Abstract

<em>Coffee becomes one of the important commodities both in terms of consumption and in terms of production. Therefore, the interaction in marketing with the system and its activities should be able to get closer between consumers to products and brand name of the company offered. Nowdays, urban society at this time experiencing lifestyle changes. One of the manifestations of modern lifestyle today is the habit of certain community groups who like to consume coffee in coffee shops. Base on that, the purpose of this research is to identify the characteristics of MAXX Coffee consumer, analyze the influence of brand equity, lifestyle, and marketing mix of MAXX Coffee to consumer purchase decision, and to formulate alternative marketing strategy based on factors influencing marketing mix and brand equity MAXX Coffee. This research using Structural equation Modeling (SEM) with 271 respondent based on convenience sampling method during the reseach time. Based on the results of the research, in order to create strong brand equity, the management of MAXX Coffee Bogor can invest through the improvement of several marketing mix indicators, namely price, people, process, and physical. In the context of MAXX Coffee lifestyle focus to follow the perception of today's consumer lifestyle that wants to improve the prestige and image in the environment around consumers.</em>

Highlights

  • Coffee has an important role for the economic growth of the people in Indonesia

  • Relationship Between Brand Equity Dimensions and Purchase Decisions Brand equity variables have a direct and significant effect on the purchase decision process with an estimated coefficient value of 0.14. This shows that the higher brand equity, the higher the purchasing decision at XYZ Coffee Bogor

  • Processing results obtained by the estimated coefficient of 0.14 means that the higher the marketing mix variable, the stronger the brand equity will be

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Summary

Introduction

Coffee has an important role for the economic growth of the people in Indonesia. Around 92% of coffee production is under small farmers or cooperatives (AEKI 2016). This percentage percentage makes many business people in Indonesia very interested in making coffee as their business product. Coffee is an important commodity both in terms of consumption and in terms of production This can be seen from the amount of coffee consumption per glass which reaches 500 billion glasses per year. The International Coffee Organization (ICO) notes that total world production is 9 million in 2016 and Indonesia is among the 10 largest coffee producing countries (Table 1)

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