Professional Documents
Culture Documents
Making Process
Rio Muladi
Faculty of Entrepreneurship
Universitas Garut
Garut, West Java. Indonesia
24081119018@fkwu.uniga.ac.id
Abstract— This study discusses digital marketing impact on TABLE 1. INTERNT USERS IN INDONESIA[5]
consumer decision-making in Aerostreet's shoe brand. This study
was a causal research design and involved 58 respondents. The Year Number of Internet Users
data analysis technique used was simple regression with the SPSS 2019-2020 196,71 million
25. The results of the study indicated that digital marketing
significantly influenced consumer decision-making in 2018 171,17 million
Aerostreet's shoe brand. This implied that consumers tended to
make purchases when companies utilized the technology in their
promotions and sales. This study is beneficial to the development As seen from the Table 1, the survey conducted by the
of the applied theory which claims that consumer purchasing Indonesian Internet Service Providers Association (Asosiasi
decisions in the apparel industry especially in shoes are Penyelenggara Jasa Internet Indonesia, abbreviated APJII)
influenced by digital promotion and sales processes. The results claim that the number of Indonesian internet users has
showed that the magnitude of the effect was 56.0%. This research increased significantly. The increase throughout year has
also gives practical benefits for business actors to improve reached 25,5 million people. This indicates that internet has
marketing performance by trying to adapt to technology as been people’s main needs to support daily life.[6].
promotion or sales strategies.
This condition contributes to the changes of people in
Keywords—Digital Marketing; Purchase Intention; Indonesia in using social media including eCommerce as the
Technology; E-Commerce. most accessed platform [7]. Realizing this potential, business
actors need to adapt and to be innovative in marketing the
products or services by utilizing the technology and
I. INTRODUCTION information, and internet [8]. In addition to, Covid19 pandemic
The world now is coming into Industry Revolution 4.0 era has also caused customers to purchase everything via online
and stepping into society 5.0 which consequently drive all transaction [9].
types of commercial and non-profit organization to adapt the Digital Marketing has offered a lot of opportunities for
environment dynamically [1]. One of the most significant SMEs to improve the sales without boundaries in terms of time
obvious changes is the greatly use of technology and and location [10]. The use of digital marketing has been
information utilization as business strategy to boost and significantly exploited by local brand namely AeroStreet, a
improve the organization performance [2]. Technology has shoe brand operated in Klaten and managed by ADCO Pakis
given the most outstanding impact towards the marketing Mas. Due to the Covid19 pandemic, this company decided to
fields. There have been many marketing models which exploit focus on online marketing to increase the sales.
digital platform to improve the performance of Small and
Medium-Sized Enterprises in running the business [3]. However, the problems arise because there are many
Moreover, a great number of internet users also support this business competitors which also use digital marketing as their
phenomenon [4]. business strategies [11]. Besides, the costumer hesitation in
making purchasing decision needs to be overcome by the
company [12] since most of Indonesian people have to ensure
the quality of the products especially the local brand products
[13]. Given the facts of these problems, the researchers This process is the result of several consideration and
formulated the research question to find out the influence of evaluation and information search before the final
online business or business digitalization on customer’s decision is made.
decision-making in purchasing the products of Aerostreet. 4. Purchase Decision
At this stage, when all stages have been passes, the
II. LITERATURE REVIEW consumers will finally decide whether or not they will
purchase the product or service.
A. Digital Marketing 5. Post Purchase Behavior
Digital marketing has been widely investigated in Marketer’s job does not stop as the product is purchased
numerous studies which confirm that there is strong but also continues to post purchase period. After post
combination between marketing and technology information purchase, consumer will evaluate whether the product
[14]. These studies result in new terms and procedures in satisfies their needs or not.
marketing so that the strategies of e-marketing gain more
customer value than those of traditional marketing [15]. E-
marketing can also attract significant segments of customer Several studies also revealed that there were significant
demographics or in other words, effectively reach wider market relationship between digital marketing and purchase intention.
[16]. Several studies have also confirmed that a good digital The marketing content provided in digital gives significant
marketing in a company can reduce the marketing cost. Thus, impact on consumer satisfaction and purchase decision [29],
digital marketing need to be carefully planned by the company [30].
[17]–[19].
III. METHODOLOGY
Several characteristics of digital marketing are the
following [20], [21] : A. Hypothesis Development
1. Interactive, it enhances business interactions with the
contomers. Digital Marketing Purchase Decision-
2. Incentive Program, it is electronic dialogue (interactive Interactive Making Process
technology) that allows the customer to access information Need Recognition
(community, individual), and vice versa. Incentive program
3. Site Design, it is an attempt to do every business activities Information Search
through internet for research purposes, analysis and Site design
planning for attracting and retaining customers. Decision-Making
4. Cost, it is intended to accelerate buying and selling Cost process
products and certain services, share information and idea
in internet. Purchase decision
Other research results also show that there are correlations Post purchase
between digital marketing and social media, as the most behavior
effective media in spreading the information [22], [23].
Social media allows the consumers and sellers to build
personal communication [24]. Figure 1. Research Framework
B. Purchase Intentions. The hypothesis development in this study is based on the
Consumer has the full right of deciding to purchase certain previous studies and relevant theories. Therefore, the
product or service [25]. Consumer’s purchasing decision, formulated hypothesis in this study is as following:
however, is affected by external and internal factors. This Ho : There is no significant influence of digital marketing
decision-making process determines what to buy and not. processes on consumer purchase decision in Aerostreet
Consumer’s previous activities are also the other things that company.
influence this [26].
