the influence of brand equity toward customer …
TRANSCRIPT
THE INFLUENCE OF BRAND EQUITY TOWARD
CUSTOMER BUYING DECISION ON COSMETIC
PRODUCT IN JAKARTA
By
Nurinda Febriyanti
ID No. 014201000183
A skripsi presented to the
Faculty of Business President University
in partial fulfillment of the requirements for
Bachelor Degree in Economics Major of Management
February
2014
2
PANEL OF EXAMINERS
APPROVAL SHEET
The Panel of Examiners declares that the skripsi entitled “THE
INFLUENCE OF BRAND EQUITY TOWARD CUSTOMER
BUYING DECISION ON COSMETIC PRODUCT IN
JAKARTA” that was submitted by Nurinda Febriyanti majoring in
Management from the Faculty of Business was assessed and approved
to have passed the Oral Examinations on February 18th, 2014.
VinsensiusJajat K., MM, MBA
Chair – Panel of Examiners
Drs. Agus B. Adidi, M.A.,C.CA
Examiner 1
Dra, Genoveva,MM
Examiner 2
3
SKRIPSI ADVISER
RECOMMENDATION LETTER
This skripsi entitled “THE INFLUENCE OF BRAND EQUITY
TOWARD CUSTOMER BUYING DECISION ON COSMETIC
PRODUCT IN JAKARTA”prepared and submitted by Nurinda
Febriyanti in partial fulfillment of the requirements for the degree of
bachelor in the Faculty of Business has been reviewed and found to
have satisfied the requirements for a skripsi fit to be examined. I
therefore recommend this skripsi for Oral Defense.
Cikarang, Indonesia, February 18th, 2014
Acknowledged by, Recommended by,
VinsensiusJajat K., MM, MBA Dra,Genoveva,MM
Head of Management Study Program Skripsi Adviser
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DECLARATION OF ORIGINALITY
I declare that thisskripsi, entitled “THE INFLUENCE OF
BRAND EQUITY TOWARD CUSTOMER BUYING
DECISION ON COSMETIC PRODUCT IN JAKARTA” is, to the
best of my knowledge and beliefs, an original piece of work that has
not been submitted, either in a whole or in a part, to another university
to obtain a degree.
Cikarang, Indonesia, February 18th, 2014
NURINDA FEBRIYANTI
5
ABSTRACT
Beautiful and fascinating is the dream of all women in the world. Makeup
is an activity to change the appearance of the actual original shape with the help of
cosmetic materials and tools. The research is based on the competitive conditions
the industry cosmetics in Indonesian, both industry cosmetics national and
international. The researcher chose brands such as Bobbi Brown, Etude, Loreal,
Mac , Maybelline and Revlon their familiar its for people in Indonesia , especially
in Jakarta. The problem in this research is " What if brand equity ( brand
awareness , brand association , perceived quality , brand loyalty ) can be affect to
the costumer and make costumer choose to buy makeup product. The data are
collected by distributing questionnaires to 140 costumer makeup products. The
researcher using quantitative analysis includes validity test and reliability, classic
assumption and multiple regression to test the hypothesis through the T-test and F-
test and coefficient of determination (R ²). Hypothesis testing using T-test showed
that three independent variables (brand awareness, perceived quality, brand
loyalty) significant influence toward customer buying decision as dependent
variable. Then through the F test proven that all independent variables (brand
awareness, brand association, perceived quality, brand loyalty) have a significant
influence toward customer buying decision. From the R square test show the
0.639 indicates that 63.9 percent the dependent variable (customer buying
decision) are influence by independent variable (brand awareness, brand
association, perceived quality, brand loyalty), while 36.1 percent are influenced by
other factors.
Keywords : brand awareness, brand association, perceived quality, brand loyalty,
customer buying decision
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ACKNOWLEDGEMENT
Alhamdulillahhi Rabbil Alamin
In the name of ALLAH
I would like say Allhamdulillah Hirobbil Alamin
Finally, the moment that I very wait for a long time is finally come true. This is
the happiest moment after struggling with my undergraduate skripsi and finishing
my study at President University. I still remember three years ago, Mom and Dad
accompany me to President University and moving in to dormitory, time goes by
and now I’m finished my undergraduate skripsi and graduated from President
University.
Through this opportunity, I would like to show my gratitude to
1. First of all I would like say thankyou to Allah SWT who gave me the
healty body during I doing my skripsi project and also give me a many
good person who always support me and accompany me.
2. To my Parents, Mom and Dad. I don’t know how to describe my gratitude
to both of you in words, but I am so glad and proud to have parents like
mom and dad. You are the best parents in the world. Thanks for
everything, thanks for your unlimited support and care. I love you so
much.
3. My Brother Thank you for your love and support during thisskripsi period.
4. My Sister, thankyou for always help me during I do my skripsi.
5. My Cousin, Widya Ayuningtyas thankyou for always become my
translator.
6. My Skripsi Adviser, Filda Rahmiati, MBA Thank you so much for your
guidance, attention, patience, and kindness. I’m so proud to have you as
my skripsi adviser, thanks for being my skripsi adviser.
7. Mr. Orlando thank you so much for helping me a lot in statistic. Thanks
for your guidance, care, time, and kindness. You are the friendliest lecturer
ever.
8. My super hero Wisnu Arif Setyawan, thankyou for always support and
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accompany me.
9. My dearest lovely roommate, Ervina Anggraini, Putri Utami Vallen,
Salsallya Diska, finnaly guys, we finish our study, thanks for your support,
kindness and your help to solve the problem with my skripsi. And don't
ever forget that someday we must to be a success people.
10. My friends Sherly Silvia and Joudy Marsya, thank you so much for very
help me during thisskripsi. Thankyou for teach me and guidance me
during we doing this skripsi project together
11. My best friends, Astri Putria Sari, Siti Eliyana, Alfisyah, Dwi Mauliani,
Harizatul, Retno Wulan, Soniya Mayangsari, thankyou for always support
me, even though all of you not in here, but you always support me and
pray for me until I can finish my skripsi. Thankyou so much guys, I never
forget all of you, success for all of us.
12. My friends Fathia Fathia, Trecy Emerald, Ayu Agustafany, Dwini, Fabiola,
Noni, Syarifah Ade Mutia, Hardian Ruben, Kania Pinanjungsari, Kak
Arcilla,Agus, KrisRasta, Rifka, Rebecca, Alfina, Satriothanks for
everything.
13. Sherly, Riri Rachmawati, Dwi puspita, Sherly Intan, Astri Miranda, Dwi
Khairunnisa, Kevin, Husni, Sukma, and for all my friend that i can't
mentioned in here.
14. My kind hearted senior, Dana Feriyus, Freddy, and Naomi, thankyou for
teach me.
15. All the respondents in Jakarta thanks a lot for spending your time to fill the
questionnaire.
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TABLE OF CONTENT
SKRIPSI ADVISER RECOMMENDATION LETTER .......................................... i
DECLARATION OF ORIGINALITY.................................................................... ii
PANEL OF EXAMINER APPROVAL SHEET .................................................... iii
ABSTRACT ........................................................................................................... iv
ACKNOWLEDGEMENT .......................................................................................v
TABLE OF CONTENT ....................................................................................... vii
LIST OF TABLE ......................................................................................................x
LISTOF FIGURE .................................................................................................. xi
CHAPTER I............................................................................................................ i
1.1. Background of the Study.................................................................................13
1.1.1.Cosmetics Industry in Indonesia ...................................................................14
1.2. Problem Identification.....................................................................................17
1.3. Statement of Problem ......................................................................................18
1.4. Research Objective .........................................................................................18
1.5. Scope and Limitations .....................................................................................19
1.6. Benefit .............................................................................................................19
1.7. Definition of Term ...........................................................................................20
CHAPTER II ........................................................................................................22
2.1. Brand ...............................................................................................................22
2.2. Brand Equity ...................................................................................................22
2.2.1. Brand Awareness ..........................................................................................25
2.2.2. Brand Association ........................................................................................26
2.2.3. Perceived Quality .........................................................................................27
2.2.4. Brand Loyalty ..............................................................................................28
2.3. Consumer Buying Decision ............................................................................31
2.4. Theoretical Framework ...................................................................................36
2.5. Hypothesis .......................................................................................................37
2.6. Previous Research ...........................................................................................37
CHAPTER III ......................................................................................................40
3.1. Research Method.............................................................................................40
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3.1.1. Qualitative research ......................................................................................40
3.1.2.Quantitative analysis .....................................................................................41
3.2. Operational Definition ....................................................................................42
3.3. Research Instrument ........................................................................................44
3.3.1. Questionnaire ...............................................................................................44
3.3.2. Literature Study............................................................................................45
3.3.3. Scalling.........................................................................................................45
3.4. Research Framework.......................................................................................46
3.5. Validity and Reliability ...................................................................................48
3.5.1. Validity Test.................................................................................................48
3.5.2. Reliability Test .............................................................................................49
3.6. Data Collection Method ..................................................................................49
3.6.1. Primary Data ................................................................................................50
3.6.2 Secondary data ..............................................................................................50
3.7. Sampling Design .............................................................................................50
3.7.1. Sampling Method .........................................................................................50
3.7.2. Population ....................................................................................................51
3.8. Classic Assumption .........................................................................................51
3.8.1. Normality Test ..............................................................................................51
3.8.2. Multicollinearity Test ...................................................................................52
3.8.3. Heterocedasticity Test ..................................................................................52
3.9. Testing the Hypothesis ....................................................................................53
3.9.1 Multiple Regression ......................................................................................53
3.9.2. Coefficient of Determination Analysis (R2) .................................................54
3.9.3. T-Test (Partial) ..............................................................................................54
3.9.4. F – Test .........................................................................................................55
CHAPTER IV .......................................................................................................56
4.1. Company Profile .............................................................................................56
4.1.1. Bobbi Brown ................................................................................................56
4.1.2. Etude House .................................................................................................59
4.1.3. L'Oréal Paris ..............................................................................................61
4.1.4. Mac Cosmetics .............................................................................................66
4.1.5. Maybelline ...................................................................................................70
4.1.6. Revlon ..........................................................................................................72
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4.2. Data Result Analysis .......................................................................................74
4.2.1. Validity Test..................................................................................................74
4.2.2. Reliability Test .............................................................................................75
4.2.3. Characteristic of Respondents ......................................................................76
1. Gender ................................................................................................................76
2. Age ....................................................................................................................77
3. Income ...............................................................................................................78
4. Marital Status ....................................................................................................80
5. FavoriteBrand....................................................................................................81
4.2.4. Descriptive Analysis ....................................................................................70
4.2.5. Classic Assumption ......................................................................................83
4.2.5.1. Normality Test ...........................................................................................83
4.2.5.2 Multicollinearity.........................................................................................84
4.2.5.3. Heteroscedascity Test ................................................................................86
4.2.6. Testing the Hypothesis ...............................................................................865
4.2.6.1. Multiple regression ...................................................................................87
4.2.6.2. Coefficient of Determination ( R2 ) ...........................................................88
4.2.6.3. T test ..........................................................................................................89
4.2.6.3. F – test .......................................................................................................90
4.3. Interpretation of Result ...................................................................................91
CHAPTER V ........................................................................................................94
5.1. Conclusion ......................................................................................................94
5.2. Recommendation ............................................................................................96
Cosmetics Industry in Indonesia ............................................................................96
Future Researcher ..................................................................................................98
REFERENCES .....................................................................................................98
APPENDICE ..................................................................................... 90
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LIST OF TABLE
Table 3.1. Operational Definition ............................................................... 42
Table 3.2 Likert Scale .............................................................................. 45
Table 4.1. Output Validity ......................................................................... 74
Table 4.2. Output Reliability ..................................................................... 76
Table 4.3. Grouping Respondents based on Gender ....................................... 77
Table 4.4. Grouping Respondents based on Age ........................................... 78
Table 4.5. Grouping Respondents based on Income ...................................... 79
Table 4.6. Grouping Respondents based on Marital Status ............................. 80
Table 4.7. Grouping Respondents based on Favorite Brand ............................ 81
Table 4.8. Descriptive Statistics ............................................................... 830
Table. 4.9 Multicollinearity Coefficient Correlations ..................................... 85
Table. 4.10 Multicollinearity Coefficient ..................................................... 85
Table 4.11. Multiple Regression Table ........................................................ 87
Table 4.12. R2 ......................................................................................... 88
Table 4.13 T-Test table ............................................................................. 89
Table 4.13 F-Test table ............................................................................. 90
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LIST OF FIGURE
Figure 2.1. : Aaker’s Brand Equity model .................................................... 24
Figure 2.2. : Aaker’s Brand Awareness pyramid ........................................... 25
Figure 2.3. : Aaker’s Brand Loyalty pyramid ............................................... 29
Figure 2.4. : Purchase Decision process ...................................................... 34
Figure 2.5. : Theoretical Framework ........................................................... 36
Figure 3.1. : Research Framework ............................................................. 47
Figure 3.2. : Multiple Regression ............................................................... 53
Figure 4.1. : Grouping Respondents based on Gender ................................... 76
Figure 4.2. : Grouping Respondents based on Age ........................................ 77
Figure 4.3. : Grouping Respondents based on Income ................................... 78
Figure 4.4. : Grouping Respondents based on Marital Status .......................... 80
Figure 4.5. : Grouping Respondents based on Favorite Brand ......................... 81
Figure 4.6. : Histogram normal distribution ................................................. 83
Figure 4.7. : Normal P-Plot ....................................................................... 84
Figure 4.8. : Scattrplot Heteroscedascity ..................................................... 86
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CHAPTER I
INTRODUCTION
1.1. Background of the Study
Beautiful and fascinating is the dream of all women in the world. There are many
ways that can be taken to get the face many girls want one of them is by polishing
the face or we familiar to called it makeup (Dokter Cantik, 2012). Women is a
beautiful creatures and like beauty, including the beauty of her face. Since 5000
years ago, the ancient Egyptians were known to be competing to beautifying
themselves, especially the nobility. They are trying to look beautiful likes the gods
and goddesses that they worshiped. Although at first the art of face painting is just
a religious ritual in their nation. The women framed their eyes resemble almonds
and coloring their cheeks with clay ( Resivanis, 2013). The art of face painting
continues to grow until one day the Greeks found the plant root extract called
polderos that can be made rouge lips and cheeks are longer lasting. Apparently, to
be beautiful it has become an obsession that is embedded within every woman.
According to Thasya, (2012) Max factor is the first cosmetic maker in the world
of cosmetic industry. He create a many formula to create a cosmetic product. In
1920, a man named Max Factor created a wide variety of cosmetic product
formulations. One of his creations is a kohl mixture heated on the fire. When
melted, the melt is applied to the eyelashes, and the eyes look more dramatic. And
in 1923, created the eyelash curler. The shape is almost similar to the existing
eyelash curler now. But certainly not as sophisticated eyelash curler that exist
today. It took about 10 minutes to apply the eyelash curler this early. Since the
history of make up, a lot of make up products began to appear and increasingly
advanced and diverse till today. And "the art of face painting" was already not
only limited to the nobility, but any woman who admire the beauty and appreciate
themselves as being beautiful. Beside cosmetics, other body care products
nowadays become the basic needs that used by women to make them look more
attractive. The women usually polish their faces to support the appearance.
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Makeup is an activity to change the appearance of the actual original shape with
the help of cosmetic materials and tools. The term of make-up more often aimed
at changing the shape of the face, despite the fact that the entire body can be
ornamental. For some women by using cosmetic can create confidence for
themselves. According Korichi, Pelle-de-Queral, Gazano, dan Aubert (2008)
psychological make-up has two functions, namely the function of Seduction and
Camouflage. The function of Seduction means the individual use make-up to
enhance the appearance of their self. In general the individuals who use make-up
for the function seduction feel that they interesting and use make-up for the make
it their self more interesting.
