The Influence of Information Quality, Trust, and Risk Factors of The Digital Advertising on Buying Decision

The growth of internet users in Indonesia is increasing very rapidly. The impact of the development of the internet has made tremendous changes, especially for marketing. Internet use by marketing facilitates to engage with customers or prospective customers. Digital advertising makes it easy to reach customers and expand the sales market. However, early research reported by TrafficGuard that digital advertising may cause fraud (e.g., fake ads) to the detriment of customers. TrafficGuard reported the losses caused by digital advertising reached USD 18 billion in the Asia Pacific Region. Therefore, this study explores the influence of risk factors, trust, and advertising information quality factors in digital advertising on the intention and decision to buy. The quantitative method with the SEM-PLS technique performs data processing assisted by applying SmartPLS. Data collection using snowball sampling technique as many as 200 respondents. The study found Risk factor (Financial Risk (19.8%) & Performance Risk (23.4%)) influences the Intention to Buy and Decision to Buy. Information Quality factor of digital advertising (Accuracy (−23.4%), Integrity (50.5%), Timeliness (21.6%), and Validity (20.7%)) have influence to Intention to Buy factor. However, the other factors have no effect at all. These findings are beneficial for improving the industry in making digital advertisements better in the future.