Does Religiosity Responds to Excessive Consumption? Analysis of Indonesia Family Life Survey 5
Main Article Content
Keywords
Religiosity, Israf, Luxury consumption, Conspicuous Consumption, Indonesia Family Life Survey.
Abstract
This paper investigates the relationship between Islamic religiosity and excessive conspicuous luxury consumption (israf) in Indonesia, the largest Islamic society in the world. This paper is the first of research projects that examined the relationship between religiosity and israfin the scale of the country. This study uses a probit model estimation model using STATA 12 software. The data set being used is Indonesia Family Life Survey 5 (IFLS5), which consists of a 5.646 Moslem family sample (>20.000 individual Moslems) representing about 83% of the Indonesian population living in 13 of the 26 provinces in Indonesia. This paper examined the relationship between Islamic religiosity (identity religiosity, intrinsic religiosity, extrinsic religiosity) and excessive conspicuous luxury consumption (israf). The result is no relationship between Islamic religiosity and Israf in Indonesia. Identity, intrinsic and extrinsic religiosity insignificantly corresponds to israf. The findings of the paper can be a suggestion for Islam in teachings about israf, which can be more emphasized in the family by the parents, to be included in the school curriculum, and in prayer meetings by the religious leader in order to make having an Islam religiosity can have a significant negative relationship to israf lifestyle.
References
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Agarwala, R., Mishra, P., & Singh, R. Religiosity and consumer behavior: a summarizing review. Journal of Management, Spirituality and Religion, 16 (1), 2019.
Ahmed, Z., Anang, R., Othman, N., & Sambasivan, M. To purchase or not to purchase US products: role of religiosity, animosity, and ethno-centrism among Malaysian consumers. Journal of Services Marketing. 2013.
Aksoy, H., & Abdulfatai, O. Y. Exploring the impact of religiousness and cultureon luxury fashion goodspurchasing intention: A behavioural study on Nigerian Muslim consumers. Journal of Islamic Marketing, 10(3), 2019. https://doi.org/10.1108/JIMA-01-2018-0022
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Alserhan, B. A., Bataineh, M. K., Halkias, D., & Komodromos, M. Measuring luxury brand consumption and female consumers’ religiosity in the UAE. Journal of Developmental Entrepreneurship, 19(2). 2014. https://doi.org/10.1142/S1084946714500095
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Arli, D., Cherrier, H., & Tjiptono, F. God blesses those who wear Prada: Exploring the impact of religiousness on attitudes toward luxury among the youth of Indonesia. Marketing Intelligence & Planning. 2016.
Bailey, J. M., & Sood, J. The effects of religious affiliation on consumer behavior: A preliminary investigation. 1993.
Brown, P. M., & Cameron, L. D. What can be done to reduce over-consumption? Ecological Economics, 32(1), 2000. https://doi.org/10.1016/S0921-8009(99)00093-2
Coşgel, M. M., & Minkler, L. Religious identity and consumption. Review of Social Economy, 62(3), 2004.
D’arpizio, C., Levato, F., Zito, D., & de Montgolfier, J. Luxury goods worldwide market study. Bain & Company, 1(6), 2015.
Dekhil, F., Boulebech, H., & Bouslama, N. Effect of religiosity on luxury consumer behavior: the case of the Tunisian Muslim. Journal of Islamic Marketing. 2017.
Delaney, T. Classical and contemporary social theory. Routledge. 2013.
Delener, N. “An examination of the religious influences as predictors of consumer innovativeness”, Journal ofMid-West Marketing, Vol. 5, 1990.
El-Bassiouny, N. M. The Trojan horse of affluence and halal in the Arabian Gulf. Journal of Islamic Marketing, 8(4), 2017.
Essoo, N. & Dibb, S. “Religious influences on shopping behavior: an exploratory study”, Journal of Marketing Management, Vol. 20, 2004.
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Furqani, H. Consumption and morality: Principles and behavioral framework in Islamic economics. Journal of King Abdulaziz University, Islamic Economics, 30 (Specialissue), 2017.
