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The Effect of Price and Advertising on Purchasing Decision with Brand Image as Intervening Variable

In: Proceedings of the 9th International Conference on Accounting, Management, and Economics 2024 (ICAME 2024)

Author

Listed:
  • Anugerah Hasfi Pratama

    (University Hasanuddin)

Abstract

This study aims to evaluate the following factors: price; advertising; brand awareness; and brand awareness’s effect on purchasing decisions. Additionally, it explores how brand awareness functions as a mediator in the relationship between price and decisions to buy as well as the relationship between advertising and decisions to buy. This study was carried out on My Republic wifi users in Surabaya, comprising 150 respondents. This study employs a probability sampling technique through random selection, whereby the researcher selects participants without consideration of the existing strata within the population. This study use a questionnaire for data collection procedures. Data analysis methodology employing Process Macro by Hayes. This study’s results demonstrate that the Price variable significantly influences purchasing decisions positively. The advertising variable exerts a substantial beneficial influence on purchasing decisions. The variable of brand awareness exerts a favorable and significant influence on purchasing decisions. The relationship between price and purchase decisions is mediated by brand awareness. The relationship between advertising and purchase decisions is mediated by brand awareness.

Suggested Citation

  • Anugerah Hasfi Pratama, 2025. "The Effect of Price and Advertising on Purchasing Decision with Brand Image as Intervening Variable," Advances in Economics, Business and Management Research, in: Mursalim Nohong & Fitra Roman Cahaya & Phung Minh Tuan & Arifuddin Mannan & Anas Iswanto Anwar & Ria (ed.), Proceedings of the 9th International Conference on Accounting, Management, and Economics 2024 (ICAME 2024), pages 1202-1212, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-758-8_98
    DOI: 10.2991/978-94-6463-758-8_98
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