Promotion, Price, and Customer Decisions to Upgrade Electricity Capacity: A Value-Based Decision Approach
DOI:
https://doi.org/10.61987/bamj.v4i2.2411Keywords:
Value-Based Decision, Promotion , Price , Customer Purchase DecisionAbstract
This study examined the influence of promotion and price on customers’ decisions to upgrade electricity capacity from a value-based decision perspective. The study focused on consumer decision-making behavior in public electricity utility services, particularly in the context of electricity capacity upgrades. A quantitative approach was employed using survey data collected from 100 customers who had experienced electricity capacity upgrade services. The data were analyzed using multiple linear regression analysis. The results showed that both promotion and price had significant positive effects on customer purchase decisions. However, price was identified as the more dominant factor influencing customer behavior. Promotion and price simultaneously explained 83.6% of the variance in customer purchase decisions. These findings indicate that customers in public utility services tend to make rational, value-oriented decisions, in which affordability and perceived economic benefits play a stronger role than promotional communication. This study contributes to marketing and consumer behavior literature by extending the value-based decision framework to public electricity utility services. The findings also provide managerial implications for developing customer-oriented pricing policies and effective digital promotion strategies in the electricity sector.
References
Abusafia, A., Bouguettaya, A., & Lakhdari, A. (2022). Maximizing Consumer Satisfaction of IoT Energy Services. The University of Sydney, Sydney, 1–15. https://doi.org/10.1007/978-3-031-20984-0_28
Afrianda, R., Zainal, V. R., Siswanti, I., & Nawangsari, L. C. (2024). Economic Analysis and Factors Influencing Customer Satisfaction and Electricity Purchase Decisions in a Case Study at PT PLN in Indonesia. International Journal of Economic Literature (INJOLE), 1(10), 1664–1676. https://doi.org/10.1016/j.heliyon.2024.e31415
Agung, H., Mayke, N., Normasari, E., Clarisa, I., Friscilla, S., Ardhanayudha, I., Simaremare, A., & Nurrohman, F. (2024). Customer’s Response to Dynamic Pricing in Utility Energy Tariff Quality and Reliability with the Time of Use: An Empirical Case Study of Household Electricity Customers in Indonesia. Heliyon, 10(11), e31415. https://doi.org/10.1016/j.heliyon.2024.e31415
Al-Abdullatif, A. M., & Alsubaie, M. A. (2024). ChatGPT in Learning: Assessing Students' Use Intentions Through the Lens of Perceived Value and the Influence of AI Literacy. Behavioral Sciences, 14(9), 845. https://doi.org/10.3390/bs14090845
Alford, S., & Teater, B. (2025). Quantitative Research. In Handbook of Research Methods in Social Work (pp. 156–171). Edward Elgar Publishing. https://doi.org/10.4337/9781035310173.00023
Biscaia, R., Yoshida, M., & Kim, Y. (2023). Service Quality and Its Effects on Consumer Outcomes: A Meta-Analytic Review in Spectator Sport. European Sport Management Quarterly, 23(3), 897–921. https://doi.org/10.1080/16184742.2021.1938630
Dwi, E., & Rusmawan, T. (2024). Investigating the Role of Viral Marketing and Brand Awareness on Purchase Decisions: An Empirical Study in Indonesian Online Shops. International Journal of Data and Network Science, 8, 1715–1726. https://doi.org/10.5267/j.ijdns.2024.2.016
ElKhatib, M., Angelova, Y., & Kazim, H. (2024). Digital Transformation Significance on Quality of SMART Services: Innovation, Mobility, Adaptability, Analytical Ability and Trust. In 2024 2nd International Conference on Cyber Resilience (ICCR) (pp. 1–4). IEEE. https://doi.org/10.1109/ICCR61006.2024.10533077
Fadillah, M. B., & Hidayah, R. T. (2025). The Effect of Service Quality on Customer Satisfaction, Attitude, and Loyalty of PT PLN (Persero) UP3 Rantauprapat. International Journal of Science, Technology & Management, 6(4), 928–940. https://doi.org/10.46729/ijstm.v6i4.1335
Gârdan, I. P., Roșca, M. I., Gârdan, D. A., Andronie, M., Roșca, L. D., & Paștiu, C. A. (2025). Adoption of 3D-Printed Food in Romania: Price Perception as a Key Determinant of Consumer Acceptance. Foods, 14(24), 4306. https://doi.org/10.3390/foods14244306
Hidayat, R. (2021). Buying Decision Influence with Price, Product Quality and Promoting. International Journal of Economic, Technology and Social Sciences, 2(1), 216–226. https://doi.org/10.53695/injects.v2i1.384
Huh, I., & Gim, J. (2025). Exploration of Likert Scale in Terms of Continuous Variable with Parametric Statistical Methods. BMC Medical Research Methodology, 25(1), 218. https://doi.org/10.1186/s12874-025-02668-1
Iqbal, K., Munawar, H. S., & Inam, H. (2021). Promoting Customer Loyalty and Satisfaction in Financial Institutions Through Technology Integration: The Roles of Service Quality, Awareness, and Perceptions. Sustainability, 13(23), 12951. https://doi.org/10.3390/su132312951
Islahuben, I., Widayati, C. C., Yenita, Y., & Budiawan, L. S. (2023). The Influence of Product Quality, Promotion and Price on Purchasing Decisions. Journal of Accounting and Finance Management, 4(3), 258–265. https://doi.org/10.38035/jafm.v4i3.235
Koo, M., & Yang, S. W. (2025). Likert-Type Scale. Encyclopedia, 5(1), 18. https://doi.org/10.3390/encyclopedia5010018
Kotler, P., & Keller, K. L. (2016). Marketing Management (15th ed.). Pearson.
