Kanruethai Than
Kanruethai Than
Kanruethai Than
Kanruethai Thanasrichatthon
Bangkok University
ABSTRACT
ACKNOWLEDGEMENT
Kanruethai Thanasrichatthon
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TABLE OF CONTENTS
Page
ABSTRACT……………………………………………………………………. iii
ACKNOWLEDGEMENT……………………………………………………… iv
LIST OF TABLES………………………………………………………...…… vii
LIST OF FIGURES…………………………………………………………….. viii
CHAPTER 1: INTRODUCTION ……………………………………………... 1
1.1 Rationale and Problem Statement………………………………..... 2
1.2 Scope of the Study.……………….……………………………….. 2
1.3 Research Objectives....……………………………………….….... 3
1.4 Significance of the Study……………………….…………….…... 3
1.5 Definition of Terms……………………..…………...……….…… 3
CHAPTER 2: LITERATURE REVIEW………………………………………. 5
2.1 Definition ………………………………...……………………….. 6
2.2 Hypothesis Statements and Conceptual Framework……………… 10
CHAPTER 3: METHODOLOGY……………………………………………… 12
3.1 Population and Sample Selection………………………………….. 12
3.2 Research Instrument/Questionnaire Design……………………….. 12
3.3 Data Collecting Procedure………………………………………... 13
3.4 Reliability Analysis.......................................................................... 13
3.5 Statistical Tools……………………………………………………. 16
CHAPTER 4: DATA ANALYSIS………………………………...................... 17
4.1 Demographic Profile of the Respondents (Independent Variables). 17
4.2 Means and Standard Deviations of All Variables (Dependent
Variables)…………………………………………………………. 20
4.3 The Result of Hypothesis Testing………………………………… 24
4.4 Results of Hypothesis Testing…………………………………….. 26
CHAPTER 5: DISCUSSION AND CONCLUSION…...................................... 27
5.1 Research Finding and Conclusion …..……..…………………….. 27
5.2 Discussion......................................................................................... 28
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Page
CHAPTER 5: DISCUSSION AND CONCLUSION (Continued)
5.3 Research Implications…………..………………………..…….….. 30
5.4 Recommendation for Future Research…………………………….. 30
BIBLIOGRAPHY……………………………………….…………………...…. 31
APPENDIX………………………………………………………………...…… 34
BIODATA…………………………………………………………………….... 38
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LIST OF TABLES
Page
Table 3.1: Pilot test Cronbach‟s Alpha by each Construct…………………... 12
Table 3.2: Summary of Measures and Item Reliability……………………… 14
Table 4.1: Demographic Profile of Respondents…………………………….. 17
Table 4.2: Behavior information of Respondents……………………………. 19
Table 4.3: Means and Standard Deviations of All Variables of Conceptual
Framework………………………………………………………... 20
Table 4.4: Mean, Standard Deviation of Respondents Perception of
Customer Satisfaction…………………………………………….. 21
Table 4.5: Mean, Standard Deviation of Respondents Perception of
Perceived Value…………………………………………………... 22
Table 4.6: Mean, Standard Deviation of Respondents Perception of Brand
Personality………………………………………………………… 22
Table 4.7: Customer Satisfaction, Perceived Value and Brand Personality
toward Purchase intention ……………………………………….. 23
Table 4.8: Customer Satisfaction, Perceived Value and Brand Personality
toward Purchase intention………………………………………… 24
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LIST OF FIGURES
Page
Figure 1.1: Five Stage of Buying Decision Process…………………………. 5
Figure 2.1: Brand Personality Scale and the Psychological Five Factors
Model…………………………………………………………… 9
Figure 2.2: Conceptual Framework…………………………………………. 11
Figure 4.1: Result of Multiple Regression Analysis from scope of Research.. 26
CHAPTER 1
INTRODUCTION
vehicles, particularly safety and electronic gadgetry has migrated towards lower-
priced vehicles. Airbags everywhere, rearview cameras, and blind-spot detection are
just a few of these features. Turbocharging, now known to consumers; Ford‟s
promotion of its Eco-Boost engines, is now more widely used in both cars and trucks
from some manufacturers. And navigation systems, Bluetooth integration, and touch
screen controls are now mainstream, not just luxury features. Leather seats are now
found in many mass-market vehicles (especially higher trim levels) while entry-level
luxury cars only come with synthetic seat material standard, leather is extra. Many
mass-market vehicles have moved decidedly upscale. Chevrolet‟s 2014 Impala, in its
higher trims, has many of the same features as found in luxury vehicles costing
thousands more (Brunello, 2014).
