The Impact of the COVID-19 Pandemic on Consumer Purchasing Power in the Online Retail Sectors
Purpose: This study aims to know the influence pandemic COVID-19 on people’s purchasing power for the online retail sector.
Research Methodology: Research data were collected when the COVID-19 virus was announced in Indonesia, the implementation of the Large-Scale Social Restrictions or Pembatasan Sosial Berskala Besar (PSBB) policy in order to overcome the COVID-19 pandemic, then when the PSBB was re-announced, which was implemented and implemented, did not mean that providing for people’s living needs was stopped.
Results: This study found that ease of online shopping services and competitive product prices significantly influenced consumers’ online purchasing decisions during the COVID-19 pandemic. Simultaneously, all independent variables showed a significant effect on online shopping decisions, while product variety did not significantly affect purchasing decisions.
Conclusions: The COVID-19 pandemic accelerated the adoption of online retail purchasing behavior, where convenience and affordable pricing became the main drivers of consumer decisions. During the work-from-home period, consumers preferred online platforms that offered simple transactions and lower prices.
Limitations: This study was limited by the use of a relatively small sample size and focused only on selected variables such as convenience, price, and product factors. In addition, the research was conducted during a specific pandemic period, which may limit the generalizability of findings to normal economic conditions.
Contributions: This research contributes to the literature on consumer behavior by explaining how crisis situations such as COVID-19 reshape purchasing patterns toward online retail channels. The findings also provide practical insights for online retailers to improve service convenience and pricing strategies in uncertain environments.
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