How Does the Marketing Mix Influence Green Purchase Intention Among Personal Care and Cosmetics Customers

How Does the Marketing Mix Influence Green Purchase Intention Among Personal Care and Cosmetics Customers

Al Amirul Eimer Bin Ramdzan Ali* ^1,2, Fatin Nurain Abdul Munir³, Syed Mohd Amirul Syed Abdul Basek⁴, Mohd Safwan Ramli ⁵, Nur Nabilah Binti Abdullah ⁶, Shahrul Nizam Mohd Basari⁷

^1,3,6,7 Kulliyyah of Sustainable Tourism and Contemporary Languages International Islamic University Malaysia

² Kulliyyah of Economics and Management Sciences International Islamic University Malaysia

⁴ International Institute for Halal Research and Training International Islamic University Malaysia

⁵ Faculty of Business and ManagementUniversiti Technology MARA, Pahang

*Corresponding author

DOI: https://dx.doi.org/10.47772/IJRISS.2024.8120085

Received: 26 November 2024; Accepted: 02 December 2024; Published: 03 January 2025

ABSTRACT

The cosmetics industry has grown rapidly in many countries including in Asian countries. Green Purchase intention is the mainstream of the global cosmetics industry especially for those brands that are practicing environmental practices. Thus, many business operations have been executing marketing mix strategy as part of their marketing strategy to help companies to aim the target customers in the marketplace. However, some business operators were not properly executing the strategy, resulting in the newly released products failing to appeal to the target market. Therefore, the main objective of this study was to explore the relationship between the type of marketing mix strategy (product, price, place, promotion) and green purchase intention among beauty cosmetic customers. The respondents of the study were chosen by purposive sampling technique where only customers that are purchasing green cosmetic brands were chosen. To collect the data, a questionnaire was developed from the process of adoption and adaptation of a few sets of questionnaires from previous research papers. A set of questionnaires was distributed online through WhatsApp platform and a total of 105 respondents who were using beauty cosmetic products had participated in this study. It was then analyzed by using Cronbach’s Alpha in order to measure its reliability and also SPSS for the statistical analysis of the collected data. From the analysis, the results indicated that only one independent variable, price, has a significant relationship with purchase intention among beauty cosmetic customers. Theoretical and practical implications were discussed to provide insights for future research in this area.

Keywords: Green Purchase Intention; Marketing Mix

INTRODUCTION

In today’s era, there is a growing concern on the environmental sustainability, environmental destruction and global warming. This has led to the increase of public awareness of the surrounding environment which in turn, affects the customer’s habit where they begin to look for products and services that are environmentally friendly. This behavior can be seen from the attitude of customer awareness of the issues pertaining to environmental sustainability in which, there is a growing demand of products and services that contribute to the environmental sustainability (Puspitasari, Rinawati, Suliantoro & Sutrisno, 2018).  Hence, with the emergence of green customer community that is looking for such products, many industries are now looking into shifting their current practices into environment sustainability practices. The concept of green purchase intention is the possibility and the willingness of the customers who are very much into purchasing products and services that contribute to environmental sustainability affairs compared to conventional products in which they are also influenced by the awareness to contribute to nature (Ali & Ahmad, 2012).  The marketing mix is a part of marketing strategy in industry; it is a major concept in marketing (Palmer, 2011). Marketing is constantly being perceived to be important in the performance of any organization as it is the bridge between production and consumption of goods and services (Lahtinen, Dietrich & Thiele, 2020). Marketing mix strategy is divided into four main elements; product, price, place and promotion. An effective marketing strategy combined all these four to influence customer purchase intention in buying products. Marketing is very important in any organization to sustain themselves in the business industry for a longer period of time. Furthermore, the concept of marketing is not only to find customers that are willing to buy the products in the market but it is to focus on providing products and services to customers based on their needs and wants (Yolanda & Nugraha, 2024). Adding to that, good marketing can influence customers successfully by providing the best products to cater to the problems faced by the customers. Thus, marketing mix strategy includes all the responses of a firm in ensuring that the target market positively influences their product demand. The cosmetic industry has been expanding rapidly in both developed and developing countries. The cosmetics market in Asia seems to be one of the fastest growing markets (Hassali, Al-Tamimi, Dawood, Verma & Saleem, 2015). This continuous growth provides the best opportunity to the business owners to promote their products significantly. In addition, cosmetics products have become a priority among women in Malaysia and many other countries because, women pay attention to personal grooming – this includes working women and those with higher income who often buy premium personal care products. Besides that, some Malaysian men also see cosmetics as a part of necessity and purchase makeup products the same as women in order to look good and perfect without any flaws on their face and body.

