Understanding Driving Factors Behind Customer Purchase Intention on Organic Vegetables for Better Marketing Strategy FINAL PROJECT By Fabia Zahra Razula 19215004 Bachelor of Entrepreneurship Program School of Business and Management Institut Teknologi Bandung 2018 ii Understanding Driving Factors Behind Customer Purchase Intention on Organic Vegetables for Better Marketing Strategy Fabia Zahra Razula 19215004 Supervisor: Dr. Leo Aldianto, MBA, M.Sc. Bachelor of Entrepreneurship Program Institut Teknologi Bandung ABSTRACT Over the past few years, the global demand of organic products has reached a new height. North America and Europe are two key Western Markets contributing to the increase of global organic sales. The trend of buying organic products not only occurs in those two countries, the same enthusiasm also can be seen in developing countries in Asia including Indonesia. Despite the fluctuate numbers published by Statistika Pertanian Indonesia 2016, Indonesia’s demand on organic products has started to rise. This study intends to better understand factors driving customers in purchasing organic vegetables. The study was conducted using quantitative approach which targets a range of 60 – 80 respondents both male and female organic vegetable customers within their productive age. In analyzing the data, the researcher uses multiple linear regression, processed using SPSS. There are four factors presented in the research that consist of health benefits, taste, environmental awareness and high purchasing power. The research comes up with taste as the biggest factor that drives customers in purchasing organic vegetable with a total percentage of 31.1%. It is then followed by customer’s environmental awareness (27.4%), health benefits (21%) then high purchasing power (21%). These data confirm the significance of four factors mentioned above in influencing customer purchase intention on organic vegetables. Using the findings, the researcher designed a new marketing strategy. The two high ranked factors are picked as a showcase or inputs to the strategy. It will promote the taste of organic vegetables in the form of tagline and content put in the packaging and other promotional materials. Changing the material of organic vegetable packaging into an eco-friendlier, will be next. The strategy is addressed to farmers and producers of organic vegetable in order to increase the number of potential organic vegetable customers. Keywords: Driving Factors, Organic Vegetable, Purchase Intention, Marketing Intervention Strategy iii Memahami Faktor-Faktor Pendorong di Balik Niat Konsumen dalam Membeli Sayuran Organik untuk Strategi Pemasaran yang Lebih Baik Fabia Zahra Razula 19215004 Supervisor: Dr. Leo Aldianto, MBA, M.Sc. Program Studi Sarjana Kewirausahaan, Sekolah Bisnis dan Manajemen Institut Teknologi Bandung ABSTRAK Dalam beberapa tahun terakhir, permintaan produk organik secara global mencapai titik baru. Amerika Utara dan Eropa adalah dua pasar Barat utama yang berkontribusi terhadap peningkatan penjualan organik secara global. Kecenderungan membeli produk organik tidak hanya terjadi di kedua negara tersebut, antusiasme yang sama dapat dilihat di negara berkembang di Asia termasuk Indonesia. Meskipun Statistika Pertanian Indonesia 2016 mempublikasikan jumlah yang fluktuatif, namun permintaan Indonesia terhadap produk organik terlihat meningkat. Penelitian ini bermaksud untuk lebih memahami faktor-faktor yang mendorong pelanggan dalam membeli sayuran organik. Penelitian ini dilakukan dengan menggunakan pendekatan kuantitatif dengan menggunakan kuesioner yang menargetkan total 60 -80 responden baik pria dan wanita yang merupakan pelanggan sayuran organik dan berada di usia produktif. Dalam menganalisis data, peneliti menggunakan regresi linier berganda yang diproses menggunakan SPSS. Terdapat empat faktor yang digunakan dalam penelitian ini yang terdiri atas; manfaat kesehatan, rasa, kesadaran lingkungan dan daya beli yang tinggi. Penelitian ini menemukan bahwa rasa adalah faktor terbesar yang mendorong pelanggan membeli sayuran organik dengan total persentase sebesarr 31,1%. Kemudian diikuti oleh kesadaran pelanggan terhadap lingkungan (27.4%), manfaat kesehatan (21%), dan daya beli yang tinggi.21(%). Data ini mengkonfirmasi signifikansi keempat faktor diatas dalam mendorong intensi pelanggan membeli sayuran organik. Dengan menggunakan hasil penelitian, peneliti telah merancang strategi pemasaran baru. Dua faktor teratas dipilih sebagai contoh dan input kedalam strategi. Strategi pertama dengan mempromosikan rasa dari sayuran organik dalam bentuk slogan yang ditempatkan di kemasan setiap sayuran organik. Sedangkan strategi kedua yaitu dengan mengubah bahan dari kemasan sayuran organik ke bentuk yang lebih ramah lingkungan. Strategi ini ditujukan kepada petani dan produsen sayuran organik untuk meningkatkan jumlah pembeli potensial sayuran organik. Kata kunci: Faktor Pendorong, Sayuran Organik, Niat Membeli, Strategi Intervensi Pemasaran iv APPROVAL PAGE UNDERSTANDING DRIVING FACTORS BEHIND CUSTOMER PURCHASE INTENTION ON ORGANIC VEGETABLES FOR BETTER MARKETING STRATEGY By FABIA ZAHRA RAZULA ID No: 19215004 A Final Project in Partial Fulfillment of the Requirement for the Degree of Bachelor of Entrepreneurship Bachelor of Entrepreneurship Program School of Business and Management Institut Teknologi Bandung August 21, 2018 Approved By __________________________ Dr. Leo Aldianto, MBA, M.Sc. NIP. 114110008 v FOREWORD All praise to Allah SWT for all the countless blessings that He has given me throughout my entire life. It is with no doubt that He has taken a big part and guided me in finishing my study at SBM ITB. It has been a long bumpy ride, but I am truly grateful to be surrounded by supportive and loving friends that has made three years went by so fast. Hereby, I’d like to express my sincere gratitude as I believe that this final project wouldn’t have finished without the help of all names mention below: 1. Bapak Ikhsyat Syukur and Ibu Dini Savitri Rahim for your endless love and compassion, countless prayers both hidden and apparent, the emotional support you both have provided in good times and bad times and the trust you have given to me at all times. 2. Mas Alif Timur Ghifari for the continuous motivational support, to whom I come to when in need for help and share stories with and for all the advice on my final project. You are whom I look up to as you have inspired me a lot, good luck on your study. 3. Dr. Leo Aldianto, MBA, M.Sc.