Barnes, A., & Buckley, C. (2019). Using a typology to understand farmers’ intentions towards following a nutrient management plan. Resources Conservation and Recycling, 146, 280–290. https://doi.org/10.1016/j.resconrec.2019.03.027
  6. Elif, P., Najmudin, & Ahmad Fatoni. (2023). 603-Article Text-2544-1-10-20230204. Jurnal Pemikiran Dan Penelitian Ekonomi Islam, 11(1), 21–44.
  7. Gunawan, I., Redi, A. A. N. P., Santosa, A. A., Maghfiroh, M. F. N., Pandyaswargo, A. H., & Kurniawan, A. C. (2022a). Determinants of Customer Intentions to Use Electric Vehicle in Indonesia: An Integrated Model Analysis. Sustainability (Switzerland), 14(4). https://doi.org/10.3390/su14041972.
  8. Huang, X., & Ge, J. (2019). Electric vehicle development in Beijing: An analysis of consumer purchase intention. Journal of Cleaner Production, 216, 361–372. https://doi.org/10.1016/j.jclepro.2019.01.231
  9. International Energy Agency, I. (2023). Global EV Outlook 2023: Catching up with climate ambitions. www.iea.org
  10. Jaiswal, D., Deshmukh, A. K., & Thaichon, P. (2022). Who will adopt electric vehicles? Segmenting and exemplifying potential buyer heterogeneity and forthcoming research. Journal of Retailing and Consumer Services, 67, 102969. https://doi.org/10.1016/J.JRETCONSER.2022.102969
  11. Ju, N., & Hun Kim, S. (2022). Electric vehicle resistance from Korean and American millennials: Environmental concerns and perception. Transportation Research Part D: Transport and Environment, 109, 103387. https://doi.org/10.1016/J.TRD.2022.103387
  12. Kardes, F., Cronley, M., & Cline, T. (2010). Consumer Behavior. Cengage Learning. https://books.google.co.id/books?id=nwew7nJ6000C
  13. Kotler, P., & Keller, K. L. (2016). Marketing Management. Pearson. https://books.google.co.id/books?id=UbfwtwEACAAJ
  14. Krupa, J. S., Rizzo, D. M., Eppstein, M. J., Brad Lanute, D., Gaalema, D. E., Lakkaraju, K., & Warrender, C. E. (2014). Analysis of a consumer survey on plug-in hybrid electric vehicles. Transportation Research Part A: Policy and Practice, 64, 14–31. https://doi.org/10.1016/j.tra.2014.02.019
  15. Laroche, M., Bergeron, J., & Barbaro-Forleo, G. (2001). Targeting consumers who are willing to pay more for environmentally friendly products. Journal of Consumer Marketing, 18(6), 503–520. https://doi.org/10.1108/EUM0000000006155
  16. Manutworakit, P., & Choocharukul, K. (2022). Factors Influencing Battery Electric Vehicle Adoption in Thailand—Expanding the Unified Theory of Acceptance and Use of Technology’s Variables. Sustainability (Switzerland), 14(14). https://doi.org/10.3390/su14148482
  17. Morwitz, V. (2014). Consumers’ Purchase Intentions and Their Behavior. Now Publishers. https://books.google.co.id/books?id=o0zOrQEACAAJ
  18. Ozaki, R., & Sevastyanova, K. (2011). Going hybrid: An analysis of consumer purchase motivations. Energy Policy, 39(5), 2217–2227. https://doi.org/10.1016/j.enpol.2010.04.024
  19. Permana, R., Yuliati, E., & Wulandari, P. (2023). Analisis faktor-faktor yang mempengaruhi konsumen terhadap purchase intention kendaraan listrik di indonesia.
  20. Ramadhani, S., & Yuliana, L. (2023). Pengaruh Persepsi Konsumen Terhadap Minat Beli Mobil Listrik Mercedes-Benz EQS. Jurnal Orientasi Bisnis Dan Entrepreneurship (JOBS), 4(1), 35–44. https://doi.org/10.33476/jobs.v4i1.3614
  21. Schiffman, L. G., & Kanuk, L. L. (2007). Consumer Behavior. Pearson Prentice Hall. https://books.google.co.id/books?id=vTRPngEACAAJ
  22. Schiffman, L. G., & Wisenblit, J. L. (2014). Consumer Behavior. Pearson Education. https://books.google.co.id/books?id=lEXSAgAAQBAJ
  23. Shakeel, U. (2022). Electric vehicle development in Pakistan: Predicting consumer purchase intention. Cleaner and Responsible Consumption, 5. https://doi.org/10.1016/j.clrc.2022.100065
  24. Shalender, K., & Sharma, N. (2021). Using extended theory of planned behaviour (TPB) to predict adoption intention of electric vehicles in India. Environment, Development and Sustainability, 23(1), 665–681. https://doi.org/10.1007/s10668-020-00602-7
  25. Solekah, N. A., Ratnasari, K., & Hirmawan, A. P. (2023). Prediction of Green Purchase Intention for Electric Vehicles: A Theory of Planned Behavior Approach. Jurnal Minds: Manajemen Ide Dan Inspirasi, 10(2), 297–320. https://doi.org/10.24252/minds.v10i2.40772
  26. Solomon, M. R. (2017). Consumer Behavior: Buying, Having, and Being. Pearson. https://books.google.co.id/books?id=FCcXswEACAAJ
  27. Tuan, P. Van, Thao, N. T. P., Linh, L. T. T., Le, T. T., & Linh, N. T. (2022). Factors Influencing Purchasing Intention Toward Electric Vehicle in Vietnam. Journal of Social Commerce, 2(2), 82–99. https://doi.org/10.56209/jommerce.v2i2.30
  28. Wulandari, H. (2023). Exploring The Purchase Intentions and Perceptions of Generation Z Towards Electric Vehicles in Jakarta: Insights and Recommendations. Journal of World Science, 2(4), 684–699. https://doi.org/10.58344/jws.v2i4.266
  29. Yeoh, W. W. (2023). To Study the Contribution of Price Factor Towards the Purchase Intention of EV Market in Malaysia Among Generation Y Consumers. Journal of Technology Innovations and Energy, 2(1), 49–54. https://doi.org/10.56556/jtie.v2i1.458
  30. Yuen, K. F., Huyen, D. T. K., Wang, X., & Qi, G. (2020). Factors influencing the adoption of shared autonomous vehicles. International Journal of Environmental Research and Public Health, 17(13), 1–16. https://doi.org/10.3390/ijerph17134868
  31. Zhang, X., Wang, K., Hao, Y., Fan, J. L., & Wei, Y. M. (2013). The impact of government policy on preference for NEVs: The evidence from China. Energy Policy, 61, 382–393. https://doi.org/10.1016/j.enpol.2013.06.11.