PROBLEM STATEMENT

The unstable patterns of consumption in the world have indeed caused severe environmental issues such as pollution, natural resources depletion and global warming. The problem arises when the local and international marketers are now facing a serious problem in developing adequate green practices in their processes which could hinder customers to purchase products that are environmentally friendly.  This could also due to the lack of experience, and green marketing strategies of the certain personal care and cosmetic products (Lasuin & Ching, 2014). In the context of Malaysia, the intensity of green purchase behavior is not encouraging as there is not even 50 % of the population who have the experience in purchasing green products (Mukhlis, 2009).

Marketing mix strategy is the backbone of any business operation. Many businesses are executing marketing mix strategy in their company; however, the biggest problem with the marketing mix strategy is in its execution (Sirajuddin, Senath rajah, Haque & Isa, 2023). This understanding is a major challenge for marketers to outline appropriate marketing strategies to meet and exceed customer’s expectations (Thu, 2019). Adding to that, the marketing mix problem also arises because of marketers’ negligence (Sirajuddin et al., 2023). As mentioned by Billah (2012), many products fail because the strategic plan for introducing them to the market was not properly well-executed.  Consequently, if product, price, place and promotion do not work well together and are not properly executed by the business operators, it can affect the entire marketing strategy (Billah, 2012). Truthfully, in this competitive world, marketing and advertising give strong impact on customer purchase intentions (Anjana, 2018). Furthermore, the author also highlights that customers nowadays are falling for quality, branded and cheap price products; these factors are a major part of marketing mix strategy that need to be stressed on by business operators. Hence, this research is to identify the relationship between marketing mix strategies on green purchase intention among personal care and cosmetics customers.

LITERATURE REVIEW

Green Purchase Intention

Since 1970, few studies have been carried out on consumer behavior towards products and services that contribute towards environmental sustainability.  According to Bui and Layola (2005), there are various variables which include values, beliefs/knowledge, motivations, needs, attitudes, and demographic that were shown to drive customer’s choice in purchasing environmentally friendly products. Karunarathna (2020) has defined green purchase intention as the customers’ capacity and propensity to purchase environmentally friendly products and services over conventional products, in which may have an impact on their decision to make the purchase. Customers who are very much into green products and services are willing to pay a premium price if the products that they have purchased do not give a negative impact to the environment (Ahmed, Streimikiene, Qadir & Streimikis, 2022).

Price

Abd Hafiz and Ali (2018) state that price is “the amount of money to pay for a product or service, or the value of the exchange to help customers receive a product or service for a certain amount”. An average customer will look at the price first before purchasing some products, unlike high-class customers who are willing to pay a premium price for themselves without affecting their purchase intention (Tunteerasin, 2019). Price can affect customers’ satisfaction, in which they often think price reflects the quality of product. Thus, customers would prefer to spend the money to get the best products that meet their expectations on the function of the products. When the perceived values of the product are greater than the cost, it is observed that customers are more willing to purchase those products or services (Tunteerasin, 2019).

Product

Product is considered as a center of marketing strategy, and it is crucial to a customer’s decision to purchase the products that are available on the market. Nasirun et al. (2019) define product as a “physical object that satisfies consumer desires with traits or attributes that are distinguishable from other products.” Products play an important role to determine the success or failure of product and marketing strategies.  In today’s era, customers prefer products with product quality which have been produced by business operators according to customers’ preference. Every business operator who fails to understand the needs of customers will have issues in selling products to the community. Good products are the key to market success.

