SIGNIFICANCE OF IMPULSE PURCHASE: RESULTS

RESULTSCorrelation Analysis

In order to identify relationships between variables, Pearson correlation analysis is used. The Pearson coefficient can have a value ranging from -1.00 (indicating strong negative relationship), over 0.00 (indicating no correlation is existent) to +1.00 (indicating a perfect positive correlation). The significance of a correlations shows if the statistic is reliable. However, significances may be low due to the small sample size.

Impulse Purchase

According to Higgins (1999) two factors ignite the urge to buy on impulse. They are, need for positive outcome or to avoid previous bad experience. The two hypothesises below are tested accordingly.

Seeking Positive Outcome from Impulse Purchase

Higgins (1999) proposed that consumers often choose new products without prior knowledge to get better results than the products they have used before as they consider the innovation to be more advanced than the products which are already exist on the market. Accordingly, this research tested the next theory.

Table 1 : Correlation between “Buy new products from any brands” & “In case of any product which I never heard before I buy by gut feeling”
table1Significance of Impulse Purchase_decrypted-1
Correlations

From the previous output, it is quite clear from the P value (sig value) of the test that the null hypothesis of the test will be rejected at any significance level above 0. This finding is also backed by the correlation of .358, which suggests a positive relationship. Therefore, it can be suggested that “Buy new products from any brands” and “In case of any product which I never heard before I buy by gut feeling” do converge on some level. Therefore, customers go for gut feeling in buying any new product. They certainly do take an impulsive approach in their buying decisions to get positive outcomes.

Impulse Purchase to Avoid Bad Experience

Higgins (1999) mentioned that consumers’ tend to take risk by buying a new product in the market to avoid previous bad experience occurred from using existing product. Similarly, this research tested the following theory.

Table 2 : Correlation between “Buy new products from any brands” & “If I didn’t like any brand in the past I would buy any brand randomly”
table2Significance of Impulse Purchase_decrypted-2

From the above output, it is quite clear from the P value (sig value) of the test that the null hypothesis of the test will be rejected at any significance level above 0. This finding is also backed by the correlation of .758, which suggests a strong relationship. Therefore, it can be suggested that “Buy new products from any brands” and “If I didn’t like any brand in the past I would buy any brand randomly” do converge on strongly significant level.