Product Quality Matters More Than Greenwashing for Thrift Shoppers, Study Finds

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FORMOSA NEWS - Jakarta - Product quality plays a far greater role in determining customer satisfaction than environmental marketing claims among thrift clothing shoppers, according to a new study conducted at Pasar Senen, Central Jakarta. Researchers found that greenwashing—the practice of making misleading or exaggerated environmental claims—does not significantly influence how satisfied consumers feel after purchasing secondhand clothing. The study was conducted by Dinda Oktaviani and Dr. Peggy Ratna Marlianingrum, S.Pi., M.Si. from Muhammadiyah University of Technology Jakarta and was published in 2026. The findings provide valuable insights for sustainable fashion businesses as consumers increasingly prioritize product quality over environmental branding.

The global fashion industry remains one of the world's largest contributors to environmental pollution, generating millions of tons of textile waste every year. In Indonesia, growing environmental concerns have encouraged consumers to adopt more sustainable shopping habits, including purchasing secondhand clothing through the rapidly expanding thrift market.

Pasar Senen in Central Jakarta has become one of Indonesia's largest thrift clothing marketplaces, attracting thousands of shoppers seeking affordable and unique fashion items. As the popularity of sustainable fashion grows, however, businesses have increasingly used environmental messages in their marketing. Some of these claims genuinely reflect sustainable practices, while others may constitute greenwashing by overstating environmental benefits without sufficient evidence.

This issue became the focus of the research conducted by Dinda Oktaviani and her research supervisor, Dr. Peggy Ratna Marlianingrum. The researchers examined whether perceived greenwashing affects consumer satisfaction, how product quality influences purchasing experiences, and whether environmental awareness strengthens these relationships.

The study surveyed 175 thrift clothing consumers at Pasar Senen who had previous experience purchasing secondhand apparel and were familiar with environmental issues. Most respondents were between 18 and 24 years old, representing Indonesia's Generation Z consumers. Data were collected through online questionnaires and analyzed using Structural Equation Modeling (SEM) with SmartPLS to evaluate the relationships among the research variables.

The results reveal that product quality has a significant positive effect on consumer satisfaction. Customers expressed higher satisfaction when the clothing they purchased met their expectations in terms of physical condition, durability, functionality, and overall value.

In contrast, greenwashing showed no significant effect on customer satisfaction. Consumers tended to focus primarily on the actual quality and condition of thrift clothing rather than on environmental claims made by sellers. The findings also suggest that many shoppers are not yet able to distinguish between genuine sustainability efforts and misleading green marketing practices.

The research further found that environmental awareness positively influences consumer satisfaction. Individuals who are more concerned about environmental issues tend to feel more satisfied when purchasing secondhand clothing because they believe their purchases contribute to reducing textile waste and promoting sustainable consumption.

However, environmental awareness does not moderate the relationship between greenwashing and consumer satisfaction. In other words, even environmentally conscious consumers were not significantly more sensitive to misleading sustainability claims than other shoppers.

On the other hand, environmental awareness strengthens the positive relationship between product quality and customer satisfaction. Consumers who care about environmental sustainability appreciate high-quality thrift products not only because of their physical condition but also because purchasing durable secondhand clothing extends product life cycles and helps reduce fashion waste.

The study's key findings include:

  • Greenwashing does not significantly influence consumer satisfaction.
  • Product quality has a significant positive impact on customer satisfaction.
  • Environmental awareness directly increases consumer satisfaction.
  • Environmental awareness does not strengthen or weaken the effect of greenwashing on satisfaction.
  • Environmental awareness strengthens the positive effect of product quality on customer satisfaction.

The researchers also reported that the variables examined explained only 10.3% of consumer satisfaction, indicating that many other factors—including price perception, customer trust, service quality, brand credibility, and shopping experience—may also shape consumer satisfaction in Indonesia's growing thrift market.

According to Dinda Oktaviani and Dr. Peggy Ratna Marlianingrum, the findings offer an important lesson for thrift retailers and sustainable fashion businesses. Building customer satisfaction requires more than simply promoting environmental messages. Transparency, honesty, and consistently offering high-quality products remain the most effective ways to earn consumer trust and encourage repeat purchases.

The study also highlights the need for businesses to avoid relying on unsupported sustainability claims. As consumers become increasingly informed about environmental issues, companies that genuinely implement sustainable practices and communicate them transparently are more likely to build long-term customer loyalty.

Beyond the business sector, the findings may also support policymakers and consumer protection agencies in promoting clearer standards for environmental marketing. Improving public understanding of greenwashing can help consumers make more informed purchasing decisions while encouraging businesses to adopt authentic sustainability practices rather than misleading promotional strategies.

Author Profile

Dinda Oktaviani is a researcher from the Muhammadiyah University of Technology Jakarta whose research interests include marketing management, consumer behavior, sustainable marketing, and green consumerism.

Dr. Peggy Ratna Marlianingrum, S.Pi., M.Si. is a lecturer and researcher at the Muhammadiyah University of Technology Jakarta, specializing in management, business research, consumer behavior, and sustainability strategy.

Research Source

Article Title: The Effect of Greenwashing Practices and Product Quality on Consumer Satisfaction Moderated by Environmental Awareness (Study on Clothing Thrift at Pasar Senen)

Authors: Dinda Oktaviani & Dr. Peggy Ratna Marlianingrum, S.Pi., M.Si.

Journal: International Journal of Management and Business Intelligence (IJBMI), Vol. 4, No. 3, 2026, pp. 605–620.

DOI: https://doi.org/10.59890/ijmbi.v4i3.20

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