What drives e-commerce repurchase intention? Mediating role of customer satisfaction

Purpose — The main objective of this study is to evaluate the behavioral models of TAM (Technology Acceptance Model) and SDL (Service Dominant Logic). Its specific focus is to investigate how ease of use, servitization, and security impact repurchase intention in e-commerce. Additionally, this study aims to examine the mediating role of customer satisfaction. Method — This study utilized quantitative method which involved an online survey with 125 student participants. The sampling technique involved non-probability and purposive sampling. The validity and reliability of the outer model were assessed through SmartPLS analysis, while the smartPLS inner model was used to test hypotheses. Result — Our findings indicate that there is a direct impact of ease of use, servitization, and security on repurchase intentions in e-commerce. Additionally, we observed that perceived customer satisfaction serves as a mediator in the behavioral model of e-commerce repurchase intention. Contribution — This study provides empirical evidence on how ease of use, servitization, and security impact customer repurchase intentions in e-commerce, with customer satisfaction serving as the mediator and TAM and SDL behavioral models as the primary frameworks for analysis.


INTRODUCTION
The rapid advancement of information and communication technology has affected various facets of human existence, including the business and marketing domains (Savila et al., 2019). This is especially apparent in the age of Industry 4.0, where digital technology has become ubiquitous across economic, business, infrastructure, and communication sectors. As a result, trading goods and services online has become more convenient and accessible.
Kominfo (2020) defines e-commerce as the process of buying and selling goods using web browsers and computer networks. In Indonesia, a staggering 88.1% of internet users have purchased items through e-commerce services in recent months, making it the highest proportion in the world (We Are Social, 2021). The increasing trend from 2020 to 2021 suggests that Indonesian consumers have recognized the benefits of online shopping and are gradually embracing it. Popular e-commerce platforms in Indonesia include Shoppe, Tokopedia.com, Blibli, Lazada, Bukalapak, and others (Azizah et al., 2022). Kuswati et al. (2021) explain that individuals opt for e-commerce transactions due to the convenience it offers, eliminating the need to spend time visiting shopping centers to make a purchase. In addition to the ease of shopping from home, e-commerce also provides convenience for both buyers and sellers, particularly in situations where transportation may be an issue (Sabita & Mardalis, 2023). As a result, e-commerce has become a popular choice for those seeking hassle-free transactions.
According to Huikkola and Kohtamäki (2018), there is a business trend in the manufacturing industry where companies are shifting from merely providing products to incorporating services as a value-added component on e-commerce platforms. This trend is known as "servitization," which refers to manufacturing companies introducing more service components in their offerings. The concept of servitization involves creating mutual value by changing the approach from selling a product to providing a product service system (PSS) through innovation (Huikkola & Kohtamäki, 2018).

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encouraging repeat transactions. However, various factors can hinder customer satisfaction, such as complicated transaction procedures, prolonged delivery times, and apprehension about being scammed while making online transactions. Furthermore, consumer concerns about privacy, security, and trust in the online transaction process also contribute to this issue. Nevertheless, the current market offers many e-commerce service providers who can guarantee privacy, security, trust, and excellent facility services that enhance consumer satisfaction (Sudirman et al., 2022).
According to Ampofo (2021), satisfaction refers to the pleasurable fulfillment of customer expectations, and it can result in emotions such as joy, enthusiasm, or indifference. It is determined by the degree to which the service provided has met or exceeded a consumer's expectations, and it is evaluated after a transaction or by comparing the experience to the initial expectations. For ecommerce companies, ensuring customer satisfaction is crucial, as it can lead to repeat purchases, loyalty, and positive word-of-mouth recommendations (Abdirad & Krishnan, 2021).
Repurchase intention refers to the intention of a customer to make another purchase after having made one previously (Braje et al., 2022). According to Ilyas et al. (2020), it is the behavior of consumers who intend to use the same service again.
Some common issues encountered during online shopping include receiving orders that do not meet expectations, slow responses from online sellers, and delayed shipments. If the product meets the expectations of consumers, they are likely to make repeat purchases, but if the product is unsatisfactory, consumers may seek alternatives (Savila et al., 2019). Repurchase intention is influenced by factors such as consumer satisfaction and dissatisfaction after making a purchase, which can impact their future buying behavior. If consumers are satisfied with their purchase, they are more likely to make future purchases.
The significance of perceived ease of use and perceived usefulness on customer loyalty and repurchase intentions has been emphasized in previous research by Wilson (2019), Keni (2020), and Kahar et al. (2019). However, none of these studies have endeavored to gain a deeper comprehension of the influence of perceived security on customer satisfaction and loyalty.
Therefore, the objective of this research was to examine how ease of use, servitization, and security influence e-commerce repurchase intentions with perceived customer satisfaction serving as a mediator.

