THE EFFECT OF ELECTRONIC WORD OF MOUTH ON ONLINE TRUST AND PURCHASE INTENTION AMONG MILLENNIALS GENERATION ON INSTAGRAM

Abstract

The purpose of this research were (1) to analyze the effect of E-WOM to online trust on Instagram; (2) to analyze the effect of E-WOM to purchase intention on Instagram; (3) to analyze the effect of online trust to purchase intention on Instagram. The quantitative approach is carried out by online survey methods to respondents. The data was collected from July to September 2018. The respondents were determined by purposive sampling technique. Respondents of this research were 20-35 aged people (millennials) who bought fashion products through Instagram in the past months. Data processing technique used in this research were descriptive analysis and SEM (Structural Equation Modeling). The result of this study shows electronic word of mouth was significantly positive to online trust and purchase intention. KEY WORDS Electronic word of mouth, online trust, purchase intention, public service.