p–ISSN: 2723 - 6609 e-ISSN: 2745-5254
Vol. 5, No. 8 August 2024 http://jist.publikasiindonesia.id/
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3814
The Influence of Product Quality, Service Quality, and Price
on Purchasing Decisions at Customers Bila Bakery
Nabila Firdausa
1*
, Reny Nadlifatin
2
Institut Teknologi Sepuluh Nopember (SIMT), Indonesia
Email:
1*
2
*Correspondence
ABSTRACT
Keywords: customer
behavior, product quality,
price, excellent service,
bakery.
Customer behavior is like something complex where in the
process there are internal factors and external factors that can
influence customers to determine purchase decisions. In this
study, data will be collected on the food and beverage
industry, namely Bila Bakery. There is a phenomenon that
occurs in Bila Bakery in the form of a decline in sales after
the pandemic. In fact, in this case, If the bakery has data
related to customer membership but has never been
evaluated, so the data cannot provide consideration in
decision-making by management. This study is a
quantitative research that uses a descriptive analysis method
and PLS-SEM using data obtained from Bila Bakery
customers through the distribution of questionnaires with
WhatsApp Blast, there are 157 respondents as a sample in
this study. The results of the study show that Product Quality
and Price have a positive and significant effect on Purchase
Decisions, but Service Quality has a positive effect but does
not have a significant effect on Purchase Decisions on Bila
Bakery customers. There are managerial implications for
Bila Bakery as a future business strategy through Product
Quality and Price that have an impact on Purchase
Decisions.
Introduction
Customers are one of the important aspects determinants of the success of a
company in producing products that can meet needs, as we know, of course, customers
as humans have habits that can influence the decisions to be taken (Adinda, Mukson, &
Prasetyo, 2021). According to marketing principles, a business must be able to fulfill
customer desires to create profits, requiring knowledge related to consumer behavior.
Companies must understand the needs of customers to apply a marketing strategy, as well
as be able to offer products and services that customers will use and buy (Azhari, 2017).
Consumer behavior is the discussion of individuals or groups who choose, buy, or use a
product or service to meet needs, basically focusing on how individuals or groups make
decisions to utilize the resources they already have (time, money, energy) to meet needs.
The Influence of Product Quality, Service Quality, and Price on Purchasing Decisions at
Customers Bila Bakery
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3815
Consumer behavior is a discipline that discusses how humans make purchase
decisions to provide satisfaction in meeting customer needs or desires, and how
emotional, mental, and habits can affect the purchase decisions they make. According to
(Cesariana, Juliansyah, & Fitriyani, 2022) internal factors, namely: Consumer resources
related to time, energy, and money. There is a personal interest that arises from the impact
of certain stimuli. (Chaerudin & Syafarudin, 2021) stated that customer involvement from
the mental and physical aspects of a consumer also influences the purchase decision he
will make. The existence of high involvement has an impact on problem-solving by using
detailed information, processing the information that has been obtained properly, then
making careful considerations and evaluating the product before determining confidence
in the decision taken. (Christine, Fitriano, Halim, & Steven, 2022) stated that when
customers already have in-depth information regarding alternative products to be
purchased, customers will have greater motivation to pay attention and understand the
product and then elaborate information about the purchase to be made. In-depth
knowledge of information owned by consumers will greatly influence their purchasing
patterns and result in the formation of an attitude toward alternative products that should
be considered. There are personal factors that affect customer behavior are Age, Income,
Job, and Lifestyle (Gunarsih, Kalangi, & Tamengkel, 2021). There is also a lifestyle that
can be interpreted as a pattern of how consumers use their time and money to meet their
desires and needs, so lifestyle also affects purchasing decisions. The existence of
demographic characteristics such as age, income, and education also differentiates how
customers make purchasing decisions about a product or service that they will use (Ran
et al., 2022).
At this stage when analyzing customer behavior, we can use concepts and ideas
from two disciplines such as psychology and economics. In the discussion of
psychological factors that can affect there are four aspects, namely: Motivation,
Perception, Learning, Attitudes, and Beliefs. There are also social factors that can affect
customer behavior, namely: Family, Reference Group, Role, and Status. There are also
economic factors that have an impact on customer behavior, namely: Personal Income,
Family Income, Income Expectations, Consumer Credit, Liquid Assets, and Savings.