Geiger-Oneto, S., Gelb, B. D., Walker, D., & Hess, J. D. “Buying status” by choosing or rejecting luxury brands and their counterfeits. Journal of the Academy of Marketing Science, 41(3), 2013.
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Karami, M., Olfati, O. and Dubinsky, A.J. “Influence of religiosity on retail salespeople’s ethical perceptions: the case in Iran”, Journal ofIslamic Marketing, Vol. 5 No. 1, 2014.
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Mokhlis, S. The effect of religiosity on shopping orientation: an exploratory study in Malaysia. Journal of American Academy of Business, 9(1), 2006.
Muhamad, N. & Mizerski, D. “The constructs mediating religions’ influence on buyers and consumers”, Journal ofIslamic Marketing, Vol. 1 No. 2, 2010.
Muhamad, N. & Mizerski, D. “The effects of following Islam decisions about taboo products”,Psychology and Marketing, Vol. 30 No. 4, 2013.
Muhamad, R., Melewar, T. & Alwi, S. “Segmentation and Brand positioning for Islamic financial services”, European Journal of Marketing, Vol. 46 Nos. 7/8, 2012.
Mustikasari, F. The Influence of Value Perceptions and Country Origin to Luxury Purchase Intention and Brand Equity: The Case of Middle-Class Consumers in Indonesia (An Abstract) BT - Marketing at the Confluence between Entertainment and Analytics (P. Rossi (ed.) 2017.
Muttaqin, Z. The nature of excessive behavior (israf) in the Islamic economic framework. J. Bus. Econ. Review, 4(1), 2019.
Pintak, L. Islam, identity and professional values: A study of journalists in three Muslim-majority regions. Journalism, 15(4), 2014. https://doi.org/10.1177/1464884913490269.
Ramazani, A., & Kermani, M. Spiritualism versus materialism: can religiosity reduce conspicuous consumption? Journal of Islamic Marketing, 13(8), 2022. https://doi.org/10.1108/JIMA-09-2019-0184.
Ratnasari, R. T., Prajasari, A. C., & Kassim, S. Does religious knowledge level affect brand association and purchase intention of luxury cars? Case of the Lexus cars in Indonesia. Journal of Islamic Marketing. 2022.
Shahid, S., Islam, J. U., Farooqi, R., & Thomas, G. Affordable luxury consumption: an emerging market’s perspective. International Journal of Emerging Markets, May. 2021. https://doi.org/10.1108/IJOEM-01-2021-0144.
Shaikh, S. A., Ismail, M. A., Ismail, A. G., Shahimi, S., & Muhammad, M. H. Towards an integrative framework for understanding Muslim consumption behaviour. Humanomics, 33(2), 2017. https://doi.org/10.1108/H-01-2017-0005.
Sharif, K., Kassim, N., & Faisal, M. N. Domains of Living and key demographics: Their impact on luxury consumption behavior of affluent Qataris. Asia Pacific Journal of Marketing and Logistics, 31(2), 2019.
Stillman, T. F., Fincham, F. D., Vohs, K. D., Lambert, N. M., & Phillips, C. A. The material and immaterial in conflict: Spirituality reduces conspicuous consumption. Journal of Economic Psychology, 33(1), 2012. https://doi.org/10.1016/j.joep.2011.08.012.
Strauss, J., Witoelar, F., & Sikoki, B. The fifth wave of the Indonesia family life survey: overview and field report (Vol. 1). 2016.
Teimourpour, B., & Hanzaee, K. H. The impact of culture on luxury consumption behaviour among Iranian consumers. Journal of Islamic Marketing, 2(3), 2011.
Teimourpour, B., & Hanzaee, K. H. An analysis of Muslims’ luxury market in Iran Challenges and opportunities. The Eletronic Library, 34 (1), 2015.
The Royal Islamic Strategic Studies Center. The Muslim 500 - The World’s 500 Most Influential Muslim 2022.
Trigg, A. B. Veblen, Bourdieu, and conspicuous consumption. Journal of Economic Issues, 35(1), 2001.
