The Effect of Live Streaming on Social Commerce Platforms on Generation Z’s Purchase Intention

. Generation Z's use of social media has become their interest in carrying out daily activities. Currently, social media's role is not only as a communication tool but also as a platform for buying and selling activities, known as social commerce. Sellers use various existing social commerce features to support their buying and selling activities, live streaming being one of them. Sellers often use the live streaming feature to show tangible and real-time goods sold and interact with Generation Z customers to increase purchase intention and product sales results. This study aims to examine the influence of utilitarian value, hedonic value, information quality, and service quality on perceived value which impacts the level of involvement of Generation Z customers to participate in live streaming sales activity and the impact on their purchase intentions. The sample in this study had 434 respondents using the online questionnaire method, which was distributed in the Jakarta region. Hypothesis testing was carried out by using PLS-SEM analysis using SmartPLS software. According to the outcome of this study, perceived value is positively influenced by utilitarian value, hedonic value, information quality, and service quality, perceived value influences customer engagement, so it also influences Generation Z purchase intention.


Introduction
Customers may now utilize social media platforms to discover and purchase products or services while maintaining social media's primary role, communication, because of social commerce.The utilization of social media for e-commerce transaction purposes develops social commerce as a business model now people recognized [1].Compared to e-commerce, social commerce platforms such as TikTok, Facebook, and Instagram provide more customers to create value by collaborating with sellers and engaging in online discussions with other customers [2].Customers in the study were defined as Generation Z (born between 1997 and 2012) since Generation Z is Indonesia's largest generation group, representing 27.94% of the overall population (74.93 million people) [3].
Generation Z is much savvier in technology than earlier generations (e.g., millennials) since technology has emerged throughout their youth.The capacity of Generation Z to effortlessly absorb and master technology and information, especially the internet, has become a culture and habit [4].Furthermore, the second most common activity Generation Z Indonesians performs on the internet is accessing social media at 86%, while 52% of Generation Z do internet purchasing activities is rated fifth [3].
As business firms, sell * ers use social media features, in particular online chats, review systems, video-based content, and live streaming, to sell products or services, connect and engage with their customers, and develop acts of loyalty.Live streaming has become increasingly popular in Indonesia over the past two years following the outbreak of COVID-19 [5] and emerged as a business model that allows sellers to deliver fun and engaging demonstrations [6].This popularity is also supported by Generation Z's preferences over video-based and livestream content at 75% and 13%, respectively [3].Generation Z is interested in the concept of social commerce that allows customers to interact directly with sellers, such as asking about product-related issues; additionally, the live streaming feature in social commerce platforms minimizes customers' concerns about the integrity of the seller due to the lack of in-person interaction [7].Purchase intention can arise directly through social interaction, significantly when the interaction facilitates the exchange of information and recommendations [8].
A prior study on the social commerce platform [9], Instagram, found that information and service quality affects perceived value, whereas perceived value affects customer engagement.The study also recommended future research to include other variables in predicting customer engagement in social commerce platforms.Utilitarian and hedonic values on live streaming collectively significantly impact e-commerce customers' purchase intention, with customer engagement mediating the relationship [5].
This study discusses the influence of information quality, service quality, utilitarian values, and hedonic values on perceived value, which perceived value can affect customer engagement so that it has an impact on customer purchase intentions in live streaming on social commerce platforms.We also hypothesized that perceived value and customer engagement would be associated with increased customer purchase intention in live streaming on social commerce platforms.

Social Commerce and Live Streaming
The use of social media today is aimed at sharing information and improving the overall business experience, where users can contribute to purchasing and selling products and services in social commerce, which is a part of e-commerce [10][11][12].In social commerce websites, users also use social networks and promote social interaction, which is also one of the characteristics of online brand communities.However, in contrast to participants in brand communities, social commerce allows users to make website purchases [13].
Recent technology breakthroughs enable sellers to present and promote their items online in real time.This is referred to as live streaming.It allows sellers to connect with customers, demonstrates a particular product feature and respond to client inquiries in real time while scheduling live broadcasting that encourages customers to purchase products exhibited online [14].As such, authenticity and visualization can reduce customer uncertainty, increase seller loyalty, and improve customers' knowledge of what they should need when shopping conventionally [5].

