See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/356635290

A Study on The Effect of Price On Consumer Purchase Decision-Making

Conference Paper · September 2021

CITATIONS READS

0 1,043

1 author:

Cagatay Akdogan
Trakya University
21 PUBLICATIONS   27 CITATIONS   

SEE PROFILE

All content following this page was uploaded by Cagatay Akdogan on 30 November 2021.

The user has requested enhancement of the downloaded file.

XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

A Study on The Effect of Price On Consumer Purchase Decision-Making

Ph.D. Research Assistant, Çağatay AKDOĞAN1

1
Trakya University, Economics and Administrative Sciences Faculty, Department of Business Administration,
cagatayakdogan@trakya.edu.tr, ORCID: 0000-0003-0147-6468
Abstract: The price of a product plays an important role in consumer preferences as well as being an important element of
the marketing mix. Price can affect the product's value, the perceived quality of the product, and the choice between
different alternatives in terms of consumers. The fact that the price is so effective in consumer preferences and purchasing
processes of consumers constitutes the starting point of the research. In this context, the study aims to reveal how the
product's price can affect the purchase decision processes of consumers. For this purpose, two different groups, each
consisting of 50 people, were created by random placement using the convenience sampling method. The same products
were offered to people in these groups at different prices and with varying payment methods, and it was tried to reveal
which products the participants preferred to buy. First of all, both groups were asked to choose from two laptops brands
(non-existent brands) with very similar technical specifications but different prices. Then the participants were asked which
of the small-medium-large sizes of popcorn they would choose, which had different prices between the two groups. Finally,
in the third and final product used, the participants were asked how much they price a headphone with its technical
specifications and pictures. In one of the groups, besides the headphone image, texts stated the credit card picture and the
possibility of paying an installment. In contrast, the other group did not include the credit card text and pay an installment
facility. Finally, asked questions about the socio-demographic characteristics of the participants. The answers given by the
participants were analyzed with independent sample t-test and chi-square tests. In the analysis results, it was determined
that socio-demographic variables did not make a difference in product preferences and eliminated other possible variables
other than the price variable. As a result of the research, it was stated that the cheaper one was preferred out of two
laptops with very close technical features because the participants did not want to pay more for similar features. In the
popcorn experiment, offered small-medium-large size popcorn options to two groups at different prices. As a result of the
chi-square test, there is no statistical difference between the groups, but it is seen that small size popcorn is more preferred
when the price decreases. In the headphone experiment, the participants determined approximately 78% higher value for