In addition, the target respondents of this research are consumers who purchase
luxury cars in Bangkok.
Perceived Value
Perceive value generally refers to the difference between benefits and
sacrifices from purchasing and using a product/service put forward perceive value
when the price is low, while some perceive when there is a positive balance between
price and quality. Customers cannot precisely perceive all the benefits offered by the
product/service, and the financial investment that is needed, so in this case perception
of value relies on the customer's evaluation of the product/service. Therefore,
perceived value can be viewed as a relationship between perceived benefits and
perceived sacrifice of product/service. (Gutman, 1982).
Brand Personality
Brand Personality is the noticeable elements of brand including colors, logo,
name, design, or symbol that together identify and differentiate the brand in the
consumers‟ mind (Tarver, 2020). Brand personality is also a promise that an
organization makes to consumers, and it is all that an organization wants the brand to
be considered as. Brand personality leads to brand loyalty, brand preference, high
credibility, good prices, and good financial returns because it helps an organization to
express to the consumer and the target market. Brand personality establishes a
connection between the organization and consumers (Batra, 1993).
Purchase Intention
The fourth stage of buying making-decision process is purchase intention. In
this stage, after consumer evaluated the option they will buy the most suitable
product. Consumer changes their money to solve his or her problem. There are two
factors that might influence the people in tension and decision. First is attitude of
others and second are unexpected situational factors (“5 stage of buying decision
process”, n.d.). The five stages framework use to evaluate the consumer‟s buying
decision as the diagram below:
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Information Search
Evaluation of Alternatives
Purchase
Post-Purchase Evaluation
2.1 Definition
2.1.1 Independent Variables
1) Customer satisfaction
Customer Satisfaction is the customers‟ cumulative impression of a firm‟s
service performance (Johnson & Fornell, 1991). Customer satisfaction is the
customer‟s post-purchase evaluation and affective response or feeling to the overall.
Customer satisfaction can be defined using the transaction-specific
perspective or cumulative perspective. The transaction-specific perspective indicates
that customer satisfaction is the evaluation based on the recent purchase experiences
(Boulding, Kalra, Staelin, & Zeithaml, 1993). Compared with the transaction-specific
perspective, the cumulative perspective stresses overall evaluations, indicating that
evaluations of customer satisfaction should be based on all the purchase experiences
of the customer, disregarding any specific purchase experience (Johnson & Fornell,
1991). The cumulative perspective is more capable of evaluating the service
performance of firms and more effective in predicting consumers‟ post-purchase
behaviors (Wang, Lo, & Yang, 2004).
Various studies attributing the strong relationship between Customer
satisfaction and purchase intention had been conducted by researchers involving
various aspects. For example, the research of Maharsi, Njotoprajitno, Hadianto, and
Wiraatmaja (2021) examine the effect of customer satisfaction on consumer purchase
intention by involving 106 respondents who are the lecturers working at Maranatha
Christian University, Bandung. The research found that there was a connection
between customer satisfaction and purchase intention. They examined the influence of
two independent variables; service quality and customer service on consumer
behavior in deciding to purchase petrol. To attain the goal, they develop four relevant
hypotheses to be tested. After examining the data and conferring the results, we
conclude three things. First, service quality does not affect purchasing intention, but
customer satisfaction positively does. Second, service quality has a positive impact on
customer satisfaction. Finally, consumer satisfaction successfully mediates the effect
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of service quality on the intention to buy. So, this study concludes there is a positive
influence between customer satisfaction and purchase intention.
2) Perceived value
Personality is a clear construct different from cognitive aspects of the
person, or from his or her skills and abilities. It is described by traits.
Customer‟s perceived value can be defined from the perspectives of
money, quality, benefit, and social psychology. The Monetary perspective indicates
that value is generated when less is paid (such as by using coupons or promotions) for
goods (Bishop, 1984). In other words, it is the concept of consumer surplus in
economics; perceived value is the difference between the highest price that consumers
are willing to pay for a product or service and the amount practically paid. According
to the quality perspective, value is the difference between the money paid for a certain
product and the quality of the product (Bishop, 1984). That is, when less money is
paid for a high-quality product, positive perceived value will be created. The benefit
perspective indicates that perceived value is customers‟ overall evaluation of the
utility of perceived benefits and perceived sacrifices (Zeithaml, 1988). In other words,
consumers may cognitively integrate their perceptions of what they get and what they
have to give up in order obtaining goods. However, sacrifice means more than the
money paid for certain goods. Non-monetary costs, such as transaction cost, search
cost, negotiation cost, and time incurred during the purchase, should also be included
(Cronin, Brady, & Hult, 2000). The social psychology perspective points out that the
generation of value lies in the meaning of purchasing certain goods to the buyer‟s
community (Sheth, Newman, & Gross, 1991). That is, goods carrying particular
meanings (such as social-economic status and social culture) can increase the
effectiveness of social self-concept.
