Regression analysis of relation of Demographic Profile to Continuous Intention

Demographic Profile Platform Sig. val. Ho Decision Interpretation Coefficient R2

Age GrabFood 0.004 Reject Ho With significant relationship 0.019 0.02
Food Panda 0.006 Reject Ho With significant relationship 0.018 0.019
Sex GrabFood 0.511 Accept Ho With no significant relationship -0.045 0.001
Food Panda 0.791 Accept Ho With no significant relationship -0.018 0
Municipality GrabFood 0 Reject Ho With significant relationship -0.149 0.3
Food Panda 0.041 Reject Ho With significant relationship -0.086 0.01
Monthly Income GrabFood 0 Reject Ho With significant relationship 0.128 0.032
Food Panda 0 Reject Ho With significant relationship 0.129 0.033
Frequency of App GrabFood 0.314 Accept Ho With no significant relationship 0.026 0.003
Usage Food Panda 0.622 Accept Ho With no significant relationship 0.009 0.001
Age* Sex* GrabFood 0 Reject Ho With significant relationship Age (0.008), Sex (-0.043), 0.056
Municipality* Municipality (-0.115),
Monthly Income* Monthly Income (0.094)
Frequency of App and Frequency of App use
Usage (-0.002)
Food Panda 0.004 Reject Ho With significant relationship Age (0.009), Sex (-0.020), 0.042
Municipality (-0.047),
Monthly Income (0.103)
and Frequency of App. Use
(0.005)

The table above shows the regression analysis of the relationship between the demographic profile of the customers

(respondents) to their continuous intention in using the delivery application.

It shows that among the demographic profile; age, municipality, and monthly income have a significant relationship to the

continuous intention of the customers in using the application with a sig. value of 0.004, 0.000, and 0.000 respectively for GrabFood,
while 0.006, 0.041, and 0.000 for Food Panda. (< 0.05). On the other hand, sex and Frequency of App Usage have no significant

relationship to the continuous intention of the customers in using the application with a sig. value of 0.511 and 0.314 respectively for

GrabFood, and 0.791 and 0.622 for Food Panda. (> 0.05)

Coefficient values were observed in the above-mentioned demographic profile that was found with a significant relation to

continuous intention. A positive coefficient indicates that as the value of the independent variable increases, the mean of the

dependent variable also tends to increase.

It shows that for every increase of 1 value for age, a 0.019 value shall increase in the customer’s continuous intention in using

the Grab Food application while 0.018 for Food Panda. This means that respondents’ age has an effect on the continuous use of Grab

Food and Food Panda as their delivery service apps. Therefore, the analysis suggests that age has a significant positive relationship

with the continuous intention for using the Grab Food and Food Panda applications.

*insert RRL that age is a determinant for the continuous usage of the app.

For monthly income, for every increase of 1 range value of 10,000 and below, 11,000-20,000, 21,000-30,000, 31,000-40,000,

41,000-50,000, and Above 50,000, there is a 0.128 increase in their continuous intention for using the Grab Food application while

0.129 for Food Panda. This means that respondents’ income has an effect on the continuous use of Grab Food and Food Panda as their

delivery service apps. Therefore, the analysis suggests that the monthly income has a significant positive relationship with the

continuous intention for using the Grab Food and Food Panda applications.
 Moreover, it has grown to the point where approximately 42% of all food orders are placed online (FATbit Blog, n.d.). With

the advent of the digital age, customers are increasingly relying on online purchasing and delivery, including the food category. The

main customer segment is millennials and households with high income who live a busy lifestyle with convenience being the driver

for the sales.

Regression analysis also shows that there is significant relation when multiple demographic profiles were combined such as

age, sex, municipality, monthly income, and frequency of application usage with a sig. value of 0.000 for GrabFood and 0.004 for

Food Panda. The R2 (also called the coefficient of determination), is the proportion of variance in the dependent variable that can be

explained by the independent variables. The value shown in the table for Grab Food is 0.056 independent variables explaining 5.6%,

and for Food Panda, the computed R2 is 0.042 independent variables explaining 4.2% of the variability of our dependent variable, the

Continuous Intention of the customers in using the online delivery application.

Multiple regression was run to predict Continuous Intention to use from age, sex, municipality, monthly income, and

Frequency of App Usage. These variables statistically significantly predicted Continuous Intention to use. All five variables added

statistically significantly to the prediction, p < .05.