Utilitarian Value (UTV)
Utilitarian values in customers deciding to buy a product are related to logical thinking and lead to the purpose of purchasing the product [15].From a utilitarian perspective, customers are seen as homo economicus because customers emphasize functional thinking, product-centeredness, and the customer decision process in fulfilling predetermined consumption [16].One-way customers fulfil this predetermined consumption is by online shopping, where customers expect that when doing so, customers can shop while saving time, effort, and money, they have.However, in online shopping, customers' doubts about the seller and the product become an obstacle to buying the product because there is no guarantee of product authenticity provided by the social commerce.
Therefore, live streaming shopping is one of the best solutions for customers because the seller will provide more information about the product, answer customer questions, and show the product in real-time in a way that is not edited like an advertisement so that it can fulfil and comply with utilitarian values which emphasize rational and practical aspects [17].As a result, utilitarian value is a form of customer attitude in shopping activities that will highlight the use value of a product and an efficient way of getting it compared to other aspects.

Hedonic Value (HDV)
The word "hedonism" can be defined that the hedonic lifestyle applied by customers is a strong impetus from within when doing online shopping; this is because the hedonic lifestyle is a lifestyle that prioritizes pleasure and satisfaction so that when customers make decisions to buy products, customers tend to use feelings rather than logic [18].The daily lifestyle refers to customer activities and habits focusing on fulfilling desires, personal pleasure, and satisfying secret desires.Idea shopping and gratification shopping is one of the dimensions of hedonic values [19].Adventure shopping is also added to the list of hedonic value dimensions [17].Therefore, it is evident that utilitarian and hedonic have different values in purchasing goods, especially in social commerce.Hedonic value is based on outcomes related to spontaneous subjective and personal judgments, such as customer satisfaction, while utilitarian value is objective and prioritizes utility [15].

Information Quality (IQT)
The use of information and the extent of willingness to adopt is influenced by a number of factors, like the quality of information being a prerequisite for decision-making when making online purchases.This statement means that information quality is a subjective consumer assessment regarding the characteristics of information and whether it meets the needs and objectives of use or not.High confidence in the quality of the information provided can support the success of social commerce, where the higher satisfaction and trust of customers in the information provided can support customer decision-making in buying products or goods [20].
High-quality information can be seen from several criteria [21].First, the accuracy of the information provided, which customers obtain, must be error-free and not misleading and have an accuracy value so that there is no doubt about its correctness.Second, the information provided to customers is right on time; it should be on time so that the information that comes to the recipient is still valuable for decision-making.Third, the information provided must be relevant, which means that the information is useful and has value according to what customers need.Fourth, the information must also be upto-date so that customers always know and get the latest information.In addition, information quality is also the main pillar that can influence customer attitudes and interaction in social commerce, which is a valuable source for customers [13].
From some of the above definitions, it has been discovered that information quality including the most upto-date, accurate, and relevant information plays a major role in customer purchase decisions through live streaming.

Service Quality (SQT)
Level of service delivered may match customer expectations, which can be reached via the fulfilment of the customer's needs and delivery accuracy to match customer expectations [22].Service quality, often known as e-service quality, is an evaluation by customers who get service quality from a business or service provider over an internet network [23].Service quality used to determine how much customer satisfaction is from online shopping activities or the services of an internet-based seller in facilitating effective and efficient online shopping, which includes purchasing and delivering products or services.
Service quality has five main dimensions [24].First, reliability is the seller's ability to maintain the service quality.Second, responsiveness is a willingness and ability to help and respond quickly to customer requests and help solve customer problems.Third, assurance is a good performance ability and knowledge the seller possesses to generate customer trust and confidence.Fourth, empathy is a form of care and attention given to customers and seeks to understand customer desires.Fifth is tangibility, which describes the company's physical facilities, equipment, materials and employees' appearance.
When making sales via live streaming, sellers and customers indirectly interact with each other, such as sellers answering questions given by customers or responding to customer responses regarding the products being sold.The quality of service provided by the seller when live streaming in a short time is one of the things that must be considered and maintained at the quality level because it is a driving factor in attracting the attention and interest of customers to buy products.

