MARKETING RESEARCH PAPER

GROUP 1

PURCHASE
INTENTION
OF
LUXURY
PRODUCT
TABLE OF
CONTENT
01 INTRODUCTION

02 LITERATURE VIEW

03 METHODOLOGY

04 ANALYSIS AND DISCUSSION

05 CONCLUSION
BACKGROUND
OF STUDY

According to Euromonitor International's report on

"Luxury Goods in Malaysia" (2020), the Malaysian
luxury market was valued at MYR 3.7 billion in
2019, with diverse product categories, including
fashion, watches, jewellery, automobiles, and
high-end technology.
 PROBLEM STATEMENT

The table shows that Singapore, Thailand, Indonesia, Malaysia, and Vietnam have different sizes
and growth rates in their luxury goods markets. Malaysia's market is smaller than those of
Singapore, Thailand, and Indonesia, but it is growing steadily
 THE THEORY OF LUXURY
VALUE PERCEPTION
Luxury value perception refers to how consumers
subjectively evaluate and perceive the value
associated with luxury goods. It encompasses four
dimensions: perceived financial value, individual
value, social value, and functional value.
VALUE - BELIEF - NORM
THEORY (VBN)
The VBN theory uses an ecological point of view to
provide light on a person's sustainable and
environmental behaviour. It is assumed that when
people become more conscious of how their
actions affect the environment, they are more likely
to incorporate this understanding into their beliefs
and act in a way that is both responsible and
informed.
RESEARCH FRAMEWORK
FUNCTIONAL VALUE PERCEPTION

FINANCIAL VALUE PERCEPTION

INDIVIDUAL VALUE PERCEPTION

PURCHASE
SOCIAL VALUE PERCEPTION INTRENTION OF
LUXURY
PRO-ENVIRONMENTAL SELF IDENTITIY PRODUCT

CUSTOMER PRO-ENVIRONMENTAL

H1 Functional Value Perception have a relationship with Purchase Intention of Luxury Product.
H2 Financial Value Perception have a relationship with Purchase Intention of Luxury Product.
H3 Individual Value Perception have a relationship with Purchase Intention of Luxury Product.
H4 Social Value Perception have a relationship with Purchase Intention of Luxury Product.
H5 Pro-Environmental Self Identitiy have a relationship with Purchase Intention of Luxury Product.
H6 Customer Pro-Environmental have a relationship with Purchase Intention of Luxury Product.
 METHODOLOGY
RESEARCH DESIGN POPULATION & SAMPLE DATA PROCEDURE & TECHNIQUE

THE RESPONDENTS IS MALAYSIAN WHO

SURVEY QUESTIONAIRE
INTERESTED WITH LUXURY PRODUCT
QUANTITATIVE STUDY POPULATION: 34.30 MILLION ONLINE WEB BASED (GOOGLE
SAMPLE SIZE: 146 (G-Power) FORM)
SUBJECT: 150
UNIT ANALYSIS: MALAYSIAN
 S I S REALIBILITY

L Y
N A DEMOGRAPHIC

A A DATA CLEANING AND PREPARATION

A T NORMALITY AND OUTLIER

D
COMMON METHOD VARIANCE

HYPOTHESIS TESTING
REALIBLITY TEST
Determined variable that
consistently make the
correlation analysis

INDICATOR Functional Value Perception

POOR = LESS THAN 0.06
MODERATE = 0.6 TO LESS THAN 0.7
GOOD 0.7 TO 0.8
VERY GOOD = 0.8 LESS THAN 0.9
EXCELLENT = GREATER THAN 0.9
Financial Value Perception
Individual Value Perception
Social Value Perception
Pro-Environmental Self-Identity
Customer Pro-Environmental
 Descriptive analysis on
Demographic Profile
DEMOGRAPHIC
MIN MAX MEAN STD. DEVIATION

Functional Value Perception 4.00 21.00 15.4741 4.01272

Financial Value Perception 7.00 28.00 21.8519 4.26285

Individual Value Perception 4.00 21.00 16.1037 3.89465

Social Value Perception 10.00 42.00 29.8815 8.00751

Pro-Environmental Self-Identity 3.00 21.00 13.7926 4.56478

Customer Pro-Environmental 6.00 21.00 15.1111 3.84527

Purchase Intention on Luxury Product 5.00 35.00 24.6519 6.44531

 MISSING DATA ANALYSIS

DATA CLEANING
MISSING AND
DUPLICATE DATA

Missing data occurred when a

respondent did not answer all
question in the questionnaire DUPLICATE DATA ANALYSIS
survey for several reasons such
as the respondents did not
understand the question, did not
know the right answer for the
question or refused to answer
the question
 NORMALITY
TEST
Based on value of
Skewness and Kurtosis

Normal: value of
skewness and kurtosis
is less than ± 2.58 at
0.01 significance level
or ± 1.96 at 0.05
significance level.
COMMON METHOD
VARIANCE

Cumulative value
more than 50 = not
accepted

Cumulative value less

than 50 or equal to 50
= accepted
CORRELATION
TABLE

Relationship between 6
independent variable
and dependent variable.

All 6 independent
variable shows a
significant relationship
between dependent
variable.
 MODEL SQUARE

HYPOTHESIS
TESTING

MODEL SQUARE
R Square COEFFICIENT

INDICATOR
P value < a (0.05) = Significant
P value > a (0.05) = Not Significant
 Functional Value Perception (H1) : There is no
significant relationship between Functional Value
Perception with Purchase Intention of Luxury
HYPOTHESIS Product (not accepted)

TESTING Financial Value Perception (H2) : There is no

significant relationship between Financial Value
Perception with Purchase Intention of Luxury
Product (not accepted)

Individual Value Perception (H3) : There is

significant relationship between Individual Value
Perception with Purchase Intention of Luxury
Product (Accepted)

Social Value Perception (H4) : There is significant

relationship between Social Value Perception with
Purchase Intention of Luxury Product (Accepted)

Pro-Environmental Self-Identity (H5) : There is no

significant relationship between Pro-Environmental
Self-Identity with Purchase Intention of Luxury
Product (not accepted)

Customer Pro-Environmental (H6) : There is

significant relationship between Customer Pro-
Environmentalwith Purchase Intention of Luxury
Product (Accepted)
 FINDINGS RESULTS
Accepted
Social Value Perception
Canguende-Valentim (2022)

Not accepted
Financial Value Perception
(Reyes-Menendez et al.
(2022)
THEORETICAL IMPLICATION

FUNCTIONAL VALUE FINANCIAL VALUE

PERCEPTION PERCEPTION

PRO-ENVIRONMENTAL
SELF IDENTITY
3
 PRACTICAL IMPLICATION

EXCLUSIVITY AND SCARCITY

Creating an exclusive and rare image for luxury goods

BRAND CONNECTIONS
Building strong brand connections involves crafting compelling stories
and values, communicated through various marketing channels

INFLUENCER PARTNERSHIP
Collaborating with influencers who embody the brand's ideals
contributes to raising social worth.
 LIMITATION AND
RECOMMENDATION
LIMITATION
Respondent are not comfortable to share
about their luxury purchase.

RECOMMENDATION
Teaming up with local influencers
enhances the social value perception of
luxury brands.
CONCLUSION
 THANK YOU

PURCHASE INTENTION
Marketing Research | MKT537
OF LUXURY PRODUCT