CONSUMERS’ UNDERSTANDING AND PURCHASE INTENTION TOWARD HALAL-LABELED COSMETICS: A CASE STUDY IN BANDUNG

• Main Author: INDAH LESTARI 29116105, RIANTI
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/30411
• Institution: Institut Teknologi Bandung

Nowadays, cosmetics becomes an essential and a must-have product for every woman in the world. Indonesia as the 4th largest country by population in the world is having strong growth in cosmetics sector and it becomes one of Indonesia’s fastest growing sectors. Consumers now are faced with a broad selection of cosmetics products and recently the trend of halal cosmetics in Indonesia is on the rise. The issue of cosmetic ingredients makes the consumers begin to pay attention to the halalness of cosmetic products. As the first country with largest Muslim population, halal label becomes an essential symbol for Muslim consumers in Indonesia. However, in the context of cosmetics, there are still many consumers who are not yet aware of halal and do not consider halal label as a necessity for cosmetic products. Thus, this research aims to provide a deeper understanding about the current condition of Muslim consumers toward cosmetic with halal label that would be beneficial to support the halal certification practices that would become mandatory for cosmetic products in Indonesia. <br /> <br /> The study began with analyzing several prior studies as guidance to identify theories and develop hypotheses. This study used both qualitative and quantitative technique. Qualitative research was conducted through netnography, in-depth interview with 5 informants, and two panels of focus group discussion that consists of 6 participants per panel. The research then followed by quantitative research to validate the result from qualitative research and test the hypotheses by spreading online questionnaire to 114 respondents who are female Muslim consumers in Bandung. <br /> <br /> This study revealed that the consumers do not fully understand the concept of halal that covers on cosmetics. They also do not have sufficient knowledge about the halal standards for cosmetics, which ingredients that cause the cosmetics to be halal and non-halal. The consumers perceived cosmetics with halal label have superiority in terms of safety. Meanwhile, if comparing the quality of cosmetics with halal label and without halal label, it seem that many consumers do not perceive that cosmetics with halal label have better quality than those without halal label. The study also revealed that the consumers’ intention to purchase cosmetics with halal label is significantly affected by attitude and social influence with attitude as the highest contributor. The consumers’ perceptions and knowledge about halal significantly influence the consumers’ attitude. The result indicated that perceived quality is the greatest contributor in shaping the consumers’ attitude towards halal-labeled cosmetics followed by perceived safety and knowledge. In addition, religiosity have no moderating effect to the relationship between attitude and intention to purchase cosmetics with halal label. In conclusion, educating consumers is necessary to increase the level of awareness and understanding of halal. <br />