The function of Camouflage means the individual use make-up to cover the lack
of their physically. In general the individuals who use make-up for the function
camouflage they feel that uninteresting so they need to use make-up for make
their self interesting. Based on Psikologi Ubaya, (2013) there are several kinds of
cosmetics one of them is make-up. Make-up is defined as colored cosmetics
products, which means when used on the body or a specific body part will
produce color. Some examples of make-up such as lipstick, mascara, eyeliner, eye
shadow, and blush on. Make-up is identical with women even though the user of
make-up does not rule out the possibility is male and is believed to be facilities to
make the appearance more attractive. Currently, there are many emerging famous
cosmetics brand from local brand such as Sariayu, Mustika Ratu, etc. And some
examples of international brands like Makeup Forever, Dior, Bobbi Brown, Mac,
Benefit and many more. All of these brands provide their own advantages that can
make the costumer interested to buy their products. Several factors may be
considered by the customer to choose and decide to buy a product from a brand
what they want is the excellence of that brand than another brand, the reviews of
the users, the brand experience until the final results are resulting by the product.
1.1.1. Cosmetics Industry in Indonesia
According on Indonesia Finance Today (2012) The woman is a being that is
identic with beauty, women always want to look beautiful in various situation and
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has always wanted to be the center of attention for her surrounding. This is the
reason why women like to beautify herself with use of various kinds of cosmetics
used. This condition is used well by cosmetic manufacturers. Based on Marieska
Harya Virdhani (2013) Total population up to 245 million makes Indonesia has a
huge potential market for beauty care products. Although the majority of the
cosmetics industry targeting the major consumer are women, but recently the
cosmetics industry has begun to innovate with products for men. (Indonesia
Finance Today, 2012) . CosmoBeaute Indonesia (2013) had researched data from
market research agency Euromonitor International, the value of Indonesian
cosmetics industry reached more than $ 5 billion with an average growth of 12
percent per year. Beauty industry in Indonesia is not affected by the financial
crisis that occurred in 2008. Indonesia is predicted to be the country with the
greatest growth potential in the beauty industry. Cosmetics industry market
Indonesia continues to growth. Beauty is no longer considered to be something
luxurious, but it has become a necessity. From the side of society Indonesia
formerly beauty is a luxury, now it needs. Foreign brands also see Indonesia is a
big market with a large population. Tiara Sarastika (2012) shows that the use of
cosmetics in Indonesia is very large. As the times, cosmetics as a primary need
for most women. This provides opportunities for the cosmetics industry in
Indonesia, which can give rise to the competition tight enough.
The government claims the national growth of cosmetics industry until the end of
this year reached 15 %. Directorate General of Industrial Manufacturing (BIM) of
the Ministry of Industry, cosmetic industry turnover is forecast to rise reached
Rp11,2 trillion or grew 15 percent from 2012, which amounted to Rp9,7 trillion
(Marieska Harya Virdhani, 2013). Currently the development of the cosmetics
industry in Indonesia appertain solid. . This can be seen from increasing of
cosmetics sales in 2012 14 % to Rp 9.76 trillion from the previous Rp 8.5 trillion,
based on data from the ministry of industry. Beauty and body care products
globally in 2012 reach U.S. $ 348 billion, growing thin U.S. $ 12 billion over the
previous year based on data the Euro Monitor. Although in 2012 the world
economy is still tinged financial crises such as those in the European region, even
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though economic slowdown china, a branded beauty products has proven to still
be able to grow with the solid. Branded beauty products are forecast to grow 6%
this year, higher than the growth of common cosmetic products by 4%.
Association of Indonesian Cosmetics (Perkosmi) estimates that this year the sales
of cosmetics can grow up to Rp 11.22 trillion, up 15% compared to the projected
2012 amounting to Rp 9.76 trillion. In terms of exports, the cosmetics industry is
estimated to grow 20% to US$ 406 million (Indonesia Finance Today, 2012).
According to Business News (2013) volume of cosmetics sales growth fueled by
an increase in demand, especially from consumers in the middle class. Cosmetics
sales growth was also driven by the trend of increasing use of cosmetics by men.
Cosmetic market opportunities in Indonesia is still very large. Therefore,
cosmetics manufacturer national needs to meet the needs of consumers who are on
the rise. In the past man not interest to buying masculine skin care products but
now they have high interest in skin care products. Moreover, the Ministry of
industry also provide incentives to encourage the development of the cosmetic
industry in the country. Cosmetic market opportunities in Indonesia is still very
large.
Yunia Safitri (2012) state that the other hand consumers has their own judgments
and expectations of the cosmetics they use. To be able to compete and satisfying
the costumers of course a product should have a competitive advantage compared
to the product of the competitors and able to meet the needs of customers. The
cosmetics companies is prosecuted for perusal in digging information about
preference of consumers and able to implement marketing strategies proper. In
this case anticipated strategy possibilities which are going to be applied by
competitors are needed. One of the ways that can be used to analyze marketing
strategies is to use game theory which is a mathematical model used in conflicting
situations or competition between different interests that face each other as
competitors. Based on Oki Baren (2012) Indonesia is third-largest market
cosmetics in ASEAN after Thailand and the Philippines. Even sometimes
Indonesia ranked 2nd, because the population of Indonesia greater than
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Philippines. The existence of free markets of ASEAN and China (AC-FTA) which
will take effect in 2015, in addition to into opportunities for Indonesia, cosmetics
industry market can also be a challenge for this agreement make Chinese products
more free to enter the market Asean. This could potentially increasing competition
that must be faced by Indonesia players. (Indonesia Finance Today, 2012)
Some of the famous top brand in Indonesia and has many loyal users for
cosmetics products are Bobbi Brown, Etude, Loreal, Mac, Maybelline, Revlon.
who do not know Bobbi Brown, Etude, Loreal, Mac, Maybelline, Revlon. A lot
of good reviews and comments from costumers who has been using several
products from Bobbi Brown, Etude, Loreal, Mac, Maybelline, Revlon, because
good comments from the users of this brand cause the curiosity of the costumer
who are confused in choosing to buy cosmetic what they want . Products from
Bobbi Brown, Etude, Loreal, Mac, Maybelline, Revlon known for having good
quality and interesting of the packaging.
1.2. Problem Identification
In line with the background, a lot of the consumer of cosmetics cause many
cosmetic industries competing to get more costumers who are interested in their
products and they are competing to make their products more excellent than the
other. The marketing of any cosmetic companies are competing to develop
strategies to make their products more excellent and increase sales of their
products. That is why the product is necessary to establish the unique character of
their brand name, because one of the benefits of brand equity is to prevent erosion
of a product's or service's market share, even when there is many endless
promotional maneuvers from the competitors (Clow and Baack, 2010), because
the strong brand name is the thing that is hard to be imitated by the competitors.
The role of Brand Equity very influential in the customer buying decision towards
a product. The customer that very thorough against a product definitely think of
the origin of a product before deciding to buy it. By doing asset mapping, brand
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equity is possible to determine whether some aspects of brand equity is seen as
more important than others for the consumer, or if the brand behind in one or
more dimensions. In order for a brand to maintain high brand equity and become
the preferred choice of consumers, it is important that it stays in tune with how the
brand is perceived by its customer base. However, so far little research has been
done on how brand equity has a role in the cosmetics industry which influence
customer buying decision toward cosmetic product.
The main problem of this research is to find the influence of Brand Awareness,
Perceived Quality, Brand Association, and Brand Loyalty as elements of Brand
Equity towards customer buying decision choosing cosmetic product. In this
research the researcher choose 6 brand of the famous product in Indonesia
especially in Jakarta such as : Bobbi Brown, Etude, Loreal, Mac, Maybelline,
Revlon. All of this product can we reached in mall in Jakarta.
1.3. Statement of Problem
The formulation of the problem from the background above is as follows:
1. How the influence of brand awareness towards customer buying decisions on
cosmetic products?
2. How the influence of perceived quality towards customer buying decision on
cosmetic products
3. How the influence of brand association towards the costumer buying decision
cosmetic products?
4. What is the effect of brand loyalty towards the costumer buying decision on
cosmetic products?
5. How the influence of Brand Equity towards customer buying decision on
cosmetic products?
1.4. Research Objective
The Objective of this research is to evaluate the relationship between
brand equity and customer buying decision in choosing cosmetic product. The
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specified objectives are to find out :
1. To identify the effect of brand awareness toward costumer buying decisions on
cosmetic products
2. To identify the effect of perceived quality toward costumer buying decisions
on cosmetic products
3. To identify the effects of brand association toward costumer buying decisions
on cosmetic products
4. To Identify the effects of brand loyalty toward costumer buying decisions on
cosmetic products
5. To identify the effect of brand equity toward costumer buying decisions on
cosmetic products
1.5. Scope and Limitations
The scope and limitations of this study was made in order to identify those who
have not been fulfilled by this analysis. It defines the limitations, or obstacles of
this analysis. The researcher will be analyze the effects of Brand Equity toward
customer buying decision to choosing the brand of cosmetics accordance with
their needs. The brand such as Bobbi Brown, Etude, Loreal, Mac, Maybelline,
Revlon . The scope of this research is the consumer makeup in Jakarta, why the
researcher choose Jakarta because Jakarta is capital city where the customers can
find the cosmetic product from Bobbi Brown, Etude, Loreal, Mac, Maybelline,
Revlon very easily in some mall in Jakarta. The setting of the study is Customer
buying decision to choosing cosmetic products as their makeup needs, the reason
is to gain information about the customer behavior. The respondents have been
limited to age range between 15-30. The respondents have used cosmetic product.
1.6. Benefit
Researchers hope this research that conducted can give the benefit for :
Cosmetic and Skin Care Company
From the analysis of the data that obtained, the researcher would like to give
contribute in cosmetic and Skin Care Company to find out more what factors
20
causing the customer feel satisfied with their products and decide to purchase their
products.
Costumer
Can provide information about the quality of a product and provide a review-a
review of the costumer who has used the product, so it can give an idea for
another costumer to decide to buy the product. And for the costumer should be
better to evaluate and determine the quality of a product is very important, before
they decide to buy the product, especially for cosmetic and skin care because not
all cosmetic and skin care products suitable for them, and the most important is
the quality because not all of the cosmetic and skin care products have good
quality. With this research the customer can determine the cosmetic and skin care
products that suit with them and have a good standard for the quality.
Researcher
With this research, the researchers also enhance the knowledge and skill in doing
the observation, also improve the writing and reading skills, and also having
knowledge about Brand Equity of cosmetic product and the related between
customer satisfaction and customer buying decision and more importantly learn to
implement the theories that have been learned.
Future Researcher
The study will provide additional knowledge and a baseline parameter, thus to
enhance the existing knowledge about the relationship between brand equity
influence the customer satisfaction and customer buying decision.
1.7. Definition of Term
1. Brand Equity : A set of characteristic that are unique to a brand
2. Brand Awareness : The strength of the existence of a brand in the minds of
consumers
3. Perceived Quality: The consumer perception of the overall quality or
21
superiority of a product or service with respects to its intended purpose
4. Brand Association: Anything which is deep seated in the customers mind
about the brand
5. Brand Loyalty : The attachment that a customers have on brand.
6. Costumers Buying Decision : Series of choices made by a consumer prior to
making a purchase that begins once the costumers have established a
willingness to buy. The consumer must then decide where making the
purchase, what brand, model, or size to purchase, when to make the purchase,
how much to spend, and what method of payment will be used.
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CHAPTER II
LITERATURE REVIEW
2.1. Brand
Based on American Marketing Association (2011) a brand is a name term, design,
symbol, or any other feature that identifies one seller. According to Brian and
Fjelddhal (2007) A brand is a promise: it contains a set of emotional attributes for
a which a costumer to pay a premium. Every aspect of company message, product
and service needs to be aligned with brand the promise. That promise must be
unique, valued and consistently delivered. While Kapferer (2008) state that there
are no brands without products or services to carry them. This will have great
consequences for the method of measuring, financial value. Knowing a brand is
giving costumer more advantage; Brand offer consumer a means of minimizing
information search and evaluation. According to Leslie and Malcom (2003)
Through seeing a brand name, which has been supported by continual marketing
activity, consumers can use this as a rapid means of interrogating memory and if
sufficient relevant information can be recalled, only minimal efforts is needed to
make a purchase decision.
2.2. Brand Equity
Today in global economy where the competition is getting stronger and customers
are bombarded with the options that very important for the success of any
company who differentiate their self from their competitors by building personal
relationships with their customers. The brands that successful build relationships
with their customers by allowing products and services not only to meet their
functional, but also their emotional needs. Therefore, a successful brand is built on
more than just their excellent products and services will have a different
characteristic from their competitors. Products and services can be copied by
competitors, but the intangible factors that enable customers to identify the
products or services.
23
In such a competitive industry, has a strong brand and become the preferred
choice among consumers over your competitors is important. Brand is the
preferred choice by consumers who are said to have high brand equity and there is
no agreement in the scientific community that a strong brand has high brand
equity. Over the years many studies have been carried out on brand equity, one reason
is that 'brand equity has the potential to add value for the firm by generating
marginal cash flows in at least a dozen ways' (Aaker, 1991, p.16). In his Brand
Equity model, David A. Aaker identifies five brand equity compo- nents: (1)
brand loyalty, (2) brand awareness, (3) perceived quality, (4) brand associations
and (5) other proprietary assets. Aaker defines brand equity as the set of brand
assets and liabilities linked to the brand - its name and symbols - that add value to,
or subtract value from, a product or service. These assets include brand loyalty,
name awareness, perceived quality and associations.
Clow and Baack (2010) stated that one of the major problem for many established
companies is brand parity. Brand parity occurs when there are few tangible
distinctions between competing brands in mature markets. Brand parity means
consumers see only minor product differences, one of the solution to fight, the
brand parity is brand equity. The real value of a strong brand is its a power to
capture consumer preference and loyalty. A powerful brand form the basis for
building strong and profitable consumer relationship. A powerful brand has high
brand equity (Kotler and Amstrong, 2008). According to Kotler (2008) define
brand equity as the positive differential effect that knowing the brand name has on
consumer response to the product or service.
Clow and Bacck (2010) define Brand Equity is a set of characteristic that are
unique to a brand. In essence, brand equity is the perception that a good or service
with a given brand name is different and better. David A. Aaker (1991) state that
Brand Equity is a set of brand assets and liabilities associated with a brand, name
and symbol, that add or diminish the value provided by a good or service to the
company or its customers. The purpose of brand equity is to measure the value of
a brand. A brand encompasses the name, logo, image, design and perceptions that
24
identify a product, service, or provider in the minds of customers. Brand Equity
will usually allow higher margins by permitting both premium pricing and reduce
reliance upon promotions. For costumer, Brand Equity assets generally add or
subtract the value. They can help them interpret, process, and store huge quantities
of information about brands and products. They can also affect costumer
confidence in the purchase decision ( due to either past use experience or
familiarity with the brand and its characteristics ).
Figure 2.1 : Aaker’s Brand Equity model
Source : David A. Aaker (1991)
Keller (2003) he also define that although brand equity is one of the most crucial
concepts in brand management, there is not a commonly accepted definition for it.
From the definition above, we can see that brand equity is the different perception
of customers for the brand name, and customer will see that brand with have good
brand equity is better than competitors brand. On the other hand, from the
marketer point of view, the concept implies the importance of a brand to its
costumers.
25
2.2.1. Brand Awareness
According to David A. Aaker (1997), brand awareness is the ability of a potential
buyer to recognize or recall that a brand is a part of a particular product category.
There are four levels of brand awareness as describe by Aaker (1997). The
following is the order from the lowest level to the highest level :
Figure 2.2 : Aaker’s Brand Awareness pyramid
Source : David A. Aaker (1991)
1. Unaware Of Brand
Unaware Of Brand It is the lowest level in the pyramid of brand awareness
where consumers are not aware of the existence of a brand.
2. Brand Recognition
Minimum level of brand awareness. This is important as a buyer to choose a
brand when making a purchase.
