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The Role of Brand Image as a Mediation of The Effect of Advertising and Sales
Promotion on Customer Purchase Decision

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DOI: 10.7176/JESD/13-8-09

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Journal of Economics and Sustainable Development www.iiste.org
ISSN 2222-1700 (Paper) ISSN 2222-2855 (Online)
Vol.13, No.8, 2022

The Role of Brand Image as a Mediation of The Effect of

Advertising and Sales Promotion on Customer Purchase Decision
Sulaiman Helmi 1* Sunda Ariana2, Lalu Supardin3
1. Ph.D. in Economics, Faculty of Business and Economics, Universitas Bina Darma, Kota Palembang,
Sumatera Selatan 30111, Indonesia
2. Ph.D in Management, Faculty of Business and Economics, Universitas Bina Darma, Kota Palembang,
Sumatera Selatan 30111, Indonesia
3. Faculty of Economics, Universitas Sarjanawiyata Tamansiswa, Yogyakarta 55165, Indonesia
* E-mail of the corresponding author: Leman.helmi.lh@gmail.com
Abstract
Some researchers and marketing practitioners still rarely study comprehensively and in-depth the role of
advertising and sales promotion in improving brand image and customer purchase decisions, especially by
involving well-established basic theories in the field of marketing science. This study aims to examine and analyze
in a comprehensive and in-depth manner the role of advertising, sales promotion, and brand image on customer
purchase decisions on the ShopeeFood platform in Indonesia. This study uses a survey approach and involves as
many as 198 teenagers and adults who have used online food delivery services. The process of testing and
analyzing data used a structural equation modeling (SEM) approach with software AMOS version 24. This study
confirmed several findings, advertising and sales promotion were found to have a significant effect on brand image
and customer purchase decisions, the brand image was also found to have a positive and significant effect on
customer purchase decisions. This study explains that advertising, sales promotion, and brand image are the
antecedents of attitude that encourage the formation of behavior within the framework of the theory of planned
behavior (TPB). This study can be used as a reference for marketing practitioners to develop and design effective
strategies to build and improve brand image and customer purchasing decisions for a product or service they offer.
Keywords: Advertising, Sales Promotion, Brand Image, Customer Purchase Decision
DOI: 10.7176/JESD/13-8-09
Publication date: April 30th 2022

1. Introduction
Brand image is still the focus of attention of some practitioners and researchers in the field of marketing science
because it influenced interest and purchasing decisions for a product or service (Hanaysha, 2018). Brand image is
defined as a perception of a brand which is described as a brand association in the memory of consumers (Keller
& Swaminathan, 2020). Consumers will recall information about a brand, and this happens in general when
consumers participate in decision-making. Several pieces of literature have revealed that brand image can be
formed and strengthened through several approaches, such as promotion (Agmeka et al., 2019), advertising (Raji
et al., 2019), service quality (Wu et al., 2011), and so on. Brand image is reported to be one of the factors that
encourage consumers to use a product or service on an ongoing basis (Ramesh et al., 2019). In an empirical study,
brand image is reported to have an important role in increasing sales (Gilaninia & Mousavian, 2012).
Theoretically, the urgency of the role of brand image in influencing customer purchasing decisions can be
explained through the perspective of Ajzen's (1991) theory of planned behavior (TPB). According to Ajzen (2020),
the theory of planned behavior essentially explains that a person exhibits certain behaviors because of the impetus
for behavioral intentions that were previously influenced by attitudes, subjective norms, and perceptions of
behavioral control. In the context of purchasing decisions, brand image can be categorized as an aspect that
influences attitudes which can then trigger an intention to behave (Wu et al., 2020). Some researchers in the field
of marketing still rarely involve the theory of planned behavior in explaining the role of brand image on purchasing
decisions. The involvement of relevant and well-established basic theories in explaining a model is needed,
especially in explanatory research. This is so that the model is easy to understand and has a strong theoretical
foundation.
Behind the positive influence it brings, not many business people, especially in Indonesia, realize the urgency of
brand image for the sustainability of their business. For this reason, it is necessary to do concrete proofs regarding
the urgency of brand image. Regarding the role of brand image in purchasing decisions, some phenomena can be