Place

Nasirul et al., (2019) have defined place as “an area of activity that includes a supply method, a marketplace coverage, a product inventory, a way to transfer the product and a distribution place.” In short, according to Sulaj (2024), “place in marketing mix refers to the geographical location in which the company sells its products and provides its services.” Place is also known as distribution where a place for customers to acquire a product or get a service from.  In the case of beauty cosmetic products, customers would prefer to get the product directly at the main door through online purchase, meanwhile other customers prefer to purchase the products at the physical store, where the location should be reachable. This is because location is one of the most important elements in marketing strategy. Place also refers to where the products are placed inside a store, such as “marketplace activity, requiring optimal resource planning for inbound, outbound, and reverse logistics”.

Promotion

Promotion is the part of marketing approach that marketers will practice where the products are advertised to create awareness and interest among customers. As defined by Sari and Kusdiyanto (2024), promotion in the marketing mix is a “communication that aims at promoting a product, activity, or a brand among the target customers; in order to drive sales, and involves both buyer and seller.” Besides that, one of the most important roles of promotion is to coordinate all efforts to create channels, deliver and persuade customers to buy their products and services, or to push the concept.  Furthermore, to create an effective promotion of any products, business operators who wish to expand their business to a higher level must utilize some of marketing promotional tools, where these tools should be kept in mind; Advertising, Personal Selling, Sales Promotion, Public Relations and Direct Marketing. As mentioned by Tunteerasin (2019), TV or social media is the example of advertising where it is the way of communication or presentation of information in mass media. All content covers product detail, brand, services, or even celebrity (Tunteerasin, 2019).  Good advertising could increase customer’s trustworthy and positive attitudes towards the product. According to Acutt (2021), advertising can be done through these following platforms; Radio, Television, Print, Electronic, Word of Mouth and Generic style.

Figure 1Conceptual framework of the study

Source:  Thu, T. M., (2019)

RESEARCH METHODOLOGY

Research Design

This research adopted a correlational research design to analyses the relationship between two variables namely dependent and independent variables. The dependent variable of this study is green purchase intention and independent variable is marketing mix strategy (product, price, place, and promotion). Correlation type of research was used to measure and identify accurately the type of marketing mix strategy that will contribute towards purchase intention among beauty cosmetic customers.

Sample size

The sample size of this study was determined by applying Tabachnick, Fidell and Ullman (2007) formula of “50 + 8m” where ‘m’ is the number of factors of this study. Based on this study, there are four factors namely product, price, place and promotion. Based on the formula of 50 + 8(4), the sample size of this study is 82 people in total; however, it was rounded up to 105 to ensure that it represented the population of this study.

RESULTS AND FINDINGS

Table 1: Demographic profile of the respondents

Table 2: Correlation Analysis of the study

Table 1 indicates the demographic factors. Regarding the gender factor, the majority of the respondents were female with 94 respondents (89.5%) followed by male with 11 respondents (10.5%).  This is because the majority of the customers using beauty cosmetic products are among females, as females have a higher percentage of population than male population and females prefer to spend more on cosmetic products. From the data obtained, in terms of age, four respondents were ≤ 20 years old (3.8%), and most of the respondents aged between 21-25 years old with a number of 86 respondents (81.9%). In addition, six respondents aged between 26-30 years old (5.7%) and nine respondents were between 30 years old and above (8.6%).

Furthermore, looking at the marital status factor, most of the respondents were single with the frequency of 95 respondents (90.5%), followed by the frequency of 10 respondents (9.5%) who were married. Next, students made up the highest number of respondents who participated in this research with the frequency of 52 respondents (49.5%), followed closely by the company employees with 35 respondents (33.3%) and the least number of respondents came from the business owners with the frequency of 11 respondents (10.5%) and public servant with the frequency of seven respondents (6.7%) respectively.

