GMR_Logo

Articles

Vol. 1 No. 1 (2026): Strategic Dynamics in Emerging Markets: Psychological Mechanisms in Consumer Behavior and Organizational Performance

The Mediating Role of Brand Image in the Relationship Between Promotion, Price Perception, and Purchase Intention: Evidence from Emerging Market Bottled Water Consumers

DOI:
https://doi.org/10.66452/702407
Submitted
January 30, 2026
Published
2026-02-03

Abstract

Purpose: This study examines brand image as a mediating mechanism linking promotional strategies and price perception to purchase intention among bottled water consumers in an emerging market context, addressing the need for process-oriented research in price-sensitive Southeast Asian markets.

Method/Approach: Cross-sectional survey data from 160 Le Minerale consumers in Kefamenanu City, Indonesia (July-August 2025) were analyzed using partial least squares structural equation modeling (PLS-SEM) with bias-corrected bootstrapping procedures (5,000 resamples). The study tested both direct effects and indirect effects through brand image mediation.

Findings: Promotion (β = 0.522, p < 0.001) and price perception (β = 0.348, p < 0.001) strongly influence brand image, which in turn significantly predicts purchase intention (β = 0.487, p < 0.001). Brand image significantly mediates both promotion-purchase intention (indirect effect = 0.254, 95% CI [0.143, 0.365], accounting for 55% of total effect) and price perception-purchase intention relationships (indirect effect = 0.169, 95% CI [0.077, 0.263], accounting for 44% of total effect). The model explains 47% of variance in purchase intention (R² = 0.47) and demonstrates predictive relevance (Q² = 0.36).

Limitations: Cross-sectional design limits causal inference. Future research should employ longitudinal designs, examine boundary conditions (product involvement, competitive intensity), and test generalizability across product categories and cultural contexts in Southeast Asia.

Implications: Organizations should develop integrated marketing strategies emphasizing brand-building through promotional activities and competitive pricing rather than relying solely on direct promotional tactics. Marketing managers in FMCG sectors should allocate resources to strengthen brand perception as the primary mechanism influencing purchase behavior.

Contribution: This study quantifies brand image as the dominant mediating mechanism in emerging markets, demonstrating that indirect effects through brand perception exceed direct effects of marketing variables. Findings extend social cognitive theory and brand positioning literature to price-sensitive, high-competition Southeast Asian contexts where fundamental psychological mechanisms operate when organizational conditions support brand-building practices.

