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THE ANALYSIS OF INFLUENCE PRODUCT DIFFERENTIATION, IMAGE DIFFERENTIATION AND WORD OF MOUTH TO PURCHASE DECISION “MAICHI” (Study Case: Consumer of MAICHI around UIN Syarif Hidayatullah Jakarta) By Nur masyitha ID :10808110008 DEPARTMENT OF MANAGEMENT INTERNATIONAL CLASS PROGRAM FACULTY OF ECONOMIC AND BUSINESS SYARIF HIDAYAHTULLAH STATE ISLAMIC UNIVERSITY JAKARTA 2013/2014

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THE ANALYSIS OF INFLUENCE PRODUCT

DIFFERENTIATION, IMAGE DIFFERENTIATION AND

WORD OF MOUTH TO PURCHASE DECISION “MAICHI”

(Study Case: Consumer of MAICHI around UIN Syarif Hidayatullah Jakarta)

By

Nur masyitha

ID :10808110008

DEPARTMENT OF MANAGEMENT

INTERNATIONAL CLASS PROGRAM

FACULTY OF ECONOMIC AND BUSINESS

SYARIF HIDAYAHTULLAH STATE ISLAMIC UNIVERSITY

JAKARTA

2013/2014

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THE ANALYSIS OF INFLUENCE PRODUCT

DIFFERENTIATION, IMAGE DIFFERENTIATION AND

WORD OF MOUTH TO PURCHASE DECISION “MAICHI”

THESIS

(Study Case: Consumer of MAICHI around UIN Syarif Hidayatullah Jakarta)

Submitted to Faculty of Economics and Business in Partial Requirements for

Acquiring the Bachelor Degree of Economics

By

Nur masyitha

ID :10808110008

DEPARTMENT OF MANAGEMENT

INTERNATIONAL CLASS PROGRAM

FACULTY OF ECONOMIC AND BUSINESS

SYARIF HIDAYAHTULLAH STATE ISLAMIC UNIVERSITY

JAKARTA

2013/2014

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SHEET STATEMENT

AUTHENTICITY SCIENTIFIC WORKS

Signature below :

Name : Nur Masyitha

Student Number : 108081100008

Faculty : Faculty Of Econand Business

Deparment :Department Of Management ( International Class Program)

Hereby declare that in the writing of this thesis, I:

1. Not use other people’s ideas without being able to develop and

accountable

2. Do not plagiarism of other people’s work manucript

3. Do not use other people’s work without mentioning the orinal

4. Own work and able to work responsible for this work

If in the future there is a demand from the other side of my work, and have been

accountably proved, was indeed found evidence that I have violated the above

statement, and then I am ready to be sanctioned according to rules applicable in

the Faculty of Economics and Business Syarif Hidayatullah State Islamic

University Jakarta

Thus statement truly made with sincerely.

Ciputat September 2013

(Nur Masyitha)

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CURRICULUM VITAE

I. PERSONAL IDENTITY

1. Name : Nur Masyitha

2. Place and date : Lamongan,January 31 1990

3. Address : Jl. Cipinang pulo maja rt/rw 006/010 cipinanng

Besar Utara Jatinegara Jakarta Timur

4. Phone : 081389288171

II. EDUCATION

1. 1994-1996 : Tk Bunga Harapan Lamongan

2. 1996-2002 : Mi Islamiyah Lamongan

3. 2002-2005 : Smp Wahid Hasyim Lamongan

4. 2005-2008 :Man 1 Lamongan

5. 2008-2013 : FEB Uin Syarif Hidayatullah Jakarta

III. QUALIFICATIONS:

1. Following training ESQ leadership training: basic training ESQ 2008

2. Day Indonesia Insurance Committee, Insurance Goes To Campus:

"The Role of Insurance in the Era of Globalization" 2010

3. Following the presentation contest Indonesia's Young Entrepreneurs

2011 in Prasetya Mulya Business School

4. Following training and seminars UPF (Universal Peace Federation)

Asia 2011

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IV. Work Experience:

1. Year 2011: Secretary at Cooperative Sakinah Ciputat

2. 2012-2013: PT Indoircos Komunikatama : Admin and finance.

Project Name: CSR Programme tuban Exonmobile in Tuban

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ABSTRACT

The aim of this research is to analyze the influence of product differentiation,

image differentiation and word of mouth to purchase decision of the“maichi”.

The method of determining the sample used is the Convenience sampling methods.

Respondents in this research amounted to 80 respondents which is a sample of

research and 20 respondents as try out people customers Maichi especially in

around Uin Syarif Hidayatullah Jakarta. Previous research findings indicate that

there are positive relationships among influence product differentiation, image

differentiation and word of mouth to purchase decision. The methodology applied

in this elaboration is the multiple linear regression method. The result of this

research shows that there is simultaneously influence among product

differentiation, image differentiation and word of mouth to purchase decision.

Keywords: product differentiation, image differentiation, word of mouth and

purchase decision

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ABSTRAK

Tujuan utama dari penelitian ini adalah untuk menganalisis pengaruh

diferensiasi produk, diferensiasi citra dan word of mouth untuk keputusan

pembelian "Maichi". Metode penentuan sampel yang digunakan adalah metode

convenience sampling. Responden dalam penelitian ini berjumlah 80 responden

yang merupakan contoh penelitian dan 20 responden sebagai percobaan. orang

pelanggan Maichi terutama di sekitar Uin Syarif Hidayatullah Jakarta. Temuan

penelitian sebelumnya menunjukkan bahwa terdapat hubungan yang positif

antara diferensiasi produk, diferensiasi citra dan dari word of mouth terhadap

keputusan pembelian. Metodologi yang digunakan dalam pengembangan ini

adalah metode regresi linier berganda. Hasil penelitian ini menunjukkan bahwa

ada pengaruh secara simultan antara diferensiasi produk, diferensiasi citra dan

dari word of mout terhadap keputusan pembelian.

Kata kunci : diferensiasi produk, diferensiasi citra, word of mouth dan

keputusan pembelian

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PREFACE

Alhamdulillahi rabbil ‘alamin, I would like to say thanks and being

grateful to Allah SWT that already gives His gift, bless and concentrate to me and

also regard to prophet Muhammad SAW, so that this thesis could be finished in

fulfilling one of the requirement to get my Bachelor Economic Degree in State

Islamic University, Syarif Hidayatullah Jakarta.

The writer realize that this thesis is too far from the perfection, realizing

that the limitation of knowledge as well as experience that the writer has, but

because of many parties support, finally the writer could finish this thesis by

hopping that it could be worthwhile for every reader. The writer also expects for

any suggestions to improve the content of this thesis.

In making this thesis, the writer was not alone but i was supported and

taught by many parties. In this opportunity, the writer would like to say my huge

thankful to:

1. My lovely my parent for their effort to help, pray and support to me.

2. My lovely all my family, expesially for Mba’In, Mba’Is, Riro, Mas Anas and

Mas Masykur always pray ad support me.

3. Prof Dr Abdul Hamid MM as Dean FEB UIN Syarif Hidayatullah Jakarta,

thank you for the sacrifice of time and knowledge that has been given.

4. Arief Mufraini, Lc. MS as the primary supervising writer who patiently

provided guidance to the author in preparing the thesis.

5. Leis Suzanawaty, SE, M.Si as second supervisor my thesis thank you for the

sacrifice of time and knowledge that has been given

6. Dr. H. Dumyati MM as a second mentor who provides extraordinary

appreciation and first supervisor my thesis.

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7. Lecturers UIN Syarif Hidayatullah Jakarta, which has contributed his

knowledge to the author and his colleagues for this author. Thank you for the

sacrifice of time and knowledge that has been given to the author and his

friends other students.

8. All academic staff FEB UIN Syarif Hidayatullah Jakarta, which has worked

well to serve students.

9. Thaks full to all my friend Zuket Community always give me support.

The finally the writer expect for any critics as well as suggestion that could

improve the content of this thesis. Hopefully this thesis could be worthwhile for

all of us. Amien, thanks.

Jakarta, September 2013

Nur Masyitha

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LIST OF CONTENTS

COVER

IN COVER..............................................................................................................ii

ACCEPTANCE of LETTER.............................................................................vi

CURRICULUM VITAE......................................................................................vii

ABSTRACT..........................................................................................................ix

ABSTRAK..............................................................................................................x

PREFACE.............................................................................................................xi

LIST of COUNTENT.........................................................................................xiii

LIST of TABLE................................................................................................xviii

LIST of FIGURE..................................................................................................xx

CHAPTER I INTRODUCTION

A. Research Background..................................................1

B. Problem Formulation...................................................7

C. Purpose and Benefits...................................................7

1. Purpose...........................................................................7

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2. Benefit ...........................................................................7

CHAPTER II LITERATUR RIVIEW

A. Marketing.....................................................................9

B. Marketing Strategy………………………………....10

C. Differentiation............................................................10

1. Definition ………………………………………...10

2. Dimension of Diferentation....................................11

D. Product Differentiation…………………………......12

E. Advantages of Product Differentiation…………….14

F. Image differentiation..................................................14

G. Word of Mouth...........................................................16

1. Definition of word of mouth...................................16

2. Character of Word Of Mouth................................18

3. Categories of WOM...............................................20

H. Purchase Decision ...................................................20

1. Definition of Purchase Decision.............................20

2. Process of Purchase Decision.................................21

I. Previous research …………………………..............26

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J. Conceptual framework………………………..........29

K. Hypothesis……………………….………………......30

CHAPTER III RESEARCH METHOD

A. Scope of Research.......................................................34

B. Sampling Method.......................................................35

C. Data Collection Method.............................................35

1. Primary Data....................................................35

2. Secondary Data………………………………36

D. Analysis Method.........................................................36

1. Validity and Reliability Test....................................36

a) Validity Test………………………...………36

b) reliability Test…………………………….…37

2. Classical Assumption Test………………………...37

a) Multicollinearity Test…………………...…….37

b) Heteroscedasticity Test…………………….…38

c) Normality Test………………………………..39

3. Multiple Linier Regression………………………..40

a) The Coefficient of Determination Test (R²)….41

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b) Simultaneous Test of F test…………….……..42

c) Partial test of t-test……………………………43

E. Operational Variable………………………….........45

1. Product Differentiation (X1)……………..………46

2. Image Differentiation (X2)……………..………..47

3. Word Of Mouth (X3)………………………….....48

4. Purchase Decision (Y)……………………………48

5. Table Operational Variable………………………51

CHAPTER IV ANALYSIS

A. General Description of Research Object …...…..54

1. History of Maicih………………………………...54

2. Marketing Strategies of Maicih………………......56

B. Analysis and Discussion………………………….57

1. Validity and Reliability Test……………………..57

a) Validity Test……….………………………..57

b) Reliability Test……………………………...60

2. Descriptive Analysis............................................63

3. Classical Assumption Test ………………………71

a) Multicollinearity Test……………..………...71

b) Heteroscedasticity Test………………...……72

c) Normality Test……………………...……….73

4. Multiple Linier Regression…………..…..………74

a) The Coefficient of Determination Test (R²)...75

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b) Simultaneous Test of F test………….……...76

c) Partial test of t-test………………….……….78

CHAPTER V CONCLUSIONS and IMPLICATION

A. Conclusions…………………………………………...81

B. Implication……….…………………………………...82

REFERENCE

APPENDIX

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List of Table

3.1 Likert scale of five (5) levels………………………………………….…45

3.2 Operational variable………………………………………………...……51

4.1 Validity Test: Product Differentiation (X1)…………………...................58

4.2 Validity Test: Image Differentiation(X2)………………………………. 59

4.3 Validity Test: Word of Mouth (X3)………………………………….…. 59

4.4 Validity Test: Purchase Decision (Y)…………………..…..……………60

4.5 Reliability Test: Product Differentiation(X1)……………………………61

4.6 Reliability Test: Image Differentiation(X2)……………………...………61

4.7 Reliability Test: Word of Mouth(X3)………………………….…...……62

4.8 Reliability Test: Purchase Decision (Y)…………………………...……..62

4.9 Population Data around State Islamic University in Jakarta…………….63

4.10 Maichi has variety size of spicy level…………………………..……..…64

4.11 Maicih has variety shape of chips……………………………………......64

4.12 Maicih has many variant product…………….…………………………..65

4.13 Maichi has high quality and low price……………………………….......65

4.14 Maichi has a more elegant packaging……………………………………66

4.15 Maicih have a unique logo that is easy to remember and simple……...…66

4.16 Maicih have different promotion from the others is the social media…...67

4.17 Maicih sponsoring Sundanese arts……………………………………….67

4.18 Talking about the positive things about chips Maicih with others……….68

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4.19 Get a recommendation from someone else to buy chips Maichi………...68

4.20 Get an encouragement to buy Maichi chips from others…………...……69

4.21 Maicih chips is a primary need for me……………………………….…..69

4.22 Search information on chips Maicih……………………………………..70

4.23 Consider the benefits provided in the purchase Maichi…………..……...70

4.24 Purchase decision of chips Maicih……………………………………….71

4.25 Multycoloniarity test………………………………………………..……71

4.26 Heteroscedasticity test…………………………………………...…….…72

4.27 Multiple linier regression……………………………...…………………74

4.28 Cooeficient determinant……………….……………...………………….75

4.29 F-Test…………………………………………………………………….76

4.30 t-Test…………………………………………………………………..…78

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List of Figure

2.1 5 Stage Model Of The Consumer Buying Process……………………….21

2.2 Step between evaluation of alternative and purchase decission…………25

2.3 Conceptual Model……………………………………………………….30

4.1 Normality Test…………………………………………………………...73

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CHAPTER I

INTRODUCTION

A. Research Background

Intense competition in business field, push the businessmen to look for an

appropriate strategy to sell their products. They have to be able to take exact

marketing strategy to attract the costumers, so they can dominate the market

share. The purchase decision becomes the most important thing to be concerned

about, because it will surely become consideration of how a marketing strategy

will be applied by the company later. (Purba, 2011:1)

According to Schiffman and Kanuk (2004:547) purchase decisions is the

selection of two or more alternative options purchase decisions, meaning that one

can make decisions, should be available some alternative options. The decision to

purchase could lead to how the decision-making process is done. Meanwhile

based on Kotler and Amstrong (2010: 179) purchase decision is the buyer’s

decision about which brand to purchase.