the headphone in the image credit card and installments facility than the other image. Within the framework of these
results, it is seen that the price variable and payment options in different product categories are critical in the consumer
purchase decision-making process.
Keywords: Consumer Purchase Decision-Making, Price, Price-Quality Perception, Decoy Effect, Credit Card.
Özet: Bir ürünün fiyatı önemli bir pazarlama karması elemanı olmanın yanında tüketici tercihlerinde önemli bir rol
oynamaktadır. Fiyat tüketiciler açısından ürüne biçilen değeri, ürüne yönelik algılanan kaliteyi, farklı alternatifler arasındaki
seçim tercihlerini etkileyebilmektedir. Fiyatın tüketici tercihlerinde ve tüketicilerin satın alma süreçlerinde bu denli etkili
olması araştırmanın çıkış noktasını oluşturmaktadır. Bu çerçevede araştırmanın amacı, ürün fiyatının tüketicilerin satın alma
karar süreçlerine nasıl etki edebileceğini ortaya çıkartılmasıdır. Bu amaçla kolayda örnekleme yoluyla 50’şer kişiden oluşan
iki farklı grup rastgele atama yoluyla oluşturulmuştur. Bu gruptaki kişilere aynı ürünler farklı fiyatlarla ve farklı ödeme
şekilleriyle sunularak katılımcıların hangi ürünleri satın almayı tercih ettikleri ortaya çıkartılmaya çalışılmıştır. İlk olarak iki
gruba da birbirine çok yakın teknik özellikleri olan fakat fiyatları farklı olan iki laptoptan markasından (gerçekte var olmayan
markalar) hangisini seçecekleri sorulmuştur. Daha sonra katılımcılara iki grup arasında farklı fiyatlara sahip olan küçük-orta-
büyük boylardaki patlamış mısırlardan hangisini seçecekleri sorulmuştur. Kullanılan üçüncü ve son üründe ise teknik
özellikleri ve resmi gösterilen bir kulaklığa ne kadar değer biçtikleri sorulmuştur. Gruplardan birinde kulaklık görselinin
yanında kredi kartı resmi ve taksit imkanını belirten yazılar yer alırken, diğerinde kredi kartına ve taksit imkanı yazısına yer
verilmemiştir. Bunun yanında son olarak katılımcıların sosyo-demografik özelliklerine yönelik sorular yöneltilmiştir.
Katılımcıların vermiş oldukları yanıtlar Bağımsız Örneklem T-Testi (independent sample t test) ve Ki-Kare Testleri ile analiz
edilmiştir. Analiz sonuçlarında sosyo-demografik değişkenlerin ürün tercihleri üzerinde bir farklılık yaratmadığı belirlenerek
fiyat değişkeni dışındaki diğer olası değişkenler elimine edilmiştir. Araştırma sonucunda teknik özellikleri birbirine çok yakın
olan iki laptoptan daha ucuz olanının tercih edildiği, bunun nedeni ise katılımcılar tarafından benzer özellikler için fazla para
ödenmesinin istenmemesi olarak ifade edilmiştir. Patlamış mısır deneyinde ise iki gruba küçük-orta-büyük boy patlamış
mısır seçenekleri farklı fiyatlarda sunulmuştur. Ki-kare testi sonucunda gruplar arasında istatistiksel anlamda bir farklılık
görülmemekle birlikte küçük boy patlamış mısırın fiyatı azaldığında daha çok tercih edildiği görülmektedir. Kulaklık
deneyinde ise katılımcılar kredi kartı ve taksit imkanın yer aldığı görseldeki kulaklığa, diğer görseldekine göre yaklaşık
%78’lik daha yüksek değer belirlemişlerdir. Bu sonuçlar çerçevesinde farklı ürün kategorilerinde fiyat değişkeninin ve ödeme
seçeneklerinin tüketici satın alma karar sürecinde oldukça önemli olduğu görülmektedir.
Anahtar Kelimeler: Tüketici Satın Alma Karar Süreci, Fiyat, Fiyat – Kalite Algısı, Decoy Efekt, Kredi Kartı.

