The Effect of Packaging Design On Impulsive Buying
The Effect of Packaging Design On Impulsive Buying
The Effect of Packaging Design On Impulsive Buying
Abstract. The packaging design’s important role as a means of marketing communication is growing. This research examines
the effect of Monggo size 40 grams’ packaging design on impulsive buying in South Jakarta and also examines which one
among the dimensions in packaging design (graphic design, structure design, and product information) has the biggest effect on
impulsive buying. This research uses the quantitative approach to explain the connection between the two variables. The data
was collected through questionnaires filled out by impulsive buyers of Monggo size 40 grams in South Jakarta. A total of 100
respondents are examined using the purposive sampling technique. The result of the research shows that the packaging design
affects impulsive buying at a rate of 38.0% and the packaging design dimension that results in impulsive buying is graphic
design. We may conclude that Monggo’s management needs to review the brand’s packaging design. As the management is
yet to utilize other communicating tools such as advertisements to support marketing communication, the packaging design
becomes more crucial in boosting sales. The research also finds that customers have a great liking for the brand name ‘Monggo’,
as it is a very distinctly traditional name that is not only appealing but also noticeable among the current brands
tive market of today, packaging design becomes a brand’s Indonesia is listed as the third largest cocoa producer
promotional vehicle, highlighting its position on the shelf worldwide, after the Ivory Coast and Ghana (Warta
(Klimchuck & Krasovec, 2007). Packaging design is also Ekonomi, 2009); however, the lack of Indonesia-specific
required to be as unique and attractive as possible, as it chocolate brands in the domestic market does not reflect
is the final advertisement seen by the consumer before this fact. The chocolate brands commonly found in Indo-
they decide which brand to purchase (Wells, Moriarty, nesia, both local and imported ones, show strong foreign
& Burnett, 2006). Therefore, packaging design has to influences. Nevertheless, in 2006, Indonesia produced
attract consumer attention with its unique components and a chocolate brand with a typically Indonesian name,
deliver the brand message in accordance with the compa- Monggo.
ny’s purposes. Cokelat Monggo is a locally produced chocolate from
On the other hand, many consumers do not consider Yogyakarta with strong Indonesian characteristics. In
their purchases carefully when they stand before the its early days, Monggo’s annual profit was in the Rp70
shelves, and purchase products based on what interests million range, and it kept increasing ever since. The profit
them immediately (Marketing, February 2007). A study increase shows that, although chocolates are not common
predicts that at least two-thirds of all purchases in American snacks in Indonesia, Monggo sells more and more choco-
supermarkets are spontaneous (Belch & Belch, 1999). Pickton lates every year. This indicates a positive response from
& Broderick (2001) add that, although shopping is often a consumers. Although it was established in 2005 in Yogya-
planned activity, at least 50% of purchases are unplanned karta, the brand is considered a newcomer in the Jakarta
or impulsive buying – in this case caused by the interest chocolate market.
in the packaging design at the point of purchase. Further, A number of experts such as Abrahams (1997) and
it is said that impulsive buying can be characterized by Smith (1996) state that impulsive buying accounts for
a disequilibrium psychological condition, where a person 80% of the total number of purchases. Sfiligoj (1996)
feels a sudden irresistible urge to purchase something further says that the purchase of new products results from
spontaneously. impulsive buying rather than planned buying (Kacen &
To trigger impulsive buying, marketers can create Lee, 2002). According to Rook (1987), impulsive buying
unique and attractive packaging designs. As stated by occurs when a consumer feels a sudden irresistible urge
Klimchuk & Krasovec (2007), packaging design plays to purchase something quickly. In Engel, Blackwell, &
an important role at the point of purchase to attract atten- Miniard (1995), Rook describes the following characteris-
tion and bring about a purchase. Kolter and Armstrong tics of impulsive buying: spontaneity, power and compul-
(2008) state that, in the current competitive environment, sion, excitement, and disregard for consequences. Rook
packaging design is the producers’ last chance to affect (1987) also mentions the eight dimensions of impulsive
buyers, especially in regard to consumer goods, where buying, which this study will refer to: spontaneous urges
most purchasing decisions are made when the consumer to buy, power and compulsion, excitement, synchronicity,
is in the store. product animation, hedonic element, conflict, and disre-
Kotler & Keller (2000) categorize consumer goods gard for concequences.