The buying process starts long before the actual purchase and continues long

after. In fact it might result in a decision not to buy. Therefore marketer must

focus on the entire buying process not just the purchase decision. So the buyer

decision process consists of five stages: need recognition, information search,

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evaluation of alternative, purchase decision, post purchase behavior. (Kotler and

Amstrong, 2010: 179)

According Siti Marlia (2009:94) purchase decision can be affected by

differentiation strategy. Based on Ahmad M. Zamil (2011:25) word of mouth

plays an important role in the purchase decision to the final consumer.

According to Kotler and Amstrong (2010:215) differentiation is the actually

differentiating the market offering to create superior customer value. Meanwhile

Based on Carpenter and Sanders (2009:176) differentiation is strategic position

based on products or offers services with quality, reliability or prestige that is

discernibly higher than that of competitors and for which customers are willing to

pay.

So based on the definition above, differentiation is the process of adding a set

of meaningful and valued differences to distinguish the company’s offering from

competitors’ offerings.

According to Amstrong and Keller (2009:220) differentiation has some

dimensions are: product differentiation, service differentiation, channel

differentiation, people differentiation and image differentiation. Meanwhile Kotler

and Keller (2012:312) define dimensions of differentiation are: employee

differentiation, channel differentiation, image differentiation and service

differentiation. This research uses the variable product differentiation and image

differentiation.

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According the Amstrong and Keller (2009: 220) product differentiation can

be defined brand differentiated on features, performance, or style and design.

Image differentiation is a person responds differently to company and brand

images. Identity comprises the ways that a company aims to identify or position

itself or its product, whereas image is the way the public perceives the company

or its products. (Hitesh Bhasin: 2011)

According Philip Kotler (1994:295) the main of image differentiation are:

symbol, media, atmosphere and event.

In addition analysis influence differentiation strategy to purchase decision

there is also influence word of mouth to purchase decision. According to Scffman

and Kanuk (2010:512) word of mouth is a form of informal communication

between individuals of a particular product or service. Meanwhile based on

Bughin, Doogan, and Vetvik (2010:4) word of mouth is undeniably complex and

has a multitude of potential origins and motivations, they are identified three

forms of word of mouth that marketers should understand: experiential,

consequential, and intentional.

At first time advertising through mass media like television and radio was

able to persuade the consumer for years. Now more and more consumers have

tremendous power than in the past. This is driven by the development of

alternative media such as internet and mobile phones. Consumers are increasingly

free to communicate without the constraints of space and time. Consumers are

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increasingly free to communicate without the constraints of space and time, this

will cause make of word of mouth.

Word of mouth is the primary factor behind 20 to 50 percent of all purchasing

decisions. Its influence is greatest when consumers are buying a product for the

first time or when products are relatively expensive, factors that tend to make

people conduct more research, seek more opinions, and deliberate longer than

they otherwise would. And its influence will probably grow: the digital revolution

has amplified and accelerated its reach to the point where word of mouth is no

longer an act of intimate, one-on-one communication. Today, it also operates on a

one-to-many basis: product reviews are posted online and opinions disseminated

through social networks. Some customers even create Web sites or blogs to praise

or punish brands. (Bughin, Doogan, and Vetvik 2010:2)

According to kotler and keller (2009:585) social network, such as facebook

and twitter have become an important force in business to consumer and business

to business marketing, a key aspect of social networks is word of mouth.

Many things and topics discussed by consumers in different occasions, from a

conversation between friends and family. Many rumors relating to a product that

spread in among of the consumer either positive or negative. The rumors mean

word of mouth.

According to kotler and keller (2009:586) word of mouth can be particullary

effective for smaller business for whom customer may feel a more personal

relationship.

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Maichi is one of the most famous cassava chips made in Bandung. Maicih is

one of the brands of cassava crackers that appear in the midst of complex

competition between cassava chips’ companies, have distinctive spicy flavor to

the audience themselves. Business established since June 29, 2010 in Bandung is

a trend among teens in addition to a sense of how the promotion is also very

different from the others. (Silvia, Hakim and Erlangga,2012:44)

Maichi is one of the snack food products that is loved by young people these

days. A product is chips with different levels of spicy. There are 10 levels of

hotness/spiciness in Maicih, level 1 to 10 but the popular ones are the level 3

(gray colored packaging) and level 5 (colored red packaging). The customers can

get the level of spicy product that fit the best. Different level of spicy it includes

one of them example product differentiation. (TesaTioarina: 2012)

Maichi has products differentiation with other product. Maichi products can

be differentiated in form, feature, performance quality and style. Maichi’s image

in social media has an event to create a Maichi’s jargon for the stakeholder by

management. For instance “nenek” for chip marker, “cucu” for the consumer,

“jendral” for the reseller, “ichier” for the fans Maichi, “republic Maichi” for the

management Maichi and “tericih-icih” for the addicted fans of Maichi product.

Through the family connection social media, Maichi’s management creates issue

or word of mouth (WOM) with the level of chips spiciness. (Dwi Wulandari:

2012)

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Through the internet like in twitter Maichi trying to create issue word of

mouth with the different levels of spiciness by chips. And not only that Maicih

chips is not sold in regular supermarkets or snack shops but in particular and

determine location that can only be known through twitter.

MAICHI made a breakthrough way of communication and marketing

products using social media like twitter and Facebook. Maichi includes the most

famous MAICHI brand in twitter by magazine marketing mix December 2011

edition . This proves that MAICHI success in promotion through word of mouth.

(Bambang sukma:2011)

Each month continues to increase, from a turnover of only a few become

many. Currently, a month has touched a turnover of Rp 4 billion, with an average

per week over Rp750 million. This indicates that consumer purchase decisions are

also higher. (Pipiet, Anda and Febry: 2011)

Data maicih respondent age was 72% of respondents aged 17-25 years and

28% aged 25-34 years, this means Maichi very popular among young people.

(Linsky Oktavia: 2011)

Study case around Sharif Hidayatullah State Islamic University Jakarta

because Maichi product very popular in young people and usually Maichi sold

among students like around State Islamic University in Jakarta.

Based on the explanation above, the research are interested in doing further

research in the form of thesis THE ANALYSIS OF INFLUENCE PRODUCT

DIFFERENTIATION, IMAGE DIFFERENTIATION AND WORD OF MOUTH

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TO PURCHASE DECISION “MAICHI” with study case of Maichi Consumer

around Sharif Hidayatullah State Islamic University in Jakarta.

B. Problem Formulation

Problem formulation is very important in a research to limit the problem

becomes obvious that can be used as guidelines in conducting the research. The

problem formulation in this research is:

1. Does the product differentation significantly influence purchase

decision?

2. Does the image differentiation significantly influence purchase decision?

3. Does the word of mouth significantly influence purchase decision?

4. Do the product differentiation, image differentiation and word of mouth

significantly influence purchase decision?

C. Purpose And Benefits

1. Purpose

The purpose of this research is to determine effect of product

differentiation, image differentiation and word of mouth to purchase

decision on product Chips Maichi at Consumer.

2. Benefit

a. For the company

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The study is expected to be input for a better understanding the

product differentiation, image differentiation and word of

mouth to purchase decisions in order to develop more effective

marketing strategies in the future.

b. For the author

The results of this research are expected to provide an

opportunity to increase knowledge and insight of marketing

especially are product differentiation, image differentiation and word

of mouth in consumer decision-making.

c. For other researchers

The results could be useful as a reference for future researches

related to marketing especially product differentiation, image

differentiation and word of mouth.

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CHAPTER II

LITERATURE REVIEW

A. Marketing

According to Amstrong and Kotler (2009:38) marketing is the activity, set of

institutions, and processes for creating, communicating, delivering, and

exchanging offerings that have value for customers, clients, partners, and society

at large.

Based on Lamb, Hair and Mc Daniel (2009:4) marketing is organizational

function and a set of process for creating, communicating and delivering value to

customer and for managing customer relationship in ways that benefit the

organization and its stakeholder.

According to Kotler and Armstrong (2010:5) marketing is the social process

by which individuals and organizations obtain what they need and want through

creating and exchanging value with others. In a business setting marketing

involves building and managing and managing profitable exchange relationship

with customer.

According to Kotler and Keller (2012:27) marketing is about identifying and

meeting human and social need. Marketing is a societal process by which

individuals and groups obtain what they need and want trough creating, offering

and freely exchanging products and services of value with others.

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So based on definition above at marketing is the management process through

which goods and services move from strategy to customer need and their

satisfaction.

B. Marketing Strategy

According to Kotler and Amstrong (2012:72) marketing strategy is the

marketing logic by which the company hopes to create customer value and

achieve profitable customer relationship.

Based on Walker, Mullins, Boyd and Larreche (2006: 11) marketing strategy

is the process to effectively allocate and coordinate marketing resources and

activities to accomplish the firm’s objectives within a specific product market.

So marketing strategy is a long-term course of action designed to optimize

allocation of the scarce resources at the disposal of a firm in delivering superior

customer experiences and promote the interests of other stakeholders.

C. Differentiation

1. Definition

Based on Amstrong and Kotler (2009:199) differentiation is actually

differentiating the market offering to create superior customer value.

According to Kertajaya (2004:15) which noted by Siti Marlia (2009:27)

differentiation is all effort to differentiate themselves with other competitors,

both in terms of content, context and infrastructure.

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According to Aeker (1989) which is noted by Dwi Endah Lestari (2005)

a successful differentiation strategy should be a strategy that is able to:

a. Produce customer value

b. Raise the perception that the typical and well worth

c. Appear as a distinct form that is difficult to replicate.

A key of successful differentiation strategy lies in the effort to develop “a

point of differentiation” especially from perspective view of the

customer rather than the perspective view of business operations.

Differentiation strategy can be used to build a strong brand and avoid the

commodity trap, marketers must start with the beliefs that can differentiate

anything. (Kotler and Keller ,2012:311)

So based on explanation above, differentiation is all the actions

performed by a marketer to differentiate themselves from other competitors to

get uniqueness. Differentiation is the strategy that can maintain purchase

decision. With differentiation strategy the customer can gets more product

value than other products.

2. Dimension of Differentiation

According to Amstrong & Keller (2009: 220) dimensions of

differentiation are: product differentiation, channel differentiation, image

differentiation and service differentiation.

a. Product differentiation: brand can be differentiated on feature,

performance or style and design.

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b. Service differentiation: service companies can differentiate itself by

action through speedy, convenient or careful delivery.

c. Channel differentiation: a company gain competitive advantage

through the way they design their channel coverage, expertise and

performance.

d. People differentiation: hiring and training better people than their

competitors do.

e. Image differentiation: a company or brand image should convey the

product’s distinctive benefits and positioning.

D. Product differentiation

According to Amstrong and Keller (2009:360) product is anything that can be

offered to a market to satisfy a want or need.

According to Cravens and Piercy (2009:98) product differentation is occur

when a product offering is perceived by the buyer as different from the

competition on any physical or nonphysical product characteristic, including

price.

Brand can be differentiated on features, performance, or style and design.

(Amstrong and Keller ,2009:220)

In product differentiation, the seller faces an abundance of differentiation

possibility including form, feature, customization, performance quality, durability,

reliability, repair ability and style. (Kotler and Keller, 2012:351)

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1. Form: size, shape, physical structure of a product

2. Feature: that supplements their basic function. According to Kotler and

Amstrong (2006:348) feature is the variety of products offered

3. Customization: as companies have grown proficient at gathering

information about individual customers and business partner and as their

factories are being designed more flexibly, they have increased their

ability to individualize market offerings, messages and media.

4. Conformance quality: the degree to which all produced units are identical

and meet promised specifications.

5. Performance quality: level at which the product’s primary characteristics

operate, quality is increasingly important for differentiation as companies

adopt a value model and provide higher quality for less money.

6. Durability: a measure of the product’s expected operating life under

natural or stressful condition is a valued attribute for vehicles, kitchen

appliances and other durable goods.

7. Reliability: a measure of probability that a product will not malfunction or

fail within a specified time period.

8. Repair ability: measure the ease of fixing a product when it malfunction or

fails.

9. Style: describes the product’s look and feel to the buyer.

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E. Advantages of Product differentiation

Some of the advantages to be gained by businesses and market participants of

the product differentiation strategy: (www.bisnisUKM.com: 2011)

1. Product more memorable to consumers: everything that is unique and

different, it would be easier to recognize and remember the product,

compared to other products that have been common in the market.

2. The product is superior compared to other products : if other products are

considered standard by the consumers of the products you will look

superior to other products

3. Increase of selling prices product: consumers willing to pay expensive, to

be able to enjoy the innovative products offered by market participants.

4. Overcome the issue of market saturation: differentiation of products can

help businesses and consumers when market participants boring with the

regular product offers.

5. Helped create a product image: the more unique the product it will be

even easier for consumers to recognize the product and the greater the

opportunity to embed the product image.

