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THE EFFECT OF MARKETING AND BRAND AMBASSADOR COMMUNICATION OF

PURCHASE DECISIONS MEDICATED BY REPUTATION


BRAND

(CASE STUDY: OPPO SMARTPHONE)

Panca Airlangga 1, Sri Wahyuni ​Mansyur 2, Zahro Hasanah 3

Accounting Study Program, Faculty of Economics and Business, Mulawarman University 1

Accounting Study Program, Faculty of Economics and Business, Mulawarman University 2

Management Study Program, Faculty of Economics and Business, Mulawarman University 3

ABSTRACT

This study aims to 1) test and analyze the effect of marketing communications on the Oppo Smartphone brand
reputation. 2) To test and analyze the influence of brand ambassadors on the Oppo Smartphone brand reputation. 3) To test
and analyze the effects of brand reputation on purchasing decisions. This study uses a survey method for 136 consumers of
Oppo Smartphone users with the help of a Likert scale online questionnaire. This research uses the Partial Least Square (PLS)
analysis approach.

The results of this study are the Brand Ambassador has a positive effect on brand reputation. Proven by the PLS data
processing value of 1,105. Marketing communication has a positive effect on brand reputation. Evidenced by the results of PLS
​data processing of 5,475. Brand reputation has a positive effect on purchasing decisions. Evidenced by the results of PLS ​data
processing of 14,965.

Keywords: Brand Ambassador, marketing communication, brand image, purchasing decisions

ABSTRACT

This study aims to 1) test and analyze the effect of marketing communication on the Oppo Smartphone brand reputation.
2) To test and analyze the influence of brand ambassadors on the Oppo Smartphone brand reputation. 3) To test and analyze
the effect of brand reputation on purchasing decisions. This study uses a survey method for 136 consumers of Oppo
Smartphone users with the help of a Likert scale online questionnaire. This research uses the Partial Least Square (PLS)
analysis approach.

The results of this study are the Brand Ambassador has a positive effect on brand reputation. Proven by the PLS data
processing value of 1.105. Marketing communication has a positive effect on brand reputation. Proven by the results of PLS
​data processing of 5.475. Brand reputation has a positive effect on purchasing decisions. Evidenced by the results of PLS ​data
processing of
14,965.

Keywords: Brand Ambassador, marketing communication, brand image, purchasing decisions

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1 PRELIMINARY

1.1. BACKGROUND

With the rapid development of this communication technology, usage

smartphones are very popular everywhere. According to international data

Data Corporation (IDC) in the second quarter of 2019 smartphone shipments in Indonesia

reached the highest number in history that is 9.7 million units (Yusuf, 2019).

This qini makes various types of smartphone brands in the world began to be attracted to

marketing its products in Indonesia.

One of them is the Oppo Smartphone. Reporting from CNBC, research institute

Canalys published the latest research, in the second quarter of 2019 Oppo had a share

market 26% with annual growth of 54%. While Samsung has

market share of 24% or empty growing 10% (Roy &), 2019).

Products can be sold because there is communication delivered by the brand to

consumer. Integrated Marketing Communication (IMC) basically

plan systematically to determine the most effective and the message

consistent for the right target audience. There are many definitions of IMC in those days

that early period; and even today this term is used in various ways in

discuss marketing communication activities. In our opinion, IMC basically

plan systematically to determine the most effective message and

consistent for the right target audience

In 1989, the American Advertising Agency Association (known as Four A)

form an integration task force that defines the IMC from the point of view

agency Four A. The task force came up with this IMC definition: 'Concept planning

marketing communications that recognize the added value of a comprehensive plan

evaluating the strategic role of various communication disciplines (eg advertising

general, direct response, sales promotion and public relations) and

combine these disciplines to provide clarity, consistency, and

maximum communication impact. (Percy, 2008).