3. Brand Recall
Recall of a brand based on request for someone to mention a particular brand
in a product class. This termed the warning again without help. Because it is
different from recognition test, respondent do not need to be help to raise
26
brand.
4. Top Of Mind
Top Of Mind is if someone asked directly without any help of admonishment
and he can mention the brand name, the brand most mention first is top of
mind. In other word, the brand is the brand that exist in the mind of customers.
Keller (2003), Brand Awareness is consist of brand recognition, reflecting the
ability of consumer to confirm prior exposure to the brand. And brand recall,
reflecting the ability of consumer to retrieve the brand when given the product
category, the needs of fulfilled by the category, or some other of probe as a cue.
According to Kapferer (2008), when a brand is known, each individual known it
is know. Astuti and Cahyani (2007) found that brand awareness can help
associating the brand to what the company expected. Creating Familiarity, and
showing customers the commitments to its brand. Customers tends a product
when that they aware to it brand because they feel save with something that is
familiar for them and they assume that the brand that they know is reliable and
has quality.
2.2.2. Brand Association
According to Aaker (1997) brand association is everything related to the memory
about the brand. Or in other words, all the impression that comes to mind
someone that related with their memory about a brand. The underlying value of
the brand is often based on specific associations related to it. Brand association is
a collection which related to the brand that consumers remember about. The
relations are sort of association from a few things because the information that
delivered to consumers through product attributes, organization, personality,
symbol, or communication. Keller (2003), brand association in the other
informational nodes linked to the brand in memory and contain the meaning of the
brand for costumers.
Based on Aaker (1991), as cited in Danang Adhi Putra (2011) the associations that
relate to the brand will generally be related with the following matters:
27
1. Product attributes, like the characteristics of the product.
2. Intangible attributes, such as perceived quality, value impressions, and
others.
3. Benefits for customers, which consists of the rational benefits and
psychological benefits.
4. Relative prices.
5. Brand association with the use of a particular.
6. Brand association with a particular type of customer.
7. Brand association with famous people
8. Lifestyle of the product user.
9. Product class.
10. Knowing the competitors.
11. Linkage to a country or a geographical region.
2.2.3. Perceived Quality
According to Aaker (1997), as cited in Danang Adhi Putra (2011) the perceived
quality is the consumer's perception of the overall quality or superiority of a
product or service with respect to its intended purpose. While Astuti and Cahyadi
(2007) states that the perceived quality is a customer's perception of the attributes
that are considered important for him/her.
There are five values that can describe the perceived quality (Durianto, et al,
2004), as follows :
1. Reasons to buy
A good perceived quality can help all the elements of the marketing
program to be more effective. If the perceived quality high it is likely that
advertising and promotion will be done effectively.
2. Differentiation or position
Perceived quality of a brand will affect to determine the position of the
brand in competition. Related to the perception of quality, if the brand is
the best or only competitive against other brands.
3. Optimum Price
The right decesion to determine the optimum price is right can help
28
company to improve the perceived quality of that brand.
4. Interests in the distribution channel
The reseller, distributors, and various other channels postal prefer to
market products favored by consumers, and customer preferred products
with good perceived quality.
5. Brand extension
Brand with a strong perception of quality will have a greater chance of
success to implement the brand extension policy.
According Durianto, et al (2004), there are dimensions affect the quality of
a product, such as:
1. Performance, is the main operational characteristics of the product.
2. Features, is a secondary element of the product or additional parts of the
product.
3. Conformance with specifications, there is no defective products.
4. Reliability, is the consistency of product performance.
5. Durability, is the durability of a product.
6. Service ability, is the ability to provide services in connection with the
product.
7. Fit and finish, namely shows when the emergence or felt the quality of the
product.
In this study, the variable of perceived quality is measured by three indicators,
namely: quality of product, level of comfort, and quality of products compared to
other product brands.
2.2.4. Brand Loyalty
Accroding to David A.Aaker (1991), Brand Loyalty is the measurement of a
customer relationship in a brand. Brand Loyalty is a situation where the consumer
are afraid to purchase or use the products or service from another brand that he
does trust. Brand Loyalty exist when the consumer feel that the brand can give the
right products or service characteristic and quality at right price, even if the other
29
brands are offering the cheaper price or better quality, the brand loyal consumer
will still using that brand.
The loyalty of the customer base reduces the vulnerability to competitive action.
Competitors may be discouraged from spending resources to attract satisfied
customers. Aaker (1991) state that there are five levels of brand loyalty that will
be described in a pyramid like the following below :
Figure 2.3 : Aaker’s Brand Loyalty pyramid
Source: David A. Aker (1991)
In his Brand Loyalty pyramid, Aaker identifies five levels of brand loyalty, rang-
ing from not loyal to very loyal (the lowest level is depicted at the bottom of the
pyramid). He describes the customer behavior for each level, and pinpoints
challenges faced by marketing professionals in their efforts to lift a customer/
consumer to a higher level. The greater the number of customers/ consumers in
the higher sections of the pyramid, the more effective the pursued branding policy.
Aaker’s Brand Loyalty pyramid describes five types of customer behaviour on the
brand loyalty scale: (1) switchers, (2) satisfied/ habitual buyers, (3) satisfied
buyers with switching costs, (4) brand likers and (5) committed buyers. We will
30
further go into these five types in the following:
1. Switchers
These are buyers that are not loyal to the brand in question. This kind of customer/
consumer does not look at the brand at all in his/her purchase behaviour. They
tend to buy a brand in the sale, or that they happen to stumble upon. This type of
customer/ consumer has no qualms about switching brands. Marketing will be
most effective in targeting these consumers by focusing on raising brand name
awareness, as that is a precondition for moving up on the pyramid (a brand will,
after all, have to be known to people first, before they can even start considering
to buy it).
2. Satisfied/ habitual buyer
These are customers/ consumers that buy a brand out of habit. These tend to be
reasonably satisfied customers, who basically don’t see any reason to change their
purchase behaviour (and are therefore not on the lookout for alternatives). When
such a customer has to go to some trouble to get his usual brand, he/she will
relatively easily buy another brand (instead of going to another shop to get the
brand he/she usually buys). Marketing efforts will here have to raise the
thresholds between the brand and other brands, which will create opportunities to
make a customer more loyal to the brand.
3. Satisfied buyer with switching costs
These are satisfied buyers that are reluctant to switch to a competing brand due to
existing thresholds (switching costs). Such thresholds can come in the form of:
expenses incurred in terms of time (the time it takes to go to another shop to find
the usual brand), financial expenses (when switching costs money), and the
feeling of making concessions to quality. If marketing efforts look to entice
satisfied buyers of another brand into switching to a brand, the brand will have to
offer major benefits compensating the switching costs (such as a free iPod when
signing up for a credit card). Retaining buyers or attracting new ones at this level
of brand loyalty requires a marketing strategy based on increasing perceived
31
quality.
4. Brand likers
These buyers can be typified as true brand enthusiasts. Their brand preference is
mostly engendered by an experience of emotional benefits alongside more rational
benefits, such as price, time and quality. Emotional benefits can be pursued by
linking certain associations (through TV ads) and/or experiences (such as the
shopping experience) to a brand. This highly positive attitude towards a brand can
be seen as a kind of friendship. This is further reflected by the fact that brand
likers are generally unable to state why exactly they have such a strong preference
for the brand in question (which is normal for people with an emotional bond with
a brand).
5. Committed buyer
These are the proud users of a brand, in whose (daily) lives the brand in question
actually plays an important role. Committed buyers buy this brand because it
closely ties in with their personal values. Examples of committed buyers can be
found in the customer bases of brands like Harley Davidson and Apple. Retention
of customers/ consumers at this level of brand loyalty can best be realized by
rewarding their loyalty. This can be done through loyalty cards, reward programs
enabling customers to earn points, preferential treatment when issuing limited
editions, etc.
2.3. Consumer Buying Decision
According to Peter and Olson (2005) that behavior refers to the physical actions
of consumers that can be directly observed and measured by others. Example,
shopping at the stores, buying products and using credit card. While Kotler,
Armstrong, Saunders and Wong (1999, cited in Bornmark, Goransson, Svensson,
2005) there are more than just cultural factors that influence consumer behavior.
Other factors are : social (groups of the consumers, the consumers, family and the
consumers, role and status), personal (age and lifecycle status of the consumers, in
32
the words, the occupation, economic circumstances, lifestyle, personality and self-
concepts that the consumers have), and psychological factors (motivation,
perception, learning, the beliefs and the attitudes of the consumers).
Consumer behaviour according to The American Marketing Association (2010)
the dynamic interaction of affect and cognition, behaviour, and the environment
by which human beings conduct the exchange aspects of their lives. In other
words, consumer behaviour involves the thought and feelings people experience
and the actions they perform in consumption processes.
Kotler (2008) defines that a person might have a different role in any purchasing
decision. Various role that may occur are as follows :
1. User is the one who use the product of service. In many cases, users
initiate the buying proposal and help define the product specifications.
2. Influencers are the one who help to define specifications and also
provide information for evaluating alternatives.
3. Buyer is the one who have a formal authority to select the supplier and
arrange terms of purchase.
4. Deciders are the one who have formal or informal power to select or
approve.
In routine buying, the buyers are often deciders.
And Kotler also defines that there are 4 types of buying decision behavior. There
are :
1. Complex buying behavior
In complex buying behavior consumer shows high level of involvement while
prchase and observe considerable difference among brands. Consumer may be
highly involved when the product to be purchased is expensive, risky, purchased
infrequntly, and highly self-expressive. Typically, a consumer has much to learn
about the product category. So in this case the consumer must collect proper
information about the product features and the marketer must provide detailed
information regarding the product attributes. For eg. Consumer while buying a
33
motor cycle is highly involved in the purchase and has the knowledge about
significant differences between brands.
2. Dissonance buying behavior
In dissonance buying behavior consumer involvement is very high due to high
price and infrequent purchase with less significance difference among brands.
Meaning that consumers will make the process of buying faster because they
aren't considered with the differences in term of the brand. When they do that,
they might experience post-purchase dissonance, where they will notice a certain
disadvantage of the purchase brand. To counter this, the marketer's after-sale
communication should provide evidence and support to help consumers feels
good about their brand choices.
3. Habitual buying behavior
In habitual buying behavior consumers involvement is low as well as low is no
significance among brands name. Consumers do not search extensively for
information about the brands, evaluate the brand characteristics, and make
weighty decisions about which brand to buy. Consumers appears to have low
involvment with most low-cost products, frequently purchased product. Marketers
of low-involvement products with few brand differences often use price and sales
promotion to stimulate the product.
4. Variety seeking behavior
In variety seeking behavior situation consumers involvement is very low but there
are significance differences among brand. In this situation significant perceived
brand differences means that they likely switching brands because consumers
want to seek variety, nt because consumers are not satisfied with the product. The
marketers of variety seeking products will encourage it by offering lower prices,
special deals, coupons, free sample, and advertising that present the reason for
trying something new.
Based on Kotler (2008) Purchase decision process will be conducted by costumers
34
will go through several stage, as follow :
Figure 2.4. Purchase Decision process
Source : Kotler (2008)
1. Need Recognition
This is often identified as the first and most important step in the Customer’s
Decision Process. A purchase cannot take place without the recognition of the
need. The need may have been triggered by internal stimuli (such as hunger or
thirst) or external stimuli (such as advertising or word of mouth). At this stage,
marketers should research consumer to find out what kinds of needs or problem
arise, what brought them about, and how they led the customer to this particular
product.
2. Information Search
Having recognised a problem or need, the next step a customer may take is the
Information Search stage. Interested consumers may or may not search for more
information. If the costumers drive is strong and satisfying product is near at
hand, the consumers is likely to buy it then. But if it is not, the consumers may
store the need in memory or undertake an information search related to the need.
Consumer can obtain information from any several sources (family, friends,
advertisement, wensite, evamining and using the product). As the information that
obtained, the consumers awareness and knowledge of the available brands and
features increase.
35
3. Evaluation of Alternatives
As you might expect, consumers will evaluate different products or brands at this
stage on the basis of alternative product attributes – those which have the ability
to deliver the benefits the customer is seeking. A factor that heavily influences this
stage is the customer’s attitude. Involvement is another factor that influences the
evaluation process. Alternative evaluation is a where the consumers processes
information and arrives at choosing the brand.
4. Purchase Decision
In this stage the consumer chooses the product or brand to be bought. This is the
point where an offer is extended to one or more candidates. Two factors can come
between the purchase intention and the purchase decision. (Kotler and
Armstrong). First is the attitudes of others. The second factor is unexpected
situational factors. A consumer may form a purchase intention based on the
factors such ad expected income, expected price, expected products benefits.
However, the unexpected events may change the purchase intention as well.
Marketers can alson influence the purchase decision.
5. Post-Purchase Behaviour
In brief, customers will compare products with their previous expectations and
will be either satisfied or dissatisfied. Therefore, these stages are critical in
retaining customers. If the consumers feel that the product not far from the
expectations, the consumer will be feel disappointed. But if the consumers feel
that product meet the expectations, the consumers will be feel satisfied, and it will
be result in brand loyalty. On the basis of being either satisfied or dissatisfied, it is
common for customers to distribute their positive or negative feedback about the
product. Companies should be very careful to create positive post-purchase
communication, in order to engage customers and make the process as efficient as
possible.
36
2.4. Theoretical Framework
Based on the problem and the use of alternative solution that researcher will use to
conduct this research, it can be arranged the theoretical framework to analyze the
effect of brand equity in the customers buying decision to choose cosmetic
product. In analyzing the brand equity, researcher will use brand awareness (X1),
brand association (X2), perceived quality (X3) and brand loyalty (X4) as the
elements of brand equity. These elements will be assessed to the customers
decision in choosing cosmetic product.
Brand Equity and Customer Purchasing Decision
Brand Equity Variables
Partially
Simultaneously
Independent Variables
Dependent Variable
Figure 2.5. Theoretical Framework
Source : Self construct
Brand Awareness (X1)
Customers
Buying
Decision (Y)
Brand Association
(X2)
Perceived Quality (X3)
Brand Loyalty (X4)
37
2.5. Hypothesis
1. Ho : There is no significant partially between brand awareness into the
customer buying decision in choosing cosmetic product.
H1 : There is an significant partially between brand awareness into the
customer buying decision in choosing cosmetic product.
2. Ho :There is no significant partially between brand association into the
customer buying decision in choosing cosmetic product.
H2 : There is an significant partially between brand association into the
customer buying decision in choosing cosmetic product.
3. Ho : There is no significant partially between perceived quality into the
customer buying decision in choosing cosmetic product.
H3 : There is an significant partially between perceived quality into the
customer buying decision in choosing cosmetic product.
4. Ho : There is no significant partially between brand loyalty into the
customer buying decision in choosing cosmetic product.
H4 : There is an significant partially between brand loyalty into the
customer buying decision in choosing cosmetic product.
5. Ho : There is no significant simultaneously between brand equity into the
customer buying decision in choosing cosmetic product.
H5 : There is an significant simultaneously between brand equity into the
customer buying decision in choosing cosmetic product.
2.6. Previous Research
Research Title Result
Rina Meidianingsih (2008)
THE ANALYSIS OF
BRAND EQUITY TOWARD
CUSTOMER BUYING
DECISION (Case Study on
Using multiple linear regression. Based on
multiple linear regression analysis is known that
variable dominant influence to purchasing
decision is brand awareness variable with value of
coefficient regression is 0.310 or higher than any
38
Frestea) other independent variables. Reject Ho (F count >
F table) it’s means that there is a relation in brand
equity with purchasing decision. The result of
simultant test (F test) has a decided that all the
independent variables together influence to
purchasing decision. Adjusted R Square value is
0.278, the meaning is 27,8% implies brand equity
(brand awareness, brand association, perceived
quality, brand loyalty and advertising) extrinsic
can influence purchasing decision, where as the
rest as large as 72,2% is determinate by other
variables that aren’t know and excluding those in
this regression analysis.
