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Impact of Digital Marketing Strategy on Consumer Purchasing Decisions: Case Study in the Retail Industry in Bandung City Syarifah Rafikah .
yafirahrafikah50@gmail.
Universitas Wira Bhakti Submited : 02-09-2023.
Accepted : 03-10-2023.
Published : 05-11-2023 Abstract This study aims to analyze the impact of digital marketing strategies on consumer purchasing decisions in the retail industry in Bandung City.
Using a survey method, data was collected from 100 respondents consisting of various demographic groups.
Descriptive analysis shows that social media, email marketing, search engine optimization (SEO), and paid advertising have a significant role in influencing consumer purchasing decisions.
The results show that the majority of respondents use social media daily, with Facebook and Instagram as the most dominant platforms.
Email marketing also proved effective, although response rates still need to be improved.
SEO plays an important role with many respondents relying on product reviews and reviews as the main source of information.
Paid advertising is considered to be quite influential in purchasing decisions.
The frequency of online purchases shows that most respondents make purchases once every 2-3 months, with price and product quality as the main factors that influence their decisions.
Based on these findings, it is recommended that retail companies in Bandung City improve their digital marketing strategies by focusing on engaging content on social media, personalization in email marketing.
SEO optimization, and effective use of paid advertising.
This research provides important insights for business practitioners and marketers on how digital marketing strategies can be optimized to increase conversions and influence consumer purchasing decisions in the digital age.
Keyword : Digital Marketing.
Purchase Decision.
Social Media.
Paid Advertising Introduction The evolution of digital technology has revolutionized consumer-company interactions, with digital marketing playing an important role in modern marketing strategies (Bilal Ahmed, 2.
In the retail sector, where competition is fierce, the effectiveness of digital marketing strategies in influencing consumer purchasing decisions is paramount.
Studies highlight the significant impact of digital marketing, especially through social media, email marketing, and other digital channels, on consumer behavior and purchase intentions (Palanisamy Saravanan,2.
Integration of online and offline platforms in digital branding increases brand awareness, loyalty, and ultimately stimulating sales, underscoring the importance of a comprehensive digital marketing approach in the retail industry (Simran Kaur, 2.
Additionally, research shows that rural customers are increasingly engaging with digital channels for product research, emphasizing the need for businesses to leverage digital marketing to reach and Journal of Management https://myjournal.
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engage with this consumer segment effectively (Muhammad Yusuf,2.
Identify the most effective digital marketing strategy elements in influencing consumer purchasing decisions in the global retail industry.
Various digital marketing channels have a significant impact on consumer purchasing behavior.
Research shows that social media and email marketing influence consumer purchase intentions (Bilal Ahmed,2.
Additionally, digital marketing, including online entertainment, email, and mobile applications, allows consumers to explore products, compare options, and access global markets, ultimately influencing their purchasing decisions (Muhammad Sabir Shah, 2.
Studies emphasize the importance of digital marketing in engaging consumers, focusing on factors such as price, place, product, age, demographics, and culture that influence online purchasing behavior (Palanisamy Saravanan, 2.
Furthermore, the shift from traditional to digital marketing is highlighted, showing how digital channels play an important role in influencing consumer purchasing behavior by providing opportunities for research, reviews, and comparisons, ultimately shaping consumer attitudes and preferences (Simran Kaur,2023,) Evaluating differences the impact of digital marketing strategies on various geographic and demographic markets in a global retail context.
To optimize digital marketing strategies for retail companies and improve consumer purchasing decisions, it is essential to focus on key components such as search engine optimization (SEO), content marketing, social media marketing, email marketing, influencer marketing and paid advertising (I A Adeoye,2022 ).
Additionally, leveraging technology to support customer acquisition, loyalty, and purchasing decisions is critical for small and medium-sized companies in today's competitive market (A Sukandi, 2.
Monitoring key performance indicators (KPI.
to analyze the success of marketing tactics, personalizing marketing communications based on target audience demographics, and ensuring the quality of products promoted through digital media are also important aspects to consider (Angelita Genoveva Tapia-Bonifaz,2.
adopting this strategy, retail companies can effectively reach and engage with their target audience, ultimately influencing consumer purchasing behavior positively and driving sales performance (P Mirwani, 2.
Journal of Management E-ISSN: 3026-3239 Vol.
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https://myjournal.
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php/JOM Methods This research will use a quantitative descriptive method approach, to obtain a comprehensive understanding of the impact of digital marketing strategies on consumer purchasing decisions in the global retail industry.
The population of this research is consumers who have purchased products from retail companies in the Bandung city area via digital channels.
Sample uses stratified random sampling techniques to ensure good representation of various demographics .
ge, gender, geographic are.
and market The sample target is 100 respondents.
Data analysis uses descriptive statistics, calculating frequencies, percentages, averages and standard deviations to describe sample characteristics.
For data analysis uses multiple linear regression to analyze the relationship between the independent variable .
igital marketing strateg.
and the dependent variable .
onsumer purchasing Next, use analysis of variance to compare the differences in the impact of digital marketing strategies in various geographic and demographic markets.
Results And Discussion Descriptive Analysis Respondent Demographic Table Characteristics Gender Age Education Category Number of Percentage Respondents (%) Man Woman 18-24 year 25-34 year 35-44 year 45-54 year 55 years and over Senior High School Journal of Management E-ISSN: 3026-3239 Vol.
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php/JOM Monthly Income < Rp 3 juta Rp 3-6 juta Rp 6-10 juta > Rp 10 juta 2024 Data Processing Results Interpretation of Results The majority of respondents were aged between 26-35 years .
%) and most had a bachelor's degree .
%).
The gender composition is quite balanced with a slight predominance of women .