Previous researches attributing the strong relationship between brand
personality and purchase intention. For example, the research of Lee, Hansen, and Lee
(2018) examined the effect of brand personality self-congruity on brand engagement
and purchase intention: the moderating role of self-esteem n Facebook by involving
301 Facebook users who clicked like for a brand in Atlanta, Georgia. The result found
that brand personality showed a significant, positive influence on brand engagement
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Figure 2.1: Brand Personality Scale and the Psychological Five Factors Model
Brand Personality
perceived value is an important aspect in the prediction of trust and purchase intention
among Brazilian consumers
2.1.2 Dependent Variable
1) Purchasing Intention
The purchase intention is the thought process that leads a consumer from
identifying a need, generating options, and choosing a specific product and brand.
Some purchase intentions are minor, like buying toothpaste, while other purchases are
major, like buying a house. The more major the purchase intention, the more effort is
typically put into the process (Petiot et al., 2009).
Purchase intention is also positively associated with a perceived value
(Dodds, Monroe, & Grewal, 1991; Grewal, Monroe, & Krishnan, 1998)
Cronbach‟s
Measures Items
alpha
Cronbach‟s
Measures Items
alpha
Customer satisfaction
1. I am satisfied with the services provided by the luxury car
brand.
2. I think this luxury car brand has successfully provided 3 0.79
value-added services.
3. This value-added service from the luxury brand is better
than expected.
Perceive Value
1. I feel I am getting good car services for a reasonable price.
2. Using the luxury car is worth for me to sacrifice some time
3 0.77
and efforts.
3. Compared with other luxury car brand, it is wise to choose
this brand.
Brand Personality
1. The luxury car helps me to express myself.
2. The luxury car has few features in common with other
3 0.8
brands.
3. The luxury car brand which I'm using is completely
different from other brands.
After the pilot test of 40 respondents was done. A full-scale survey of 385
questionnaires was completely answered, and the result of the reliability analysis
calculated is presented by the Cronbach's Alpha Coefficient table below.
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Cronbach‟s
Measures Items
alpha
Customer satisfaction
1. I am satisfied with the services provided by the luxury
car brand.
2. I think this luxury car brand has successfully provided 3 0.80
value-added services.
3. This value-added service from the luxury brand is better
than expected.
Perceive Value
1. I feel I am getting good car services for a reasonable
price.
2. Using the luxury car is worth for me to sacrifice some 3 0.81
time and efforts.
3. Compared with other luxury car brand, it is wise to
choose this brand.
Brand Personality
1. The Luxury car helps me to express myself.
2. The Luxury Car has few features in common with other
3 0.84
brands.
3. The Luxury Car brand which I'm using is completely
different from other brands.
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All alpha coefficients of full-scale survey passed the 0.7 and had proven to be
reliable.
This chapter presents the completed result and analysis of this study. The
results of 385 questionnaires were received from survey consisting demographic
profile of the respondents.
Descriptive Statistics
Demographic profile of the Respondents
Frequency Percent
Descriptive Statistics
Demographic profile of the Respondents
Frequency Percent
30,000-50,000 89 23.12
Income level
50,000-100,000 145 37.66
More than 100,000 49 12.73
Descriptive Statistics
Behavior information
Frequency Percent
Audi 37 9.61
The reason to buy present car: As the result, the main reason for buying their
present car is suit that it their lifestyle and personality at the number of 40%.
Followed reason is better safety at roads at the number of 35.06% and the last two
reason for buying present car are Family needs at the number of 14.81% and
increasing in disable income at the number of 10.13%.
Table 4.3: Means and Standard Deviations of all Variables of Conceptual Framework
The results of purchasing intention indicate that “I will consider the product
feature of the car before I purchase it” has the highest mean (mean = 3.86). Followed
by “I search for information about the luxury car brand on regular basis” (mean =
3.76). The lowest mean (3.45) is “I have a plan to purchase a luxury car in the near
future”
The standard deviation results are shown that “I have a plan to purchase a
luxury car in the near future” and “I will consider the product feature of the car before
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I purchase it” the most deviation (S.D. = 0.82). The least deviation is “Buying the car
is beneficial for daily life” (S.D. = 0.77)
4.2.1 Independent variables:
1) Customer Satisfaction
2) Perceived Value
The results of perceived value indicate that “I feel I am getting good car
services for a reasonable price” has the highest mean (mean = 3.69). Followed by
“compared with other luxury car brand, it is wise to choose this brand” (mean = 3.65).