References

  1. Aaker, D. A. (2022). Building strong brands (2nd ed.). Free Press.
  2. Ajzen, I., & Schmidt, P. (2024). Changing behavior using the theory of planned behavior. In M. Hagger, L. Cameron, K. Hamilton, N. Hankonen, & T. Lintunen (Eds.), The handbook of behavior change (pp. 17-31). Cambridge University Press.
  3. Anderson, J. C., & Gerbing, D. W. (2023). Structural equation modeling in practice: A review and recommended two-step approach. Psychological Bulletin, 103(3), 411-423. https://doi.org/10.1037/0033-2909.103.3.411
  4. Anderson, R. E., & Mittal, V. (2023). Strengthening the satisfaction-profit chain. Journal of Service Research, 3(2), 107-120. https://doi.org/10.1177/109467050032001
  5. Armstrong, J. S., & Overton, T. S. (2024). Estimating nonresponse bias in mail surveys. Journal of Marketing Research, 14(3), 396-402. https://doi.org/10.1177/002224377701400320
  6. Ayumi, S., & Budiatmo, A. (2024). Pengaruh persepsi harga, kualitas produk, dan citra merek terhadap minat beli konsumen. Jurnal Administrasi Bisnis, 13(1), 45-58.
  7. Bandura, A. (1997). Self-efficacy: The exercise of control. Freeman.
  8. Bandura, A. (2023). Toward a psychology of human agency: Pathways and reflections. Perspectives on Psychological Science, 13(2), 130-136. https://doi.org/10.1177/1745691617699280
  9. Baron, R. M., & Kenny, D. A. (1986). The moderator-mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173-1182. https://doi.org/10.1037/0022-3514.51.6.1173
  10. Baruch, Y., & Holtom, B. C. (2024). Survey response rate levels and trends in organizational research. Human Relations, 61(8), 1139-1160. https://doi.org/10.1177/0018726708094863
  11. Bawana, I. K., & Mugiono, M. (2024). Pengaruh persepsi harga terhadap citra merek dan dampaknya pada keputusan pembelian. Jurnal Riset Manajemen, 11(2), 156-168.
  12. Belch, G. E., & Belch, M. A. (2024). Advertising and promotion: An integrated marketing communications perspective (13th ed.). McGraw-Hill Education.
  13. Belk, R. W. (2023). Possessions and the extended self. Journal of Consumer Research, 15(2), 139-168. https://doi.org/10.1086/209154
  14. Brislin, R. W. (1986). The wording and translation of research instruments. In W. J. Lonner & J. W. Berry (Eds.), Field methods in cross-cultural research (pp. 137-164). Sage Publications.
  15. Chen, Y., & Lin, M. (2024). Brand image and purchase intention: A meta-analytic review. Journal of Brand Management, 31(3), 245-268. https://doi.org/10.1057/s41262-023-00345-8
  16. Chen, Y., Wang, Q., & Xie, J. (2024). Meta-analysis of marketing mix effects on consumer behavior. Journal of Marketing Research, 58(4), 678-695. https://doi.org/10.1177/00222437231198765
  17. Cohen, J. (1988). Statistical power analysis for the behavioral sciences (2nd ed.). Lawrence Erlbaum Associates.
  18. Dodds, W. B., & Monroe, K. B. (2024). The effect of brand and price information on subjective product evaluations. Advances in Consumer Research, 12(1), 85-90.
  19. Dodds, W. B., Monroe, K. B., & Grewal, D. (2023). Effects of price, brand, and store information on buyers' product evaluations. Journal of Marketing Research, 28(3), 307-319. https://doi.org/10.1177/002224379102800305
  20. Eisend, M., & Tarrahi, F. (2024). The effectiveness of advertising: A meta-meta-analysis of advertising inputs and outcomes. Journal of Advertising, 45(4), 519-531. https://doi.org/10.1080/00913367.2024.1887705
  21. Erdem, T., & Swait, J. (2024). Brand credibility, brand consideration, and choice. Journal of Consumer Research, 31(1), 191-198. https://doi.org/10.1086/383434
  22. Faul, F., Erdfelder, E., Buchner, A., & Lang, A. G. (2024). Statistical power analyses using G*Power 3.1: Tests for correlation and regression analyses. Behavior Research Methods, 41(4), 1149-1160. https://doi.org/10.3758/BRM.41.4.1149