With integrated marketing communication, the value of the product can be

delivered well to customers, this will give rise to brand image

the positive. The brand has a special meaning for consumers, and this meaning is partly

comes from experience, but mainly from how a brand has been

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positioned and presented to people through marketing communication;

ideally, via IMC. (Percy, 2008). The brand is the front line of a product,

the initial view that allows consumers to identify products

these (Kotler, 2001). Types of relationships that involve trust. The brand is

the sum of an entity, the psychological connection that creates a bond of loyalty with

potential buyers / buyers, and that includes perceived added value

(Rumambi & Frisdiantara, 2005).

Later, the image of a product can be displayed through promotional methods

advertising. Oppo Smartphone itself hooks several celebrities to

became his brand ambassador. To tie the impression imagery of "young" to "beautiful"

attached to Oppo camera phones, the company "sells" in a way

hook the handsome-looking celebrities. Like Chelsea Olivia, Raline Shah,

Chelsea Islan, Vanesha Prescilla, and Isyana Sarasvati. There is also a male celebrity

like, Reza Rahadian, Robby Purba, and Rio Haryanto ((tirto.id), 2018)

When the brand image is known to be positive, the company will experience the same thing

the same.Strong corporate image is a valuable intangible asset, because it is

symbolizes quality, trust and characteristics. Organizations that are

weak in terms of branding, maybe lacking eg. the company's brand promises

clear (Balmer, 2010). A good corporate brand image influences the way people are

Look at the company's quality products and services and help to achieve

customer preferences and sustainable employers financial performance (Roberts &

Dowling, 2002) mentioned that a good brand will come for

improve company image.

2.2. FORMULATION OF THE PROBLEM

2.1.1. Is there any effect of marketing communication on the reputation of the Oppo brand

Smartphone?

2.1.2. Is there an influence of brand ambassadors on the Oppo brand reputation

Smartphone?

2.1.3. Is there an effect of brand reputation on purchasing decisions?

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2.3. RESEARCH PURPOSES

2.3.1. To test and analyze the effect of marketing communication on

the reputation of the Oppo Smartphone brand

2.3.2. To test and analyze the influence of brand ambassadors on reputation

Oppo Smartphone brand

2.3.3. To test and analyze the effect of brand reputation on decisions

purchase

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2. THEORY STUDY

2.1 Theoretical Basis

2.1.1. The Role of Brands

Brands identify the source or manufacturer of a product and allow it

consumers - whether individuals or organizations - to give responsibility

to certain producers or distributors. Consumers can evaluate products

which is identical differently depending on how the brand is. Consumer

learn about brands through past experience with products and programs

its marketing. They find out which brand is satisfying the needs

them and which are not. When consumers' lives become more complicated,

in a hurry, and starving for time, the brand's ability to simplify

decision making and reducing risk are very valuable. Brands too

To do function valuable to company. First, they are

simplifies product handling or tracing. Brands help

manage inventory and accounting records. A brand also offers

strict legal protection for the unique features or aspects of the product. Brand name

can be protected through a registered trademark; the manufacturing process can be protected

through patents; and packaging can be protected through copyright and design. This

Intellectual property rights ensure that companies can invest with

safe in brands and reap the benefits of valuable assets (Kotler et al., 2006)

2.1.2. The role of brand ambassadors in brand image

Brand ambassadors are instruments used by companies to

communicate and connect with the community, about how they can

increase sales (Balmer & Gray, 2003). Brand ambassador's activities

involving the name of the organization will add to the company's brand image that is related

relationship between brand ambassadors and companies (Yoo & Jin, 2013). Based on

existing theories, brand ambassadors can be used as a reference for consumers

overall brand ranking and perception. Brand ambassador factors

what influences is congruence, credibility, attractiveness, and power

(Greenwood, 2013)

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2.1.3. The role of Integrated Communication Marketing (IMC) in brands

The key to building a brand, beyond marketing considerations

clear like decent products, effective pricing strategies, and distribution,

is to position the brand correctly, and build a brand attitude

positive. That will produce a strong brand equity that gives

the meaning of the brand and the role of marketing communication that drives a meaning

brand. An effective IMC, assumes a position and communication strategy

be consistent in every market contact, without it, different messages and images

can cause confusion in the minds of consumers about what it really means

a brand (Percy, 2008).