Tsai, S. Impact of personal orientation on luxury-brand purchase value: An international investigation. International Journal of Market Research, 47(4), 2005.
Veblen, T., & Mills, C. W. The theory of the leisure class. Routledge.
Wiebe, K. F., & Fleck, J. R. (1980). Personality correlates of intrinsic, extrinsic, and nonreligious orientations. The Journal of Psychology, 2017.
Wenger, J. L. The automatic activation of religious concepts: Implications for religious orientations. The International Journal for the Psychology of Religion, 14, 2004.
Wilkes, R.E., Burnett, J.J. & Howell, R.D. “On the meaning and measurement of religiosity in consumer research”, Journalofthe AcademyofMarketing Science, Vol.14 No. 1, 1986.
Wilson, J. A. j., & Grant, J. Islamic marketing – a challenger to the classical marketing canon? Journal of Islamic Marketing, 4(1), 2013. https://doi.org/10.1108/17590831311306327.
Wright, H. YBMs: religious identity and consumption among young British Muslims. International Journal of Market Research, 57(1), 2015.
Yeniaras, V. Unpacking the relationship between materialism, status consumption and attitude to debt: the role of Islamic religiosity. Journal of Islamic Marketing. 2016.
Yousaf, S. & Shaukat Malik, M. “Evaluating the influences of religiosity and product involvement level on the consumers”, Journal ofIslamicMarketing, Vol. 4 No. 2, 2013.
Zakaria, N., Wan-Ismail, W.-N. A., & Abdul-Talib, A.-N. Superfluous or moderation? The effect of religious value on conspicuous consumption behavior for luxury products. In Marketing and Consumer Behavior: Concepts, Methodologies, Tools, and Applications Vol. 4, 4, 2014.
Agarwala, R., Mishra, P., & Singh, R. Religiosity and consumer behavior: a summarizing review. Journal of Management, Spirituality and Religion, 16 (1), 2019.
Ahmed, Z., Anang, R., Othman, N., & Sambasivan, M. To purchase or not to purchase US products: role of religiosity, animosity, and ethno-centrism among Malaysian consumers. Journal of Services Marketing. 2013.
Aksoy, H., & Abdulfatai, O. Y. Exploring the impact of religiousness and cultureon luxury fashion goodspurchasing intention: A behavioural study on Nigerian Muslim consumers. Journal of Islamic Marketing, 10(3), 2019. https://doi.org/10.1108/JIMA-01-2018-0022
Al-Issa, N., & Dens, N. How do religiosity and acculturation to the global consumer culture drive the perceived value of luxury? A study in Kuwait. Journal of Islamic Marketing, October. 2021. https://doi.org/10.1108/jima-03-2021-0080
Allport, G. W., & Ross, J. M. Personal religious orientation and prejudice. Journal of Personality and Social Psychology, 5(4), 1967.
Alserhan, B. A., Bataineh, M. K., Halkias, D., & Komodromos, M. Measuring luxury brand consumption and female consumers’ religiosity in the UAE. Journal of Developmental Entrepreneurship, 19(2). 2014. https://doi.org/10.1142/S1084946714500095
Amalia, K. A., Vita, P., & Rahman, F. Values as Drivers of Luxury Brand Consumption for Young MAC Consumers. Pertanika Journal of Social Sciences & Humanities, 27, 2019.
Arli, D., Cherrier, H., & Tjiptono, F. God blesses those who wear Prada: Exploring the impact of religiousness on attitudes toward luxury among the youth of Indonesia. Marketing Intelligence & Planning. 2016.
Bailey, J. M., & Sood, J. The effects of religious affiliation on consumer behavior: A preliminary investigation. 1993.
Brown, P. M., & Cameron, L. D. What can be done to reduce over-consumption? Ecological Economics, 32(1), 2000. https://doi.org/10.1016/S0921-8009(99)00093-2
Coşgel, M. M., & Minkler, L. Religious identity and consumption. Review of Social Economy, 62(3), 2004.
D’arpizio, C., Levato, F., Zito, D., & de Montgolfier, J. Luxury goods worldwide market study. Bain & Company, 1(6), 2015.
