I declare that this thesis, entitled “The analysis of factors influencing the purchasing decision of Toyota Car customers in Lippo Cikarang, West Java”, is, to the best of my knowledge and belief, an original piece of work which has not been submitted nor submitted in whole or in part to another university to obtain a degree. The panel of examiners declares that the thesis entitled “The Analysis of Factors Influences Customer Buying Decision of Toyota Car in Lippo Cikarang, West Java”, submitted by Muhammad Ichsan in Marketing of the Faculty of Economics, has been assessed and approved as passing the oral hearing. Survey in March 2012. This survey was conducted in Cikarang and all my respondents are Toyota owners who service their cars in Lippo Cikarang.
Furthermore, to find the influencing factors, factor analysis was used as statistical tools in this study. My precious thanks to Mr. Suresh Kumar, my advisor who has been very helpful from the beginning of this study to the end.
- Background of Study
- Company Profile
- History of Toyota in Indonesia
- Identification Problem
- Statement of Problem
- Research Objectives
- Significance of Studies
- Theoretical Framework
- Scope and Limitation of Studies
The secret to the success behind Toyota is that they look far into the future and not just the coming months like their competitors. The company has also seen recent success with its smaller models – the Corolla and Yaris – as petrol prices have risen rapidly in recent years. This research will show that there are so many car companies in the market today.
From table 1.1 the researcher can see that Toyota's sales have increased, from the table it shows that many other car brands have also increased their market. This research result can hopefully increase writing knowledge about customer buying decisions and composition in the real world.
- Buying Decision
- Marketing Mix
- The 7Ps are
- Product
- Price
- Place
- Promotion
- Brands
- Definition of Brands
- Brand Equity
- Brand Awareness
- Brand Association
- Brand Loyalty
It can be concluded that the overall goal or objective of the 7P's model (Product, Price, Place, Promotion, People, Physical and Process) is to enable the organization to build and sustain a competitive advantage in the market (Collier 2005). Marketers must do careful research on how long the life cycle of the product they are marketing is likely to be and focus their attention on various challenges that arise. 16 as the product moves through each step. The product life cycle concept compares the life of a product to the living organism, with a birth stage, a growth stage, a mature stage and a decline (death) stage (Dickson 2007).
Launch is a period of slow sales growth as the product is introduced into the market. Maturity is period of slowdown in sales growth because the product has reached acceptance by most potential buyers. A distribution channel consists of the set of people and firms involved in the transfer of property to a product as the product moves from producer to ultimate consumer or business user.
Promotion means activities that communicate the merits of the product and persuade target consumers to buy it. Brand equity is the differential effect that knowledge of the brand name has on the customer's response to the product and its marketing. Brand equity is one of the popular and potentially important concepts in marketing that emerged in the 1980s (Kazmi 2007).
From the perspective of individual consumers, a brand has no equity unless the customer is at least aware of the brands. Brand positioning based on associations and how these associations can display competitive uniqueness. As brand loyalty increases, the vulnerability of the customer base to competitive action decreases.
- Research Methodology
- Research Design
- Source of Data
- Research Framework
- Location and Time Research
- Research Instrument
- Data Measurement
- Scaling Measurement
- Reliability Data
- Sampling Design
- Respondents (Samples)
- Margin of Error
- Sampling Size
- Data Processing
- Factor Analysis
Quantitative research is chosen because researcher uses numbers ( Likert scale, ordinal data ), then the result of the questionnaire must convert from ordinal to interval data by Method successive interval (MSI) and processing by SPSS to find the factors in this study. This study was initiated by finding problem identification using 4p's and 1b measurement was found out by the customer's purchase decision today. Attempts at quantitative and multivariate statistics, this study uses factor analysis as a statistical method to analyze the data, this method is chosen to find the factors that barriers come up in customers' purchase considerations.
The questionnaires designed by using close ended questions in this research researcher used likert scale technique, the respondent has to choose multiple answers. In this study, selected the person who has a car as correspondents have to construct easy questions in a simple language to carry out true answers based on the real state of correspondents who are recorded. Non-probability is used in this study because in this research there is no known or predetermined change of being chosen as a subject or respondent.
