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THE INFUENCE OF DIGITAL MARKETING IN PURCHASING E-COMMERCE
BUSINESS SHOPEE
Ananda Audrey Sean Callista
12010118190372
University Of Diponegoro
Introduction
1.1 Background
The growing use of the internet makes users think creatively, come up with
ideas, and create new ideas that are constantly being developed. One of the
intermediary media that connects individuals is social media. Indonesia as an active
internet user has various kinds of social media as follows: Youtube, Instagram,
Twitter, Facebook, Line, and Whatsapp. Generally, social media is used to send
greetings with friends, relatives, or be used as a business opportunity. Apart from
social media, Indonesia also uses services (platforms) that allow users to make
transactions and sell goods or services online or offline. As for the type of online
shopping application in Indonesia that is often used by buyers, such as SHOPEE.
The development of the digital economy industry in Indonesia has
successfully managed in several e-commerce sites maintaining the brand's
existence. According to a survey conducted by MarkPlus (2018), SHOPEE was
ranked first as the e-commerce most frequently used by 37% of users in Indonesia.
SHOPEE achieves the highest awareness because it often does digital marketing.
High traffic awareness will increase. Lazada is followed by 20.2% of users, and
India by 20%.
There are many factors that must be considered so that digital marketing
can affect the consumer buying interest. Factors such as the combination of brands
that illustrate how a company symbol, brand, and diversity can compare the seller's
product with competitors. Pay attention to the factors that share content, describe
how sharing content with social media and online users can improve business
relationships, and influence consumer buying interest. Pay attention to the
communication factor, describe how the communication between the seller and the
buyer is, share the message and the story, and respond to the customer. Paying
attention to the engagement factor, describes how the ongoing interactional
communication can provide feedback. As for the factors that are thought to
influence consumer buying interest,
1.2 Research Problem
Based on the description above background, then for the formulation of the problem
which is as follows;
a) Whether the Influencers affect the interest of the buy online on the site
Shopee.
b) how to influence the influencers against the interest of the buy online on
the site Shopee.
c) Analyze the influence of the attractiveness of the influencer to the interest
buy online on the Shopee site.
d) Analyze the influence of the power of influencers to interest buy online on
the site Shopee
1.3 Aim and Objectives
Based on the description above background, this research aims to:
a) Analyze the influence of the visibility of the influencers against the
interest of the buy online on the site Shopee.
b) Analyze the influence of the credibility of the influencer to the interest
buy online on the Shopee site.
c) Analyze the influence of the attractiveness of the influencer to the interest
buy online on the Shopee site.
d) Analyze the influence of the power of influencers to interest buy online
on the Shopee site.
1.4 Thesis outline
Chapter 1 Introduction. In this chapter it introduces the background of the paper, the
reasons the author choose this topic, and the aim and objectives.
Chapter 2 Literature review. In this chapter include a clear statement of the topic
and its parameters.
Chapter 3 Methodology. In this chapter, it explains the method and the steps they
use for conducting the research. The author will explain the which method,
approach, steps, data they will use on the thesis.
2. Literature Review
2.1 Digital Marketing
The effort made to reach out to potential buyers by introducing a trademark or
service through digital media can be defined as digital marketing. With the use of digital
media in marketing his products, the entrepreneur can market the product in a timely,
personal, and more relevant.
According to Progress Tech (2016) started the year 2014 the number of ads that
are installed on the internet already beat the ads on television. Digital marketing is
constantly increased by 137%, and as much as 72% of consumers connect with a brand
of their choice that exists in digital marketing. This amount is quite large compared to
consumers who choose to shop in conventional stores.
2.2 Influencer
Brands are marketed all over the world almost, mostly advertised by influential
people like celebrities. Can also advertise the brand through ordinary people but have the
influence of community followers such as follower that many on social media. The
message delivered by the source of interesting or famous can attract more attention and
recollection. (Kotler & Keller, 2009b, p. 181). Of course, the selection of influencers
should be based on the planning cost set out in accordance with the ability of the
company.
According To (A. Rahman, 2016, p. 92) in Shimp (2002) in Husein (2008)
explains that influencers are supporters of advertising or also known as the star of the ads
that support the products which are advertised. an influencer is an icon or a specific figure
which is often also referred to as the direct source (direct sources) to deliver a message
or demonstrate a product or service in the promotion of activities aiming to support the
effectiveness of the delivery of product messages ( Suryadi, 2006: 132; Belch & Belch,
2004: 168). Banyuwangi regent in his Anti-Mainstream Marketing (Anwar, 2019, p.56)
has the principle that a satisfied customer is the best source of advertisement. To every
governor, regent, investors, celebrities, artists, businessmen, or tourists who come to
Bayuwangi, always tell all the uniqueness of the destinations and attractions they have.