According to MYINT & II (2022), if customers return to a web store more frequently, their purchasing enjoyment will be

determined by their involvement with the product. In addition, demographic factors such as age, gender, and income level play a

facilitating role because they influence consumer perception and consumer behavior that drives them towards online shopping. Online
shopping intention depends on consumers’ age, income, and education as well as marital status most importantly their perceived

usefulness. Additionally, according to Ghajargar et. al. (2016), demand for home delivery services is rising due to online shopping as

this service is having coverage of a large geographic area. In applying this service to the food and beverage (F&B) industry, food

delivery service is also gradually used by many people, especially university students. The creation of online businesses such as food

ordering through online platforms has already be ubiquitous, especially in the hustle and bustle city.
 Independent Platform Sig. Ho Interpretation Coefficien R2
Variable val. Decision t
Overall Delivery GrabFood 0.000 Reject Ho With 0.813 0.329
Service Quality significant
relationship
Food Panda 0.000 Reject Ho With 0.784 0.287
significant
relationship

The table above shows the regression analysis of the relationship between Overall

Delivery Service Quality and the Continuous Intention of the customers in using the online

delivery application.

It shows that overall delivery service quality has a significant relation to the continuous

intention of the customers in using both Grab Food and Food Panda applications with a sig.

value of 0.000 (< 0.005) for both.

A coefficient value was observed, meaning that for every increase of 1 value with the

delivery service quality of the online delivery app, there is a 0.813 increase in the continuous

intention of GrabFood while 0.784 for Food Panda.

The R2 (also called the coefficient of determination), is the proportion of variance in the

dependent variable that can be explained by the independent variables. The value shown in the

table for Grab Food is 0.329 independent variables explaining 32.9%, and for Food Panda, the

computed R2 is 0.287 independent variables explaining 28.7% of the variability of our dependent

variable, the Continuous Intention of the customers in using the online delivery application.

Insert RRL.
Today, there has been a marked shift from a focus solely on food to a focus on the quality

of service food providers provide, and consumers are now paying more attention to how their
food is delivered and the service quality of restaurants and food delivery services. As it helps

them develop strategies that in turn lead to customer satisfaction. This suggests the high

importance of service quality in marketing the food delivery industry as stated by Banerjee et.

al., (2019).
Summary
1. In terms of the demographic profile, only age, municipality, and monthly income has a

significant relationship towards the continuous use of Grab Food and Food Panda with a

computed p-value of 0.004, 0.000, and 0.000 respectively for GrabFood, while 0.006,

0.041, and 0.000 for Food Panda. For the overall delivery service quality and continuous

intention of the customers in using both Grab Food and Food Panda applications, it has a

sig. value of 0.000 (< 0.005) for both applications implies that there is a significant

relationship between Overall Delivery Service Quality and the Continuous Intention of

the customers in using the online delivery application.

Conclusion
1. A simple linear regression was performed to quantify the relationship between

demographic profiles in terms of age, sex, municipality, monthly income, and frequency

of usage, toward continuous use of an app. A sample of 404 participants was used in the

analysis. Results showed that there was a statistically significant relationship between a

demographic profile in terms of age, municipality, and monthly income toward intention

to continue the use of GrabFood and Food Panda. Furthermore, using multiple regression

to determine the effect of multiple demographic profiles combined such as age, sex,

municipality, monthly income, and frequency of usage on the intention to continue using

Grab Food and Food Panda, results reveal that there is a significant relationship between

demographic profile and the intention to continue using applications for delivery services.

Moreover, there is also a significant relationship between the Overall Delivery Service

Quality and the Continuous Intention of the customers in using the online delivery

application.
References

FATbit Chef. (n.d.). The evolution of online food delivery business. Retrieved from fatbit.com:
https://www.fatbit.com/fab/next-unicorn-will-online-foodordering-delivery-market/

MYINT, E., & II, E. (2022). YANGON UNIVERSITY OF ECONOMICS DEPARTMENT OF

MANAGEMENT STUDIES MBA PROGRAMME.

Banerjee, S. P., Jain, D., & Nayyar, R. (2019). Measuring service quality of food delivery
services: a study of generation Z. African Journal of Hospitality, Tourism and Leisure, 8(1),
1-12.

Ghajargar, M., Zenezini, G., & Montanaro, T. (2016). Home delivery services: innovations and
emerging needs. IFAC-PapersOnLine, 49(12), 1371-1376.