The Effect of Fashion Involvement, Peer Pressure, and Self-Esteem on Compulsive Buying

(Study on Generation Z as Consumers of H&M Stores in Badung Regency, Bali)

Anak Agung Gita Kharisma^1*, I Gede Nandya Oktora Panasea²

Udayana University, Denpasar, Bali, Indonesia^1,2

Abstract

Changes in individual purchasing behavior are driven by both internal and external factors. The rapid emergence of fashion trends, including clothing, accessories, hairstyles, shoes, and bags, has led to an increasing urge to own the latest fashion products. This behavior is influenced by individuals' high interest in fashion, social pressure, and the desire to enhance self-esteem. This research aims to explain the influence of fashion involvement, peer pressure, and self-esteem on compulsive buying behavior among Generation Z consumers at H&M stores in Badung Regency, Bali. Data collection was conducted through a questionnaire distributed using purposive sampling, resulting in a sample of 140 respondents, determined based on Roscoe's Theory. The data were analyzed using descriptive analysis, classical assumption tests, multiple linear regression, and hypothesis testing. The findings indicate that fashion involvement, social pressure, and self-esteem have a positive and significant impact on compulsive buying, both individually and collectively. The theoretical implication of this study identifies the key factors behind compulsive buying, supporting previous research and aligning variable relationships with established theory. The practical implication highlights that, while compulsive buying presents opportunities for businesses to boost sales, it can have long-term negative consequences for consumers.

Keywords: Fashion Involvement, Peers Pressure, Self Esteem, Compulsive Buying.

This article is licensed under a Creative Commons Attribution-ShareAlike 4.0 International

INTRODUCTION

Business development today is increasingly influenced by the flow of globalization, and Indonesia has entered the digital society 5.0 era. One type of business that is always experiencing development is the retail business. In Indonesia, many types of retail businesses are owned by the public, ranging from large-scale to small-scale retail businesses (Asikin et al., 2024). The type of retail business that continues to experience development and increasing demand in Indonesia is the fashion business because it is one of the main needs of every individual. Fashion is a style of clothing that is popular in a culture or as a fashion (Rohman & Indaryadi, 2020). Fashion is not only related to clothing styles but also to the style of accessories, cosmetics, hairstyles, and other styles that aim to support a person's appearance (Oktaviana & Rahmawan, 2023). Attractive appearance, or in other words, fashionable, has become a trend that a person uses to show one's identity and interest in the fashion world.

Databoks is a statistical data portal for the economy, business, research, oil and gas, and industry in Indonesia, where it is known that the consumption expenditure of the Indonesian people increased by 4.34 percent in the first quarter of 2022. The clothing industry occupies the second position as the target industry for public spending, which was 6.46 percent (yoy) in the first quarter of 2022 (Databoks, 2022). The Indonesian Central Statistics Agency (2023), stated that the level of public expenditure on fashion products in 2023 has increased compared to 2022, which is 0.4 percent. The increase in demand for fashion products is also caused by changes in consumer behavior when making purchases. Initially, people only shopped offline or directly. Still, along with the development of technology, the buying and selling process can also be done online through available platforms, such as social media and e-commerce. This convenience is then utilized by all levels of 'generations' in Indonesia, namely Generation X (generation born in 1965-1980), Millennial Generation (generation born in 1981-1996), and even more so by Generation Z (generation born 1997-2012) (Karina et al., 2021).

Generation Z or Gen Z is an individual born in the period from 1997 to 2012. (Adityara & Rakhman, 2019), stated that Generation Z is also often referred to as a digitally literate generation. Almost all of their time is spent only surfing in cyberspace, such as playing social media, playing online games, and even shopping for clothes online. The existence of this online shopping trend that is often carried out by Generation Z, supported by a survey conducted by Databoks in 2022 involving 2,209 respondents in Indonesia, that Generation Z prefers to shop online, especially for fashion products. Compared to household or electronic products, fashion products are the most purchased products by Generation Z with a percentage of 56 percent, which is then followed by the Millennial Generation and then Generation X. The type of fashion products that tend to be favored by Generation Z is fast fashion products.

Fast fashion is a fashion product produced by retailers using a mass production system (Ni Kadek, 2021). Initially, fast fashion became a trend that emerged during the 1980-1990s in the United Kingdom. One of the fast fashion brands currently popular with the Indonesian people is H&M, a leading fashion brand from Sweden founded by Erling Persson in 1947 (Ni Kadek, 2021). Its popularity in Indonesia is supported by the results of a survey by Populix, a consumer insights service provider that connects businesses with a pool of quality and targeted respondents throughout Indonesia (Populix.co, 2022). The survey was conducted on 1,013 respondents, 500 male and 513 female, aged 18-55. The Populix survey in 2021 stated that H&M occupies the second position as a fashion brand preferred by the Indonesian people.

