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Factors Affecting Consumers Willingness to Pay Towards Purchasing Halal Product in Indonesia

In: Proceedings of the 3rd International Conference on Halal Development (ICHaD 2022)

Author

Listed:
  • Hanna Rachmani Allya

    (Universitas Negeri Malang, Department of Economics)

  • Ahmad Fawaiq Suwanan

    (Universitas Negeri Malang, Department of Economics)

Abstract

Halal products have a significant impact on the global market. This research is going to describe the components influencing purchase intention of halal products in Indonesia. The method used in this study is quantitative with data analysis using Partial Least Square – Structural Equation Modelling (PLS-SEM). This study involved 386 respondents consuming halal product during the last three years. This research shows that the existence of halal certification, marketing, consumer attitudes, and the level of belief in religion have a positive and significant effect on the consumers’ willingness to pay for halal products in Indonesia. Meanwhile, subjective norms have no influence on willingness to pay.

Suggested Citation

  • Hanna Rachmani Allya & Ahmad Fawaiq Suwanan, 2023. "Factors Affecting Consumers Willingness to Pay Towards Purchasing Halal Product in Indonesia," Advances in Economics, Business and Management Research, in: Dediek Tri Kurniawan & Andro Agil Nur Rakhmad (ed.), Proceedings of the 3rd International Conference on Halal Development (ICHaD 2022), pages 10-16, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-188-3_3
    DOI: 10.2991/978-94-6463-188-3_3
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