F. Image differentiation

Image is formed as a result of all the experiences, values and the impression

that external actors have about the company. The image is a powerful tool to use

for differentiation. A strong image does not arise on one day; it takes a significant

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amount of time to build. A company's image can be described as the overall

perception of the company. The image can be enhanced by promotional activities,

environmental factors, competitor‟ s actions or by non- paid for activities, such as

word of mouth. Image is formed as a result of all the experiences, values and the

impression that external actors have about the company. (Jacqueline and

Marjorie,2011: 20)

Even when competing offers look the same, buyer may perceive a difference

based on company or brand image differentiation. A company or brand image

should convey the product’s distinctive benefits and positioning. (Amstrong and

Keller, 2009: 220)

According to Philip Kotler (1994: 295) even when competing offers look the

same, buyers may respond differently to the company or brand images. The main

of image differentiation are:

1. Symbol : a strong image consists of one more symbols that trigger

company or brand recognition. The company and brand logos should be

designed for instant recognition.

2. Media : the message should be replicated in other publication,

such as annual report, brochure, and catalogs.

3. Atmosphere : the physical space in which the organization produces or

delivers its products and services becomes another powerful image

generator.

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4. Event : a company can build an identity through the type of events

it sponsors and create event to explode a bombshell.

The uniqueness of the image that will differentiate a company formed with

other companies and eventually the image will reflect the uniqueness of the

situation, quality, and condition of the company’s own that can attract customers

to use products or services from companies.

G. Word of mouth

1. Definition word of mouth

According to Khasali (2008) which is noted by Ervinna (2011), word

of mouth is something talked by people, the conversation occure because

there is a controversy which is differenciate with the ordinary and normal

things in society.

According to Michael. R. Solomon (2004:379) word of mouth is

product information individuals transmit to other individuals. Because we

get the word from people we know, wom tends to be more reliable and

trustworthy than messages from more formal marketing channels. And

unlike advertising, wom often comes with social pressure to conform to

these recommendations. Ironically, despite the money marketers’ entire

pump into lavish ads, Wom is far more powerful: it influences two-thirds

of all consumer-goods sales.

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So word of mouth is the sound of new ideas up to our ears in several

ways such as; telling stories, dialogs, conversations, shared experiences

radio and etc., and its impact remains on our souls until we ear another

story, thus, word of mouth helps us to know about what is new, and what

is the latest.

According to Michael R Solomon (2004:381) wom is especially

powerful when the consumer relatively unfamiliar with the product

category. Talk gives the consumer an opportunity to generate more

supporting arguments for the purchase and to garner support for this

decision from other.

Marketing world with rapidly technological development which has

made consumers in the end become a force that has tremendous

potential, as in the daily life of consumers to talk about some things,

including about a product. And at times like these terms are known

to occur with word of mouth and buzz marketing. Word of mouth now is

a very effective due to the rapid technological development make the

consumer with easy to talk about a product but when face to face, word

of mouth can also occur via the internet through social networking and

mobile that allow the world of mouth. And ultimately accelerate the

arrival of technology increasingly spoken language. (Purba,2011:24)

The statement above shows that how powerful word of mouth

communications have affected a consumer in making purchase decision.

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Consumers use word of mouth to talk about dozens of brand each

day, from media and entertainment products such as movies, TV shows

and publications, for example to food products, travel services and retail

stores. Word-of-mouth has been proven to be an effective method of

obtaining useful information for purchase decisions. (Mark Hughes,

2007: 31)

Increasingly ,word of mouth is being driven by social media in the

form of online communities and forums, blogs, and social networks such

as Fcebook, Twitter, an YouTobe. (Kotler and Keller, 2012: 584)

In order to influence consumer decisions a successful word-of-mouth

message should address important products or service features. (While

marketers tend to build campaigns around emotional positioning,

consumers actually tend to talk—and generate buzz—about functional

messages). Word-of-mouth equity is a brand’s power to generate

messages that influence the consumer’s decision to purchase. In essence,

this is the average sales impact of a brand message multiplied by the

number of word-of-mouth messages. (Stratmann:2010)

2. Character of word of mouth

According to Hutabarat (2008) which is noted by Ervina (2011),

word of mouth can be benefit or damage. Word of mouth can be divided

into 2 (two) character:

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a. Positive Word of mouth (PWOM) is the form of word of mouth that

can arise when a product that has been consumed successfully

satisfying customers. Consumers who are satisfied are not necessarily

going to tell anyone. Word of mouth new positive will emerge from

an experience that is considered remarkable by the consumer, who at

that time a high level of emotional satisfaction.

b. Negative word of mouth (NWOM) is the form of word of mouth that

can arise when product consumption were disappointing. Is a

phenomenon of the most feared company because a disappointed

consumer would speak, not only the people closest to it. Consumers

will try to convey his disappointment to many people as possible.

According to Sumardi (2009) word of mouth also takes also takes

many forms online or off line. Three noteworthy characteristics are:

a. Credible: because people trust others they know and respect word of

mouth can be highly influential.

b. Personal: word of mouth can be a very intimate dialogue that reflects

personal facts, opinions and experience.

c. Timely: it occurs when people want it to and when they are most

interested and it often follows noteworthy or meaningful events or

experience.

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3. Categories of WOM

According to Andy Sernovitz (2012:6) there are 2 (two) categories of

word of mouth are:

a. Organic word of mouth

Organic word of mouth that springs naturally from the positive

qualities of your company. Many experts would argue that this is the

only legitimate form of word of mouth.

b. Amplified word of mouth

Word of mouth that is started by an intentional campaign to get

people talking.

Word of mouth can be measured with sub variable process

spreading, with the indicator as follows: (Rachmanda: 2009 in Satwika,

Dipta Rizky: 2011: 43)

a. Talk positively by other about the product

b. Recommend products by others

c. Encouragement by others to make a purchase

H. Purchase Decision

1. Definition of Purchase Decision

According to Kotler and Amstrong (2010: 179) purchase decision is the

buyer’s decision about which brand to purchase.

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Based on Schiffman and Kanuk (2004:547) purchase decisions is the

decision as the selection of action of two or more alternative choices.

Based on definition above, purchase decision is a process of selecting a

few alternative options, to take one of the many alternative choices.

2. Process of purchase decision

Specific decision-making process consists of the following sequence of

events are: problem recognition, information search, evaluation of alternative,

purchase decision, post purchase decision. (Kotler and Keller ,2012: 188)

Buyer decision process can be seen in the chart as follows :

Problem Recognition

Information Seacrh

Evaluation Of Alternative,

Purchase Decision

Post Purchase Decision

Figure 2.1

5 Stage Model of the Consumer Buying Process

(Kotler and Keller, 2012)

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In detail, the stages can be described as follows:

a. Problem recognition: the buying process starts when the buyer

recognizes a problem or need triggered by internal or external stimuli.

With an internal stimulus, one of the person’s normal needs-hunger,

thirst, sex-rises to a threshold level and become a drive. A need can

also be aroused by external stimulus.

The need is anything that humans needed to prosper. Human needs

reflect the feeling unsatisfied want fulfilled in man which appears

naturally in order to survive. Types of needs human needs are many

and varied. Broadly speaking, human needs can be divided into four

groups, as follows: (Fardani: 2013, acces from

okezoned.blogspot.com/2013/02/various-human-needs-and-kind.html)

1) Needs Primary or Necessity: primary needs are primary needs

that must be met in order to sustain human life. In other

words, the primary requirement is a requirement that must be

met in order for humans to live. Those needs comes

naturally. Primary need is also called 'natural

needs'. Examples are included in the primary requirement is

the need to eat, drink, clothing, and shelter.

2) Secondary Needs : after people can meet the needs of

primary or basic needs, humans still need other needs that are

complementary. The need is a secondary requirement, which

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needs to be fulfilled after the primary needs are

met. Examples include secondary needs include the need for

televisions, refrigerators, desks, chairs, books, and stationery.

3) Tertiary Needs: the need for tertiary are needs that must be

met after the primary and secondary needs are met. Basically,

tertiary needs is a human need for goods and services that are

considered luxury (lux), such as luxury cars, yachts, private

aircraft, and tours abroad.

b. Information search: consumer often search for limited amounts of

information. First step is a person simply becomes more receptive to

information about the product and then second step is person may

enter an active information search.

Consumers can obtain information from any of several sources.

These include personal sources (family, friends, neighbors, and

acquaintances), commercial sources (advertising, salespeople, web

sites, dealer, packaging, displays), public sources (mass media,

consumer rating organizations, internet searches), experiential sources

(handling, examining, using the product). The relative influence of

these information sources varies with the product and the buyer.

(Amstrong and Kotler, 2009:178)

c. Evaluation of alternative: the consumer forming judgment largely on

conscious and rational basis. Some basic concepts to consumer

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evaluation process: first, the consumer is trying to satisfy a need.

Second, the consumer is looking for certain benefits from the product

solution. Third, the consumer sees each product as a bundle of

attributes with varying abilities to deliver the benefit. The consumer

will pay the most attention to attribute that deliver the sought after

benefit.

The consumer arrives at attitude toward different brands through

some evaluation procedure. How consumers go about evaluating

purchase alternatives depend on individual consumer and the specific

buying situation. (Amstrong and Kotler, 2009:179)

d. Purchase decision: the consumer forms preference among the brand in

the choice set and may also from an intention to buy the most

preferred brand.

In the evaluation stage, the consumer ranks brands and forms

purchase intention. Generally, the consumer’s purchase decision will

be to buy the most preferred brand, but two factors can come between

the purchase intention and purchase decision. The first factor is

attitude of others and the second factor unexpected situational factors.

(Amstrong and Kotler, 2009:179)

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Figure 2.2

Step between evaluation of alternative and purchase decision

(Kotler and Keller, 2012)

e. Post purchase decision: after purchase, the consumer may have

noticed a discrepancy due to certain features that disturb or hearing

things that are fun about other brands, and will always be alert to

information that supports his decision.

This the five stages of the consumer decision making process just a general

model of the decision making process and it emphasizes that the buying decision

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making process starts before the actual purchase and continues even after the

purchase. It also encourages the marketer to focus on the complete buying

process and not just on the purchase decision.

I. Previous Research

This literature review conducts the research with comparing than previous

research studies, such as:

1) Effect of Differentiation Strategy to Purchase Decision on Prepaid Card

IM3 in Malang. (Siti Marliah,2009)

This research was to examine the relationships between variable

differentiation strategy (product differentiation, personnel differentiation

and image differentiation) to purchase decision. The data collection

technique uses questioner, interview and documentation. The sample

consisted 96 respondent. Data analysis method uses multiple linier

regressions. The result shows that where product differentiation the

calculated t was 2,037 with regression coefficient 0,142 , personnel

differentiation the calculated t was 0,363 with regression coefficient 0,038

and image differentiation the calculated t was 3,695 with regression

coefficient 0,366 which is means personnel differentiation not significant

statistically to purchase decision, while product differentiation and image

differentiation significant statistically to purchase decision.

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2) Analysis Influence Differentiation, Promotion and Positioning to Purchase

Decision on Honda Motorcycle in Semarang. (Frendy Prasetya ,2011)

This research was to examine the relationships between variable

differentiation, promotion and positioning to purchase decision on Honda

Motorcycle in Semarang. The data collection technique uses questioner

with sample 100 respondent and focus on customers Honda motorcycle.

Data analysis method uses validity, realibility, the classic assumption

test, multiple regression analysis, hypothesis testing with (t test and F

test), and analysis of coefficient of determination (R2). The result shows

that the coefficient of determination shown in the adjusted R Square of

0.704, which means that its influence purchasing decisions can be

explained by the three independent variables in this research that

differentiation, promotion, and positioning of 70.4%, and the remaining

29.6% can be explained by other variables outside the model of this

research.

3) The Impact of Word of Mouth (WOM) on The Purchasing Decision of

The Jordanian Consumer. ( Ahmad M. Zamil ,2011)

This research is descriptive quantitative one with analytical

measurements to measure the relationship between the research variables.

The sample consisted 1200 respondent. The results shows that word of

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mouth from family, friends, peers and relatives has greater impact on the

buying decision than other sources such as the company staff and

salesmen. Where the calculated T was 21.041 and it is larger than 1.96,

which means the acceptations of the hypothesis that states. There is a

significant statistically relationship between the buying decision of the

final consumer and the source of word of mouth.

4) Analysis Influence Promotional Mix and Word Of Mouth to Purchase

Decision of Life Insurance Product. (Dipta Rizky Satwika,2011)

This research was to examine the relationships between variable

promotional Mix and word of mouth to purchase decision. The data

collection technique uses questioner with 60 respondents. Data analysis

method uses multiple linier regressions. Statistical testing using R square

test, t test and f test. The results showed there were significant effects of

word of mouth to the purchase decision. It can be seen from the

probability value of less than an alpha of 0.05. As for the promotioanal

mix variable showed no significant influence on purchase decision. It can

be seen from the probability value is more than an alpha of 0.05. The

results also showed that the R square value of 0.429. This means the

promotional mix and word of mouth influence purchase decision by 42.9

% while the rest ( 57.1%) affected by other factors. Between word of

mouth of the purchase decision. But in testing the partial promotional

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mix the variable dis not significantly influence the purchase decision

because the t count value is smaller than t table that is 1,105<1,672.

While the variable word of mouth is partially significant effect on

purchase decisions because t count value is greater than the table t value

5, 312>1,672. So means word of mouth more signicantly influence to

purchase decision than promotional mix.

J. Conceptual Model

Conceptual model used to describe the influence of product differentiation,

image differentiation and word of mouth to purchase decision of Maichi chip.

There is inter-correlation among the variables between independent variables

and dependent variables. Independent variable consist product differentiation,

image differentiation and word of mouth. Which is dependent variable is purchase

decision.