Lastly, in regard to the final demographic factor level of study, 51 respondents (48.6%) preferred Maybelline New York cosmetic brand, which made up half of the respondents in this study. Meanwhile, eight respondents (7.6%) preferred cosmetic products under the L’Oréal Paris brand, 12 respondents (11.4%) preferred Obsess Cosmetics, 10 respondents (9.5%) preferred M.A.C. Cosmetics and 24 respondents (22.9%) preferred other brands, such as Simplysiti and Revlon, indicating second major number of respondents. Lastly, from the data collection, none of the respondents preferred dUCk Cosmetics brand

Correlation Analysis

Table 2: Correlation Analysis of the study

Table 2 shows the results of correlation analysis indicating the inter-correlation among the variables in this study. The correlation of the variables in the study may vary between positively weak, positively moderate and positively strong. All types of marketing mix strategy including product, price, place and promotion are found to be positively correlated with each other. The correlation between product and price (r = 0.750, p < 0.01), is found to have a high positive relationship. The correlation of product and place (r = 0.663, p < 0.01), is found to have a high positive relationship. Meanwhile, the correlation of product and promotion (r = 0.603, p < 0.01), is found to have a moderate positive relationship. Furthermore, the correlation of price and place (r = 0.704, p < 0.01) is found to have a high positive relationship, and the correlation of price and promotion (r = 0.653, p < 0.01) is also found to have a high positive relationship. Lastly, the correlation of place and promotion (r = 0.507, p < 0.01) is found to have a moderate positive relationship.

Apart from that, the relationship between marketing mix strategy and green purchase intention is also conclusively proved. Based on the result, it is proven that the independent variable elements are substantial and correlate with green purchase intention before purchasing cosmetic products. Based on the table, there is a moderate positive relationship between product and  greenpurchase intention (r = 0.552, p < 0.01). Other than that, price and green purchase intention relationship portrays a moderate positive relationship between these two variables (r = 0.604, p < 0.01). Furthemore, place and green purchase intention relationship has shown a moderate positive relationship with each other (r = 0.479, p < 0.01). Lastly, promotion and green purchase intention has shown a moderate positive relationship between these two variables (r = 0.493, p < 0.01).

Regression Analysis

A multiple regression analysis was conducted to answer the research question to answer three hypotheses of this study and they are as follows

First hypothesis: There is a positive relationship between product and green purchase intention among beauty cosmetic customers.

Second hypothesis: There is a positive relationship between price and green purchase intention among beauty cosmetic customers.

Third hypothesis: There is a positive relationship between place and green purchase intention among beauty cosmetic customers.

Fourth hypothesis: There is a positive relationship between promotion and green purchase intention among beauty cosmetic customers.

Table 3: Multiple regression analysis of the study

Table 3 describes the multiple regression analysis of the study.  The regression table shows the significant F score (F=16.510, P < 0.01) which illustrates that the independent variables of this analysis (product, price, place and promotion) have a significant collaborative impact on the dependent variable. The variations in the dependent variable that the independent variables contributed are described as R Square. Based on the above table, R2 (39.8%) demonstrates the relationship between the independent variables (product, price, place and promotion) and green purchase intention. Based on the result, only price has a significant relationship on green purchase intention and is the strongest predictor of the study.

Based on the results above, only price has a significant relationship on green purchase intention among personal care and cosmetics customers. The result of this hypothesis is in line with the past research that has proven that price gives effect on green purchase intention. It is then mentioned by Bhatti (2018), that price is a major factor to influence and attract customer’s intentions and consideration to purchase a product. Al-Salamin and Al-Hassan (2016) also stated that “purchase intention is based on how customers perceive and what they consider the current actual price to be.” Having said that, the understanding of customers’ perception on price is an important marketing priority. Moreover, looking at how customers take product price as a factor, price discount is counted as part of marketing strategy and it has a great influence on the high price products, that affects customers, and increases the value of the products.  Especially when it is a green product, discounts and offers are given to attract the customers (Bhatti, 2018). However, for loyal customers, they are willing to pay more even if the price has increased due to the contribution of the products and services towards environmentally sustainable affairs. Meanwhile, customers who have a strong perception in the price and value of product would compare the price with other brands prior to purchasing the products (Tunteerasin, 2019). Therefore, price plays an important role in green purchase intention.