2.1.4. The role of purchasing decisions

(Kotler and Armstrong (2012: 283), 2008) say that the decision

purchasing is the stage in the buyer's decision making process

consumers actually buy. And (Schiffman & Kanuk, 2008) also said

that a purchasing decision is defined as a choice of two or more

alternative choices. Purchasing decision is a stage where consumers have

have a choice and are ready to make a purchase or exchange between money

and promises to pay ownership or use rights of goods or services

(Kotler, 2005). (Kotler, 2005) states that consumer purchases are influenced

by the following factors:

• Cultural factors influence the broadest and most profound influences.

Culture sub-culture, and social class are very important for the buying agent.

Culture is the most basic determinant of desires and behavior. Sub

culture includes nationality, religion, social, race, and geographical area.

Whereas social class is a relatively homogeneous division of society

and permanent, hierarchically arranged and whose members

share similar values, interests and behaviors.

• Social factors

In addition to cultural factors, consumer behavior is influenced by social factors

such as reference groups, families, and the role and social status of the community.

• Reference group

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A person's reference group consists of all groups around individuals

which has both direct and indirect influence on

such individual behavior (Kotler & Keller, 2009)

Other Factors That Influence Purchasing Decisions

• Family

The family itself usually becomes a source of orientation in behavior. Child will be

tend to behave the same as parents when they see the behavior of parents

they bring benefits or benefits (Kotler & Keller, 2009)

• Role and status in society

The role in activities that are expected to be carried out refers to

people around him. While status is a general recognition of society

in accordance with the role played. Each individual and their status

will influence behavior (Kotler & Keller, 2009).

Personal factors Buyer's decisions are also influenced by personal characteristics.

These characteristics include age and life cycle stages, occupations, circumstances

economy, lifestyle, and buyer's personality and self-concept.

1) Age and Life Cycle Stage Individuals in buying goods or services

usually adapted to changes in their age. Consumption patterns are formed

also differ between individuals of different ages.

2) Work Individual work certainly affects behavior

individual purchases. The income they get from their work is what

become an important determinant in their buying behavior.

3) Lifestyle Lifestyle is a pattern of one's life as

reflected in their activities, interests and opinions. Lifestyle will be very

influences individual patterns of actions and behavior.

4) Personality Personality is a different psychological characteristic from

someone who causes a relatively consistent and consistent response to

its environment

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Psychological factors of a person's purchasing choices are influenced by four factors

major psychology. These factors consist of motivation, perception, learning,

and beliefs and attitudes. Needs will become a motive if he is pushed up

reach a stage of adequate intensity. Motive is an adequate need

to encourage someone to act. Perception is the process used by

individuals to choose, organize, and interpret information input

in order to create a meaningful picture of the world. Perception can be very

vary between individuals who experience the same reality.

1) Motivation Motivation is an adequate need to encourage

someone acted. A person has many needs at a certain time.

Some needs are biogenic; these needs arise from pressure

biologically like hungry, thirsty, uncomfortable. While the other needs are

psychogenic; Such needs arise from psychological pressures such as needs

will be recognition, appreciation, or sense of group membership (Kotler, 2007).

2) Perception Besides the underlying motivation for someone to do

purchase decisions will also be influenced by their perception of what

which is desired. Consumers will show behavior after doing

perception of what decisions will be taken in buying a product.

3) Learning Learning is a process, which is always evolving and

change as a result of the latest information received (may be obtained from

reading, discussion, observation, thinking) or from actual experience, good

the latest information received as well as personal experience acts as

feedback for individuals and provides a basis for future behavior.