Ha : There is significant influence of digital marketing
There are five stages in consumer’s decision-making processes on consumer purchase decision in Aerostreet
process [27], [28]: company.
1. Need Recognition
Purchasing process begins as the buyers recognize an B. Method
issue or need. They experience the gap between the The target population is Aerostreet consumers that have
actual condition and the desired condition. purchased Aerostreet shoe products. To determine the ideal
2. Information Search population limit, the unit of analysis of this study is
At this stage, the buyers are selective in selecting Aerostreet's consumers as individuals. The unit of observation
information to evaluate several alternatives to meet their of this research is the buyers or users of Aerostreet shoes who
need expectancies. purchased from Shopee and WhatsApp. The formula for
3. Decision-Making Process sample size refers to the number of independent variables, that
is N >= 50 + 8i (i is the number of independent variables) [31]. answer options such as strongly agree, agree, neutral, disagree,
Based on the calculation, the number of samples used were 58 and strongly disagree.
respondents.
The respondent criteria that have been set in this study were IV. RESULT AND FINDINGS
males and females aged from 18 to 38 who lived in Java Island.
People in the 18-38 age range are assumed to have ever A. Digital Marketing
purchased Aerostreet so that it is suitable to be as respondents Based on the data processing with Excel for the 58
to find out their interest in purchasing the products that is respondents, the total value for digital marketing variable on
marketing digitally. Meanwhile, Java Island was selected as Aerostreet product was very high. The attributes of successful
location of the research because of the highest internet users digital marketing are described by the consumer’s ease and
according to APJII. effectiveness in searching for product information via online.
Table 2. AeroStreet Consumer Besides, Aerostreet products are available both in shopping
online application and social media which make consumer
Profile Criteria Total Percentage easier to get the products. Aerostreet as the shoe brand
Sex Male 35 60,34% company also provides interactive services and interesting
Female 23 39,66% marketing promotion, and builds close relationship
Age <18 years 4 6,90% communication with the consumers. These are the things that
increase the customer power to Aerostreet products.
19-28 years 53 91,38%
29-38 years 0 0% Table 3. Total Variable Value and Digital Dimension
>38 years 1 1,72% No. Dimension Value Category
Occupation Students 43 74,14% Digital Marketing 2929 Very High
1. Interactive 733 Very High
Employee 10 17,24%
2. Incentive program 731 Very High
Self-employed 3 5,17% 3. Site design 725 Very High
Unemployed 0 0% 4. Cost 740 Very High
Student +
Employee 2 3,45%
Origin West Java 42 72,41%
B. Purchase Decision-Making Process
Central Java 12 20,69%
The data processing with Excel on 58 respondents showed
East Java 1 1,73% that the total value of decision-making purchase in Aerostreet
Banten Province 0 0% product was high. Need recognition dimension was the highest
Jakarta 3 5,17% value obtained. This dimension indicated that consumers
Yogyakarta 0 0% realized types of shoes that they wanted. Besides, the total
Starting to use value obtained in information search was also high. This was
<2017 7 12,07% due to many variant shoes offered in Aerostreet so that the
Aerostreet
2018 7 12,07% consumers could search for more information to meet their
2019 6 10,34% needs. The high value in purchase decision-making process
2020 11 18,97% implies that the consumers are confident in making purchasing
decision at Aerostreet because the products offered have meet
2021 27 46,55%
their need and satisfaction and the costumers are likely to
Marketplace Shopee 49 84,48% repurchase the products or give influence to other potential
Instagram 0 0% customers in buying shoes.
Langsung (Offline) 7 12,07% Table 4. Total Variable Value and Purchase Decision-Making
Shopee + Offline 2 3,45% Dimension of Aerostreet Consumers
C. Measurements No. Dimension Value Category
The technique of data analysis in quantitative research uses Decision-Making 3638 Tinggi
statistical measurement. Linear regression is statistical method 1. Need Recognition 735 Sangat Tinggi
to model the relationship between dependent variable 2. Information Search 729 Sangat Tinggi
(dependent; response; Y) and one or more independent 3. Decision-Making Process 735 Sangat Tinggi
variables (independent, predictor, X). The interval was used as 4. Purchase Decision 723 Sangat Tinggi
measurement scales that enable the researchers to calculate the 5. Post Behavior 706 Sangat Tinggi
data from the respondents arithmetically. To measure the C. Hypothesis Testing
consumer behavior, likert scale was commonly used in
marketing research. It is scale that requires the respondents to The first analysis was performed to find out the positive or
give their answers on certain topics. The scale has several significant influence of digital marketing on consumer
decision-making of Aerostreet products. The second analysis
was conducted to discover relationship level between product
innovation and consumer satisfaction. The test was carried out This research was jointly carried out by lecturers and
using F value, the significance of output results, and coefficient students from the Faculty of Entrepreneurship, University of
of determination. Garut. This research is also supported and funded by the
Faculty of Entrepreneurship, University of Garut. We also
Table 5. Regression Testing would like to extend our great gratitude to all parties who have
participated in completion of this research.
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