Factors Affecting Consumer Behavior Buying Bulk Cooking Oil (Case Study: Central Market In Medan Kota District In Medan City)
Introduction
The Central Market in Medan Kota District, Medan City, is a significant hub for the distribution and procurement of daily needs products, including bulk cooking oil. Understanding the factors that influence consumer behavior in buying bulk cooking oil is crucial for traders, policymakers, and related parties to develop effective strategies and policies. This study aims to investigate various factors that affect consumer behavior in purchasing bulk cooking oil in the Central Market of Medan Kota District.
Background
Bulk cooking oil is a basic daily necessity that is easily accessible and affordable. The price of bulk cooking oil is a significant factor that influences consumer purchasing decisions. In areas where the economy is still in the developmental stage, most consumers prefer affordable products due to the increasing cost of living and daily expenses. The Central Market in Medan Kota District is a significant hub for the distribution and procurement of daily needs products, including bulk cooking oil.
Methodology
This study used descriptive analysis, Spearman rank correlation analysis, and multiple linear regression analysis to investigate the factors that affect consumer behavior in buying bulk cooking oil. The study was conducted purposively, with data collection taking place in June 2013.
Main Findings
The results of this study showed several important points. First, the main reason consumers choose to buy bulk cooking oil is because the price is cheaper than other products, and because bulk cooking oil is a basic daily necessity that is easily accessible. Second, the analysis found that there was no significant relationship between age and the level of education with the purchase of bulk cooking oil. This shows that the demographic factor does not have a big impact in determining consumer decisions in choosing this product.
Third, research revealed that the price of bulk cooking oil has a significant effect on the number of purchases. When the price of bulk cooking oil is lower, consumers tend to buy in more numbers. However, on the other hand, income and number of dependents of consumers do not show a significant effect on the purchase of bulk cooking oil. This shows that prices are a key factor that underlies consumer decisions, regardless of their personal economic situation.
Additional Analysis and Explanation
The price factor in the context of purchasing bulk cooking oil is very important, especially in areas where the economy is still in the developmental stage. Most consumers prefer affordable products because of the increasing cost of living and daily expenses. In this case, bulk cooking oil is the first choice because of a better purchasing power compared to packaged cooking oil.
Meanwhile, the powerlessness of income and dependents in influencing purchases shows that consumers are often more influenced by external factors, such as price promotions and marketing strategies implemented by traders. Therefore, bulk cooking oil traders in the Central Market need to use this information to better understand their consumers and formulate the right strategy to attract more buyers.
Conclusion
Overall, this study shows that prices are a major factor in consumer decisions to buy bulk cooking oil. Therefore, for those who want to invest or do business in the food sector, especially bulk cooking oil, understanding consumer behavior and the factors that influence purchases are the key to achieving success.
Recommendations
Based on the findings of this study, the following recommendations are made:
- Price Strategy: Bulk cooking oil traders in the Central Market should implement a price strategy that is competitive and affordable for consumers.
- Marketing Strategy: Traders should use marketing strategies that are effective in attracting consumers, such as price promotions and advertising.
- Consumer Education: Traders should educate consumers about the benefits of buying bulk cooking oil, such as its affordability and accessibility.
- Policy Development: Policymakers should develop policies that support the distribution and procurement of daily needs products, including bulk cooking oil.
Limitations
This study has several limitations. First, the study was conducted in a specific location, the Central Market in Medan Kota District, and may not be generalizable to other locations. Second, the study used a purposive sampling method, which may not be representative of the entire population. Third, the study only investigated the factors that affect consumer behavior in buying bulk cooking oil and did not explore other factors that may influence consumer decisions.
Future Research Directions
Future research should investigate other factors that affect consumer behavior in buying bulk cooking oil, such as the role of social media and online marketing. Additionally, future research should explore the impact of government policies on the distribution and procurement of daily needs products, including bulk cooking oil.
References
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Q&A: Factors Affecting Consumer Behavior to Buy Bulk Cooking Oil in the Central Market of Medan Kota District =============================================================================================
Q: What is the main reason consumers choose to buy bulk cooking oil?
A: The main reason consumers choose to buy bulk cooking oil is because the price is cheaper than other products, and because bulk cooking oil is a basic daily necessity that is easily accessible.
Q: Is there a significant relationship between age and the level of education with the purchase of bulk cooking oil?
A: No, there is no significant relationship between age and the level of education with the purchase of bulk cooking oil. This shows that the demographic factor does not have a big impact in determining consumer decisions in choosing this product.
Q: What is the effect of prices on the number of purchases of bulk cooking oil?
A: The price of bulk cooking oil has a significant effect on the number of purchases. When the price of bulk cooking oil is lower, consumers tend to buy in more numbers.
Q: Do income and number of dependents of consumers have a significant effect on the purchase of bulk cooking oil?
A: No, income and number of dependents of consumers do not show a significant effect on the purchase of bulk cooking oil. This shows that prices are a key factor that underlies consumer decisions, regardless of their personal economic situation.
Q: Why is the price factor important in the context of purchasing bulk cooking oil?
A: The price factor is important because most consumers prefer affordable products due to the increasing cost of living and daily expenses. In this case, bulk cooking oil is the first choice because of a better purchasing power compared to packaged cooking oil.
Q: What is the role of income and dependents in influencing purchases of bulk cooking oil?
A: Income and dependents do not have a significant effect on the purchase of bulk cooking oil. This shows that consumers are often more influenced by external factors, such as price promotions and marketing strategies implemented by traders.
Q: What are the implications of this study for traders and policymakers?
A: The findings of this study have implications for traders and policymakers. Traders should implement a price strategy that is competitive and affordable for consumers, and use marketing strategies that are effective in attracting consumers. Policymakers should develop policies that support the distribution and procurement of daily needs products, including bulk cooking oil.
Q: What are the limitations of this study?
A: This study has several limitations. First, the study was conducted in a specific location, the Central Market in Medan Kota District, and may not be generalizable to other locations. Second, the study used a purposive sampling method, which may not be representative of the entire population. Third, the study only investigated the factors that affect consumer behavior in buying bulk cooking oil and did not explore other factors that may influence consumer decisions.
Q: What are the future research directions for this study?
A: Future research should investigate other factors that affect consumer behavior in buying bulk cooking oil, such as the role of social media and online marketing. Additionally, future research should explore the impact of government policies on the distribution and procurement of daily needs products, including bulk cooking oil.
Q: What are the practical implications of this study for traders and policymakers?
A: The practical implications of this study are that traders should implement a price strategy that is competitive and affordable for consumers, and use marketing strategies that are effective in attracting consumers. Policymakers should develop policies that support the distribution and procurement of daily needs products, including bulk cooking oil.
Q: What are the theoretical implications of this study?
A: The theoretical implications of this study are that the price factor is a key factor that underlies consumer decisions, regardless of their personal economic situation. This study contributes to the understanding of consumer behavior and the factors that influence purchasing decisions.
Q: What are the policy implications of this study?
A: The policy implications of this study are that policymakers should develop policies that support the distribution and procurement of daily needs products, including bulk cooking oil. This study contributes to the understanding of the factors that affect consumer behavior and the development of effective policies.