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Impact of Digital Marketing on Student Decision-Making Process of Higher


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Article in Journal of e-Learning & Higher Education · June 2019


DOI: 10.5171/2019.267057

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IBIMA Publishing
Journal of e-Learning and Higher Education
https://ibimapublishing.com/articles/JELHE/2019/267057/
Vol. 2019 (2019), Article ID 267057, 11 pages, ISSN : 2169-0359
DOI: 10.5171/2019.267057

Research Article

Impact of Digital Marketing on Student


Decision-Making Process of Higher Education
Institution: A Case of Indonesia
Andriani KUSUMAWATI

Department of Business Administration, Faculty of Administrative Science,


Universitas Brawijaya, Malang, Indonesia
andriani_kusuma@ub.ac.id

Received date: 25 February 2019; Accepted date: 27 April2019; Published date: 20 June 2019

Copyright © 2019. Andriani KUSUMAWATI. Distributed under Creative Commons CC-BY 4.0

Abstract

The number of higher education institution in Indonesia both public and private increased in
the last decade. With this kind of competition, it is more important than ever that universities
find new ways to stand out and effectively market themselves to prospective students. The
importance of the digital media as commercial platform is generally recognized by now and
universities increasingly adopt online marketing channels compared to traditional ones. A
vital issue of this research paper is to discover the process by which students use digital
media and more specifically what the media’s role is in the decision making process of
choosing a university. This knowledge on the use of digital marketing in Higher Education
Institutions (HEIs) especially as part of university marketing strategies is very crucial in order
to compete for qualified students. The aim of this paper is to explore the impact of higher
education institutions digital marketing on student decision making process. A qualitative
research approach was employed in this study through semi-structured interviews,
observation and documentation as data collection methods. This research involves a large
public university in Indonesia which is actively engaged in managing institutional digital
marketing media particularly at the university department of marketing and public relations.
Creswell's analysis model was conducted and carried out inductively and interpreted with
sentences that are logical and easily understood. Findings show that university marketing
management engages with digital media since it has now become a trend in all the businesses
around the globe including HEIs. Mostly, students engage social media to seek information
about university before choosing the right one. The collaborative and engaging nature of
social media provides an opportunity to balance the educational control since communication
platform is built on opinions and experiences of students and other stakeholders.
Keywords: Digital Marketing, Decision-making process, Student, Higher Education
Institutions (HEIs), Indonesia.

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Cite this Article as: Andriani KUSUMAWATI (2019)," Impact of Digital Marketing on Student
Decision-Making Process of Higher Education Institution: A Case of Indonesia", Journal of e-Learning
and Higher Education, Vol. 2019 (2019), Article ID 267057, DOI: 10.5171/2019.267057
Journal of e-Learning and Higher Education 2
________________________________________________________________________