%).
Social Media Usage Table Category Number of Respondents Frequency of Use Platforms Used Percentage (%) Every day Several times a week Several times a month Rarely Facebook Instagram Twitter LinkedIn Other 2024 Data Processing Results Interpretation of Results Social media is the most frequently used platform with 60% of respondents accessing it every day.
Email marketing and SEO are also used quite often, but not as intensively as social media.
Table Effect of Email Marketing Category Number of Percentage (%) Respondents Journal of Management E-ISSN: 3026-3239 Vol.
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php/JOM Frequency of Use Every day Several times a Several times a Response Rate Rarely Open and read Sometimes open and read Rarely opens and Never opened 2024 Data Processing Results Table Search Engine Optimization (SEO) Category Number of Percentage (%) Respondents Frequency of Search Engine Every time you buy Use a product Sometimes Rarely Trusted Source of Product reviews Information and reviews Official company Blogs and articles Social media 2024 Data Processing Results Tabel Paid Advertising (Pay-Per-Clic.
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php/JOM Category Number of Percentage (%) Respondents Frequency of Viewing Paid Every day Ads Several times a Several times a Effects of Paid Advertising Rarely Very influential Quite influential Little effect No effect 2024 Data Processing Results Purchase Decision Table Category Number of Percentage (%) Respondents Frequency of Online Purchases Each month Every 2-3 months Every 4-6 months Once a year or less Main Factors in Purchasing Decisions Price Product quality Reviews and Ease of shopping Promotions and 2024 Data Processing Results Social media and SEO have a significant impact on consumer purchasing decisions, with more than 75% of respondents stating that these two strategies strongly influence or Journal of Management E-ISSN: 3026-3239 Vol.
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php/JOM influence their decisions.
Paid advertising also shows a fairly large impact, while email marketing has a more varied influence with 60% of respondents stating a positive Validity & Reliability Test Table Validity and Reliability Test Variable Measurement Validitas .
Reliability () Method
Social media 5 point Likert
0,82
0,87
0,78
0,85
0,75
0,82
0,79
0,84
0,83
0,88
Email Marketing 5 point Likert
SEO
5 point Likert Paid Advertising 5 point Likert Buying decision 5 point Likert Table Interpretation:
A Validity: The r value for each variable indicates how well the instrument used measures the concept in question .
, social media, email marketing, etc.
An r value above 0.
is generally considered good for construct validity.
A Reliability: The value shows how consistent the respondents' answers are in measuring the same variable.
An value above 0.
7 is generally considered good for instrument The table above shows that the instruments used in the research have a good level of validity and reliability, ensuring that the data collected can be relied on for further analysis regarding the impact of digital marketing strategies on consumer purchasing decisions in the global retail industry.
Journal of Management E-ISSN: 3026-3239 Vol.
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php/JOM Multiple Linear Regression Analysis Table Linear Regression Analysis Independent Variable Regression P-Value Coefficient () Social media 35 < 0.
Email Marketing 28 < 0.
SEO
Paid Advertising 32 < 0.
Intercept 20 < 0.
Interpretation of results The use of social media contributes positively to consumer purchasing decisions.
Email marketing strategies also have a significant influence on purchasing decisions.
SEO influences purchasing decisions with a lower level of significance.
Paid advertising has a significant positive influence on purchasing decisions.
Constant that shows the average value of consumer purchasing decisions without the influence of other independent variables T Test and F Test T Test and F Test Table Independent Variable Regression Standard Error Coefficient () T test Value Social media 0,19 < 0.
Email Marketing 0,13 < 0.
SEO
0,08 < 0,05
Paid Advertising 0,21 < 0.
Journal of Management E-ISSN: 3026-3239 Vol.
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https://myjournal.
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php/JOM Intercept 00 < 0.
F Test (Mode.
0,72 < 0.
Interpretation The use of social media contributes positively to consumer purchasing decisions.
Email marketing strategies also have a significant influence on purchasing SEO influences purchasing decisions with a lower level of significance.
Paid advertising has a significant positive influence on purchasing decisions.
Constant that shows the average value of consumer purchasing decisions without the influence of other independent variables.
The overall regression model is significant .
-value < 0.
Determinant Analysis Determinant Analysis Table Model Summary Model R Square Adjusted R Square Std.
Error of the Estimate A Interpretation:
R2=0.
286 means the regression model is able to explain around 28.
6% of the variation in consumer purchasing decisions based on the digital marketing strategy used.
The remainder, around 71.
4% of the variation in purchasing decisions cannot be explained by the independent variables in the model .
Conclusion The majority of respondents .
%) use social media every day.
The most frequently used platforms are Facebook .
%) and Instagram .
%).
This shows that social media is an effective channel to reach consumers and influence their purchasing decisions.
Most respondents .
%) receive promotional emails at least several times a week, and 70% of them at least sometimes open and read them.
Email marketing has proven to be an Journal of Management E-ISSN: 3026-3239 Vol.
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php/JOM important tool for attracting consumer attention and influencing purchasing decisions, although response rates still need to be improved.
Most respondents .
%) use search engines every time they buy a product, and 40% rely on product reviews and reviews as their most trusted source of information.
SEO
plays an important role in influencing consumer purchasing decisions by ensuring that product information is easy to find and trustworthy.
Most respondents .
%) see paid advertising at least several times a week, and 65% say paid advertising is somewhat or very influential on their purchasing decisions.
Paid advertising is an effective strategy to attract consumer attention and increase purchase conversions.
The frequency of online purchases of most respondents is once every 2-3 months .
%), followed by every month .
%).
The main factors influencing purchasing decisions are price .
%) and product quality .
%).
References