E-Commerce Market Segmentation Based On The Antecedents Of Customer Satisfaction and Customer Retention

The "grow and thrive" of e-commerce players in Indonesia and very diverse nowadays customers are causing the intense competition among the players and therefore effects on low customer retention rate. The purposes of this research are to determine the influence of psychographic factors towards customer satisfaction and customer retention in ecommerce, and secondly to identify e-commerce customer segmentation based on the psychographic and demographic factors. This is an associative-descriptive research where the data is collected through questionnaire distributed to 411 respondents with analysis methods used are Path Analysis, Cluster Analysis, and Cross-tabulation. The research result shows that all the independent factors influence customer retention through customer satisfaction, and based on those factors, there are 3 customer segments of e-commerce, i.e. The Functional Shopper, The Credibility-Matters Shopper, and The Money-Dietary Shopper.