Social factors that affect customer behavior are Culture, Subculture, and Social Class.
The previous discussion that we can concurrently include environmental (external)
factors which include culture, social class, and the influence of groups and families.
Culture in customer behavior refers to several aspects such as values, ideas, artifacts, and
other symbols that have their meaning for customers to be able to communicate, then
interpret and evaluate as members of society, cultural differences can also have an impact
on what is consumed by a person. The existence of social class in social life consists of
values, interests, and behaviors, social class status can produce various forms of different
customer behaviors. There is also the influence of groups and families where they can
provide references to products they know or products they have used for others.
Consumer behavior as well as is something complex where in the process there are
internal factors and external factors that influence customers to make decisions, in this
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3816
case, it is called a buying decision that they will determine, although in these internal and
external factors, there are variations in purchasing decision-making factors for a product,
it can be drawn in general in the process. Referring to the statement of Kotler and Keller
(2016), consumer behavior is influenced by four key factors, namely: cultural, social,
personal, and psychological. Activities carried out by customers to buy a product or
service through evaluation in determining the choice of which service or product they will
use, so that the evaluation results in a decision. Before decisions are made by customers
in determining products or services, there is a process commonly called the consumer
decision-making process in which there are five stages, namely: (1) Introduction of needs,
(2) Search for information, (3) Evaluation of alternatives before purchase, (4) Purchase
and consumption of products or services, and (5) Evaluation after purchase.
To the research question above, the main research objectives of this study are:
1. Testing and analyzing the influence of product quality on the purchase decisions of
Bila Bakery customers.
2. Testing and analyzing the influence of service quality on the purchasing decisions of
Bila Bakery customers.
3. Testing and analyzing the influence of price on purchase decisions on Bila Bakery
customers.
Research Methods
Location and Time of Research
The research was carried out systematically in several stages from March to June
2024. The survey was conducted at Bila Bakery Ponorogo Regency with limited time
when taking data directly from customers. After the required data is collected and the
criteria are met, data processing and data analysis are carried out.
Research Design
Research design is a framework for conducting customer research that can be
carried out effectively and efficiently and solve problems. This survey design consists of
the type of survey design and data needed for the research.
Type of Research
The type of research used is quantitative research defined as a research method
based on the philosophy of positivism, used to research on a certain population or sample,
data collection using research instruments, and quantitative/statistical data analysis, to
test hypotheses that have been determined. The independent variables in this study are
Product Quality (X1), Service Quality (X2), and Price (X3) and the dependent variable is
Purchase Decision (Y).
Based on the source, the data used in this study is divided into two types as follows:
1) Data Primer
The primary data sources used by the researcher aim to find solutions to the
problems raised. The primary data of this study was collected directly by the researcher
from the main source where the research object was carried out through a survey using a
The Influence of Product Quality, Service Quality, and Price on Purchasing Decisions at
Customers Bila Bakery
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3817
questionnaire, namely in the form of respondent demographic data, customer information
data, and data on factors that affect purchase decisions in Bila Bakery customers.
2) Data Seconds
Secondary data sources that can support the implementation of this research are
data that indirectly provide additional information to researchers. This study uses
information from previous research in the form of journals and books as secondary data
related to the development of the bakery business, consumer behavior, and the impact of
product quality, price, and service quality on purchasing decisions.
Target Population and Research Sample
The target population is a set of items or objects that contain the information that
the researcher is looking for and the conclusions drawn from it (Malhotra, 2010). In this
study, the target group is Bila Bakery customers. The number of observation data sampled
in the SEM analysis is at least in the range of 100 to 150 samples as recommended by
(Halle et al., 2009). The criteria for respondents to this survey are Bila Bakery customers
spread throughout Indonesia who have purchased products at Bila Bakery and have a
customer membership at Bila Bakery as loyal customers and basic customers.