Based on the findings, it was found that there is no significant relationship between product and green purchase intention. This finding can be supported as according to Kristianti (2021), product is closely related to brand loyalty. Brand loyalty is the positive association that customers have with a specific product or brand. In fact, brand loyalty exhibits customer’s dedication to purchasing the product brand repeatedly despite competitors’ efforts to pull them away from that specific brand or product. Not only that, due to the tangible quality of the product sold, customers may purchase a single brand again or might switch to another brand (Khraim, 2011). It is then proved by Kristianti (2021) that customers will be loyal to the certain product if all the qualities of cosmetics have met the standard and needs of customers. This shows that a high-quality product influences customer decisions to remain loyal to the product.

Furthermore, place and green purchase intention are proven to not have any relationship. This can be supported by research done by GbolagadeAdewale and Oyewale (2013), in which they found out that another factor influencing business performance is place distribution. This means that the location, accessibility, and channel of distribution employed by business organizations are a major concern and could impact their business performance. Lastly, there is no relationship between promotion and green purchase intention. This finding is supported by Odunlami and Akinruwa (2014), “promotion is a critical and vital factor that enhances product awareness in the market.” Promotion through ads on social media platforms and local radio or television, coupons in local papers, flyers can create awareness of a new business or new product. Therefore, promotional activities can attract customer’s attention when they are not familiar with the new products.

CONCLUSION AND RECOMMENDATIONS

There were four specific independent variables that were analyzed to see whether they had a significant relationship or not with the dependent variable, purchase intention. To conclude, in the context of marketing mix strategy and green purchase intention, three out of the four independent variables in this study (product, place, promotion) were recorded to have no significant relationship with the dependent variable (green purchase intention). However, only one independent variable, price, was found to have a significant relationship with green purchase intention.

Significance of the study

Considering how important the marketing strategy in the cosmetics industry is, the information on the type of marketing mix strategy, mainly 4Ps; product, price, place and promotion on green purchase intention among personal care and cosmetics customers will be integrated through a detailed study. This is to give an insight into how personal care and cosmetics players consider the type of marketing mix strategy that may have been a direct cause towards the beauty cosmetic customers. Since there was a massive growth of green cosmetic products in Malaysia, this study will help to dissect more information on how the relationship between marketing mix strategy is enhancing green purchase intention among beauty cosmetic customers. Thus, the information provided will rebound and benefit future questions on this matter.

In addition, marketing mix strategy could drive good impacts to the cosmetics retailer in gaining new customers and retain loyal promotion and eventually this strategy can contribute to customer purchasing intention. Good marketing strategies can strategize and boost sales, regardless of online sales or physical store sales. Moreover, marketing strategy is not only to cater to customer’s interests but it also helps a company to gain more trust from customers to convert them into loyal customers that may bring benefits to the business owners in the future. Thus, by collecting all the data from beauty cosmetic customers, the data can assist the cosmetic retailer to be more alert on customers’ needs and wants by knowing the contribution from each marketing mix element 4Ps, and help the retailer to produce more good products for customers.

RECOMMENDATIONS

There are a few recommendations that future researchers could consider to apply in their research to make the research even more acceptable and generalizable concerning the marketing mix strategy and green purchase intention: (i) Enhance the sample size. Future researchers who want to do similar research with the same context and topic, the researchers could gather a set of data from an even more extensive sample size. Gather more respondents in other big cities to compare the results with minimum 300 respondents so that the research would be more reliable and generalizable to cosmetic customer’s context. (ii) Future research could conduct qualitative research pertaining to customer purchase intention. By conducting qualitative research, researchers could gain more insights and explanations regarding the respondents’ Behaviour. (iii) Conduct an interview with the respondents as the instrument of the research. By doing so, researchers may have an in-depth interview with the respondents regarding their behaviours and study the variables with greater details and information. This is because human social behaviours is never constant and applicable to all, as it often changes based on one’s beliefs and cultural background.

ACKNOWLEDGEMENT

I would like to take the opportunity to thank each of the single co-authors for your hard work and dedication in producing this paper. A heartfelt gratitude goes to the International Islamic University of Malaysia for supporting this research.

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