H&M, which is located in Bali, was opened due to the enthusiasm of the Balinese people for fashion products. Data from the Bali Central Statistics Agency (2023) states that Badung Regency is one of the districts with the highest population density after Buleleng and Denpasar. In addition, the number of visits by both domestic and foreign tourists to Badung Regency is also high, causing the opening of outlets in Badung Regency as many as 3 (three) outlets in large malls such as Beachwalk Mall Bali, Mall Bali Galeria, and Seminyak Village. It is different from the outlet in Denpasar City, where there are only 2 (two) outlets. In addition, H&M, in the 3 (three) locations, H&M has complete products, spacious stores, and strategic locations so that it is easy for consumers to reach, causing many consumers to make repeated purchases between the three outlets.

The advantages offered by stores in Badung Regency, Bali, have caused many people, especially in Bali, to buy fast fashion products at the outlet. To find out the high shopping interest of the Balinese people in H&M Beachwalk Bali fast fashion products, a pre-survey was conducted on Thursday, December 6, 2023, involving 30 people. The criteria set for respondents who filled out the pre-survey questionnaire were included in the Generation Z group (birth range 1997-2012). They had purchased at stores in the Badung area, Bali. The results of the pre-survey questionnaire were carried out as follows:

Table 1. Results of the Pre-Survey Questionnaire on 30 Respondents (in percentage)

No.	Pre-Survey Questions	Yes	Hesitate- Hesitate	No
1	Do you usually buy	66	17	17
	fashion products (clothing, accessories, etc.)
	every month?
2	Are you happy to buy the product	83	-	17
	fashion at H&M Regency outlets
	Badung, Bali?
3	Do you usually do	63	23	14
	Repeat purchases for products
	fashion at H&M?
4	Are you happy and interested	33	50	17
	following fashion trends?
5	Are you buying fashion products	40	27	33
	H&M repeatedly because of the existence of
	influence from friends?
6	Do you usually buy	37	33	30
	fashion products at H&M as
	a form of self reward?

Source: Data processed, Appendix 1, 2023 (Google Form)

Based on Table 1. above, it is known that the Balinese people have a high interest in purchasing fashion products, which is as much as 66 percent of the total respondents. It was also shown that 83 percent of respondents were happy to buy fashion products at H&M outlets in Badung, Bali with the reason, namely 66 percent because the products are very complete and updated and 50 percent because of their strategic location. It can be seen that most respondents like to shop at H&M Badung outlets, Bali and usually make repeat purchases or compulsive buying of the products offered, of which it is known that as many as 63 percent of respondents have done compulsive buying.

Compulsive buying refers to the phenomenon of irrational and irresistible purchases (Mishra et al., 2023). Aw et al. (2023) stated that compulsive behavior is often carried out to eliminate feelings of disappointment or frustration. Consumers who make compulsive purchases focus on the satisfaction they can get from the buying process, not on the utility they can get from the products they buy. Compulsive purchases, which are especially carried out by adolescents, are usually used as a form of self-image search as a symbol of their existence. The phenomenon of rising fashion trends today, is triggered especially by Generation Z who likes to shop for fashion products both in person and online as a form of interest in looking attractive or fashionable and having its own character. This phenomenon is one of the behaviors of Generation Z that cannot be resisted to keep up with fashion that is always changing in their daily interactions.

Fashion involvement is how highly consumers consider important to fashion product categories which include product involvement, purchasing behavior, and consumer characteristics. Fashion involvement is usually used to predict behavioral variables related to clothing products, such as product involvement, purchasing behavior, and consumer characteristics (Mahmudah, 2020). The influence of fashion involvement on compulsive buying is evidenced by research by Higgins et al. (2014), Sari (2016), and Widaningsih and Mustikasari (2019) where the results of the three studies stated that fashion involvement has a positive and significant effect on compulsive buying. However, it is very inversely proportional to the research by Sweta and Chandar (2022) which states that compulsive buying is not influenced by fashion involvement.

In addition to involvement in fashion, another factor that can trigger compulsive purchases is peer pressure or so-called peer pressure. Peer pressure is a demand or encouragement from peers to follow group norms or to adjust to behaviors that are considered acceptable to the group (Mahrunnisya et al., 2018). Peers greatly influence purchasing decisions, especially in a teenager, because they consider that the views of peer groups have an important role and will unconsciously pressure them to follow the norms or in this case the prevailing fashion trends in order to be accepted. Individuals who are under peer pressure tend to assess, act, or believe that what is done must be in accordance with their group's assessment (Ekapaksi, 2016). The effect of peer pressure on compulsive buying is stated in the research of Widaningsih and Mustikasari (2019), in line with the research of Khairalita and Susilarini (Khairalita & Susilarini, 2023), and Riaz et al. (2024), where the result of the research is that peer pressure has a positive effect on compulsive buying. In contrast to the research of Mishra et al, (2023), from the results of his research, it was found that peer pressure did not have a significant effect on compulsive buying.