Perceived Value (PCV)
Perceived value is a set of benefits that customers expect to get, both from product value, service value such as seller friendliness, accuracy, and speed of the seller in serving, employee value in terms of appearance and communication shown to customers, and also image value or the same as image [25].Perceived value is the product evaluation value provided by customers from the results of utilizing the product functions based on the value received and the value provided by the product [9].More concretely, perceived value is a value that involves the value of advantages (quality, benefits, usefulness, value) with disadvantages (price, sacrifice) felt by the customer against the use of a product or service [26].The perceived value dimension consists of four main aspects [27], namely, emotional value, derived from the positive feelings that arise from using the product/service.Second, social value improves the customer's social self-concept obtained from product utility.Third, quality value is the use value obtained from the impression of excellence and the desired performance of the product.Fourth, monetary value is the use value obtained from products/services due to cost cuts in a short period of time and costs in a long period.
From these several definitions, it has been observed that perceived value is an assessment of the value comparison between the sacrifices that customers have made and the benefits received from using these goods or products, whether following customer expectations or not.Therefore, perceived value is significant in carrying out sales activities because if a product cannot produce satisfying value, then the product will not be able to compete with other competing products.

Customer Engagement (CSE)
Customer engagement is the amount of each existing or future customer's interaction and relationship with corporate operations [28] to establish trust and long-term loyalty to a product or service.In live streaming activities on social commerce platforms, customer engagement can be seen from word-of-mouth activities, helping fellow consumers, providing reviews and recommendations [29], and providing support in the form of comments or likes.Sellers utilize the convenience of various features available in social commerce to interact with customers in selling products on live streaming.Four indicators are the main points in measuring customer engagement [30]; the first is enthusiasm which is a strong level of interest from individuals in a product.Second, attention is the individual's level of focus on a brand/product.Third, interaction is an interaction that takes place outside the buying process between fellow customers and sellers.Fifth is the identification which leads to the customer's perception of belonging to a particular brand.

Purchase Intention (PUI)
The purchase intention that arises in consumers towards a product or service indicates that consumers will plan to buy the product or service at any time.Previous research states that increasing purchase intention means an increase in the likelihood of purchasing goods/services, which means that if consumers' purchase intention shows a positive value, it will positively affect consumer involvement which encourages consumers to make purchases [31].In terms of social commerce, consumer purchase intention is something to consider as a consumer's desire to purchase through a social commerce platform [31,32].Purchase intention also means the likelihood of a customer deciding when buying something, which is the individual result of the customer's evaluation of the related product [33].This study describes purchase intention as a measure of consumer willingness to buy products online [34].
Figure 1 depicts the proposed hypothesis on the influences between variables.Therefore, we postulate: This quantitative study uses a PLS-SEM, a partial least square structural equation model, as the best analysis method for validating and predicting ability evaluation [35].PLS enables researchers to analyze samples even as small or less than 500 [36] and is appropriate for this study because it only includes respondents from a specific geographic area.The PLS-SEM algorithm and bootstrapping test were run using the SmartPLS software to measure the hypothesis validity.

H1: UTV has a positive influence on PCV H2: HDV has a positive influence on PCV H3: IQT has a positive influence on PCV H4: SQT has a positive influence on PCV H5: PCV has a positive influence on CSE H6: CSE has a positive influence on PUI
Data were collected in DKI Jakarta, a province located in Indonesia, which has one of the world's most active internet users, focusing on Generation Z users [37].We used the Slovin formula to calculate the total samples required to determine the sample size.The latest Census has shown that Jakarta's total Generation Z population is 854.382[38].As a result, a minimum of 400 samples were required.Since we are trying to reach out to as many respondents as possible from various municipal regions in Jakarta, we used the snowball sampling method.We obtained 434 samples from Jakarta-based respondents who had watched live streaming on social commerce.