based on the consumers’ spending habits. The categories A number of experts have reviewed the concept of
consist of: shopping goods, where the consumer usually packaging design in connection with impulsive buying. In
compares various products based on their price or qual- essence, the combination between physical packaging and
ity; specialty goods, where products have unique char- written communication regarding product content are the
acteristics or certain brand identifications and where the basics of current packaging designs (Klimchuk & Kraso-
consumer is willing to make a special effort in purchasing vec, 2007). Nilsson & Ostrom (2005) state that packaging
them; unsought goods or products that most consumers are design contains three constitutive elements: shape, color,
unfamiliar with and do not think to purchase; convenience and graphic. Later Ampuero & Vila (2006) state that pack-
goods or products commonly and quickly purchased with aging design has two dimensions: graphic and structure.
a minimal effort. Convenience goods have a subcategory According to the three cited sources (Nilsson and Ostrom,
called impulse goods: goods purchased without prior plan- 2005; Ampuero and Vila, 2006; and Klimchuk and Kraso-
ning, or called impulsive buying in Indonesia. Kotler & vec, 2007), the packaging design variable in this study has
Keller (2009) explain that chocolates and magazines are the following constructive dimensions: graphic design,
categorized as impulse goods. A chocolate brand’s pack- with brand name, color, typography, and image as sub-
aging design affects purchasing decisions more consis- dimensions; structure design, with shape, size, and mate-
tently than does a magazine’s packaging design (namely rial as sub-dimensions; and product information. Packag-
its cover).. ing design consists of various elements or constructive
CAHYORINI & RUSFIAN, THE EFFECT OF PACKAGING DESIGN 13
Table 1. K-M-O Measure of Sampling Adequacy, Barlett’s Test of Sphericity, dan Total
Variance Explained
-M-O Significance
Total
Measure of rate in
No Study Variable variance
Sampling Bartlett’s Test
explained
Adequacy of Sphericity
Packaging Design Variable
1 Graphic Design Dimension – Brand Name Sub-Dimension 0.594 0.000 61.714 %
2 Graphic Design Dimension – Color Sub-Dimension 0.663 0.000 62.171 %
3 Graphic Design Dimension – Typography Sub-Dimension 0.721 0.000 69.791 %
4 Graphic Design Dimension – Images Sub-Dimension 0.568 0.000 53.288 %
5 Structure Design Dimension – Shape Sub-Dimension 0.654 0.000 69.704 %
6 Structure Design Dimension – Size Sub-Dimension 0.644 0.000 68.434 %
7 Structure Design Dimension – Material Sub-Dimension 0.628 0.000 61.192 %
8 Product Information Dimension 0.682 0.000 75.753 %
Impulsive Buying Variable
9 Spontaneous Urges to Buy Dimension 0.605 0.000 76.317 %
10 Power and Compulsion Dimension 0.731 0.000 77.835 %
11 Excitement Dimension 0.666 0.000 81.696 %
12 Synchronicity Dimension 0.630 0.000 74.301 %
13 Product Animation Dimension 0.642 0.000 70.428 %
14 Hedonic Elements Dimension 0.713 0.000 77.268 %
15 Conflict Dimension 0.585 0.000 71.760 %
16 Disregard for Consequences Dimension 0.742 0.000 79.981 %
dimensions whose function is to influence consumers in aims to discover the effect of the Monggo chocolate pack-
their purchasing decisions. aging design (the 40 grams type) on impulsive buying in
Prior to this research, several others have been South Jakarta, as well as to understand which dimension
conducted in regard to packaging design and impulsive of the Monggo 40 gram packaging design affects impul-
buying. In their research, titled Packaging and Purchase sive buying in South Jakarta the most. The 40-gram pack
Decision: An Exploratory Study on the Impact of Involve- is available in three flavors: Dark, Praline, and Caramello.
