Business Profile of Traditional Jamu Based on Herbal Commodities in Consumer Perspective

International Journal of Research and Innovation in Social Science (IJRISS) | Volume VI, Issue II, February 2022 | ISSN 2454–6186

Business Profile of Traditional Jamu Based on Herbal Commodities in Consumer Perspective

Nadya Niky Kumala, Syarif Imam Hidayat, Sri Tjondro Winarno
Master of Agribusiness Study Program, Faculty of Agriculture, UPN Veterans East Java
Jl. Rungkut Madya No. 1 Gunung Anyar, Gunung Anyar District, Kota Surabaya East Java, 60294

Abstract: This study aims to 1) analyze perceptions, motivations, reasons for consumers to consume and buy traditional herbal medicine at Taman Market, 2) analyze the dominant factors that cause consumers to decide to consume and buy traditional herbal medicine at Taman Market, and 3) find out the efforts and strategic actions such as what should be done to increase sales of traditional herbal medicine in the future. In this study, researchers used qualitative descriptive analysis and factor analysis. The method of determining the research location is purposive at Taman Market. The sampling method used accidental sampling with a sample of 100 respondents. Indicators in the perception of benefits, efficiency and practicality, and product safety score above 90%. Indicators in reason are the influence of others, lifestyle, and tradition. The value of 90% is only obtained by tradition, while the influence of others gets a value of 34%. Lifestyle scored 77%. Indicators in motivation are product price, product quality, and product availability. Of the three indicators, all of them scored above 90%. The results of data analysis indicate that there are three factors that influence purchasing decisions for traditional herbal medicine at Taman Market. The first factor is the belief factor, the second factor is the environmental factor, and the third factor is the superiority of the product. The results showed that the most dominant factor influencing purchasing decisions for traditional herbal medicine at Taman Market was the belief factor with a total factor loading value of 3.736 and an eigenvalue of 2.948. This shows that in the belief factor, respondents consider the benefits, efficiency and practicality, product price, tradition, and product quality from herbal medicine and after using herbal medicine the respondents are satisfied. Efforts and strategic actions can be taken by producers, namely improving and maintaining the quality and hygiene of their processed traditional herbal medicine.

Keywords: Business Profile, Traditional Herbal Medicine, Factor Analysis, Factor Loading, Purchase Decision

I. INTRODUCTION

Traditional medicine or better known as jamu is one of the cultural heritages of the Indonesian nation that has been used for centuries, for the maintenance and improvement of health as well as the prevention and treatment of disease. Jamu is interpreted as a medicine that is rowed from the roots or leaves, and other traditional herbal ingredients (Burhan & Mustajib, 2010). Traditional herbal medicine business owners are generally Javanese, especially the people of East Java. They developed to various regions through transmigration programs and migrated independently with the main goal being to earn a living. One of their goals is the Garden Market.

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