Sampling Techniques and Data Collection
In this study, the sampling technique of the research subjects is the purposive
sampling method, which is sampling carried out by the researcher based on certain
considerations (Sugiyono, 2010). These certain considerations in this study are intended
for customers who have customer membership at Bila Bakery as loyal customers and
basic customers so that the data obtained by the researcher will facilitate the research
process to solve problems that occur at Bila Bakery.
Data collection techniques to obtain information and data needed in this study by
distributing questionnaires. The questionnaire used was in the form of several written
questions to obtain information from respondents. Questionnaires are a data collection
tool in the form of written statements that are systematically prepared and given to
respondents to obtain information related to matters regarding responses to the variables
being studied. The list of statements in this questionnaire is by the problems studied and
data related to product quality, service quality, and price on purchase decisions at Bila
Bakery customers.
Data Processing Engineering
The research will use PLS-based SEM because of explanatory-based research.
(Sinaga & Ghozali, 2012) explained that PLS-SEM is one of the methods to analyze data
that can answer various assumptions.
This study uses PLS-SEM because it can make it easier for researchers if they have
limited samples. Smart PLS software can also help in processing and testing data related
to statistical tools. The use of PLS-SEM is also based on having a complex structural
model and there are many indicators in it. In addition, PLS-SEM can also be used for
confirmation of existing theories. Here are some things to do when using PLS-SEM. The
following are the stages of PLS-SEM analysis in completing this research.
Test Instrument
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3818
1. Validity Test
The validity test has the purpose for researchers to find out that the research
questions on the research questionnaire do not deviate from the variables and can be said
to be valid.
2. Reliability Test
The reliability test has the purpose of determining the consistency of values in the
research data collection process. Alpha Cronbach is a coefficient used in reliability tests
(Yusuf & Syarif, 2018).
Measurement Model (Outer Model)
Measurement models or external models are used to measure the relationship
between latent variables and their attributes (see Table 3.3). There are three measurement
models: internal consistency, convergent validity, and discriminatory validity.
1. Internal consistency test
Consistency or reliability uses Cronbach alpha (α) and Combined Reliability (CR).
If the indicator panel that measures the latent variable has a Cronbach's alpha value of 0.7
and a combined confidence of 0.7, the indicator panel can be considered good.
Convergent Validity
A measure of the correlation between the reflex index and the latent variable reflex
value. The tolerance for outer loadings is 0.5. If the value of the outer loadings is 0.5 and
remains at 0.7, it can be maintained without affecting the Average Variance Extracted
(AVE) and CR results. If the outer loadings are less than 0.5, then the indicator is not
strongly bound to the variable and should be eliminated (Risher & Hair Jr, 2017).
According to Ghozali (2021), in the study of increasing the scale of loading factor values
of 0.5 to 0.6 is still acceptable, convergent validity can be fulfilled when each variable
has an AVE value above 0.5.
Results and Discussion
Composite Variable Analysis
Descriptive analysis of composite variables was also carried out in this study. The
composite variable is obtained from combining indicator variables by calculating mean,
sum, standard deviation, variance, skewness, and kurtosis where the calculation results of
each composite variable represent each indicator. The results of the descriptive analysis
of the composite variables of this study can be seen in Table 1.
Table 1
Composite Variable Analysis
PQ
SQ
P
PD
Std. Deviation
0,64
0,65
0,65
0,82
Variance
0,42
0,43
0,43
0,67
Skewness
-1,10
-0,51
-0,99
-1,23
Std. Error of
Skewness
0,19
0,19
0,19
0,19
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3819
Kurtosis
0,42
-0,08
0,62
1,16
Std. Error of
Kurtosis
0,39
0,39
0,39
0,39
Sum
705,2
697,75
700,5
686
The sum value of each variable is in the range of 686 to 705. There is a considerable
difference in the range of values because there are different questions from each variable.
The highest sum value was owned by the PQ variable of 705.2 and the lowest was owned
by the PD of 686.
In this study, the standard deviation of the composite variable was in the range of
0.64 to 0.82. Standard deviations close to 0 indicate lower data deviations from the mean.