Wahyu Arti Wirastomo
(2012)
ANALYSIS THE
INFLUENCE OF BRAND
EQUITY TOWARD
PURCHASE DECISION ON
MOTORCYCLE (Study on
the customer PT Yamaha
General Motors Semarang)
Using multiple regression. These results indicate
that all the independent variables tested are
positive and significant impact on consumer’s
buying decision through the F test and t test,
whereas the number Adjusted R Square of 0.436
indicates 43,6% of the variation in consumer’s
buying decision PT Yamaha Agung Motor
Semarang which can be explained by the fourth
independent variable (Brand Equity), where the
remaining 56,4% is explained by other factors
outside of the study.
Darma Kusuma Moh.Zen
(2012)
ANALYSIS THE EFFECT
OF BRAND EQUITY
TOWARD CONSUMER
PURCHASE DECISION ON
Using multiple regression. Where the buying
decision variable (Y), Brand Awareness (X1),
Brand Association (X2) and Perceived Quality
(X3). Testing the hypothesis using the F test
showed that the four independent variables
studied together proved a significant effect on the
39
POCARI SWEAT
ISOTONIC (Case Study in
the Faculty of Economics and
Business Universitas
Diponegoro)
dependent variable. Then through the t-test can be
seen that brand awareness, brand associations and
perceived quality. shown to
significantly influence the purchasing decisions
partially. Figures Adjusted R Square of 0.512
indicates that 51,2 percent of purchase decisions
variation can be explained by the four
independent variables in the regression equation.
The remaining 48,8 percent described other
variables outside the four variables used in this
study.
40
CHAPTER III
METHODOLOGY
3.1. Research Method
There are two types of research method, quantitative and qualitative. In this
study, the writer would like to use quantitative method rather than qualitative
method. The writer use quantitative method in order to make people easily to
absorb what the writer has studied. Quantitative method is research based on the
numbers and the analysis based on statistic. Quantitative method also can be
defined as research method that used to research on specific population or specific
sample, data analysis based on statistic, where the objective to test the hypothesis
that has been set. (Sugiyono, 2011).
3.1.1. Qualitative research
Qualitative research is a naturalistic, interpretative approach concerned with
understanding the meanings of certain observed phenomena or actions (Richie and
Luwis, 2003). It exemanis, analyzes and interorets observations for the purpose of
discovering underlying manings and patterns of relationship in a manner that does
not involve mathematical models. The qualitative approach to gathering
information focuses on describing a phenomenon in a deep comprehensive
manner. This is generally done in interviews, open-ended questions, or focus
groups. In most cases, a small number of participants participate in this type of
research, because to carry out such a research endeav or requires many resources
and much time. Interviews can vary from being highly structured and guided by
open-ended questions, or be less structured and take the form of a conversational
interview. Because of the investment in this type of research and the relatively few
number of participants, findings from qualitative research cannot be generalized to
the whole population. However, such research serves as a spring board for larger
studies and deeper understanding that can inform theory, practice, and specific
situations.
41
3.1.2.Quantitative analysis
Based on Michael Hanna (2009, Quantitative analysis for management) that
quantitative analysis is the scientific approach of managerial decision making. The
quantitative analysis approach consist of defining a problem, developing a model,
acquiring input data, developing solution, testing the solution, analyzing the result
and implementing the result. The quantitative approach to gathering information
focuses on describing a phenomenon across a larger number of participants
thereby providing the possibility of summarizing characteristics across groups or
relationships. This approach surveys a large number of individuals and applies
statistical techniques to recognize overall patterns in the relations of processes.
Importantly, the use of surveys can be done across groups. For example, the same
survey can be used with a group of mentors that is receiving training (often called
the intervention or experimental groups) and a group of mentors who does not
receive such a training (a control group). It is then possible to compare these two
groups on outcomes of interest, and determine what influence the training had. It
is also relatively easy to survey people a number of times, thereby allowing the
conclusion that a certain features (like matching) influence specific outcomes
(well-being or achievement later in life).
This research is conducted by using quantitative method, since according to
Sugiyono (2007) quantitative method is used to conduct the research on current
population or representative sample. The process of the research is deductive,
where in order to answer the problem identified, theories is used to get the
hypothesis, later on the hypothesis is tasted by collecting data on the field.
Quantitative research commonly done to the random sample, so the result of the
research can be generalized into the population where the sample was taken. This
research is causal, means research that are trying to find out is there any effect
between two or more variable, and how much is the effect, after that results of this
research can give some suggestion that can help the organizations decision
making process.
42
3.2. Operational Definition
Table 3.1. Operational Definition
NO Variable Indicator Code
1 Brand
Awareness
(X1)
1. The cosmetic products from that brand I
like the most were very familiar for me.
(X1)1
2. In the purchasing cosmetic products, the
first brand in my mind is that brand.
(X1)2
3. The shape of the product packaging and
slogan on the cosmetic product from that
brand is easily recognized and memorized
(X1)3
4. The cosmetic that I wear from that brand
is a brand that is well known in society.
(X1)4
5. Cosmetic products from the brand has a
specific characteristic that make me able to
remember
(X1)5
2 Brand
Association
(X2)
1. Cosmetic products from that brand we
can easily find in the mall in Jakarta
(X2)1
2. I can easily remember the advantage of
cosmetic products from that brand
(X2)2
3. The variation cosmetic product from that
brand are very various.
(X2)3
4. The price of cosmetic product from that
brand can be affordable with my income
(X2)4
3 Perceived 1. The quality of cosmetic products from
that brand meet my expectation
(X3)1
43
Quality (X3) 2. The price for cosmetic product from that
brand is worth with the quality
(X3)2
3. The cosmetic product from that brand has
advantage among the others
(X3)3
4. No problems in my face when using
cosmetic products from that brand
(X3)4
4 Brand Loyalty
(X4)
1. When I want to buy cosmetic products,
that brand is my first choice for cosmetic
product.
(X4)1
2. If there any friends or relatives confused
to determine the brand for cosmetic
products that match with them, I would
recommend that brand
(X4)2
3. I gave reviews about my cosmetic
products from the brand that I have used
frequently, to my friends or relatives
(X4)3
4. I don't want to buy cosmetic products
from other brands, because I already feel
comfortable with cosmetic products from
that brand
(X4)4
Customer
Buying
Decision (Y)
1. After I bought the product from that
brand and I felt the advantage from
cosmetic product from that brand, I would
recommend people who ask me about the
cosmetic products, and I suggested them to
buy the products from the same brand that I
use
(Y)1
44
2. I often looking for information about that
brand before I buy cosmetic products.
(Y)2
3. That brand has more advantages over
cosmetic products from the other brand
(Y)3
4. I interest to buy the cosmetic product
from that brand because that brand already
proven have a good quality.
(Y)4
Source : David A.Aker Theory
3.3. Research Instrument
Research Instrument is the tool that used to answer the research questions that
stated in the previous chapter. The Researcher intention is to gather the
information from as much various sources. Data can be obtained from primary or
secondary data, Primary data refers to information obtained first-hand by the
researcher on the variables of interest for specific purpose of the study and
secondary data refer to information gathered from sources that already exist
(Sekaran, Bougie, 2010).
3.3.1. Questionnaire
Questionnaire is an efficient data collecting technique if the researcher knows
exactly what is required and how to measure the variable of interest (Sakaran and
bougie, 2009). Questionnaire can be in form of question whether close or open
ended questions, that can be delivered directly to the responents or by using mail.
Questionnaire is used for a bias number of population (Sugiyono, 2007).
The questionnaire that made by the researcher consists of three parts. The first
part consists of four questions related to the general information of the
respondents, which are:
1. Gender
2. Age
3. Marital status
4. Income
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The second part, consist of 17 questions which are related to brand equity is
constructed based on four variables of brand equity (brand awareness, brand
association, perceived quality, brand loyalty). The last part is the questions that are
related to customer buying decision in terms of whether they will buy cosmetic
product because of brand equity’s variables, consist of four questions.
3.3.2. Literature Study
Literature study is the method of data collection obtained from books and other
literature that related with the research materials. Literature study that is used in
this study is the use of data as the basic theory obtained and studies in the
literature on the subject costumer buying decision, brand awareness, perceived
quality, brand association, and brand loyalty.
3.3.3. Scalling
In quantitative research, the researcher will use instrument in order to collect the
data. Instrument of the research will be used to measure the researched variable.
The researcher used Likert Scale on this research, Likert Scale its tools to measure
the degree of agreement from the respondents. Likert scale is used to measure the
variable value to be shown in form of number, so it can be analyzed accurately,
efficiently, and more communicative (Sugiyono, 2007). Likert scale is designed
to examine how strongly subjects agree or disagree with the statements on a five-
point scale (Sekaran and Bougie, 2009). Like we can see in the table 3.1.
Table 3.2 Likert Scale
Scale Rating
1 Strongly Disagree
2 Disagree
3 Neutral
4 Agree
5 Strongly Agree
Source : Sugiyono, 2007
46
In this scale, the distance between different categories cannot be quantified. The
only possible operation is to determine whether a certain state is greater or smaller
than another: the variables produced are, then, ordered categories. Likert scale
techniques used because it easy for researcher to analyze the dat and also easy for
respondents to understand.
3.4. Research Framework
In doing this research, there are some steps which have to be done by the
researcher before get the result from the analysis in this study. The figure below
show the step for formulating the background of the study, study the literature
review to find the solution to solve the problem that stated in the background,
collecting data through the questionnaire, transforming and analyzing it using
SPSS v16, interpretation of the result, and lastly is conducting the conclusion and
recommendation.
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NO
YES
Figure 3.1. : Research Framework
Source : Self constructed
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3.5. Validity and Reliability
3.5.1. Validity Test
The validity test show how far questionnaire is able to measure what the
researcher want measure in this study. Validity test is used to determine whether
the questionnaire is valid or not. The measure that is valid measure is what it
claims to measure. Validity is measured by the use of correlation coefficient. To
measure the validity of the questionnaire, each questionnaire is calculated by
using the coefficient of correlation of Pearson Product Moments, the formula is :
𝑟 =𝑁∑𝑋𝑌 − (∑𝑋)(∑𝑌)
√𝑁∑𝑥2 − (∑𝑋)2√𝑁∑𝑌2 − (∑𝑌)
2
Source: Berenson, Levine & Timothy C. Krehbiel (2011)
Where:
n = the number of paired observations
Σ X = the X variable summed
Σ Y = the Y variable summed
Σ X2 = the X variable squared and the squares summed
(Σ X)2 = the X variable summed and the sum squared
Σ Y2 = the Y variable squared and the squared summed
(Σ Y)2 = the Y variable summed and the sum squared
Σ XY = the sum of the product of X and Y
The basic of decision making:
6. If Positive, and ≥ the item of the question is valid
7. If Negative, and < the item of the question is invalid
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3.5.2. Reliability Test
Reliability of measure indicates the extent to which it is without bias and hence
ensures consistent measurement across time and across the various item in the
instruments. According to Cooper & Schindler (2006) reliability is a characteristic
of measurement concerned with accuracy, precision and consistency. According to
Ghozali (2005, cited in Hardian 2010) Reliability test is a measure of data from
questionnaire, which indicates the variable or construct.
A questionnaire can be reliable, if someone answers the statements are consistent
or stable over time. Reliability concern consistency reply if tested repeatedly on
different sample. SPSS provides the facility to measure reliability with Cronbach
Alpha Statistical test (ơα) . A construct or variable said to be reliable if it delivers
value Cronbach Alpha > 0.60.
The formula is as follow:
Where:
α : instrument reliability’s coefficient
n : number of questions
Vi : variance of scores on each question
Vtest : total variance of overall scores (not %’s) on the entire test
3.6. Data Collection Method
In this study the researcher use two sources to collect data and information. Those
are primary data and secondary data. Primary data is data which consists all the
information that the researcher needs for conduct the study, its collected and
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gathered through questionnaire that given to the respondents. And for secondary
data, it is information that collected and gathered by the researcher for conduct the
study, the process of gathering secondary data is could from internet, books, or
any other resources that can be used for this study purpose. In order to produce
accurate, valid and reliable data, the researcher needs to do an appropriate data
collection process.
3.6.1. Primary Data
Primary data is the which is obtained directly from the source of the data,
observed, and noted for the first time by the researcher. According to Donald
Currie (2005) primary data definition is "data that were previously unknown and
which have obtained directly by the researcher for a particular research object"
and the other side Malhotra (2010) define primary data as data originated by the
researcher for the specific purpose of addressing the research problem. Primary
data in this research was obtained by distributing the list of question in form of
questionnaire to the customer cosmetic product in Jakarta
3.6.2 Secondary data
According to Malhotra (2002) secondary data is “data collected for some purpose
other than the problem at had”. In this research the researcher collect and get the
secondary data from internet, journals, articles, and previous studies.
3.7. Sampling Design
Sample is a subgroup or subset of the population by studying the sample,
researcher should be able to make conclusions that can be generalized to the
population (Sakaran and Roger Bougie, 2009). In this research, the questionnaire
was distributed to the all of the customer cosmetic product.
3.7.1. Sampling Method
Since the number of population is unknown, this number is attained from
Malhotra (2004, p. 103) theory whom stated that the number of samples taken can
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be determined by multiplying the number of items of variables being observed by
4 or 5. In this research, the researcher will take 140 samples because the minimum
of the respondent that match with the statement of Malhotra the minimum
respondent are 105 sample.
Sample will be chosen by using non-probability sampling. Non-probability is a
technique which the probability of any particular member of the population being
chosen is unknown . Units of the sample are selected on the basis of personal
judgment of convenience.
3.7.2. Population
Uma Sekaran and Roger Bougie (2009) define population as the entire group of
people, events, or things of interest that the researcher wishes to investigate.
Population is the set of elements that the research focuses upon and to which the
results obtained by testing the sample should be generalized. It is absolutely
essential to describe accurately the target population . This research, aimed to
observes about brand equity and customer buying decision on cosmetic product,
so the population is the consumers cosmetic product on Jakarta
3.8. Classic Assumption
3.8.1. Normality Test
Normality test aims to test whether the regression model, the variable residual
confounding or have a normal distribution or not. According to Ghozali (2005,
cited in Hardian, 2010) there are 2 ways to detect whether or not the residuals are
normally distributed with graph analysis and statistical analysis. A regression
model is good if the distribution is normal or approaching normal (Santoso, 2000,
p. 212-213). The normality assumption could be analyze by using the Normal P-P
Plot of Regression Standardized Residual graphic and Kolomogorov-Smirnov
method. In this research, the researcher used the Normal P-Plot of Regression
Standardized Residual graphic. The indicators of normality assumption could be
based on:
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1. If the spread of the data is around the diagonal line, and keeping up with
the diagonal line, then the regression is meet the normality assumption.
2. If the spread of the data is far from the diagonal line and/or not keeping up
with the diagonal line, then the regression is not meeting the normality
assumption.
3.8.2. Multicollinearity Test
Multicollinearity test is one of the key assumption test of multiple regression that
wanted to know whether the independent variable are independent one another.
Multicollinearity means a statistical problem in which two or more independent
variable in multiple regression model are highly correlated. The higher level of
intercorrelation among the independent variables the worse the problem becomes
(Sakaran and Bougie, 2009; Churchill, Brown, Suter, 2010)
According to Santoso (2000), the indicators of multicollinearity assumption could
be based on:
1. The value of VIF is around 1 which means the regression does not have a
multicollinearity problem.
2. The value of Tolerance is close to 1 which means the regression does not
have a multicollinearity problem.
3.8.3. Heterocedasticity Test
According to Ghozali (2005, cited in Hardian, 2010) the Basic analysis for
Heterocedasticity analysis. If there is a specific pattern, such as the existing dots
form a pattern Regular (corrugated, wide then narrows), it indicates has occurred
heterocedasticity and if there is no clear pattern, and the points are spread above
and below 0 on the Y-axis, heterocedasticity does not occur.
