THESIS
“THEINFLUENCEOFCUSTOMERDISSATISFACTION,NEEDSOF
LOOKINGFORVARIETY,PRODUCTPRICEANDCOMPETITORS
ADVERTISEMENT ON THE BRAND SWITCHING DECISION OF COSMETIC PRODUCTS”
Studyin:PadangCity
By:
HildaYuliaErman 0910524117
Thesis Submitted in Partial Fulfillment of part of the Requirement for BachelorDegreeinManagement
DEPARTMENTOFMANAGEMENTFACULTYOFECONOMICS
UNIVERSITYOFANDALAS
“THE INFLUENCE OF CUSTOMER DISSATISFACTION, NEEDS OF LOOKING FOR
VARIETY,PRODUCTPRICEANDCOMPETITORSADVERTISEMENTONTHEBRAND
SWITCHINGDECISIONOFCOSMETICPRODUCTS
CASE IN: PADANG CITY.”
BachelorThesisby:HildaYuliaErman
Supervisor:Dr.HarifAmaliRivai,SE,MSi
Abstract
Thisresearchinvestigatestherelationshipbetween“TheInfluenceofCustomerDissatisfaction,Needs
of Looking for Variety, Product Price, and Competitors Advertisement on the Brand Switching
DecisionofCosmeticProduct.(Casein:PadangCity).” Thedataobtainedthroughquestionnaire.
Thesamplesweredrawnfrom150peoplewhoeverdidthebrandswitchingofcosmeticproduct.The
data analyzedbyusingSPSS16. Inthis researchtherearefivevariables,thoseareindependent
variable which are customers dissatisfaction, needs of looking for variety, product price, and
competitorsadvertisement,thedependentvariablewhichisbrandswitching.Thefindingsindicated
thatcustomerdissatisfactionhassignificanttobrandswitching,needsoflookingforvarietyhasno
significant to motivation, product price has significant to brand switching and competitor
advertisementhassignificanttobrandswitching.
Keywords:Customer Dissatisfaction, Needs og Looking for Variety, Product Price, Competitor
TABLEOFCONTENTS
COVER
LETTEROFTHESISAPPROVAL
LETTER OF STATEMENT
ABSTRACT
ACKNOWLEDGEMENT...i
TABLE OF CONTENTS ...iv
LIST OF TABLES ...viii
LISTOFFIGURES ...ix
LIST OF APPENDIXES ...x
CHAPTER I INTRODUCTION 1.1 Background of the Research ...1
1.2 ProblemStatements...6
1.3 Research Objectives ... 7
1.4 Research Contributions ...7
1.5 StructureofTheResearch...8
CHAPTER II REVIEW OF THE LITERATURE 2.1 BasicTheory...9
2.1.1 Concept of Brand ...9
2.1.2 Brand Switching ...10
2.1.3 Theconceptofbrandloyalty...11
2.1.4 Function of Brand Loyalty ...12
2.1.5 Consumer Dissatisfaction ...13
2.1.6 NeedOfLookingVarietyProducts...14
2.1.7 Price of Product ...16
2.1.8 Competitor Product Advertising ...18
2.2 Hypothesis development and Theoretical frameworks .. 20
2.2.1 Customers Dissatisfaction and Brand Switching...20
2.2.2 Need Of Looking Variety Products and Brand Switching ...21
2.2.3 Price and Brand Switching ...22
2.2.4 Competitor Product Advertising and Brand Switching...23
2.3 Conceptual Framework ...24
CHAPTERIIIRESEARCHMETHODOLOGY 3.1 Research Design ...25
3.2 Population and Sample ...25
3.3 Sample Collection Techniques ...26
3.4 Data ...26
3.5 ResearchVariablesandOperationalDefinitions...27
3.5.1 Research Variables ...27
3.5.2 Operational Definitions ...27
3.6 Variable Measurement ...29
3.6.1 Checking for Data Entry ...29
3.7 DataAnalysis...30
CHAPTERIVRESULTSANDDISCUSSIONS
4.1 CharacteristicsofRespondents...34
4.1.1 Characteristic of Respondents Based on Age ....34
4.1.2 Characteristics of Respondents Based on Profession ...35
4.1.3 Characteristic of respondents based on income/ allowanceinamonth...35
4.1.4 Characteristic respondents based on the brand of cosmetic ...36
4.1.5 Characteristic respondents based on long use cosmetic ...36
4.1.6 Characteristicrespondentsbaseontheprevious brand ...37
4.1.7 Characteristicrespondentsbasedonthereason do brand switching ...38
4.2 Description of Questionnaire Items on each Variable ...38
4.2.1 FactorsAffectingBrandSwitching...38
4.3 Validity and Reliability Test ...42
4.3.1 Validity Test ...42
4.3.2 Reliability Test ...44
4.3.3 Normality Test ...45
4.4 MultipleRegressionAnalysisResult ...46
4.4.1 Hypothesis Testing ...48
4.4.2 Coefficient of Determination ...50
4.5 Discussion ...51
4.5.1 Consumer Dissatisfaction influences the Brand Switching Decision ...51
4.5.2 The influence of Need of Looking for Variety to theBrandSwitchingDecisions...52
4.5.3 The influence of Product Price on the Brand SwitchingDecision ...52
4.5.4 The influence of Competitor Product advertisement to the Brand Switching Decision ...53
CHAPTER V CONCLUSION, IMPLICATION, LIMITATIONS AND RECOMMENDATIONOFRESEARCH 5.1 Conclusion ...54
5.2 Implication ...56
5.3 Limitations of Research ...57
5.4 Recommendation ...58
REFERENCES
APPENDIXES