Compared to "normal" consumers, compulsive consumers tend to have lower self-esteem and are more prone to fantasy. Ekapaksi (2016) states that self-esteem is a motive that causes individuals to want to get different and updated goods so that the purchase becomes a habit. The existence of pleasure after purchasing fashion products can meet its own satisfaction for each individual. By wearing fashion according to the fashion, it can increase a person's confidence and self-esteem which is called self-esteem. Self-esteem or self-esteem is an assessment of oneself, either positive or negative, that has the goal of increasing self-confidence (Kartawinata, 2021). Sometimes, self-esteem can have a bad impact on a person, because not everything done by a person will be as expected (Kartawinata, 2021).

The purpose of increasing self-esteem is sometimes only to get appreciation from other individuals, but it is not uncommon that self-esteem does aim to provide satisfaction for oneself. To increase this self-confidence, fashion products can be a stimulus for individuals who have low self-esteem by showing compulsive purchasing behavior towards fashion products that are considered to have more value to increase a person's self-confidence. Ekapaksi (2016) states that self-esteem can have a positive and significant influence on compulsive buying, supported by Biolcati research (2017), as well as Widaningsih and Mustikasari (2019) who explain that compulsive buying is also influenced by self-esteem, because to increase a person's self-esteem, the higher the desire to make repeated purchases. In contrast to the results of research by Mulyono and Rusdarti (2019) which stated that a person will make compulsive buying if they have a high level of self-esteem, because the more a person feels confident in themselves, the higher their desire to make repeated purchases as a form of maintaining their confidence.

Based on the phenomena that have been explained and the occurrence of research gaps between previous studies, further research is needed to determine the influence of Fashion Involvement, Peers Pressure, and Self Esteem variables on Compulsive Buying at H&M Stores in Badung Regency, Bali.

RESEARCH METHODS

This study uses an associative quantitative approach to identify the relationship between fashion involvement, peer pressure, and self-esteem towards compulsive buying in Generation Z. Primary data was collected through questionnaires filled out by respondents, while secondary data was obtained from books, journals, and related documentation. The study was conducted in three H&M stores in Badung Regency, Bali, namely H&M Beachwalk Mall Kuta, H&M Mall Bali Galeria Kuta, and H&M Seminyak Village Kuta, with the research population consisting of all Generation Z who are consumers of H&M stores in Badung, Bali. The sample was selected using nonprobability sampling techniques, especially purposive sampling, with a sample of 140 respondents who met certain criteria.

Data collection was carried out through a questionnaire that used the Likert Scale to measure respondents' attitudes and perceptions. This questionnaire was tested for validity using product moment correlation and tested for reliability with Cronbach's Alpha. All variables in this study meet the requirements of validity and reliability. The data analysis technique used was a multiple linear regression model to determine the influence of fashion involvement, peer pressure, and self-esteem on compulsive buying. In addition, descriptive statistical tests are used to describe the data, and classical assumption tests (normality, multicollinearity, and heteroscedasticity tests) are performed to ensure the validity of the regression model.

The results of the data analysis showed that fashion involvement, peer pressure, and self-esteem had a significant effect on compulsive buying in Generation Z. Hypothesis tests were carried out with the T test to determine the partial influence and the F test for simultaneous influence, which showed that the three independent variables had a significant influence both partially and simultaneously on compulsive buying. Thus, this study provides a deeper understanding of the factors that influence compulsive purchasing behavior in Generation Z in Badung Regency, Bali

RESULT AND DISCUSSION

Analysis Test Results

Descriptive statistical analysis

Descriptive statistical analysis aims to describe the data by looking at the lowest, highest, average, and variation values. The central value is measured from the distribution by the average measurement. Meanwhile, variation (standard deviation) indicates how far the data value differs from the average value. The measurement of each research instrument was carried out through a questionnaire with a five-point Likert Scale for each variable studied. The results of the descriptive statistical analysis test are shown in the Table

4.8 below.