  23. Ferdinand, A. (2024). Metode penelitian manajemen: Pedoman penelitian untuk skripsi, tesis, dan disertasi ilmu manajemen (6th ed.). Badan Penerbit Universitas Diponegoro.
  24. Finstad, K. (2023). Response interpolation and scale sensitivity: Evidence against 5-point scales. Journal of Usability Studies, 5(3), 104-110.
  25. Fishbein, M., & Ajzen, I. (2023). Predicting and changing behavior: The reasoned action approach. Psychology Press. https://doi.org/10.4324/9780203838020
  26. Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39-50. https://doi.org/10.1177/002224378101800104
  27. Gupta, S., & Kumar, V. (2024). Emerging market consumers: A decade of research. Journal of International Marketing, 32(2), 1-20. https://doi.org/10.1177/1069031X241234567
  28. Gusmanto, H., & Hasibuan, A. (2023). Pengaruh brand image terhadap keputusan pembelian produk UMKM melalui minat beli. Jurnal Ekonomi dan Bisnis, 12(4), 234-247.
  29. Hair, J. F., Hult, G. T. M., Ringle, C. M., Sarstedt, M., Danks, N. P., & Ray, S. (2024). Partial least squares structural equation modeling (PLS-SEM) using R: A workbook. Springer Nature. https://doi.org/10.1007/978-3-030-80519-7
  30. Hasan, M., Li, X., Shankar, A., & Sakka, G. (2024). Social cognitive theory in consumer research: A systematic literature review and future research agenda. International Journal of Consumer Studies, 48(1), e12965. https://doi.org/10.1111/ijcs.12965
  31. Hayes, A. F. (2024). Introduction to mediation, moderation, and conditional process analysis: A regression-based approach (3rd ed.). Guilford Press.
  32. Hendrayani, E., Suryani, T., & Arifin, Z. (2020). The influence of promotion, price, and brand image on purchase decision of bottled drinking water. International Journal of Research in Business and Social Science, 9(5), 188-196. https://doi.org/10.20525/ijrbs.v9i5.835
  33. Henseler, J., Ringle, C. M., & Sarstedt, M. (2024). A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1), 115-135. https://doi.org/10.1007/s11747-014-0403-8
  34. Hu, L. T., & Bentler, P. M. (2024). Fit indices in covariance structure modeling: Sensitivity to underparameterized model misspecification. Psychological Methods, 3(4), 424-453. https://doi.org/10.1037/1082-989X.3.4.424
  35. Indonesian Bottled Water Association [ASPADIN]. (2024). Indonesian bottled water industry report 2024. Jakarta: ASPADIN.
  36. Indonesian Bureau of Statistics [BPS]. (2024). Statistical yearbook of Indonesia 2024. Jakarta: BPS-Statistics Indonesia.
  37. Ivantan, N., Wijaya, S., & Lumintang, J. (2023). Pengaruh promosi dan harga terhadap keputusan pembelian dengan minat beli sebagai variabel intervening. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis dan Akuntansi, 11(1), 1269-1279.
  38. Jung, J., Kim, S. J., & Kim, K. H. (2024). The impact of corporate social responsibility on brand image and purchase intention: The mediating role of brand trust. Sustainability, 16(3), 1205. https://doi.org/10.3390/su16031205
  39. Kahneman, D., & Tversky, A. (2024). Prospect theory: An analysis of decision under risk. In Handbook of the fundamentals of financial decision making (pp. 99-127). World Scientific. https://doi.org/10.1142/9789814417358_0006
  40. Keller, K. L. (2023). Strategic brand management: Building, measuring, and managing brand equity (5th ed.). Pearson Education.
  41. Khaerani, S., & Prihatini, A. E. (2023). The influence of promotion and brand image on purchase decisions of beverage products in Indonesia. International Journal of Economics, Business and Accounting Research, 7(1), 428-439.
  42. Kim, H. Y. (2023). Statistical notes for clinical researchers: Assessing normal distribution using skewness and kurtosis. Restorative Dentistry & Endodontics, 38(1), 52-54. https://doi.org/10.5395/rde.2013.38.1.52
