The Effect of Product Quality and Product Price on Purchasing Decisions At Street Bar Coffee Jember

Abstract

This study aims to evaluate the influence of product quality and price on consumer purchasing decisions at Street Bar Coffee, a local coffee shop in Jember. The purchasing decision is understood as the culmination of a rational consideration process involving consumers' perceptions of product quality and price fairness. Products perceived to possess high quality and reasonable pricing are more likely to create customer satisfaction, which ultimately influences their decision to purchase. A quantitative research method was employed to obtain objective, valid, and measurable data. Data collection was carried out through the distribution of structured questionnaires to respondents who had previously purchased products from Street Bar Coffee. The data were then analyzed using statistical tools to determine the relationship and influence between the independent variables—product quality and price—and the dependent variable, which is the purchasing decision. The findings show that both product quality and price have a significant and positive impact on consumer purchasing decisions. Consumers tend to make purchase decisions when they perceive that the value offered by the product is proportional to the cost they are required to pay. Among the target market—primarily teenagers and young adults—perceived value is a key factor influencing loyalty and repeat purchases. The novelty of this study lies in its focus on a local MSME, which has received relatively little academic attention compared to larger coffee shop chains. Furthermore, the research emphasizes the strategic importance of aligning product quality with appropriate pricing to build and maintain customer trust. These findings can serve as a practical reference for micro, small, and medium enterprises (MSMEs) in developing marketing strategies that are responsive to local consumer needs, thus supporting long-term business sustainability and competitiveness in regional markets.