Table 2. Results of Descriptive Statistical Analysis of Research Variables

	N	Minimum	Maximum	Mean	Std. Devi Anonymous
Fashion	140	4	20	17,60	2,431
Involvement Peers Pressure	140	3	15	13,12	1,932
Self Esteem	140	3	15	13,31	1,759
Compulsive Buying	140	5	25	21,95	2,809
Valid N (listwise)	140

Based on Table 2, it is stated that the total number of samples used is 140. Before the analysis, the lowest and highest assessment categories for respondents' responses are determined first. This categorization refers to the lowest score, which is 1 (strongly disagree), and the highest score, which is 5 (strongly agree), using a five-point likert scale. The criteria for respondents' assessment of the research variables can be set as follows:

Minimum score = 1 and maximum score = 5

Interval = maximum−minimum = 5−1 = 0.8

Number of Classes 5

Average score of 1.00 – 1.80 = Very Low Average score of 1.81 – 2.61 = Low

Average score 2.62 – 3.42 = Quite High Average score 3.43 – 4.23 = High

Average score of 4.24 – 5.00 = Very High

The results of the descriptive statistics of the variables of this study are explained as follows:

1. The fashion involvement variable (X1) was measured using four (4) statement items, which referred to Table 4.8, obtained a minimum value of 4 and a maximum value of 20, with an average value of 17.60, which means that the average value is closer to the maximum value. In addition, when divided by the number of statement items, as many as four (4), a result of 4.4 was obtained, where the value was categorized as a very high criterion. Therefore, it can be seen that respondents tend to feel very much in agreement with each item of the statement given, namely indicators of fashion involvement variables consisting of, fashion trends, fashion interests, importance of being well dressed, and anti-fashion attitude. The standard deviation value is 2.431, which is lower than the average value, so it can be interpreted that the distribution of data related to fashion involvement has been evenly distributed.

2. The peer pressure variable (X2), measured using three (3) statement items, which refer to Table 2, obtained a minimum value of 3 and a maximum value of 15, with an average value of 13.12, which means that the average value is closer to the maximum value. In addition, when divided by the number of statement items, as many as three (3), a result of 4.3 was obtained, where the value was categorized as a very high criterion. Therefore, it can be seen that respondents tend to feel very much in agreement with each item of the statement, which indicates the peer pressure variable consisting of solidarity, agreement, and obedience. The standard deviation value is 1.932, which is lower than the average value, so it can be interpreted that the distribution of data related to peer pressure is even.

3. The self-esteem variable (X3) was measured using three (3) statement items, which referred to Table 2, obtained a minimum value of 3 and a maximum value of 15, with an average value of 13.31, which means that the average value is closer to the maximum value. In addition, when divided by the number of statement items of three (3), a result of 4.4 was obtained, where the value was categorized as a very high criterion. Therefore, it can be seen that respondents tend to feel very much in agreement with each item of the statement given, namely the indicator of the self-esteem variable consisting of self-respect and respect from others. The standard deviation value is 1.759, which is lower than the average value, so it can be interpreted that the distribution of data related to self-esteem has been evenly distributed.

4. The compulsive buying (Y) variable is measured using five (5) statement items, which refer to Table 2, obtained a minimum value of 5 and a maximum value of 25, with an average value of 21.95, which means that the average value is closer to the maximum value. In addition, when divided by the number of statement items, as many as five (5), a result of 4.4 was obtained where the value was categorized as a very high criterion. Therefore, it can be seen that respondents tend to feel very much in agreement with each item of the statement given, namely the indicators of compulsive buying variables consisting of tendency to spend, drive to spend, feelings about shopping, dysfunctional spending, and post-purchase guilt. The standard deviation value is 2.809, which is lower than the average value, so it can be interpreted that the distribution of data related to compulsive buying has been evenly distributed.

Classical assumption test

Normality test

Before performing multiple linear regression analysis, the condition that must be met is that the error must be normally distributed. Normally distributed means that the existing data must be spread close to the average and form a normal curve; the data distribution will be close to the diagonal line or regression line. If the error is not distributed normally, then the data will be far from the average, and there are points or extreme data, so it will be difficult to make predictions. The normality test aims to determine whether the data in the study has a normal distribution or not. The normality test was carried out using the Kolmogorov-Smirnov test, where if the probability of the significance of the residual value is greater than 0.05 or the Sig value (2-tailed) > 0.05, then the data is considered to have a normal distribution. The results of the normality test of this study are presented in Table 3.

Table 3. Results of the normality test (one-sample Kolmogorov-Smirnov)

Unstandardized Residual
N	140
Kolmogorov-Smirnov Z	0,830
Asymp. Sig. (2-tailed)	0,496
Source: Data processed, Appendix 8, 2024 (SPSS)

Based on Table 3, it is known that the results of the data normality test using the One-Sample Kolmogorov-Smirnov Test obtained a significance value (Asymp. Sig. (2-tailed)) of 0.496 which is greater than the Alpha value, which is 0.05. Therefore, it can be seen that the regression equation model in this study is normally distributed, or in other words, the residuals are spread normally.