Heterocedasticity test is used for knowing whether the data is not normally
distributed and it also use to know if the variance terms of errors are difference
across observations. Whether there is inequality of variance of the residual from
one observation to other observation. It can be seen from scatter plot by looking at
distribution of residual value toward the predicted value. If the distribution is
53
spread randomly without any systematic pattern, then the data is passed the
heterocedasticity.
3.9.Testing the Hypothesis
3.9.1 Multiple Regression
In this research, the researcher used multiple regressions method to find out brand
awareness, brand association and brand that can affect the consumer buying
decision. According to Stair, JR and Hanna, (2009), “multiple regression models
is a practical extension of simple regression in which it allow user to build a
model with several independent variables”. Multiple regressions is used as a
quantitative method and computed by SPSS. The general purpose of multiple
regressions is to learn more about the relationship between several independent or
predictor variable and a dependent or criterion variable.
Figure 3.2. Multiple Regression
Y : Value of the Dependent variable
a : Constant or intercept
b1….b4 : Regression Coefficient
x1 : Dimension score of brand awareness
x2 : Dimension score of brand association
x3 : Dimension score of perceived quality
x4 : Dimension score of brand loyalty
ε : Sampling error
Y=a + b1X1+ b2X2+ b3X3+ε
Source : http://www.csulb.edu/~msaintg/ppa696/696regmx.htm
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3.9.2. Coefficient of Determination Analysis (R2)
This analysis is used to find out the percentage how much the influence of
independent variables to the dependent variable in this multiple regression model.
This analysis is used to find out the percentage how much the influence of
independent variables to the dependent variable in this multiple regression model.
The value R Square is range from 0 till 1. If the value R square is close to 0,
means that the capability of independent variable to explain the dependent
variable is week. In other side if the value of R square is close to 1, means that the
capability of independent variable to explain the dependent variable in this
research is strong.
3.9.3. T-Test (Partial)
Based on Ghozali (2005, cited in Hardian 2010) T statistic test shows how much
influence the individual independent variable (partial) in explaining the variation
in the dependent variable.
1. Ho : 1 = 0 or if significant > a rejected Ho
(Brand Awareness has no influence toward customer buying decision)
Ho : 1 ≠ 0 or significant < a, accepted Ho
(Brand Awareness has influence toward customer buying decision)
2. Ho : 2 = 0 or if significant > a rejected Ho
(Brand Association has no influence toward customer buying decision)
Ho : 2≠ 0 or significant < a, accepted Ho
(Brand Association has influence toward customer buying decision)
3. Ho : 3 = 0 or if significant > a rejected Ho
(Perceived quality has no influence toward customer buying decision)
Ho : 3 ≠ 0 or significant < a, accepted Ho
(Perceived quality has influence toward customer buying decision)
4. Ho : 4 = 0 or if significant > a rejected Ho
(Brand Loyalty has no influence toward customer buying decision)
Ho : 4 ≠ 0 or significant < a, accepted Ho
(Brand Loyalty has influence toward customer buying decision)
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T statistical test is conducted by comparing the t value with the value of t table
using a significance level of 5%. If the t value is grater than t table then
individually independent variables would affect the dependent variable. The test
can also be done by reviewing the value of probability. If the probability value is
less than 0.05 ( for a significance level = 5% ), then the individual independent
variables affect the dependent variable. Meanwhile, if the probability is grater
than 0.05, meaning the independent variable as individually had no effect on the
dependent variable.
3.9.4. F – Test
F test is used to determine whether there is a significant relationship between
independent variables and dependent variable. According to Ghozali (2005, cited
in Hardian, 2010), F statistic test shows whether all the independent variables that
include in the model have an influence on the dependent variable. This test is done
by comparing the value of F calculated by the value of F table using significant
level of 5%. If the count value of F is > F table then the independent variables is
affecting the dependent variable. The hypothesis :
a) If the table > F count, then Ho is accepted and H1 rejected
If the F table < F count, then Ho is rejected and H1 accepted
b) If the probability of significance > 0.05, Ho is accepted and H1 rejected
If the probability of significance < 0.005, Ho is rejected and H1 accepted.
Formally we can say that if the significance value is greater than 0.05 we have to
reject the null hypothesis. The general ways to evaluate influence of independent
variables towards dependent variable simultaneously is by analyzing the F column
in ANOVA table
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CHAPTER IV
ANALYSIS OF DATA AND INTERPRETATION OF
RESULT
4.1. Company Profile
4.1.1. Bobbi Brown
Bobbi's Story
Bobbi's Beginnings
Even as a young girl, Bobbi was enthralled by makeup. "I remember watching my
mother apply her white eye shadow and black liner in her blue gilded bathroom
she was glamorous, but fresh-looking." And as soon as she was able to work,
Bobbi raced to the small cosmetics store in town, where she got her first taste of
formal training. Bobbi's education continued at Boston's Emerson College, where
she earned a B.F.A. in theatrical makeup. Upon graduation, she moved to New
York City to make it as a professional makeup artist. She showed her ever-
growing portfolio to anyone who would look at it, slowly built up contacts, and
experienced the challenges typical of most freelance makeup artists trying to make
it in Manhattan.
But despite the ups and downs, her talent and drive earned her coveted gigs with
top magazines, photographers, and models. Bobbi began her collaboration with
photographers Bruce Weber, and Arthur Elgort for American Vogue, as well as
with the late Francesco Scavullo for Cosmopolitan and Self. A seven-page spread
of full-face beauty shots of supermodel Tatiana Patitz shot by Wayne Maser also
57
put Bobbi's work front and center.
Bobbi's big breakthrough was her first American
Vogue cover. The image was shot by famed
photographer Patrick Demarchelier and featured the
soon to be supermodel Naomi Campbell, made up by
Bobbi Brown. Seven years after arriving to New York
City knowing no one, Bobbi was part of the club. The
industry took notice.
Bobbi's Big Idea
As a successful makeup artist with access to
everything in the market, Bobbi found nearly all
products looked too
artificial, making it
impossible to create a
gorgeous, no-makeup
look. Ten years into her freelance career, a chance
meeting with a chemist at a magazine photo shoot
changed everything. "I had the idea to create a lipstick
that didn't smell, wasn't dry or greasy, and looked like
lips, only better and I told the chemist about it," she
says.
The chemist made the lipstick following Bobbi's
unprecedented specifications and the result was
Brown Lip Color, a pinky-brown shade. Nine other
brown-based lipstick shades followed soon after, and
Bobbi’s set of lipsticks was complete. In 1991, her 10 lipsticks debuted at the
Bergdorf Goodman under the name of Bobbi Brown essentials. Bobbi was
expecting to sell 100 in a month. She sold 100 within the first day. The message
was clear: Women wanted makeup that was simple, flattering, and wearable.
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The Birth of Bobbi Brown Cosmetics
Word spread quickly. Bobbi's unique approach to cosmetics was a long-awaited
gift for women who wanted a more natural look. The magazine industry’s most
prominent beauty editors got behind Bobbi, and her small, insider brand garnered
big time buzz. The range expanded beyond lipstick. Bobbi's foundations were
yellow-based, not pink, revolutionizing face makeup as it’s known today. And,
before long, she showed that she was as adept at neutrals as she was at bright and
bold colors. This sea change in the beauty market caught the attention of
cosmetics empire Estée Lauder, who bought Bobbi Brown Cosmetics in 1995, just
four years after the company’s inception. Today, Bobbi Brown retains creative
control of the brand.
Bobbi Brown Today
In addition to running her company, Bobbi continues to pursue her craft by
creating the runway looks for New York Fashion Week. A permanent fixture
backstage, she works with the industry’s best designers including Rachel Roy, J.
Mendel, Erin Fetherston, Tory Burch and Cynthia Rowley. Bobbi often does how-
to segments on The Today Show and The Oprah Winfrey Show, and her advice
can be found in syndicated columns and advice features for magazines and
websites around the globe. Of course, you can always find Bobbi where she began
on the set. Bobbi is still the world's most celebrated makeup artists for
personalities and fashion magazines.
A New York Times bestselling author, Bobbi has written five instructional and
engaging beauty and lifestyle books: Bobbi Brown Beauty, Bobbi Brown Teenage
Beauty, Bobbi Brown Beauty Evolution, Bobbi Brown Living Beauty and Bobbi
Brown Makeup Manual. For Bobbi, making other people's lives better simply
makes sense. "I love helping others because it feels good," she says. On a year-
round basis, Bobbi Brown Cosmetics donates generous financial and in-kind
support to organizations including Dress for Success and the Jane Addams
Vocational High School.
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4.1.2. Etude House
Etude House is a South Korean cosmetics brand owned by Amore Pacific. Etude
House name was inspired Frederic Chopin, Polish Composer. Mission of company
To beautify young women through lovely product and friendly counseling.
Company History
The company was established in 1966, and the corporate name was changed to
Oscar Corporation in 1985. In 1990, it was incorporated by Amore Pacific Group.
The name was changed to Etude Corporation in 1997.
1985.12 Identity changed to Oscar Corp
1990.07 Incorporated by Amore Pacific Group
1994.01 Launched exports to Hong Kong
1996.05 R&D facility established for color cosmetics
1997.08 Name changed to Etude Corp.
1998.11 Awarded by Korea’s Ministry of Commerce, Industry for
surpassing 1 Million USD in exports annually.
2003.11 Awarded by Korea’s Ministry of Commerce, Industry for
surpassing 5 Million USD in exports annually
2005.08 Launch of Etude House Seoul
2006.04 Consolidation with eSpoir Corp. (Fragrance)
2007.04 Etude House opens its 100th brand shop
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2007.11 Awarded by Korea’s Ministry of Commerce, Industry for
surpassing 10 Million USD in exports annually
2009.04 Etude House opens its 200th brand shop
2009.05 Taiwan launch
2009.06 Singapore launch
2009.11 Home Shopping launch in Japan
2009.12 Philippines launch
2012.02 Awarded top honour by First Brand Korea
2012.09 Myanmar & Brunei launch
2010.12 Etude House opens its 100th overseas branch
2011.02 Awarded by IF International Design Award for Packaging
2011.11 Japan Branch Launch (Shinjuku, Tokyo)
2013.11 Awarded by Korea's Ministry of Commerce, Industry for
surpassing 5 million USD in exports annually.
Brand Identity
Etude's brand logo represents the Sweet Dreams of all young women.
'Sweet Star' symbolize the witty charm and bright shine of a beautiful heroine.
'Sweet Heart' symbolize a pure and beautiful heart the sincerely loves the world.
'Sweet Dream' symbolize a magical carriage ride to a majestic castle full of
power and imaginations.
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Etude House Indonesia
Etude House is a Korean cosmetic brand that is worldwide. Etude House mission
is to beautify women through cosmetic products are attractive and friendly
counseling. In addition, the product Etude House has 4 basic concepts are the best
quality, reasonable price, beautiful design and the interesting color variants. Etude
House realize the dream of every woman to look beautiful and alluring with the
makeup way that is easy and also fun. More than 270 retail stores spread all over
the world. Till today Etude House has been in 11 countries including: Indonesia,
Singapore, Japan, Thailand, Philippines, Taiwan, Myanmar, Vietnam, Malaysia,
Brunei and Hong Kong. Etude House in cooperation with PT Jaya Bhakti as a solo
intercostal distributor and opened the first store in 2008 in Jakarta, Indonesia.
Until now there are 32 stores Etude House in Indonesia (such as Jakarta, Bekasi,
Surabaya, Bandung, Medan, Palembang, Semarang, Manado, Bali, Borneo or
Kalimantan).
4.1.3. L'Oréal Paris
The history of the company
Eugène Schueller graduates from France’s national chemical engineering school
Ecole Nationale Supérieure de Chimie de Paris in 1904. In 1907, Eugéne
Schueller, a young French chemist, developed an innovative hair colour formula.
He called this new, perfectly safe, hair duy “Aurelióne” .With this, the history of
L‘Oréal began. Eugéne Scheller formulated and manufactured his own products,
which he then sold to Parisian hairdressers. The dyes are an outstanding
62
breakthrough at the time, providing a subtle range of colors in contrast to other
methods on the market, which use henna or mineral salts but produce a bright,
somewhat artificial look. Schueller files for a patent (n°383920) on 24th March
1908.
In 1909, Schueller registred his own company, the, Société Francaise de Teintures
Inoffensives pour Cheveux“, the future L‘Oréal. The two guiding principles of the
company were research and innovation in the interests of beauty, and these were
put into place from the start.
La Coiffure de Paris : already a partnership with the press
The first issue of La Coiffure de Paris is published in October 1909, featuring
contributions from doctors, writers and chemists. Eugène Schueller is part of the
Editorial Team and heads the science column, breaking new ground with an article
on hair coloring in which he is the first to recommend patch tests. Schueller buys
the magazine in 1912.
With the war finally over, a new age begins.
Around the world, women are working, earning
money, growing more concerned about their
appearance and seeking ways to prevent grey hairs
from revealing their age. Oréal hair dyes are a
great success, even beyond the borders of France,
breaking new ground in Italy in 1910, Austria in
1911 and the Netherlands in 1913, even reaching
as far afield as the United States, Canada, the UK
and Brazil. In 1920, the small company employed 3
In 1912, Eugéne Schueller started to export his hair colouring product to Holland,
Austria and Italy. A few years later, agents distributed these products to the USA,
South America, Russia and the Far East. Today, the L’Oréal Group is present
worldwide through its subsidiaries and agents. L’Oréal got its start in the hair
colour business, but the company soon branched out into other beauty products.
63
Currently, The Group markets has over 500 brands and more than 2,000 products
in all sectors of the beauty business: e.g. hair colour, permanents, styling aids,
cleaners and fragrances and body cosmetics. These products are found in all
distribution channels, from hair salons and perfumeries to hyper and
supermarkets, health and beauty outlets and direct mail.
Another key word in L’Oréal’s history is communication. Back when advertising
was still in its infancy, L’Oréal commissioned promotional posters (still famous
today) from graphic artists like Colin, Loupot, Savignec, to publicize the
company’s products. In 1933, Eugéne Schueller created and launched Votre
Beauté, a magazine devoted to women and their look. In 1935: Women are now
enjoying greater emancipation and are revealing more skin. Gone are the days of
sober dress and pale skin; the sun tan is now the hallmark of health and a modern
outlook. In line with this new trend, Schueller develops a skin-protection oil
called Ambre Solaire. The new solution reflects a complex blend of innovative
ideas including a warm, amber color, attractive scent, easy-to-hold wavy bottle
design, and a pin-up to die for... The product release date is also perfect, with the
French people preparing to take their first paid holidays in 1936. This was the start
of the “leisure” age, with Ambre Solaire as its first icon. The rose and jasmine
perfume of 1937 would soon become synonymous with holiday air.
Eugène Schueller always believed that insufficient purchasing power was the
source of economic imbalance between production and consumption. It was this
belief that gave rise to his original idea of “proportional salaries”, which made
wages proportional to changes in company sales. This meant the true start of an
employee profit-sharing scheme, which has since been extended to employees the
world over. Its success far exceeded forecasts, with 2,000 companies applying
“proportional salaries” in 1947.
On 4th April 1939, the Société des Teintures Inoffensives pour Cheveux officially
changes its name to L’Oréal, with premises at 14 Rue Royale in Paris, still the
company’s head office today.Four years later, he took part in a popular radio
64
broadcast and started a campaign. The 1950s saw the advent of a new and exciting
advertising medium: the movies. L’Oréal made its on screen debut with a
campaign for Ambre Solaire, which was making a comeback on the market.
In 1953, L’Oréal won an advertising Oscar, the first in a long series of awards. As
part of its bid to steadily gain a foothold in all distribution channels, L’Oréal, signs
technical agreements with the Société hygiene Dermatologique de Vichy in 1954.