It is intended that such persons are impressed and then tell it to others Word of mouth is
between 8.5 and 30 times more effective than traditional media (Jonah Berger, Word of
Mouth of the teacher).
Furthermore, Tung Desem Waringin in the book Marketing Revolution states that
influencer events almost the same as the referral. The difference in the referral usually
one person invites one person to a maximum a few people while in the endorsement one
person can invite a thousand people or all people in the categories (K., 2008, p. Sixtythree) In a study, the extension has shown two common attributes in contributing to the
effectiveness of the influencer ie, credibility and attractiveness. Furthermore, in (A.
Shimp, 2014, p. 259) characteristics of influencers can use the model attributes five
TEARS as follows:
a) Trustworthy (the trust) are assets that can be trusted and as someone who
can be relied upon
b) Expertise is characteristics who have special skills, knowledge, or abilities
in connection with supported brands
c) Physical Attractiveness (physical attractiveness) is a trait that is perceived
as fun to be seen in terms of the concept of the attractiveness of a certain
group
d) Respect (respect) is the quality of being admired or even appreciated
because of the quality and achievement of one's personal
e) Similarity (similarity) is the extent to which influencers have a match with
the audience in terms of characteristics related to the relationship support
(age, gender, ethnicity, etc.)
2.3 Purchase Decisions
According to Boyd Walker's purchase, decision-making is an approach to solving
problems on human activities, buy a product to meet your wants and needs. Consumer
behavior by the things that underlie a consumer to make a purchase decision. As for such
matters are the process and activity when a person (the consumer) is associated with the
search, selection, purchase, use, and evaluation of products and services to meet the needs
and desires.
According to Swastha and Irwan (2008: 118), the purchase decision is the consumer
understanding about the desire and need for a product with a rate from existing sources by
specifying the purpose of the purchase as well as identify alternatives so that the decisionmakers to buy which is accompanied by behavior after making a purchase.
While Irwan and Farid (2000: 41) suggest a purchase decision is the stage of
assessment of the decisions which led to the buyer's form of choice among some of the
brands that are incorporated in the device options and form an intention to buy. Consumer
behavior will determine the decisions in the purchase of them. Such a process is an
approach to problem-solving which consists of six stages, namely: analyzing wants and
needs, assess some of the existing sources, establish the purpose of the purchase, identifies
the purchase alternative, decide to buy, and behavior after purchase .
According to the marine resources and Sopiah (2013: 119), the decision is the result of
a thought process in the form of the selection of one among several alternative options that
can be used to solve problems.
Stage-the stage of the Purchase Decision Process According to Kotler and Keller, five
stages are traversed by consumers in making purchase decisions, namely:
a) problem Recognition the buying Process starts from the buyer recognizes
a problem or need consumers.
b) Information Search the Consumer will be encouraged to seek more
information to find out their needs.
c) Evaluation of Alternatives Consumers process information from a variety
of brands that compete and make the final assessment of the needs to be
purchased.
d) Purchase Decision After the evaluation stage, consumers create a list of
tables of top brands in the options. Consumers also make the final
decision to buy the most preferred brand for meeting their needs.
3. Methodology
This research type is quantitative research. This research consists of the visibility
(visibility) influencers, credibility (credibility) influencers, attraction (attractiveness)
influencers, and strength (power) of influencers as the independent variable and purchase
intention as the dependent variables. The population in the research is the entire students
of the University of Muhammadiyah Surakarta class of 2014-2017 that have been
accessing the site online shopping although shopping. The sampling technique used is
purposive sampling technique with predetermined criteria. Sample the download or use
of 120 respondents. The Data used in the study are primary data sourced from the
questionnaire. The data analysis method used is the Multiple Linear Regression Test.
Visibility (X1)
H1
Credibility
(X2)
Attractiveness
(X3)
Strength (X4)
H2
H3
Purchase
Interes
t (Y)
H4
Figure 1 Framework
N0
Question
1
Does advertising on social media platforms make you tempted to buy products at
Shopee? give reasons why.
2
What do you think is the most effective platform to attract you to buy products at
Shopee? Mention examples: (Instagram, youtube ads etc.)
3
What are your considerations in buying a product at Shopee?