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That relationship can be seen in the chart as follows:

Figure 2.3

Conceptual Model

K. Hypothesis

According to Malhotra (2009:78) hypothesis is an unproven statement or

proposition about a factor or phenomenon that is of interest to the researcher. The

hypothesis can also be stated as a posible answer to the research question. A

useful hypothesis is a predictable statement which may include a prediction

explanation.

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Based on problem definition and literature review that explained already, the

hypothesis development can be formulated as:

1) The relationship between product differentiation and purchase decision

According to Siti marliah (2009:01) differentiation is a chain of

differences which means to differentiate company’s offering from

competitor’s offering. The choice of goods among many products is

always based on differences, implicit or explicit. A consumer will consider

differentiation offering in choosing products that will be bought; they will

be influenced by products differentiation. So product differentiation can

affect purchase decision.

Product differentiation is the process in which companies offer

products or services with unique attributes to customers. Customers crave

product distinctions to make purchasing decisions. (Laura Acevedo:

www.eHow.com)

So based on explanation above the the hypothesis can be drawn as

follows:

H1 : Product differentiation has significant influence to purchase decision

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2) The relationship between image differentiation and purchase

decision

A company brand image should represent the products benefits

and the company positioning on the market. The image represents the

promise that the products will perform to expectations of the customers.

A good brand that process good image would make the customer feel

uncomfortable buying from any other brand. That mean image

differentiation affect purchase decision. (Jacqueline and Marjorie,

2011:11)

According to Siti marliah (2009:01) differentiation is a chain of

differences which means to differentiate company’s offering from

competitor’s offering. The choice of goods among many products is

always based on differences, implicit or explicit. A consumer will

consider the differentiation offering in choosing products that would

buy; they will be influenced by image differentiation. So image

differentiation can affect to purchase decision.

So based on explanation above the the hypothesis can be drawn as

follows:

H1 : Image differentiation has significant influence to purchase decision

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3) The relationship between word of mouth and purchase decision

Word of Mouth is the sound of new ideas up to our ears in several

ways such as; telling stories, dialogs, conversations and shared

experiences radio.Word of mouth from family, friends, peers and relatives

has greater impact on the buying decision than other sources such as the

company staff and salesmen.Word of mouth may be positive or negative

the customers who are satisfied will continue purchasing the product. So

there is a significant statistically relationship between the buying decision

of the final consumer, and the source of word of mouth. (Ahmad M.

Zamil, 2011:24)

According to Mark Hughes (2007:31) consumers use word of mouth

to talk about dozens of brand each day, from media and entertainment

products such as movies, TV shows and publications, for example to food

products, travel services and retail stores. Word-of-mouth has been proven

to be an effective method of obtaining useful information for purchase

decisions.

So based on explanation above the the hypothesis can be drawn as

follows:

H1 : Word of mouth has significant influence to purchase decision

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CHAPTER III

RESEARCH METHODOLOGY

A. Scope of Research

This research was conducted to analyze the influence of differentiation

strategy (product differentiation, image differentiation) and word of mouth to

purchase decision on Maichi Chip product.

The research will be conducted at Sharif Hidayatullah State Islamic

University Jakarta, its implementation in March 2012 until the completion

writing, determination of the target is consumers who have purchased product

Maichi Chip. The case studies of Maichi Consumer Sharif Hidayatullah State

Islamic University in Jakarta because Maichi product very popular in young

people and usually Maichi sold among students like in State Islamic University in

Jakarta.

This research used a method quantitative causal research that aims to clarify

the effect of independent variable Product Differentiation (X1), Image

Differentiation (X2) and Word Of Mouth (X3) to dependent variable Purchasing

Decision (Y).

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B. Sampling Method

According to Sugiyono (2009: 81) sample is a member of the selected

population using a specific procedure that is expected to represent its

population. Meanwhile based on Malhotra (2009:370) sample is a subgroup

of the elements of the population selected for participation in the study.

According to Malhotra (2009:377) convenience sampling is a non

probability sampling technique that attempts to obtain a sample of convenient

element. The selection of sampling units is left primarily to the interviewer.

In the development of this study researcher used a 100 questionnaire

respondents. The use of these 100 questionnaires with technical reasons is

greater speed of data collection and lower cost. (Cooper and

Schindler,2006:403)

The use of these 100 questionnaires with technical reasons because the

proper sample for this research between 30 to 500 people. (Sugiono,2010: 74)

C. Data Collection Method

1. Primary Data

Primary data is data the researcher collects to address the specific

problem of the research question at hand. (Cooper and Schindler,2006:89)

Primary data obtained from direct consumer review how the object of

research and the techniques used Questionnaire.

According to Malhotra (2009:330) questioner is a formalized set of

question for obtaining respondent. In this study the author ask the question in

writing.

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2. Secondary Data

According to Cooper and Schindler (2006: 89) secondary data is the

result of studies done by others and for different purpose than the one for

which the data are being reviewed.

Secondary data is data obtained indirectly or through another party, or

a historical report prepared in the archives, published or not. Secondary

data use: book, magazines and the internet. (Malhotra ,2009:124)

D. Analysis Method

1. Validity and Reliability Test

a. Validity

According to Malhotra (2009: 316) validity is the extent to which

observed scale scores reflect true differences among objects on the

characteristic being measured, rather than systematic or random

errors.

According to Duwi Priyatno (2010:90) in determining the worth /

absence of an item to be used, usually performed significance test of

correlation coefficient at 0.30 limitations minimal correlation, meaning

that an item is considered valid if the total score is greater than 0.30.

Validity and reliability tests conducted by distributing

questionnaires to 100 respondents around Uin Syarif Hidayatullah

Jakarta, in which questionnaire contains 15 questions / statements that

must be answered by the respondents and then the data using software

Product Statistics (SPSS) 20 for Windows.

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b. Reliability

Reliability refers to the extent to which a scale produces

consistent results if repeated measurements are made. Therefore,

reliability can be defined as the extent, to which measures are free

from random error (Maholtra, 2009:315)

According to Ghazali (2006:46) reliability measurements can be

done in 2 ways:

1) Measure or measurements repeated: here someone will be given

the same questions at different times, and then see if he remains

consistent with the answers.

2) One shot or one-time measurement: here measurement only once

and then the results were compared with another question or

measure the correlation between answers to questions.

This research will use one time measurement that using Cronbach

alpha test (α). A variable is said to provide reliable if the Cronbach

alpha values > 0.60. (Ghozali, 2006:46)

2. Classical Assumptions Test

a. Multicollinearity Test

According to Imam Ghozali (2006:95) multicollinearity test aimed to test

whether regression model is founded correlation among independent

variables. To detect the presence or least multicollinearity in the regression

model is as follows:

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1) The value of R2 is generated by an empirical regression estimates are

very high, but individually variable, independent variables are many

that do not affect the dependent variable.

2) Analyzing the correlation matrix of variables-the independent

variable. If there is a correlation between independent variables is

quite high (usually above 0.90), then this is an indication of

multicollinearity. If below 0.90, the absence of multicollinearity.

3) Multicollinearity also can be seen from the value of tolerance and

Variance Inflation Factor (VIF). Both these measures indicate each

independent variable which is explained by other independent

variables. Tolerance measures the independent variables were

selected that are not explained by other independent variables. Low

tolerance value equal to a high VIF value (because VIF =

1/Tolerance). Value commonly used to indicate the presence

multicollinearity is tolerance value > 0.10 and the value of VIF < 10.

Each investigator must determine the level of colinearity which it still

can be tolerated.

b. Heteroscedasticity Test

According to Imam Ghozali (2006:125) heteroscedasticity test aimed

to test the regression model. In the regression model, there are differences

on variants from one observation to others. If variants from residual

constant, so it called heterokesdastisity. A good regression model if there

is no heterokesdastisity.

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According to Duwi Priyatno (2012:158) glejser test is done by

regressing between the independent variable with residual absolute value.

If the value of significance between independent variable with absolute

residuals more than 0.05, so there is no problems heteroscedasticity. Step

analyses in SPSS are as follows:

1. Find the value of unstandardized residuals: click Analyze>

Regression> Linie

2. Classify the dependent and independent table

3. Click Save> unstandardized> Ok

4. Search for absolute residual values: click Transform> Compute

Variable

5. ABS_RES click on the Target Variable and enter the Numeric

Expression unstandardized residuals at the start with the words ABS

6. Regressing the independent variable with the absolute value of

residuals: click Analyze> Regression> Linear

7. Enter ABS_RES of Dependent table and enter the variable X1, X2,

X3 in the Independent table > OK

c. Normality Test

According to Imam Ghozali (2006:147) normality test is a test of the

normality of data distribution. Normality test is a test of the most widely

performed by parametric statistical analysis. The use of normality tests

because there is a parametric statistical analysis, the assumptions that

must be owned by data is that the data are normally distributed. The

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purpose normally distributed data is that data will follow a normal

distribution form.

There are two ways to detect whether or not residual normal

distribution, those are with graph analysis and statistical tests. One of the

easiest ways to see the normality of residuals is to look at a histogram

graph comparing observational data with the distribution of near-normal

distribution. Normal distribution will create a straight line diagonal and

plotting residual data will be compared with the diagonal line. If the

residual data distribution is normal, then the line that describes the actual

data will follow the diagonal line.

E. Multiple Linier Regression

Multiple linear regression analysis is to measure the magnitude of the

effect between two or more independent variables and to predict dependent

variable using the independent variable. (Duwi Priyatno, 2012:127)

Multiple Linear Regression Equation:

Y = a + ß1X1 + ß2X2 + ß3X3

Y =Dependent Variable (Purchasing Decision)

X1, X2, X3 =Independent Variable (Product differentiation (X1), Image

differentiation (X2) and Word of mouth (X3))

ß1, ß2 = Regression Coefficient

a = Constanta Number

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From the counting with SPSS 20 gain the information and explanation

on the coefficient determination, F test, and T test to answer the

formulation of the problems. These are the following explanation that is

connecting to the problem above, that is:

a. The Coefficient of determination Test (R2)

According to Imam Ghozali (2006:202) the coefficient of

determination (R2) essentially measure how far the ability of models to

explain variation in the dependent variable. The value determination of

coefficient is between zero and one. The R2 is small means that the ability

of independent variables in explaining variations in the dependent variable

is very limited. Value close to one berate the independent variables

provide almost all the information needed to predict the variation of the

dependent variable.

Basic weaknesses use the coefficient of determination is biased

towards the number of independent variables entered into the model. Each

additional one independent variable, then R2 would increase, no matter

whether these variables affect the dependent variable or not. Therefore, in

this research used is the R Square that have been adapted or Adjusted R2

as adjusted for the variables used in this research.Adjusted R2 value can

rise or fall if an independent variable added into the model.

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b. Simultaneous Test of F test

F test essentially indicates whether all the independent variables or

independent variables included in the model have jointly influence on the

dependent variable. The probability is smaller than 0.05, then the result

means that there are significant effects of independent variables

collectively against the dependent variable. Step to examine the hypothesis

with F test as follow (Ghazali,2006, 203) :

1) Determine Hypothesis:

Ho: β1, β2, β3=0, there is no significant influence

simultaneously among variable of product differentiation,

image differentiation and word of mouth to purchase decision

Ha: β1, β2, β3≠0, there is significant influence simultaneously

among variable of product differentiation, image differentiation

and word of mouth to purchase decision

2) Determining level of significance

Criteria for testing the significance level is amount 5% or (α)

=0.05.

3) Determining the criteria acceptance and reject of Ho

If F test > F table, so Ho rejected and Ha accepted, means

independent variable simultaneously have significant influence

to dependent variable.

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If F test < F table, so Ho accepted and Ha rejected, means

independent variable simultaneously don’t have significant

influence to dependent variable.

c. Partial test of T-test

This test method is used to partial test or t test aims to determine how

big the influence of each independent variable (X) individually partially

toward dependent variable (Y) (Ghozali, 2006:88).

T test method is as follows (two tail test):

1) Determine Hypothesis

Product differentiation hypothesis:

Ho: β1=0, there is no significant influence partially between

Product differentiation and purchase decision.

Ha: β1≠0, there is significant influence partially between product

differentiation and purchase decision.

Image differentiation hypothesis:

Ho: β2=0, there is no significant influence partially between

image differentiation and purchase decision.

Ha: β2≠0, there is significant influence partially between product

differentiation and purchase decision

Word of mouth hypothesis:

Ho: β3=0, there is no significant influence partially between

word of mouth and purchase decision.

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Ha: β3≠0, there is significant influence partially between trust in

word of mouth and purchase decision

2) Determining level of significance (Lind et al.,2010:338)

Criteria for testing the significance level is amount 5% or (α) =

0.05, because use two tailed so α value divided 2 so 0.025

3) Determining t table (Lind et al.,2010:338)

Distribution of t table searched on α = 5% with degree of

freedom (df) = n-k-1 (number of questionnaire-number of

independent variable-1)

4) Comparing value t test with value t table (Suharyadi,2009:90)

If -t test < - t table it means Ho rejected and Ha accepted, so

independent variable partially has significant influence toward

dependent variable.

If t test > + t table it means Ho rejected and Ha accepted, so

independent variable partially has significant influence toward

dependent variable.

Measurement Scale of Variable

A measurement of each variable in this research uses linkert scale to measure

attitudes, opinion and perceptions of individuals or groups social phenomena.

