Consumer Considerations In Choosing A Place to Buy: Reducing Observation Factors to Form New Factors

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Published on International Journal of Economics & Business
ISSN: 2717-3151, Volume 1, Issue 1, page 140 – 146
Publication Date: 5 October 2018

Lingga Kencana
University of Jember
Jember, Indonesia

Journal Full Text PDF: Consumer Considerations In Choosing A Place to Buy: Reducing Observation Factors to Form New Factors.

This research aims to determine and analyze the factors considered by consumers in choosing a place to buy. The research variable is observation variable. Research analysis is a factor analysis that serves to reduce and summarize certain factors into new factors. The findings shows that out of 15 variables used as research indicators, 4 new factors are formed as the consumer considerations in choosing a place to buy. Factor 1, is food taste factor with its forming variable consists of food taste, opening hours, speed of presentation time, and location. Factor 2, is the cafe reputation factor with its forming variables consists of service hospitality, relatives recommendation, and cafe reputation. Factor 3, is adequate facilities factor with its forming variable consist of price, adequate facilities, and space condition. Factor 4, land and parking lot security factors with its forming variables consists of land and parking lot security and cleanliness of space and equipment.

Keywords: Consumer Considerations, Observation Factors, New Factors.

1. Introduction
The current business development is due to the changing mindset of a dynamic consumer. Thus, understanding the needs of consumers through marketing activities is needed by the company as the basis of ideal customer service. As a lot of companies offer products and services, the consumer has a lot of choices, thus the greater bargaining power (Supranto, 2007:4). Market-oriented thinking is an inevitable necessity. The embodiment of service complexity affects how consumers evaluate the services they purchase (Tjiptono, 2004:97).
One of the profitable business products and services today is cafe restaurant. The selected object is the largest cafe restaurant in Jember Regency, that is Cafe Campus Resto. This cafe restaurant has many customers, because they always succes to make their customers are satisfied. Based on the customers judgement, this cafe resto is good place because of its strategic location, has a spacious space, has a security officer who ensures the customers comfort as well as security of parking vehicles, and a large parking lot making it easier for consumers who come with their personal vehicles. According to Supranto (2007:4), consumers have several different characteristics, where the difference will affect consumer attitudes and behavior in the decision making. Purchasing decisions is the stage of the decision process which the consumer actually purchases the product. Kotler (2008:179) states that the purchase decision process consists of five stages, such as; recognition of needs, search of information, alternative evaluation, purchase decisions, and post-purchase behavior.
The increasing number of cafes and restaurants in Jember Regency demand the cafe managers to manage their business to be consumer-oriented so that the fulfillment of customer needs are always met. The cafe management must be able to realize the needs …….

2. Review Literature
Marketing is the process of managing profitable customer relationships. Two marketing goals are attracting new customers by promising value excellence as well as keeping and growing existing customers by providing satisfaction. Marketing is also the process which the company creates value for customers and builds strong relationships with customers in order to capture the value of customers in return (Kotler, 2008:5).
Consumer behavior is an individual or group action that is directly involved in obtaining and using economic services including the decision-making process that precedes and determines the action (Engel, in Mangkunegara, 2005:3).
The consumer as an object of a marketing activity is a member of various groups, so its behavior will be influenced by several main factors such as; cultural factors, social factors, personal factors and psychological factors (Kotler, 2007:153).
Individual buying decisions are strongly influenced by psychological factors used by consumers in interaction. These factors are also a tool for consumers to recognize their feelings, collect and analyze information, formulate thoughts and opinions, and finally make decisions to purchases ……..