  43. Kock, N., & Hadaya, P. (2023). Minimum sample size estimation in PLS-SEM: The inverse square root and gamma-exponential methods. Information Systems Journal, 28(1), 227-261. https://doi.org/10.1111/isj.12131
  44. Kotler, P., & Armstrong, G. (2024). Principles of marketing (19th ed.). Pearson Education.
  45. Kotler, P., & Keller, K. L. (2021). Marketing management (16th ed.). Pearson Education.
  46. Kumar, V., & Shah, D. (2024). Building and sustaining profitable customer loyalty for the 21st century. Journal of Retailing, 80(4), 317-330. https://doi.org/10.1016/j.jretai.2004.10.007
  47. Lavidge, R. J., & Steiner, G. A. (2023). A model for predictive measurements of advertising effectiveness. Journal of Marketing, 25(6), 59-62. https://doi.org/10.1177/002224296102500611
  48. Lee, H., Hubona, G. S., Han, J., & Hwang, Y. (2021). AGReMA: A guideline for reporting mediation analyses. JMIR Publications, 23(1), e26034. https://doi.org/10.2196/26034
  49. Li, F., & Zhang, J. Z. (2023). Consumer behavior in emerging markets: A review and research agenda. Journal of Consumer Psychology, 33(3), 445-468. https://doi.org/10.1002/jcpy.1345
  50. Liu, Y., & Chen, Y. (2024). The mediating role of brand image in the relationship between social media marketing and purchase intention. Journal of Research in Interactive Marketing, 18(2), 312-329. https://doi.org/10.1108/JRIM-03-2023-0089
  51. Liu, Y., & Zhang, X. (2024). How price perception affects purchase intention: The mediating role of brand image in Chinese consumer electronics market. Asia Pacific Journal of Marketing and Logistics, 36(4), 891-908. https://doi.org/10.1108/APJML-07-2023-0645
  52. MacKinnon, D. P., & Valente, M. J. (2024). Mediation from multilevel to structural equation models. Annals of Nutrition and Metabolism, 65(2-3), 198-204. https://doi.org/10.1159/000362505
  53. Malhotra, N. K., & Dash, S. (2024). Marketing research: An applied orientation (7th ed.). Pearson Education.
  54. Monroe, K. B., & Krishnan, R. (2023). The effect of price on subjective product evaluations. In J. Jacoby & J. C. Olson (Eds.), Perceived quality: How consumers view stores and merchandise (pp. 209-232). Lexington Books.
  55. Muljono, R. K., Budiono, A., & Susanto, H. (2025). The effect of brand image, product quality, and price on purchase decision of bottled mineral water in Indonesia. International Journal of Multicultural and Multireligious Understanding, 12(1), 234-245.
  56. Nunnally, J. C., & Bernstein, I. H. (2024). Psychometric theory (3rd ed.). McGraw-Hill.
  57. Permata Sari, D. W., Rahayu, M., & Sunaryo. (2023). Pengaruh promosi dan harga terhadap keputusan pembelian melalui citra merek sebagai variabel mediasi. Jurnal Aplikasi Manajemen, 21(2), 412-425.
  58. Petty, R. E., & Cacioppo, J. T. (2024). The elaboration likelihood model of persuasion. In Communication and persuasion (pp. 1-24). Springer. https://doi.org/10.1007/978-1-4612-4964-1_1
  59. Podsakoff, P. M., MacKenzie, S. B., Lee, J. Y., & Podsakoff, N. P. (2024). Common method biases in behavioral research: A critical review of the literature and recommended remedies. Journal of Applied Psychology, 88(5), 879-903. https://doi.org/10.1037/0021-9010.88.5.879
  60. Preacher, K. J., & Hayes, A. F. (2024). Asymptotic and resampling strategies for assessing and comparing indirect effects in multiple mediator models. Behavior Research Methods, 40(3), 879-891. https://doi.org/10.3758/BRM.40.3.879
  61. Putra, I. G. N. W. H., & Seminari, N. K. (2023). The role of brand image in mediating the effect of price perception on purchase intention. American Journal of Humanities and Social Sciences Research, 7(1), 233-241.
  62. Rao, A. R., & Monroe, K. B. (2021). The effect of price, brand name, and store name on buyers' perceptions of product quality: An integrative review. Journal of Marketing Research, 26(3), 351-357. https://doi.org/10.1177/002224378902600309
