Available online at JIME website: https://journal. id/index. php/jime/ Pricing on Consumer Purchasing Decisions at Coffee Shop in East Jakarta Tanjung Prasetyo*1. Muhamad Ramadhani2. Muhamad Ardan3 Fakultas Ekonomi dan Bisnis. Universitas Sahid Jakarta. Jakarta. Indonesia Received: 22th July 2023. Revised: 17th November 2023. Accepted: 27th Desember 2023 Available online: 28th December 2023. Published regularly: December 2023 Abstract The purpose of this study was to analyze the effect of pricing on purchasing decisions at the East Jakarta Bro and Brew coffee shop. Quantitative descriptive is the method used in this research. The population is 6,800 consumers at the Bro and Brew coffee shop and 100 consumers are respondents who use the Slovin formula. The questionnaire as a container for obtaining primary data for this study used a Likeart scale using the SPSS version 26 program, namely the reliability test of the model with the Cronbach Alpha formula, a simple linear regression data analysis technique. The results of testing the hypothesis obtained a positive slope value of 461, which means that there is a significant influence between price on consumer purchasing decisions with an influence level of 80%, it can be said that the price hypothesis test influences consumer decisions (Ho is rejecte. at the Bro and Brew coffee shop. East Jakarta. Keywords: Pricing. Costumer Purchasing Decisions. Coffee Shop *) Corresponding Author Email: tanjung_prasetyo@usahid. id (Tanjung Prasety. Jurnal Ilmu Manajemen dan Ekonomika. Vol. No. 1 Desember 2023: 25-38 Abstrak Tujuan dari penelitian ini adalah untuk menganalisis pengaruh penetapan harga terhadap keputusan pembelian pada coffee shop Bro and Brew Jakarta Timur. Deskriptif kuantitatif adalah metode yang digunakan dalam penelitian ini. Populasinya adalah 6. 800 konsumen di coffee shop Bro and Brew dan 100 konsumen adalah responden yang menggunakan rumus Slovin. Kuesioner sebagai wadah untuk memperoleh data primer penelitian ini menggunakan skala Likeart menggunakan program SPSS versi 26 yaitu uji reliabilitas model dengan rumus Alpha Cronbach, teknik analisis data regresi linier sederhana. Hasil pengujian hipotesis diperoleh nilai berslope positif sebesar 3,461 yang artinya terdapat pengaruh yang signifikan antara harga terhadap keputusan pembelian konsumen dengan tingkat pengaruh sebesar 80% dapat dikatakan uji hipotesis harga berpengaruh terhadap keputusan konsumen (Ho ditola. pada coffee shop Bro and Brew. Jakarta Timur. Kata Kunci: Penetapan Harga. Keputusan Pembelian Konsumen. Coffee Shop. facilities and infrastructure for many activities such INTRODUCTION as working, studying, hanging out and a place to One of the most popular drinks that are in great relax to spend time, not only offering comfortable demand by the people of Indonesia is coffee. It is and clean facilities but also offering The price is proven that Indonesia occupies the 5th position of Bro and Brew coffee shop is located at Jl. the largest coffee consumption in the world Bambu Apus Raya No. RT. 3/RW. Bambu according to International Coffee Organization Apus. Cipayung District. East Jakarta City. Coffee (ICO) shop Bro and Brew does many ways to increase increasingly sold reaching 1,500 coffee shops in sales, one of which is by setting the right price on South Jakarta. Behind the large demand for coffee the food and beverage menu provided. With the drinks, the pricing factor is one of the important right price setting will definitely influence customers in making purchasing decisions at Bro Coffee Price can determine whether consumers will choose to visit Bro and Brew coffee shops or look for other coffee shops that are more and Brew coffee shop. The activities of individuals who are directly involved in making decisions to make purchases of products offered by sellers constitute purchasing Lately, coffee shops have become one of the Purchase decisions are influenced by F&B businesses that have great potential. Coffee personality traits, age, occupation, and economic shops are favored by the majority of young people circumstances (Prameswari, 2. aged 20-29 years. Coffee shop offers comfortable Prasetyo. Ramadhani. Ardan. Pricing on Consumer PurchasingA. Customer behavior will be decisive in the decision-making process on the product offered by the seller is a purchase decision. Purchase decisions THEORETICAL FRAMEWORK Price Price is one aspect of differentiating one seller from another. Therefore, pricing becomes part of the differentiation function of a product offered. (Prameswari, 2. Customer behavior will be Here are some definitions of price according to decisive in the decision-making process purchase. Philip Kotler. Gary Armstrong. Kotler, and Keller ISSN: 2089-4309 . 