Promotion, Price, and Customer Decisions to Upgrade Electricity Capacity: A Value-Based Decision Approach

Authors

  • Muhamad Patriansyah Universitas Sriwijaya, Indonesia
  • Diah Natalisa Universitas Sriwijaya, Indonesia
  • Ahmad Maulana Universitas Sriwijaya, Indonesia

DOI:

https://doi.org/10.61987/bamj.v4i2.2411

Keywords:

Value-Based Decision, Promotion , Price , Customer Purchase Decision

Abstract

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.

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Published

2026-08-23

How to Cite

Patriansyah, M., Natalisa, D., & Maulana, A. (2026). Promotion, Price, and Customer Decisions to Upgrade Electricity Capacity: A Value-Based Decision Approach. Business and Applied Management Journal, 4(2), 377–388. https://doi.org/10.61987/bamj.v4i2.2411

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