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factors influencing consumer's preference

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Nguyễn Gia Hào

Academic year: 2023

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This study was developed to study the factors influencing consumer preference in choosing bubble tea in Bangkok, Thailand. It would generate some in-depth data to understand the bubble tea market and customer target in Bangkok. First off, bubble tea is a popular drink in Asia that many Asians love to drink.

Bubble tea market seems to increase every year, even after the pandemic or Covid-19. Bubble tea also has different names such as boba tea, pearl milk tea or bubble milk tea. Bubble tea is a famous drink menu in Asia and many people in Asia like to eat it.

Narrowing down the scope of the bubble tea market in Southeast Asia, Indonesia and Thailand are the largest bubble tea markets. Thailand has the second largest market with an annual turnover of USD 749 million. Due to the pandemic, the bubble tea market has also received the effect of the COVID-19 pandemic, which reduces profits and customers.

Table Page
Table Page

Problem Statements

Objectives

LITERATURE REVIEW

  • Product Quality
  • Location Convenience
  • Variety of Menu
  • Service Quality
  • Word of Mouth
  • Theorical Framework

Convenience is significantly related to customer satisfaction and behavioral intentions (Jiang, Yang, & Jun, 2013; Kadhim et al., 2021). As mentioned by Kadhim et al, convenience could be a factor that could help win more customers. The seamless experience experienced by consumers is therefore part of the convenience aspect provided by companies, which will further enhance customer satisfaction (Kadhim et al., 2021).

Empirically, there have been many studies with different objects of research that have proven that there is an influence of perception of service quality on customer attitude and sales volume (Putra et al., 2017). This is the reason why providing the service quality plays an important role in increasing the customer satisfaction (Khristianto et al., 2012). This is consistent with previous studies that have shown that customers who are satisfied with the service quality in the hotel industry are more likely to become loyal customers (Cheng and Rashid, 2013; Cheng et al., 2014).

Indeed, personal sources of information, including recommendations from family and friends, are perceived to be more reliable than commercial advertising media and are therefore more likely to elicit the customer's positive/negative attitude toward a brand (Hoffman et al., 2017; Murray). , 2017). Indeed, personal sources of information, including recommendations from family and friends, are perceived to be more reliable than commercial advertising media and are therefore more likely to elicit the customer's positive/negative attitude toward a brand (Hoffman et al., 2017; Murray). , 1991).

Figure 2.4: Theorical Framework
Figure 2.4: Theorical Framework

METHODOLOGY

Data Collection

  • Quantitative Method
  • Sampling Plan

The sample selected to respond to our survey consists of both women and men living in Bangkok, Thailand. This could screen our sample or people who are our direct target for collecting the data. Because this research aims to study factors that influence consumer preference when choosing bubble tea in Bangkok, Thailand.

We want to identify which factors influence consumer preferences in choosing bubble tea for our further analytical purposes. Thus, it is essential to receive the responses from this target group as they are the actual group of users who are likely to be relevant to consume bubble tea in Bangkok, Thailand.

Analysis Methods

DATA ANALYSIS

  • Respondents
  • Test of Difference
    • T-Test
    • ANOVA
  • Mean Score
  • Discussion

Most people in the survey buy 1 cup of bubble tea in a time counted by 89% (89 respondents) and the other people in the survey buy 2-3 cups in a time counted by 11% (11 respondents) . In addition, the married group also checks the quality of bubble tea before purchasing with an average score of 3.8462. This refers that the bachelor's degree or lower group mostly buy bubble tea that has many branches.

The ANOVA result in the table shows that people who are interested in location convenience would probably not buy bubble tea which is of lower quality with an average score of 3.9091. According to Table 5, this table shows the test of differences in the frequency of consuming bubble tea. Similar to the table, people who consume bubble tea every day agreed on location convenience with an average score of 4.0000.

According to table 6, this table shows the test of differences in the influence power or the person who influences in the consumption of bubble tea. Following the ANOVA's result in the table, it shows that people who think influencers have influenced them in the consumption of bubble tea agree that referrals and reviews are inevitably important to buy the product with an average score of 3.7222. In the second row on the table, people who think influencers influenced them in the consumption of bubble tea agree that the recommendation is important for them to decide to buy with an average score of 3.5556.