Dekhil, F., Boulebech, H., & Bouslama, N. Effect of religiosity on luxury consumer behavior: the case of the Tunisian Muslim. Journal of Islamic Marketing. 2017.
Delaney, T. Classical and contemporary social theory. Routledge. 2013.
Delener, N. “An examination of the religious influences as predictors of consumer innovativeness”, Journal ofMid-West Marketing, Vol. 5, 1990.
El-Bassiouny, N. M. The Trojan horse of affluence and halal in the Arabian Gulf. Journal of Islamic Marketing, 8(4), 2017.
Essoo, N. & Dibb, S. “Religious influences on shopping behavior: an exploratory study”, Journal of Marketing Management, Vol. 20, 2004.
Floren, J., Rasul, T., & Gani, A. Islamic marketing and consumer behaviour: a systematic literature review. Journal of Islamic Marketing, ahead-of-print (ahead-of-print). 2019. doi:10.1108/jima-05-2019-0100.
Fook, L. A., & McNeill, L. Click to buy: The impact of retail credit on over-consumption in the online environment. Sustainability (Switzerland), 12(18). 2020. https://doi.org/10.3390/SU12187322.
Furqani, H. Consumption and morality: Principles and behavioral framework in Islamic economics. Journal of King Abdulaziz University, Islamic Economics, 30 (Specialissue), 2017.
Geiger-Oneto, S., Gelb, B. D., Walker, D., & Hess, J. D. “Buying status” by choosing or rejecting luxury brands and their counterfeits. Journal of the Academy of Marketing Science, 41(3), 2013.
Hamelin, N., & Thaichon, P. Consumer motives and impact of western media on the Moroccan luxury buyer. Journal of Retailing and Consumer Services, 32, 2016.
Ilter, B., Bayraktaroglu, G., & Ipek, I. Impact of Islamic religiosity on materialistic values in Turkey. Journal of Islamic Marketing. 2017.
Karoui, S., & Khemakhem, R. Factors affecting the Islamic purchasing behavior a qualitative study. Journal of Islamic Marketing, 10(4), 2019. https://doi.org/10.1108/JIMA-12-2017-0145.
Karami, M., Olfati, O. and Dubinsky, A.J. “Influence of religiosity on retail salespeople’s ethical perceptions: the case in Iran”, Journal ofIslamic Marketing, Vol. 5 No. 1, 2014.
Kassim, N. M., & Zain, M. Z. (Quality of lifestyle and luxury purchase inclinations from the perspectives of affluent Muslim consumers. The Eletronic Library, 7(1), 2016.
Khraim, H. “Measuring religiosity in consumer research from Islamic perspective”, Journal of Economic andAdministrative Sciences, Vol. 26 No. 1, 2010.
Mokhlis, S. The effect of religiosity on shopping orientation: an exploratory study in Malaysia. Journal of American Academy of Business, 9(1), 2006.
Muhamad, N. & Mizerski, D. “The constructs mediating religions’ influence on buyers and consumers”, Journal ofIslamic Marketing, Vol. 1 No. 2, 2010.
Muhamad, N. & Mizerski, D. “The effects of following Islam decisions about taboo products”,Psychology and Marketing, Vol. 30 No. 4, 2013.
Muhamad, R., Melewar, T. & Alwi, S. “Segmentation and Brand positioning for Islamic financial services”, European Journal of Marketing, Vol. 46 Nos. 7/8, 2012.
Mustikasari, F. The Influence of Value Perceptions and Country Origin to Luxury Purchase Intention and Brand Equity: The Case of Middle-Class Consumers in Indonesia (An Abstract) BT - Marketing at the Confluence between Entertainment and Analytics (P. Rossi (ed.) 2017.
Muttaqin, Z. The nature of excessive behavior (israf) in the Islamic economic framework. J. Bus. Econ. Review, 4(1), 2019.
Pintak, L. Islam, identity and professional values: A study of journalists in three Muslim-majority regions. Journalism, 15(4), 2014. https://doi.org/10.1177/1464884913490269.
