The Effect of Online Promotion and Price Perception on Consumer Purchasing Decisions at Traveloka in Bandung City

Ratu Salva Kirana; Inta Budi Setyanusa

doi:10.61536/escalate.v4i3.582

Authors

Ratu Salva Kirana Internasional Women University, Bandung
Inta Budi Setyanusa Internasional Women University, Bandung

DOI:

https://doi.org/10.61536/escalate.v4i3.582

Keywords:

online promotion; price perception; purchasing decisions; online travel agents; Traveloka

Abstract

Competition among online travel agent (OTA) platforms in Indonesia has intensified, yet Traveloka, despite being the market leader, still faces a low conversion rate from users to actual buyers of around 35.2%, indicating that its online promotion and pricing strategies have not optimally driven consumer purchasing decisions, particularly in Bandung City. This study aims to analyze the effect of online promotion and price perception on consumer purchasing decisions for Traveloka in Bandung City, both partially and simultaneously. The study employed a quantitative explanatory approach with a purposive sampling technique involving 97 respondents collected through a Likert-scale questionnaire, which was then analyzed using multiple linear regression, classical assumption tests, t-test, and F-test with the assistance of SPSS version 27. The results show that online promotion has a positive and significant effect on purchasing decisions, whereas price perception has no significant partial effect, apparently due to the strong relationship between the two independent variables. Simultaneously, online promotion and price perception have a significant effect, contributing 83% to purchasing decisions. These findings confirm that online promotion is the most determining factor in driving consumer purchasing decisions for Traveloka in Bandung City, so the company is advised to prioritize the optimization of its digital promotion strategy while maintaining a fair price perception as a supporting factor that strengthens the effectiveness of that promotion.

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