(Sugiyono, 2009:94)

By using a Likert scale, the measurement variable is an indicator variable that

will be outlined. Using a Likert scale of five (5) levels to express the

attitude or the respondent's answer as follows:

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Table 3.1

Likert scale of five (5) levels

(Sugiyono, 2009:94)

No Range Weight

1 Strongly agree (SA) 5

2 Agree (A) 4

3 Neutral (N) 3

5 Disagree (D) 2

6 Strongly disagree (SD) 1

F. Operational Variable

According to Cooper and Schindler (2006:40) variable is used as a synonym

for construct or the property studied. A variable is a symbol of an event, act,

characteristic, trait or atribute that can be measured and to which assign

categorical values.

Variable used in this study consisted of two variables are independent

variables and the dependent variable.

Independent variable is the variable manipulated by the researcher that gives

influence or the causal of the changes happen or the effect from dependent

variable. (Cooper,2006:63)

According to Cooper (2006:63) dependent variable is the variable measured,

predicted, or otherwise monitored by researcher; expected to be affected by

manipulation of independent variable.

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Independent variables in this research are the product differentation (X1),

image differentation (X2) and word of mouth (X3). Dependent variable is

purchase decision (Y). These will be specified independent variable and the

dependent variable through operational definition as follows:

1. Product Differentiation (X1)

According to Cravens and Piercy (2009:98) product differentation occur

when a product offering is perceived by the buyer as different from the

competition on any physical or nonphysical product characteristic, including

price.

Based on Kotler and Keller (2012: 352) the product differentiation

consists of:

a. Form: size, shape, physical structure of a product

b. Feature: that supplement their basic function. According to Kotler and

Amstrong (2006:348) feature is the variety of products offered

c. Customization: as companies have grown proficient at gathering

information about individual customers and business partner and as their

factories are being designed more flexibly, they have increased their

ability to individualize market offerings, messages and media.

d. Conformance quality: the degree to which all produced units are identical

and meet promised specifications.

e. Performance quality: level at which the product’s primary characteristics

operate, quality is increasingly important for differentiation as companies

adopt a value model and provide higher quality for less money.

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f. Durability: a measure of the product’s expected operating life under

natural or stressful condition is a valued attribute for vehicles, kitchen

appliances and other durable goods.

g. Reliability : a measure of probability that a product will not

malfunction or fail within a specified time period.

h. Repair ability: measure the ease of fixing a product when it malfunction or

fails.

i. Style: describes the product’s look and feel to the buyer.

2. Image Differentiation (X2)

Based on Amstrong & Keller (2009 :220) image differentiation is a

company or brand image should convey the product’s distinctive benefits and

positioning.

According to Philip Kotler (1994: 295) the main of image differentiation

are:

a. Symbol : a strong image consists of one more symbols that trigger

company or brand recognition. The company and brand logos should be

designed for instant recognition.

b. Media : the message should be replicated in other publication,

such as annual report, brochure, and catalogs.

c. Atmosphere : the physical space in which the organization produces or

delivers its products and services becomes another powerful image

generator.

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d. Even : a company can build an identity through the type of events

it sponsors and create event to explode a bombshell.

3. Word Of Mouth (X3)

According to Schiffman and Kanuk (2010:512) word of mouth is a form

of informal communication between individuals of a particular product or

service.

Word of mouth can be measured with sub variable process spreading,

with the indicator as follows: (Rachmanda: 2009 in Satwika, Dipta Rizky:

2011)

a. The customer’s willingness to talk positively about the product by others.

b. Recommended products by others

c. Encourage by others to make a purchase the product

4. Purchase Decision

Based on Kotler and Amstrong (2010: 179) purchase decision is the

buyer’s decision about which brand to purchase.

Specific decision-making process consists of the following sequence of

events are: (Kotler and Keller, 2012: 188)

a. Problem recognition: the buying process starts when the buyer recognizes

a problem or need triggered by internal or external stimuli. With an

internal stimulus, one of the person’s normal needs-hunger, thirst, sex-rises

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to a threshold level and becomees adrive. A need can also be aroused by

external stimulus.

The need is anything that human’s necessary to prosper. Human needs

reflect the feeling unsatisfied want fulfilled in man which appears naturally

in order to survive. Types of needs human needs are many and

varied. Broadly speaking, human needs can be divided into four groups, as

follows: (Fardani: 2013)

1) Needs Primary or Necessity: primary needs that must be met in

order to sustain human life. In other words, the primary

requirement that must be met in order for humans to live. Those

needs come naturally. Primary need is also called 'natural

needs'. Examples are included in the primary requirement is the

need of eating, drinking, clothing, and housing.

2) Secondary Needs : after people can meet the needs of primary or

basic needs, humans still need other needs that are

complementary. The need is a secondary requirement, which needs

to be fulfilled after the primary needs are met. Examples include

secondary needs include the need for televisions, refrigerators,

desks, chairs, books, and stationery.

3) Tertiary Needs: the need for tertiary are needs that must be met

after the primary and secondary needs are met. Basically, tertiary

needs is a human need for goods and services that are considered

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luxury (lux), such as luxury cars, yachts, private aircraft, and tours

abroad.

b. Information search: consumer often search for limited amounts of

information.

c. Evaluation of alternative: the consumer judgment’s largely on conscious

and rational basis. Some basic concepts to consumer evaluation process:

first, the consumer is trying to satisfy a need. Second, the consumer is

looking for certain benefits from the product solution. Third, the consumer

sees each product as a bundle of attributes with varying abilities to deliver

the benefit.

d. Purchase decision: the consumer forms preference among the brand in the

choice set and may also from an intention to buy the most preferred brand.

e. Post purchase decision: after purchase, the consumer may have noticed a

discrepancy due to certain features that disturb or hearing things that are

fun about other brands, and will always be alert to information that

supports his decision.

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4. Table Operational Variable

Table 3.2

Operational variable

Variable Sub variable Indicator Scale

Product

Differentiation

(X1)

Kotler and

Keller (2012)

1) Form Has a variety size of

spicy levels

Has a variety shape of

chips

Likert

2) Feature Has many variant

product

Likert

3) Performance

quality

Higher quality and low

price

Likert

4) Style Packaging more elegan

with paper bag

Likert

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Variable Sub variable Indicator Scale

Image

differentiation

(X2)

Philip kotler

(1994)

1) Symbol Unique logos, easy to

remember and simple

Likert

2) Media Promotion is done

through the

online media is different

from others

Likert

3) Events

Sponsoring event

traditional art in

sundanese

Likert

Word of

mouth (X3)

Rachmanda:

(2009) in

Satwika, Dipta

Rizky (2011)

Spread of WOM

(word of mouth)

Speak positive

things

Recommend by

other

Encouragement by

other to purchase

Likert

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Variable Sub variable Indicator Scale

Purchasing

decision

(Y)

Kotler and

Keller (2012)

1. Problem

recognition

The buyer

recognizes a

problem or need

Likert

2. Information

search

Do a search of

information to

fulfill

appropriately

needs and

maximum

Likert

3. Evaluation of

alternative

Looking for

certain benefit

Likert

4. Decision to Buy Do purchase

decision

Likert

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CHAPTER IV

ANALYSIS

A. General Describtion of Research Object

1. History of Maicih

Maicih is established since June 29, 2010 with initial capital of IDR

15,000,000 (estimation USD 1621, 1 USD = Rp. 9,254 6 ) to buy raw materials

and make fry cooker. Maicih business background began when Reza

Nurhilman (the owner) graduated from high school in 2005. He was then

jobless for the next four years while selling goods such as electronics and

fertilizer. He entered college in 2009 but in the middle, his parent could not

afford his college tuition fee anymore. So, for four years he got a little work,

especially with Maicih. Indeed, the obtained billing classified as extraordinary,

while only a year he settled. Maicih had a turnover of almost touched USD

4,000,000, with an average per week over IDR 750,000,000. The production

had reached 75,000 packs per week. (Silvia, Hakim and Erlangga,2012:44)

Reza also told the origin of the Maicih name. When he was a kid, his

mother usually brought him to the traditional market. There was an old woman

dressed simply and wore ciput. Every time she shopped, she pulled out her

wallet, the bonus from goldsmith, to keep the changes. His mother said the

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wallet as maicih wallet. Some years later, he met woman who resembles

Maicih figure in his memory. Middle-aged mother wearing traditional dress.

Then, it turns out that she could make a crunchy spicy seasoning.(Silvia,

Hakim and Erlangga,2012:44)

Maicih is the one of the cassava chips snacks that have distinctive spicy

flavor to the customer themselves. Maichi is one of the most

famous cassava chips made in Bandung West Java, Indonesia. Maicih is not

fried, so that it tastes different. Maichi combined with the elements of spicy,

peppery and has a variety of spicy levels. Its level of spiciness ranging from

level 3, 5, and 10 (for the chips).There are also another products like Jeblak,

and Gurilem. For the product itself, Reza chose spicy flavor for Maicih to give

addiction effect, especially for the tounge of Indonesian. Besides, he now still

focuses on three variants of this and also the production and taste. Additionally,

this product is very good for health, heart function, and detoxification.

Because, Maicih spicy flavor of spices and chili do not use any preservatives.

(Silvia, Hakim and Erlangga,2012:47)

In the early, Maicih products sold in stores or retail. After several months

of not being distributed to the stores again but by selling exclusively by asking

consumers to come to the sale of spot that he had set every day. Every day,

Reza and his team provide location information for Maicih chips sales through

social networking Twitter (@infomaicih) or Facebook. They sell in the car

(nomadic) or work with a particular cafe. Marketing system like this makes

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Maicih chips be exclusive because it is not sold freely. Spot sales are always

filled with Icihers (the term for those who like Maicih chips). In addition, the

chips not done in large factories, but distributed in a variety of home industries.

(Silvia, Hakim and Erlangga,2012:47)

Maichi has products differentiation with other product. Maichi products

can be differentiated in form, feature, performance quality and style. Maichi’s

image in social media has an event to create a Maichi’s jargon for the

stakeholder by management. For instance “nenek” for chip marker, “cucu” for

the consumer, “jendral” for the reseller, “ichier” for the fans Maichi, “republic

Maichi” for the management Maichi and “tericih-icih” for the addicted fans of

Maichi product. Through the family connection social media, Maichi’s

management creates issue or word of mouth (WOM) with the level of chips

spiciness. (Dwi Wulandari: 2012)

2. Marketing Strategies of Maicih

In terms of marketing strategies, the concept of nomadic Maicih is it did

not have a permanent store. The uniqueness of the typical brand owned by

Maicih of course is the use of social media as a marketing medium, for

example Twitter and Facebook. In addition to free, promotion on Twitter could

be a gong for the sales force to make people who buy Maicih. According to

Reza unnecessary campaign fatigue “with Twitter, like a snowball promotions,

grow”. (Silvia, Hakim and Erlangga,2012:47)

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Promotion system used is word of mouth at the early 2 month since it

launched. Then, many people become aware of this brand because people

speak about it everywhere. These chips will be something very unusual, by

identity of the brand names, logos, and so on. Maichi creates value in the form

of spicy level and then all of it packaged in a compelling story spread across

offline and online media. Especially for online media, using social networks

they are widespread in society, such as Twitter and Facebook. Their fans of

maicih (icihers) also are helping maicih to spread its market by giving it

hashtags #maicih into twitter, and it makes maicih spreads more. Meanwhile,

the communication with the buyers performed with two directions, Maichi

receives advice and feedback directly from customers and be more open and to

assess their products soon known. (Silvia, Hakim and Erlangga,2012:48)

Each month continues to increase, initial capital of IDR 15,000,000.

Currently, a month has touched a turnover of Rp 4 billion, with an average per

week over Rp750 million. This indicates that consumer purchase decisions are

also higher. (Pipiet, Anda and Febry: 2011)

B. Analysis and Discussion

1. Validity and Reliability Test

a. Validity Test

Before the questionnaires spread to 80 respondents, the researcher tried

out or survey to 20 respondents with 15 questions to test validity and

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reliability from the entire questionnaires. The questionnaires classified into

four main variables which are product differentiation, image differentiation,

word of mouth and purchase decision.

According to Duwi Priyatno (2012:184) the validity test is used to

measure the legality of a questionnaire, and the criterion is valid with a

significance level of 3%. If the total correlation > 0.30, it shall be declared

as valid. Conversely if the total correlation < 0.30, shall be declared as

invalid. The result acquired from SPSS 20 Statistic Software. The table

below shows the validity test result.

Table 4.1

Validity Test: Product Differentiation (X1)

Item-Total Statistics

Scale Mean

if Item

Deleted

Scale Variance

if Item Deleted

Corrected

Item-Total

Correlation

POD1 15.45 2.155 0.670

POD2 15.00 3.263 0.557

POD3 15.10 3.568 0.611

POD4 15.35 2.661 0.545

POD5 15.70 2.221 0.858

Source: Primary Data Output from SPSS 20

From the table above, it can be seen that all of the result from product

differentiation questions are valid, because the score of total correlation

more than 0.30.

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Table 4.2

Validity Test: Image Differentiation(X2)

Item-Total Statistics

Scale Mean if

Item Deleted

Scale

Variance if

Item Deleted

Corrected Item-

Total Correlation

IMD1 7.55 1.945 0.665

IMD2 7.75 1.145 0.763

IMD3 8.10 1.779 0.778

Source: Primary Data Output from SPSS 20

From the table above, it can be seen that all of the result from image

differentiation questions are valid, because the score of total correlation

more than 0.30.

Table 4.3

Validity Test: Word of Mouth (X3)

Item-Total Statistics

Scale Mean if

Item Deleted

Scale Variance

if Item Deleted

Corrected Item-

Total Correlation

WOM1 8.30 2.116 0.856

WOM2 8.75 2.408 0.803

WOM3 8.55 1.839 0.878

Source: Primary Data Output from SPSS20

From the table above, it can be seen that all of the result from word of

mouth questions are valid, because the score of total correlation more than

0. 30.