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used as a basis to strengthen this belief, one of which is the online food delivery business conducted by Shopee.
Shopee through their online food delivery business has proven that brand image is an advantage, this opinion is
proven through the achievements they have achieved. Shopee occupies the top three positions in the online food
delivery business after GoFood and GrabFood (Trilatifah, 2021) even though they can be said to be newcomers to
the business. From the online food delivery business, Shopee has succeeded in strengthening their brand image
and attracting the attention of customers through the product and service innovations they provide (Arimbi, 2021).
Experts report that brand image plays an important role in influencing customer purchasing decisions (Batlajery
& Alfons, 2019; Wardani & Susanto, 2020). Agmeka et al., (2019) revealed the same finding that e-commerce
customers decide to buy products through certain platforms based on brand image considerations.
Some of their image strategies are generally carried out through advertising and sales promotion (Abbas et al.,
2021; Amini et al., 2012). Advertising in several studies was found to be effective in enhancing brand image
(Hanaysha, 2018; Ramesh et al., 2019). However, Hartono & Dewi (2019) conveyed a different finding that
advertising has no significant effect on brand image. Furthermore, experts confirm that sales promotion has a
significant impact on improving the brand image of products and services (Agmeka et al., 2019; Hanaysha, 2020).
However, a different study also revealed that sales promotion did not have any impact on the brand image (Langga
et al., 2019).
This research is expected to provide several positive contributions in the field of marketing science regarding
strategies to encourage customer purchasing decisions on digital platforms. First, researchers and practitioners in
Indonesia still rarely conduct studies on strategies to improve customer purchasing decisions in the context of
digital platforms, especially by involving aspects of brand image, advertising, and promotion in one unified model
(Helmi et al., 2022). This research will conduct a comprehensive and in-depth study regarding the role of brand
image, advertising, and sales promotion on consumer purchasing decisions on the ShopeeFood platform. Second,
there is limited research that studies the role of brand image, advertising, and promotion on purchasing decisions
in the perspective of a well-established basic theory in the field of marketing science. This study will conduct a
comprehensive and in-depth study regarding the role of brand image, advertising, and promotion on consumer
purchasing decisions through the perspective of the theory of planned behavior (TPB).

2. Theoretical Framework and Hypothesis Development

2.1 Customer Purchase Decision
Purchasing decisions involve a sequence of choices formed by consumers before making a purchase that begins
after he has a willingness to fulfill a need (Hanaysha, 2018). Consumers must reach decisions related to the place
of purchase, desired brand, model, amount of purchase, time to purchase, amount of money to be spent, and method
of payment. This decision can certainly be influenced by marketers by providing information about their products
or services that can influence the consumer appraisal process. Blackwell et al., (2001) revealed that to understand
consumer purchasing decisions, marketing managers must understand their consumption processes and the
benefits of organizational products and services in their perceptions.
According to Hanaysha (2018), there are several phases that consumers will go through when they intend to buy
certain products that will affect their purchase decision process and post-purchase behavior. The first stage is
problem recognition by which consumers intend to satisfy their needs and wants. The marketer's role in this phase
arises when using advertising, personal selling, and packaging to generate recognition of a desired need or want.
In the second stage, consumers begin to seek information either from internal sources (usually from their past
experiences) about the product or outside sources, such as friends, family, relatives, neighbors, annual reports,
publications, salespeople, social media, or packaging labels. From these stages, consumers evaluate alternatives
and choose from the brand that best suits them and satisfies their needs (Hanaysha, 2018). Some experts reveal
that consumer purchasing decisions can be influenced by many factors, such as; advertising (Furaji et al., 2013;
Martins et al., 2019), sales promotion (Agbi et al., 2019; Akbar et al., 2020; Hanaysha, 2018; Said et al., 2019),
brand image (Agmeka et al., 2019; Ramesh et al., 2019), price (Hanaysha, 2018), service (Dapas et al., 2019;
Irawan, 2018), and so on.
2.2 Advertising
Advertising is defined as a campaign designed by a company to persuade potential consumers to buy its product
or service because of the benefits it contains and the ability to satisfy needs (Hanaysha, 2020). According to
Agrawal (1966), advertising spend allows brands to retain their customers in the long term and protects them from
switching to other competitors. Previous literature reports that advertising spending plays an important role in