METHOD
This study employs a quantitative research approach which involves using numerical data from data collection to data analysis and presentation of results (Bougie & Sekaran, 2017). The research will use questionnaires as the method of data collection. The Likert scale will be used as the research instrument. To determine the sample size of the study, the researchers will use the Malhotra formula which multiplies the number of indicators by five. As the study has 22 indicators of questions, the minimum sample size needed will be 110 respondents.
In this study, the researchers used purposive sampling, a type of non-probability sampling method that selects participants based on specific criteria, in this case, students who are e-commerce users. The collected data was analyzed using descriptive analysis and Structural Equation Modeling (SEM) with Smart Partial Least Square (SmartPLS).

Ease of use and repurchase intention
Iriani and Andjarwati (2020) state that the concept of perceived ease of use refers to the user's perception of how easy it is to understand, learn, and use technology. When consumers are able to easily navigate e-commerce websites, find product information, purchase products, and make payments, they are more likely to perceive online shopping as more useful than traditional shopping. Once consumers perceive ease of use in e-commerce, it leads to a greater likelihood of repurchase intention.

Servitization and repurchase intention
Servitization refers to a strategic shift in which companies prioritize services or improve the quality of their services (Paiola and Gebauer, 2020). E-commerce platforms are now using an artificial intelligence (AI) system that utilizes search engines (Zhang & Banerji, 2017). This means that when consumers search for a product, they receive recommendations that match their search terms or keywords. The presence of AI simplifies the product search process for consumers, resulting in greater satisfaction and a higher likelihood of repurchasing products on the e-commerce platform.

Security and repurchase intention
As stated by Larasetiati & Ali (2019), ensuring information security is crucial to safeguarding against various threats, minimizing damages caused by them, and ensuring smooth business processes. It includes policies and procedures that govern and manage security systems, as well as post-attack procedures. A person who perceives a high level of structural assurance believes that internet technology provides protection, and hence feels secure while making transactions online. When consumers feel safe using e-commerce, it encourages them to make repeat purchases.

Ease of use and customer satisfaction
Ease of use refers to how easily a person can comprehend and use technology (Indarwati et al., 2023). It is a crucial aspect for e-commerce companies to consider since it influences users' willingness to fulfill their needs. Perceived customer satisfaction plays a vital role in encouraging consumers to use ecommerce more frequently, as they derive a sense of satisfaction from the application.

Servitization and customer satisfaction
Companies use digital platforms to connect their resources and networks in smarter ways, utilizing the servitization business model's power (Huang et al., 2022). On the other hand, Kumar et al. (2022) define satisfaction as the level of pleasure or disappointment that a person feels after comparing their expectations with the perceived performance or results of a product. The integration of search engines in e-commerce applications leads to service system innovation, which enhances customer satisfaction. Ranti et al. (2023) suggest that security refers to the capability of protecting against possible threats. In the online setting, security is referred to as the capacity of a company's website to safeguard customer information and their financial transaction data against theft while interacting with them. Ensuring the security of e-commerce applications can provide a sense of satisfaction to consumers, making them feel at ease when making transactions and not having to worry about their stored user data. Kumar et al. (2022) suggest that satisfaction is the degree of positive or negative emotions experienced by a person after comparing the actual performance or results with their expectations. This is essentially the pleasure or disappointment felt by the person when comparing their perceived experience with what they were expecting. When consumers have a high level of satisfaction with e-commerce, it increases their likelihood of intending to make a repeat purchase.

