The Influence of Digital Marketing and
Brand Image on Purchasing Decisions at The Indomobil
Plaza Dealer in Indramayu
Griesthalia Cantik Lusyana�, Ika
Nurjannah�, Ihya Raihan
Izzuddin�, May Dedu 4
Universitas
Gunung Jati Swadaya Cirebon, Indonesia
Email: [email protected], [email protected], [email protected], [email protected]
Abstract
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This research aims to determine the extent to which digital marketing
and brand image influence purchasing decisions. Employing a quantitative
research method, data was gathered using research instruments and analyzed
quantitatively and descriptively. A sample of 48 respondents was selected
using the Slovin formula. Data analysis was
conducted using the SPSS 25 software, which included validity tests,
reliability tests, linearity tests, multicollinearity tests, and multiple
linear regression analysis (including t-tests and f-tests). The findings
indicate that both Digital Marketing (X1) and Brand Image (X2) have a
positive and significant impact on Purchasing Decisions (Y) at the Nissan Indramayu car dealership. The hypothesis testing results
for the two independent variables on the dependent variable reveal that
digital marketing and brand image collectively influence purchasing decisions
by 49.4%. The remaining 50.6% is affected by other factors not included in
this regression model or by random variables.
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Keywords:
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Brand
Image, Digital Marketing, Purchase Decisions
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INTRODUCTION
Digital marketing is becoming an essential part of
marketing strategies for many different businesses, including the automobile
industry, given the quickly evolving digital world we live in (Romdonny & Maulany,
2020). Innovations in technology and the pervasiveness of the internet
have profoundly changed how consumers seek information, engage with companies,
and make decisions about what to buy. Concurrently, consumer views of
particular items or services are greatly influenced by brand image. Digital
marketing originated from direct marketing, in which companies used traditional
mail to communicate directly with consumers. This technique, known as Internet
marketing in the digital sphere, has its roots in Web 1.0 and allows businesses
to communicate directly with their clients �(Rosmadi
& Romdonny, 2019).
It is impossible to overestimate the impact that
digital marketing and brand perception have on consumers' purchasing decisions
when it comes to the automobile industry. Dealerships must effectively use
digital marketing strategies to establish a connection with prospective
customers, strengthen brand loyalty, and elevate their reputation. However,
there are still a number of obstacles that must be overcome in order to
optimize the effectiveness of digital marketing initiatives and enhance brand
recognition within this industry.
Indramayu's Indomobil Plaza was established in 2011. It was still a shophouse when it was first situated on Jl
Panjaitan Indramayu. Sales
keep rising over time, so the central party assigns Indomobil
Plaza Indramayu the task of setting up a dealer that
offers the three S's: sales, service, and spare parts (Komalasari & Eka
Putri Suryantari, 2021).
After being given the go-ahead by the central government, Indomobil
Plaza Indramayu eventually selected a location to
open for business in 2013. That location was on Jalan Gatot
Subroto, and on this day in 2013, Indomobil
Plaza Indramayu was formally formed. One of the major
subsidiaries of the Indomobil group, Indomobil Plaza Indaramayu is a
national automotive company with its headquarters located in Indonesia. It
specializes in sales, repair, and the provision of spare parts for a range of
vehicle brands, including Nissa, KIA, Suzuki, Jaguar Land Rover, VW Audi,
Maxus, Hino, Citroen, Harley-Davidson, and Yadea
Electric Motorcyl.
In this situation, adopting and incorporating digital
marketing methods into their marketing plan may provide difficulties for auto
dealer businesses. This might be due to a lack of knowledge about efficient
digital platforms, a shortage of qualified personnel, or an ignorance of the
significance of digital marketing (Tambun et al., 2023).
Customers of today often look for integrated brand experiences that connect
their online and offline encounters. To provide a consistent and fulfilling
customer experience, auto dealers need to make sure that the online and offline
customer interactions are properly connected. Customers' trust may be
bolstered, and their purchase decisions may be influenced by a great brand
image. But in the face of fierce competition and shifting consumer tastes, auto
dealers can find it challenging to establish and preserve a favorable brand
image.
Car dealers may improve their competitiveness, grow
their market share, and win over more loyal customers by realizing how digital
marketing and brand image affect purchase decisions at their establishments and
solving current issues.
The use of digital marketing in business marketing
strategy is growing. The expansion of consumer Internet connectivity has
presented the automobile sector, notably at Indomobil
Plaza Indramayu, with both new opportunities and
problems. To succeed in a competitive market that is getting more and more
competitive, it is critical to comprehend in detail how digital marketing
affects brand perception and, in turn, influences purchase decisions (Suarantalla, 2023). In
step with technology advancements, the automobile industry�particularly the
vehicle segment�has seen a dramatic shift in marketing strategies. Dealers at Indomobil Plaza Indramayu are
depending more and more on digital marketing to connect and engage with
prospective customers.
