The findings provide new insights into how consumers evaluate frozen meat products, particularly in local small and medium-sized enterprises (SMEs). As demand for convenient and ready-to-prepare foods continues to rise, understanding what drives purchasing decisions has become increasingly important for businesses seeking to remain competitive.
Frozen Food Industry Faces Growing Competition
Indonesia’s culinary industry has experienced rapid growth over the past decade, driven by changing lifestyles, urbanization, and increasing consumer demand for practical food solutions. Frozen food products have become an essential part of modern consumption patterns because they offer convenience, longer shelf life, and ease of preparation.
The study focused on Kanasap, a meat processing and preservation business located in Sungai Raya District, Kubu Raya Regency, West Kalimantan. Kanasap produces frozen smoked beef and smoked chicken using traditional smoking methods combined with freezing technology to preserve flavor and product quality.
Like many food businesses, Kanasap operates in an increasingly competitive market. Rising raw material costs and the emergence of new competitors have created challenges for maintaining sales growth. Company sales data showed fluctuations over recent years, declining from IDR 163.91 million in 2022 to IDR 155.15 million in 2023 before increasing to IDR 171.90 million in 2024.
These market changes prompted researchers to investigate which factors most strongly influence consumer purchasing decisions.
How the Research Was Conducted
The research used a quantitative survey approach involving 100 Kanasap customers who were at least 18 years old and had purchased the products more than once.
Data were collected through:
- Consumer questionnaires
- Interviews
- Direct observations
- Company sales and pricing records
The researchers analyzed the information using statistical regression techniques to determine the influence of product quality and price on purchasing decisions.
By focusing on actual customers rather than hypothetical consumers, the study provides a practical picture of how purchasing decisions are made in the frozen food sector.
Product Quality Emerged as the Strongest Factor
The results revealed that both product quality and price significantly influence consumer purchasing decisions. However, product quality demonstrated a stronger effect than pricing.
The statistical model showed a positive relationship between both variables and purchasing decisions, indicating that improvements in quality and appropriate pricing can increase the likelihood of consumer purchases.
Several key findings emerged:
- Product quality significantly influences purchasing decisions.
- Price also significantly influences purchasing decisions.
- Product quality has a greater impact than price.
- Product quality and price together explain 54.3 percent of purchasing decision variations.
- The relationship between these variables is considered strong, with a correlation coefficient of 0.737.
The findings suggest that consumers are willing to pay a reasonable price when they perceive strong value from the product.
Consumers Evaluate More Than Just Cost
Unlike many food products consumed immediately after purchase, frozen foods undergo storage, thawing, and reheating before consumption. As a result, consumers evaluate quality using several criteria beyond taste alone.
According to the study, consumers consider:
- Flavor consistency
- Product cleanliness and safety
- Shelf life and durability
- Quality after thawing and reheating
- Overall convenience
Most survey respondents were working-age adults with active lifestyles who valued practical meal solutions without sacrificing quality.
For these consumers, product quality represents the primary benefit received from a purchase, while price represents the cost of obtaining that benefit. Purchasing decisions are made by balancing both factors rather than focusing exclusively on the lowest price available.
Implications for SMEs and Food Businesses
The findings carry important implications for small and medium-sized food businesses across Indonesia and other developing markets.
Many businesses attempt to attract customers through aggressive price competition. However, the research suggests that maintaining consistent product quality may be a more sustainable strategy for increasing sales and building consumer trust.
According to Amanda and Samsuddin of Universitas Muhammadiyah Pontianak, consumers evaluate frozen food products based on the balance between perceived benefits and the price paid. In other words, customers are more likely to purchase when they believe the quality justifies the cost.
Based on the findings, businesses should prioritize:
- Maintaining consistent product taste
- Ensuring food safety and hygiene standards
- Preserving product quality during storage
- Improving packaging quality
- Setting competitive but value-based prices
- Expanding marketing through social media and digital platforms
The researchers also noted that quality and pricing should not be treated as separate strategies. Instead, they work together to create consumer perceptions of value.
Why the Findings Matter
The frozen food industry continues to expand globally as consumers seek convenient meal options that fit busy lifestyles. For local food producers and SMEs, understanding consumer priorities can improve business performance and competitiveness.
The study demonstrates that consumers do not necessarily choose the cheapest option. Instead, they look for products that deliver reliable quality, convenience, and value for money.
For policymakers and business development agencies, the findings highlight the importance of helping SMEs improve product quality standards, food processing capabilities, and branding strategies rather than focusing solely on price competitiveness.
As competition in the food industry intensifies, businesses that consistently deliver quality may be better positioned to build customer loyalty and achieve long-term growth.
Author Profiles
Cici Amanda is a researcher from the Faculty of Economics and Business, Universitas Muhammadiyah Pontianak, Indonesia. Her research interests include consumer behavior, marketing management, and small business development.
Samsuddin is a lecturer and researcher at the Faculty of Economics and Business, Universitas Muhammadiyah Pontianak. His areas of expertise include marketing strategy, consumer behavior, business management, and SME development.
Source
Article Title: The Influence of Product Quality and Price on Purchase Decision for Processed and Preserved Meat Products at Kanasap Businesses in Sungai Raya Subdistrict
Authors: Cici Amanda, Samsuddin
Journal: Asian Journal of Applied Business and Management (AJABM)
Year: 2026
Volume and Issue: Vol. 5, No. 2, pp. 545–560
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