Of the 5 composite variables, the highest standard deviation was owned by the PD
variable of 0.82 which showed that there was a considerable variation in data. Meanwhile,
the lowest standard deviation is owned by the PQ variable of 0.64 which shows that there
is not too large variation in data compared to other variables (Essardi, Mardikaningsih, &
Darmawan, 2022).
The variance value in the composite variable shows the distribution of values in the
composite variable with the mean. The variance value in this study is in the range of 0.42
to 0.67 where the lowest variance value is owned by the PQ variable of 0.42 and the
highest variance value is owned by the PD variable of 0.67. This shows that the PD
variable has a high data distribution when compared to other variables (Hulima, Soepono,
& Tielung, 2021).
Skewness shows the characteristics of the data set and its inclination towards the
mean that can occur to the right or left of the mean. In this study, the majority skewness
has a negative value, which shows that the data in this study has a leftward bias. This can
be interpreted that the composite variables are distributed normally because the skewness
value is in the range of -2 to 2.
The Kurtosis value indicates the peak pointiness of the frequency distribution. A
kurtosis value below 3 indicates that the research data is classified as normal. In this study,
all variables were classified as normal because the kurtosis value was less than 3.
Analysis PLS-SEM
PLS-SEM analysis is used to deal with studies that have smaller sample sizes
(Marcoulides & Saunders, 2006). PLS-SEM analysis will be processed using SmartPLS
4.1.0.2 software where analysis is carried out on the outer model and inner model related
to testing the compatibility between the model and the research data. The output of the
research data by SmartPLS is as follows in Figure 1 and Figure 2.
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3820
Figure 1 Outer Model Output
Figure 2 Inner Model Output
Measurement Model Analysis (Outer Model)
The measurement model or outer model is used to measure the relationship between
latent variables and indicator variables. There are three measurement models, namely
internal consistency, convergent validity, and discriminant validity.
Internal Consistency
Consistency or reliability testing uses Cronbach alpha (α) and composite reliability
(CR). Cronbach's alpha was used to test the reliability of each latent variable used in the
study. If the group of indicators that measure latent variables has a Cronbach's alpha value
of ≥ 0.7 and a composite reliability ≥ 0.7, then the group of indicators can be said to be
good. The results of internal consistency can be seen in Table 2.
Table 2
Uji Internal Consistency
Variable
Cronbach
Alpha
Composite
Reliability
≥ 0,7 (Hair et
al., 2017)
≥ 0,7 (Hair et al.,
2017)
Price
0,866
0,868
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3821
Purchase
Decision
0,863
0,868
Product
Quality
0,889
0,892
Service Quality
0,89
0,873
From the table above, it can be seen that all latent variables have met the reliability
test. The Cronbach's alpha value of each variable shows a ≥ 0.7 which indicates that each
latent variable is reliable because the Cronbach's alpha value provides an estimate of
reliability based on the intercorrelation of each indicator variable. The results of
composite reliability on all latent variables also meet the minimum requirements, namely
≥ 0.7. So it can be concluded that the data in this study has good internal consistency
reliability and can be used further in research.
Convergent Validity
After conducting an internal consistency analysis, a convergent validity analysis
was carried out. In this study, the outer loading of each indicator variable and the value
of average variance extracted (AVE) were used to measure the validity of the convergence
of the reflective latent variable.
Tabel 3
Uji Convergent Validity
Variabel
Indikator
Outer loadings
AVE
≥ 0,7 (Hair et al.,
2017)
≥ 0,7 (Hair et al.,
2017)
Price
P1
0,879
0,789
P2
0,908
P3
0,878
Purchase
Decision
PD1
0,858
0,785
PD2
0,899
PD3
0,901
Product Quality
PQ1
0,938
0,819
PQ2
0,886
PQ3
0,889
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3822
Service Quality
SQ1
0,855
0,797
SQ2
0,931
SQ3
0,891
Based on Table 3, it can be seen that all AVE and outer loadings values have met
the minimum standards so that they can be declared to have passed the convergence
validity test. Therefore, it can be concluded that the latent variables in this study can be
said to be valid and able to explain half of the variances or indicators.
