The Influence of Social Media, Environmental Awareness, Willingness to Pay, and Eco-Labeling on Environmental Purchasing Behavior in E-Commerce

This paper investigates the links between the influence of social media, environmental awareness, eco-labeling, willingness to pay, and environmental purchasing behavior within e-commerce. This study uses survey data and quantitative analysis to investigate how these elements influence online consumers' decisions about environmentally friendly items. A total of 445 participants, the bulk of whom resided in JABOTABEK, were recruited for this study, which was carried out in Indonesia. For Structural Equation Modeling (SEM), this study uses the statistical tool known as SMART-PLS. The findings indicate that customers' opinions of eco-labels are highly influenced by social media, increasing their willingness to pay for environmentally friendly options in e-commerce platforms. Furthermore, increased environmental awareness increases the frequency with which consumers acquire eco-labeled products online, underscoring the substantial influence of transparent labeling systems on consumer decision-making. Several practical implications for e-commerce companies are presented in the conclusion of the study. These implications highlight the need for focused social media campaigns and stringent eco-labeling requirements to encourage sustainable customer habits. In addition to laying the groundwork for additional research on consumer environmental engagement and the efficacy of eco-labels in e-commerce, this study offers useful information that can be utilized by policymakers and businesses who are interested in promoting sustainable consumption habits in the digital marketplace.