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Archives of Business Research – Vol. 9, No. 12

Publication Date: December 25, 2021

DOI:10.14738/abr.912.11374. Prasetia, W., Hidayat, A. (2021). The Influence of Brand Awareness, Brand Association, Perceived Quality, and Brand Loyalty on

Purchase Intention. Archives of Business Research, 9(12). 132-144.

Services for Science and Education – United Kingdom

The Influence of Brand Awareness, Brand Association, Perceived

Quality, and Brand Loyalty on Purchase Intention

Wawan Prasetia

Magister Management, Faculty of Business and Economics

Universitas Islam Indonesia

Anas Hidayat

Magister Management, Faculty of Business and Economics

Universitas Islam Indonesia

ABSTRACT

This research aims to analyze the effect of brand awareness, brand association,

perceived quality, and brand loyalty on purchase intention, and the approach of the

theory of planned behavior. Respondents in this research were consumers and

potential consumers who had purchased cement. This research used quantitative

approach by distributing questionnaires to 200 respondents. Data were analyzed

using the Structural Equation Method (SEM) with Partial Least Square. The findings

of this research showed that perceived quality had no impact on purchase intention,

meanwhile brand awareness, brand association, and brand loyalty had positive

effect on purchase intention. In addition, brand awareness, brand association, and

perceived quality had positive influence on brand loyalty.

Keywords: Purchase Intention, Brand Awareness, Brand Association, Perceived Quality,

Brand Loyalty.

INTRODUCTION

Along with the rapid development in Indonesia, the demand for cement will continue to

increase. Thus, new companies emerge with their diverse products. This can be seen with the

emerging competition, the company is trying to be more active in introducing and selling

products to consumers. The phenomenon of competition between companies makes every

company aware of maximizing company assets for the sake of companies that produce cement

products. To achieve this, one of the assets is through the brand. The consumer's confidence in

the purchase decisions taken involves the customer towards a brand so that confidence arises

in the actions taken. Consumer confidence represents the extent to which consumers have

confidence in their decision to choose the brand.

Factors that influence purchasing decisions are price, product quality and brand image.

According to (1), price is the amount of value given by customers to make a profit and have or

use a product or service. (2) stated that product quality is a way of assessing the product to be

purchased, whether it meets consumer expectations. A brand is a name, term, sign, symbol,

design that aims to identify the goods or services offered by the company, as well as product

differentiation. Brands can provide many benefits to consumers, including helping consumers

identify the benefits offered and product quality (1).

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Prasetia, W., Hidayat, A. (2021). The Influence of Brand Awareness, Brand Association, Perceived Quality, and Brand Loyalty on Purchase Intention.

Archives of Business Research, 9(12). 132-144.

URL: http://dx.doi.org/10.14738/abr.912.11374

Brand awareness is the ability of a buyer to explore or recall that a brand is part of a particular

product category (3). Brand plays an important role in increasing consumer purchase

intentions. The higher the consumer awareness of a brand, the greater the potential for a

company's products to be purchased by consumers. Brand association is one of the components

that make up brand equity because it can form a positive image of the brand which will lead to

several associations; thus, creating positive behavior from consumers (4).

Perceived quality is the customer's perception of the overall quality or superiority of a product

or other service related to what is expected by the customer (5). The impression of positive

quality in the minds of customers can provide various benefits for brand development (6).

According to (7), brand loyalty is a relationship between customers and a brand. This measure

provides a view of whether or not a customer may switch to another brand offered by a

competitor, especially if the brand is found to have differences in price or other attributes.

Brand loyalty is also the preference of consumers who consistently make purchases at the same

brand for specific products with certain categories (8). Based on this background, this research

was conducted with the title "The Influence of Brand Awareness, Brand Association, Perceived

Quality and Brand Loyalty on Purchase Intention”. The title of this research was chosen because

researchers want to find out more about how brand awareness, brand association, perceived

quality, and brand loyalty can affect purchase intention.