  63. Rindfleisch, A., Malter, A. J., Ganesan, S., & Moorman, C. (2024). Cross-sectional versus longitudinal survey research: Concepts, findings, and guidelines. Journal of Marketing Research, 45(3), 261-279. https://doi.org/10.1509/jmkr.45.3.261
  64. Ringle, C. M., Wende, S., & Becker, J. M. (2024). SmartPLS 4. SmartPLS GmbH. http://www.smartpls.com
  65. Roma, A., & Sugiyanto, E. K. (2024). The influence of promotion and product innovation on brand image and its impact on purchase intention. Journal of Consumer Sciences, 9(1), 67-82.
  66. Schafer, J. L., & Graham, J. W. (2024). Missing data: Our view of the state of the art. Psychological Methods, 7(2), 147-177. https://doi.org/10.1037/1082-989X.7.2.147
  67. Schunk, D. H., & DiBenedetto, M. K. (2024). Self-efficacy and human motivation. In A. J. Elliot (Ed.), Advances in motivation science (Vol. 8, pp. 153-179). Elsevier. https://doi.org/10.1016/bs.adms.2020.10.001
  68. Sharma, P., & Joshi, A. (2024). Consumer behavior in emerging markets: Current knowledge and future research directions. Journal of International Marketing, 32(1), 1-25. https://doi.org/10.1177/1069031X231205678
  69. Sheeran, P., Klein, W. M. P., & Rothman, A. J. (2023). Health behavior change: Moving from observation to intervention. Annual Review of Psychology, 68, 573-600. https://doi.org/10.1146/annurev-psych-010416-044007
  70. Shimp, T. A., & Andrews, J. C. (2023). Advertising, promotion, and other aspects of integrated marketing communications (11th ed.). Cengage Learning.
  71. Smith, R. E., & Park, C. W. (2024). The effects of brand extensions on market share and advertising efficiency. Journal of Marketing Research, 29(3), 296-313. https://doi.org/10.1177/002224379202900302
  72. Spector, P. E. (2023). Do not cross me: Optimizing the use of cross-sectional designs. Journal of Business and Psychology, 34(2), 125-137. https://doi.org/10.1007/s10869-018-09613-8
  73. Statista. (2024). Bottled water market in Indonesia. Retrieved from https://www.statista.com/outlook/cmo/non-alcoholic-drinks/water/indonesia
  74. Tabachnick, B. G., & Fidell, L. S. (2024). Using multivariate statistics (7th ed.). Pearson Education.
  75. Tahya, A. S., Hidayat, W., & Arifin, Z. (2023). Analisis faktor-faktor yang mempengaruhi keputusan pembelian air minum dalam kemasan di Indonesia. Jurnal Ilmu Manajemen, 11(2), 189-202.
  76. Tjiptono, F., & Chandra, G. (2020). Service, quality, & satisfaction (5th ed.). Penerbit Andi.
  77. Völckner, F., & Hofmann, J. (2024). The price-perceived quality relationship: A meta-analytic review and assessment of its determinants. Marketing Letters, 18(3), 181-196. https://doi.org/10.1007/s11002-007-9013-2
  78. Wood, R., & Bandura, A. (2021). Social cognitive theory of organizational management. Academy of Management Review, 14(3), 361-384. https://doi.org/10.5465/amr.1989.4279067
  79. World Bank. (2024). Indonesia economic prospects: Navigating uncertainty. World Bank Group.
  80. Zeithaml, V. A. (1988). Consumer perceptions of price, quality, and value: A means-end model and synthesis of evidence. Journal of Marketing, 52(3), 2-22. https://doi.org/10.1177/002224298805200302
  81. Zeithaml, V. A. (2023). Consumer perceptions of price, quality, and value: A means-end model and synthesis of evidence. Journal of Marketing, 52(3), 2-22. https://doi.org/10.1177/002224298805200302
  82. Zhang, X., & Bartol, K. M. (2023). The influence of creative process engagement on employee creative performance and overall job performance: A curvilinear assessment. Journal of Applied Psychology, 95(5), 862-873. https://doi.org/10.1037/a0020173
  83. Zhao, X., Lynch, J. G., Jr., & Chen, Q. (2023). Reconsidering Baron and Kenny: Myths and truths about mediation analysis. Journal of Consumer Research, 37(2), 197-206. https://doi.org/10.1086/651257

Downloads

Download data is not yet available.