2579-4841 . Therefore, pricing will be one of the factors that can influence the purchase decision. Price itself is . The amount of money billed and the sum of all a marketing element that can determine a values given to a product or service by company's revenue. Optimal demand comes from consumers to benefit from using a product or determining the right price from consumers and service is a price. business partners. Pricing is one of the key factors for companies to achieve profits is a conclusion Based on the explanation above, that pricing of a product is an important factor in consumer decision making, so we want to conduct a study entitled "Pricing Analysis of Consumer Purchasing Decisions". The background is the basis for the explanation of the research problem, then formulated on the One of the marketing mixes where it does not determine income and profits alone but is a way for sellers to communicate the proportion of product value to consumers. Based on the above understanding, it can be concluded that the price is the amount of money that must be paid by consumers for a product that is exchanged for the economic value of the product. problem, namely how to price, purchase decisions, whether there is an influence on pricing on Pricing purchasing decisions at Bro and Brew coffee shop. East Jakarta. There are three pricing strategies according to Kotler and Armstrong . 8: 309-. , including The purpose of this research is to determine the following. pricing, find out purchasing decisions, find out the influence of pricing on consumer purchasing decisions at Bro & Brew coffee shop. East Jakarta. Value-Based Pricing Value-based pricing uses the buyer's perception of the value contained in the product as a reference in setting prices. The seller cannot create the Jurnal Ilmu Manajemen dan Ekonomika. Vol. No. 1 Desember 2023: 25-38 product and then set the price at this price, because Purchase Result before the marketing program is set, the price is calculated along with other marketing mixes. There The purchase decision is important for the wheels of the business, in this case is the Bro and are two types of this pricing, namely: Brew coffee shop. The decision process for Good-value pricing: This strategy offers a good consumers goes through five stages, namely combination of quality and service at a problem orientation, information disbursement, reasonable price. evaluation of alternatives, purchase decisions and Value-added post-purchase behavior. advantages in a product both in terms of quality and service to differentiate their offerings from Research Framework competitors and support relatively higher It is necessary to understand this research framework where pricing is an important factor in consumer purchasing decisions. This means that the price of a product or service can influence Cost-Based Pricing consumer buying behavior, either directly or Involving cost-based pricing of products, distribution, and sales along with appropriate returns for each of them establishes a cost-based Thus, this frame of mind will explore how pricing influences consumer purchasing pricing strategy. RESEARCH METHOD Internal and External Factors Affect Pricing Explanatory research is a research strategy. The influence on price is caused by internal business factors, namely promotion strategies, goals, and promotion mix, as well as other While market and demand conditions, strategies and prices offered by competitors and environmental factors are external factors. where the position of the variables studied intends to explain the influence between the relationship of one variable with another variable. Descriptive quantitative becomes the research method used. Positive philosophy is the foundation of this research which is used to examine populations and samples, data collection, data analysis both quantitative and statistical with hypothesis tests that have been set as goals. The approach uses descriptive research. Based on Sugiyono's words . 0: . , the research under study was carried out Prasetyo. Ramadhani. Ardan. Pricing on Consumer PurchasingA. ISSN: 2089-4309 . 