The lowest mean (3.62) is “using the luxury car is worth for me to sacrifice some time
and efforts”.
The standard deviation results are shown that “Compared with other
luxury car brand, it is wise to choose this brand” the most deviation (S.D. = 0.95). The
least deviation is “using the luxury car is worth for me to sacrifice some time and
efforts” (S.D. = 0.76)
3) Brand Personality
As the result of brand personality, the highest mean is “The luxury car has
few features in common with other brands” (mean = 3.71). Followed by “The luxury
car brand which I‟m using, is completely different from other brands” (mean = 3.65).
And the lowest mean is “The luxury car helps me to express myself” (mean = 3.61).
The standard deviation results are shown that “The Luxury car helps me
to express myself” the most deviation of information among 3 elements (S.D. = 0.96)
While the least deviation of information among 3 elements is “3. The Luxury Car
brand which I‟m using, is completely different from other brands” (S.D. = 0.83).
Dependent variable
Follow by mean of brand personality at number 3.66. The last is perceived value at
number 3.65.
As the Standard deviation, the highest of 4 constructs is purchasing intention
and customer satisfaction with the same number at 0.91. The second highest is
perceived value at number 0.83. The lowest standard deviation is Purchase intention
which is 0.81.
Table 4.8: Customer Satisfaction, Perceived Value and Brand Personality toward
Purchase intention
Collinearity
Std.
Independent Variable B Beta t Sig. Statistics
Error
Tolerance VIF
(Constant) 1.360 .128 10.588 .000
Customer Satisfaction .367 .044 .451 8.422 .000 .472 2.118
Perceived Value .134 .055 .152 2.420 .016 .345 2.901
Brand Personality .127 .047 .162 2.693 .007 .374 2.677
Dependent variable: consumer purchasing intention
R = .696, R2 = .484, Adjusted R2 = .480, df: 3, F = 119.071, P= 0.05
*Significant at 0.05 level
Customer Satisfaction
Perceived Value
Purchase Intention
H3: β = 0.127, p<0.05
Brand Personality
CHAPTER 5
DISCUSSION AND CONCLUSION
5.2 Discussion
The research was to explore factors that influence consumer purchasing
intention of luxury car among luxury car owner in Sukhumvit. This study examined
the relationship between customer satisfaction, perceived value, brand personality and
purchase intention by involving 385 respondents who are the owners of the luxury car
in Sukhumvit. Three hypotheses were presented to test the relationship between the
independent variables; customer satisfaction, perceived value, brand personality and
purchase intention of luxury car. The results found interesting hypothesis as follow
Hypothesis 1, there is a significant influence of customer satisfaction on
purchase intention of luxury car. Luxury car with customer satisfaction has a positive
effect on purchase intention. It is important to note that customer satisfaction is one of
the significant factors that impact to purchase intention.
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Same as The result of the previous research showed the strong relationship
between customer satisfaction and purchase intention in deciding to purchase petrol,
the research of Maharsi et al. (2021). They have analyzed that customer service
quality affect purchase intention positively. Moreover, service quality has a positive
impact on customer satisfaction. Consumer satisfaction successfully mediates the
effect of service quality on the intention to buy. So, this study concludes there is a
positive influence between customer satisfaction and purchase intention.
According to, hypothesis 2, there is a significant influence of perceived value
on purchase intention of luxury car. Thus, perceived value positively enhanced
consumers purchase intention. It is important to note that perceived value is one of the
significant factors that impact to purchase intention.
Regarding to studies by Eluiza and Solange (2019) found the same thing that
the perceived value is able to influence the purchase intention positively. Perceived
value was measured through four dimensions: functional, economic, social and
emotional. The results indicate that functional and emotional values positively affect
consumer trust and that only emotional value motivates purchase intention. Thus, the
perceived value is an important aspect in the prediction of purchase intention.
According to, hypothesis 3, there is a significant influence of brand
personality on purchase intention of luxury car. That is the higher the brand
personality will lead to higher purchase intention. It is essential to conclude that brand
personality is significant impact to purchase intention.
Previous researches also showed the strong relationship between brand
personality and purchase intention. For example, the research of Lee et al. (2018).
Because the result found that brand personality showed a significant, positive
influence on brand engagement and purchase intention. Brand personality showed a
conditional indirect effect on purchase intention via brand engagement depending on
the level of self-esteem. Thus, this study can explain that there is a positive influence
between brand personality and purchase intention.
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APPENDIX
35
Questionnaire
BIODATA
Email kanruethai.pla@gmail.com