Perceived Price and Organic Food Consumption Behaviour

Abstract. This research aims to analyze the organic food consumption behaviour of the consumers, measured by utilitarian and hedonist behaviour, due to the perceived price effect to trigger consumers’ purchase intention. To address this objective, a quantitative research design has been implemented by distributing the questionnaires. 347 usable data were analyzed by using SEM-based Covariance. The research results show that perceived price has a positive significant effect on utilitarian and hedonist behaviour, and then the utilitarian and hedonist also affect purchase intention. However, purchase intention is directly much more determined by perceived price than utilitarian and hedonic behaviour. Even though, the high price in this research is less barrier, the research results imply that the company management of the organic product must create, offer, and deliver the high quality of the organic products within the competitive price to boost the purchase intention improvement of the consumers. Keywords: Organic Food, Perceived Price, Utilitarian, Hedonist, Purchase Intention