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influencing consumer choice (Basil et al., 2013) and evaluation of brand image (Abbas et al., 2021). Raji et al.,
(2019) found that advertising messages influence consumer perceptions of brands and act as a driver of purchase
intention. Furthermore, according to Raji et al., (2019) advertising is an effective marketing strategy for marketers
to build brand image and consumer perceptions of product quality. Several studies have found that advertising has
a positive effect on the brand image (Abbas et al., 2021; Hanaysha, 2020; Kunkel et al., 2019; Raji et al., 2019)
and consumer purchasing decisions (Furaji et al., 2013; Martins et al., 2013; Porto et al., 2022). Referring to the
theoretical basis and some empirical findings, alternative hypotheses can be proposed:
H1. Advertising has a positive effect on brand image.
H2. Advertising has a positive effect on purchasing decisions
2.3 Sales Promotion
Sales promotion is another element of marketing communication that aims to communicate the company's message
to consumers to increase their interest in buying products and services (Kotler & Armstrong, 2018). Previous
literature describes promotion as an action-focused marketing program whose main goal is set by the brand to
influence consumers and encourage them to form favorable purchasing decisions or participate in product trials
(Hanaysha, 2018). In different literature, Hanaysha (2021) explains that the main purpose of promotion is to attract
the attention of consumers, to provide information about the company's products or services, and to influence their
purchasing decisions. Some previous studies have found that sales promotion plays a significant role in a brand
image (Agmeka et al., 2019; Amini et al., 2012; Hanaysha, 2020). In addition, promotion is also an important
factor in driving customer purchasing decisions (Agbi et al., 2019; Akbar et al., 2020; Hanaysha, 2018; Said et al.,
2019). Referring to the theoretical basis and some empirical findings, alternative hypotheses can be proposed:
H3. Sales promotion has a positive effect on brand image.
H4. Sales promotion has a positive effect on purchasing decisions
2.4 Brand Image
Brand image is defined as the consumer's perception in his memory of the brand which is reflected in brand
associations (Iglesias, 2014). Brand image is also considered as one of the important intangible assets that have an
impact on consumer perceptions (Martínez et al., 2014). Companies carry out brand image development that
indirectly has the potential to expand their brand portfolio (Agmeka et al., 2019). By expanding the brand portfolio
to new products, companies can benefit from an established brand image and awareness. Moreover, it can make
potential customers more aware of their brand image (Kremer & Viot, 2012). Agmeka et al., (2019) explained that
stores that have a high brand image can increase consumers' intention to buy their goods. Recent empirical findings
have found that brand image has a positive effect on customer purchasing decisions (Hanaysha, 2018; Ramesh et
al., 2019; Wardani & Susanto, 2020). Furthermore, the brand image formed from advertising and promotions has
also been shown to encourage customers to make purchasing decisions (Hanaysha, 2018, 2020, 2021). Referring
to the theoretical basis and some empirical findings, alternative hypotheses can be proposed:
H5. Brand image has a positive effect on purchasing decisions
H6. Brand image mediates the effect of advertising on purchasing decisions.
H7. Brand image mediates the effect of sales promotion on purchasing decisions

