Research Paper
Year: 2018 | Month: November | Volume: 5 | Issue: 11 | Pages: 37-46
Decision to Purchase Eco-Label Products: Case Study in Indonesia
Isyfa Priyayi1, Ujang Sumarwan2, Jono M Munandar3
1Master Student of Management Science
2Lecturer, Department of Consumer and Family Science
3Lecturer, Department of Management
Bogor Agriculture University – Indonesia
Corresponding Author: Isyfa Priyayi
ABSTRACT
Indonesia is a potential market for cosmetic products. The demand for cosmetics in Indonesia accounts for US $ 516.99 million. The potential of this cosmetic market is due to the increasing population of young people and the appearance of people’s upward trend to use natural products (back to nature) or eco-labelled products. The decision to purchase Eco-label cosmetic products is influenced by lifestyle factors, consumer attitudes and marketing mix. The location of the study conducted was in Jakarta. The total sample taken in this study was 195 respondents. Data are collected by distributing questionnaires either directly or online, using a Likert scale 1 - 4. The analysis technique used is Structural Equation Modelling (SEM) with the help of SmartPLS. The results of research in Indonesia show that there are five dimensions of lifestyle, namely: Achievers, Believers, Experiencers, Makers and Strivers. Other results show that: (1) consumer characteristics significantly influence lifestyle (2) lifestyle variables significantly influence purchasing decisions; (3) variable consumer attitudes are not significant to purchasing decisions; and (4) the marketing mix variable is not significant to purchasing decisions.
Key words: Lifestyle, Consumer Attitudes, Marketing Mix, Eco-label, Purchasing Decision, Structural Equation Modeling (SEM)
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