Introduction Digital Marketing in Higher Education",


she explains that higher education has
The development of digital marketing in been undergoing a transition for many
Indonesia continues to increase quite years. Both internal and external
promising from time to time. Indonesia’s challenges are faced by HEIs worldwide.
digital landscape is rapidly growing with This challenge requires higher education
the country’s more than 260 million marketing to move from glossy brochures
populations along with the rapidly rising to social media and the web to capture
number of internet users, striking 40% of prospective students’ attention. Colleges
social media penetration rate, and and universities are becoming more
developing infrastructure. Moreover, with selective about spending and more
the growing economy, the digital literacy, aggressive in recruiting prospective
and the rising urban population, students. On the other hand, increasing
Indonesia has a potential to become a competition and rising prices have forced
place of digital creativity (GetCRAFT, students to become more selective in
2017). their school choice.
A survey by GetCRAFT (2017) in the A salient research published by Lorange
paper "Indonesia's Digital and Landscape (2017) in KeyStoneAcademic.com also
Marketing Reports" explains that the asserts that most of the universities and
proliferation of digital platforms and education institutions now report that
improved technology savviness are they are using digital marketing in some
making consumers more discerning about capacity to engage with students and
how they spend their time online. With reach potential applicants, and
this, there is a real emerging mindset shift increasingly, higher education providers
among marketers, as they start to think as are reporting high levels from their digital
a publisher to lure prospects to their own marketing campaigns. Khausik (2017)
channels with compelling contents, also identifies that approximately 49.74%
among other strategies. Their survey also of the internet web page views come from
explains that the digital landscape will mobile devices. This is the reason why
always be changing and will continue to most educational institutes are now
do so. However, regardless the channel, looking to target the mobile audience for
customers will always stay as the focal their marketing campaigns. It is estimated
point of all marketing strategies. Digital that mobile subscriptions will hit 9.3
media offers a bright future for marketers million by the end of 2019, and the major
because as technology improves, there share of this population will be students
will be more innovative, effective, and between the ages of 18-25 years old. Also,
greater ways to serve the customers’ more than two-thirds of these students
needs. say that they prefer to receive a mobile
message for any updates or reminders,
According to Martin’s (2015) research
which makes mobile marketing crucial for
that digital marketing has taken the world
the educational industry. To target this
changes and the higher education sector
particular audience, educational institutes
is no exception. Without enrolment
are now putting an effort to make their
growth, colleges and universities will not
content interesting and in an easily
sustain. College and universities have the
accessible format, so that they do not miss
challenge of maintaining relevance among
out on any potential business.
students who are increasingly more
reliant on technology as a communication Although marketing touches every
source. This research result is in department and has a significant impact
accordance with Sherman (2014) in Best on the institution's success or failure
Practices Guide "Proving the Value of (Sherman, 2014), its aplication is not
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easy. This is evidenced by Martin’s (2015) all HEIs in Indonesia, both private and
research who explains that higher public to continue innovate.
education social media administrators Consequently, HEIs in Indonesia can no
have the ability to multitask carrying on longer compete only with the fellow HEIs
conversations with multiple people at within the country, but also prepare to
once, often across multiple platforms, and compete around the world
at times, using multiple devices. Social (kelembagaan.ristekdikti.go.id, 2018) to
media administrators are problem attract international students.
solvers, pros at transparency, and express
This strategy is also in accordance with
a desire and willingness to go the extra
the Law of The Republic of Indonesia
mile to help constituents because admins
number 12 (2012, pp.1) regarding Higher
understand how one bad experience can
Education with the consideration that: "in
translate into a negative comment that
order to increase the national
then may turn the tide of sentiment
competitiveness to face the globalization
instantly, creating an uncomfortable
in whole sectors, higher education is
situation for everyone. Higher education
required to develop science and
social media administrators are
technology and produce intellectuals,
innovators. However, Martin further
scientists and/or professionals who are
explains that higher education social
cultured and creative, tolerant,
media administrators are also
democratic, possess strong character, and
understaffed, underfunded, and
brave to defend the truth in the interest of
overwhelmed. Research stated that
the nation." For this purpose, technology
students often visit social media after first
existence becomes prominence, which
visiting an institution’s website. That
evidences that the role of digital
means an enormous amount of traffic
marketing is imperative and mandatory.
passes through institutionally sponsored
The issues related to digital marketing in
social media accounts each day, 24 hours
HEIs are indispensable since digital
a day, and 365 days a year.
marketing is able to accomplish
In accordance with those challenges, the internalization as one of Indonesian
Indonesian Strategic Plan of Directorate HELTS agenda. Therefore, this paper
of Higher Education which is focuses on the role of digital marketing
implemented on the 2025 Higher for both marketers and students, and also
Education Long Term Strategy (HELTS) examines the influence of university
mentions that Indonesia will regard itself digital marketing on the students’ choice
as ― Smart and Competitive Indonesia in of higher education institution.
2025 (Anonim, 2002 in Syahid & Tulung,
2016). In 2015, several HEIs in Indonesia
Digital Marketing and Higher
are encouraged to be an autonomous
Education Institution
Higher Education in terms of
management. At this point, one of
emerging agendas that coincides with the Digital marketing is often referred to as
rise of HELTS is the need to become a 'online marketing', 'internet marketing' or
World Class University (WCU) for Higher 'web marketing'. Digital marketing is an
Education in Indonesia (Syahid & Tulung, umbrella term for the marketing of
2016). This program requires HEIs in products or services using digital
Indonesia to compete to be the best technologies, mainly on the Internet, but
educational institution. It is also it also includes mobile phones, display
commensurate with the Ministry of advertising, and any other digital medium
Research, Technology and Higher (Sathya, 2017). At the same time,
Education which is always reminiscent to according to Stokes (2013) digital
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Journal of e-Learning and Higher Education 4
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marketing helps to create consumer educating, entertaining or providing


