THE INFLUENCE OF EXPERIENTIAL MARKETING AND PRODUCT APPEAL ON SALES PERFORMANCE IN THE BEAUTY INDUSTRY IN INDONESIA WITH CUSTOMER PERCEPTION AS A MEDIATING VARIABLE

Abstract

This causal-comparative quantitative study aims to examine the influence of experiential marketing and product appeal on sales performance in the beauty industry in Indonesia, with customer perception acting as a mediating variable. Amid the rapid growth and intense competition in Indonesia’s beauty market, marketing communication strategies such as immersive brand experiences and appealing product attributes are increasingly seen as critical tools to engage consumers and boost brand outcomes. The study population and sample consists of individuals from Generation Z that have been exposed to experiential marketing programs and never worked in a beauty industry and in the marketing sector. The primary data collection method involves online surveys through structured questionnaires. This involved 217 Generation Z respondents selected through convenience sampling. The research instrument consisted of 59 validated items measuring four constructs. Statistical analysis was conducted using multiple linear regression and path analysis using SPSS. The results indicate that both experiential marketing and product appeal significantly influence customer perception and sales performance. However, the mediating role of customer perception in these relationships was not found to be stronger than the direct effects. These findings suggest that direct brand interactions and visual-functional product characteristics have immediate impacts on consumer behavior, especially in experience-driven markets such as beauty. The outcomes of this study are expected to provide practical insights for marketing executors, and beauty brands in designing more effective integrated marketing communication strategies that appeal to today’s dynamic and visually-oriented consumers.