In the wake of success with hair salons and perfume stores, L’Oréal thus cements
its position among pharmacies, with Vichy eventually joining the L’Oréal fold in
1980. As soon as he takes over the helm at L’Oréal on Eugène Schueller’s death,
François Dalle gives fresh impetus to the company. Creator of “Le Grand
L’Oréal”, always mindful of the social conscience of the day and initiator of in-
company training, François Dalle keeps one eye on the future which, for him, is
the only factor of progress. He is a visionary who is to run a policy of targeted
acquisitions in order to expand the Group’s positions in new market sectors and
new distribution channels; develop research, the driving force behind internal
growth; increase the Group’s international presence; and make beauty more
accessible to win new consumers.
In recognition of its spectacular yet sound
development, the L’Oréal Group is listed
on the Paris Stock Exchange which gives
it access to new financial resources. The
Group’s market capitalisation has
increased more than 750 times since 1967.
An intuitive man, a people person and a
great leader, François Dalle is an innovative manager. The initiatives he introduces
– sales force motivation seminars, highly original at the time; debate style
meetings (still held today) that give all participants the opportunity to express
their views and win people over; setting up, with other companies, the European
Centre for Executive Development CEDEP which offers excellence training
programmes for all its members; founding the “Entreprise & Progrès” association
in 1970 in conjunction with other company heads – all bear witness to his highly
65
humanistic approach to running a company, continued by his successors. Another
notable fact is that he has no hesitation in giving responsibility to very young men
and women: “We have 27-year-old managers”. Is it not he who spots a young
Welsh product manager by the name of Lindsay Owen-Jones?
Synthelabo is one of the leading lights
in the French pharmaceutical industry.
With L’Oréal’s research teams now
reaching beyond cosmetics and
getting closer to remedial
dermatology, this acquisition gives the
Group the means to develop its dermatological and dermopharmaceutical
activities.The agreement, which adds to the stability of the Group’s shareholders,
is also conducive to L’Oréal’s international development in certain markets,
particularly Japan, the future bridgehead of L’Oréal’s expansion in Asia.
From year to year, L' Oréal grow very fast, L' Oréal group was acquiring several
famous brands , such as Mininurse. This leading mass-market skincare product is
already very well known and has a strong local customer base. Garnier’s first
skincare products are launched under the name “Mininurse by Garnier”. L' Oréal
continues to expand their business , to Japan. The alliance with Mr. Shu Uemura,
66
a great make-up artist and beauty genius, enables L’Oréal’s Luxury Division to
enter the strategic Japanese market, traditionally served by only local brands. To
respond to Chinese aspirations for brands that respect the specific qualities of
Asian skins, L’Oréal acquires Yue Sai, an affordable luxury skincare and make-up
brand that epitomises the modern Chinese woman. L'Oréal also created some new
products from the brand Kiehl's. The first Kiehl’s skincare product to benefit from
L’Oréal Research, Abyssine Cream is an instant best-seller. And several famous
brands are also acquisition by L'Oréal, such as SkinCeuticals, SkinEthic, The
Body Shop, Sanoflore, Pureology, a high-end American professional haircare
brand, YSL Beauté and its crown jewel YSL L'Oreal's Luxury Products join,
Essie Cosmetics, an American brand known for its ultra-trendy nail varnishes,
Pacific Bioscience, creator of the Clarisonic ® brand, and Cadum company.
4.1.4. Mac Cosmetics
MAC cosmetics was founded with a creative vision to fill the gap between
makeup artistry and fashion photography. Make-up Art Cosmetics, or M.A.C as
it's more commonly known, was founded in 1984 by two Canadian chaps named
Frank - make-up artist and photographer Frank Toskan and beauty salon owner
Frank Angelo. Frustrated because of the lack of colours that would shoot well
with photography; their aim was to develop a
studio line makeup line that would fulfill their
professional needs. M·A·C was homegrown in
Canada – literally. The two entrepreneurs cooked
up the cosmetics in their kitchen and sold them
from the hair salon. Their first customers: fellow
makeup artists, models, photographers, then came stylists and editors. With every
colour, and every magazine credit, word-of-mouth popularity grew. In March
1984, the duo officially launched the line from a single counter in a department
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store in Toronto.
It was staffed with professional makeup artists, an industry innovation. Package-
wise, it stood out too: it was chic utility. Everything came in black pots rather than
compacts. One of the most popular new offerings was an intense matte red lipstick
that was used on a photo shoot with a New York cabaret star named Madonna,
later photographed wearing a M·A·C T-shirt, the revolution was on. While other
major makeup brands were predominantly skincare companies, M·A·C chose
instead to establish itself as the ultimate color authority.
The company took the industry by storm, offering a wide range of products that
managed to blend street savvy with glamorous style and panache. Behind the
counter, the M·A·C approach was notably different. It was the first brand in
cosmetic history to invest in the training and education of its staff as well as the
customer’s point-of-sale experience. Rather than driving sales through traditional
advertising, gifts-with-purchase promotions and heavy sampling, M·A·C relied on
the integrity of its carefully formulated product line. Adding to the image was a
touch of outrageousness. A company that honored individuality and self-
expression above all else, this leaning inevitably brought a brilliant sense of drag
and theatre into the sleek M·A·C stores and department store counters. In 1994, as
AIDS spread across the globe, M·A·C’s co-founders searched for a way to
respond to the epidemic. Encouraged by input from employees, they decided to
make HIV/AIDS organizations the beneficiaries of the company’s charitable
focus: the M·A·C AIDS Fund was born. To date, through various fundraising
initiatives such as Viva Glam, “Kids Helping Kids Greeting Cards” and with the
help of celebrity spokespeople from the entertainment and fashion industries.
The company’s strong bond with its customers,
intimate relationships with professional makeup
artists, hip and irreverent attitude and impressive
array of award-winning products did not go
unnoticed by the cosmetics industry. In 1995, The
Estée Lauder Companies purchased a percentage of M·A·C, effectively extending
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the brand’s distribution across the globe. Estée Lauder Companies purchased 51%
of the company. Freestanding stores and counters at the world’s leading retailers
opened at a record pace. With its enhanced profile, M·A·C teams began working
backstage at international fashion collections.
In 1998 Estée Lauder acquired the
remaining shares of the company, and
John Demsey was named president of
M·A·C. Under his leadership, the link
between fashion, beauty and culture has
been strengthened, allowing M·A·C to
stay on the edge. Mr. Demsey has also
spearheaded M·A·C’s participation at prestigious film festivals worldwide and in
support of the M·A·C AIDS Fund has also encouraged the sponsorship of pop
music concert tours for such Viva Glam spokespeople as Mary J. Blige and Missy
Elliott. In addition, he has been instrumental in collaborating with celebrities such
as Linda Evangelista, Liza Minnelli, Pamela Anderson, Catherine Deneuve and
more, to endorse the M·A·C Viva Glam and Beauty Icon programs.
Moving forward, M·A·C continues to satisfy the needs of its customers.
Constantly developing existing and new categories, each of which grows out of a
demand from professional makeup artists, M·A·C’s ultimate ambassadors.
Equally important as the growth of its worldwide business is the company’s
ongoing involvement in fundraising efforts and social awareness programs.
Besides its commitment to the M·A·C AIDS Fund, the “heart and soul” of
M·A·C, the company supports animal-free testing. M·A·C Cosmetics is owned by
The Estée Lauder Companies, one of the world’s leading manufacturers and
marketers of quality skincare, makeup, fragrance and hair care products.
Unlike most cosmetic brands on the market, MAC cosmetics employs some of the
world's best makeup artists for their platform and show work. Many of MAC
artists have backgrounds in entertainment makeup artistry. Women shopping the
MAC line at either their small boutiques or at high end department stores, can
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meet with industry professionals on a daily basis. With no sales obligation, you
can walk into a MAC store and ask for expert advice to create a natural, trendy, or
glamorous look. Trustworthy advice for your skin type, coloring, and application
techniques will help get you well on your way to creating the most beautiful you.
Makeup artists working for the MAC line are a highly trained team of
professionals who take great passion in foolproof trends and natural beauty. You
don't need to feel intimidated when walking into a MAC store. Expect that every
visit will be friendly, professional, and information packed. The MAC sales force
is strong with industry leaders and passionate artists. If you're in a makeup rut or
need help planning a MAC palette for your special day, it's worth every moment
of your time to meet with a free of charge MAC professional cosmetic artist.
Celebrity Faces
MAC has had top celebrity endorsement and
faces representing their line. Currently, Fergie is
the glamourous face for the cosmetic line, but
many remember that Boy George, Pamela
Anderson, Lisa Marie Presley, and Debbie Harry
have each been a celebrity spokesperson for the
cosmetic line. Every season MAC launches a
cosmetic palette that is current with trends and seasonal color. New trends bring
new faces, and MAC is constantly changing and rising up to meet the needs of
celebrities and their stylists.
Staying Power
Because the MAC line was geared for professionals in the fashion photography
and entertainment industry, MAC cosmetics have serious staying power. If you've
ever experienced the MAC line of cosmetics, you know firsthand that the velvet
textures found in the shadows, blushes, and MAC Lipstick moisturize while
maintaining a flawless and smudge proof application.MAC cosmetics is certainly
the line to seek out if you're looking for a fashion forward palette. MAC products
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are rich, true to tone and are composed of pure pigments for the gal who likes to
go bold or keep it natural.
4.1.5. Maybelline
T.L. Williams founded The MAYBELLINE Company in 1915
and introduced MAYBELLINE Cake Mascara in 1917 as the
first modern eye cosmetic to be produced for everyday use.
The firm and brand name MAYBELLINE was adopted in
honour of his oldest sister, Mabel, from whom he originally
received the idea of producing an easy-to-use product to
darken the eyelashes which could be sold commercially.
MAYBELLINE now operates as a separate division within L’Oréal USA, Inc.
Cake mascara was originally advertised and sold exclusively by mail. It was
received so well by the general public that women started asking for it in drug
stores. The MAYBELLINE success story didn’t really start until mascara first
appeared in the nation’s variety stores. In September 1932, a special 10-cent
package of MAYBELLINE mascara was designed for sale in these stores. The
subsequent success of this product has become legend.
MAYBELLINE eyebrow pencils came along a few years later. Eyebrow pencils
were the natural follow-up to the solid mascara as the company’s second eye
cosmetic. Eye shadows of various shades were added in the 1920′s and have
increased in popularity and general usage year after year.
MAYBELLINE introduced Ultra Lash Mascara, a waterproof product, in the early
1960′s. A true breakthrough, Ultra Lash was the first mass market automatic
mascara, which means the mascara is applied directly to the brush in the tube.
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Then in 1971, Great Lash, a water-based mascara, was introduced. With a truly
legendary history, it is still the number-one best selling mascara in the
marketplace. Today, a Great Lash mascara crosses a drugstore scanner every 1.5
seconds. Its winning formula is closely guarded and its hip appeal is undeniable. A
makeup artist’s staple, this mascara is always in plain sight backstage at fashion
shows. MAYBELLINE currently offers 13 mascara formulas ranging from high
tech to high fashion.
New entries to the MAYBELLINE line have consistently made headlines. In the
1970′s, MAYBELLINE successfully branched into other cosmetic categories –
face, lip and nail. In 1983, Shine Free, an oil-control makeup line featuring non-
comedogenic formulas, was introduced. Shine Free was one of the first lines
designed expressly for women with oily skin and is still an important category for
the company today. Skin looks fresh and natural all day while keeping oil under
control. In 1991, another MAYBELLINE milestone – the “Maybe she’s born with
it. Maybe it’s MAYBELLINE” advertising tagline was created. It continues to be
a great success for the brand today and is recognized
around the world.
In February, 1996, MAYBELLINE was purchased by
L’Oréal USA, Inc. and the company headquarters were
subsequently moved to New York City. In addition to
establishing MAYBELLINE as a colour authority,
creating technologically advanced products became a
company priority. Since then, the innovation has been
nonstop. One of MAYBELLINE’S biggest success
stories is the introduction of the Express Finish Fast-Dry
Nail Enamel in 1997. It’s every woman’s dream come
true – a nail enamel that goes from wet to set in one
minute! Express Finish Fast-Dry Nail Enamel is the
number-one best selling nail enamel on the market today. Additional Express
products soon followed including Express Lipstick ‘n Liner in One, Volum’
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Express Mascara and Eye Express Liquid Eyeliner. In 1998, technological
advances continued with new products such as HydraTime Extended-Wear
Moisturizing Lipcolor and True Illusion Makeup. In 1999, the company expanded
the Express product segment with the introduction of Express Makeup 3 in 1 and
debuted the new Cool Effect Cooling Cream Shadow and Shadow/Liner and Pure
Blush – two more cutting edge products. Today, MAYBELLINE products are
carried in more than 70 countries worldwide. The MAYBELLINE message is all
about colour, style and innovation. Now recognized as a colour authority,
MAYBELLINE creates seasonal colour stories with products in the season’s
hottest shades. The MAYBELLINE image is hip, intelligent, stylish and charming
– brought to life by MAYBELLINE’S spokespeople: Josie Maran, Tomiko Fraser
and Sarah Michelle Gellar. These women embody the MAYBELLINE image in a
modern, approachable way. Technology continues to be in the forefront. Through
their parent company, L’Oréal USA, Inc., MAYBELLINE has the top research and
development teams and resources needed to create the newest, most innovative
products available today. MAYBELLINE – a leading mass-market retailer with a
strong heritage and bright future – is clearly one to watch.
4.1.6. Revlon
Revlon is a household name all over the world as a result of
its successful lines of cosmetics and fragrances. The company
was founded in 1932, and within six years, it was a multi-
million dollar business conglomerate with brand recognition
and sales in about 175 countries and territories internationally.
"Revlon" is an amalgamation of letters in the last names of the
three principals, namely Charles Revson; his brother, Joseph
Revson and a chemist, Charles Lachman. In 1930 The company began its success
with opaque long-lasting nail enamel sold to beauty salons. Revlon sold its nail
enamel through department stores and selected drugstores. llicitudin. In 1940
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Revlon contributed directly to the war effort, by
manufacturing first aid kits and dye markers for the navy.
At war's end, Revlon began to produce manicure and
pedicure instruments. In 1950 Following the war, Revlon
launched twice-yearly nail enamel and lipstick promotions
tied to seasonal clothing fashions. Revlon also turned to
television sponsorship to boost sales. In December 1955,
Revlon first offered stock to the public. At the end of the following year, Revlon
was listed on the New York Stock Exchange. In 1960 Revlon laid the ground work
for its highly successful international presence in the 60's, bringing the "American
Look" to the rest of the world through advertising featuring U.S. models. 1973
saw the introduction of Charlie® fragrance, designed for a young, working
woman market and by the mid 70's, Charlie® was the #1 Fragrance in the world.
Revlon sales figures passed the $1 billion mark in 1977. In 1980 Growth and
innovation led the way for Revlon. In 1985, Revlon was sold to a subsidiary of
MacAndrews & Forbes Holdings. In 1987 Almay joined the Revlon lineup. In the
1990's, Revlon revitalized its cosmetics business and strengthened its industry
leadership role. Revlon introduced the first transfer resistant lipcolor which led to
a full ColorStayTM Collection of transfer-resistant products. The company closed
the gap on its closest competitors and reached a dramatic goal - the #1 brand in
mass color cosmetics. Revlon again became a public company in 1996, listed on
the New York Stock Exchange (NYSE: REV). In 2000, the company launched
"Rouge De Revlon," a floral green fragrance. In 2002, Revlon took the unusual
step of participating in the storyline of the soap opera, "All My Children." Revlon
was the competition to the fictitious "Enchantment" line of products marketed by
the show's main character, Erika Kane (played by Susan Lucci). In 2005, Revlon
posted a $46 Million fourth quarter profit, ending a series of quarterly losses. The
following year, the company announced the launch of a prestige fragrance in
cooperation with Gemini Cosmetics, Inc. Revlon DoubleTwist, a new mascara
franchise, debuts in 2009, as does ColorStay Mineral Mousse foundation.