Using digital platforms to reach a larger audience is
increasingly essential to marketing strategies that aim to reach consumers on
social media, websites, and online. Still unanswered are the concerns of how
much digital marketing enhances Indomobil Plaza Indramayu's brand image and how this brand image affects
consumer choices (Suparman et al.., 2023).
Taking into account the significance of consumers' choices when it comes to
cars, electric motorbikes, and electric bicycles, this study intends to
investigate how buyers' decisions at the Indomobil
Plaza Indramayu dealer are influenced by digital
marketing and brand image. It is envisaged that by thoroughly analyzing how
these components interact, this research will offer insightful information that
will help the car industry�and specifically the Indomobil
Plaza Indramayu dealer�create marketing plans that
are more successful. As a result, the goal of this research is to advance the
field of marketing literature and assist stakeholders in making wiser choices
in the face of dynamically shifting market conditions (Rissa Febrianti & Mochammad Mukti Ali, 2024).
Sales of automobiles with four wheels decreased in
the first two months of 2024, according to the CNBC news website. National
automobile wholesale sales decreased 22.6% YoY (year over year) from 181,329
units in the same period last year to 140,273 units in January and February,
according to statistics from PT Astra International Tbk.
From January to February of 2024, monthly sales increased by 1.5% to 70,656
units. At 44,843 vehicles, Toyota + Lexus topped wholesale sales. Daihatsu and
Honda were in second and third, respectively, at 29,451 and 17,494 units.
Suzuki and Mitsubishi Motors recorded 11,130 and 17,240 units, respectively. UD
Trucks registered 315 units, Wuling 3,377 units,
Nissan 207 units, and Hyundai and Isuzu 5,431 and 4,595 units, respectively.
Peugeot had the lowest sales, with only 20 units sold (Nasution et al., 2020).
Given that Nissan ranks second lowest among rival
brands according to this data, we are motivated to carry out more study to
determine whether brand image-driven digital marketing influences consumer
decisions to buy at Indomobil Plaza Indramayu. Numerous scholarly investigations have underscored
the impact of digital marketing on consumer conduct and acquisition choices in
diverse sectors. Hanafiah (2023) alked
about the difficulties auto dealerships have when using digital marketing
tactics, including a lack of knowledge about efficient digital platforms and a
dearth of personnel with the necessary training. Almansour (2022) highlighted how important digital
marketing is to the automobile industry's ability to shape brand perception and
influence consumer purchase decisions. Huang (2022) looked particularly at how
brand image is affected by digital marketing and how it influences consumer
choices in the automobile sector. �
By concentrating on the Indomobil
Plaza Indramayu dealership and its use of digital
marketing to affect brand image and purchase decisions, this research seeks to
close a gap in the body of current knowledge. While earlier research has
examined the broad effects of digital marketing in the automobile sector, this
study focuses on the particular difficulties and advantages that a particular
dealership faces in a cutthroat market. In addition, this study addresses the
unique setting of Indomobil Plaza Indramayu
and its variety of car brands, with the goal of thoroughly analyzing how
digital marketing techniques may be adjusted to improve brand reputation and
foster client loyalty.
The main objectives of this research are to examine
how digital marketing affects the dealership's brand image, investigate how
consumers' perceptions of the brand influence their decisions to purchase,
identify the obstacles Indomobil Plaza Indramayu faces in implementing digital marketing
strategies, and offer practical solutions to these obstacles. Additionally, the
study aims to add to the body of knowledge on marketing by providing insights
into the efficacy of digital marketing strategies in the automotive sector,
particularly in the context of a well-known Indonesian dealership. By
fulfilling these objectives, this study hopes to offer insightful information
that will help the automobile sector�and specifically the stakeholders at Indomobil Plaza Indramayu�create
more successful marketing plans and enhance customer interaction in a market
that is becoming more and more digital.
RESEARCH
METHOD
In this study, a quantitative research design was
adopted. Mangani(2021), quantitative research uses data in the
form of numbers in its analysis to produce structured information. claims that
quantitative research analyzes data in the form of numbers to provide organized
knowledge. Furthermore, Sugiyon argues that
positivist research methodology may be used to describe quantitative research
methodologies (Yuli & Marpaung,
2021). This field of study highlights the notion that meaningful
information can be quantified objectively and that specific groups or samples
may be studied using empirical facts. Research tools were used to gather the
data, and quantitative or descriptive data analysis was done. Researchers that
use statistical analysis tools to handle data are employing quantitative
research methodologies. As a result, both the data and the outcomes are
represented by numbers. Sales information from 2022�2023 was collected and sent
to businesses via surveys and in-person observations.
