Ulfa Zhafirah


Abstract. Nowadays, the number of people who spend enormous amounts of time on social media has grown continuously.  This study was designed to understand what factors motivate customers to accept e-commerce advertising on social media. Three dimensions towards social media advertisement were investigated which comprise informativeness, personalization, and entertainment that may have an impact on advertising value as well as brand awareness, and accordingly on customers’ purchase intention.  For this study, data were collected from 232 Indonesian millennials respondents in Jakarta and Bandung through an online questionnaire and tested using a partial least squares (PLS) estimation. The results show that entertainment, informativeness, and personalization are significant related to social media advertising. Among the three dimensions, entertainment has the strongest significant relationship with social media advertising value. Besides, the advertising value of social media affects both e-commerce brand awareness and purchase intention of customers accordingly. The study provides results that allow e-commerce marketers to understand how social media advertising contribute to purchase intention of e-commerce customers.

Keywords: Advertising value, Informativeness, Personalization, Entertainment, Brand awareness, Purchase Intention.


Full Text:



Alwitt, L. F., & Prabhaker, P. R. (1992). Functional and belief dimensions of attitudes to television advertising: Implications for copytesting. Journal of Advertising Research, 30-42.

Bauer, R., & S.A., G. (1968). Advertising in America: The Consumer View. Boston: Harvard University.

Belch, G., & Belch, M. (1999). Advertising and Promotion: An Integrated Marketing Communications Perspective. Singapore: McGraw-Hill.

Chin, W. (1998). The partial least squares approach to structural equation modeling. Modern Methods for Business Research , 295–336.

Dehghani, M., Niaki, M. K., Ramezani, I., & Sali, R. (2016). Evaluating the Influence of YouTube Advertising for Attraction of Young Customers. Computers in Human Behavior, 165-172.

DeZoysa, S. (2002). Mobile advertising needs to get personal, Telecommunications International Ed. 36. 30(2).

Ducoffe, R. H. (1995). How consumers assess the value of advertising . Journal of Current Issues & Research in Advertising, 1-18.

Ducoffe, R. H. (1995). How consumers assess the value of advertising . Journal of Current Issues & Research in Advertising, 1-18.

Eui-Bang, L., Sang-Gun, L., & Chang-Gyu, Y. (2016). The Influences of Advertisement Attitude and Brand Attitude on Purchase Intention of Smartphone Advertising. Industrial Management & Data, 1011-1036.

Hair, J., & Anderson, R. (2010). Multivariate data analysis . Prentice Hall.

Hair, J., Hult, G., Ringle, C., & Sarstedt, M. (2017). A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM), 2nd ed. CA: Thousand Oaks.

Henseler, J., Ringle, C., & Sinkovics, R. (2009). The use of partial least squares path modeling in international marketing. Emerald Group Publishing Limited.

Huang, R., & Sarigollü, E. (2012). How brand awareness relates to market outcome, brand equity, and the marketing mix. Journal of Business Research, 65(1), 92-99.

IDN Ressearch Institute. (2019). Indonesia Millennial Report 2019. . IDN Media.

Ipsos. (2018). E-commerce Consumer Outlook 2018. Ipsos.

Kim, Y., & Han, J. (2014). Why smartphone advertising attracts customers: a model of web advertising, flow, and personalization. Computers in Human Behavior, 33, 256-269.

Kwek, C. L., Tan, H. P., & Lau , T. C. (2010). The determinants of consumers’ atitude towards advertising. Canadian Social Science .

Lafferty, B. A., & Goldsmith, R. E. (1999). Corporate credibility’s role in consumers’ attitudes and purchase intentions when a high versus a low credibility endorser is used in the ad. . Journal of business research, 109-116.

Lal, M. (2005). E-commerce and m-commerce revolution: Perspectives, problems and prospects. Chartered Accountant.

Linton, I. (n.d.). How Do Companies Use Advertisements? . Retrieved from Chron:

Liu, Y. (2003). Developing a scale to measure the interactivity of web sites. Journal of Advertising Research, 43(2), 207 - 216.

Logan, K., Bright, L. F., & Gangadharbatla, H. (2012). Facebook versus television: Advertising value perceptions among females. Journal of Research in Interactive Marketing, 164-179.

McQuail, D. (1983). McQuail’s Mass Communication Theory. London: SAGEPublications Ltd.

Murillo, E., Merino, M., & Núñez, A. (2016). The advertising value of Twitter Ads: a study among Mexican Millennials. Review of Business Management, 436 - 456.

Palma, K., & Waalkens, K. (2016). Native Advertising – A New Era of Online Advertising? Sweden: Linnaeus University .

Palmer, A., & Lewis, N. K. (2009). An experiential, social network‐based approach to direct marketing. Direct marketing: An International Journal, 3(3), 162-176.

Rao, B., & Minakakis, L. (2003). Evolution of mobile location-based services. Communications of the ACM, 12, 61-65.

Rodgers, S., & Thorson, E. (2017). DIgital advertising: theory and research (Vol. 4). Routledge.

Saari, T., Ravaja, N., Laarni, J., Turpeinen, M., & Kallinen, K. (2004). Psychologically targeted persuasive advertising and product information in e-commerce. ACM International Conference Proceeding Series. Delft, The Netherlands.

Sarstedt, M., Manfred, S., & Taylor, R. C. (2011). Introduction: Measurement and Research Methods in International Marketing. Emerald Group Publishing Limited.

Shavitt, S., Lowery, P., & Haefner, J. (1998). Public attitudes toward advertising: More favorable than you might think. Journal of advertising research, 7-22.

Statista. (2018, October 6). eCommerce-Indonesia. Retrieved February 6, 2019, from Statista:

Statista. (2019). Digital buyer penetration in Indonesia from 2017 to 2023 (in percent). Retrieved February 26, 2019, from

Tsimonis, G., & Dimitriadis, S. (2014). Brand strategies in social media. Marketing Intelligence & Planning, 32(3), 328-344.

Turban, E. (2010). Electronic commerce 2010: a managerial perspective. Upper Saddle River: Pearson Education.

Turban, E., King, D., Lee, J., Warkentin, M., & Chung, M. H. (2002). Electronic commerce: A managerial perspective 2 nd edition. Prentice Hall.


  • There are currently no refbacks.