demand by using the power of the insights for the brand. It is not just limited
interconnected and interactive web or in to casual information seeking for
other words by using the power of the entertainment or leisure but has become
Internet, and satisfies this demand in new a significant platform for taking crucial
and innovative ways. It enables the career decisions. Due to the recent trends
exchange of currency but, more than that, in technological advancements, marketing
it enables the exchange of attention for channels and consumer behaviors have
value. seen a shift which has impacted the
consumer decision making process when
An article published by Williams (2017)
it comes to product purchases.
in Forbes Community Voice explains that
Consumers’ engagement with brands has
the modern marketer must be extremely
changed, thus organizations need to adapt
agile. But while change spawns creativity,
their marketing strategies to reach them.
the goals of marketing remain constant.
Organization hires a marketer to Digital marketing in higher education is
communicate the right message at considered important particularly since
various stages of the funnel, raise brand HEIs were pressured by the intense global
awareness and loyalty, drive traffic and competition. According to Maringe
customer engagement, and implement (2006), higher education has been
methods that lead to conversions and transformed from the dependency of
sales. Although Forbes gives key digital funding by government to the competitive
marketing trends to prepare for in 2017- markets. The transformation of higher
2018 which are all changing the education from the dependency on
profession, the basis for long-term government funding to the competitive
success is unchanged: Human marketers market indicates that universities have to
must be determined to adapt. Tiago and compete for students in the recruitment
Verissimo (2014) maintain that human markets. Therefore, it is important for the
interactions have changed significantly universities to understand ways to attract
due to engagement on social networks; students and how to market themselves
the rapid growth of web platforms has (Kusumawati, 2013).
facilitated behavioral changes related to
Furthermore, Choudaha and Chang
activities, habitats and interactions.
(2012) warn that the environment of
Consumer behavior changes require
intense competition globally amongst
organizations to re-strategy their
universities and budget cuts pressure
marketing activities in digital space.
universities to become more strategic and
Together with these processes,
to focus on international student
organizations must also be aware of how
recruitment. This situation makes
consumers’ attitudes, values, and belief
international student recruitment a
impact their digital marketing campaigns
highly valuable component to the
(Al Kailani & Kumar, 2011), this proves
financial viability of many universities in
that the two areas; business intelligence
the United States and other countries. But
(BI) and customer insight (CI) need to be
recruitment of international students
brought together to support a company’s
comes at a cost which relates to
interactive marketing (Stone &
university budgets. Therefore, apart from
Woodcock, 2013).
using the traditional forms of recruitment
According to Stone and Woodcock (2013), methods, universities need to look
applications or content for digital beyond and experiment other forms of
marketing can be designed to engage with recruitment including social media
the consumer at any time and in any (Choudaha & Chang, 2012). They advise
place, with the purpose of informing, that in-depth understanding of global
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student mobility trends and their Research Method