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Table 4.4

Validity Test: Purchase Decision (Y)

Source: Primary Data Output from SPSS 20

From the table above, it can be seen that all of the result from

purchase decision questions are valid, because the score of total correlation

more than 0.30.

b. Reliability Test

According to Ghazali (2006:46) reliability measurements can be done in

2 ways:

1. Measure or measurements repeated: here someone will be given the

same questions at different times, and then see if he remains

consistent with the answers.

2. One shot or one-time measurement: here measurement only once and

then the results were compared with another question or measure the

correlation between answers to questions.

Item-Total Statistics

Scale Mean if

Item Deleted

Scale Variance

if Item Deleted

Corrected Item-

Total Correlation

PUD1 12.00 0.947 0.715

PUD2 11.30 1.484 0.601

PUD3 11.40 1.726 0.645

PUD4 11.65 1.082 0.543

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This research will use one time measurement that using Cronbach

alpha test (α). A variable is said to provide reliable if the Cronbach alpha

values > 0.60. (Ghozali, 2006:46). The result acquired from SPSS 20

Statistic Software. The table below shows the reliability test result.

Table 4.5

Reliability Test: Product Differentiation(X1)

Reliability Statistics

Cronbach's Alpha N of Items

0.807 5

Source: Primary Data Output from SPSS 20

From the table above, it can be seen that the result from price

Cronbach alpha is 0.807, this is reliable because the score of Cronbach

alpha is more than 0.60.

Table 4.6

Reliability Test: Image Differentiation(X2)

Source: Primary Data Output from SPSS 20

Reliability Statistics

Cronbach's Alpha N of Items

0.839 3

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From the table above, it can be seen that the result from price

Cronbach alpha is 0.839, this is reliable because the score of Cronbach

alpha is more than 0.60.

Table 4.7

Reliability Test: Word of Mouth(X3)

Source: Primary Data Output from SPSS 20

From the table above, it can be seen that the result from price

Cronbach alpha is 0.920, this is reliable because the score of Cronbach

alpha is more than 0.60.

Table 4.8

Reliability Test: Purchase Decision (Y)

Reliability Statistics

Cronbach's Alpha N of Items

0.759 4

Source: Primary Data Output from SPSS 20

From the table above, it can be seen that the result from price

Cronbach alpha is 0.759, this is reliable because the score of Cronbach

alpha is more than 0.60.

Reliability Statistics

Cronbach's Alpha N of Items

0.920 3

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2. Descriptive Analysis

Study case around Sharif Hidayatullah State Islamic University Jakarta

because Maichi product very popular in young people and usually Maichi sold

among students like around State Islamic University in Jakarta. Population

data around State Islamic University in Jakarta show the following result:

Table 4.9

Population Data around State Islamic University in Jakarta

No Age Total Presents

1 10-14 1215 6.2%

2 15-16 1235 6.5%

3 20-24 1284 6.8%

4 >25 1207 6.1%

Source: http://kelciputat.blogspot.com/

From the characteristics of the respondents who already known, then

researchers will analyze the answers of a questionnaire that was distributed to

80 respondents which is a sample of research and 20 respondents as try out.

Analysis includes questionnaires statement items that are indicators of the

variables under research as follows:

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1) Descriptive variable product differentiation

The questionnaires completed by the respondents about customer

value variable show the following result:

Table 4.10

Maichi has variety size of spicy level

Frequency

Disagree 1

Neutral 30

Agree 57

Strongly Agree 12

Total 100

As shown in the table 4.10 above 1 respondent stated disagree, 30

respondents stated netral, 57 respondents stated agree 12 respondents say

strongly agree on the statement Maichi have high quality and cheap price

Table 4.11

Maicih has variety shape of chips

Frequency

Disagree 1

Neutral 23

Agree 56

Strongly Agree 20

Total 100

As shown in the table 4.11 above, 1 respondent stated disagree, 23

respondents stated netral, 56 respondents stated agree and 20 respondents

say strongly agree on the statement Maicih have many choices form of

chips.

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Table 4.12

Maicih has many variant product

Frequency

Neutral 28

Agree 50

Strongly Agree 21

Total 100

As shown in the table 4.12 above, 28 respondents stated netral, 50

respondents stated agree and 21 respondents say strongly agree on the

statement Maicih have many product variations.

Table 4.13

Maichi have high quality and low price

Frequency

Disagree 3

Neutral 29

Agree 53

Strongly Agree 15

Total 100

As shown in the table 4.13 above 3 respondents stated disagree, 29

respondents stated netral, 53 respondents stated agree and 15 respondents

say strongly agree on the statement Maichi have many choices sizes

spiciness level.

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Table 4.14

Maichi has a more elegant packaging

Frequency

Neutral 30

Agree 49

Strongly Agree 21

Total 100

As shown in the table 4.14 above,30 respondents stated netral, 49

respondents stated agree and 21 respondents say strongly agree on the

statement Maichi has a more elegant packaging.

2) Descriptive variable image differentiation

The questionnaires completed by the respondents about customer value

variable show the following result:

Table 4.15

Maicih have a unique logo that is easy to remember and simple

Frequency

Disagree 1

Neutral 19

Agree 57

Strongly Agree 23

Total 100

As shown in the table 4.15 above, 1 respondents stated disagree, 19

respondents stated netral, 57 respondents stated agree and 23 respondents

say strongly agree on the statement Maicih have a unique logo that is easy

to remember and simple.

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Table 4.16

Maicih have different promotion from the others is the social media

Frequency

Neutral 36

Agree 41

Strongly Agree 23

Total 100

As shown in the table 4.16 above, 36 respondents stated netral, 41

respondents stated agree and 23 respondents say strongly agree on the

statement Maicih have different promotion from the others is the social

media.

Table 4.17

Maicih sponsoring Sundanese arts

Frequency

Disagree 2

Neutral 31

Agree 51

Strongly Agree 16

Total 100

As shown in the table 4.17above, 2 respondents stated disagree, 31

respondents stated netral, 51 respondents stated agree and 16 respondents

say strongly agree on the statement Maicih sponsoring Sundanese arts.

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3) Descriptive variable word of mouth

The questionnaires completed by the respondents about customer value

variable show the following result:

Table 4.18

Talking the positive things about chips Maicih with others

Frequency

Disagree 3

Neutral 23

Agree 47

Strongly Agree 27

Total 100

As shown in the table 4.18 above, 3 respondents stated disagree, 23

respondents stated netral, 47 respondents stated agree and 27 respondents

say strongly agree on the statement talking the positive things about chips

Maicih with others.

Table 4.19

Getting a recommendation from someone else to buy chips Maichi

Frequency

Neutral 20

Agree 58

Strongly Agree 22

Total 100

As shown in the table 4.19 above, 20 respondents stated netral, 58

respondents stated agree and 22 respondents say strongly agree on the

statement getting a recommendation from someone else to buy chips

Maichi.

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Table 4.20

Getting an encouragement to buy Maichi chips from others

Frequency

Neutral 36

Agree 38

Strongly Agree 26

Total 100

As shown in the table 4.20 above, 36 respondents stated netral, 38

respondents stated agree and 26 respondents say strongly agree on the

statement getting invitation to buy Maichi chips from others.

4) Descriptive variable purchase decision

The questionnaires completed by the respondents about customer value

variable show the following result:

Table 4.21

Maicih chips is a primary need

Frequency

Disagree 2

Neutral 25

Agree 54

Strongly Agree 19

Total 100

As shown in the table 4.21 above, 2 respondents stated disagree, 25

respondents stated netral, 54 respondents stated agree and 19 respondents

say strongly agree on the statement Maicih chips is a primary need.

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Table 4.22

Search information on chips Maicih

Frequency

Disagree 5

Neutral 20

Agree 59

Strongly Agree 16

Total 100

As shown in the table 4.22 above, 5 respondents stated disagree, 20

respondents stated netral, 59 respondents stated agree and 16 respondents

say strongly agree on the statement Maicih chips is a primary need.

Table 4.23

Consider the benefits provided in the purchase Maichi

Frequency

Disagree 7

Neutral 51

Agree 22

Strongly Agree 20

Total 100

As shown in the table 4.23 above, 7 respondents stated disagree, 51

respondents stated netral, 22 respondents stated agree and 20 respondents

say strongly agree on the statement purchase decision of chips Maicih.

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Table 4.24

Purchase decision of chips Maicih

Frequency

Disagree 1

Neutral 14

Agree 58

Strongly Agree 27

Total 100

As shown in the table 4.24 above, 1 respondents stated disagree, 14

respondents stated netral, 58 respondents stated agree and 27 respondents

say strongly agree on the statement purchase decision of chips Maicih.

3. Classical Assumption Test

a. Multicollinearity Test

Multicollinearity test aims to test a correlation among the

independent variable in the regression model. A good regression model

should have no correlation among the independent variables. The result

acquired from SPSS 20 Statistic Software. The table below shows the

multicollinearity test result.

Table 4.25

Multicolonearty Test

Coefficientsa

Model

Collinearity Statistics

Tolerance VIF

1 (Constant)

Product Differentiation 0.768 1.302

Image Differentiation 0.828 1.207

Word of Mouth 0.845 1.184

a. Dependent Variable: Purchase Decision

Source: Primary Data Output from SPSS 20

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From the table above tolerance value more than 0.10 and VIF value less

than 10 or VIF<10, it can be concluded that there is no problem

multicollinearity among independent variables in regression model.

2. Heteroscedasticity Test

According to Duwi Priyatno (2012:158) glejser test is done by

regressing between the independent variable with residual absolute value.

If the value of significance between independent variable with absolute

residuals more than 0.05, so there is no problems heteroscedasticity

Heteroscesdasticity test is aimed to examine whether in the model

occur any residual variance in certain monitoring period to other

monitoring period. If the characteristic is fulfilled, it means that the

factors of intruder variation toward the data have the characteristic of

heteroscedasticity. The result acquired from SPSS 20 Statistic Software.

The table below shows the Heteroscesdasticity test result.

Table 4.26

Heteroscedasticity Test

Coefficientsa

Model t Sig.

1 (Constant) 0.083 0.934

Product

Differentiation

-0.043 0.966

Image

Differentiation

-0.075 0.940

Word of

Mouth

1.432 0.155

Source: Primary Data Output from SPSS 20

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From the table above (4.26) above, it can seen If the value of

significance between independent variables with absolute residuals more

than 0.05, so there is no problems heteroscedasticity

3. Normality Test

According to Duwi Priyatno (2012: 144) normality data test is aim to

know the distribution of data in the variables that use in the research. A

good data used in the research is a data which has a normal distribution.

Normality data can be seen from various ways, which is by looking at the

normal curve of P-P plot. A normal variable is when the diagram of

distribution with the dots spreads around the diagonal line, and the

spreading of dots data is one same along diagonal line, it can be said that

the data has a normal distribution. The result acquired from SPSS 20

Statistic Software. The table below shows the Heteroscesdasticity test

result.

Figure 4.1

Normality Test

Source: Primary Data Output from SPSS 20

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Based on figure 4.1 this research has done normality data

distribution test. From the P-P Plots diagram above, it can be seen that

the plots are distributed along the diagonal line. Thus, it can be

concluded that the data used in this research has a normal distribution.

4. Multiple Linier Regression

Regression analysis is mainly used for seen an association between

one or more independent variables of dependent variable. Regression was

used for prediction purposes how much influence the independent

variables of dependent variable. The result acquired from SPSS 20

Statistic Software. The table below shows the Multiple Linier Regression

result.

Table 4.27

Multiple Linier Regression

Coefficientsa

Model

Unstandardized Coefficients

Standardized Coefficients

t Sig. B Std. Error Beta

1 (Constant) 4.029 1.146 3.514 0.001

Product Differentiation

0.171 0.064 0.211 2.657 0.009

Image Differentiation

0.369 0.074 0.383 4.998 0.000

Word of Mouth

0.354 0.071 0.379 4.995 0.000

a. Dependent Variable: Purchase Decision

Source: Primary Data Output from SPSS 20

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Y = a + ß1X1 + ß2X2 + ß3X3

Y = 4.029 + 0.171 X1 + 0.369 X2 + 0.354X3

a. Coefficient determinant (R²)

Table 4.28

Coefficient determinant (R²)

Source: Primary Data Output from SPSS 20

From the results as shown in the table 4.29, the number correlation

(R) between product differentiation, image differentiation and word of

mouth are 0.731. It means that there is a strong relationship between

independent variables to dependent variable because the value

approached is number.

The adjust R is 0.520 or 52%. This means 52% independent

variables product differentiation (X1), image differentiation (X2), and

word of mouth (X3) effect purchase decision as dependent variable (Y).

Model Summaryb

Model R R Square Adjusted R

Square

Std. Error of

the Estimate

1 0.731a 0.534 0.520 0.988

a. Predictors: (Constant), Word of Mouth, Image

Differentiation, Product Differentiation

b. Dependent Variable: Purchase Decision

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The score adjusted R squares is also called as coefficient

determination and a rest 48 % influenced by another variable that is

unknown and not included in this regression analysis.

b. F-Test

Table 4.29

F-Test

ANOVAa

Model

Sum of

Squares Df

Mean

Square F Sig.

1 Regression 107.470 3 35.823 36.707 0.000b

Residual 93.90 96 0.976

Total 201.160 99

a. Dependent Variable: Purchase Decision

b. Predictors: (Constant), Word of Mouth, Image Differentiation,

Product Differentiation

Source: Primary Data Output from SPSS 20

F Test basically indicates whether all the independent variables

included in the model have simultaneously influence toward dependent

variable. Hypothesis testing with F statistics can be done by comparing

the calculated F test with the value of F table 2.699 and significance

<0.05.