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4.2. Data Result Analysis
4.2.1. Validity Test
Before the instrument of the research is properly spread to the respondents,
the researcher needs to test the validity of every question in the questionnaire. In
testing the validity of the data, researcher used pearson product-moment
coefficient of correlation, with the help of SPSS 16.0 software for Windows.
Validity test helps the researcher to ensure that each of question that asked
in the questionnaire is the right and appropriate question which each of question
able to measure what the researcher want to measure. Validity is measured by the
use of correlation coefficient. For validity coefficients, the important thing is that
they are statistically significant at the level greater than .05 levels .
Table 4.1. Output Validity
Variable R table (α=5%) R compute Result
Brand Awareness (X1-1) .3061 .672 Valid
Brand Awareness (X1-2) .3061 .772 Valid
Brand Awareness (X1-3) .3061 .767 Valid
Brand Awareness (X1-4) .3061 .607 Valid
Brand Awareness (X1-5) .3061 .795 Valid
Brand Association (X2-1) .3061 .697 Valid
Brand Association (X2-2) .3061 .769 Valid
Brand Association (X3-3) .3061 .681 Valid
Brand Association (X4-4) .3061 .766 Valid
Perceived Quality (X3-1) .3061 .791 Valid
Perceived Quality (X3-2) .3061 .613 Valid
Perceived Quality (X3-3) .3061 .769 Valid
75
Perceived Quality (X3-4) .3061 .751 Valid
Brand Loyalty (X4-1) .3061 .872 Valid
Brand Loyalty (X4-2) .3061 .852 Valid
Brand Loyalty (X4-3) .3061 .823 Valid
Brand Loyalty (X4-4) .3061 .839 Valid
Buying Decision (Y-1) .3061 .655 Valid
Buying Decision (Y-2) .3061 .740 Valid
Buying Decision (Y-3) .3061 .810 Valid
Buying Decision (Y-4) .3061 .867 Valid
Based on the table above, the significances of all questions are lower than 0.05.
We can conclude that all of the questions in the questionnaire are valid, and the
variables used in this research are also valid and are cleared to be used for further
research activities.
4.2.2. Reliability Test
Based on Ghozali (2005) reliability test is a measure of data from questionnaire,
which indicates the variable or construct. A questionnaire can be reliable, if
someone answer the statements are consistent are stable over time. Reliability
concerns consistency reply if tested repeatedly on different samples. SPSS
provides the facility to measure reliability with Cronbach Alpha statistical test (α).
A construct or variable said to be reliable if it delivers value Cronbach Alpha >
0.60. The variables that the research found for the test is reliable. Because it is
grater than 0.60.
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Table 4.2. Output Reliability
Variable Number of
Questions
Cronbach's
Alpha
Result
Total Brand Awareness 5 .784 Reliable
Total Brand Association 4 .790 Reliable
Total Perceived Quality 4 .790 Reliable
Total Brand Loyalty 4 .826 Reliable
Total Buying Decision 4 .803 Reliable
4.2.3. Characteristic of Respondents
After doing the research, the next step is processing the data with Microsoft Excel
software and SPSS 16.0 software for windows. The characteristic of this research
can be see in table below as follow :
1. Gender
Figure 4.1. Grouping Respondents based on Gender
Male, 5.72%
Female, 94.28%
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Table 4.3. Grouping Respondents based on Gender
Gender Frequency Percentage (%)
Male 8 5.72%
Female 132 94.28%
Total 140 100.00%
From the table 4.3 we can see that most respondents of this research are female, as
many as 132 people with percentage 94.28%. The second is male, as many as 8
people with percentage 5.72%
Based on this table we can know the results that the most gender of the
respondents in this research is dominantly female. From the data we can see more
than a half of respondent were female, means that the numbers of consumers
cosmetic product are female. In this research most of consumers cosmetic are
female than male.
2. Age
Figure 4.2. Grouping Respondents based on Age
14.29%
70.71%
15.00%
15-20 21-25 26-30
Age
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Table 4.4. Grouping Respondents based on Age
Age Frequency Percentage
15-20 20 14.29%
21-25 99 70.71%
26-30 21 15.00%
Total 140 100.00%
From the table 4.4 we can see that total of the respondents are 140. The most
respondent of this research is around 21-25 old, as many as 99 people with
percentage 70.71%. The second is 26-30 old, as many as 21 people with
percentage 15%. The third is around 15-20 old, as many as 20 people with
percentage 14,29%. Now we can see that most of the respondents in this research
is around 21-25 old.
3. Income
Figure 4.3. Grouping Respondents based on Income
29.29%
19.29%
10.71% 10.00%
18.57%
12.14%
< Rp.1,000,000
Rp. 1,000,001 – Rp.
2,000,000
Rp. 2,000.001 – Rp.
3,000.000
Rp. 3,000,001 – Rp.
4,000,000
Rp. 4,000,001 – Rp.
5,000,000
> Rp.5,000,0000
Income
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Table 4.5. Grouping Respondents based on Income
Income Frequency Percentage
< Rp. 1,000,000 41 29.29%
Rp. 1,000,001 – Rp. 2,000,000 27 19.29%
Rp. 2,000.001 – Rp. 3,000.000 15 10.71%
Rp. 3,000,001 – Rp. 4,000,000 14 10.00%
Rp. 4,000,001 – Rp. 5,000,000 26 18.57%
> Rp. 5,000,0000 17 12.14%
Total 140 100.00%
From table 4.5 we can see that total of the respondents based on Income. Total
respondent is 140 people. Mostly of the respondents in this research with income
around <Rp. 1,000,000 , as many as 41 people with percentage 29.29%. And the
seconds is respondents with income around Rp.1,000,001 – Rp. 2,000,000 as
many as 27 people with percentage 19.29%. And the third is respondents with
income around Rp. 4,000,001 – Rp. 5,000,000 as many as 26 people with
percentage 18.57%. The fourth is respondents with income > Rp. 5,000,000 as
many as 17 people with percentage 12.14%. And the next respondents with
income Rp. 2,000,001 – Rp. 3,000,001 as many as people 15 people with
percentage 10.71%. The last is respondents with income Rp.3,000,001 – Rp.
4,000,000 as many as 14 people with percentage 10%.
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4. Marital Status
Figure 4.4. Grouping Respondents based on Marital Status
Table 4.6. Grouping Respondents based on Marital Status
Marital status Frequency Percentage
Married 22 15.71%
Single 118 84.29%
Total 140 100.00%
From table 4.6 we can see the respondents based on the marital status. Total of the
respondent is 140 people. Mostly the respondents on this research with single
status as many as 118 people with percentage 84.29%. And the respondents with
married status as many as 22 people with percentage 84.29%.
Married16%
Single 84%
Marital Status
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5. Favorite Brand
Figure 4.5. Grouping Respondents based on Favorite Brand
Table 4.7. Grouping Respondents based on Favorite Brand
Favorite Brand Frequency Percentage
Bobbi Brown 15 10.71%
Etude 17 12.14%
Loreal 12 8.58%
Mac 16 11.43%
Maybelline 50 35.71%
Revlon 30 21.43%
Total 140 100.00%
From the table 4.7 we can see the respondents based on favorite brand. Total of
the respondent is 140 people. The first favorite brand that chosen by respondent is
Maybelline, as many as 50 people like cosmetic product from Maybelline with
percentage 35.71%. And then the second favorite brand that chosen by respondent
is Revlon, as many as 30 people like cosmetic product from Revlon with
percentage 21.43%. And then the next favorite brand chosen by respondent is
Etude as many as 17 people like cosmetic product from Etude with percentage
10.71%12.14%
8.58%11.43%
35.71%
21.43%
Bobbi Brown Etude Loreal Mac Maybelline Revlon
Favorite Brand
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12.14%. And the next favorite brand that chosen by respondent is Mac as many as
16 people like product cosmetic from Mac with percentage 11.43%. And the next
favorite brand that chosen by respondent is Bobbi Brown as many as 15 like
cosmetic product from Bobbi Brown with percentage 10.71%. And the last
favorite that chosen by respondent is Loreal as many as 12 people like cosmetic
from Loreal with percentage 8.58%
4.2.4. Descriptive Analysis
Descriptive statistics show the mean and standard deviation on perceived quality,
brand awareness, brand associations, brand loyalty and purchase decision
according to respondent responses. Weighted mean is the most wide spread way to
find out which variable is the most (and least) dominant from all variables based
on the mean value. Standard Deviation is a measure of how spreads out numbers
are.
We can see from the table 4.8. the most dominant factor of Brand Equity in this
study is Brand Association with the mean value of 4.0732, and then Perceived
Quality with the mean value of 3.9750. And the dominant factor after Perceived
Quality is Brand Awareness with the mean value of 3.9557. The customers of
cosmetic product might be easily to recognized and remember the advantages of
the cosmetic product also the quality from the some brand that they already buy
before. The least dominant factor is the Brand Loyalty with the mean value of
3.5607. The poorest quality of cosmetic product make the customers of cosmetic
product purchase the same product from same brand continuously.
Table 4.8. Descriptive Statistics
Mean Std. Deviation N
CustomerBuyingDec
ision 3.8768 .57566 140
BrandAwarness 3.9557 .47985 140
BrandAssociation 4.0732 .41822 140
PerceivedQuality 3.9750 .46776 140
BrandLoyalty 3.5607 .61594 140
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4.2.5. Classic Assumption
4.2.5.1. Normality Test
Normality test aims to test whether in the regression model, intruders or residual
variables are normally distributed or not. If this assumption is violated, the
statistical becomes invalid or bias, especially for small samples. Normality test
can be carried out through two approaches, graphic analysis, namely charts
approach and statistical analysis.
Figure 4.6.: Histogram normal distribution
From figure 4.6 Histogram of normal distribution, it shows the histogram are bell-
shaped. We can conclude the data in this research is normally distributed.
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Figure 4.7. : Normal P-Plot
From figure 4.7 shows that plot is line close to the diagonal line and lining up
along with the diagonal line, which goes from lower left to upper right. It means
the data in the regression model is fulfilling the requirement in the normality test.
4.2.5.2 Multicollinearity
Multicollinerity test, the research used variance inflation factor of (VIP) to check.
Variance inflation factor or (VIP) has function to measure how much the variance
of the estimated coefficient is increased over the case of no correlation among the
variables. According to Hardian (2010) multicollinearity test can be seen from the
value of tolerance and the value of Variance Inflation Factor (VIF). If the value of
Tolerance > 0.10 or equal to the value of VIF < 10, it can be concluded that there
is no multicollinearity among the independent variables in the regression model
this study.
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Table. 4.9 Multicollinearity Coefficient Correlations
From table 4.9. show that every independent variable does not correlation with
the other independent variable. It means no multicollinearity
Table. 4.10 Multicollinearity Coefficient
Coefficientsa
Model T Sig. Collinearity Statistics
Tolerance VIF
(Constant)
TotalBrandAwareness
TotalBrandAssociation
TotalPerceivedQuality
TotalBrandLoyalty
-.326
3.453
-.048
5.084
4.665
.745
.001
.962
.000
.000
.519
.784
.572
.505
1.926
1.275
1.749
1.979
a. Dependent Variable: TotalBuyingDecision
From the calculation from SPSS, as shown in table 4.10 .there is no independent
variable that have VIF value more than 10 (VIF <10), and there is no independent
variable that have tolerance value less than 0.10. We can conclude that there is no
86
multicollinearity.
4.2.5.3. Heteroscedascity Test
Heterocedasticity test to find out whether the variance of the residual from
observation with other observation is similar or not. If variance from residual of
one observation into another observation is same then it is called homocedasticity,
and if it is different it is called as heterocedasticity. In this research, researcher
using scatter plot graph to see whether any heterocedasticity cases or not.
This test will be conducted through scatter plot generated by SPSS 16.0 software
for Windows. X Axis is the predicted value of ZPRED = Regression Standardized
Predicted Value and Y Axis is the predicted value of ZRESID = Regression
Standardized Predicted Value. If the graphic shows any certain kind of pattern, it
means the heteroscedasticity is occurs. If the graphic shows of spread plots and
did not indicates any form of pattern, it means there is no occurrence of
heteroscedasticity.
Figure 4.8. Scattrplot Heteroscedascity
87
From figure 4.8 it shows that there is no pattern that occurs inside. The dots
spread out in the upper and lower of 0 in Y axis, then it can be assumed that there
is no heterocedasticity cases.
3.2.6. Testing the Hypothesis
4.2.6.1. Multiple regression
There are more than one independent variables that used in this study, because of
that the researcher used multiple regression models in order to explain
relationship between dependent variable and those independent variable. Santoso
(2009) stated that all the significant numbers are above 0.05, this shows all the
variables no effect on the dependent variable.
Table 4.11. Multiple Regression Table
From the table above, the form of linear regression equation is as follow :
Y = -0.112+0.297X1 – 0.004X2 + 0.428X3 + 0.317X4+ε
From the data above we can conclude that :
1. Independent variable brand awareness (X1) has a value 0.297 for
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regression linear and the value for the significant is 0.001, mean the value
of the significant brand awareness less than 0.005. We can conclude that
brand awareness (X1) has positive influence towards customer buying
decision
2. Independent variable brand association (X2) has a value -0.004 for
regression linear and the value for the significant is 0.962, mean the value
of the significant brand awareness greater than 0.005. We can conclude
that brand association (X2) does not has positive influence towards
customer buying decision
3. Independent variable perceived quality (X3) has a value 0.428 for
regression linear and the value for the significant is 0.000, mean that value
of the significant perceived quality less than 0.005. We can conclude that
perceived quality (X3) has positive influence towards customer buying
decision
4. Independent variable brand loyalty has a value 0.317 for regression linear
and the value for the significant is 0.000, mean that value of the significant
brand loyalty less than 0.005. We can conclude that brand loyalty (X4) has
positive influence towards customer buying decision
4.2.6.2. Coefficient of Determination ( R2 )
Table 4.12. R2
Model Summaryb
Model R R Square
Adjusted R
Square
Std. Error of
the Estimate
1 .800a .639 .629 .35078
a. Predictors: (Constant), BrandLoyalty, BrandAssociation,
PerceivedQuality, BrandAwarness
b. Dependent Variable: CustomerBuyingDecision
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Coefficient of Determination ( R2 )
Coefficient of Determination ( R2 ) is 0.639
From the table 4.2.5 above, we can see that the value of R2 of variable brand
awareness (X1) brand association (X2) perceived quality (X3) and brand loyalty
(X4) is 0.639. That score means that 63.9% the dependent variable (Customer
Buying Decision) are influenced by independent variable (brand awareness, brand
association, perceived quality, and brand loyalty), while 36.1% are influenced by
other factors exclude variables of this research.
4.2.6.3. T test
T test is a significant testing in order to know whether the independent variables
(brand awareness, brand association, perceived quality, and brand loyalty) is
partially have significant influence into the dependent variable (customer buying
decision). The requirements of this test is, prove H1, H2, H3, H4 is accepted or
rejected if significance value is greater than 0.05 on α = 5%, and if the number in
t-column is greater than the value in t-table. The value of the the T-table is 1.656
Table 4.13 T-Test table
Coefficientsa
Model t Sig. Collinearity Statistics
Tolerance VIF
1 (Constant)
BrandAwarness
-.326 .745
3.453 .001 .519 1.926
BrandAssociati
on -.048 .962 .784 1.275
PerceivedQualit
y 5.084 .000 .572 1.749
BrandLoyalty 4.665 .000 .505 1.979
a. Dependent Variable: CustomerBuyingDecision
The results by using SPSS program v.16 above are :
1. The value of t count in brand awareness (X1) variable is 3.453 > t table for
1.656. The result means that partially brand awareness variable have
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significance influence towards customer buying decision in choosing
cosmetic product, thus H1 in this study is accepted.
2. The value of t count in brand association (X2) variable is -0.48 < t table
for 1.656. The result means that partially brand association variable does
not have significance influence towards customer buying decision in
choosing cosmetic product, thus H2 in this study is rejected.