3. Methodology Research
3.1 Data Collection and Analysis
This research involves users who have used the ShopeeFood platform. From a survey conducted through several
social media platforms such as WhatsApp, Telegram, Facebook, and Instagram, at least 198 respondents from
various circles were obtained. This study uses a structural equation modeling (SEM) approach with software
analysis moment structures (AMOS) version 24 as a data analysis tool. Furthermore, in testing the effect of
mediation, this study uses the Sobel test as has been widely used in some relevant pieces of literature.
3.2 Variable Measurement
The measurement of variables adopts some instruments that have been developed by experts in relevant previous
studies. Consumer purchase decisions are measured using five instruments developed by Shareef et al., (2008) and
(Hanaysha, 2018). Advertising (advertising) is measured using four items developed by Shareef et al., (2008).
Sales promotion was measured using four items developed by Villarejo-Ramos & Sanchez-Franco (2005).
Meanwhile, brand image is measured using five items from Jalilvand & Samiei (2012) and (Agmeka et al., 2019).

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Furthermore, the answer choices for each item or instrument in this study adopted a five Likert scale model, namely
"strongly agree" to "strongly disagree"

4. Results and Discussion

4.1 Model Measurement
The results of the first-order confirmatory factor analysis (CFA) test, overall the construct items showed a loading
factor value > 0.5, meaning that the variable measurement items in the research model were declared valid.
Furthermore, from the test, the variance extracted (VE) value > 0.5 and average variance extracted (AVE) > 0.7
and construct reliability (CR) > 0.7 for the entire research construct, meaning that the items used in the model can
be declared reliable. Furthermore, testing the quality of the instrument using the first-order CFA also displays the
output of the goodness of fit index test. In the advertising construct, the overall index is in the good fit category
(Chi-square, Probability, RMSEA, RMR, GFI, AGFI, CMIN/DF, CFI, and TLI). In the sales promotion construct,
there are five indexes in the good fit category (RMR, GFI, AGFI, CFI, and TLI). In the brand image construct, the
overall index is in the good fit category (Chi-square, Probability, RMSEA, RMR, GFI, AGFI, CMIN/DF, CFI, and
TLI). And in the customer purchase decision construct, there are six indexes in the good fit category (RMR, GFI,
AGFI, CMIN/DF, CFI, and TLI). According to Hair et al., (2014) it takes at least three to 4 indexes in the good fit
category so that the model can be said to be feasible or adequate. Because from the results of the goodness of fit
test, the overall research construct shows more than three indexes in the good fit category, then the research model
can be said to meet the feasibility so that it can be continued to the next testing stage.

4.2 Structural Model

Figure 1. SEM Model

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Table 1. Structural Model Measurement

Construct Items Loading Factor VE AVE CR
Advertising AD1 0,659 0,5105 0,7145 0,7241
AD2 0,626
AD3 0,592
AD4 0,640
Sales Promotion SP1 0,702 0,5533 0,7439 0,7688
SP2 0,797
SP3 0,569
SP4 0,617
Brand Image BI1 0,587 0,5003 0,7073 0,7556
BI2 0,557
BI3 0,644
BI4 0,676
BI5 0,624
Customer Purchase Decision CPD1 0,660 0,5647 0,7515 0,8163
CPD2 0,725
CPD3 0,606
CPD4 0,696
CPD5 0,739