Ha: There is significant influence simultaneously among variable of

product differentiation, image differentiation and word of mouth toward

purchase decision.

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From ANOVA test or f test is obtained F value test is 36.707 with

probabilities 0.000. The degree of freedom (df) for the f test is (df) n-k-1

= 100-3-1 = 96. Thus the f table for f test is 2.669. It shows that f test=

36.707 bigger than f table=2.669, and the significance level 0.000<0.05.

It means that product differentiation, image differentiation and word of

mouth have significant influence simultaneously toward purchase

decision.

According to Siti Marliah (2009:01) differentiation is a chain of

differences which means to differentiate company’s offering from

competitor’s offering. The choice of goods among many products is

always based on differences, implicit or explicit. A consumer will

consider differentiation offering in choosing products that will be

bought; they will be influenced by products differentiation. So product

differentiation can affect purchase decision.

A company brand image should represent the products benefits

and the company positioning on the market. The image represents the

promise that the products will perform to expectations of the customers.

A good brand that process good image would make the customer feel

uncomfortable buying from any other brand. That mean image

differentiation affect purchase decision. (Jacqueline and Marjorie,

2011:11)

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According to Mark Hughes (2007:31) consumers use word of

mouth to talk about dozens of brand each day, from media and

entertainment products such as movies, TV shows and publications, for

example to food products, travel services and retail stores. Word-of-

mouth has been proven to be an effective method of obtaining useful

information for purchase decisions.

Based on the result, it can be seen that the theories above are

supported the SPSS 20 data output result which has mentioned. So

product differentiation, image differentiation and word of mouth have

significant influence simultaneously toward purchase decision.

c. t-Test

Table 4.30

t-Test

Coefficientsa

Model

Unstandardize

d Coefficients

Standardize

d

Coefficients

t Sig. B

Std.

Error Beta

1 (Constant) 3.515 1.242 2.831 0.006

Product

Differentiation

0.171 0.064 0.211 2.657 0.009

Image

Differentiation

0.171 0.074 0.383 4.998 0.000

Word of

Mouth

0.354 0.071 0.379 4.995 0.000

a. Dependent Variable: Purchase Decision

Source: Primary Data Output from SPSS 20

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Partial test or t test aims to determine how big the influence of each

independent variable (X) individually partially toward dependent

variable (Y). in this study used two tailed test can be seen in table 4.31

(coefficient), by comparing the t table = -1.985/1.985 and signification

0.05, the result of processing the data using SPSS 20 are as follows:

1) Product Differentiation Variable

Ha: There is significant influence partially between product

differentiation and purchase decision.

According to the table above, the obtained number of

significance (sig column) for variable X1 (Product Differentiation) is

0.009. The number 0.009<0.05, therefore Ho rejected and Ha

accepted. The result of t test is 2.657 > t table 1.985.

According to Siti Marliah (2009:01) The result shows that where

product differentiation the calculated t was 2,037 with regression

coefficient 0,142 with t table 1.66 which is product differentiation

significant statistically to purchase decision.

Therefore it can be concluded, product differentiation (X1) has

significant influence toward purchase decision (Y).

2) Image Differentiation Variable

Ha: There is significant influence partially between image

differentiation and purchase decision.

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According to the table above, the obtained number of

significance (sig column) for variable X2 (Image Differentiation) is

0.000. The number 0.000<0.05, therefore Ho rejected and Ha

accepted. The result of t test is 4.998 > t table 1.985.

The result shows that where image differentiation the calculated

t was 3,695 with regression coefficient 0,366 with t table 1.66 which

is means image differentiation significant statistically to purchase

decision.

Therefore it can be concluded, image differentiation (X2) has

significant influence toward purchase decision (Y).

3) Word of Mouth Variable

Ha: There is significant influence partially between word of mouth

and purchase decision.

According to the table above, the obtained number of

significance (sig column) for variable X3 (word of mouth) is 0.000.

The number 0.000<0.05, therefore Ho rejected and Ha accepted. The

result of t test is 4.995 > t table 1.985.

According to Ahmad M. Zamil (2011: 28) where the calculated

T was 21.041 and it is larger than 1.96, which means the

acceptations of the hypothesis that states. There is a significant

statistically relationship between the buying decision of the final

consumer and the source of word of mouth.

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Therefore it can be concluded, word of mouth (X3) has

significant influence toward purchase decision (Y).

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CHAPTER V

CONCLUSIONS and IMPLICATION

A. CONCLUSIONS

The purpose of this research was to find out the roles of product

differentiation, image differentiation and word of mouth toward purchase

decision with study case Maichi. The statistical tests conducted by

applying the SPSS 20 software have examined the results of 15 questions

related with the role of product differentiation, image differentiation and

word of mouth towards purchase decision from 80 respondents which is a

sample of research and 20 respondents as try out customers of Maichi

especially around Uin Syarif Hidayatullah Jakarta respondents. The

conclusion’s are:

1. In this research on product differentiation significantly influence

purchase decision.

2. Image differentiation significantly influence purchase decision.

3. Word of mouth significantly influence purchase decision.

4. Simultaneously, there are influences among product differentiation,

image differentiation and word of mouth to purchase decision.

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B. IMPLICATION

The implication of this research indicates that purchase decision of

Maichi around Uin Syarif Hidayatullah Jakarta influenced by product

differentiation, image differentiation and word of mouth, but there are

some indicators that are less approved by customer. The findings of this

research are:

a. For companies: some things that can be used as input and

attention by Maichi Chip.

a. Product differentiation

Although Maichi has many variant product with many

level spiciness and high quality but the price should be

considered because according the customer , it price more

expensive than other product. Maichi should not only

consider to quality of the product but should also consider

the price of its products in order to compete in the market

price. Consumers will prefer products with high quality

and low prices.

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b. Image differentiation

In image differentiation, Maichi is good in promotion

through social media and create a unique logo that is easy

to remember and simple. But not many customers know

that Maichi has been sponsoring traditional art event in

Sundanese. Therefore, Maicih should continue to provide

and improve information about their products being

sponsoring Sundanese arts through social media.

c. Word of mouth

Customers often talk positive things they get

recommendation to purchase Maichi but they chose more

neutral in statement encouragement to buy chips from

others. Maichi must build good relation the customer and

ensure their commitment to talk positive about the product

so they not only recommend to buy Maichi but they also

encouraged to buy Maichi with other customer.

d. Purchase decision

In the purchase decisions of many customers assume that

Maichi less giving benefit to them. Maichi should be able

to develop their products to give benefits so people can

make purchase decisions by considering the value of

benefits in Maichi. For example Maichi must give

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information to customer if Maichi has benefit to detox in

spicy taste.

e. Preserve and maintain the authenticity of the product

maicih, Maichi must diversify their business or brand to

be sustainable. for example, by building a sales official

Maichi

f. Maichi sould develop of target marketing in order not only

young people but all people to increasing of income.

b. For academics and researcher: the study is expected to add a

review of materials for research studies related to the influence

product differentiation, image differentiation and word of mouth

toward purchase decision. Expected future results of this research

can be used as a reference tool for researchers who want to

conduct further research related to the influence of product

differentiation, image differentiation and word of mouth toward

purchase decision because the the rest of 48% is influence by

other factors that are not included in this research. For example

marketing mix and perceived quality influence to purchase

decision.

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REFERENCES

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Kartajaya, Hermawan, “Hermawan Kartajaya on Differentiation,” Mizan,

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Jilid Satu. PT Indeks, Jakarta, 2003.

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keluhan : suatu telaah pada pelanggan Auto 2000 di Jakarta,” Skripsi S1

Fakultas Ekonomi Universitas Indonesia, 2006.

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2009.

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Marketing Index”

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Pada Pengguna Kartu Prabayar Im3 di Galeri Indosat Cabang Malang,”

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Decision of the Jordanian Consumer” Riyadh Community College2, King

Saud University, 2011.

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http//www.buzzle.com/articles/product-differentiation.html

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mengantongi omzet penjualan 4 milyar per bulan,”Viva News, 2011.

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terhadap keputusan pembelian konsumen pasda pasta gigi pepsodent,”

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Sugiyono, “Metode penelitian kuantitatif kualitatif dan R&D,” Cetakan Delapan,

CV Alpha Betha, Bandung, 2009.

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http://www.freshnetworks.com

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of mouth terhadap pengambilan keputusan konsumen dalam membeli

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APPENDIX 1

RESEARCH QUESTIONNAIRE

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RESEARCH QUESTIONNAIRE

Sincerely, Jakarta, April 2013

Name : Nur Masyitha

NIM : 108081100008

Program Study / University : International Management / UIN Sharif

Hidayatullah Jakarta

Currently I'm doing research on THE ANALYSIS OF INFLUENCE

PRODUCT DIFFERENTIATION, IMAGE DIFFERENTIATION AND WORD

OF MOUTH TO PURCHASE DECISION (Case Study Maichi Chip around Uin

Syarif Hidayatullah).

The research is intended as one of the requirements to obtain a Bachelor's

degree in International Classroom Management course UIN Syarif Hidayatullah

Jakarta. In order for this research goes well, I expect the willingness and support

of the respondents to fill out the questionnaire correctly and properly. I guarantee

the confidentiality of the father / mother, brother / I give it, because the answer is

just as material or data research and not for publication. For your concern and

willingness to time, I say thank you.

Nur Masyitha

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Respondent characteristics

1. identity of Respondents

Provide a checklist (√) the correct answer according to what you select the

following:

Age : 10-15 Years 21-25 Years

16-20 Years More than 25 Years

Gender : Male

Female

Education : SD SMA

SMP S1

Other

Income / Pocket Money:

< Rp 500.000 Rp 500.000 - Rp 1500.000

Rp 159.999 – Rp 2.500.00 > Rp 2500.000

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2. questionnaire

Provide a checklist (√) the correct answer according to what you choose. The

questionnaire is based on your opinions, feelings, and real following conditions:

EXPLANATION

Strongly Disagree SD

Disagree D

Neutral N

Agree A

Strongly Agree SA

Product Differentiation

NO Statement SD D N A SA

1 Maichi has variety size of spicy level

2 Maicih has variety shape of chips

3 Maicih has many variant product

4 Maichi has high quality and low price

5 Maichi has a more elegant packaging

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Image Differentiation

NO Statement SD D N A SA

1 Maicih have a unique logo that is easy to

remember and simple

2 Maicih have different promotion from

the others is the social media

3 Maicih sponsoring Sundanese arts

Word Of Mouth (WOM)

NO Statement SD D N A SA

1 I talk about the positive things about

chips Maicih with others

2 I get a recommendation from someone

else to buy chips Maichi

3 I get an encouragement to buy Maichi

chips from others

Purchase Decision

NO Statement SD D N A SA

1 Maicih chips is a primary need for me

2 I am search information on chips Maicih

3 I consider the benefits provided in the

purchase Maichi

4 I purchase decision of chips Maicih

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APPENDIX 2

KUESIONER PENELITIAN

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KUESIONER PENELITIAN

Kuesioner Dalam Bahasa Indonesia

Dengan Hormat, Jakarta, April 2013

Dengan ini sebelumnya perkenalkan diri saya:

Nama : Nur Masyitha

NIM : 108081100008

Program studi/Universitas :Manajemen Internasional / UIN Syarif

Hidayatullah Jakarta

Saat ini saya sedang melakukan penelitian mengenai ANALISIS

PENGARUH DIFERENSIASI PRODUK , DIFERENSIASI CITRA DAN

WORD OF MOUTH (WOM) TERHADAP KEPUTUSAN PEMBELIAN (Studi

Kasus Kripik Maichi Di sekitar Uin Syarif Hidayatullah ).