ment Level and Time Pressure, Silayoi and Speece (2001)
state the importance of packaging design as an emerging METHODOLOGY
communication and branding device in the competitive
packaged food market. The study found that the elements The study uses the quantitative approach. Respondents
of packaging are the main factors in the assessment and are consumers of Monggo 40 grams in South Jakarta who
decision of household products purchases. Nilsson and have purchased the brand impulsively in the past three
Ostrom (2005), in their study titled Packaging as brand days. Only 100 respondents are chosen as Monggo is a
communication vehicle, state that in regard to packag- chocolate brand with exclusive buyers in a captive market.
ing design there are no perceptional differences between Monggo size 40 grams is chosen as it is a product whose
men and women. However, the packaging design has a characteristics are more likely to trigger impulsive buying:
stronger social and functional benefit-related influence small or light in size, thus cheaper; there is a marginal need
on the consumers’ perception compared to emotional for the product; it is easy to store and has a short prod-
influence. Juwita (2008) found that, in addition to pack- uct lifespan (Loudon & Della Bitta, 1993). South Jakarta
aging design, promotion also affects impulsive buying; is chosen as the research location because it houses the
the retail consumers’ response to sales promotion affects largest number of modern retail stores, supermarkets and
impulsive buying by 12.6%. Natakusumah (2009) found hypermarkets in DKI Jakarta at the end of 2009, with a
that, in general, respondents give a good score to Pond’s total of 47 stores (Internal Data, PT. X).
packaging design, and the design influences Pond’s bene- The samples are collected using the non-probability
fit as a brand in the mind of teenage consumers in DKI sampling method and processed with the multiple regression
Jakarta by 26.7%. This shows that packaging desain as method. The sample is collected using the non-probability by
a point of appeal for consumers is highly beneficial for means of purposive/judgemental technique, as there are
the brand. no population frames that accurately describe Monggo
In accordance with the above descriptions, this research 40 gram chocolate consumers in South Jakarta. Sample
14 Journal of Administrative Science & Organization, January 2011, Page 11-21 Volume 18, Number 1
Bisnis & Birokrasi, Jurnal Ilmu Administrasi dan Organisasi
collection is conducted at Circle K Gandaria, Circle K using the interval scale in the likert category, based on six
Kemang Raya, Pondok Indah Mall, Senayan City, and response categories on agreeability and disagreeability toward
Blok M, in April and May of 2010. any given statement. The measurements use the descriptive
All variable indicators in this research are measured and associative analysis methods, such as frequency anal-
CAHYORINI & RUSFIAN, THE EFFECT OF PACKAGING DESIGN 15
ysis, factor analysis, and regression analysis. all the indicators reach the reliability boundary value of
One main hypothesis is tested using the significance 0.600; thus, all indicators have become reliable.
value in the Anova regression result table. The main B. Packaging Design Variable
hypothesis in this research is: The packaging design variable consists of 3 dimensions:
Ho: Packaging design does not influence impulsive graphic design, structure design, and product information.
buying
Graphic and structure designs each have their own sub-
Ha: Packaging design influences impulsive buying
dimensions. The graphic design dimension is the visual
Multiple regression analysis illustrates the link between
dimensions in the packaging design variable and the decoration on the packaging’s surface (Nilsson & Ostrom,
impulsive buying variable. In this study, the following 2005) and consists of 4 sub-dimensions: brand name, color,
dimensions are part of the packaging design variable: typography, and image. The structure design dimension is
graphic design, structure design, and product information. related to the packaging’s physical features and consists of
There are three derivative hypotheses in this study: 3 sub-dimensions: shape, size, and material.