285
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

1. INTRODUCTION
Research on consumer behavior generally covers areas such as consumer psychology, sociology, marketing,
and economics. In this context, the purchasing decision processes of consumers attract the attention of
researchers in terms of both marketing and psychology. A buyer's stage when choosing between alternative
products or services is defined as the consumer decision-making process (Amanah et al., 2018). There are many
models of consumers' purchasing decision processes. The most well-known of these models about the
purchasing decision processes of consumers is the EKM model developed by Engel - Kollat - Miniard (EKM). The
model, which considers consumers' purchasing decision processes as a problem-solving process, consists of the
stages of recognizing needs, collecting information, evaluating alternatives, purchasing decisions, and post-
purchase evaluation. The products' features, quality, and price are essential when collecting information,
evaluating the alternatives, and making the purchasing decision. Especially while assessing options, the price
that can be accepted by consumers (consumers' willingness to pay) and the product's price are significant. For
this reason, the features, fees, and payment options of alternative products play an essential role in the
consumer purchasing decision process.
In the study, created different scenarios for three different products to determine the effect of the price
variable in the consumer decision-making process. Since the sample of the research consisted of university
students, the products that they could request were selected and included in the study’s design. Especially the
transition to the distance education model due to the pandemic has increased the demand for laptop
computers and computer technologies. For example, compared to the first three quarters of 2019, the
turnover of desktop and laptop computers in 2020 reached 51 billion dollars from 45 billion dollars worldwide,
growing by about 20%. In Turkey, laptop and desktop computer sales increased from 524 thousand to 952
thousand in the same period, while the laptop computer market increased from 305 million dollars to 586
million dollars (GFK, 2020). In addition, although the cinema industry has come to a standstill due to the
pandemic, it is known that the movie theaters were quite full in the pre-pandemic periods. Moreover, it is
known that one of the most important social activity tools of university students is to watch movies in the
cinema. In addition, it is seen that the most critical snack in movie theaters is popcorn, and price variable and
decoy effect researches are generally done on popcorn experiments. For this reason, the impact of the price
variable on the purchasing decision-making process is evaluated through popcorn, laptop, and earphone
products.
2. LITERATURE REVIEW
Price is the only tool that generates income from marketing mix elements for businesses. Therefore, the price
determined for the products by the enterprises is of vital importance in terms of the return of the investments
made by the enterprises. In addition, the price determined by the enterprise is of great importance not only for
the enterprise but also for competitors, suppliers, government bodies, and, most importantly, consumers. In
economic terms, the price can be defined as the amount of money given by the consumer in exchange for
goods or services. In a competitive market environment, the price is accepted as the monetary payment
amount regardless of the quality of the product. In addition, the price can play many economic roles other than
price. Research shows that consumers see price as a quality cue. Also, for some consumers, the price helps to
compare the reference price in an environment where there are different prices for similar products. Thus, in
the reference price approach, consumers determine the retail sales prices as the reference point for the prices
they will determine (Yu et al., 2017). In addition to playing a positive role by perceiving the price as an
indicator of quality, it can also assume a negative role by being perceived as a resource to be protected (Suk et
al., 2012).
While the price is an income-generating factor for the business, it is the most significant cost incurred for the
goods or services for the consumer. Although price is the most critical cost factor for consumers, it is also
considered an indicator of quality. Price becomes a vital quality indicator when consumers do not have enough
information about the quality of the products or when the price is the only available clue. Therefore, the price
has a positive effect on quality. A higher price creates a higher expectation in terms of quality. However, there
are many clues about the quality of the product in actual market conditions. Considering this situation, the
relationship between expected quality and price weakens (Brunsø et al., 2002). Price and purchasing behavior
depends on decision-making options; besides, reasons such as references, price insensitivity, and the high
probability of choosing favorite brands can affect purchasing decision processes. For example, sales promotion
techniques can be an essential tool when two products are equally attractive. In such a case, consumers are
more likely to prefer promotional products. In addition, there are many studies on the effect of price on

