Determinants of purchasing intentions of energy-efficient products

Abstract

Purpose This paper aims to identify factors affecting consumers’ purchasing intentions of energy-efficient products (energy awareness, perceived benefits, perceived price and consumers’ attitudes). Also, it examines the effect of consumers’ attitudes on purchasing intentions of energy-efficient products (EEP) from households’ perspectives in Jordan. Design/methodology/approach A self-administered survey was hand-delivered to the targeted sample of households in Amman, Jordan. A total of 516 questionnaires were delivered to households from which 474 were valid for the analysis. Exploratory and confirmatory factor analyses were performed to assess the research constructs dimensions, unidimensionality, validity and composite reliability. Structural path analysis was also used to test the hypothesised relationships of the proposed research model. Findings Energy awareness positively and significantly affects purchasing intentions, perceived benefits and consumer attitudes. Energy awareness negatively but non-significantly affects perceived price. Perceived benefits positively and significantly affect consumer attitudes and purchasing intentions. Further, perceived price negatively and significantly affects perceived benefits and consumers attitudes. Also, consumers’ attitudes positively and significantly affect purchasing intentions. Consumers’ attitudes exerted the strongest effect on purchasing intentions of EEP; meanwhile, consumers’ attitudes are a function of perceived benefits and energy awareness. Finally, the results show that 50 per cent of variation in purchasing intentions of EEP was caused by perceived benefits–consumers’ attitudes–energy awareness path. Research limitations Future research needs to investigate other factors that may affect households’ intentions of purchasing EEP such as perceived brand and image of EEP, perceived risk, word-of-mouth, subjective norms and households’ cost-saving experience. Investigating and identifying types of perceived benefits of purchasing EEP from households’ perspectives is also important. Comparative studies between Jordanian and non-Jordanian consumers/households are potential areas of future research. Methodologically, future research can conduct comparative analysis between households and energy industry engineers and managers perceptions’ with regard to determinants of perceived benefits and purchasing intentions. Practical implications This paper highlights the crucial role of perceived benefits and energy awareness in formulating households’ attitudes towards EEP and the vital role of such attitudes on purchasing intentions. Marketing directors and CEOs of the energy industry should recognised that perceived benefits, attitudes and energy awareness are vital building blocks in formulating and implementing marketing strategies to operate in this industry. Also, purchase intentions are a function of positive attitudes of household toward EEP and are at the heart of EEP marketing communications campaigns. Originality/value This is the first paper in the energy industry of Jordan devoted to develop and test a model of determinants of purchasing intentions of EEP that focuses on energy consumption behaviour. CEOs, international manufacturers and marketing managers of EEP can benefit from the study’s empirical findings concerning the drivers of EEP purchasing intentions and behaviour decisions of households in Jordan as an emerging market in the Middle East.

An empirical study of consumers intention to purchase energy efficient appliances

“…Results are encouraging, and all proposed hypotheses have been accepted. The findings of this study are consistent with the theory of planned behavior, verifying that attitude is an important antecedent of consumers’ purchase intention of energy-efficient home appliances in China (Hua and Wang, 2019), South Korea (Kim and Han, 2010), India (Yadav and Pathak, 2016), Egypt (Mostafa, 2007), Malaysia (Ta et al , 2017) and Jordan (Akroush et al , 2019). In terms of the positive influence of perceived consumer effectiveness on purchase intention of energy-efficient home appliances in Pakistan, the findings of the study support previous researchers’ findings.…”

Factors affecting the intention to adopt light-emitting diode lighting at home

“…One reason may be that the selected respondents in that study included those who were not aware of what LED lighting is, while in this study the respondents were households that might have been willing to buy LED lighting. Nevertheless, this study's findings also contradict Akroush et al, 36 whose respondents were households who were familiar with LED lighting. In contrast, Kim et al 37 found price to be positively related to consumer purchase intention, but their study did not focus on LED lighting nor energy-saving devices.…”

“…Even though LED lights are expensive, they last longer and provide greater value than their older alternatives. Leelakulthanit, 35 in her study, found price was not an important determinant in purchasing LED lights among Thailand's communities, while Akroush et al 36 found price was negatively related to consumers' attitudes and purchase intentions towards energy-efficient products among Jordanian households. On the other hand, Kim et al 37 found price to be positively related to consumer purchase intentions.…”

“…Leelakulthanit, 35 in her study, found price was not an important determinant in purchasing LED lights among Thailand’s communities, while Akroush et al. 36 found price was negatively related to consumers’ attitudes and purchase intentions towards energy-efficient products among Jordanian households. On the other hand, Kim et al.…”

The Role of Perceived Benefits in Formation of Intention to Use Islamic Crowdfunding Platform Among Small and Medium Enterprises in Malaysia

“…According to Ryu (2018a) who studied the benefit of Fintech adoption, perceived benefit is defined as users' perception of the potential that Fintech usage will result in a positive outcome. Perceived benefits have been utilised as a direct determinant of intention in many studies (Ryu, 2018;Lee, 2009;Akroush et al, 2018). For example, Akroush et al (2018) studied the factors affecting consumers' purchasing intention towards energy-efficient products in Jordan.…”