2579-4841 . so that the understanding of the existence of a variables and knowing the attachment to other single variable, should only be a single valriabel so as not to make the difference between these Tabel 1. Research Framework Consumer Purchasing Pricing . Decisions . Customer value-based Problem orientation Cost-based pricing Information search Competition-based pricing Evaluation of alternatives Purchase decision (Kotler dan Armstrong. Post-purchase behavior (Kotler, 2015:. Tabel 2. Population and Sample Month August 2022 September 2022 October 2022 November 2022 December 2022 January 2023 February 2023 March 2023 April 2023 May 2023 June 2023 July 2023 Total Average per Month Number of Consumers 566,67 Jurnal Ilmu Manajemen dan Ekonomika. Vol. No. 1 Desember 2023: 25-38 Population and Sample Data Retrieval Techniques Population is a generalized area consisting Questionnaires and interviews became data of objects or subjects with a certain number and collection techniques in this study. In this study, characteristics that have been determined and questionnaires were submitted to consumers of Bro then conclusions are drawn. The determination and Brew coffee shop. East Jakarta. Seeking of the number of samples refers to Sugiyono's information through interviews is used by opinion . 9: . Karasteristic or the exchanging information to present the problem number of a population is the definition of under study. research according to Sugiyono . 9: . Sampling study, where this scale measures the attitudes of respondents are taken from some of their people and groups, opinions and perceptions of Then, to determine the sample size social phenomena (Sugiyono, 2. Likert using the Slovin formula, the formula is as measurement scale uses five assessment categories, yea= The Likert measurement scale was used in this ycA ya ycAyeIya Strongly Disagree (STS) : Skor 1 . Disagree (TS) : Skor 2 . Information : Netral (N) : Skor 3 . : Number of samples : Number of population Agree (S) : Skor 4 . Totally Agree (SS) : Skor 5 . : eror (The maximum tolerable error limit is 10% for large populatio. From this formula, the calculation of the number Validity Test of samples in this study is: Validity test is a test to prove how influential the 1 6. measuring instrument is for what is measured. Ghozali . said that validity testing is used to find out how valid and valid a collection of questions is. ycu = 98,55 ycycuycycuyccycnycuyci ycycu 100 ycyceycycyycuycuyccyceycuycyc Information : Prasetyo. Ramadhani. Ardan. Pricing on Consumer PurchasingA. ycycuyc : Correlation coefficient between x and y ISSN: 2089-4309 . 2579-4841 . tests are consistently very reliable when Alpha > Or there is also the following: the reliability Oc ycuyc: Total multiplication between variable x is perfect if the alpha > 0. If the alpha is 70 and 0. 90, the reliability is high. alpha between 0. 50 and 0. 70 indicates moderate OcycU 2 : Total sum of squares of x values Ocyc 2 : Total sum of squares of y values (Ocyc. 2 : Total number of x values squared (Ocy. 2 : The sum of all y values squared If the alpha < 0. 50 then reliability is low. If the alpha is low, it is likely that one or more items are unreliable. Simple Regression Analysis An analysis that explains the effect and Reliability Test magnitude of the effect of one or more independent Reliability is the consistency of measurements variables on one dependent variable is a regression (Walizer, 1. A survey can be considered Because it contains many independent trustworthy if the responses to statements are variables more than one, multiple linear analysis is consistent over time. The level of stability, used, functional or causal relationships being the consistency, predictability, and accuracy is a basis of simple regression analysis. reference to the reliability of the test. Cronbach's Alpha formula is an instrument in reliability testing, because this research instrument is in the form of questionnaires and stratified scales. The formula is as follows: yeeyaya = ( yea yeaOe ya ). a Oe OcyyO ya yei yeCya ) . : Reliability sought : Number of question items tested ycayc2 DISCUSSION, AND MANAGERIAL IMPLICATION Validity Test Validity test results using SPSS program Information : OcE 2 RESULT, : Number of score variants per item version 26 against variable x "Pricing" through five statements, obtained the following results: If the pearson correlation value is greater than r table, it is declared valid according to Ghozali . Based on the table above, it shows that the five question items from the x-variable test, namely "pricing", are valid. Therefore, these statements : Varian total have been and are in accordance with research. Indicates sufficient reliability when Alpha > 0. The results of the validity test using the SPSS while indicates that all items are reliable and all program version 26 on variable y "consumer Jurnal Ilmu Manajemen dan Ekonomika. Vol. No. 1 Desember 2023: 25-38 purchase decision" through five statements, categorized as reliable and consistent in scoring on obtained the following results: the questionnaire. Table 4. 2 shows that the five question items Reliability test using Cronbach's Alpha method from the "consumer purchase decision" variable against variable y "consumer purchase decision". test are valid. Therefore, these statements have the reliability coefficient is greater than 0. 