Eurasia: Economics & Business (Sep 2023)

THE ROLE OF BRAND IMAGE IN MEDIATEING THE INFLUENCE OF PLACE AND PROMOTION ON PURCHASE DECISIONS: A STUDY ON BALI KITA KITA ADVERTISING

  • Subawa I K.,
  • Yasa N.N.K.,
  • Giantari I G.A.K.,
  • Sukaatmadja I P.G.

Journal volume & issue
Vol. 75, no. 9
pp. 72 – 88

Abstract

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The increase of digital experience in advertising media is significantly influenced by the development of technology, which is considered superior to conventional advertising media. Consequently, traditional advertising firms are compelled to assess their marketing strategies in order to enhance customer purchasing decisions. The objective of this study is to elucidate the mediating function of brand image in the influence of place and promotion on purchase decisions. The study was carried out in Bali, focusing on the clientele of Bali Kita Kita, a company specializing in advertising services. A total of 140 respondents were selected using non-probability purposive selection technique. The data was collected via sending surveys in the form of a Google Form. The present study involves conducting data analysis on research findings. This study employs a Partial Least Squares (PLS) approach to Structural Equation Modelling (SEM). This study demonstrates that the factors of place and promotion have a considerable and favorable impact on purchasing decisions. The influence of place and promotion on a brand's image is both considerable and favorable. A positive brand image, in turn, has a major impact on consumers' purchasing decisions. Furthermore, the brand image has the ability to partially mediate the influence of place and promotion on consumers' purchasing decisions. This study aims to make an empirical addition to the field of marketing by examining the relationship between variables such as place, promotion, brand image, and purchasing decisions. The findings of this research will enhance our understanding of marketing concepts and practices. The anticipated outcomes of this study are intended to serve as a valuable resource for companies in formulating their business strategies. Specifically, these findings are expected to assist in enhancing brand image and facilitating informed decision-making processes regarding customer purchases.

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