THEORETICAL FRAMEWORK

Theory of Planned Behavior

The theory of planned behavior is a development of the theory of reasoned action. The theory

of planned behavior is similar to other cognitive decision-making models in the underlying

assumption that individuals make decisions rationally and systematically through the

information available to them (9). (10) explained in the Theory of Planned Behavior that a

person can act because of the intention when the person has control over his behavior. The

theory of planned behavior can be used to predict the intentions and behavior that will be

carried out by consumers. In this research, the researchers used the theory of planned behavior

as the basis for the research model used, because this theory can identify factors that influence

consumer purchase intentions for cement brands.

Purchase Intention

Purchase intention is a consumer behavior process who wish to choose or buy a product based

on their experience, use and desire for a product (11). Based on the research of (12), purchase

intention can be influenced by perceived quality and satisfaction. Thus, a manager must

understand the important role of perceived quality and satisfaction to predict consumer

purchase intention. The higher the value of consumer perceptions of brand quality, the greater

the intention of a consumer to buy the brand. According to the research of (13), there are 3

variables that influence purchase intention, namely brand awareness, brand image, and

perceived quality. The greater the influence of brand awareness variables, brand image and

perceived quality, the greater the consumer's purchase intention.

Brand Awareness

Brand awareness is the ability of consumers to recognize or recall that a brand is part of a

particular product category. Brand awareness refers to whether consumers can remember, or

recognize a brand, or only know the brand (14). (15) described brand awareness as one of the

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Archives of Business Research (ABR) Vol. 9, Issue 12, December-2021

Services for Science and Education – United Kingdom

important elements of brand equity in building a brand so that it can ensure a brand is known

by consumers and knows where a brand can compete. According to (16), brand awareness is

the ability of consumers to recognize or recall easily a brand when thinking about a particular

product category. (17) argued that the most important aspect of brand awareness is the first

information in the consumer's memory.

(18) argued that brand awareness has a major influence on brand loyalty and has an effect on

purchase intention. Previous research has shown a positive relationship among brand

awareness, brand loyalty and purchase intention (19); (20); (21); (22); (23). Based on the

explanation above, the proposed hypotheses are as follow:

H1: Brand awareness has positive influence on brand loyalty

H2: Brand awareness has positive influence on purchase intention

Brand Association

Brand associations are all impressions that arise related to consumers' memories of a brand.

Brand association reflects the image of a brand on certain impressions in terms of habits,

benefits, product attributes, prices, competitors, etc. (14). Brand associations can help

consumers and give them reasons to buy in terms of brand attributes and benefits to help them

make purchasing decisions (24). This is based on (19) which assumed that brand associations

are positively related to brand loyalty and purchase intention. (25); (26) also proved a positive

relationship between brand association and brand loyalty. Based on the explanation above, the

research hypotheses to be tested is as follow:

H3: Brand association has positive influence on brand loyalty

H4: Brand association has positive influence on purchase intention

Perceived Quality

Perceived quality is another dimension of brand value which is very important for consumers

to choose goods and services to buy. Product quality is the company's most important resource

to achieve competitive advantage (27). A high perception of quality indicated that consumers

have found the differences and advantages of the product with similar products after going

through a high period of time. (28) stated that perceived quality is a component of brand value,

therefore a high perceived quality will encourage consumers to prefer the brand over

competitors. Previous research has proven that perceived quality has a positive relationship

with brand loyalty (19); (29); (30); and purchase intention (19); (13); (31). Based on the above,

the development of the hypothesss are as follow:

H5 : Perceived quality has positive influence on brand loyalty

H6 : Perceived quality has positive influence on purchase intention

Brand Loyalty

Brand loyalty arises from the perception and love of a brand, which affects the relationship

between consumers and a brand (14). Brand loyalty shows customer loyalty to a particular

brand with a high level of commitment and intends to continue to buy it in the future if

consumers need it (32). (33) stated that there must be something attractive about a brand that

encourages consumers to continue to buy the product without comparing themselves to

competing brands. Previous research has shown that brand loyalty has no significant effect on

purchase intention. (19) assumed that consumers who are satisfied with Richeese's products