ANALYSIS OF CONSUMER
PREFERENCE IN THE AUTOMOTIVE INDUSTRY IN DETERMINING THE PURCHASE OF COATED ABRASIVE
Sigit Setiawan1, Wan Usman2
Universitas Bina Insani,
Indonesia
[email protected]
|
KEYWORDS Consumer Preferences,
Automotive Industry, Coated Abrasives |
ABSTRACT This study aims to
measure what factors influence consumers in purchasing coated abrasive
products. Then this research also wants to measure consumer preferences in
buying existing brands. The method used in this study is AHP (Analytical
Hierarchy Process) with Expert Choice 2000 software and the data used are
consumers who usually buy these products, respondents taken as many as 20
purchasing managers from the three automotive industries, namely assembly
plant, car body and body. repair. The results showed that: 1) the factors
that influence consumers in purchasing coated abrasive products are: a.
Services with a weight of 28.6%, b. Price with a weight of 25.0%, c. Service
with a weight of 23.5%, d. Quality with a weight of 15.1%, d. Brands with a
weight of 7.8%. 2) Consumer preferences for the two brands studied are the
Matador brand with a preference of 53% and the nikken brand with a preference
of 47%. |
INTRODUCTION
During the period of 10 (ten) years PT.
EKAMANT INDONESIA has been leading the market for coated abrasives for wood
working. Along with the market leader in the field of wood sandpaper, of course
a company wants to expand its business to achieve greater sales (Scott, 2015). The board of
management decides which business line to choose which is not much different
from the business currently being engaged in, namely coated abrasives but for
automotive and metal (Dhameja, Bobek, & Dhameja, 2022). In Indonesia,
it is estimated that the market share of automotive coated abrasives is around
24 billion a year. The market leader in the field of automotive abrasives is
PT. COMETA with NIKKEN products from Japan. Over the last 20 years, 80% of the
automotive industry uses Nikken products, this is certainly a tough challenge
for newcomers to compete with (Natsuda & Thoburn, 2020). Besides being
a good product, changing habits that have been running for 20 years is
certainly not as easy as turning your hand (Natsuda & Thoburn, 2020). Here
newcomers must really have products that are at least the same quality,
competitive prices, good distribution and better service, as well as attractive
promotional packages. And this of course will be homework for the management of
PT. Indonesian Ekamants.
Brand is currently developing into the largest
source of assets for the company. A company operates to gain profit or profits,
also to maintain the viability of its business (Aaker, 2001). To win the
competition, a company is required to carry out a marketing strategy for the
products it produces. In conditions of increasing competition for similar
products and consumer behavior that tends to want to try new brands issued by
competing companies to get satisfaction, more benefits, and satisfy curiosity
about the new brand (Aaker, 2001). Consumers in
choosing a product brand will go through the trial stage first, at this stage
consumers will often try different brands (Macdonald & Sharp, 2000). If it is felt
that the brand is suitable and fulfills what is expected from similar products,
then consumers will continue to look for that brand. A good brand certainly has
a good brand image too. Brand image is a representation of the overall
perception of the brand and is formed from information and past experience of
the brand . Consumers who have a positive image of a brand are more likely to
make a purchase (Mbete & Tanamal, 2020). Product
knowledge is also an important factor that consumers must consider in choosing
a product before making a purchase. Product knowledge is the range of all
accurate information that is stored in the consumer's memory as good as his
perception of product knowledge. Consumers with higher knowledge will be more
realistic in selecting products that match their expectations. Where, the
higher the consumer's knowledge in purchasing a product, the higher the
consumer's ability to make more satisfying choices (Mbete & Tanamal, 2020).
Positive and good brand image and product
knowledge in the minds of consumers will generate an interest in consumer
purchases (Tariq, Abbas, Abrar, & Iqbal, 2017). A purchase
intention is a process in which consumers first evaluate the product they want
before deciding to make a purchase (Zulfikar, Aprianti, & Rachmawati, 2022). Purchase
intention can also occur when a consumer has tried the product he bought.