Ramazani, A., & Kermani, M. Spiritualism versus materialism: can religiosity reduce conspicuous consumption? Journal of Islamic Marketing, 13(8), 2022. https://doi.org/10.1108/JIMA-09-2019-0184.
Ratnasari, R. T., Prajasari, A. C., & Kassim, S. Does religious knowledge level affect brand association and purchase intention of luxury cars? Case of the Lexus cars in Indonesia. Journal of Islamic Marketing. 2022.
Shahid, S., Islam, J. U., Farooqi, R., & Thomas, G. Affordable luxury consumption: an emerging market’s perspective. International Journal of Emerging Markets, May. 2021. https://doi.org/10.1108/IJOEM-01-2021-0144.
Shaikh, S. A., Ismail, M. A., Ismail, A. G., Shahimi, S., & Muhammad, M. H. Towards an integrative framework for understanding Muslim consumption behaviour. Humanomics, 33(2), 2017. https://doi.org/10.1108/H-01-2017-0005.
Sharif, K., Kassim, N., & Faisal, M. N. Domains of Living and key demographics: Their impact on luxury consumption behavior of affluent Qataris. Asia Pacific Journal of Marketing and Logistics, 31(2), 2019.
Stillman, T. F., Fincham, F. D., Vohs, K. D., Lambert, N. M., & Phillips, C. A. The material and immaterial in conflict: Spirituality reduces conspicuous consumption. Journal of Economic Psychology, 33(1), 2012. https://doi.org/10.1016/j.joep.2011.08.012.
Strauss, J., Witoelar, F., & Sikoki, B. The fifth wave of the Indonesia family life survey: overview and field report (Vol. 1). 2016.
Teimourpour, B., & Hanzaee, K. H. The impact of culture on luxury consumption behaviour among Iranian consumers. Journal of Islamic Marketing, 2(3), 2011.
Teimourpour, B., & Hanzaee, K. H. An analysis of Muslims’ luxury market in Iran Challenges and opportunities. The Eletronic Library, 34 (1), 2015.
The Royal Islamic Strategic Studies Center. The Muslim 500 - The World’s 500 Most Influential Muslim 2022.
Trigg, A. B. Veblen, Bourdieu, and conspicuous consumption. Journal of Economic Issues, 35(1), 2001.
Tsai, S. Impact of personal orientation on luxury-brand purchase value: An international investigation. International Journal of Market Research, 47(4), 2005.
Veblen, T., & Mills, C. W. The theory of the leisure class. Routledge.
Wiebe, K. F., & Fleck, J. R. (1980). Personality correlates of intrinsic, extrinsic, and nonreligious orientations. The Journal of Psychology, 2017.
Wenger, J. L. The automatic activation of religious concepts: Implications for religious orientations. The International Journal for the Psychology of Religion, 14, 2004.
Wilkes, R.E., Burnett, J.J. & Howell, R.D. “On the meaning and measurement of religiosity in consumer research”, Journalofthe AcademyofMarketing Science, Vol.14 No. 1, 1986.
Wilson, J. A. j., & Grant, J. Islamic marketing – a challenger to the classical marketing canon? Journal of Islamic Marketing, 4(1), 2013. https://doi.org/10.1108/17590831311306327.
Wright, H. YBMs: religious identity and consumption among young British Muslims. International Journal of Market Research, 57(1), 2015.
Yeniaras, V. Unpacking the relationship between materialism, status consumption and attitude to debt: the role of Islamic religiosity. Journal of Islamic Marketing. 2016.
Yousaf, S. & Shaukat Malik, M. “Evaluating the influences of religiosity and product involvement level on the consumers”, Journal ofIslamicMarketing, Vol. 4 No. 2, 2013.
Zakaria, N., Wan-Ismail, W.-N. A., & Abdul-Talib, A.-N. Superfluous or moderation? The effect of religious value on conspicuous consumption behavior for luxury products. In Marketing and Consumer Behavior: Concepts, Methodologies, Tools, and Applications Vol. 4, 4, 2014.
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Mar 31, 2023
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