The impact of cause related marketing on consumer purchase intention : a study of halal food products in Malaysia

Abstract

In view of the potential growth of Halal food industry worldwide, Malaysia’s economy is expected to be the Halal global hub by 2020. Muslim consumers are increasinly becoming aware of their purchasing power and it’s efficiency on rewarding companies for being more responsible about the community and the environment. In this study, the researcher took the initiative to examine the impact of cause-related marketing campaigns (CRM) with Islamic related cause in motivating consumer toward purchasing Halal food products in Malasia. The researcher conducted the study in Malaysia Kelang valley targeting local Muslim consumers in general and many other nationalities. The sample of the study consists of 300 respondents of which 223 are males, and 77 are females. Typically, responses were drawn from a convenient sample. The first part of the survey was a self-developed checklist to investigate respondents’ demographics. The second part was adapted from previous researches to measure the impact of the independent variables on consumer purchase intention of Halal food products. In this study, the researcher supported his argument with the adaption of the TPB theoretical model to support the conceptual model, which was supported by many other scholars. The study instrument represented the five variables, three of which are presented as TPB model variables namely attitude, subjective norms, perceived behavior control, and the native variable CRM and their impact on purchase intention. The study outcome showed that consumers whom CRM campaigns influence are willing to purchase Halal food products as all the independent variables attitude, subjective norms, perceived behavior control and most importantly CRM all showed a significant impact on consumer purchase intention for Halal food products. The findings of the study implied valuable contribution in various aspects. Theoretically, the study findings showed conclusive evidence for the establishment of TPB. The study results greatly synchronized positive with the findings of previous studies. From the managerial perspective, the research findings come to validate CRM as a potential marketing strategy, especially for the Halal food industry. The results have shown that consumers are significantly influenced by CRM campaigns, especially if when they are authentic and meet the trending social and environmental causes. Managers need to invest in the opportunity of changing their companies commercial marketing strategy to a more authentic and efficient CRM strategy. Finally, as a consequence for the validation of the impact of CRM on consumer and effectiveness in improving companies marketing strategy, the researcher proposed recommendation for the policy to impose regulations for companies to adapt to CRM strategy with related cause to Islamic values and Maqasid Al Sharia to cater for Muslim consumers needs and concerns. This study was limited to Muslim consumers in Kelng valley and to the Malaysian context so that the researcher would recommend further studies in various Islamic countries with promising potentials for the Halal industry.