decision-making process will help
In order to conduct the study, a case
consolidate institutional recruitment
study approach including interviews
efforts more effectively.
combined with observations has been
In article "Digital marketing trends for used. A case study often investigates a
higher education in 2017", Joly (2016) social phenomenon or a general
asserts that higher education marketing perspective of a specific subject (Yin,
leaders have to master the art of blending 2009; Christensen et al., 2010). For this
powerful and personalized customer research, a large public university in
experiences with the science of Indonesia was selected as a case site. A
measuring and optimizing the impact of case study research is used to study the
their initiatives. This proves that higher contemporary phenomenon in its real-life
education managers or directors now context (Yin, 1994) and it can be used
have to work extra hard to get high where the research and theory are at
quality graduates. In this case, no their early, formative stages (Benbasat et
different from other industries, al., 1987). Since the study strived for a
competition among universities to attract broader understanding and deeper
prospective students is also very knowledge of marketing within HEIs;
dependent on the strength of each college interviews, and observations were used.
brand, regardless of the quality of college Due to the interest of conducting a study
management and graduate output. There within the field of marketing of HEIs and
are bonding relations that is; the quality how such institutions attract and enroll
factor is also very much determining the students, the study was delimited
strength of the college brand, in addition towards a public university in Indonesia.
to other elements that form the power of This suited the study´s purpose as
the brand. In such, digital marketing in recommendations from strengthening
higher education is an essential part of marketing approaches have been
recruitment, retention and constructed towards how the public
communication process either for university could attract and enroll
stakeholder, government, or shareholder. students.
Starting from enrolment to on-campus
The introduction described the conditions
awareness, creating an effective digital
that are taking place in the industry of
strategy helps colleges and universities
HEIs, in combination with problems that
target the students that are right for their
Indonesia is facing towards competition
school, and reach others who may be part
within this industry. This was an
of their personal need but without
influencing factor for the chosen topic
knowing it. Digital marketing in higher
since the recommendations presented
education is also important in connecting
constructive outputs not only for this
with alumni who may be active boosters
university, but also for further studies
and supporters or could be re-engaged
within HEIs and higher education in
with specific strategies (Spilker, 2017).
Southeast Asia. The higher education
The digital media phenomenon has begun
industry in Indonesia has recently
to influence both higher education and
received a lot of attention due to
students’ decision-making process. On the
increased competition and enhanced
part of students looking for potential
establishment of HEIs (Kusumawati,
universities or colleges to attend, they use
2013). Since this study area is not that
social media and other new online
elaborated (Hemsley-Brown & Oplatka,
communication channels to obtain
2006) it also influenced the choice of
information and other related university
topic.
information.
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Data was collected using semi-structured At present, UB’s website has a


interviews with key stakeholders of comprehensive and professional design
university marketing and recruitment look. Information such as student’s
management officer. Each interview admission, selection of degree programs,
included questions about the background faculty-related links, and student services
of the organization, as well as its are available. However, the website only
marketing and recruitment management provides basic information (typically in a
practice, the participants' roles, and their roundabout manner) and lacks depth in
views about the role of digital marketing the info it could provide for potential
for promoting the institution as well as students. A comment left behind by some
influencing student choice of university. of the students particularly mentioned
Additional information was obtained that, “The website is not quite
from students’ participant and secondary informative” and that information “did
data including reports and internal and not give me confidence applying to UB”.
external documents. Observation of There is no complete information of the
digital media used by the university was necessary courses for each degree, or
also employed in order to complement detail on what these courses require.
the interviews. The purpose of these Other information that might be
observations was to carry out a within- considered important for prospective
case (Yin, 2009) analysis based on students such as housing accommodation
multiple forms of data from a respective and location assistance (maps) were not
university. This enabled a more in-depth provided and difficult to find. In terms of
analysis, in comparison to only using a social media, UB has done well for itself
data from the staff and student with Facebook, as from this writing with
interviews. 34,864 followers, Twitter with 159,000
followers, and Instagram with more than
Findings and Discussion
40,000 followers. Beside these three
Brawijaya University was first established social media, YouTube, Flickr, and RSS
into a state university on January 5, 1963, were also utilised by UB. Furthermore, on
following a Presidential Decree issued these social media pages, they do not
earlier in the same year. This date was show too much activity from students;
later promulgated as UB’s anniversary most activities are from the university
(specifically called Dies Natalies among itself with slight to no reposts or
Indonesian academic society members) comments by the followers.
with acronym of UNBRA and then
UNIBRAW, before UB being inaugurated Digital Marketing as Marketing
as the official acronym of Universitas Strategy
Brawijaya in 2008. With approximately
60,000 students in various degrees Stone and Woodcock (2013) explain that
ranging from the Diploma Program, most corporations must now "market in a
Bachelor’s Degree Program, Master’s digital world". Pride and Ferrel (2016)
Degree Program, Doctoral Degree explain that digital marketing uses all
Program, and Medical Specialist Program, digital media, including the internet and
in 16 Faculties, UB is the 5th largest mobile and interactive channels to
university in Indonesia according to develop communication and exchanges
Webometrics world university ranking on with customers. In the other hand, Stoke
2017. Based on 4ICU world university (2013) explains that digital marketing
ranking, UB’s position on 2018 is on the helps to create consumer demand by
4th rank in Indonesia, going upward from using the power of internet and satisfies
the previous year’s rank of the 6th. On this demand in new and innovative ways.
Southeast Asia level, UB is on the 17th.
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_______________________________________________________________________