Ha1: Graphic design influences impulsive buying Analysis of the mean value and frequency of the respon-
Ha2: Structure design influences impulsive buying dents’ answers shows that they tend to give the brand name
Ha3: Product information influences impulsive buying sub-dimension in graphic design a slightly high rating.
The “Brand name ‘Monggo’ on Monggo chocolate 40 g
RESULT AND DISCUSSION packaging reflects genuine Indonesian characteristics”
indicator is placed in a very high category. The reason
A. Validity and Reliability may be that the word “monggo” comes from an Indone-
The validity test uses the Kaiser-Meyer-Olkin Measure sian regional language, thus carrying with it a strong sense
of Sampling and shows that every dimension is valid after of the traditional. Even indicators with lowest mean value
unqualified indicators are omitted. Table 1 shows that the are still in placed in a high category. This shows that,
Measure of Sampling Adequacy value in every dimension although there are already numerous chocolate brands
meets the overall fit requirements. The significance value in the market prior to “Monggo”, respondents still give
in Bartlett’s Test shows that images are a packaging design a high rating for the brand name sub-dimension because
dimension that does not meet the requirements, as shown “Monggo”, besides being an attractive buy, also has a
by the total variance explained rate which is lower than distinctively Indonesian brand name, and this uniqueness
60%. An indicator in the images dimension has a factor makes it easy to remember.
loading lower than 0.600, which does not meet the require- The second sub-dimension in the graphic dimension
ment; thus, the indicator is omitted from the research. This is color. Analysis of the mean value and frequency of the
is a correct decision as it increases the images dimension’s respondents’ answers regarding the color sub-dimension
total variance explained rate to 67,408% and the Kaiser- shows that indicator 2 (“Packaging color composition
Meyer-Olkin Measure of Sampling rate to 0.538. on Monggo chocolate 40 g packaging is easy to remem-
Each indicator’s validity can be seen in Table 2. The ber”) and indicator 1 (“Packaging color composition on
expected anti-image matrices expected is higher than Monggo chocolate 40 g packaging draws attention”)
0.500. The factor loading rate for the component matrix is have a high mean value; this means the overall color
higher than 0.600. composition on Monggo’s packaging is easy to remem-
The analysis of the above data shows that the rate of ber and attracts the consumers’ attention. Hence, the color
each indicator’s anti-image matrices fulfills requirements element in Monggo’s packaging can reinforce consum-
by being higher than 0.500. However, one indicator in the ers’ memories of Monggo chocolate, in accordance with
images dimension does not qualify for the expected factor Moriarty’s (1991) statement that color is used to underline
loading. The indicator is “Picture of a man on Monggo and enhance memories of a product (Nilsson & Ostrom,
chocolate 40 g packaging reflects genuine Indonesian 2005). The analysis of the “Packaging color composition
characteristics.” Researchers omit the indicator because its on Monggo chocolate 40 g packaging stands out on the
factor loading is far lower than 0.600 – 0.434 to be exact. shelves compared to other brands” and “Packaging color
The omission increases the images dimension’s total vari- composition on Monggo chocolate 40 g packaging creates
ance explained rate from 53,288% to 67,408%. For this a good mood” indicators show that the color element in
reason, the unqualified indicator is omitted from the study Monggo’s packaging stands out on the shelves, but not too
so as to leave only valid indicators. prominently when compared to other brands. According
The reliability dimension rate in this study shows that to Nilsson & Ostrom (2005), colors have to be visible and
16 Journal of Administrative Science & Organization, January 2011, Page 11-21 Volume 18, Number 1
Bisnis & Birokrasi, Jurnal Ilmu Administrasi dan Organisasi
conspicuous on the shelves if the brand wants to survive of young unemployed respondents with fairly low monthly
the tight competition in a self-service environment. The expenses.