286
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

purchasing decision-making (Mohammed and Murova, 2019; Qalati et al., 2019; Auf et al., 2018). These studies
reveal a relationship between various aspects of the price and the consumer purchasing decision process and
that the price can affect the purchase probability positively / negatively.
The price and quality of the product are significant at the stage of making the purchase decision of a product.
Especially today's consumers are very meticulous when making a purchase decision. For this reason, it is
essential to design products and determine the right price. In addition, it is more meticulous in making the
purchase decision for products with outstanding technical features such as laptops. Many studies have been
conducted on the relationship between laptops’ technical features and price and the purchasing decision
(Manandhar, 2021; Prasetyo and Purwantini, 2017; Afrin et al., 2015; Gurleen and Bhandari. 2014). As a result
of these researches, it is revealed that price and product features are significant factors in the purchasing
decision-making process.
Consumers usually evaluate a product according to a specific reference point and make a choice accordingly. In
other words, the evaluation of a product as good may vary according to current conditions. Different
contextual factors can cause context effects by affecting the consumer purchasing decision process. At this
point, we come across the decoy effect, which is a form of the context effect. The decoy effect is defined as the
situation in which the probability of being chosen will change by changing the selection alternatives by adding a
new option to the selection set (Wu et al., 2020). For example, alternatively, A and B brands are available, and
consumers have to choose one. In a situation where the quality of the B brand is quite advantageous in terms
of price, although the quality is lower, the B brand will be preferred more. However, when the C brand is
included in the selection set as a third brand, consumer preferences may change. For example, if the C brand is
closer to the B brand in terms of quality and to the A brand in price, the consumers' preference will shift from
brand B to brand A. In this case, brand C, which is among the alternatives, is called decoy product, and this
product is called decoy effect, which is among the other options. The decoy effect provides essential
information to understand the psychology of consumers. The decoy effect offers clues about how consumers
perceive products and evaluate their quality before purchasing (Zhang and Zhang, 2007). Many studies have
been carried out on the decoy effect (Wu et al., 2020; Trueblood and Pettibone, 2017; Sellers-Rubio and
Nicolau-Gonzalbez, 2015). In the researches, it is seen that in cases where there are two options, new products
that enter the selection set as the third option with different prices and technical features affect the
purchasing-making decision processes.
The price variable is the most flexible marketing mix element for businesses. When determining product prices,
companies pay attention to costs, competitors, and government regulations. In addition, the price determined
by the consumers for the product should also be considered an important variable during the determination of
product prices for businesses. The value that consumers determine for a product, or consumers' willingness to
pay (WTP), is significant for a product or service to develop competitive strategies. The prices that consumers'
willingness to pay can be measured with surveys, open-ended questions, or actual market data (Miller et al.,
2011). In addition, consumers' willingness to pay may differ according to payment terms. Therefore, making
the payment by cash or credit card can change the consumers' willingness to pay. However, when the
researches on this subject are examined, it is seen that the option of paying by credit card increases
consumers' willingness to pay. In researches on payment methods, it is seen that the consumers' willingness to
pay increases when shopping with cash or credit/debit card. Moreover, because paying by credit card creates
lower pain of paying, that is, the dissatisfaction or pain that may arise from the act of making a direct and
immediate payment is reduced (Boden et al., 2020; Prelec and Simester, 2001). For this reason, making the
payment or money outflow at a later date and in smaller amounts by dividing it allows to alleviate and
postpone the said pain. In addition, the decrease in pain may cause an increase in the willingness to pay level
during the purchase.
When we look at some of the researches on price, it is seen that price has a significant effect on the purchasing
decision-making process. In addition, it is seen that criteria such as the technical features of the product, the
prices of other alternative products, and the payment terms are also effective in the purchasing decision-
making process concerning the price.
3. DETAILED DESIGN AND IMPLEMENTATION OF THE EXPERIMENT
The universe of this study, which investigates the effect of price on the purchasing decision process, consists of
undergraduate students. For this purpose, two groups consisting of 50 undergraduate students were
determined by random assignment using the convenience sampling method. In the study, the products to be