Multicollinearity test

The multicollinearity test is a test that is carried out to find out and assess whether or not there is a correlation between independent or independent variables. Multicollinearity can be known through tolerance values and the Variance Inflation Factor (VIF). If the VIF value < 10 (less than 10) or the tolerance value > 0.10 (greater than 0.10), it indicates that there are no signs of multicollinearity. The following are the results of the multicollinearity test of this study in Table 4.

Table 4. Multicollinearity Test Results

Variable	Tolerance	VIF	Information
Fashion Involvement	0,301	3,317	Free
(X1)			Multicollinearity
Peers Pressure (X2)	0,340	2,944	Free
			Multicollinearity
Self Esteem (x3)	0,418	2,391	Free
			Multicollinearity

Source: Data processed, Appendix 8, 2024 (SPSS)

Based on Table 4. It is known that each independent or independent variable has a VIF value of < 10 and a tolerance value of > 0.10. Therefore, the regression model in this study has no symptoms of multicollinearity.

Heteroskedasticity test

The heterokedasticity test was carried out to test and determine whether or not there was an inequality in the variance of the residual between observations. A good regression model is one that has a homogeneous variance (heterokedasticity) and does not show any symptoms of heterokedasticity. To identify the existence of heteroscedasticity, the Glejser test is used, where if the significance level of each independent variable exceeds 0.05, then the regression model is considered not to have heteroskemasticity. The results of the heteroskedasticity test in this study are shown in Table 5. below.

Table 5. Heteroskedasticity Test Results

Variable	Sig	Information
Fashion Involvement (X1)	0,827	Free of Heteroscedasticity
Peers Pressure (X2)	0,105	Free of Heteroscedasticity
Self Esteem (x₃)	0,377	Free of Heteroscedasticity

Source: Data processed, Appendix 8, 2024 (SPSS)

Table 5 shows that all variables have a significance value of more than 0.05. Therefore, there is no influence between independent variables on the absolute residual, and there is no symptom of heteroskedasticity in the regression model.

Multiple linear regression analysis

Multiple linear regression analysis is used to determine or estimate the influence between independent variables and bound variables. The results of the multiple linear analysis are shown in Table 6.

Table 6. Multiple Linear Analysis Results

Variable		Unstandardized Coefficients			Standardized Coefficients			t	Sig.
		B	Std.Error		Beta
	(Constant) 0,576			0,191			3,015			0,003
	Fashion 0,451			0,071		0,488	6,344			0,000
	Peers Pressure 0,213			0,063		0,244	3,364			0,001
	Self Esteem (X3) 0,203			0,063		0,212	3,239			0,002

Source: Data processed, 2024 (SPSS)

Based on the results of the analysis in Table 6, the regression equation is made as follows:

Y = β0 + β1 X1 + β2X2 + β3X3 + e

Y = 0.576 + 0.451 X1 + 0.213 X2 + 0.203 X3 + e

Based on the multiple linear regression equation, it shows the direction of each independent variable to the bound variable. The description of the equation is:

1. The constant value (α) is +0.576, which statistically shows that fashion involvement (X1), peers pressure (X2), and self-esteem (X3) have a value equal to 0 (zero), so the compulsive buying variable is worth 0.576

2. The value of the regression coefficient X1 is +0.451, which statistically shows that there is a positive influence between the fashion involvement variable (X1) and the compulsive buying variable (Y) of 0.451. Therefore, if there is an increase in one unit of fashion involvement, it will cause an increase in compulsive buying by 0.451 units provided that other variables are assumed to be fixed.

3. The value of the regression coefficient X2 is +0.213, which statistically shows that there is a positive influence between the peer pressure variable (X2) and the compulsive buying variable (Y) of 0.213. Therefore, if there is an increase in one unit of peer pressure, it will cause an increase in compulsive buying of 0.213 units, provided that other variables are assumed to be fixed.

4. The value of the regression coefficient X2 is +0.203, which statistically shows that there is a positive influence between the self-esteem variable (X3) and the compulsive buying variable (Y) of 0.203. Therefore, if there is an increase in one unit of self-esteem, it will cause an increase in compulsive buying by 0.203 units, provided that other variables are assumed to be fixed.

Determinant coefficient (R2) test results

Determinant coefficient (R2) testing is a test carried out to measure a model's ability to explain dependent variables. In this study, adjusted (R2) was used to measure the magnitude of the determination coefficient. The results of the determination coefficient test are shown in Table 7.