Kovacheva, A., & Nikolova, H. (2024). Uncertainty Marketing Tactics: An Overview and a Unifying Framework. Journal of the Academy of Marketing Science, 52(1), 1–22. https://doi.org/10.1007/s11747-023-00941-7
Lee, A. T., Ramasamy, R. K., & Subbarao, A. (2025). Understanding Psychosocial Barriers to Healthcare Technology Adoption: A Review of TAM Technology Acceptance Model and Unified Theory of Acceptance and Use of Technology and UTAUT Frameworks. Healthcare, 13(3), 250. https://doi.org/10.3390/healthcare13030250
Lim, W. M., & Weissmann, M. A. (2023). Toward a Theory of Behavioral Control. Journal of Strategic Marketing, 31(1), 185–211. https://doi.org/10.1080/0965254X.2021.1890190
Lindner, J. R., & Lindner, N. (2024). Interpreting Likert-Type, Summated, Unidimensional, and Attitudinal Scales: I Neither Agree nor Disagree, Likert or Not. Advancements in Agricultural Development, 5(2), 152–163. https://doi.org/10.37433/aad.v5i2.351
Maulid, D. L., Hurriyati, R., & Hendrayati, H. (2022). The Impact of Social Media Marketing on Consumer Purchase Decisions. Advances in Economics, Business and Management Research, 220, 231–235. https://doi.org/10.2991/aebmr.k.220701.045
Mihajlovic, M., Savic, A., & Sarcevic, V. (2025). Stages in the Consumer Buying Decision-Making Process. MEST Journal, 13(2), 166–176. https://doi.org/10.12709/mest.13.13.02.14
Mou, A. J. (2024). Marketing Capstone Insights: Leveraging Multi-Channel Strategies for Maximum Digital Conversion and ROI. Review of Applied Science and Technology, 3(4), 1–28. https://doi.org/10.63125/5w76qb87
Nazari, Z., & Musilek, P. (2023). Impact of Digital Transformation on the Energy Sector: Algorithms Review. Algorithms. https://doi.org/10.3390/a16040211
Niyomyaht, S. (2014). Research Methods for Business. Academic Journal Bangkokthonburi University, 2(2), 203–206.
Olarewaju, T., Belitski, M., Dalziel, N., Do, H., & McLuskie, P. (2026). A Student or an Entrepreneur? Financial Capability, Behavioral Control and Subjective Norms as Pathways to Entrepreneurial Activity at University. International Journal of Entrepreneurial Behavior & Research, 1–23. https://doi.org/10.1108/IJEBR-03-2025-0368
Quality, S., Image, C., & Decision, P. (2021). The Effect of Price, Service Quality, and Company Image on Purchase Decisions on Jalanjalan.id Gresik. International Journal of Economics, Business and Accounting Research (IJEBAR), 5(2), 304–317. https://doi.org/10.29040/ijebar.v5i2.2468
Rahmawati, N., & Samiono, B. E. (2024). Pengaruh Affiliate Marketing dan Sales Promotion terhadap Impulsive Buying pada Marketplace Lazada. Prosiding Seminar Nasional Penelitian dan Pemberdayaan Masyarakat 2024, 20–21. https://doi.org/10.36722/psn.v4i1.3463
Rakangthong, N. K., Kim, L., Ru-Zhue, J., Nupueng, S., & Issayeva, G. (2025). From Service Attributes to E-Banking Value Development Influencing E-Banking User Feedback: A Moderating Effect of Technological Competency. Journal of Financial Services Marketing, 30(2), 14. https://doi.org/10.1057/s41264-025-00307-w
Salim, A., & Fermayani, R. (2021). Pengaruh Potongan Harga, Promosi Penjualan, Tampilan dalam Toko terhadap Keputusan Pembelian Impulsif Konsumen Matahari Departement Store Padang. Menara Ekonomi, 7(3), 1–14. https://doi.org/10.31869/me.v7i3.2836
Sharma, L. R., Bidari, S., Bidari, D., Neupane, S., & Sapkota, R. (2023). Exploring the Mixed Methods Research Design: Types, Purposes, Strengths, Challenges, and Criticisms. Global Academic Journal of Linguistics and Literature, 5(1), 28–35. https://doi.org/10.36348/gajll.2023.v05i01.002
Thomas, D., & Zubkov, P. (2023). Quantitative Research Designs. Quantitative Research for Practical Theology, 5(6), 103–114.
Todorova, M. (2026). Price as a Communication Signal: Theoretical Dependencies Between Price and Perceived Quality. Open Journal of Business and Management, 14(1), 681–692. https://doi.org/10.4236/ojbm.2026.141040
Wang, D., & Xia, X. (2024). The Impact of Corporate Digital Transformation on Firms’ Performance in Utilities Sector. Heliyon, 10, e23362. https://doi.org/10.1016/j.heliyon.2023.e23362
Yin, C. C. (2025). Integrating or Tailoring? Optimizing Touchpoints for Enhanced Omnichannel Customer Experience. Journal of Research in Interactive Marketing, 19(6), 1001–1017. https://doi.org/10.1108/JRIM-11-2023-0418
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Muhamad Patriansyah, Diah Natalisa, Ahmad Maulana

This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.