287
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

presented to the students were determined as laptop, popcorn, and headphone, taking into account their
needs and habits.
In the researches, it is seen that the price is an essential factor in the decision to buy a mobile phone. In
addition, it has been found that the most crucial point for consumers when purchasing electronic products
such as mobile phones is the technical features of the products (Sata, 2013; Saif et al., 2012). Since price and
quality variables play an essential role in the purchasing decision process, the participants were asked which
laptop they would choose from two laptops with very similar technical specifications but different prices.
Studies show that familiar products affect price-quality perception and that familiar brands are more likely to
be purchased even if their prices are higher (Yu et al., 2017; Das, 2015). In order to eliminate this effect, non-
existent brands have been used. Thus, it was tried to determine to what extent the participants' perception of
high price/high quality was valid.
The decoy effect has been used in many products, from snacks to electronic goods, and is an important
marketing tool that affects consumers' choices. For this reason, it is seen that the inclusion of new alternatives
in the existing product set affects purchasing preferences. Unlike the decoy effect, it did not include a new
product in the alternative product set in this study. In this context, the participants in group A, consisting of 50
people, were asked which of the small (₺3.5 (Turkish Lira)), medium (₺6), and large (₺7.5) size popcorns they
preferred to buy. Participants in group B were asked which of the small (₺2.5), medium (₺6), and large (₺7.5)
popcorn they preferred to buy. In this part of the study, the prices of existing products were changed. Thus, it
was tried to examine whether there was a difference in product preferences or not, only within the framework
of the price change.
In the third part of the study, asked an open-ended question to the participants about how much they were
willing to pay for a headset with some technical features for phone calls and listening to music. In addition to
the product price, payment methods and payment options also affect the purchasing decision process. For this
reason, the participants in group A were asked how much they were willing to pay only for the product that
includes the brand and technical features of the headset. The same product was presented to the participants
in group B by adding a credit card image and a text with 12 installments. In this case, they were asked how
much they were willing to pay for the product. Thus, it will be revealed whether the credit card picture and the
possibility of paying installments in the product affect the consumers’ willingness to pay.
4. RESULTS AND DISCUSSION
In this part of the study, the answers given by the participants are analyzed with the appropriate statistical
methods, and the results are evaluated.
4.1. Statistical Characteristics of Sample
A total of 100 people participated in the experiment, of which 41 were women, and 59 were men. In addition,
it is seen that the average age of the participants is about 20. Furthermore, it is seen that the average monthly
income of the participants is ₺1,482 and their average monthly expenditure is ₺1,310. At the same time, when
Table 1 is examined, it is seen that there is not a big difference in terms of age and gender, and the groups have
a homogeneous distribution.
Table 1. Demographic Characteristics of the Participants
Experimental Group Gender Age Average monthly Average monthly
income spend
Group A (n=50) Female:22 21.04 ₺1,373 ₺1,181
Male:28
Group B (n=50) Female:19 20.76 ₺1,591 ₺1,439
Male:31
Total (n=100) Female:41 20.09 ₺1,482 ₺1,310
Male:59

4.2. Analysis Results

Whether the average monthly income and average monthly expenditure of the participants differ according to
their gender was determined by the independent sample t-test analysis. According to the t-test analysis, while

288
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

the average monthly income of women is ₺1,225 and their average monthly expenditure is ₺1,155, the average
monthly income of men is ₺1,576, and their average monthly expenditure is ₺1,417.
Table 2. Independent Sample T-Test for Income and Expenditure
Gender N Mean Std. Deviation Levene's p
Test
Average monthly income Female 41 1,224.63 527.144 .086 .014*
Male 59 1,576.86 781.562
Average monthly expenditure Female 41 1,155.37 592.681 .291 .051
Male 59 1,417.97 693.312
*
p<0.05
In the independent sample t-test analysis, it is seen that Levene's test values are greater than .05, and thus the
variances are homogeneously distributed. As a result of the investigation, it is seen that the monthly average
income level statistically different between the gender (p < .05) in the 95% confidence interval, and men have
more income than women. In addition, it was found that the monthly average expenditure level didn’t differ
according to gender (p > .05).
Whether there was a difference between the two experimental groups (group A and group B) regarding the
related variables was revealed with the help of the independent sample t-test.
Table 3. Independent Sample T-Test Between Experimental Groups
Variables N Mean Std. Deviation Levene's Test p
Popcorn like Group A 5.54 3.005 .307 .463
Group B 5.12 2.685
Age Group A 21.04 1.370 .256 .384
Group B 20.76 1.802
Income Group A ₺1,373.50 542.020 .069 .051
Group B ₺1,591.40 815.951
Expenditure Group A ₺1,181.40 597.105 .551 .052
Group B ₺1,439.20 706.627
*
p<0.05
When the popcorn liking levels of the participants are evaluated according to the semantic difference scale of
"1-I don't like it, 10-I like it very much", it is seen that the average of the participants in group A is 5.54 and the
average of participants in group B is 5.12. As a result of the independent sample t-test, there is no statistically
significant difference between the popcorn liking levels of the two groups in the 95% confidence interval since
the p > .05. Thus, it is revealed that the individuals in the two experimental groups don’t differ in their
enjoyment of watching movies with popcorn in the cinema, and they like popcorn at a "moderate" level.
Popcorn liking levels of the two experimental groups do not differ from each other, and a moderate popcorn
liking level is observed. For this reason, it is seen that the level of liking for popcorn doesn’t make a difference
in choosing popcorn, but only the price options make a difference. Thus, it is thought that the only variable in
the popcorn options to be selected is the price, and other possible effects are eliminated.
Whether there was a difference between the experimental groups in terms of age, average monthly income,
and average monthly expenditure levels determined by independent sample t-test analysis. As a result of the
analysis, there is no statistical difference between the experimental groups between age (p > .05), monthly
average income levels (p > .05), and monthly average expenditure levels (p > .05) at the 95% confidence
interval. Within the framework of these results, it is revealed that the demographic variables of the individuals
in the experiment don’t make a difference in their product and price choices. Thus, it is seen that the main
determining factors in the products to be selected by the participants are the prices, credit card images, and
the possibility of installments, and other possible variables are excluded from the experiment. Thus, it is seen
that the consumer preferences, which is the dependent variable, are affected by the independent variable, the
price variable, and there is a cause-effect relationship between the two variables. The internal validity of the
study is ensured by excluding exogenous variables and randomly assigning the subjects to the groups.