Because the experience that has been felt provides a positive value, then a
consumer's buying interest will appear again. High consumer purchase interest
will result in a purchasing decision process (Han, 2021; Parasari, Pranajaya, & Maheswari,
2024; Tannady, Sjahruddin, Saleh, Renwarin, & Nuryana, 2022). Purchasing
decisions are consumer preferences for brands in the choice set and consumer
intentions to buy the most preferred brand. Purchasing decisions can be made by
consumers for the product they like because the product is in accordance with
their wishes (Djafarova & Rushworth, 2017).
PT. Cometa with Nikken products from Japan has
been running rampant in the market for 25 years and automotive industry workers
have experienced the pleasure of using Nikken products and so far there have
been no problems. The biggest problem faced by PT. Ekamant Indonesia is a way
to change the habits of workers who have been using Nikken products from Japan
for more than 25 years. PT. Ekamant Indonesia as a newcomer in the automotive
field with Matador products from Germany and Kovax from Japan must work extra
hard and must have a precise strategy so that users want to switch to using
their products. In this study the authors only examined Matador products with
Nikken. Along with the market leader in the field of wood working, PT. Ekamant
Indonesia wants to increase the use of only consumers who can make the biggest
contribution in increasing profit margins, while the development of new
products and new markets has not been carried out so far. Finally top
management decided to look for new products and new markets to increase sales
every year, the product chosen was not far from its current main business,
namely coated abrasives. And the market he chose is the automotive industry
which has a market of 30 billion/year. Assuming it can take just 30% share of
the market, of course it will increase sales by 9 billion/year, this is a
significant figure for current conditions. And of course in the automotive
industry, not only coated abrasives (sandpaper)
can be marketed, but there are still many products such as: patty (putty),
painting, sanding and polishing equipment which have enormous value and are
routine (consumable).
Abrasive blasting is generally used to clean
the steel surface to be painted. Paint applications that were previously
cleaned by Abrasive blasting will have a higher lifespan and significantly
increase the service life of the structure. Abrasive cleaning, in principle,
uses an "impact" event, where high-velocity abrasive particles strike
the steel surface. As a result of this impact, contaminants on the surface such
as rust, scale, dirt, old paint can be removed/moved from the surface. However,
grease or oil cannot be cleaned with this method, so before entering the
blasting process, the contaminants must be removed first using a cleaning
solvent. Solvent cleaning is used to clean surfaces from dirt such as grease,
dust, soil and organic alloys on the surface (Gabrić, Galić, & Timmerman, 2016;
Maravelaki, 2022).
Abrasive cleaning, in principle using an
impact event, high-velocity sand particles strike the surface of the steel (Melentiev, 2023). As a result,
surface contaminants such as rust, dirt, dust and coating marks can be cleaned
from the surface. Besides cleaning the surface, the Abrasive blasting process
also aims to roughen the surface or create a profile. So that the adhesion
between the coating material and the workpiece is maximized (ASCOATINDO, 2007).
And if PT. Ekamant Indonesia already has a network within it, of course it will
be easy to decide on other new products as mentioned above, and will
automatically increase turnover for the company, in order to increase sales,
marketing is needed.
According to Philip Kotler (1997) marketing is a
social process that gives individuals and groups what they need and want by
creating and exchanging products and value with other individuals and groups.
Another definition of marketing is an attempt by corporate organizations to
improve products in the market (Syah, 2024). Other experts
McCarthy and Pereeault stated that marketing means a number of activities
carried out by organizations and at the same time is a social process. Another
definition states that marketing is a process that aims to satisfy the needs
and desires of consumers (Teguh Budiarto and Fandy Ciptono, 2007)
Another definition states that marketing is
the process of planning and implementing design, pricing, promotion and
distribution of ideas, goods and services to create exchanges that meet
individual and organizational goals (Pride et al., 2017). While Warren
J Keegan (2003) states that
marketing is the process of concentrating various resources and goals of an
organization on the opportunities and needs of the environment. This definition
emphasizes that marketing focuses on planning and implementing activities to
meet consumer needs. While the previous definitions limit marketing as a
business activity. This definition is broad enough to show that marketing can
occur in non-business organizations. Philip Kotler (1997) in his book
explains: marketing is a social and
managerial process by which individuals and groups obtain what they need and
want through creating, offering, and exchanging products of value with others.