The argument of Stone and Woodcock initiatives to keep up with the recent
(2013) as well as the theory of digital trends; 6) Enables the public universities
marketing from Pride and Ferrel (2016) to provide engaging content and have
and Stoke (2013) support the research different marketing communication
result obtained from the interview. The dynamics across the different channels.
Research result from the public university Therefore, this research result is
can be described as follows: 1) Digital supporting previous research conducted
marketing in the HEI environment is a by Reddy (2016) which complemented
marketing strategy that employs through Stokes’s idea who asserts that digital
websites, social media, and other marketing has provided a new source of
electronic media where these channels information for consumers and a platform
are a fast and inexpensive means of to be social. On the other hand, Stokes’
promotion, and are efficient given the (2013) idea claims that digital marketing
distance and time; 2) Digital marketing in strategy has the essential guide both of
university environment is very useful for context, value exchange, objectives,
both university management and student. tactics and evaluation. The entire guide
For university, digital marketing plays as has each roles and engagement impacts.
promotional and communication tools,
The participants; both public university
while for students, digital marketing
management and student, reveal that
might influence their choice of university,
digital marketing space is easier to
since the media provides two way
provide support and access an
communications and interaction as
information compared with traditional
source of information obtained very fast,
marketing. University aligned their
clearly and communicatively; 3) Digital
information through the digital marketing
marketing in the university environment
and traditional marketing channels so
acts as a lifestyle that constantly changing
that the student receives the similar
society such as using social media.
information. University always improves
Consequently, it can be concluded that
the communication approach on digital
university marketing uses digital media
marketing programs in order to be more
as one of its marketing strategies that are
effective into their overall marketing
much needed and becoming a
strategies.
compulsory. This case is because the
demands to follow the patterns of society
Student Response to Digital Marketing
life always change together with the rapid
Channel
development of technology.
The Interview from the public university Research conducted by Martin (2015)
shows digital marketing as one of the explains that in higher education, social
marketing strategies that have media has the multitasking ability,
engagement, such as: 1) Creating student carrying on conversation with multiple
awareness for more recognition people at once, often across multiple
regarding the university's services; 2) platforms, and at times, using multiple
Digital marketing has a high impact to devices. The participant from this public
reach a large number of students; 3) It’s university in Indonesia who employs
for a low cost and provides a good return digital marketing channels explains that
on investment; 4) Have the ability to social media and email are multitasking
display a wider service range due to the and also provide the way of
digital capabilities, for example easiness communication easier or efficient when
of communication and collecting feedback they connect with their students. Most of
quickly; 5) Enables the public universities the participants give the opinion that
to quickly adapt their marketing digital marketing only serve as additional
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________________________________________________________________________