289
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

Laptop Research
The brands, technical specifications and prices of the laptops shown to the individuals in Group A and Group B
are the same. For this reason, no difference is expected in the laptop selection of the subjects in different
groups. However, the results of the Chi-Square test analysis are given in Table 4.
Table 4. Chi-Square Tests for Laptop Choice
Groups Brand
Meron Rexa Total Pearson Chi-Square
Group A 40 10 50
Group B 32 18 50 .075
Total 72 28 100
*
p<0.05
Figure 1. Laptop Test Result

50
40
30
20
10
0
Group A Group B

Meron Rexa

In the experimental design, while the price of the "Meron" brand laptop was ₺1,199, the price of the "Rexa"
brand laptop was determined as ₺1,499 and created a price difference of ₺300. When we look at the technical
specifications of the laptops, the processor speed of the Meron brand laptop is 2.3 GHz, while the Rexa's 2.4
GHz; the weights of the laptops were determined as 1.94 kg (Meron) and 1.84 kg (Rexa). Apart from these, no
difference has been made in laptops. According to the Chi-Square test results, there is no significant difference
between the laptop choices of the individuals in the two experimental groups at the 95% significance level (p >
.05). It is seen that 80% of the participants in the A group and 72% of the participants in the B group chose the
"meron" brand laptop, which has a lower price. However, 20% of the participants in group A and 28% of the
participants in group B prefer the more expensive "rexa" brand laptop. When the participants were asked the
reasons for choosing the laptops they prefer, it is seen that the majority of those who prefer the "Meron"
brand prefer this brand because it is "cheaper." Those who prefer the Rexa brand think this brand is "higher
quality" and "lighter." As a result of these preferences, it is seen that the cheaper one in terms of price is
chosen among the brands that have similar features to each other. The reason for choosing the more expensive
brand is that it is perceived as better quality due to the price, and it is lighter in weight. Both brands are non-
existent, and designed by the researcher eliminates factors such as familiarity and trust with real brands.
Popcorn Research
In the section asking about preferences for popcorn, a change was made only in the price of the small corn
option in group B, and no difference was made in product sizes or other variables. The Chi-Square test was
used to analyze whether there was a difference between the experimental groups within the framework of the
answers given by the participants. The results of the Chi-Square test analysis are shown in Table 5.
Table 5. Chi-Square Tests for Popcorn Choice
Popcorn Option Groups
A B Total Pearson Chi-Square
Small 15 20 35
Medium 21 18 39 .577
Large 14 12 26

290
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

Total 50 50 100
*
p<0.05
Figure 2. Popcorn Test Result

25

20

15

10

0
Group A Group B

Small Medium Large

As a result of the analysis, no statistically significant difference was found between the popcorn preferences of
the individuals in the experimental groups (p > .05). Although there is no statistical difference between groups,
it is seen that the participants in group B prefer small size popcorn compared to the participants in group A.
While medium size popcorn worth ₺6 in group A is seen as more rational, small size popcorn worth ₺2.5 in
group B is perceived as more rational due to the price change.
Headphone Research
In the part of the study related to the appraised value of the earphones, it was examined whether the credit
card and installment facility made a difference in the value of the product.
Table 6. Independent Sample T-Test for Headphone
Variables N Mean Std. Deviation Levene's Test p
Headphone price Group A ₺127.74 88.905 .031 .034*