Discriminant Validity
The discrimination test in this study uses the heterotrait-monotrait ratio (HTMT)
which aims to measure the extent of the uniqueness of one latent variable compared to
other latent variables. If the HTMT value ≤ 0.9, the construct passes the discrimination
test (Hair et al., 2021). If it is closer to the number 1, then the construct can be said to be
weak.
From the results of the HTMT test that has been carried out, it can be seen that
overall the latent variables passed the discrimination test. According to Hair et al. (2017),
the HTMT value < 0.9 is a conceptually similar variable, and should not include a value
of 1. Where all latent variables in the model have a threshold value with the highest value
of 0.884. This shows that the latent variable and other latent variables as a whole are
empirically different, but there is one latent variable that is similar but does not touch the
value of 1. The existence of the HTMT test can reflect that each latent variable can capture
phenomena that cannot be represented by other latent variables in the research model so
that there is no similarity between the latent variables in this study statistically.
Structural Model Analysis (Inner Model)
After the analysis of the measurement model, then the analysis of the structural
model or inner model is carried out to determine the relationship between variables in a
model. There are four measurement models, namely coefficient of determination, effect
size, predictive relevance, and path coefficients.
Coefficient of Determination (R2)
According to Hair et al. (2017), the accuracy of a model is measured by the value
of the determination coefficient or R2. A value of 0.75 is assumed to be substantial, a
value of 0.5 is assumed to be moderate, and a value of 0.25 is assumed to be weak. The
determination coefficient also serves to represent the combined effect of the entire
exogenous latent variable on the endogenous latent variable. By conducting the
determination coefficient test, it can be seen that the number of variances in endogenous
latent variables is explained by all exogenous latent variables. The results of the
determination coefficient test can be seen in Table 4 as follows.
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3823
Table 4
Hasil Uji Coefficient of Determination
R-square
Purchase Decision
(PD)
0,574
The value of the determination coefficient for the PD variable is 0.574 which is
classified as substantial because the values are above 0.5 and below 0.75. This means that
the variables Product Quality, Service Quality, and Price can describe the percentage of
data diversity and can affect the Purchase Decision by 58.4%. Meanwhile, 41.6% of the
data diversity in the PD variable was explained by other factors outside this study.
Effect Size (f2)
This study tested the effect size (f2) value which aims to see the changes that occur
in the determination coefficient value when certain exogenous latent variables are
removed from the model. By examining the effect size value, it can evaluate whether the
removed exogenous latent variable has a substantive impact on the endogenous latent
variable. 0.02 is the small limit, 0.15 is the medium limit, and 0.35 is the large limit.
Path Coefficient
The path coefficients test is used to measure the relationship between latent
variables. If the value is close to +1 then it can be assumed to have a positive relationship,
while if it is close to -1 it is assumed to have a negative influence (Hair et al., 2017). Thus,
the value of path coefficients is used to find out whether the hypothesis in this study is
acceptable or not. The coefficient path test was performed by bootstrapping on SmartPLS
4.1.0.2 using the bootstrapping option.
After bootstrapping, t-statistics and p-values will be generated for each relationship
in the model. T-statistics and p-values are used to identify the significance of the
relationship in the research model used to test as well as decide on the acceptance of the
research hypothesis. A relationship between variables is said to be significant if the t-
statistics value of each indicator > 1.65 (Henseler et al., 2009). In addition to looking at
the t-statistics value, it can also be seen in the p-values value. If the p-values ≤ 0.05, it
can be concluded that the hypothesis is accepted. If the p-values ≥ 0.05, it can be
concluded that the hypothesis is not accepted (Hair et al., 2017). The significance level
of ≤ 0.05 shows that the level of confidence obtained from the results of this study is 95%.
If a value shows a significant number, it can be concluded that the test results of the
relationship are more reliable.
In PLS-SEM, goodness of fit (GoF) can also be known. The calculation formula of
the GoF uses the AVE average and the R2 average and can be calculated as follows.