Table 7. Determinant Coefficient Test Results (R2)

Type

R Square

Adjusted R Square

StdError of the Estimate

0.870A

0,757

0,752

0,27985

Source: Data processed, Appendix 9, 2024 (SPSS)

Table 7 shows that the value of the determination coefficient shown in the Adjusted R square (R2) table is 0.752. As for the meaning, which is 75.2 percent of the variation in the compulsive buying variable (Y) can be explained by the three independent variables, namely fashion involvement (X1), peers pressure (X2), and self esteem (X3) while the remaining 24.8 percent is explained by reasons other than the research model.

Model feasibility test (F-test)

The feasibility test of the model (Test F) in principle aims to test whether the independent or independent variables included in the study have a significant influence jointly (simultaneously) on the bound or dependent variables. This test was carried out using a significance level of 0.05 (α = 5%) on the ANOVA table. If the significance value ≤ 0.05, then the regression model of the study is considered worthy of testing and shows a co-influence between the independent variable and the dependent variable. Table 4.14 shows the results of the feasibility test of this research model.

Table 8. Model Feasibility Test Results (Test F)

	Type	Sum of Squares	Df	Mean Square	F	Sig.
1	Regression	33,215	3	11,072	141,374	0,000B
	Residual	10,651	136	0,078
	Total	43,866	139

Source: Data processed, Appendix 9, 2024 (SPSS)

Based on Table 8, it is known that the Fcal value is 141,374 with a significance of 0.000 (less than 0.05). Therefore, it can be said that the regression model in the study is feasible to use and between the variables of fashion involvement (X1), peers pressure (X2), and self esteem (X3) together (simultaneously) affects the performance of the compulsive buying variable (Y).

Hypothesis test (t-test)

The t-test is a test conducted to test the research hypothesis about the influence of each independent variable (fashion involvement, peers pressure, and self-esteem) partially on the bound variable (compulsive buying). This test was carried out using SPSS software with a significance level of 5% or α = 0.05. If the significance value ≤ 0.05, then the hypothesis is accepted and the independent variable has a significant influence on the dependent variable. Conversely, if the significance value > 0.05, then the hypothesis is rejected and the independent variable has no significant influence on the dependent variable. The results of the hypothesis testing of this research are listed in Table 9. next.

Table 9. Results of Hypothesis Test (t-Test)

Variable		Unstandardized Coefficients			Standardized Coefficients			t	Sig.
		B	Std.Error		Beta
	(Constant) 0,576			0,191			3,015			0,003
	Fashion Involvement 0,451			0,071		0,488	6,344			0,000
	(X1)
	Peers 0,213			0,063		0,244	3,364			0,001
	Self Esteem 0,203			0,063		0,212	3,239			0,002

Source: Data processed, Appendix 9, 2024 (SPSS)

Based on Table 9, the interpretation of each variable, namely:

a) The effect of fashion involvement on compulsive buying

Based on the analysis of the influence of fashion involvement on compulsive buying, a significance value of 0.000 was obtained with a regression coefficient of +0.576. The significance value of 0.000 is less than 0.05 and because of the positive regression coefficient, the results show that the fashion involvement variable has a significant positive influence on compulsive buying.

b) Effect of peer pressure on compulsive buying

Based on the analysis of the influence of peers pressure on compulsive buying, a significance value of 0.001 was obtained with a regression coefficient of +0.213. The significance value of 0.001 is less than 0.05 and because of the positive regression coefficient, the results show that the peers pressure variable has a significant positive influence on compulsive buying.

c) The effect of self-esteem on compulsive buying

Based on the analysis of the influence of self-esteem on compulsive buying, a significance value of 0.002 was obtained with a regression coefficient of +0.203. The significance value of 0.002 is smaller than 0.05 and because of the positive regression coefficient, the results show that the self-esteem variable has a significant positive influence on compulsive buying.

Discussion of Research Results

The effect of fashion involvement on compulsive buying

The results of the first hypothesis test related to the influence of fashion involvement on compulsive buying obtained a significance value of 0.000 with a regression coefficient value of +0.576. A significance value smaller than 0.05 indicates that there is a significant influence between the fashion involvement variable on compulsive buying, so H0 is rejected andH1 is accepted. When viewed at the value of the coefficient, which is +0.576, it means in a positive direction. Therefore, it can be interpreted that the fashion involvement variable has a positive and significant effect on compulsive buying, which is an independent variable that is more dominant in influencing compulsive buying compared to other variables. If reviewed, if fashion involvement behavior is getting higher while other variables are fixed, compulsive buying also increases by 0.576. It can be interpreted that the higher a person's desire to follow or be involved in fashion trends, the greater the chance of compulsive buying.

