Volume 8, Issue 2, February – 2023 International Journal of Innovative Science and Research Technology ISSN No:-2456-2165 IJISRT23FEB477 www.ijisrt.com 874 Analysis of Green Product and Green Advertising on Purchase Decision of Aqua Products Mediated by Green Trust Fahmi Muhammad Kusumah, Dudi Permana Universitas Mercu Buana, Jakarta, Indonesia Abstract:- Environmental pollution can occur due to the lack of public knowledge about the environment. Under these conditions, companies are competing to innovate to create green products. Currently green products in Indonesia are widely circulated among consumers, with the concept of Green Products it is necessary to promote continuously and consistently so that consumers know green products in more depth through advertising. The purpose of this study is to determine the factors that can influence the purchase decision of Aqua products. Hypothesis testing in this study will be carried out using the Partial Least Square (PLS) based Structural Equation Model (SEM) approach. Based on the research results, green product and green advertising have a significant effect on green trust, while green trust has a significant effect on decisions, but green product and green advertising have no significant effect on purchasing decisions. Green trust mediates the pseudo- relationship between green products and purchasing decisions, Green trust also mediates the pseudo- relationship between green advertising and purchasing decisions. Keywords:- Green Product, Green Advertising, Green Trust, Purchase Decision, Aqua. I. INTRODUCTION Environmental pollution can occur due to the lack of public knowledge about the environment and how to manage the environment. Environmental pollution can be caused by the problem of garbage, industrial waste, and human behavior itself. Therefore companies are competing to innovate in creating green products. Baqirah (2019) said that the amount of landfill waste in Indonesia is 175,000 tons per day or 64 tons per year and plastic waste contributes 15%. This makes people aware that the products consumed can have a damaging impact on the environment if not managed properly. Some consumers have started to be aware and selective in purchasing environmentally friendly products. According to Arifia (2019), this phenomenon occurs because awareness begins in the minds of consumers on environmental issues. Based on Oktaviani (2017), the determining factor in purchasing green products is the cleanliness of the product to the impact on health. Changes in consumer behavior are exploited by companies that compete to be able to reach consumers. Therefore the company created a marketing concept, namely selling products that use environmentally friendly materials on their packaging. Manongko (2018) said that changes in consumer behavior that use environmentally friendly products is a reflection of public concern for maintaining and protecting the environment. To deal with the problem of environmental damage, not only the community but the government must also take part by increasing awareness and concern for environmental damage (Rasaputra and Sam, 2015). One of the efforts is by creating, introducing, and using green products. Green product is a product whose design, production or strategy uses recycled, renewable, non-toxic resources and can reduce the impact of environmental damage (Durif, 2012). The concept of Green Products in Indonesia needs to be promoted on an ongoing basis so that consumers can know more about green products. Green advertising is green advertising that aims to promote products and services that contain the company's commitment to reduce environmental damage so that it can provide an image of a company that cares about the environment (Santoso and Rengganis, 2016). Green product advertisements can be made more attractive, different and unique compared to other products (Ardiansyah, Zainul and Dahlan, 2015), must be informative and contain the company's concrete actions in the environmental preservation movement and also provide a more natural product description (Richards, 2013). In Indonesia itself, currently there are many green advertisements. An example of such a green ad is the Aqua ad which campaigns for one bottle of aqua to be exchanged for one tree which can be monitored in real-time. With environmentally friendly advertising, it is hoped that it can meet the needs and desires of consumers and the environment, and can also foster consumer confidence. Trust is a person's belief in other parties that they can be relied upon because they are committed to their promises and can create a sense of security (Ling, Dazmin, Tan, Kay and Padzil, 2011). Trust can encourage consumers to make purchasing decisions. (Astini, 2016). Green trust is strongly influenced by consumer confidence in the safety of environmentally friendly products (Santoso and Rengganis, 2016). With environmental decisions and considerations, consumers will prefer environmentally friendly products over others. Other considerations in buying a product are because it is affordable (Albari and Indah, 2017), social influence (Anvar and Marike, 2014) and ease of obtaining products (Brata, Shilvana and Hapzi, 2017).