GoF =
√
0,797 𝑥 0,574 = 0,676
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3824
From the results of the GoF calculation above, it can be concluded that this research
model has a strong fit model value because the GoF value is more than 0.36, which is
0.49. The discussion of the PLS-SEM hypothesis test in this study will be further
explained as follows.
H1: Product Quality has a significant influence on Purchase Decision - Accepted
The results of the hypothesis test show that the relationship between the Product
Quality (PQ) variable and the Purchase Decision (PD) has t-statistics and p-values of
4.754 and 0.000, respectively. Where the t-statistics value is higher than the t-statistics
table (1.65). In addition, the p-values obtained from the relationship between these two
variables are lower than the cut-off value (0.05). So in this hypothesis, it can be seen that
there is a positive and significant relationship between PQ and PD. These results support
the hypothesis put forward in the study. This finding is also by previous research
conducted by (Marissa, 2020). According to (Aghitsni, 2022), the impact of Product
Quality on Purchase Decisions indicates that PQ includes an impact on PD through
aspects of product results, specialties, durability, aesthetics, and perceived quality of Bila
Bakery products. The results of the hypothesis test, reflect that Bila Bakery provides good
product quality because it is useful for the company, especially in terms of creating
purchase decisions from Bila Bakery consumers.
H2: Service Quality has an insignificant influence on Purchase Decision - Rejected
Based on research conducted by (Fatmala, 2021) which shows that Service Quality
has a positive effect on purchase decisions, the better the level of Service Quality, the
better the level of consumer purchase decisions. However, this will not necessarily have
a positive impact on Bila Bakery which implements Service Quality as a means of
communicating with customers. This is contained in research conducted by (Nelly, 2020)
which states that service quality does not affect purchase decisions because the most
important aspect is the quality of the product itself which makes potential consumers
determine purchase decisions. This can happen because the form of purchase
consideration from potential consumers also considers the aspects of price, products, and
the place offered by Bila Bakery. This argument makes this hypothesis about Service
Quality related to Purchase Decisions rejected.
H3: Price has a significant influence on the Purchase Decision - Accepted
The results of the hypothesis test show that the relationship between the Price (P)
variable and the Purchase Decision (PD) has t-statistics and p-values of 2.767 and 0.003,
respectively. Where the t-statistics value is higher than the t-statistics table (1.65). In
addition, the p-values obtained from the relationship between these two variables are
lower than the cut-off value (0.05). So in this hypothesis, it can be seen that there is a
positive and significant relationship between P and PD. These results support the
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Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3825
hypothesis put forward in the study. This finding is also by previous research conducted
by (Gunarsih, 2021).
According to (Agatha, 2018) the impact of Price on Purchase Decision indicates
that P includes the impact on PD through aspects of affordability, compatibility with
quality, competitiveness, and compatibility with the benefits of Bila Bakery products. The
results of the hypothesis test reflect that Bila Bakery provides prices that are by the target
market, because it is useful for the company, especially in terms of creating purchase
decisions from Bila Bakery consumers when facing competitors with competitive prices.
Managerial Implications
In this subchapter, the managerial implications of the research findings that can be
recommended to Bila Bakery (see Table 4.15) will be explained. The managerial
implications formulated in this study are based on the results of descriptive analysis and
PLS-SEM. The managerial implications of this study aim to increase Bila Bakery's
revenue, as referred to the findings in the study that has been conducted in the hope that
the identification of the characteristics and behavior of respondents towards Bila Bakery
products needs to be known to formulate and implement programs that can be carried out
by Bila Bakery management so that the needs of Bila Bakery as one of the F&B
businesses are well met.