When associated with consumer behavior theory, fashion involvement is included in personal factors, where the buyer does not control the purchase decision by the consumer but the desire of the consumer himself. Lifestyle and personality also affect how a person lives with money or time he has. Research by Higgins et al. (2014) states that high engagement with fashion has a positive correlation with increased compulsive buying. In line with the research of Sari (2016) and Widaningsih and Mustikasari (2019), fashion involvement has a positive and significant influence on compulsive buying. The respondents in this study showed compulsive behavior in buying fashion products in H&M Badung Regency because they were dominated by their desire always to maintain their appearance to look more attractive and confident.

Effect of peer pressure on compulsive buying

The results of the first hypothesis test related to the influence of peers pressure on compulsive buying, obtained a significance value of 0.001 with a regression coefficient value of +0.213. A significance value smaller than 0.05 indicates that there is a significant influence between the peers pressure variable on compulsive buying, so H0 is rejected andH2 is accepted. When viewed at the value of the coefficient, which is +0.213, it means in a positive direction. Therefore, it can be seen that the peer pressure variable has a positive and significant effect on compulsive buying, which is the second dominant independent variable in influencing compulsive buying compared to other variables. If reviewed, if peer pressure increases while other variables remain constant, then compulsive buying also increases by 0.213. It can be interpreted that, the more a person forces himself to follow his peers or group in determining purchasing decisions for fashion products, the greater the chance of compulsive buying.

Compulsive buying is also caused by peer pressure. Friends or peer groups are able to influence a person's purchase decision because peers have the influence to change a person's attitudes, behaviors, and actions. Especially in adolescence, a person tends to want to follow the lifestyle of other friends so as not to be behind the times or accepted in a group, so sometimes this desire causes the emergence of motivation always to follow existing fashion trends and can even cause a sense of compulsion just because they want to be considered in a group. This is supported by research by Widaningsih and Mustikasari (2019), which stated that there is a positive and significant relationship between peer pressure and compulsive buying. Research by Khairalita and Susilarini (2023) and Riaz et al. (2024) also stated that peer pressure positively and significantly affects compulsive buying.

When associated with consumer behavior theory, peer pressure is included in social factors where there are 3 classifications, namely group, family, and role and status. Peer pressure is included in the group classification because the existence of a group is able to bring out a person's new behavior and lifestyle and influence his attitude and self-concept. This study also shows that pressure or demands from peers also influence their purchasing decisions to buy H&M products in Badung Regency, Bali. The results of this study show that peer pressure is one of the factors that can trigger a person to make compulsive purchases.

The effect of self-esteem on compulsive buying

The results of the first hypothesis test related to the influence of self-esteem on compulsive buying obtained a significance value of 0.002 with a regression coefficient value of +0.203. A significance value smaller than 0.05 indicates that there is a significant influence between the self-esteem variable on compulsive buying, so H0 is rejected andH3 is accepted. When viewed at the value of the coefficient, which is +0.203, it means in a positive direction. Therefore, it can be interpreted that the self-esteem variable has a positive and significant effect on compulsive buying. If reviewed, if self-esteem increases while other variables remain constant, then compulsive buying also increases by 0.203. It can be interpreted that, if a person has a negative motivation to respect himself, the greater the chance of compulsive buying.

Compulsive purchasing behavior is a person's behavior to be consumptive in which individuals tend to want to buy various products in certain categories to fulfill their emotional feelings, one of which is self-esteem. In adolescence, self-esteem has a significant influence, both through social interactions with others and individual achievements (Franţ, 2016). Teenagers. It is a time when a person seeks their identity and has a strong desire to be recognized and appreciated. Therefore, they often make various efforts, including things that do not benefit them, such as just for comfort, pride, or meeting the needs of their ego. For this reason, following fashion trends by making compulsive purchases is one of the efforts made to meet satisfaction and increase self-esteem.

Research by Biolcati (2017) states that there is a positive and significant relationship between low self-esteem and compulsive buying. Ekapaksi (2016) and Widaningsih and Mustikasari (2019) also stated that self-esteem positively and significantly affects compulsive buying. Based on the respondents' answers, the indicator that best suits the condition and feelings of the respondents that form self-esteem is self-respect, where the majority of respondents feel that when using H&M products it is able to increase their confidence and as a form of appreciation for themselves, then the second indicator is respect from others, in which case the respondents feel that being recognized by others is important for it to look attractive and Following the trend is the key that matters. If these feelings are based on negative emotions that cause a person to feel the need to make purchases to meet their emotional needs, it will become an irresistible shopping habit or compulsive purchase.

When associated with consumer behavior theory, self-esteem is included in psychological factors. Motivation is why a person needs to seek satisfaction for their needs, namely psychological needs such as recognition and appreciation. There are other theories related to the fulfillment of individual psychological needs, namely self-determination theory and self-comparison theory. Both theories explain how a person improves himself, that is, by comparing himself with others whose circumstances are worse to meet his psychological needs, namely self-esteem. When an individual feels better and is recognized as good by others, it is at that time that his self-esteem increases and achieves satisfaction.