6, it can been and are in accordance with research. be said to be reliable. From table 4. 2 above. Cronbach's Alpha value of 0. 886 > 0. 6 means that it can be categorized as reliable and consistent in Reliability Test the assessment on the questionnaire. The results of the reliability test using the SPSS program version 26 on variable x "pricing" and variable y "consumer purchase decision" through Descriptive Analysis 10 statements, obtained the following results: 100 Respondents received a determination analysis Reliability test using Cronbach's Alpha method question where several things What is analyzed against variable x "pricing". If the reliability includes three dimensions of pricing, namely coefficient is greater than 0. 6 it can be said to be customer value-based pricing, pricing Cost-based. From table 4. 2 above. Cronbach's Alpha and competition-based pricing as follows: value of 0. 934 > 0. 6 means that statements can be Table 4. 1 Pricing Validity Test . Indicator How many times have you bought a product at Bro & Brew coffee The price of products offered at Bro & Brew coffee shop is in accordance with your expectations The price of products offered at Bro & Brew coffee shop according to your income You consider the price offered before purchasing the product at the coffee shop Bro & Brew The price of the menu of products offered at coffee shop Bro & Brew competes with other coffee shops r count r table Information 0,928 0,805 Valid 0,939 0,805 Valid 0,947 0,805 Valid 0,923 0,805 Valid 0,915 0,805 Valid Prasetyo. Ramadhani. Ardan. Pricing on Consumer PurchasingA. ISSN: 2089-4309 . 2579-4841 . Table 4. 2 Purchase Decision Validity Test . Indicator Before you visit Bro & Brew coffee shop, compare with other coffee shops Your decision to visit Bro & Brew coffee shop is due to someone else's referral You feel satisfied after visiting Bro &. Brew coffee shop You will recommend to others and revisit Bro &. Brew coffee Your decision to visit Bro & Brew coffee shop is out of personal r count r table Information 0,897 0,805 Valid 0,888 0,805 Valid 0,894 0,805 Valid 0,866 0,805 Valid 0,873 0,805 Valid Table 4. 2 Reliability Tests Variable Alpha Cronbach Total Item Information Pricing . 0,934 Reliable Consumer Purchasing Decisions . 0,886 Reliable Table 4. 1 Descriptive Analysis of Pricing . Indicator How many times have you bought a product at Bro & Brew coffee shop The price of products offered at Bro & Brew coffee shop is in accordance with your expectations The price of products offered at Bro & Brew coffee shop according to your income You consider the price offered before purchasing the product at the coffee shop Bro & Brew The price of the menu of products offered at coffee shop Bro & Brew competes with other coffee shops Min Max Mean 4,07 4,18 4,22 4,21 4,33 Table 4. 1 shows that the data on the results of the descriptive analysis, it can be processing of variable x "pricing" with the average explained that the products offered by Bro and value . of the highest indicator of 4. 33 in the Brew coffee shops compete with other coffee shops fifth statement item, namely, "the price of the because they use high-quality raw materials with product menu offered by Bro and Brew coffee shop menu prices that can be said to be cheap, so that the competes with other coffee shops". From the Jurnal Ilmu Manajemen dan Ekonomika. Vol. No. 1 Desember 2023: 25-38 taste and prices offered are in accordance with beverage variations on the Bro and Brew coffee consumer income. shop menu. The average value . of the lowest indicator amounted to 4. 07 in the first statement item, namely, "how many times have you bought products at Bro and Brew coffee shop". In this case, it can be explained that consumers rarely buy SIMPLE LINEAR REGRESSION ANALYSIS Coefficient of Determination products at Bro and Brew coffee shops, because . ositive slop. between pricing and consumer operational opening hours are too late in the purchasing decisions is shown in table 4. 1 the afternoon, resulting in consumers preferring coffee magnitude of the influence of pricing on consumer shops with earlier operating hours. The dimensions purchasing decisions . oefficient of determinatio. 800 expressed by R square. evaluation, alternative evaluation, and postpurchase behavior are some of the things analyzed: Table 4. 