Questionnaire and Measures
A questionnaire was constructed in Indonesian and was shared online with respondents through social media groups on various platforms who frequently use social commerce and have ever seen or often do live streaming shopping using social commerce platforms.Using a Likert scale of five-point with anchors ranging from (1) "strongly disagree" to (5) "strongly agree."To ensure the respondents' validity, a screening question was added to justify that the respondents have had experience using social commerce platforms and have seen or shopped through live streaming.
All measurement items have been adapted from relevant former research and adjusted to the social commerce context.UTV and HDV were both measured by five and four items, respectively [17,19]; IQT and SQT were measured by four items [9]; PCV was measured by four items [9]; CSE was measured by four items [17,39]; PUI measured by four items [17,39].
Prior to the collection of data, a few experts were appointed to help review and proofread the questionnaire, which resulted in some minor changes being made to improve the ease of understanding the questions without making changes to the original scale and measurements.According to the demographic profiles of respondents who completed the questionnaire, as depicted in Table 1, the frequency of both male and female respondents is close, with females dominating higher.Since the gap is not too far away, we could still view equal perspectives from both sides.Since our paper mainly focuses on Generation Z internet users (1997-2012), we have provided the corresponding age range for respondents to fill in.The majority of the respondents were in the age range of 20-22, with 39%, with the 23-25 age range coming in second.Respondents also need to fill in their domicile, where it was shown that most of the respondents are from the West 22% and also from the East, South, and Central 20% each, respectively.The rest of the respondents are from North Jakarta at 18%.As seen in Table 2, the results of loading factor testing generated a loading value above 0.5 (>0.5) [40].This figure is used to measure the validity of existing indicators, so it can be seen that 29 indicators in this study meet the validity criteria.

Validity and Reliability Test
As seen in Table 3, the research model's reliability and validity were further measured by calculating the CA, CR, and AVE.The table above shows the value of construct reliability test.The Cronbach alpha measurement results show that the internal consistency values are above 0.6 for all latent variables, and composite reliability values are above 0.9 for all latent variables, which indicates high internal consistency [17].Rho_A value is displayed as it helps measure reliability.Rho_A is expected to have a value of 0.7 or more.The Rho_A values measured on the variables shown in Table 3 are all above 0.7, indicating good reliability [41].The AVE shown in Table 4 was calculated to determine the convergent validity.We use the Fornell-Lacker criteria for all latent variables, where the AVE value must exceed 0.5.AVEs of all the variables stated in the table above measured greater than 0.5, indicating that more than 50% of the variance's indicators could be accounted for.Based on the recommended value of AVE, which is higher than 0.5 [35], this also shows adequate validity.

Discussion
After analysing the results, the following will examine the structural model and perform hypothesis testing.The coefficient of determination (R2) assesses the amount of influence the independent factors have on the dependent variable.R2 is deemed substantial if it is 0.75, moderate if it is 0.50, and weak if it is 0.25 [42].This study's proposed hypotheses are explained using the direct path coefficient.Path coefficient uses to determine the influence of the independent variables UTV, HDV, IQT, and SQT on PCV, the relationship between PCV and CSE, and the influence of CSE on PUI in social commerce platforms.To determine the significance of the coefficient paths, a bootstrapping calculation was initiated with 499 subsamples [42].The bootstrapping findings are presented in Table 6 below.All the proposed hypotheses result in Table 6 shows that they are all supported.With a path coefficient of 0.210, it can be demonstrated that the UTV variable positively influences the PCV on social commerce platforms, proving that the hypothesis (H1) is accepted.The findings are consistent with a prior study [19], which found that utilitarian value had a favourable impact on perceived value.Utilitarian value based on customer experience or judgment after joining live-streaming on social commerce platforms could increase the customer's perceived value.
The HDV positively influences the PCV of social commerce platforms with a path coefficient of 0.260, so hypothesis (H2) is proven to be accepted.The findings are in accordance with previous research [19], which found that hedonic value positively impacted perceived value.Hedonic value demonstrates the customer's desire to decrease stress and keep up with trends by purchasing online via live streaming on social commerce platforms, especially when they obtain great deals.
The test findings suggest that IQT positively influences the PCV on social commerce platforms, with a path coefficient of 0.260, so hypothesis (H3) is proven to be accepted.Previous studies [9,39] on Instagram as one of the social commerce platforms show that these findings are aligned.Customers will have an excellent impression of the seller/online stores on Instagram if the information is up-to-date and reliable.
Next, the result of hypothesis (H4) concludes that SQT positively influences PCV on social commerce platforms with a path coefficient of 0.239, so hypothesis (H4) is proven to be accepted.Based on prior studies' results [9,39] states that there is a positive influence of service quality on perceived value.If the seller provides excellent assistance to the customer when there is an issue, the customer whose problem has been fixed will write a positive review, which has the power to raise the customer's perceived value.
The PCV positively influences the CSE on social commerce platforms with a path coefficient of 0.866, so hypothesis (H5) is proven to be accepted.This value is the highest, aligning with prior studies [9,39].Customer engagement may grow if the seller can portray the goods based on the value paid and the risk the customer will face.If customer engagement has risen, a relationship will emerge between the customer and the seller, and the customer will be interested in getting involved in livestreaming activities.
Finally, hypothesis testing (H6) results show that CSE influences PUI positively, with a path coefficient of 0.766.These findings align with a recent study [5].When a customer develops a connection with the seller, this improves customer loyalty.Customers will prefer purchasing a product or service from a seller/online business they acknowledge and trust.