The simultaneous effect of fashion involvement, peer pressure, and self-esteem on compulsive buying

In this study, 3 (three) independent variables were combined into a regression model where the results of hypothesis testing related to the influence of fashion involvement, peer pressure, and self-esteem together (simultaneously) on compulsive buying obtained a significance value of 0.000 with an Fcal value of 141,374. The p-value (Sig) of the F test of 0.000 or less than 0.05 indicates that there is a simultaneous influence between fashion involvement, peers pressure, and self-esteem on compulsive buying, so H0 is rejected and H4 is accepted. Therefore, it can be interpreted that the variables of fashion involvement, peer pressure, and self-esteem together (simultaneously) have a positive and significant effect on compulsive buying by 75.7 percent when viewed from the Adjusted R²value and the remaining 24.3 percent are influenced by variables other than the variables used in this study. Let's look at the partial influence between each variable X on the Y variable. It can be seen that each independent variable has a positive and significant influence on the Y variable, which is also supported by several previous studies.

Compulsive buying behavior has been widely discovered and is a concern for marketers. Because compulsive buying behavior for marketers can be an opportunity to increase their sales, because companies can hit the consumer's emotions so that consumers will buy their products without thinking rationally; on the other hand, consumers who have this compulsive behavior in the long term will feel the loss, because, unlike non-compulsive consumers who value every item purchased and focus on its functional benefits, compulsive consumers are actually focused on the extent to which the goods can provide social benefits and to clarify their social status in society (Horvath and Birgelen, 2015).

Research Implications

Theoretical implications

The results of this study show that there is a positive and significant influence between fashion involvement and compulsive buying, peers pressure with compulsive buying, self-esteem with compulsive buying, as well as the simultaneous influence of fashion involvement, peer pressure, and self-esteem on compulsive buying. When empirically reviewed, this study is able to support previous research on the influence of fashion involvement, peer pressure, and self-esteem on compulsive buying partially and simultaneously. Through this study, it can also be found that, based on the theories used, namely consumer behavior theory, self-determination theory, and self-comparison theory, it is known that the emergence of purchasing behavior in individuals is caused by internal factors, such as a person's view of himself and a person's way of responding to every change in the surrounding environment, then external factors, Such as the social environment that is able to influence a person's way of thinking in deciding to buy. In addition, through this study, it can be found that several factors that can support the emergence of compulsive buying behavior are involvement in fashion, peer pressure, and the desire to respect oneself and get recognition from others.

Practical implications

This research provides practical implications for marketers, especially H&M outlets in Badung Regency, that compulsive buying behavior perceived by consumers can be an opportunity to increase sales. By innovating fashion products to suit the ongoing trends and, of course, adjusting to the needs of the community, it can also attract the attention of consumers to make their purchase decisions to H&M. In addition, for individuals who are consumers of fashion products, they can find out the cause of the emergence of compulsive purchasing behavior which in the long term can cause a negative impact on themselves so that they can control the desire to shop so that it is not based on negative emotional feelings.

Research Limitations

This study has several limitations that can be used as input and improvement for future research. The limitations of the research are explained as follows.

1. The references or articles used as references are less varied because there is little research on the variables of fashion involvement, peer pressure, and self-esteem in compulsive buying.

2. The limitation of independent variables that can affect the dependent variable is 24.8 percent, according to the Adjusted R2 value.

3. The scope of the research area is still not wide enough because it only covers Badung Regency, while the H&M store is also located in the Denpasar area, Bali.

4. The research sample is limited to only 140 (one hundred forty) respondents, so it has not reached more individuals in Generation Z.

CONCLUSION

Based on the research presented in Chapter IV, the conclusions regarding the influence of fashion involvement, peer pressure, and self-esteem on compulsive buying are as follows: There is a positive and significant influence between fashion involvement and compulsive buying, indicating that the more individuals engage in following fashion trends, the higher the likelihood of compulsive buying behavior. Peer pressure also has a positive and significant influence on compulsive buying, suggesting that the greater the influence from the environment and peers to follow fashion trends, the more likely compulsive buying behavior will occur. Additionally, self-esteem has a positive and significant influence on compulsive buying, where the stronger the desire to reward oneself or gain recognition from others, the higher the tendency for compulsive buying behavior. Overall, fashion involvement, peer pressure, and self-esteem, either partially or simultaneously, can trigger compulsive buying behavior in individuals.

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Copyright holders:

Anak Agung Gita Kharisma, I Gede Nandya Oktora Panasea (2024)

First publication right:

AJEMB – American Journal of Economic and Management Business