Table 2. Discriminant Validity

Variable AD SP BI CPD
AD 0,715
SP 0,353 0,744
BI 0,300 0,355 0,707
CPD 0,611 0,224 0,243 0,752
Note: AD = Advertising, SP = Sales Promotion, BI = Brand Image, CPD = Customer Purchase Decision.
The measurement of the complete structural model shows that overall the research construct items have a loading
factor value > 0.5, then the items are declared valid. Furthermore, from the measurement of the complete structural
model, the value of variance extracted (VE) > 0.5 and average variance extracted (AVE) > 0.7 and construct
reliability (CR) > 0.7 for the whole construct, the research construct items are declared reliable. Furthermore, the
complete structural model also displays the goodness of fit test value, where there are six indexes in the good fit
category (RMSEA, RMR, GFI, AGFI, CMIN/DF, CFI, and TLI). This finding indicates that the complete
structural model has met the feasibility of the model as stated in the previous article, that it takes three to four
indexes in the good fit category so that the model can be said to be feasible or adequate (Hair et al., 2014).
The number of samples in this study was 198 samples, meaning that the number of samples had met the minimum
sample described in the range of 100-200 samples (Hair et al., 2014). Univariate data normality shows that the
overall critical ratio (c.r) on skewness is more than ± 2.56. Meanwhile, the normality of the multivariate data shows
the number 4.904 or greater than ± 2.56. However, some experts argue that the assumption of multivariate
normality can also be met with a critical kurtosis of no more than 30 (Lai & Hitchcock, 2014; Walker, 2010). This
statement confirms that the research model has met the assumption of normality both univariate and multivariate.
The Mahalanobis distance test shows that there is no data with a d-squared Mahalanobis value > 42.3124, meaning
that there are no outliers in the research data. Finally, the correlation between independent variables shows the
number 0.611 < 0.85, meaning that there is no multicollinearity in the model (Hair et al., 2014). Thus the overall
SEM assumptions have been met so that the data can be analyzed to the next stage.
The results of hypothesis testing show that the standardized estimate of advertising on brand image is 0.300 with
a C.R. of 2.325 > 1.96, meaning that advertising has a positive and significant effect on brand image, then the first
hypothesis is accepted. The standardized estimate of advertising on customer purchase decisions is 0.549 with a
C.R. value of 4.566 > 1.96, this finding means that advertising has a positive and significant effect on customer
purchase decisions, so the second hypothesis is accepted. The standardized estimate of sales promotion value for
the brand image is 0.355 with a C.R. of 2.805 > 1.96, this finding shows that sales promotion has a positive and
significant effect on brand image, so the third hypothesis is accepted. The value of the standardized estimate of
sales promotion to the customer purchase decision is 0.224 with a C.R. of 2.246 > 1.96, this finding proves that
sales promotion has a positive and significant effect on customer purchase decisions, so the fourth hypothesis is
accepted. Finally, the value of the standardized estimate of the brand image on the customer purchase decision is

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0.243 with a C.R. of 2.2622 > 1.96, this finding proves that brand image has a positive and significant effect on
customer purchase decisions, so the fifth hypothesis is accepted.
4.3 Mediation Effect
Table 3. Direct Effect, Indirect Effect, and Total Effect
The direction of Standardized Standardized Influence Conclusion
Mediation Effect Direct Effect Indirect Effect Standardized Total

AD  BI  CPD 0,549 0,073 0,622 Not significant

SP  BI  CPD 0,224 0,086 0,310 Not significant

Referring to the results of the Sobel test calculation, the effect of advertising on customer purchase decisions
through brand image shows the value of tcount 1.747 < ttable 1.96, this finding shows that there is no mediating
role of brand image on the influence of sales promotion on customer purchase decisions, thus the sixth hypothesis
is rejected. Furthermore, regarding the effect of sales promotion on customer purchase decisions through brand
image, the value of tcount 1.919 < ttable 1.96, this finding also shows that there is no mediating role of brand
image on the influence of sales promotion on customer purchase decisions, thus the seventh hypothesis is rejected.