Adapun penelitian ini ditujukan sebagai salah satu syarat untuk

memperoleh gelar Sarjana pada program studi Manajemen Kelas Internasional

UIN Syarif Hidayatullah Jakarta. Oleh karena itu mohon bantuan

bapak/ibu/saudara/i untuk mengisi kuesioner yang saya bagikan ini sesuai dengan

pendapat bapak/ibu/saudara/i. Dalam pengisian kuesioner identitas responden

dirahasiakan dan hanya diketahui oleh peneliti. Oleh karena itu pendapat

bapak/ibu/saudara/i yang sebenarnya akan sangat membantu saya dalam

melakukan penelitian ini. Atas perhatian dan kesediaan bapak/ibu/saudara/i, saya

ucapkan terima kasih

Hormat Saya,

Nur Masyitha

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Karakteristik Responden

1. Identitas Responden

Berikan tanda checklist (√) pada jawaban yang benar sesuai dengan yang

anda pilih berikut ini:

Usia : 10-15 Tahun 21-25 Tahun

16-20 Tahun Lebih dari 25 Tahun

Jenis kelamin : Laki-laki

Perempuan

Pendidikan : SD SMA

SMP S1

Lainya

Penghasilan / uang saku :

< Rp 500.000 Rp 500.000 - Rp 1500.000

Rp 159.999 – Rp 2.500.00 > Rp 2500.000

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2. Kuesioner

Berikan tanda checklist (√) pada jawaban yang benar sesuai dengan yang

anda pilih. Kuesioner ini didasarkan pada pendapat anda, perasaan, dan

kondisi yang nyata berikut ini :

Diferensiasi Produk

NO Pernyataan STS TS N S SS

1 Maichi memiliki banyak pilihan ukuran

tingkat kepedasan

2 Maichi memiliki banyak pilihan bentuk

keripik

3 Maichi memiliki banyak variasi produk

4 Maichi memiliki kualitas yang tinggi

dan harganya murah

5 Maichi memiliki kemasan yang lebih

elegan

Keterangan

Sangat Tidak Setuju STS

Tidak Setuju TS

Netral N

Setuju S

Sangat Setuju SS

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Diferensiasi Citra

NO Pernyataan STS TS N S SS

1 Maichi memiliki logo unik yang mudah

diingat dan simpel

2 Promosi maici berbeda dengan yang lain

yaitu dengan media sosial

3 Maichi mensponsori kesenian Sunda

Word Of Mouth (WOM)

NO Pernyataan STS TS N S SS

1 Saya membicarakan hal yang positif

tentang keripik maichi dengan orang lain

2 Saya mendapatkan rekomendasi dari

orang lain untuk membeli keripik maichi

3 Saya mendapatkan ajakan untuk

membeli keripik maichi dari orang lain

Keputusan Pembelian

NO Pernyataan STS TS N S SS

1 Keripik maichi merupakan kebutuhan

primer bagi saya

2 Saya mencari informasi tentang keripik

maichi

3 Saya mempertimbangkan manfaat yang

diberikan dalam membeli maichi

4 Saya memutuskan membeli keripik

maichi

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APPENDIX 3

DISTRIBUTION THE ANSWER OF RESPONDENTS

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NO

PRODUCT

DIFFERENTIATION

IMAGE

DIFFERENTIATION

WORD OF

MOUTH PURCHASE DECISION

1 2 3 4 5 1 2 3 1 2 3 1 2 3 4

1 5 5 5 5 5 4 4 3 5 5 5 5 5 5 5

2 4 4 4 4 4 5 4 4 5 4 5 4 4 4 4

3 4 4 4 4 3 4 4 4 5 5 5 4 4 3 4

4 3 4 4 4 3 4 4 4 4 4 4 4 4 3 4

5 5 4 4 4 4 4 5 4 5 4 5 4 4 4 4

6 5 4 4 4 4 5 5 4 4 3 3 4 4 4 4

7 4 4 4 3 4 4 3 3 5 4 5 3 4 4 4

8 4 4 4 3 3 4 3 3 3 3 3 3 4 3 4

9 3 4 4 4 3 4 4 3 5 4 5 4 4 3 4

10 3 4 4 4 3 5 5 5 4 4 3 4 4 3 4

11 4 4 4 5 4 4 5 4 5 5 5 5 4 4 4

12 4 5 4 4 4 3 3 3 5 5 5 4 4 4 5

13 3 4 4 3 3 4 3 3 3 3 3 3 4 3 4

14 3 4 4 4 3 5 5 4 5 4 4 4 4 3 4

15 4 4 4 4 3 4 3 3 5 4 4 4 4 3 4

16 3 4 4 3 3 4 5 4 4 4 4 3 4 3 4

17 4 5 4 4 4 5 5 4 5 5 5 4 4 4 5

18 3 4 4 3 3 4 3 3 3 3 3 3 4 3 4

19 3 4 4 3 3 4 3 4 5 4 5 3 4 3 4

20 3 4 4 4 3 3 3 3 5 4 4 4 4 3 4

21 4 4 3 3 3 4 4 4 3 4 3 4 5 3 3

22 4 4 4 3 5 4 4 2 3 5 4 4 3 3 3

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23 4 5 5 5 4 4 4 3 4 4 5 3 5 5 4

24 4 4 5 4 5 5 5 3 3 4 4 4 5 3 3

25 4 3 3 3 5 4 4 4 3 3 4 4 4 5 4

26 5 4 3 3 3 4 4 3 5 4 5 4 5 5 4

27 4 5 5 4 5 3 3 3 4 4 4 5 3 3 3

28 4 4 3 3 5 4 4 5 2 4 4 4 5 3 4

29 3 4 5 4 4 4 4 4 3 4 3 4 5 3 3

30 4 5 5 4 5 3 4 2 5 4 3 3 3 3 3

31 4 4 3 3 3 4 3 3 4 5 5 4 4 4 5

32 4 4 3 4 5 5 4 5 4 4 3 2 4 3 5

33 4 3 3 3 5 3 3 3 3 4 5 3 4 4 4

34 3 4 3 3 3 3 5 5 5 4 4 5 5 4 4

35 5 5 5 4 5 4 4 4 4 4 5 3 4 5 4

36 4 4 3 3 5 4 4 4 4 4 4 5 4 5 3

37 4 4 5 4 4 4 4 4 4 4 3 5 5 3 4

38 3 5 5 4 5 5 4 4 4 5 4 3 4 3 4

39 5 4 3 3 3 3 4 4 4 4 5 3 4 5 4

40 4 4 3 4 5 4 4 4 3 4 4 3 3 3 4

41 4 3 3 3 5 4 4 4 3 3 4 4 4 5 3

42 4 4 4 4 3 4 4 4 4 4 5 4 4 5 5

43 4 4 4 2 3 5 4 4 4 4 4 4 4 3 4

44 4 4 4 3 4 4 4 4 5 4 4 5 5 3 5

45 3 5 5 3 3 4 5 4 4 4 3 4 4 3 5

46 3 4 4 4 3 3 4 4 3 3 4 4 4 4 3

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47 4 3 3 3 5 4 4 4 3 5 5 4 4 4 4

48 4 3 3 3 3 3 5 4 4 4 3 4 4 3 4

49 5 5 4 5 4 4 4 4 3 4 3 3 4 3 4

50 4 3 3 5 4 2 4 4 3 4 4 4 4 3 5

51 3 5 4 4 4 3 4 4 4 5 5 4 3 5 4

52 3 4 4 4 5 5 3 5 4 4 5 4 4 4 4

53 4 5 5 4 4 3 3 3 4 3 3 4 2 3 4

54 3 4 5 3 4 5 4 5 3 4 3 4 4 3 5

55 3 3 3 4 5 5 3 5 4 5 5 4 4 4 4

56 4 4 3 4 4 3 4 4 4 4 3 4 4 3 4

57 4 5 5 4 4 3 4 5 4 4 5 4 2 4 4

58 4 4 3 4 3 3 3 3 5 5 5 4 3 4 4

59 3 4 5 3 4 4 4 5 4 4 3 5 3 3 5

60 4 5 5 5 4 4 3 5 4 4 3 4 4 4 4

61 4 4 3 4 4 4 3 3 3 3 3 4 3 3 4

62 4 4 3 5 5 5 5 4 4 5 5 3 3 4 3

63 5 3 3 5 4 4 5 4 2 5 4 4 5 3 4

64 4 4 4 3 4 4 4 4 3 5 4 4 4 3 4

65 4 4 4 4 4 4 3 3 5 4 4 4 4 4 5

66 3 5 4 4 4 4 3 3 3 3 4 2 4 3 5

67 4 4 4 4 5 4 5 4 5 4 3 3 4 4 4

68 2 4 5 4 4 4 3 3 5 3 4 5 5 4 4

69 4 3 4 4 3 3 5 4 4 4 3 3 4 5 4

70 4 4 4 4 3 5 5 4 5 3 3 5 4 5 3

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71 4 3 5 4 4 4 3 3 3 5 4 5 5 3 4

72 4 4 4 4 3 4 3 4 5 4 3 3 4 3 4

73 5 2 4 4 3 4 3 3 5 4 4 3 4 5 4

74 4 3 4 4 4 5 3 3 3 4 4 3 3 3 4

75 4 5 3 5 4 4 4 5 4 4 3 4 4 5 3

76 5 3 3 3 4 3 3 5 4 3 4 4 4 5 5

77 4 5 4 5 3 4 4 4 4 5 3 4 4 3 4

78 4 5 3 5 4 5 4 4 5 4 4 5 5 3 5

79 4 3 4 4 4 4 5 4 4 4 3 3 4 3 4

80 3 3 4 5 4 4 5 3 4 3 4 3 4 5 4

81 3 3 3 3 5 5 3 4 5 4 3 3 3 3 4

82 4 4 4 5 4 4 3 4 4 4 4 4 4 5 3

83 3 4 3 5 4 4 5 4 4 4 3 4 4 5 5

84 4 4 3 3 3 3 3 4 3 4 4 4 4 3 4

85 4 5 5 4 4 5 5 3 4 5 3 5 3 3 5

86 3 3 5 5 5 5 5 5 4 5 3 5 3 3 5

87 4 3 5 4 4 4 3 4 4 4 3 4 3 3 4

88 3 4 3 4 4 3 3 5 5 3 4 5 2 2 3

89 3 4 4 4 4 4 3 5 4 3 5 4 3 2 2

90 5 3 4 4 4 4 4 3 4 3 5 5 2 2 5

91 5 3 4 4 3 4 4 3 4 3 4 4 4 3 5

92 4 3 5 4 4 5 3 3 4 3 3 3 5 2 5

93 4 5 4 3 4 4 3 3 4 3 3 4 3 2 5

94 3 4 4 4 4 4 3 5 4 4 3 4 2 3 5

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95 3 3 4 2 4 4 5 3 3 4 3 4 3 4 5

96 4 3 5 4 4 3 4 4 4 4 4 5 3 5 4

97 3 4 4 4 4 4 3 4 2 5 4 5 3 5 5

98 4 3 4 4 4 5 5 4 4 5 4 3 3 3 4

99 4 4 4 2 4 5 3 4 4 5 4 5 4 2 5

100 3 4 4 3 4 5 4 4 4 4 3 4 5 2 5

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APPENDIX 4

OUTPUT DATA TEST RESULT

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OUTPUT DATA TEST RESULT

a. Validity and reability product differentiation

Reliability Statistics

Cronbach's

Alpha

N of Items

.807 5

Item-Total Statistics

Scale Mean if

Item Deleted

Scale Variance

if Item Deleted

Corrected Item-

Total

Correlation

Cronbach's

Alpha if Item

Deleted

POD1 15.45 2.155 .670 .759

POD2 15.00 3.263 .557 .789

POD3 15.10 3.568 .611 .804

POD4 15.35 2.661 .545 .789

POD5 15.70 2.221 .858 .673

b. Validity and reability image differentiation

Reliability Statistics

Cronbach's

Alpha

N of Items

.839 3

Item-Total Statistics

Scale Mean if

Item Deleted

Scale Variance

if Item Deleted

Corrected Item-

Total

Correlation

Cronbach's

Alpha if Item

Deleted

IMD1 7.55 1.945 .665 .823

IMD2 7.75 1.145 .763 .772

IMD3 8.10 1.779 .778 .728

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c. Validity and reability word of mouth

Reliability Statistics

Cronbach's

Alpha

N of Items

.920 3

Item-Total Statistics

Scale Mean if

Item Deleted

Scale Variance

if Item Deleted

Corrected Item-

Total

Correlation

Cronbach's

Alpha if Item

Deleted

WOM1 8.30 2.116 .856 .871

WOM2 8.75 2.408 .803 .918

WOM3 8.55 1.839 .878 .858

d. Validity and reability purchase decision

Reliability Statistics

Cronbach's

Alpha

N of Items

.759 4

Item-Total Statistics

Scale Mean if

Item Deleted

Scale Variance

if Item Deleted

Corrected Item-

Total

Correlation

Cronbach's

Alpha if Item

Deleted

PUD1 12.00 .947 .715 .608

PUD2 11.30 1.484 .601 .697

PUD3 11.40 1.726 .645 .736

PUD4 11.65 1.082 .543 .737

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Multicolonearity Test

Coefficientsa

Model Unstandardized

Coefficients

Standardized

Coefficients

t Sig. Collinearity Statistics

B Std.

Error

Beta Tolerance VIF

1

(Constant) 3.515 1.24

2

2.831 .006

Product

Differentiation .171 .064 .211 2.657 .009 .768 1.302

Image

Differentiation .369 .074 .383 4.998 .000 .828 1.207

Word of Mouth .354 .071 .379 4.995 .000 .845 1.184

a. Dependent Variable: Purchase Decision

Heteroscedasticity Test

Coefficientsa

Model Unstandardized Coefficients Standardized

Coefficients

t Sig.

B Std. Error Beta

1

(Constant) .056 .682 .083 .934

Product Differentiation -.002 .038 -.005 -.043 .966

Image Differentiation -.003 .044 -.008 -.075 .940

Word of Mouth .060 .042 .157 1.432 .155

a. Dependent Variable: ABS_RES

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Normality Test

Multiplelinier Regression

Coefficientsa

Model Unstandardized Coefficients Standardized

Coefficients

t Sig.

B Std. Error Beta

1

(Constant) 4.029 1.146 3.514 .001

Product Differentiation .171 .064 .211 2.657 .009

Image Differentiation .369 .074 .383 4.998 .000

Word of Mouth .354 .071 .379 4.995 .000

a. Dependent Variable: Purchase Decision

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Coefficient determinant

Model Summary

Model R R Square Adjusted R

Square

Std. Error of the

Estimate

1 .731a .534 .520 .988

a. Predictors: (Constant), Word of Mouth, Image Differentiation,

Product Differentiation

F-test

ANOVAa

Model Sum of Squares df Mean Square F Sig.

1

Regression 107.470 3 35.823 36.707 .000b

Residual 93.690 96 .976

Total 201.160 99

a. Dependent Variable: Purchase Decision

b. Predictors: (Constant), Word of Mouth, Image Differentiation, Product Differentiation

t-Test

Coefficientsa

Model Unstandardized Coefficients Standardized

Coefficients

t Sig.

B Std. Error Beta

1

(Constant) 3.515 1.242 2.831 .006

Product Differentiation .171 .064 .211 2.657 .009

Image Differentiation .369 .074 .383 4.998 .000

Word of Mouth .354 .071 .379 4.995 .000

a. Dependent Variable: Purchase Decision