Influence of Discount Prices on Consumer Perceptions of Quality, Savings, and Value for Handbags and Shoes Brand Charles & Keith

Abstract

This study examines the influence of discount prices on consumers' perceptions of savings and quality and how these perceptions affect their perceived value. The research focuses on consumers who have purchased handbags or shoes from the Charles & Keith brand in Yogyakarta. The study adopts a quantitative approach, collecting data through an online questionnaire distributed to 210 respondents using Google Forms. Non-probability sampling, specifically purposive sampling, is employed for sample selection. The collected data is analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS software version 4.0. The results indicate that almost all hypotheses are accepted, except for the relationship between discount prices and perceived quality. Price discounts intended to attract potential customers do not influence the perceived quality. Theoretically, this research enriches the literature on discount prices’ impact on consumer perceptions. The findings are expected to serve as a foundation for marketing managers in formulating marketing strategies, particularly in addressing factors related to product quality, product value, and discount prices in the target consumer's perception.