RESULTS AND DISCUSSION
Results
Validity test
Finding out if a questionnaire correctly
assesses what it is supposed to measure is the goal of a validity test. If the
answers to its queries provide the desired information, it is deemed
legitimate. Comparing the crucial value from the table (r table) with the
computed correlation coefficient (r count) is a validity test method. The
validity of the questionnaire is determined by whether the r count exceeds the
r table or not. The crucial r table value in this test is 0.3008 with a sample
size (n) of 43 and a significance level (alpha) of 5% (Nafiudin et al.., 2021).
If the computed r of each question item is more than 0.3008, it is regarded as
legitimate. The computations' outcomes show that every item has a computed r
that is higher than the crucial value and has a significant value of less than
0.005, proving its validity.
It is considered valid if r count > r table.
It is deemed invalid if r count < r table.
With 43 samples (n) and a significance
threshold of 5% (alpha), the test yields a crucial r table value of 0.3008. If
a question item's computed correlation coefficient (r) is more than 0.3008, it
is deemed legitimate. According to the computations, every item has a computed
r that is higher than the crucial value and has a significance value of less
than 0.005, proving its validity.
Reliability Test
Cronbach's Alpha analysis is used to
examine questionnaires for reliability; a questionnaire is considered
trustworthy if its Cronbach's Alpha score is greater than 0.60. The results of
the computations show that the Cronbach's Alpha values of every item surpass
this cutoff, demonstrating the reliability of every question pertaining to
every variable in the survey.
Normality test
The Kolmogorov-Smirnov test was used in
the normalcy test, and the result was a significant value of 0.231 > 0.05.
This finding suggests that the standardized residual variable has a normal
distribution because the significance value is higher than the predetermined
0.05 threshold.
Linearity Test
The linearity test, which is usually
performed prior to correlation or linear regression analysis, evaluates whether
the connection between variables is significantly linear. R^2 = 0.494 is the
output of the first equation, while R^2 = 0.788 is the result of the second.
Finding the F value is the next step.
�=
According to the F table, F_((m,n-k) )=〖F〗_((1,4)) =
7.71
�Given that the computed F value (55.47) is
more than the F table (7.71), a linear regression model is the appropriate one
to utilize.
Multicollinearity
Test
The Multicollinearity Test is used to
determine if the independent variables in a regression model have a perfect or
high correlation with one another. This test is important because in a multiple
linear regression model, excessive correlations between independent variables
might cause the link between the independent and dependent variables to break (Lestari & Saifuddin, 2020).
The connection between the independent and dependent variables will be thrown
off if there is a significant correlation between the independent variables.
Finding correlations between two or more variables when one is reliant on the
others is the goal of multiple linear regression analysis (Dharmanto & Rositasari,
2022).
In summary, this figure displays less
than 0.05 since the R^2 value is high (0.494), the significant values in the F
test and t-test in the ANOVA table are 0.000 and 0.0, respectively, and the
significance value in the Coefficient table is 0.001. It follows that the
developed model does not exhibit any multicollinearity symptoms.
Results of
Multiple Linear Regression Analysis
The connection between the dependent and
independent variables is ascertained in this study using the regression
equation, yielding the following equation:
𝑌 = 1.480 + 0,382 �+ 0,819
The following may be inferred from the regression
equation above:
a) The purchase choice (Y) will automatically vary by a
constant of 1.480 if the values of the other variables stay the same.
b) For each digital marketing unit (X_1), the purchase
decision (Y) will vary by 0.382 if the values of the other variables stay the
same.
c) For each brand image unit (X_2), the purchase
decision (Y) will vary by 0.819 if the values of the other variables remain
constant.
T-Test Results
The
outcome is (not significant) if t count > t table (significant) and vice
versa t count < t table. The following conclusions are drawn from the
calculation results:
a) The computed t in the T-test between digital
marketing (X_1) and purchase decisions (Y) is 3.521, but the t table indicates
that it is 2.021. It may be concluded that there is a large impact of digital
marketing on purchase decisions since t count > t table (3.521 > 2.021).
Additional evidence that digital marketing may have a major impact on purchase
decisions comes from examining the probability value, which is 0.001, which is
less than 0.05, a defined significant number.
b) The computed t in the T-test between brand image
(X_2) and purchase decisions (Y) is 4.185, although the t table indicates that
it is 2.021. It may be concluded that brand image has a strong impact on
purchase decisions since t count > t table (4.185 > 2.021). Additionally,
it is evident by examining the probability value, which is 0.000, that brand
image can have a major impact on purchase decisions because this value is less
than 0.05, a determinedly significant number.
