Why Does Authenticity Matter More Than Quality in Circular Product Purchases?

Abstract

Global environmental pressures have intensified interest in circular economy practices, while tourism destinations face growing challenges related to resource consumption and waste generation. Circular products offer a sustainable consumption alternative, yet their acceptance among international tourists depends on how they evaluate product-related attributes and benefits. However, tourists may prioritize conventional products, and the factors shaping their willingness to purchase circular alternatives remain insufficiently understood, particularly in destination-based consumption contexts where cultural meanings influence consumer evaluations and decisions and perceived value. Previous studies have largely examined environmental concern, green trust, or product quality separately, offering limited evidence on how authenticity and quality perceptions jointly shape tourists’ purchase intention through perceived circular value in international tourism settings. This study examines how authenticity and product quality perceptions influence international tourists’ purchase intention toward circular products in Bali, Indonesia. It aims to assess direct effects on perceived circular value and purchase intention, and test whether perceived circular value mediates both relationships among international tourists in Bali buying circular products. A quantitative cross-sectional survey was conducted in Bali, Indonesia, targeting international tourists who had visited and encountered or purchased circular products. Purposive sampling and eligibility screening yielded 247 responses via an online questionnaire. Data were analysed using Confirmatory Factor Analysis and Structural Equation Modelling in IBM SPSS AMOS; mediation was tested with the Sobel test. Model fit was acceptable (CMIN/DF = 2.428; RMSEA = 0.077). Authenticity perception positively affected perceived circular value (β = 0.747, p < 0.001) and purchase intention (β = 0.434, p = 0.029). Perceived circular value positively influenced purchase intention (β = 0.473, p < 0.001) and partially mediated authenticity’s effect (Sobel z = 2.65, p = 0.008). Product quality perception had no significant effects. Overall. This study advances circular economy and sustainable tourism research by identifying authenticity as a key driver of circular product evaluations and purchasing decisions in Bali. Tourism marketers and producers should foreground authenticity, local identity, transparent sourcing, and product storytelling when positioning circular products to visitors. The study focuses on international tourists in Bali and tests four constructs, limiting generalisability across destinations and relevant consumer factors.