In other words, marketing efforts must be directed at the intended consumer as
the target market. In this case, the marketing efforts that support the success
of the company must be based on the right marketing concept to be able to
determine a marketing strategy that leads to the intended target.
Implementation of the right marketing strategy
is one of the main keys to always be able to compete in the world of trade. One
of the right marketing strategies is to determine the marketing mix (marketing
mix) which is commonly abbreviated as 4P. Marketing mix is one of the factors
that influence sales volume in a company. The series of marketing mix includes
product, price, place, and promotion and each element in it influences each
other (Mas�ari, Hamdy, & Safira, 2019) (Vildayanti,
2020).
Consumer preferences are a person's choice of
likes or dislikes for several choices of products (goods or services) that are
consumed (Kotler, 1997) accessed from
(Bafadhal, 2020). Consumer preferences can be known by measuring the level of
usefulness or important value in each product or service. An assessment of a
product or service describes consumer attitudes so that it can reflect consumer
preferences in using or consuming a product or service (Miftah & Pangiuk, 2020). According to
Kardes (2002) accessed from (Bafadhal, 2020), defines preference as determining
evaluation of various objects (two or more objects), comparing two different
objects is something that is always involved in preferences. Analysis of
consumer preferences is used to determine the order of importance of a product
attribute and to find out the order of importance of product characteristics (Sudarmanto et al., 2021).
According to Muzdalifah (2012) introduces a
knowledge about consumer preferences which is called the theory of real
preference. This theory states that every consumer must have preferences, these
preferences will direct consumers in purchasing goods they need in the market.
So, what he buys in the market is an indication of his preference arrangement,
in other words his demand in the market is a real preference for him.
According to Supriatna (2011) preference as a
determination at the stage of evaluating a product with a different type
between two or more. Consumer preferences are very influential in making
purchases. Because consumer preferences are a consumer's primary choice in
responding to or ranking a product brand in evaluating their choices.
Consumer preferences are a person's choice of
likes or dislikes for several choices of products (goods or services) that are
consumed (Kotler, 1997) accessed from
(Bafadhal, 2020). Consumer preferences can be known by measuring the level of
usefulness or important value in each product or service. An assessment of a
product or service describes consumer attitudes so that it can reflect consumer
preferences in using or consuming a product or service (Miftah & Pangiuk, 2020). According to
Kardes (2002) accessed from (Bafadhal, 2020), defines preference as determining
evaluation of various objects (two or more objects), comparing two different
objects is something that is always involved in preferences. Analysis of
consumer preferences is used to determine the order of importance of a product
attribute and to find out the order of importance of product characteristics (Sudarmanto et al., 2021). One way to
understand the level of consumer preference based on the combination of
attributes of a shoe product is to use conjoint analysis. Conjoint analysis is
an analytical technique used to simultaneously test the effect of the
attributes of an object or service on a person's preference for the object or
service (Setyawan & Alghofari, 2022).
METHOD�� RESEARCH
The method used
in this research is AHP (Analytical Hierarchy Process) with Expert Choice 2000
software and the data used are consumers who usually buy these products,
respondents taken were 20 purchasing managers from the three automotive
industries (Handa Prospect Motor Jl. Gaya Motor I Sunter II Tanjung Priok was
founded in 1975, Toyota Astra Motor Jl. Yos Sudarso is the largest plant in the
Astra Group, Daihatsu Indonesia is located in the Sunter industrial area) in
assembly plant, car body and body repair.