frequency distribution value shows that the Monggo Next is the material sub-dimension. A product’s mate-
colors in general are quite conspicuous, but not more so rial may affect consumer perception of its quality (Smith,
compared to other packagings with brighter colors. Mong- 1993). Shimp (2000) states that packaging material can
go’s packaging color composition in general can create a evoke emotions and certain feelings, usually without the
good mood but has not reached its maximum potential. person being aware of it. Respondents place all indicators
We continue to the typography sub-dimension in in the material sub-dimension in the high category. The
graphic design. According to Klimchuck and Krasovec mean values are all categorized as high, proving that the
(2007), typography is the use of font to visually commu- materials used are suitable and thus create the perception
nicate a spoken language. Respondent rating for typogra- of good quality product. Respondents believe that Monggo
phy, based on the typography sub-dimension’s mean value, packaging is environmentally friendly and unique, as it is
is slightly high in general. This shows that the fonts used made of recycled paper; among chocolate brands, Mong-
on Monggo’s packaging are quite capable of attracting go’s packaging material is the only one that is predomi-
consumer attention and easily readable from a 1-meter nantly made of recycled paper of the “dove” type.
distance. The font used for product ingredient information The last sub-dimension is shape. Packaging shape
is also easily readable, as proposed by Klimchuk & Kraso- affects the protection and comfort function in touch-
vec (2000). However, findings show that only the brand ing, pouring, and storing (Smith, 1993). A product with
name typography meets this requirement, whereas the font well-designed packaging feels more fitting and comfort-
used for the flavor names (‘Caramello/Dark/Praline’) on able when held by the customer, as stated in ergonomics
the primary display panel, or the front part of the packag- (Smith, 1993). The “Packaging shape of 40 g Monggo
ing visible from a short distance, has not met typographi- chocolate makes it easy to store” indicator has the high-
cal requirements. est mean value, followed by the “Packaging shape of 40 g
The next sub-dimension in graphic design is image. Monggo chocolate is comfortable to hold” and “Packaging
Image, according to Klimchuk & Krasovec (2007), shape of 40 g Monggo chocolate draws attention” indica-
includes photos, illustrations, symbols/icons, and charac- tors. There are slight mean value differences among these
ters. The mean value analysis shows that all mean values indicators, therefore proving that, in general, the shape
in this sub-dimension are categorized as somewhat high. sub-dimension has fulfilled its functions, as shown by the
Thus we can conclude that the picture of cocoa beans high mean value. Respondents consider the Monggo pack-
on Monggo’s packaging is more attractive to consum- aging shape to be easy to store, comfortable to hold, and
ers compared to the other picture on the primary display attractive. This is in accordance with Nilsson & Ostrom’s
panel, namely the chocolate bars. The reason is that the (2005) statement that simpler shapes are much more popu-
picture of cocoa beans on the front of the package (indica- lar than complicated ones, regular shapes are more attrac-
tor 3) is bigger than the picture of chocolate bars (indicator tive than unusual ones, and rectangulars are better liked
1). According to Klimchuk & Krasovec (2007), images on than squares.