2.2. Conceptual framework

Marketing
Communication (X1)

jk Brand Buying
Reputation (Y1) decision
(Y2)

\ Brand
Ambassador
(X2)

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2.3. Research Hypothesis

H1 : Marketing communication has a positive effect on brand reputation

H2 : Brand Ambassador has a positive effect on brand reputation

H3 : Brand reputation has a positive effect on purchasing decisions

3. RESEARCH METHOD

Researchers used quantitative methods in this study to determine

relationship between variables. (Fisher, 2010) said that research data

use statistics and measurements to explain the research findings. For

data, researchers used primary data from questionnaires. Questionnaires were distributed to

136 respondents with the aim to find out the effect of communication

marketing and brand ambassadors of brand image in purchasing decisions.

In the questionnaire to be addressed to respondents, respondents were asked

to answer the questions that have been provided with a number of alternatives

has been provided, and all questions that will be given will contain about

how marketing communications and brand ambassadors. All questions

using a Likert scale of 1 to 5. By measuring the results of the answers

them with our questions, then use measurement with answers

(1) Strongly Agree (2) Agree, (3) Neutral, (4) Disagree, (5) Strongly Agree.

Research like this is research that illustrates understanding

about the relationship between variables used in research. In research

this, each participating indicator is tested in a separate way to

get the purpose of this research.

3.1 Operational Definition

3.1.2 Dependent Variable (Y)

a. buying decision

according to (Kotler, 2001), purchasing decisions are actions of consumers

to want to buy or not to product. Of the various factors that are

influence consumers in purchasing a product or service,

usually consumers always consider the quality, price and product already

already known by the public. According to (Kotler and Armstrong, 2008)

Purchase decisions have the following indicators:

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1) Product selection

2) Brand selection

3) Choice of place / time

4) Choice of payment method (price)

b. Brand Reputation

According to Dick, Cakravarty and Biehal (2000), brand reputation (brand

reputation) is a general assessment of a brand issued by a

company, where the brand carries the name of the company.

The indicator used to measure the brand image variable from (Hoeffler

& Keller, 2003) include:

1) Strength (strengthness)

2) uniqueness

3) excellence (favorable)

3.1.2 Independent variable or Independent Variable (X)

a. Independent variable or independent variable

according to (Sugiyono, 2009) is a variable that influences or becomes

because the change is 41 or the emergence of the dependent variable. The independent variable in

this research is Brand Ambassador.

The success of brand ambassadors in carrying out their functions according to (Smilansky,

2009) can be measured by 4 indicators, namely:

1) Attractiveness

2) Expertise

3) Trust

4) Strength

b. Marketing communication is a concept in which a company is carefully managed

integrate and coordinate its many communication channels for

deliver a clear, consistent and convincing message about the company and

its products.

According to (Morissan, 2010), marketing communication activities include:

1) Advertising

2) Direct Marketing

3) Sales Promotion

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4) Personal Selling

5) Public Relations

3.2 Types and Sources of Data

The data used in this study consisted of primary data. Primary data

used as material for analyzing research variables. Collection

Primary data is done by giving a list of questions in the form of a questionnaire

to respondents who contained Marketing Communication, Brand Ambassador, Citra

Brand and Purchasing Decisions. All questions use the Likert scale 1

up to 5. By measuring the results of their answers with our questions,

then use the measurement of answers with (1) Strongly Agree (2) Agree, (3) Neutral

, (4) Disagree, (5) Strongly Agree.

3.3 Population and Sample

1 Population

Population according to Sugiyono (2009), is a generalization area consisting of,

an object / subject that has certain qualities and characteristics determined by

researchers to study and then draw conclusions. Inside population

this research is all Smartphone Oppo users that are reached with

online questionnaire.

2. Samples

The sample is part of the number and characteristics possessed by the population

(Sugiyono, 2009). Sampling is done by nonprobability techniques

sampling that is by purposive sampling method. According to Sugiyono (2009),

Nonprobability sampling with purposive sampling method is a technique

sampling that does not provide 43 equal opportunities or opportunities for

each element or member of the population to be selected as a sample. The criteria

to determine the respondent is the owner of Oppo smartphone

3.4 Method of collecting data

For data, researchers used primary data from questionnaires. Questionnaires were distributed

to 136 respondents in order to find out the effect of communication

marketing and brand ambassadors of brand image in purchasing decisions.