In this research, there are two ways to obtain
data: 1). Primary data, namely data collected by individuals/organizations
directly through the object, 2) secondary data, namely data obtained in a
ready-made form in the form of publications. The data has been collected by
other parties/institutions. The research uses primary data by way of direct
interviews with customers after conducting a joint trial to determine the
quality of Matador products compared to Nikken, the results of this interview
are truly objective.
There are many ways to determine the priority
for a pairwise matrix. However, due to the emphasis on consistency, eigen value
is used.
(1) matrix A
E������ 1 ����������� ��2 ������ �3
P������ �
���������� ��1 ������ �2
K����� 1/3
�������� ��� ����� �1
We must look
for a vector (a number that will be used as a priority weight) w1, w2, w3 so
that it applies:
1����� 2�������
3 ����� �����������w1 ������������������ w1
����� 1�������
2 ����� �����������w2 ������ =
n ����� w2 ................ (*)
1/3�� � �� ����1 ���� �����������w3 ������������������ w3
If we can find the values w1, w2, w3, then w1,
w2, w3 are called the eigenvectors of the paired matrix, and n is a number
called the eigenvalue. If the relationship (*) is not satisfied for a value w1,
w2, w3, then the paired matrix is said to be inconsistent.
Now we try to
manually determine w1, w2, w3
1 ����������� 2����
3
� ���������� 1����
2
1/3 �������� �����
1
11/6 7/2 6 total by column
E ���������� 
�������� 
���������� 
P ���������� 
�������� 
���������� 
K����������� 
�������� 
���������� 
The first step: the sum of the numbers in each
column
The second step : each number in each column
divided by the number according to the column earlier.
Column 1
�� 1 �������� :
������ =
�� � ������� :
������ =
�� 1/3 ����� :
������ =������
The third step: add up each row and divide by
three (because there are three columns)
E ���������� = 
( + + ) � = 0.538
P ���������� = ( + 
+ ) � = 0.296
K ���������� = ( + + ) � = 0.166
So the eigen
vector is estimated:
�� 0.538 ������������������������� E
�� 0.296 ������������������������� P
�� 0.166K ���������������������� ����_
This means that the weight/priority of E to
the paired matrix is around 54%, the weight of P = 30% and K = 16%
This method is only through an approach and as
long as it is still simple it can be used, if there are many columns and rows
and there are also many hierarchies then the calculation uses the Expert Choice
program computer.
Eigen Vector
Relationship as Priority with Consistency
There are many
ways to find the eigenvector (priority) of a pairwise matrix. Given that the calculation
must comply with the principle of consistency, the eigen value formula is used.
Suppose the elements of a hierarchical level are E1, E2, ....En and their
weights of influence are w1, w2, ... wn. For example, aij = wi/wj shows the
strength (weight) of Ei, when compared to Ej. This matrix with the numbers aij
is called a pairwise comparison matrix which
is given the symbol A. This matrix A is a reciprocal matrix, bearing in mind
that aij = 1/aij. Remember that if A = 2B, then B = � A. If our thinking is
perfect, it means that each element of the paired matrix satisfies the rule aik
= aij for all I, j, k; then matrix A is called consistent.
Then consider
the following mathematical manipulation:
Aij = wi/wj
where I, j = 1,2, ...n
Aij (wj/wi) = 1
�� ��������n
aij wj.1/wi = n
where I = 1,2 ... n
���������� j = 1
or n
aij wj = n wi
where I = 1, 2, .... n
������������ j = 1
If written in matrix form, this last
relationship is Aw = nw. This last form shows that w is an eigenvector of
matrix A with eigenvalue n.
If aij is not based on absolute measures (such
as W1, W2, ...Wn), but on subjective judgments, then aij will deviate from the
actual wi/wj ratio, as a result Aw=nw is no longer fulfilled.
Fortunately, there are two properties in
matrix theory that provide assistance: first, if Z1, ... Zn are numbers that
satisfy the equation Aw = Zw where Z is the eigen value of matrix A, and if aij
= 1 for each I then
Therefore, if Aw = Zw is fulfilled, then all
eigen values are equal to zero, except for one eigen value, which is equal to
n. So clearly in the case of consistency, n is the largest eigen value A.