Customer satisfaction mediates the nexus between ease of use and repurchase intention
According to Purba et al. (2020), perceived ease refers to an individual's belief that utilizing technology can be accomplished without too much difficulty or exertion. In the context of e-commerce, ease of use is a crucial factor that companies must prioritize as it caters to the user's needs and preferences. Furthermore, consumers' perceived satisfaction plays a vital role in their utilization of e-commerce. If consumers are satisfied with the e-commerce application, they are more likely to use it repeatedly for transactions. Once consumers have experienced ease of use and satisfaction, it generates a sense of intention to repurchase using e-commerce.
H8: Customer satisfaction can mediates the nexus between ease of use and repurchase intention

Customer satisfaction mediates the nexus between servitization and repurchase intention
According to Zhang and Banerji (2017), e-commerce platforms are integrated with an artificial intelligence (AI) system that uses a search engine. This AI system enables consumers to find products that match their search words or letters, thereby facilitating their shopping experience. This innovation enhances customer satisfaction with the use of e-commerce applications. When customers feel satisfied with their shopping experience, they are more likely to develop an intention to repurchase on the e-commerce platform.

Customer satisfaction mediates the nexus between security and repurchase intention
According to Ali et al. (2017), security in the context of online businesses refers to the capability of a company's website to safeguard customers' personal and financial information from being compromised during their interaction with the website. If a website can guarantee or improve its security measures, it can increase customers' trust and confidence in transacting on the e-commerce site. As a result, customers will be more willing to make repeat purchases on the website without hesitation.  Figure 1 indicates that all constructs have outer loadings below 0.5, which means that all indicator variables are valid for use in further research and analysis. The highest outer loading value is observed in the customer satisfaction variable, which has a value of 0.906. The R Square values for the relationship between ease of use, servitization, and security to customer satisfaction and repurchase Intention are 0.756 and 0.797, respectively. A higher R Square value indicates a stronger relationship between the dependent variable and its mediator.  The data presented in Table 2 reveals that all variables in the study have AVE values greater than 0.5, which is the threshold for acceptable convergent validity. Specifically, ease of use has an AVE value of 0.741, servitization has an AVE value of 0.623, security has an AVE value of 0.737, customer satisfaction has an AVE value of 0.749, and repurchase intention has an AVE value of 0.795. Based on this, it can be concluded that each variable in the study has discriminant validity and can be considered valid for further analysis.   Table 3 indicates that all variables in this study have Cronbach alpha values of 0.6 or higher, which implies that all constructs can be considered reliable.  According to Table 4, the R-Square value is utilized to determine the extent of the impact of ease of use, servitization, and security variables on customer satisfaction, which is 0.756 or 75.6%. This indicates a strong relationship between these variables. Similarly, R-Square is also employed to assess the magnitude of the influence of the ease of use, servitization, and security variables According to Table 5, it can be concluded that the factors of ease of use, servitization, and security have a significant positive influence on e-commerce repurchase intention, and the results support the goodness of fit model. The

Goodness of fit
What drives e-commerce repurchase intention?… Journal of Enterprise and Development (JED), Vol. 5, No. 3, 2023 JED | 375 study also tested the mediating role of customer satisfaction in the relationship between these factors and repurchase intention. Ease of use had the strongest direct effect on customer satisfaction with a beta value of 0.423, while the strongest mediation effect was found for ease of use on repurchase intention through customer satisfaction.

Ease of use on repurchase intention
According to Purba et al. (2020), perceived ease of use refers to an individual's belief that technology can be used easily without requiring too much effort. In line with this, Dirnaeni et al. (2021) found that the higher the level of perceived ease of use, the more likely a person is to use the technology. When it comes to e-commerce, if consumers find it easy to navigate the website, access product information, make purchases, and complete payments, they are more likely to prefer online shopping over traditional shopping methods. Once consumers perceive that the platform is easy to use, it can lead to a sense of intention to use E-commerce again in the future. The study's finding reveals that perceived ease of use has a positive and significant impact on repurchase intentions, which is consistent with Kahar et al.'s (2019) research demonstrating that ease of use has a positive and significant influence on repurchase intention.