a food packaging design can induce appetite. The response The third dimension in the packaging design variable is
to the “Chocolate bar picture on Monggo chocolate 40 g product information. Product information on the packag-
packaging is appetizing” indicator also suggests that the ing includes the keywords listed on the packaging, infor-
chocolate bar on the primary display panel (PDP) is able to mation on the back, ingredients, and other information
induce the respondent’s appetite. However, the influence (Shimp, 2000). Respondent assessment shows that all the
is not very high, as evinced by the somewhat high mean mean values in this dimension are categorized as high. The
value and the responses’ tendency toward agreeability. high mean values for all indicators suggest that consum-
The structure dimension has three sub-dimensions: ers are satisfied with the product information on Monggo’s
size, material and shape. In the size sub-dimension, most packaging design. The “Product information on Monggo
respondents consider the package size of Monggo 40 chocolate 40g packaging inspires trust for the product”
grams to have a high value and the responses tend toward indicator has the highest mean value. Based on these
agreeability. Therefore, size-wise, Monggo has fulfilled its findings, the information listed on Monggo’s packaging
task well and met consumer expectations. According to is considered able to inspire the consumers’ trust for the
analysis results, respondents find it easy to carry Monggo product, and the information is also described clearly. The
chocolate everywhere due to its size. They also find that font used for product ingredients is easily readable, creat-
the brand fulfills their needs. The small size makes it suit- ing easy communication with consumers; as Klimchuk &
able for personal consumption, according to the majority Krasovec (2007) suggests, retail buyers want packagings
of respondents (who are 18-21 years of age and mostly to provide detailed information instead of hiding it, and
students). Therefore the small package size fits the needs they do not want misleading information.
CAHYORINI & RUSFIAN, THE EFFECT OF PACKAGING DESIGN 17
slightly high category, meaning that impulsive buying of especially in impulsive buying, may cause consumers to
Monggo 40 grams induces positive hedonistic elements. disregard possible consequences. Respondent assessment
Impulsive buying, as stated by Rook (1987), can cause on this dimension shows that the urge to purchase is strong
consumers to feel ‘good,’ ‘satisfied,’ ‘wonderful,’ and enough to make respondents disregard possible negative
similar emotions. The “Purchasing Monggo chocolate consequences. The “Monggo chocolate 40 g is purchased
40 g evokes satisfaction” indicator proves that impulsive without a second thought” indicator has the highest mean
buying of the product causes consumers to feel satisfied. value and is categorized as slightly high. The urge to
In addition, the “Purchasing Monggo chocolate 40 g is purchase is felt to be stronger than the thoughts of possi-
done for self-indulgence” indicator largely meets with ble consequences from the purchase. Moreover, despite
respondent agreement, although they also state that it is a slight concern about possible negative effects such as
not the main reason. This is in accordance with Rook’s toothaches, this concern does not hinder the purchase.
statement about consumers’ desire for self-indulgence, Respondents do not consider the negative effects to be
and they fulfill it by giving themselves special treats or highly important, as shown by the “Possible negative
rewards. Furthermore, the “Purchasing Monggo chocolate side effects from buying Monggo chocolate 40 g (such as
40 g can improve mood” indicator suggests that impulsive toothache) are not a major concern” indicator. The indica-
buying of Monggo can indeed improve consumers’ mood. tor suggests that the urge to purchase in impulsive buying
The reason is that consumers who are feeling down may causes consumers to disregard any possible consequences
feel that purchases make them feel better (Rook, 1987). Even caused by the purchase.
though in this case purchasing Monggo cannot completely This research aims to measure the influence of pack-
improve the respondents’ mood, impulsive buying aging design on impulsive buying. The measurement is
based on two variables: packaging design and impulsive
becomes an effective tactic to cast off unpleasant moods
buying. The packaging design variable consists of three
such as depression, frustration, and boredom (Loudon &
dimensions: graphic design, structure design, and product
Della Bitta, 1993).
information, while the impulsive buying variable consists
The seventh dimension is conflict. Unplanned purchases
of eight dimensions.
may cause emotional conflict within consumers. They experi-
Table 3 shows that the correlative power among vari-
ence two conflicting emotions, pleasure and guilt, as impulsive
ables has a coefficient value of 0.617. Based on the correl-
buying and the spontaneous purchase it entails may violate
ative power value among variables according to De Vaus
their own personal rules. Respondent assessment on this
(2002), the coeffiecient value of 0.617 above shows the
dimension shows that its mean value is categorized as slightly
correlation to be strong tending toward very strong. The
high: respondents experience a conflict within themselves,
coefficient has a positive value – that is, a parallel rela-
albeit not a significant one, and it is overcome by the more
tion among variables. Therefore the correlation among the
overwhelming urge to purchase. The “No significant guilt
variables is strong tending toward very strong with a positive
in buying Monggo chocolate 40 g” indicator has the highest
tendency. This shows that a stronger packaging design value
mean value, suggesting that the guilt caused by the purchase is
leads to a stronger impulsive buying value.
