Green Marketing and Customer Behaviour in Saudi Arabia: An Examination of Eco-Friendly Electric Cars Purchase Probability

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Date
2024-02-22
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Victoria University
Abstract
The concept of green marketing is a modern and revitalised marketing approach deemed essential for business models. Electric automobiles aim to cause less harm to the environment. This research examines a model to determine how consumers’ green self-identity, caring for environmental repercussions of consumption, green moral responsibility, innovativeness, perceived value and perceived risk affect attitudes to electric vehicles and purchase probabilities. In addition, the structural model tests whether the relationships are moderated by green self-congruity. Extant studies have examined customer intention and behaviour, concentrating on environmentally friendly purchases. There continues to be a deficiency in the existing body of literature, particularly in estimating the purchase probability. A model is empirically tested in Saudi Arabia using a sample of 822 respondents who completed an online questionnaire. Partial least squares structural equation modelling analysis using Smart-PLS 4 was performed to evaluate the hypothesised model paths. Results illustrate that green self-identity, attitude towards electric cars, perceived value and innovativeness directly affect Saudi Arabian consumers’ purchase intentions. Additionally, innovativeness, perceived risk and purchase intention directly affect the purchase probability of electric cars. Furthermore, the study found evidence of moderation effects involving green self-congruity. Findings indicate that green self-congruity positively and significantly moderates green self-identity, attitude towards adopting electric cars, purchase probability and purchase intention. Finally, advanced analyses using a finite mixture partial least squares approach revealed heterogeneity in the data. This analysis identified two consumer segments with different attitudes, values and behaviours towards adopting electric cars in Saudi Arabia. The current study has contributed theoretically and practically to this specific research area. It has made theoretical contributions by developing and testing an electric car adoption model, providing insights into green customer behaviour. Moreover, from a practical standpoint, communication strategies in Saudi Arabia should emphasise the potential for consumers to strengthen their green self-identity through electric car adoption and highlight the environmental benefits, increasing the demand for eco-friendly vehicles.
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Keywords
Green Marketing, Customer Behaviour, Electric Cars, Purchase Probability
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