3. The value of t count in perceived quality (X3) variable 5.084 > t table for
1.656. The result means that partially perceived quality variable have
significance influence towards customer buying decision in choosing
cosmetic product, thus H3 in this study is accepted.
4. The value of t count in brand loyalty (X4) variable 4.665 > t table for
1.656. The result means that partially brand loyalty variable have
significance influence towards customer buying decision in choosing
cosmetic product, thus H4 in this study is accepted.
4.2.6.3. F – test
F test is significant testing in order to know whether the independent (brand
awareness, brand association, perceived quality, brand loyalty) variables have a
significant influence into dependent (customer buying decision) variable
simultaneously or not (Sugiyono, 2007). This test is conducted by comparing the
value of F count from SPSS software v.16 and F table. If the value of F count is
greater than F table (F count > F table) then the independent variables are
simultaneously the dependent variable ( Ho rejected and H1 accepted). If the
value of F count is less than F table ( F count < F table ), then Ho is accepted and
H1 rejected.
Table 4.14 F-Test table
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From F-table and table ANOVA, it shown the value of F count is 59.837, and the
F table shows the number of 2.44. It means F count 59.837 > F table 2.44 (α =
0.05 ). We can conclude that all of the independent variables (brand awareness,
brand association, perceived quality, and brand loyalty) have significant influence
into the dependent variable (customer buying decision).
4.3. Interpretation of Result
1. Based on gender most respondents of this research are female, as many as
132 people with percentage 94.28%. The second is male, as many as 8
people with percentage 5.72%. Most of respondents of this research are
around 21-25 years old accounted for 99 people with percentage 70.71%.
The second is 26-30 old, as many as 21 people with percentage 15%. The
third is around 15-20 old, as many as 20 people with percentage 14,29%.
Now we can see that most of the respondents in this research is around 21-
25 old.
2. Level of the respondent around :
<Rp. 1,000,000 , as many as 41 people with percentage 29.29%. 4.3.
Rp.1,000,001 – Rp. 2,000,000 as many as 27 people with percentage
19.29%.
Rp. 4,000,001 – Rp. 5,000,000 as many as 26 people with percentage
18.57%.
Rp. 5,000,000 as many as 17 people with percentage 12.14%.
Rp. 2,000,001 – Rp. 3,000,001 as many as people 15 people with
percentage 10.71%.
Rp.3,000,001 – Rp. 4,000,000 as many as 14 people with percentage 10%.
3. Based on marital status mostly the respondents on this research with single
status as many as 118 people with percentage 84.29%. And the
respondents with married status as many as 22 people with percentage
84.29%. View from favorite brand table. The first favorite brand that
chosen by respondent is Maybelline, as many as 50 people like cosmetic
product from Maybelline with percentage 35.71%. And then the second
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favorite brand that chosen by respondent is Revlon, as many as 30 people
like cosmetic product from Revlon with percentage 21.43%. And then the
next favorite brand chosen by respondent is Etude as many as 17 people
like cosmetic product from Etude with percentage 12.14%. And the next
favorite brand that chosen by respondent is Mac as many as 16 people like
product cosmetic from Mac with percentage 11.43%. And the next favorite
brand that chosen by respondent is Bobbi Brown as many as 15 like
cosmetic product from Bobbi Brown with percentage 10.71%. And the last
favorite that chosen by respondent is Loreal as many as 12 people like
cosmetic from Loreal with percentage 8.58%.
4. The research instrument is valid and reliable to be used for the test.
Because the according to validity and reliability test, significances of all
questions are lower than 0.05, and all variable has Cronbach Alpha value
are greater than 0.600.
5. The data in this research is normally distributed, because according to
Histogram of Normal Distribution, shows the histograms are bell-shaped
and P Plot of Regression Standardized Residual shows the pattern of
diagonal line. The data in this research is free from multicollinearity,
because based on ‘Coefficient table’, all variables show the tolerance of
greater than 0.100 and Variance Inflation Factor (VIF) score of lower than
10.000. The data in this research is free from heteroscedasticity, because
the pattern of residuals on the scatterplot did not indicate any kind of
certain clear pattern. The residuals are also spread below and above of
score 0 on Y axis.
6. Based on the table ( R2 )The Independent variable of brand equity (brand
awareness (X1) brand association (X2) perceived quality (X3) and brand
loyalty (X4) is 0.639. That score means that 63.9% the dependent variable
(Customer Buying Decision) are influenced by independent variable
(brand awareness, brand association, perceived quality, and brand loyalty),
while 31.9% are influenced by other factors exclude variables of this
research.
7. T test needed to analyze the significant influence of 4 brand equity’s
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dimensions (brand awareness, brand association, perceived quality, and
brand loyalty) towards customer buying decision.
a) The value of t count in brand awareness (X1) variable is 3.453 > t
table for 1.656. The result means that partially brand awareness
variable have significance influence towrads customer buying
decision in choosing cosmetic product, thus H1 in this study is
accepted.
b) The value of t count in brand association (X2) variable is -0.48 < t
table for 1.656. The result means that partially brand association
variable does not have significance influence towrads customer
buying decision in choosing cosmetic product, thus H2 in this study
is rejected.
c) The value of t count in perceived quality (X3) variable 5.084 > t
table for 1.656. The result means that partially perceived quality
variable have significance influence towrads customer buying
decision in choosing cosmetic product, thus H3 in this study is
accepted.
d) The value of t count in brand loyalty (X4) variablel 4.665 > t table
for 1.656. The result means that partially brand loyalty variable
have significance influence towrads customer buying decision in
choosing cosmetic product, thus H4 in this study is accepted
8. The value of F count show that F count > F table the number of the F
count and F table 59.837 > F table 2.44 (α = 0.05 ). We can conclude that
all of the independent variables (brand awareness, brand association,
perceived quality, and brand loyalty) have significant influence into the
dependent variable (customer buying decision), beacause based on F-Test,
the significanceb on ‘ANOVA table’ shows the number of 0.000 which is
not greater than 0.005.
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CHAPTER V
CONCLUSIONS AND RECOMMENDATIONS
In this final chapter of the research, the researcher draws the conclusion and
recommendation developed from the wholly integrated quantitative analysis,
specifically the multiple regression analysis, about the influence of brand equity
and on customer buying decision for cosmetic product in Jakarta. The analysis is
conducted to discover the specifically impact of perceived quality, brand
awareness, brand associations and brand loyalty on customer buying decision.
5.1. Conclusion
Based on the research about the impact of perceived quality, brand awareness,
brand associations and brand loyalty on customer buying decision of cosmetic
product in Jakarta the conclusions are obtained as follows:
Based on the results of the multiple linear regression analysis was performed in
this study, obtained the following regression equation:
Y = -0.112+0.297X1 – 0.004X2 + 0.428X3 + 0.317X4+ε
1. The results of the respondents responses in table Descriptive shows that
the variable Brand Awareness (X1) has means score amounted to3.95750.
The test in multiple linear regression coefficient show the result was 0.297
with the value for the significant is 0.001, mean that value of the
significant brand awareness less than 0.005. We can conclude that brand
awareness (X1) has positive influence towards customer buying decision
(Y)
2. The results of the respondents responses in table Descriptive shows that
the variable Brand Association (X2) has high means score amounted to
4.073. Even brand associations mean score is high but it doesn’t have any
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influence on buying decision. High brand associations does not make the
consumers buying the cosmetic product. Is proven by the Brand
Associations multiple linear regression coefficient result was -0.004 with
the value for the significant is 0.962, mean that value of the significant
brand awareness more than 0.005. We can conclude that brand awareness
(X2) has positive influence towards customer buying decision (Y) and the
t value -0.48 and the t table for 1.656.
3. The results of the respondents responses in table Descriptive shows that
the variable Perceived Quality has high means score amounted to 3.9750.
Perceived quality has high score in mean, perceived quality has a big
influence toward customer buying decision. The test in multiple linear
regression coefficient show the result was 0.428 with the value for the
significant is 0.000, mean that value of the significant brand awareness
less than 0.005. We can conclude that perceived quality (X3) has positive
influence towards customer buying decision (Y)
4. The results of the respondents responses in table Descriptive shows that
the variable Brand Loyalty (X4) has means score amounted to
3.5607which is not high score. The test in multiple linear regression
coefficient show the result was 0.317 with the value for the significant is
0.000. Even brand loyalty mean score is not high but together with
perceived quality, it has the big influence on purchase decision where it
mean scores only 15.9000. Low brand loyalty affect to the low buying
decision. Brand Loyalty multiple linear regression coefficient result was
the highest of all variables with 0.317 and the value for the significant is
0.000, mean that value of the significant brand loyalty less than 0.005. We
can conclude that perceived quality (X3) has positive influence towards
customer buying decision (Y) we can see that brand loyalty (X4) has
positive influence towards customer buying decision with the value of t
count in brand loyalty (X4) variable 4.665 > t table for 1.656 and the
significant level of 0.000.
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5.2. Recommendation
Cosmetics Industry in Indonesia
1. The lack of influence the Brand Association toward customer buying
decision on cosmetic product could be happen cause for the customer
brand association is not really important, for them the important things that
make them buy a cosmetic product is the quality.
2. In this research based on multiple regression linear perceived quality has a
big influence toward customer buying decision on cosmetic product,
because the quality is the first things that cosmetic customer want to buy a
product. The poor quality of the product make the customer does not want
to repurchase again the same product from the same brand.
3. The poor quality can be affecting in brand loyalty, because if the product
has a bad reputation from the customer that already use that product
before, can be affect to other customer if the other customer ask about the
same product that they want to use to the customer that already use the
same product before.
4. Brand loyalty on this research has a big influence toward customer buying
decision same with perceived quality. If the product already proven that
they have a good quality the customer will be remember about the product
and will be repurchase again. Brand awareness in this research has
influence toward customer buying decision, because of the quality made
the customer always remember about the advantages of the product.
5. For Industry Cosmetic in Indonesia maintain their quality and their
reputation is important. The quality of the cosmetic product made
customer want to repurchase again the product from the same brand that
they already buy before.
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Future Researcher
1. For future research, it is needed doing a further research in other factors
besides Perceived Quality, Brand Awareness, Brand Associations, and
Brand Loyalty.
2. Future studies are advised to examine the other brands with take another
example of the influence of Perceived Quality, Brand Awareness, Brand
Associations, and Brand Loyalty in the Buying Decision
3. For future studies it is advisable to look for another different populations
and the wider population this study.
98
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APPENDICES
103
Yth, Para pelanggan
Perkenalkan nama saya Nurinda Febriyanti, saya seorang mahasiswa
manajemen President University konsentrasi dalam Bisnis Internasional. Saat ini
saya sedang mengerjakan tugas akhir skripsi saya mengharuskan saya untuk
melakukan penelitian dengan menggunakan kuesioner. Penelitian saya berjudul
"Pengaruh Ekuitas Merek Terhadap Keputusan Membeli Pelanggan pada Produk
Kosmetik di Jakarta".
Kuesioner ini terdiri dari tiga bagian :
6. Bagian I : Pertanyaan yang berhubungan dengan profile responden
7. Bagian II : Pertanyaan yang berhubungan dengan ekuitas merek
8. Bagian III : Pertanyaan yang berhubungan tentang keputusan pembelian
pelanggan
Mohon bantuannya untuk mengisi kuesionare erikut, semua jawaban di
kuesionare ini betul dan tidak ada yang salah. Saya menyarankan para pelanggan
untuk mengisi kuesionare berikut dengan benar dan jujur
Terima Kasih untuk waktunya
Cikarang, December 2013
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Kuesionare
Pengaruh Ekuitas Merek terhadap Keputusan Pembelian
Pelanggan pada Kosmetik Produk
Jawab pertanyaan dibawah ini dengan memberikan tanda ( √ ) pada jawaban yang
anda pilih.
Umur : ◌ 15-20 ◌ 21-25
◌ 26-30
Status perkawinan
◌ Single ◌ Menikah
Pernahkah anda membeli Produk Kosmetik ?
◌ Pernah
◌ Tidak
Brand apa saja yang pernah anda beli : (boleh pilih lebih dari satu)
◌ Bobbi Brown
◌ Etude
◌ Loreal
◌ Mac
◌ Maybeline
◌ Revlon
Pendapatan perbulan
◌ < Rp. 1.000.000
◌ Rp. 1.000.001 – Rp. 2.000.000
◌ Rp. 2.000.001 – Rp. 3.000.000
◌ Rp. 3.000.001 – Rp. 4.000.000
◌ Rp. 4.000.001 – Rp. 5.000.000
◌ > Rp. 5.000.0000
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PETUNJUK PENGISIAN KUESIONER
Pilihlah salah satu brand dibawah, ini yang merupakan brand favorite anda dan
brand yang paling sering anda beli :
◌ Bobbi Brown ◌ Loreal ◌ Maybeline
◌ Etude ◌ Mac ◌ Revlon
Pada pernyataan dibawah ini silahkan mengisi sesuai dengan pendapat / opini
Anda dengan memberikan tanda √ pada jawaban :
8. Sangat Setuju 3. Netral 5. Sangat Tidak
Setuju
9. Setuju 4. Tidak Setuju
Ket : “Brand Tersebut” merupakan brand yang anda pilih
Brand Awareness 1 2 3 4 5
Produk kosmetik dari brand tersebut yang sangat
saya sukai sangat familiar bagi saya
Dalam pembelian produk kosmetik, brand yang
pertama kali ada di benak saya adalah brand
tersebut
Bentuk kemasan serta slogan pada produk
kosmetik brand tersebut mudah dikenali dan
diingat
Kosmetik yang saya pakai dari brand tersebut
adalah brand yang terkenal di masyarakat
Kosmetik dari brand tersebut mempunyai ciri
khas tertentu yang membuat saya dapat
mengingatnya
Brand Association 1 2 3 4 5
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Produk kosmetik dari brand tersebut mudah kita
jumpai di mall – mall
Saya bisa dengan cepat mengingat keunggulan
produk kosmetik dari brand tersebut
Variasi produk kosmetik dari brand tersebut
sangat beragam
Harga produk kosmetik dari brand tersebut dapat
terjangkau dengan kantong saya
Perceived Quality 1 2 3 4 5
Kualitas produk kosmetik dari brand tersebut
sesuai dengan yang saya harapkan
Harga produk kosmetik dari brand tersebut
sesuai dengan kualitasnya
Produk kosmetik dari brand tersebut memiliki
keunggulan dibandingkan yang lainnya
Tidak ada masalah pada wajah saya ketika
menggunakan produk kosmetik dari brand
tersebut
Brand Loyalty 1 2 3 4 5
Ketika saya ingin membeli produk kosmetik,
brand tersebut merupakan produk kosmetik
pilihan utama saya
Jika ada teman atau kerabat saya sedang
bingung menentukan brand untuk produk
kosmetik yang sesuai dengan mereka, saya akan
merekomendasikan brand tersebut
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Saya memberikan review produk kosmetik dari
brand tersebut yang sering saya gunakan, kepada
teman atau kerabat saya
Saya tidak ingin membeli produk kosmetik dari
brand lain, karna saya sudah merasa cocok
dengan produk makeup dari brand tersebut
Customer Purchasing Decission 1 2 3 4 5
Setelah saya membeli produk dari brand tersebut
dan saya telah merasakan keunggulannya dari
brand tersebut, saya akan merekomendasikan
orang yang bertanya kepada saya tentang produk
kosmetik, dan menyarankan kepada mereka
untuk membeli produk dari brand yang sama
dengan yang saya pakai
Saya sering mencari informasi tentang brand
tersebut sebelum saya membeli produk
kosmetik.
Brand tersebut memiliki kelebihan dibandingkan
produk kosmetik dari brand lainnya
Saya tertarik untuk membeli produk kosmetik
dari brand tersebut karena brand tersebut
terbukti memiliki kualitas yang bagus
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