insignificant. Consumers are not restrained by budget consid- Table 4 shows the value of R square or coefficient
erations when making the purchase, although they are not of determination is 0.380, suggesting that 38.0% of the
yet free from emotional conflicts. When consumers purchase impulsive buying of Monggo 40 gr is influenced by its
Monggo, they feel a little bothered. Purchasing Monggo packaging design. The remaining 62.0% is influenced
without prior planning does not interfere much with the by other factors, which are believed to be the following:
respondents’ previous shopping plans, although they still price, product placement on the shelf, chocolate consump-
have other considerations prior to the purchase itself. tion culture, and product availability. Monggo 40 gr is
In conclusion, the brand has sufficient appeal to cause more expensive than other chocolate brands of a similar
consumers to change their shopping plans by purchasing size. It is priced at approximately Rp 13,000, whereas
Monggo chocolate or adding it to their pre-planned shop- other chocolate brands are far less expensive. For instance,
ping list. Cadbury 40 gr is priced at Rp 7,990, Delfi Treasures 36 gr
The eighth dimension is disregard for consequence. at Rp 4,450, Van Houten 40 gr at Rp 5,890, and Toblerone
According to this dimension, the strong urge to purchase, 50 gr at Rp 11,490. Higher and lower prices each influence
CAHYORINI & RUSFIAN, THE EFFECT OF PACKAGING DESIGN 19
Table 4. Anova
Model Sum of Squares Df Mean Square F Sig.
1 Regression 37.656 3 12.552 19.643 .000a
Residual 61.344 96 .639
Total 99.000 99
Table 5. Coefficients
Model T Sig.
(Constant) .000 1.000
Graphic Design 3.362 .001
Structure Design 1.629 .107
Product Information 1.386 .169
impulsive buying differently. Loudon & Della Bitta (1993) Based on research findings, significance has a value of
state that, the cheaper the product, the more influence it 0.000: Ho is rejected and Ha is accepted (Table 5). There-
exerts on impulsive buying. fore, Monggo 40 gr’s packaging design is proven to influ-
Product placement or display on the shelf also affects ence impulsive buying in South Jakarta. Since Monggo
impulsive buying. According to Hawkins, Best, and does not use advertisements as a communication medium,
Coney (2001), product placement in stores or the point of its packaging design plays an important role in boosting
purchase display has significant effects on sales. Loudon its sales. Duncan (2005) states that packaging design is
& Bitta (1993) add that an attractive display also affects crucial especially for brands and product lines with little or
impulsive buying. Products placed at shelves next to the no other marketing communication support. In this case,
cashier are more likely to be bought on impulse. Monggo packaging design affects the decision of the consumer
is rarely displayed on shelves next to or near the cashier; standing in front of the shelves. As stated by Klimchuk
the brand is displayed on the chocolate shelves along with & Krasovec (2007), packaging design plays an important
other brands. This should be a concern for Monggo’s role at the point of purchase to attract attention and bring
producer: since it has not yet utilized advertising as a main about purchase.
medium of communication, strategic product placement In Table 6, the graphic design dimension has a t count
on the shelves would help introduce the brand to the public value of 3.362, higher than the t critical value, which is
and boost its sales. 1.984 (3.362 > 1.984). The significance value in Table 6
Another important factor is the chocolate consumption is 0.000 (probability < 0.05). These values suggest that
culture. It is not common in Indonesia to consume choco- Ha1 is accepted: the graphic design dimension is proven to
late on a daily basis; in other words, chocolate consumption have an influence on impulsive buying.
is not part of the Indonesian lifestyle. In Switzerland, for
The second derivative hypothesis correlates the struc-
instance, chocolate has become a state symbol; in Mexico
ture design dimension with impulsive buying. In Table
chocolate is a national drink; and Belgium is famous for its
6, the structure design dimension has a t count value of
handmade chocolate (Wibowo, 92nd Edition).