Second, if one of the aij of the reciprocal matrix A changes very little, then
the eigen value also changes very little. The combination of the two explains
that Z max is close to n, and the eigen value n is that if the diagonal of the
matrix A consists of aij = 1 and if A is consistent, then a small change in aij
holds the largest eigen value, Z max is close to n, and the remaining eigen values
are close to zero . Therefore the problem is that if A is a pairwise comparison matrix , to find the priority
vector, we must find w that satisfies Aw = Z max w.
Small changes in aij cause maximum Z changes,
maximum Z deviations from n are a measure of consistency. The consistency
indicator is measured by the Consistency
Index (CI) which is formulated as CI = (Zmanks � n)/(n-1). AHP measures all
assessment consistency using the
Consistency Ratio (CR), the formula:
CR = 
or usually
written CR =
A certain level of consistency is required in
determining priorities to obtain valid results. The CR value should be no more
than 10%. If not the assessment that has been made may be carried out randomly
and need revision.
|
N |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
9 |
10 |
|
Ri |
0 |
0 |
0.58 |
0.90 |
1,12 |
1.24 |
1.32 |
1.41 |
1.45 |
1.49 |
One way to
revise is: compile the priority ratio matrix wi/wj. Make an absolute difference
matrix aij � wi/wj and try to revise the assessment on the element(s) with the
biggest difference. In this case it is not necessary to note that wi/wj can be
greater than 9.
A matrix
A = 1 � 9
�������� 7 �������� has eigen vectors
1 �������� 
���������� (priority weight )
5 �������� 1
�������� (W1, W2, W3)
= (0.77, 0.06,
0.17)
and CR =
17.25%. Therefore, A needs to be revised, because CR is greater than 10%. The
largest absolute difference is between a12 and W1/W2. So, we replace a12 with
W1/W2 = 13, and recalculate the priority weights to produce (W1, W2, W3) =
(0.81, 0.04, 0.15) and CR = 3.5%, it seems that there is an improvement in
consistency.
RESULT
AND DISCUSSION
In this study
the authors limit the outlets that will be used as research objects, of course
the authors adjust them to target customer types that can contribute in the
future. The object of this research is class A body repair shop, car body and
auto assembly plant. Class A body repair is a body repair that can repair
between 300 and 400 cars every month. For corrosion, in general they produce 60
to 100 cars each month, according to the size of the plant they have. The
biggest market is the assembly plant ATPM (Brand Holder Sole Agent) can produce
80 to 250 cars every day. For example, the Honda Prospect Motor which is
located on Jalan Gaya Motor I Sunter II Tanjung Priok produces 90 cars every
day and spends 600 sheets of sandpaper discs every day and 13,000 sheets in one
month. In Indonesia there are more than 18 ATPM which produce cars every month
which is quite large and this can illustrate how big the consumption of coated
abrasives is every month in the automotive industry. For a company to be able
to take just 30% share, it will be worth tens of billions every year. There are
more than 100 auto body repair shops for class A in Jabodetabek, generally they
can consume 2,000 pieces of sandpaper every month and for large car body parts
in Jabodetabek, no less than 50 pieces and a minimum of 25,000 to 12,000 pieces
of sandpaper consumed each the month. And this is the reason why PT. Ekamant Indonesia
targets the automotive industry market.
From the
results of surveys and trails that the authors themselves conducted on the 20
(twenty) outlets mentioned above, the authors obtained the parameters to be
considered in determining the purchase of coated abrasives. The parameters are
Price (H), Quality (K), Brand (M), Payment (P), Service (S). Of these five
parameters, the authors try to apply the AHP theory below.
GOALS
(H) PRICE �������� (K)
QUALITY ������� (M) BRAND ����� (P) PAYMENT �������� (S) SERVICE
�������������������������� (NKN) NIKKEN �������������������������������� ��(MTR) MATADOR
