THE IMPACT OF PRODUCT QUALITY, PACKAGING DESIGN, AND PRICING TOWARD PURCHASE INTENTION OF DEEPSEA BOTTLED WATER

Abstract

A tight competition in bottled water industry makes newly established companies difficult to grow and earn the share market in Indonesia. Deepsea Water, the main brand of PT Gracia Destilata Indonesia, a bottled water factory established in 2013 also felt the same condition. Low sales and fluctuative sales become the biggest obstacle where the company is stuck and slow to develop. This study aim to examine whether product quality, pricing, and packaging design affects the purchase intention of customers. The research applies quantitative approach and multiple regression analysis as the method. The sample on this research were the students of International Business Management – International Class, Universitas Ciputra, Surabaya, batch of 2015 and 2016 where the data was collected from 73 samples chosen on this research. The analysis was processed using IBM SPSS Statistics 23 program. The findings of this research are that all three independent variables; product quality (x1), packaging design (x2), and pricing (x3) have positive relationship toward purchase intention as the dependent variable. Packaging design and pricing significantly affect the purchase intention. However, product quality (x1) turns out does not significantly affect toward purchase intention. Thus, the company is suggested to put more attention and focus on packaging design and pricing, instead of product quality.