Servitization on repurchase intention
Servitization is the strategic process of shifting towards a service-oriented approach or improving services offered by a company, according to Paiola and Gebauer (2020). E-commerce platforms incorporate an artificial intelligence (AI) system that utilizes search engines to enhance the services they provide. When consumers feel satisfied with the services provided, they are more likely to intend to repurchase on that e-commerce platform. The analysis result reveals that servitization has a significant and positive impact on repurchase intentions. This study's finding is consistent with the research conducted by Zhang and Banerji (2017), which found that servitization has a positive and significant effect on repurchase intention.

Security on repurchase intention
Belanger (2002)  and procedures that are used to regulate and manage security systems, such as procedures for dealing with attacks (Ram et al., 2023). When consumers have a high perception of structural assurance, they believe that the technology used on the internet provides protection, which makes them feel safe when conducting transactions online. When consumers feel secure using e-commerce, it creates a desire to repurchase. The analysis shows that security has a positive and significant impact on repurchase intention. This study's finding align with those of Wilson et al. (2021), who found that security has a positive and significant effect on repurchase intention.

Ease of use on customer satisfaction
According to Acelian & Basri (2021), perceived ease of use refers to the level of understanding someone has about the use of technology. When it comes to ecommerce, a company must take ease of use into consideration as it is what attracts users to fulfill their needs. In addition, perceived satisfaction is important for consumers who use e-commerce as they feel satisfied with the application and are more likely to use it for transactions. The analysis finding indicates that ease of use has a positive and significant impact on customer satisfaction, which is consistent with Olivia & Marchyta's (2022) research that also found ease of use to have a positive and significant effect on customer satisfaction.

Servitization on customer satisfaction
Businesses use digital platforms to connect their resources and networks in more efficient and valuable ways that utilize the benefits of the servitization business model. On the other hand, Kumar et al. (2022) defines customer satisfaction as the level of emotions a person experiences after comparing their expectations with the perceived performance or results. The analysis result reveal that servitization has a positive and significant impact on customer satisfaction, which aligns with Huikkola & Kohtamäki's (2018) research that also discovered a positive and significant connection between Servitization and customer satisfaction. of use can lead to consumer satisfaction by ensuring their comfort during transactions and the safety of their stored user data. The analysis findings indicate that security has a positive and significant impact on customer satisfaction, which is consistent with Wilson et al.'s (2021) research that also found a positive and significant connection between security and customer satisfaction. Kumar et al. (2022) describe satisfaction as the emotional response a person has after comparing their perception of performance or perceived results to their expectations. This feeling of pleasure or disappointment arises from comparing the performance or results of a product to their expectations. The analysis findings indicate that customer satisfaction has a positive and significant impact on repurchase intention. When a consumer's satisfaction with e-commerce is high, they are more likely to intend to repurchase. This finding align with Ashfaq et al.'s (2019) research, which found that perceived customer satisfaction has a positive and significant effect on repurchase intentions.

Customer satisfaction mediates the relationship between ease of use and repurchase intention
Perceived ease refers to the level of comprehension an individual has about the use of technology. In e-commerce, ease of use is an essential factor that companies need to consider as it attracts users to fulfill their needs. Additionally, perceived satisfaction is crucial for consumers as it leads to their frequent use of e-commerce applications. The analysis finding reveals that customer satisfaction acts as a mediator between ease of use and repurchase intention. This finding is consistent with Kahar et al.'s (2019) research that discovered customer satisfaction mediates the link between ease of use and repurchase intention.

Customer satisfaction mediates the relationship between servitization and repurchase intention
Zhang & Banerji (2017) assert that e-commerce utilizes artificial intelligence (AI) systems that incorporate search engines. When consumers search for a product, the system provides recommendations that match the words or letters typed by the consumer, making it easier to find desired products. This innovation in service systems results in consumers' satisfaction with the use of e-commerce applications that adopt search engines. This satisfaction prompts consumers to