Table 5 Managerial Implications
Analysis
Tools
Findings
Managerial
Implications
Intended
Execution Time (Years)
2024
2025
1
2
3
4
1
2
3
4
Analysis
Usage
The majority
of Bila
Bakery
customers
spend money
to buy Bila
Bakery
products in
the range of
Rp. 30,000 to
Rp. 50,000
Create
package deals
that are valid
on certain days
with a total
price of
Rp.50,000 -
Rp. 70,000 for
IfBakery
products are
sold in bundles
Bila
Bakery
Instagram is
the platform
that provides
the most
information
to Bila
Bakery
customers
Actively
interact with
customers and
potential
customers,
especially
when choosing
influencers
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that are by the
brand image
that is built
and have a
high
engagement
rate
Facebook is
the platform
that provides
the least
information
to Bila
Bakery
customers
Bila Bakery's
Facebook
account
expands its
network by
joining
communities
that match the
target market
and the
majority of
consumer
demographics
Bakery
products are
the most
preferred and
most often
purchased by
Bila Bakery
customers
Creating a
campaign that
contains
visuals and
narratives
about the
manufacturing
process of
bakery variant
products Bila
Bakery
Creating
activation
promo
bundling
related to
products that
are often
purchased by
Bila Bakery
customers
Beverage
products are
the least
frequently
purchased
products by
Bila Bakery
customers
Creating
content
creation that
uses talent
from
influencers or
Key Opinion
Leaders with
beverage
products from
Bila Bakery
The Influence of Product Quality, Service Quality, and Price on Purchasing Decisions at
Customers Bila Bakery
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3827
The biggest
reason for
customers to
buy Bila
Bakery
products is
because of
the special
taste and
quality given
to each
product
Maintain the
taste and
quality of Bila
Bakery
products by
implementing
Standard
Operating
Procedures
that apply
from the
beginning of
product
manufacturing
to products to
customers
Analysis
Demographic
Sawasta
employees
occupy the
first position
as customers
of Bila
Bakery
Collaborate
with meeting
room
providers
such as cafes,
restaurants, or
hotels and then
offer snack
packages from
Bila Bakery
products at
special prices
The majority
of Bila
Bakery
customers are
in the age
range over 36
years old
Creating a
large product
that can be
consumed by
one family
PLS SEM
Product
Quality has a
significant
positive
influence on
Purchase
Decision
Creating
standardization
of finished
products to be
sold with
product
standards that
have quality
according to
Product
Operational
Standards
Maintain
product quality
by
implementing
Quality
Nabila Firdausa, Reny Nadlifatin
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3828
Control on all
products sold
at Bila Bakery
Outlets
Creating
products with
the latest
innovations
that prioritize
good taste and
quality
Price has a
significant
positive
influence on
Purchase
Decision
Create several
product
variants for
products
whose prices
can compete
with products
offered by
competitors
Creating
products that
match the
price and
quality
provided
Creating
several
products at
affordable
prices to be
used as Traffic
Count
products
Service
Quality has a
positive but
not
significant
influence on
Purchase
Decision
Creating a
Loyalty Card
with discount
promo benefits
for regular
customers who
often make
transactions at
Bila Bakery
Creating
detailed
procedures to
better serve
customer
desires
Providing
assurance and
certainty that
The Influence of Product Quality, Service Quality, and Price on Purchasing Decisions at
Customers Bila Bakery
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3829
products
through
delivery orders
are in
accordance
and can be
received by
customers on
time
Conclusion
Based on the results of data processing and analysis that have been carried out
previously, conclusions can be drawn from the initial objectives of this study which are
explained as follows.
1. The results of the PLS-SEM analysis show that Product Quality has a significant
positive effect on the Purchase Decisions of Bila Bakery customers. There are also
findings that the reason for buying from customers to make purchases is because of
the special taste and quality of the products given to Bila Bakery products.
2. The PLS-SEM analysis that has been carried out has resulted in the finding that Service
Quality has a positive but not significant effect on the Purchase Decisions of Bila
Bakery customers. This is shown in the findings that customers as research
respondents agree that the Quality of Service provided by Bila Bakery is good, but the
Quality of Service does not have a significant influence on the Purchase Decisions
made by Bila Bakery customers.
3. The results of the PLS-SEM analysis show that Price has a significant positive effect
on the Purchase Decision made by Bila Bakery customers. Thus, it can be concluded
that the price factor is something that affects the consideration of the Bila Bakery
customer when making a Purchase Decision.
Nabila Firdausa, Reny Nadlifatin
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 8, August 2024 3830
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