The people who have a car or potential people are the respondent in this study, to determine the total respondent, the researcher uses based on survey method; according to this method the researcher should use 5:1 in the scale, its mean if the respondent is 150 then the questions should be 30. The sampling is related to non-probability sampling design which form convenience sampling and purposive sampling attempt to judge this study sampling (Sekaran Uma, 2003). The statistical methodology in this study is addressed to factor analysis with regard to perception and formed in decimal numbers.
This study uses quantitative methodology and concerns the analysis factor to determine the factor influences of 4Ps and 1B Toyota indicators on customers' purchasing decision. The value of KMO should be greater than 0.50 to indicate that factor analysis can generally be used in processing data from this study. The KMO value in this study is 0.588 with significant 0.00, which means that the variables can be analyzed using the analysis factor. In this study, orthogonal varimax was used in the rotated component matrix process to make the single factor result as variable as possible.
Data Collection
- Research variable
- Reliability Questions
Data Processing
- Organizing Data
- Transforming Data
- Factor Analysis
In this study, the value of Cronbach's Alpha is 0.746, which means that the questionnaire is reliable enough and has a good correlation between the variables. Based on the calculation, the determinant value of correlation matrix is greater than 0.00001, which means that there is no multicollinearity, and no variable has a value of more than 0.9, which means that there is also no singularity between variables in the investigation. In addition, the singularity was shown in the correlation part, between the same variable, the significant number is 1,000, which means that there is equal, but if it is seen in different of latent variables, for example, product 1 with product 4, the value is 0.230, which means that there is no similarity.
The trading value of this part is MSA (Measure of Sampling Adequacy), which default value is 0.50. MSA value is closely correlated with KMO (Keizer Meyer Olkin), if MSA's value below 0.50 should be eliminated and it will increase KMO's value. This study has ten antiimage correlations that need to be eliminated in order to analyze and support them through factor analysis.
That's within the range of being good, so we need to be sure that factor analysis is appropriate for this data and this study. The next step is to extract the manifest variables into several latent variables, which in this study makes 30 variables to form 20 new factors. The commonalities in the column labeled 'extraction' reflect the common variance in the data structure. The table above shows the commonalities before and after extraction.
For product 2, this means that 61.0% of the variance associated with variable 1 can be explained by the formed variable, while for price 10 it can only explain 60.7% of the variance associated with the 8th variable, and so on. The table above shows which variables are included in certain newly formed factors. This study uses a loading factor of 0.45 because the number of respondents is 150, so only variables with a coefficient correlation greater than 0.45 are included in the newly formed factors.
Data Interpretation
- First Factor
- Second Factor
- Third Factor
- Fourth Factor
- Fifth Factor
- Sixth Factor
- Seventh Factor
- Eighth Factor
Toyota has a good market in the world, especially in Indonesia. They have a huge market, one of the possible reasons is that they provide customer with high after-sales at reasonable spare parts price. This strategy attracts many customers all over the world. All customers consider buying a car, the place is one of their considerations, the place is the most powerful in the marketing strategy, the more strategic the businessman gets a place, the more people will come to the store and the more profit they will get (Blij 2009 ), that is why Toyota implements that strategy, they want to get as many customers as possible. Every customer also likes to receive feedback on what he or she has received, at least something valuable to him/her, that's what Toyota does. They make a good trick with non-monetary sales promotions to make it look like free coupons.
One way to get customers' attention is to give it something of value to the customers (Dickson 2007). Physiologically, when things become a necessary part, people will do something to get it and it refers to what they see first, after that, investigating the information will be the next step of customer behavior (Kotler 2006). In the end, global advertising is a very effective way for Toyota to get Indonesian customers.
The sign suggests that Toyota has many forms of creative promotion to make people interested in Toyota. People's psychology in Lippo Cikarang is that interest in free or discounted products and free tastes is better than buying or spending money. According to this customer behavior, Toyota decided to offer an attractive promotion to attract people's attention, they try to offer discounts to consumers to attract them to buy, or give free coupons to the spirit of the consumer.
While people are actually like and very happy to get a good service, Toyota provides special services to their customers to make them satisfied. As people can see recently, Toyota has recently released a new brand new Avanza and already many people are buying this vehicle. Therefore, people need to know that it is important for the customer to have our cars repaired at a nearby petrol station.
Conclusion
Recommendation
- For other automotive company
- For the Future Researcher
This survey questionnaire is part of an independent study of the President University Faculty of Business Management, Cikarang. The objective of this questionnaire is to study the critical factors that influence customer choices in purchasing a Toyota car.