Group B ₺225.10 357.961

*
p<0.05
Figure 3. Headphone Test Result

250

200

150

100

50

0
Group A Group B

Price

Whether there was a difference between the prices that the participants in two different groups were willing to
pay for the headphone was determined by the independent sample t-test. As a result of the analysis, it is seen
that there is a statistically significant difference in the 95% confidence interval between the price that the
subjects in group A and group B are willing to pay for the headphone (p < .05). According to this result, the
participants agree to pay an average of ₺127 only for the product in the image, which includes the headphone
and their technical features. On the other hand, participants agree to pay ₺225, approximately ₺100 more, for
the product in the photo, which also consists of a credit card and installment facility. Therefore, considering the

291
XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

t-test results showing that other demographic variables do not affect the participants' choices, it is seen that
the "credit card" image and the "installment facility" encourage the participants to pay more.
5. CONCLUSIONS AND RECOMMENDATION
This study shows that electronic products where technical features such as laptops are essential, can prefer
cheaper ones with similar features. In addition, it is thought that the more expensive product is of better
quality cannot deny the perception. It is seen that there is a consumer profile willing to pay more money due to
the lightness of the laptop. For this reason, it is recommended that lighter products can be preferred despite
the price difference, and laptop manufacturers should pay attention to this issue.
The inclusion of a new product among alternative products affects the choice of consumers. However, there
are few studies on how the changes in the prices of the same products can affect selection preferences. As in
this study, it is thought that small changes in the prices of products (water, soft drinks, carbonated beverages,
cleaning materials, etc.) that can be offered in various sizes can create significant differences in consumers’
preferences and, therefore in the incomes of businesses. At this point, it is seen that managers and decision-
makers can make changes in consumer preferences by launching products of different sizes and prices.
The presence of credit card images in product promotions, brochures, and advertisements and the possibility
of installments by credit card may cause consumers’ willing to pay more money for products. This situation,
which may be beneficial for businesses, is an issue that should be well-considered for consumers because
overestimating a product can cause more money to be spent.
Throughout the research, it is seen that price and payment conditions are highly effective variables in
consumer purchase decision-making, and the generalizability of the results to other goods and services is quite
limited. For this reason, it is recommended that further studies be carried out with more different products,
different price options and wider participation.
REFERENCES
Afrin, F., Khan, F., & Islam, R. (2015). Impact of the influential factors on laptop buying decision: A study on the students of
banglades. Asian Journal of Research in Social Sciences and Humanities, 5 (7), 116-124.
Amanah, D., Hurriyati, R., Gaffar, V., Layla, A. A., & Harahap, D. A. (2018). Effect of price and product completeness to
consumer purchase decision at Tokopedia. com. In Proceedings of the 2nd Global Conference on Business, Management
and Entrepreneurship 2017 (Vol. 1, pp. 34-37).
Auf, M. A. A., Meddour, H., Saoula, O., & Majid, A. H. A. (2018). Consumer buying behaviour: The roles of price, motivation,
perceived culture importance, and religious orientation. Journal of Business and Retail Management Research, 12 (4),
177-186.
Boden, J., Maier, E., & Wilken, R. (2020). The effect of credit card versus mobile payment on convenience and consumers’
willingness to pay. Journal of Retailing and Consumer Services, 52, 101910.
Brunsø, K., Grunert, K. G., & Fjord, T. A. (2002). Consumers' food choice and quality perception (Vol. 77). MAPP, Center for
markedsovervågning,-vurdering og-bearbejdning til fødevaresektoren.
Das, G. (2015). Linkages between self-congruity, brand familiarity, perceived quality and purchase intention: A study of
fashion retail brands. Journal of Global Fashion Marketing, 6(3), 180-193.
GFK (2020). GfK TEMAX® Turkey 2019 Fourth Quarter Results, https://cdn2.hubspot.net/hubfs/2405078/cms-
pdfs/fileadmin/user_upload/dyna_content/tr/gfk_temax_q4_2019_basin_bulteni_tr.pdf 06.07.2020.
Gurleen, K., & Bhandari, P. (2014). Customer satisfaction and factors influencing the purchase decisions of notebook
computers in Punjab. Journal of Research in Marketing, 2(1), 205-211.
Manandhar, R. B. (2021). Buying decision of laptop at collage level students. American Journal of Multidisciplinary Research
& Development (AJMRD), 3(03), 22-27.
Miller, K. M., Hofstetter, R., Krohmer, H., & Zhang, Z. J. (2011). How should consumers’ willingness to pay be measured? An
empirical comparison of state-of-the-art approaches. Journal of Marketing Research, 48(1), 172-184.
Mohammed, R., & Murova, O. (2019). The effect of price reduction on consumer's buying behavior in the US differentiated
yogurt market. Applied Economics and Finance, 6(2), 32-42.
Prasetyo, E. T., & Purwantini, S. (2017). An influence analysis of product quality, brand image, and price on the decision to
buy toshiba laptop (a study on students of economics faculty of semarang university). Economics and Business Solutions
Journal, 1(2), 11-18.
Prelec, D., & Simester, D. (2001). Always leave home without it: A further investigation of the credit-card effect on
willingness to pay. Marketing letters, 12(1), 5-12.
Qalati, S., Yuan, L., Iqbal, S., Hussain, R., & Ali, S. (2019). Impact of price on customer satisfaction; mediating role of
consumer buying behaviour in telecom sector. International Journal of Research, 6(4), 150-165.
Saif, N., Razzaq, N., Amad, M., & Gul, S. (2012). Factors affecting consumers’ choice of mobile phone selection in
Pakistan. European Journal of Business and Management, 4(12), 16-26.