In the last row of the table, people who think influencers have influenced them when consuming bubble tea trust referrals and reviews with an average score of 3.6111. The highest average score on location convenience shows that location convenience could be a factor that could most influence people's preference when choosing bubble tea in Bangkok, Thailand. Looking at the SPSS average score table, the second factor that could influence people's preference when choosing bubble tea in Bangkok, Thailand is product quality with an average score of 3.5080.

The third factor that may influence people's preference to choose bubble tea in Bangkok, Thailand is service quality with an average score of 3.4400. The fourth factor that may influence people's preference to choose bubble tea in Bangkok, Thailand is word of mouth with an average score of 3.2520. The last factor that may influence people's preference to choose bubble tea in Bangkok, Thailand is the variety of menus with an average score of 2.9620.

According to the study, the most influential factor influencing customers buying bubble tea in Bangkok is location convenience. To summarize, the most important factor that has the potential to influence people's preference in choosing bubble tea in Bangkok, Thailand is the location convenience.

Figure 4.5: Screening question; living area
Figure 4.5: Screening question; living area

CONCLUSIONS AND RECOMMENDATIONS

Conclusions

Lastly, providing a potential product for owners, dealers and students who are interested in the bubble tea market. According to the study, it would provide an opportunity to all the stakeholders like owners, traders and also students who are interested in the bubble tea market to understand the market direction after the Covid situation, market opportunity, target of the customer and the factor influencing the customer to purchase bubble tea. A possible output would be recommendations for the rest that would provide market strategy and target customers to be recommended for further development.

Consequently, it would help owners, marketers and students interested in the Bubble Tea market to position and target the right customer according to their wants and needs.

Recommendations

  • Market Strategy
  • Target Customers
  • Potential Output

So I would recommend four main issues as a potential strategy suggestion for people interested in the bubble tea market for further development which are convenience location, quality check, delivery to you and friendly reviews. According to the analysis, the highest mean of location convenience and the importance of location convenience in the test of difference shows the importance of location convenience as the most important factor influencing people to choose bubble tea in Bangkok, Thailand. As a result, I would recommend a convenient place for everyone that everyone can easily reach and order bubble tea from anywhere.

The location of the bubble tea shop should be a convenient place or place for everyone, both people who come to the place and people who order from another place. With the second highest average score of product quality with an average score of 3.5080, product quality should be a concern as an important factor influencing people to choose bubble tea in Bangkok, Thailand as well as the factor of convenience location. With an average score of 3.4400, service quality could be considered an important factor influencing people to choose bubble tea in Bangkok, Thailand.

According to the test of difference, the word-of-mouth factor shows their significance in the ANOVA analysis that influencers and friends have the potential to influence people in choosing bubble tea in Bangkok, Thailand. This paper can help bubble tea owners to understand the market direction after the Covid situation. The bubble tea owners will understand the factor that influences people to choose bubble tea in Bangkok, Thailand, which is related to the new normal situation after the Covid situation.

They would understand the factor that drives customer preference in buying bubble tea, which is the convenient location. This report will help to understand the market direction after the covid situation and the factor influencing customer preference in buying bubble tea in Bangkok. For the student, I would like to clarify the recommendation for a student regarding further study and understanding related to the bubble tea market in Bangkok, Thailand.

This report would help students understand the direction of the market, the factor influencing customer preference when purchasing bubble tea in Bangkok, and consumer demographics. The demographic data in the study would have the potential to analyze the target audience who may be interested in purchasing bubble tea. Moreover, this study could serve as an example or reference for a student studying a similar topic about the bubble tea market.

Directions for Future Research

They can use this study to support their research or use it as supporting data in terms of findings from 100 respondents of people who have consumed bubble tea and live in Bangkok, Thailand. So, future research can explore future research by expanding the sample size scale or exploring another country. Additionally, these in-depth data and findings would help address unanswered aspects of this research problem.

Limitation

Factors influencing (reputation, perceived value, location, comfort, indoor environment and staff) customer loyalty through satisfaction: A Malaysian hypermarket industry perspective. A study of service quality, overall image, customer satisfaction, revisit intention and word of mouth: evidence from the KTV industry. 2013) Client Perception and Attitude towards Matrimonial Locations in Chennai, Tamilnadu. THE EFFECT OF PRODUCT QUALITY, SERVICE QUALITY AND CUSTOMER LOYALTY PROGRAM ATTITUDE ON RETAIL CUSTOMER ATTITUDES.

Gambar

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Figure 1.1: Bubble tea market in Southeast Asia
Figure 1.2: Bubble tea growth by percentage in Southeast Asia in 2018
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Referensi