Short answer
Focus marketing efforts on product quality, competitive pricing, engaging promotions, and a smooth customer experience, as these are the most influential factors in driving purchase decisions for this product category.
- Field
- Innovation & Markets
- Source
- JOURNAL OF APPLIED BUSINESS ADMINISTRATION (2018)
- Method
- Quantitative research using descriptive analysis and multiple regression analysis.
- Evidence
- Strong effect
Product, price, promotion, people, and process are key drivers of consumer purchasing decisions for packaged coconut milk, while distribution channels (place) show no significant impact. This innovation & markets research insight is drawn from a 2018 study published in JOURNAL OF APPLIED BUSINESS ADMINISTRATION. Using Quantitative research using descriptive analysis and multiple regression analysis., researchers explored how this design variable affects real-world outcomes. The key design takeaway: Focus marketing efforts on product quality, competitive pricing, engaging promotions, and a smooth customer experience, as these are the most influential factors in driving purchase decisions for this product category.
Marketing Mix Elements Significantly Drive Purchase Decisions for Packaged Coconut Milk
Product, price, promotion, people, and process are key drivers of consumer purchasing decisions for packaged coconut milk, while distribution channels (place) show no significant impact.
JOURNAL OF APPLIED BUSINESS ADMINISTRATION · 2018
Key Findings
- 01Product, price, promotion, people, and process have a positive and significant influence on purchasing decisions.
- 02Place (distribution) has no significant impact on purchasing decisions.
- 03All marketing mix variables combined have a positive and significant impact on purchasing decisions.
Application
Design takeaway
Focus marketing efforts on product quality, competitive pricing, engaging promotions, and a smooth customer experience, as these are the most influential factors in driving purchase decisions for this product category.
How to apply
When developing or refining a product, consider how its features, pricing, promotional strategies, and the customer journey can be optimized to maximize purchase intent. Conduct market research to understand the relative importance of each marketing mix element for your specific target audience.
Project actions
- 01When researching a product, consider all aspects of the marketing mix, not just one or two.
- 02Use statistical methods to quantify the impact of different marketing elements on consumer behavior.
- 03Be critical of findings, especially when a variable shows no significant impact – consider why this might be the case.
Method & Evidence
Variables
Strengths & Limitations
Strengths
- +Utilizes quantitative methods for objective analysis.
- +Examines multiple facets of the marketing mix.
- +Employs established statistical techniques (regression, T-test, F-test).
Limitations
The study's focus on a single product and brand limits its generalizability. The 'place' variable's lack of significance could be due to the ubiquity of the product or other unmeasured factors.
Reliability & validity
The study likely has good internal validity due to the use of regression analysis to control for multiple variables. Reliability would depend on the consistency of the survey instrument and data collection methods.
Think critically
Given that 'place' had no significant impact, what alternative explanations could exist beyond the study's scope, and how might a designer leverage this understanding in their product development strategy?
Design Principles
"The effectiveness of a marketing mix is contingent on the specific product category and target market, with certain elements like product, price, and promotion often holding greater sway than distribution alone."
Understanding which elements of the marketing mix most effectively influence consumer choices allows businesses to allocate resources strategically. Focusing on product attributes, competitive pricing, targeted promotions, customer service (people), and efficient transaction processes can lead to increased sales and market share.
What This Means for Your Design
For products like coconut milk, what the product is like, how much it costs, how it's advertised, the people you interact with when buying, and how easy it is to buy all matter a lot. Where you buy it from doesn't seem to matter as much.
How to use in your project
- 1.Use this research to justify your choice of target market and how you will position your product within that market.
- 2.Incorporate findings about the importance of product features and promotion into your design brief and development process.
Add to My Project
Quick Cite
Paragraph starter
This research highlights that for packaged consumer goods like coconut milk, product attributes, pricing, promotional activities, customer service ('people'), and the transaction process ('process') are significant drivers of purchasing decisions. Conversely, the distribution channel ('place') did not show a significant impact. This suggests that design projects aiming for commercial success should prioritize optimizing product features, value proposition, and the customer experience over solely focusing on distribution breadth.
Source
JOURNAL OF APPLIED BUSINESS ADMINISTRATION
PENGARUH BAURAN PEMASARAN (MARKETING MIX) TERHADAP KEPUTUSAN PEMBELIAN PADA PRODUK KARA SANTAN PT ENSEVAL PUTERA MEGATRADING, Tbk
journal · 2018
View sourceQuestions About This Research
- What does the research say about marketing mix elements significantly drive purchase decisions for packaged coconut milk?
- Focus marketing efforts on product quality, competitive pricing, engaging promotions, and a smooth customer experience, as these are the most influential factors in driving purchase decisions for this product category. Evidence: JOURNAL OF APPLIED BUSINESS ADMINISTRATION (2018).
- Why does "Marketing Mix Elements Significantly Drive Purchase Decisions for Packaged Coconut Milk" matter for design?
- Understanding which elements of the marketing mix most effectively influence consumer choices allows businesses to allocate resources strategically. Focusing on product attributes, competitive pricing, targeted promotions, customer service (people), and efficient transaction processes can lead to increased sales and market share.
- How can designers apply this research?
- Focus marketing efforts on product quality, competitive pricing, engaging promotions, and a smooth customer experience, as these are the most influential factors in driving purchase decisions for this product category.
- What were the main findings?
- Product, price, promotion, people, and process have a positive and significant influence on purchasing decisions.. Place (distribution) has no significant impact on purchasing decisions.. All marketing mix variables combined have a positive and significant impact on purchasing decisions.
- What research method was used?
- Quantitative research using descriptive analysis and multiple regression analysis..
- How strong is the evidence?
- Evidence strength is rated Strong effect, based on a 2018 journal from JOURNAL OF APPLIED BUSINESS ADMINISTRATION.
- What should I do differently in my next project?
- When developing or refining a product, consider how its features, pricing, promotional strategies, and the customer journey can be optimized to maximize purchase intent. Conduct market research to understand the relative importance of each marketing mix element for your specific target audience.
- What are the limitations?
- The study focused on a single product and brand, and the findings may not be generalizable to all consumer packaged goods or different market segments. The 'place' variable's lack of significance might be due to factors not fully explored within the study's scope.