292
 XVI. IBANESS Congress Series on Economics, Business and Management – Istanbul / Turkey September 11-12, 2021
XVI. IBANESS İktisat, İşletme ve Yönetim Bilimleri Kongreler Serisi – İstanbul / Türkiye 11-12 Eylül 2021

Sata, M. (2013). Factors affecting consumer buying behavior of mobile phone devices. Mediterranean Journal of Social
Sciences, 4 (12), 103.
Sellers-Rubio, R., & Nicolau-Gonzalbez, J. L. (2015). Testing the decoy effect in the presence of store brands. International
Journal of Retail & Distribution Management, (43)2, 113-125.
Suk, K., Lee, J., & Lichtenstein, D. R. (2012). The influence of price presentation order on consumer choice. Journal of
Marketing Research, 49 (5), 708-717.
Trueblood, J. S., & Pettibone, J. C. (2017). The phantom decoy effect in perceptual decision making. Journal of Behavioral
Decision Making, 30(2), 157-167.
Wu, L., Liu, P., Chen, X., Hu, W., Fan, X., & Chen, Y. (2020). Decoy effect in food appearance, traceability, and price: Case of
consumer preference for pork hindquarters. Journal of Behavioral and Experimental Economics, 87, 101553.
Yu, L., Gao, Z., Sims, C., & Guan, Z. (2017). Effect of price on consumers’ willingness to pay: is it from quality perception or
price anchoring?. Agricultural & Applied Economics Association Annual Meeting, July 30-August 1, Chicago, Illinois.
Yu, U. J., Cho, E., & Johnson, K. K. (2017). Effects of brand familiarity and brand loyalty on imagery elaboration in online
apparel shopping. Journal of Global Fashion Marketing, 8(3), 193-206.
Zhang, T., & Zhang, D. (2007). Agent-based simulation of consumer purchase decision-making and the decoy effect. Journal
of Business Research, 60 (8), 912-922.

293

View publication stats