The Role of Brand Image Mediates the Influence of Promotion on Purchase Decisions

Abstract

Theoretical framework: The theoretical framework for this study illustrates the role of brand image as a mediating factor in the relationship between promotion and purchase decisions in the context of Rose All Day Cosmetics (RADC) in Badung Regency. Purpose: This study aims to explain the role of brand image mediating the influence of promotion on purchase decisions of Rose All Day cosmetics. Design/methodology/approach: This research was conducted in Badung Regency in January 2023. Data was collected using an instrument in the form of a questionnaire from 190 respondents, who were determined based on a purposive sampling technique. Before distribution, this instrument was distributed to 30 respondents and produced valid and reliable instruments. The data obtained were then analyzed using path analysis and the Sobel test. Finding: The research results show that all hypotheses are accepted. The promotion has a positive and significant effect on purchase decisions. The promotion has a positive and significant effect on brand image. Brand image has a positive and significant effect on purchase decisions. Brand image can mediate the effect of promotion on purchase decisions. Brand image fully mediates the effect of promotion on purchase decisions. This research implies that a good brand image will influence consumer perceptions of promotions made to increase purchase decisions. Research, Practical & Social Implications: This study helps us understand how promotions and brand image impact people's decisions to buy cosmetics. For businesses that sell cosmetics, this study provides useful advice. A good brand image is important, and promotions should match that image. This study is important because it helps companies make sense of promotions for customers. Originality/value: This study brings a fresh perspective to the relationship between promotions, brand image, and purchase decisions in the cosmetics industry. While many studies focus on these factors separately, this research examines how they work together. The study also focuses on a local cosmetics company, Rose All Day Cosmetics, which adds a unique angle.