F Test Results
The F-test is employed to ascertain if
every independent variable concurrently has a substantial impact on the
dependent variable.
The outcome is (not significant) if F count > F table (significant)
F count < F table.
Based on the calculation results, the
following results are obtained:
The calculated F value is 19.553 and sig
0.000 in the F table with a level of 0.05, the number of independent variables
(df1 = 2) and 43-2-1 = 40 (df2 = 40), it can be seen that the F table value is
3.23. This can be said to be F count > F table (19.553 > 3.23) and sig
< 0.05 (0.000 < 0.05), which means that digital marketing variables and
brand image simultaneously have an influence on purchasing decisions.
Coefficient of
Determination R^2
It is evident from the result above that
the R^2 value is 0.494, or 49.4%. According to this image, the Purchasing
Decision variable (Y) is stimulated (combined) by the variables Digital
Marketing (X1) and Brand Image (X2). 49.4%, however the remaining portion is
higher (100% - 49.4% = 50.6%) and impacted by factors that are not included in
this regression equation or that are not reliable.
Discussion
Influence of
Digital Marketing (X1) on Purchasing Decisions (Y)
With the COVID-19 epidemic, many
businesses have adopted digital marketing methods, and as a result, digital
marketing has become a very successful means of promotion and marketing. It
entails using internet-connected devices to interact with customers via a
variety of digital media, enabling businesses to stay in online contact with
their intended market (Qiana & Lego, 2021). Social
media platforms are essential to this approach because they provide avenues for
social connection, sales, promotions, everyday support, information sharing,
and communication (Sari et al.., 2021). Digital marketing's main
benefit is its ability to reach a large market via the Internet. This study
examines how digital marketing influences consumers' decisions to buy cars at
the Nissan Indramayu dealership, with a particular
emphasis on the dealer's clientele.
Data study shows that digital marketing
has a significant impact on consumers' purchasing decisions, resulting in a
dynamic market environment that is advantageous to both consumers and
marketers. While customers may readily obtain information on the newest Nissan
vehicle models and service specials, marketers find it easier to sell their
goods. The Nissan Indramayu dealer uses Facebook,
YouTube, Instagram, WhatsApp, TikTok, and other
channels to optimize the impact of digital marketing. The sales team at the
Nissan store in Indramayu is in charge of making use
of these platforms in order to meet their sales goals.
Influence of
Brand Image (X2) on Purchasing Decisions (Y)
The brand is a crucial factor to take
into account when making a purchase of a good or service because of its
powerful effect on customer purchasing decisions. Customers are more likely to
recall a well-known product or service with a high reputation, which helps
brands stand out in the marketplace (Ojha et al., 2023).
The SPSS analysis's findings demonstrate
that brand perception affects consumers' decisions to buy. This demonstrates
that consumers are more likely to choose to buy a car from Nissan if they have
a good perception of the brand. The Nissan brand image is considered to be
rather excellent based on respondents' ratings; nevertheless, average
respondent responses vary. These variations may result from the various
perspectives held by each respondent. The process of organizing, choosing,
translating, and incorporating information into a meaningful view of the world
is called perception. The perception of Nissan as a brand is largely positive,
notwithstanding the opinions of some respondents. This is demonstrated by the
Nissan company's worry for customers who don't show enough concern and by the
lack of pride that comes with owning a Nissan vehicle for commuting purposes
alone. This study is consistent with studies by Romdonny
& Maulany (2020) and Liling et
al. (2022), which came to the conclusion that brand
image significantly influences consumer decisions.
CONCLUSION
Based on the study's findings, it can be
said that Nissan Indramayu auto dealership customers'
purchase decisions are significantly and partially influenced by the variables
of digital marketing and brand image. At the Nissan Indramayu
auto dealership, brand image and digital marketing work together to positively
and significantly influence purchase decisions at the same time. According to
the findings of the hypothesis test, buying choices are impacted by digital
marketing and brand image together by 49.4%, with other factors not included in
the regression equation accounting for the remaining 50.6%. To attract
customers and promote new items, the dealership and Nissan should maintain high
standards of quality for both their products and services. They should also
continuously innovate their digital media marketing strategies and give
frequent vehicle servicing incentives. In order to guarantee that information
on Nissan vehicles is easily accessible and to foster a favorable brand image,
digital marketing should concentrate on improving communication effectiveness
with consumers through interactive Q&A sessions. It is recommended that
future research investigate other variables, such as trust, service quality,
product quality, brand awareness, or other pertinent aspects, given that
factors other than those mentioned in this study account for 50.6% of the
variation.
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