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4. RESULT OF DATA

4.1. Test Validity and Reliability

A. Validity test

Table 1 Convergent Validity

Variable AVE Information

Marketing Communication 0.534 Valid

Brand Ambassador 0.576 Valid

Brand Image 0.566 Valid

Buying decision 0.551 Valid

From the table above states that the question items that have been

given to respondents declared valid. Questions about Communication

Marketing has validity of 0.534, Brand Ambassador has

validity of 0.576, Citra Brand has validity of 0.566, and

The Purchase Decision has a validity of 0.551. A statement

declared valid if the AVE number is above 0.50 (Munir, 2018)

B. Reliability Test

Table 2 Internal consistency reliability

Variable Composite Reliability Information

Marketing Communication 0.781 Reliable

Brand Ambassador 0.905 Realiable

Brand Image 0865 Realiable

Buying decision 0.781 Realiable

In the use of reliability, it can be stated that each indicator has been

good and in accordance with the objectives of the study. And if it's in composite reliability

has a number above 0.70, then it is declared to have good and appropriate reliability.

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From table 2. Marketing communication has a number of 0.781, Brand Ambassador

has a number of 0.905, Citra Merk has a number of 0.865, and

The Purchase Decision has a figure of 0.781.

4.2. Data Analysis Tool

4.2.1. Partial least square analysis

This research uses test equipment Partial Least Square. PLS is a technique

multi-variation statistics that do comparisons of multiple dependent variables

with multiple independent variables. PLS is one of the SEM statistical methods

variant-based design is designed to solve multiple regression when this happens

Specific problems with the data, such as the small sample size of the study, the presence of data

which is missing (value) and multicollinearity (Abdillah & Jogiyanto, 2015).

Table 3. Results of PLS ​data processing

Original Sample Standard


T Statistics (| O / P Values
Sample (O) Mean (M) Deviation
STDEV |)
(STDEV)

H1 0.664 0.644 .107 6,193 0,000

H2 0.127 .159 .111 1,143 0.255

H3 0.756 0.761 0.051 14,885 0,000

4.3. Outer model measurement model

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4.4. Structural model / inner model

4.5. R-Square Test

R Square R Square Adjusted

CM 0.596 0.589

KP 0.571 0.568

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5. CLOSING

5.1. Conclusion

Based on the analysis that has been done, it can be concluded that:

1 Brand Ambassador has a positive effect on brand reputation. Proven

with a PLS data processing value of 1.105.

2 Marketing communication has a positive effect on brand reputation. Proven

with the results of PLS ​data processing of 5.475.

3 Brand reputation has a positive effect on purchasing decisions. Proven

with the results of PLS ​data processing of 14,965.

5.2. Suggestion

This research is important to be studied further comprehensively because it is not

all brand ambassador indicators affect brand image. In addition to,

Managers can implement the right strategy to get a brand perception

well.

It should be noted also how the credibility of figures convince consumers. However,

The brand ambassador aims to attract the attention of consumers from Oppo, By

therefore brand ambassadors need to have a strong appeal to attract

attention and binding to consumers, and is strengthened by programs with

take advantage of the existence of the brand ambassador itself. The company needs to review

from several brand ambassadors that have been used, which have a positive impact

the biggest in the Oppo brand image. In this case, according to previous research

conducted by Oppo's brand ambassadors namely Chelsea Olivia, Raline Shah, Chelsea

Islan, Vanesha Prescilla, and Isyana Sarasvati. There are also male celebrities like, Reza

Rahadian, Robby Purba, and Rio Haryanto became the most famous advertising artists

known as the Oppo brand ambassador. Oppo needs to support brand ambassadors

her in several aspects to continue to show that this celebrity supports

Oppo brand. In fact, to improve brand image, Oppo must consider

to create a program with its brand

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