4
How often because of your ad buying Shopee products
5
What makes the digital platform successful in influencing you in making decisions to
buy products at Shopee?
Chapter 4
Result and Discussion
4.1. Respondent Description
This research is using a quantitative method ,, and the result is educate of charts and
numbers. The reason of this investigates is to analyze whether social media influencers have
an affect on brand picture and buy purposeful. With that reason in intellect, the collected
information through survey from 32 respondents who regularly utilized social media and
online shops. The made survey has 5 required questions and 1 discretionary address.
4.2. Result
4.2.1 Does the advertisement on the social media platform make you tempted to buy
products on Shopee?
Table 1:
No.
Response
Percentage
1.
Yes
53%
2.
No.
28%
3.
Somethis
19%
4.2.2 What do you think is the most effective platform to attract you to buy
products in shopee?
Table 2:
No.
Response
Percentage
1.
Instagram
81%
2.
Tik-Tok
19%
4.2.3What are your considerations in buying a product at Shopee?
Table 3:
No.
Response
Percentage
1.
Aunthenticity
22%
2.
Review
56%
3
Free Postage
1%
4
Price
9%
5
Other
9%
4.2.4How often because your ad buys Shopee products?
Table 4:
No.
Response
Percentage
1.
1
33%
2.
2
27%
3
3
20%
4
4
13%
5
5
7%
4.2.5What makes a successful digital platform influence you in
make the decision to buy products at shopee?
Table 5:
No.
Response
Percentage
1.
Easy
7%
2.
Price
20%
3
Ads
20%
4
Interesting
17%
5
Discount
20%
6
Review
17%
4.3 Discussion
The results of this study support the results of research conducted by Grace,
Ariyanti, and Zuliestiana (2016), Harly and Octavia (2014), and Cakmak (2015) which
states that visibility (visibility) has a positive and significant influence on buying interest
. If an influencer is a person who is popular and friendly, and has an attractive appearance,
as well as influencers in promoting the company's products is good then the consumers
will have interest in buying the products offered by the company. Past research conducted
by Harly and Octavia (2014), Rini and Astute (2012), and Hair (2009) states that
credibility (credibility) has a positive and significant influence on buying interest. If
celebrities endorse consistently promote a product with the interesting, and the celebrities
endorse able to convey messages from companies to consumers related to the products
offered. When celebrities endorse reliable and always honest in conveying the advertising
message of the company then the consumer will be interested to buy the product in the
Shopee because are interested and already believe.
Furthermore, research conducted by Rochmania and Prabowo (2016) and Smaoui
(2011) states that attraction (attractiveness) has a positive and significant influence on
buying interest. The appearance that is attractive and fun to be seen from a celebrity, be
endorsed in the Shopee and the paras will cause attraction and make consumers have the
interest to visit Shopee to buy the products offered by the celebrities endorse these. Last,
research conducted by Raty eka (2017) and Stanton (2008) stated that strength (power)
has a positive and significant influence on buying interest. At the time of delivery of
advertisements, celebrity-endorsed have a very big influence to attract the buying interest
of the consumer, and celebrity-endorsed can convince consumers related to the product
that they offer in the Shopee, as well as the personal characteristics of endorse celebrities
to be a role model for consumers in buying a product because they feel like a celebrity
when buying the products offered. Then from there, growing interest from consumers to
buy products on the site Shopee contained celebrity idols.
5. Conclusion
Based on the results of research and discussion, it can be withdrawn the following
conclusions:
1. Social media is proven to have an influence on buying interest consumers who display
videos, photos or images with a context, communication, collaboration, and connection. The
better the media content, social service, provided it will have its influence, it is also better to
influence consumer buying interest.
2. Based on data that we already collected, From the 33 total respondents, 69.7% had
purchased a product as a result of an influencer recommendation. This proves that social
media influencers have an impact on buying interest because most of the respondents feel
helped by the promotion by the influencer to find good items that can also increase brand
image.
6. CLOSING
Based on the results of research and discussion, it can be concluded that the
visibility (visibility) of a celebrity influencer, credibility (credibility) celebrity influencers,
attraction (attractiveness) of a celebrity influencer, and the power (power) celebrity
influencers have a significant influence on buying interest from Shopee in implementing
marketing strategies. Suggestions researchers for further research among other things
should be done on a variety of companies online (online) better Shopee or the like, it is
intended that the results of the research can compare the purchase interests of each
consumer segment. On further research, preferably using the independent variables are
more diverse in addition to from the visibility of the influencers, the credibility of
influencers, attractiveness of the influencer,
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