Conclusion
This study aims to determine the factors that influence Generation Z's purchase intention during live streaming on social commerce platforms, starting from the existence of customer engagement that occurs during live streaming, which is influenced by perceived value, where previously perceived value was also influenced by utilitarian value, hedonic values, information quality, and service quality provided by the seller.Based on the 434 Generation Z respondents who participated, all respondents had watched live streaming on social commerce platforms.Six hypotheses were formed from 29 indicators stating the relationship between UTV, HDV, IQT, and SQT factors with PCV, PCV on CSE, and CSE on PUI through live streaming in social commerce platforms, stating that all hypotheses are valid.

Significance and Implications
The present study is significant because it addresses live streaming as a trending feature of social commerce use on Generation Z.Given the widespread use of social commerce among this age group, understanding the effects of live streaming on social commerce is to increase the user activities on purchasing products and services.This study will contribute to the existing literature by examining the influencing factors that may affect the relationship between live streaming on social commerce and the outcome of purchase intention.
The study's implications mainly provide insight to Generation Z and sellers who use live streaming on social commerce to buy/sell goods by considering the factors influencing the customer's purchase intention for these products.

Limitations and Future Research
The limitations of this study are, First, it does not test or focus on symbolic value as a variable of influence (independent variable).However, it only mentions theoretical influence, so it is hoped that future researchers will research to explore the discussion of symbolic value as an influence variable.Therefore, the researcher suggests that future research can add other variables that can strengthen the causes that influence purchase intention on live-streaming social commerce platforms so that the results of further research get stronger, broader, and more accurate predictions that can support previous research on purchase intention.Second, this research only examines some of the main dimensions related to perceived value, namely social value [27], so that further research can raise and include social value to explain the better and more complete perceived value.Third, this research does not focus on one social commerce platform, so customer behaviour on each social commerce platform is not known.
Researchers also suggest that sellers use the live streaming feature in social commerce to increase the perceived value, influencing customer purchase intention.What needs to be done is to continuously improve the quality of information by providing information that customers need, is reliable, and is up to date.Another thing is improving service quality in selling products to customers during live streaming and prioritizing two-way interactions between sellers and customers during live streaming sales to answer customer questions, solve problems, and apply a friendly attitude in interacting with customers.In addition to information quality and service quality, sellers can pay attention to utilitarian values related to products that must suit customers' needs and be easy to obtain so that sellers who sell products via live streaming can attract customers' attention and interest in buying these products.Another value sellers must consider when selling live streaming is hedonic; sellers must ensure that the products being sold attract customers and can provide satisfaction and happiness when buying these products.With these values fulfilled, it will increase the value felt by customers, which aims to strongly influence customer engagement in live streaming on social commerce, which can impact customer purchase intentions.

Fig
Fig 1 Research Model

Table 1
Respondent Demographics

Table 2
Outer Loading Factors

Table 3
Reliability Test

Table 4
Validity Test

Table 5
Path coefficient