THE CONSUMER BEHAVIOR OF PURCHASING DECISION REGARDING FAST MOVING CONSUMER GOODS IN RURAL AREA CASE RESEARCH: GARUT REGION

• Main Author: Nur Hidayat, Restya
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/78638
• Institution: Institut Teknologi Bandung

Fast Moving Consumer Goods is the products that can easily to find in every day. For example, the FMCG products are food and beverages, home care, cosmetic, skin care, personal care, and so on. FMCG industry in Indonesia has experienced an outstanding growth. However, in 2015 Indonesia only reach 7.4%, and it does not exceed the annual growth in the previous year. It also happened in 2016, the annual growth of FMCG industry is only reaching 5.6%. But, the growth of FMCG industry in Indonesia is better than Asia which only reaches 3%. In the other side, the FMCG industry growth is influenced by the growth of channel distribution whether it is in a rural or urban area. The increasing of channel distribution is the purchasing of FMCG products through traditional market followed by mini market and supermarket. Not only that, although in recent years the annual growth was slowing down, there is research from Euromonitor (global research company). They said that Indonesia would get the proper growth in fifteen years later, and Indonesia will get 40% of ASEAN consumer if Indonesia can resolve the various obstacles. The declining is also influenced by all segment performance. In 2016 almost all segments performance of FMCG product are slowing down. Therefore, this research aims to know the behavioral of society of the rural area in purchasing decision toward FMCG product. This research was conducted by spreading the questionnaire with the targeted respondent is a housewife in Garut region particularly at Kadungora and Leles area. By using the final data from 100 respondents, the analysis data used is Microsoft Excel, SPSS which examines through factor analysis technique and multiple linear regression. The findings from this research have found five factors that can influence to behavioral of society in the rural area in purchasing decision toward FMCG product. Nevertheless, the factor that has the big influence on consumers' purchase decision is product display. Therefore, the findings of this research can be utilized in decision marketing strategy.