This study explores a model of customer purchase intention in millennial segment electric car buyers in Jabodetabek using a modified Theory of Planned Behavior (TPB) and analyzed by Structural Equation Modeling using Smart-PLS 3.2.9. Although sales of electric cars in Indonesia are increasing, consumer purchase interest, especially the millennial generation, is still low compared to other Asian countries. This study examines the influence of factors in the modified TPB, including Attitude, Subjective Norms, Perceived Behavioral Control, Government Policy and Environmental Concern on the purchase intention of electric cars. Data was collected through a survey of millennials in Jabodetabek. The results of SEM analysis show that Attitude and Environmental Concern have a positive and significant influence on the purchase intention of electric cars. Meanwhile, Subjective Norms, Perceived Behavioral Control and Government Policy have a positive but insignificant impact on the purchase intention of electric cars for millennials in Jabodetabek. The findings of this study provide insights for manufacturers, policymakers and marketers on how to increase the adoption of electric cars among millennials. Appropriate strategies can be designed to drive electric car market growth and overcome existing barriers.

Keywords : Electric Car, Purchase Intention, Millennial, Theory Of Planned Behavior, Structural Equation Modeling.

Never miss an update from Papermashup

Get notified about the latest tutorials and downloads.

Subscribe by Email

Get alerts directly into your inbox after each post and stay updated.
Subscribe
OR

Subscribe by RSS

Add our RSS to your feedreader to get regular updates from us.
Subscribe