5. Conclusion
The results of testing and data analysis show that advertising has a significant effect on brand image and consumer
purchasing decisions. This finding supports the findings presented in several relevant studies, advertising is a
significant antecedent of brand image (Abbas et al., 2021; Hanaysha, 2020; Kunkel et al., 2019; Raji et al., 2019)
and consumer purchasing decisions (Furaji et al., 2013; Martins et al., 2019; Porto et al., 2022). Advertising can
change the consumer's perspective on a product or service, for that advertising must be packaged in the form of
innovative content to attract consumers' attention (Bakar et al., 2015). In addition, marketers must also be able to
place their product advertisements through certain distribution channels so that they can reach their targets
effectively. An effective and commonly used advertising distribution channel today is through digital platforms.
Experts report that advertising through digital platforms can influence consumer attitudes and purchasing decisions
on a product or service (Dahiya & Gayatri, 2017; Giao & Vuong, 2020). Experts also report that advertising is
proven to increase product sales (Malhotra et al., 2018).
Furthermore, this study confirms that sales promotion also has a positive and significant effect on brand image and
consumer purchasing decisions. This finding strengthens several previous empirical results, that sales promotion
has a significant effect on the brand image (Agmeka et al., 2019; Amini et al., 2012; Hanaysha, 2020) and consumer
purchasing decisions (Agbi et al., 2019; Akbar et al, 2020; Hanaysha, 2018; Said et al., 2019). There are several
ways companies can initiate promotional offers, including; coupons, discounts, premium offers, contests or events,
and other gifts (Hanaysha, 2018). The purpose of promotion is to build consumer interest in buying products (Gorji,
2020) and create a positive impression so that the brand can be embedded in consumers' minds (Raji et al., 2019).
Not much different from advertising strategy, promotion must also use innovative methods and distribution
channels to reach the target market effectively. Experts report that innovative sales promotions are proven to lead
businesses to competitive advantage and sustainable performance achievement (Mensah, 2018; Na et al., 2019).
Brand image in this study was also found to have a significant positive effect on consumer purchasing decisions.
Several experts report that brand image is one of the important aspects that influence consumer interest and
decisions towards a product (Hanaysha, 2018; Ramesh et al., 2019; Wardani & Susanto, 2020). Although there are
still several studies that report that brand image does not bring any changes to consumer purchasing decisions
(Ariestanty et al., 2019). However, other experts say that brand image can be said as part of the competitive
advantage that a business has (Panda et al., 2019; Reyes et al., 2012). There are several aspects that business people
can do to build, maintain, and strengthen their brand image, namely; advertising (Agmeka et al., 2019), promotion
(Raji et al., 2019), product and service quality (Wu et al., 2011), price (Hanaysha, 2018) and so on.
The findings in this study form the basis for the conclusion that brand image, advertising, and sales promotion are
significant antecedents of the construct of consumer purchasing decisions, especially in the context of the
ShopeeFood platform in Indonesia. Brand image, advertising, and promotion from the point of view of the theory
of planned behavior are significant antecedents that can influence an individual's attitude to show certain behaviors
as stated in several studies (Wu et al., 2011). The behavior referred to in the context of this study is specific to
consumer purchasing decisions (Giampietri et al., 2017). This condition is evidenced by research findings that
report a significant influence of advertising, promotion, and brand image on consumer purchasing decisions. Thus,

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this finding clearly states that the theory of planned behavior (TPB) has strong relevance to explain the urgency of
brand image on purchasing decisions.
5.1 Limitations and Recommendations
This study has some limitations, where this study in explaining the role of brand image, advertising, and sales
promotion on purchasing decisions only uses one basic theoretical perspective which is specifically the theory of
planned behavior (TPB). It is hoped that the relevant further studies can explain the influence of these constructs
through different basic theoretical perspectives and are not limited to one basic theoretical perspective. In addition,
this study only positions brand image as a connecting variable between the influence of advertising and promotion
on purchasing decisions. It is hoped that further relevant studies can position the brand image in different roles to
get a new research model. This research only focuses on consumer analysis units using the ShopeeFood platform,
it is hoped that in future studies the analysis units can be aimed at different platform contexts and this step may
produce different findings.
5.2 Implications
Theoretically, this study confirms the significant role of advertising and promotion in improving brand image and
consumer purchasing decisions. The theory of planned behavior (TPB) perspective explains that brand image,
advertising, and sales promotion are antecedents that can change and influence an individual's attitude to show
certain behaviors such as decisions to purchase a product. In a managerial context, this study can serve as a basis
and reference for marketing managers and business institutions to develop and design an effective strategy to build
and strengthen brand image and improve consumer purchasing decisions for the products or services they offer.

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