Grace Kusumawardhani
Faculty of Economics and Business, Universitas Mercu Buana, Jakarta, Indonesia

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The Effect off Product Innovation and Eco-Friendly Labels on Purchase Intention for Biotalk Products: Consumer Preference as A Mediating Variable Grace Kusumawardhani; Catur widayati; Garin Pratiwi Solihati; Devy Mawarnie Puspitasari
Dinasti International Journal of Digital Business Management Vol. 7 No. 6 (2026): Dinasti International Journal of Digital Business Management (October - Novembe
Publisher : Dinasti Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.38035/dijdbm.v7i6.7461

Abstract

This study aims to analyze the effect of product innovation and eco-friendly labels on consumers' purchase intention for Biotalk products, with consumer preference as a mediating variable. The study employed a causal quantitative approach with a survey of 170 Biotalk consumers in the DKI Jakarta area, selected using purposive sampling. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4.0.9.6. The results show that product innovation has no significant direct effect on purchase intention, whereas eco-friendly labels and consumer preference have a positive and significant effect on purchase intention. Product innovation and eco-friendly labels also have a positive and significant effect on consumer preference. Furthermore, consumer preference fully mediates the effect of product innovation on purchase intention and partially mediates the effect of eco-friendly labels on purchase intention. These findings indicate that consumers do not automatically translate their perceptions of product innovation into purchase intention. Innovation needs to be perceived as aligned with consumers' needs, health values, and environmental concerns. Conversely, eco-friendly labels function as information that can build trust and preference while also directly encouraging purchase intention. This study contributes to the sustainable marketing literature by positioning consumer preference as a mechanism that explains the relationship between product attributes and purchase intention in the context of natural soap products.