information on student choice of to provide information either to


university since the decision was initiated stakeholders or shareholders of a process
by them. This result confirms Martin’s that does not become just to know,
(2015) research, who found that digital especially students. It aims at directing
marketing could be a problem solver. students to have knowledge, making
decisions (new thoughts or views) and
Martin (2015) also explain that digital
solving problems in HEI as a success of
marketing pros at transparency, express a
the use of HEI's digital marketing, it also
desire and a willingness to go extra mile
builds a good relationship between HEIs
to help college’s admin to filter like
and students since both parties
negative or positive comment in digital
understand each other.
platforms. In this case, it is directly
related with the current research result Noel (2009) states that marketing is a
which found that digital marketing has a satisfying consumers' needs profitably, if
widespread impact, all information that marketers understand their consumers'
students need can be searched through needs and satisfy these needs. This is
websites or social media but it is also an evidenced by the results of the interviews
obstacle if something bad happens such obtained from the public university
as negative comments about public showing that the marketing teams from
university or hoax which will quickly the university still did not fully
spread. The unfavorable experience understand the needs of prospective
requires public university to be aware students or scholars, they only followed
since it causes losses, and therefore, they the development of technology without
have to clarify the negative comment into seeing the real strategies and tactics so
positive comment effectively. that the outcomes obtained were not
satisfactory. The result of the interview
HEIs should be absolutely certain that
from students also explains that their
they are not missing valuable
university does not completely
opportunities to connect with students.
understand the real needs of the students
Students often post questions that go
who always wanted to get satisfactory
unnoticed or unanswered. Sometimes,
service both from the point of view of
student approached to ask several
web design, the information conveyed
questions through university digital
and other digital marketing, there are
media, therefore, HEI's should response
even some misconceptions by students
those queries by utilizing a department or
about who manages digital platforms in
division to handle those enquires timely.
their university. On the other hand,
When student queries are not responded
students also cannot deny that digital
by university, they might turn to a
marketing helps them in making
competing institution with the same
decisions, they emphasize that the
question. HEIs must be present, available,
information they got through digital
accessible, and responsive in order to
marketing only serve as an additional
connect with students in digital
source in the decision making process.
marketing such as social media.
This research finding which explores
digital marketing engagement on student
Digital Marketing Engagement Impacts decision making processes is also related
on Student Decision Making Process with Kotler and Armstrong’s (2014)
concept who reveal that consumers pass
Digital marketing on student decision through all five stages with every
making processes is something that purchase but in more routine purchases,
should change the purpose of digital consumers often skip or reverse some of
marketing in educational institutions these stages. This argument also meets
which only made it previously as a trend the conditions faced by students or
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prospective students when choosing a Conclusions


university.
This case study provided a better
In relation to the above literature, all
understanding of digital marketing
participants indicated that digital
impact on student decision making
marketing does trigger the student’s
process in Higher Education Institutions
need. Identifying the need of tertiary
(HEIs) in Indonesian Public University.
education is the first critical step in the
The results emphasis that university
student decision making process, as
marketing management employs digital
student should have a motivation for
media since its now becomes a trend in all
going to further study which might bring
businesses around the globe including
out better future of their career path and
HEIs. Moreover, in this year, digital
their own prestige to achieve the highest
marketing has vast progressed from
level of education. Digital marketing plays
previous year and educational
an important role in influencing students
institutions also take part of this
in identifying a need for education and
technology advance which is always
through the digital space, Public
connected with their student via internet.
Universities can align their marketing
Digital marketing is very essential and
strategies to target students.
becomes a mandatory for all HEIs
The next stage is the illustration of digital including public university as it follows
marketing's engagement impact on the habit of current generation which
student choice, which consists of continuously changes along with the
information search and evaluation of rapid development of technology. Such
alternatives in the student decision digital marketing provides a low cost
making process. According to Kotler and communication, a good return on
Armstrong (2014), an interested investment, and has an ability to reach a
consumer may or may not search for wider community as well as ability to
more information. If the consumer’s drive display whole service range due to the
is strong and a satisfying product is near digital capabilities. Either public
at hand, he or she is likely to buy it then. If university or students also mention that
not, the consumer may store the need in they are easier to distribute and obtain
memory or undertake an information information through digital marketing
search related to their need. The student media compared with traditional
processes information in order to find the marketing. Various interactions and
right choice of education institution. In responses could be obtained through
this step, students are not using a simple social media since it has a multitasking
and a single evaluation process in all their function such as two ways
choice situations. However, students went communication, as well as being more
through evaluating the choice alternatives effective and efficient with provided
depending on the individual or a specific facilities such as comment columns, they
choice situation. Instead of student also provide video and photo with little
choosing by their own reference, caption thus, they are easier to be
sometimes they choose according to their understood by their audience.
family's recommendation. On the fifth
stage, this can be more explain from the
student retention of university or
required situations of students to keep
updating the information from their
university.

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Andriani KUSUMAWATI (2019), Journal of e-Learning and Higher Education,


DOI: 10.5171/2019.267057

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