Green Marketing for Millennial Consumer Purchasing Decisions Through Brand Perception

Abstract

There is a lack of public awareness regarding the purchase of eco-friendly products. Understanding pro-environmental attitudes and purchasing behaviours related to green marketing is crucial for shaping brand perception and consumer decisions. Therefore, this study aims to analyse the impact of green marketing on brand perception and purchasing decisions, the impact of brand perception on purchasing decisions, and the role of brand perception as a mediating variable. The research employs a quantitative causal approach. The sample consisted of 350 millennial consumers selected through purposive sampling. Data were collected over four months using an online questionnaire with a 1-to-5 point Likert scale. Data were analysed using SEM-PLS, involving evaluations of both the outer and inner models. The questionnaire was confirmed to be reliable, with loading factor values ranging from 0.79 to 0.87, Cronbach's Alpha values ranging from 0.918 to 0.927, and Composite Reliability values ranging from 0.932 to 0.941. The R-squared values were 0.468 for brand perception and 0.602 for purchasing decisions, indicating moderate to strong explanatory power. The results demonstrate that green marketing has a positive and significant effect on brand perception (beta = 0.684, t = 13.221, p < 0.001) and purchasing decisions (beta = 0.372, t = 6.145, p < 0.001), while brand perception also has a positive and significant effect on purchasing decisions (beta = 0.491, t = 7.842, p < 0.001). Furthermore, brand perception was found to mediate the effect of green marketing on purchasing decisions (beta = 0.336, t = 6.589, p < 0.001). This mediation is classified as partial because both the direct and indirect effects were significant. In conclusion, the effectiveness of green marketing is determined by strategic implementation and the ability to shape a credible brand perception. The findings imply that companies need to integrate eco-friendly innovation, transparent communication, product quality, and brand reputation strengthening to enhance consumer trust.