1.629, smaller than the t critical value, which is 1.984
In addition to price, product placement on the shelf,
(1.629 < 1.984). The significance value is 0.107, meaning
and chocolate consumption culture, respondents believe
that probability > 0.05. Consequently, Ha2 is rejected; the
that product availability can also affect impulsive buying.
structure design dimension does not have an influence on
It is estimated that 60 to 70% of decisions to buy certain
impulsive buying.
brands of packaged products are not made until customers
have stepped into the store (Shimp, 2000). Often Monggo The third derivative hypothesis correlates the product
40 gr is barely in stock, even out of stock. In several stores, information dimension with impulsive buying with a t count
the brand remains out of stock for as long as several days. value of 1.386. The value is smaller than the t critical value
It is seldom that customers see all Monggo 40 gr’s three of 1.984 (1.386 < 1.984). The significance value is 0.169,
variants – Dark, Praline, and Caramello – fully stocked in meaning that probability > 0.05. Consequently, Ha3 is
stores. Sometimes only two out of the three variants are rejected; the product information dimension does not have
available, and then only a few bars of them. This product an influence on impulsive buying.
scarcity may reduce the possibility of impulsive buying, Thus, out of the three packaging design dimensions
since according to AC Nielsen, 85% of shoppers in Indo- (graphic design, structure design, and product informa-
nesian modern retail stores tend to shop impulsively tion), only one dimension affects impulsive buying:
(Marketing, February 2007). graphic design. The structure design and product informa-
20 Journal of Administrative Science & Organization, January 2011, Page 11-21 Volume 18, Number 1
Bisnis & Birokrasi, Jurnal Ilmu Administrasi dan Organisasi
tion in Monggo 40 gr’s packaging design lacks influence correlations; Monggo’s packaging design affects impul-
on impulsive buying; this suggests that only the aesthetic sive buying by 38%. The influence exerted is thus not very
aspects in Monggo 40 gr’s packaging design are capable significant, as the only element in Monggo 40 gr’s packag-
of creating the strong urge toward instant purchase. ing design that affects impulsive buying is graphic design.
Graphic design affects impulsive buying, as stated by We may conclude that Monggo’s management needs
Nilson and Ostrom (2005): graphic design is the visuals to review the brand’s packaging design. As the manage-
which decorate the packaging’s exterior. Graphic design ment is yet to utilize other communicating tools such as
consists of four integrated sub-dimensions: brand name, advertisements to support marketing communication, the
color, typography, and image. These sub- dimensions packaging design becomes more crucial in boosting sales.
shape graphic design’s influence on impulsive buying. The low percentage above is also affected by elements
According to Shimp (2000), brand name is a vital element in Monggo’s packaging design that consumers consider
in a package. The study findings show that the brand name unfavorable; the hardly readable typography, for instance.
‘Monggo’ has a high mean value. In addition to brand name, This problem needs to be addressed by the management
color is also considered significant by respondents: this in order to have an excellent product communication. The
can be seen from the mean value and response tendency. research also finds that customers have a great liking for
According to Klimchuk & Krasovec (2007), color has a the brand name ‘Monggo’, as it is a very distinctly tradi-
persuasive effect that appeals to our subconscious, which tional name that is not only appealing but also noticeable
can affect consumers and attract the eye. Another element among the current brands. Therefore the brand name is
in graphic design is typography, namely the use of fonts already effective and the management must maintain the
to visually communicate a spoken language. According
image it has already established.
to Ries and Ries (2002), good typography results in an
easy communication. The typography sub-dimension has
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