2 shows the data on the processing of variable y "consumer purchase decision" with the Thus, the magnitude of the influence of pricing on consumer purchasing decisions is 80%, while the residual value of 20% . % - 80%) is influenced by other variables that were not studied in this study. average value . of the highest indicator of 53 in the first statement item, namely, "Before you visit Bro and Brew coffee shop compare with other coffee shops". The results above conclude that before consumers visit the Bro and Brew coffee shop, compare with other coffee shops by looking at and considering the prices offered before finally deciding to buy at the Bro and Brew coffee Regression Coefficient Table 4. 2 can be analyzed if pricing in the absence of a consumer purchase decision . = . , then the consumer purchase decision is calculated at -499,000. If the value of pricing increases, it is calculated that consumer purchasing decisions will also increase. Example if . = . Then the value The average value . of the lowest . y = -499,000 3,633 . , obtained value indicator amounted to 4. 16 in the third statement . y = -462,670 so that if the price increases item, namely, "you feel satisfied after visiting Bro then consumer purchasing decisions can continue and Brew coffee shop". In this case, it means that to increase. From table 4. 2, a summary of the consumers are less satisfied after visiting the Bro results of data processing can be made as follows: and Brew coffee shop due to the lack of food and Prasetyo. Ramadhani. Ardan. Pricing on Consumer PurchasingA. ISSN: 2089-4309 . 2579-4841 . Table 4. 2 Descriptive Analysis of Consumer Purchasing Decisions . Indicator Before you visit Bro & Brew coffee shop, compare with other coffee shops Your decision to visit Bro & Brew coffee shop is due to someone else's reference You feel satisfied after visiting Bro &. Brew coffee shop You will recommend to others and revisit Bro &. Brew coffee Your decision to visit Bro & Brew coffee shop is out of personal desire Min Max Mean 4,53 4,27 4,16 4,31 4,44 Table 4. 1 Coefficient Determination R Square 0,894 0,800 Table 4. 2 Regression Coefficients Unstandardized Standardized Coefficients Coefficients Model Std. Error (Constan. -499,000 264,535 Pricing . 3,633 1,050 Sig. -1,886 0,156 3,461 0,041 Beta 0,894 Table 4. 3 Regression Equations Variable Relationships Correlation Influence Regression Equation Significance Test 0,894 0,800 y = -499. Significance (Stron. Jurnal Ilmu Manajemen dan Ekonomika. Vol. No. 1 Desember 2023: 25-38 Hypothesis Test the highest value of 4. 53 on the variable y Based on the criteria of hypothesis testing, t . onsumer purchase decisio. on the dimension count > t table where t count is 3. 461 and t table is of "evaluation of alternative" which means This means that Ho is rejected and Ha is before consumers visit Bro and Brew coffee accepted, it can be said that price fixing . has a shops compare with other coffee shops by looking and considering the prices offered decisions . at Bro & Brew coffee shop. East before finally deciding to buy at Bro and Brew Jakarta. coffee shops which are shown in a timely overall by the influence of such factors. The lowest value of 4. 16 is found in the CONCLUSION dimension of "post-purchase behavior" which Based on the results of the analysis and discussion that has been described about "The Effect of Pricing on Purchasing Decisions at Bro Brew Coffee Shop. East Jakarta" as follows: Overall pricing is influenced by two factors, this can be seen from the highest value of 4. 33 in variable x . contained in the dimension of "competition-based pricing" which means that the price of the product menu offered by Bro and Brew coffee shops competes with other coffee shops, because it uses high-quality raw materials with menu prices that can be said to be cheap. So that the taste and price offered are in accordance with consumer income indicated by the pricing. The lowest value of 4. 07 is found in "customer value-based pricing" which means consumers rarely buy products at Bro and Brew coffee shops, because operating hours are too late in the afternoon, resulting in consumers preferring coffee shops with earlier operating hours. Consumer purchasing decisions as a whole are influenced by two factors, this can be seen from means consumers are less satisfied after visiting Bro and Brew coffee shops due to the lack of food and beverage variations on the Bro &. Brew coffee shop menu. The results of data processing show that there is a strong relationship between variables x and y 894, there is an influence between variables x and y by 80% which means consumer purchasing decisions are influenced by pricing. From the results of the hypothesis test, t_tabel obtained 2,353. and t_hitung 3,461, where t_hitung > t_tabel, this proves that there is a significant and strong influence between pricing . and purchasing decisions . at Bro and Brew coffee shop. East Jakarta. Prasetyo. Ramadhani. Ardan. Pricing on Consumer PurchasingA. ISSN: 2089-4309 . 2579-4841 . REFERENCES