UNDERSTANDING SOCIAL MEDIA MARKETING: CONSEQUENCES ON CONSUMER ENGAGEMENT AND REPURCHASE INTENTION AMONG SMEs IN INDONESIA
DOI:
https://doi.org/10.26418/jebik.v14i1.85741Keywords:
social media marketing, consumer engagement, repurchase intentionAbstract
This study examines the influence of social media marketing activities (entertainment, customization, interaction, and trendy content) on consumer engagement and repurchase intention in the context of Indonesian Small and Medium Enterprises (SMEs). Using the COBRAs (Consumers"™ Online Brand-Related Activities) framework, this research analyzes three levels of engagement: content consumption, content contribution, and content creation. A total of 265 respondents were selected through purposive sampling, and the data were analyzed using Structural Equation Modeling-Partial Least Squares (SEM-PLS). The results show that entertainment and interaction significantly influence all engagement dimensions, while trendy content affects only content consumption. Customization, however, does not significantly impact any engagement level. Additionally, only content consumption and content creation are positively associated with repurchase intention. This study contributes theoretically by extending the application of the COBRAs framework to an emerging market context, addressing limitations in prior studies that primarily focused on Western consumers and large-scale enterprises. The findings offer practical insights for SMEs in developing more targeted social media strategies to strengthen consumer engagement and drive repurchase behavior. JEL: M31, M37.References
Algharabat, R., Rana, N. P., Alalwan, A. A., Baabdullah, A., & Gupta, A. (2019). Investigating the Antecedents of Customer Brand Engagement and Consumer-Based Brand Equity in Social Media. Journal of Retailing and Consumer Services, 53. https://doi.org/10.1016/j.jretconser.2019.01.016
Brachten, F., Mirbabaie, M., Stieglitz, S., Berger, O., Bludau, S., & Schrickel, K. (2018). Threat or Opportunity? - Examining Social Bots in Social Media Crisis Communication. ArXiv, 1–8. https://doi.org/10.48550/arXiv.1810.09159
Cheung, M. L., Pires, G. D., Rosenberger, P. J., & de Oliveira, M. J. (2020). Driving Consumer–Brand Engagement and Co-Creation by Brand Interactivity. Marketing Intelligence & Planning, 38(4), 523–541. https://doi.org/10.1108/MIP-12-2018-0587
Cheung, M. L., Pires, G. D., Rosenberger, P. J., & Oliveira, M. J. D. (2020). Driving COBRAs: the Power of Social Media Marketing. Marketing Intelligence and Planning, 39(3), 361-376. https://doi.org/10.1108/MIP-11-2019-0583
Cheung, M. L., Pires, G., & Rosenberger, P. J. (2020). The Influence of Perceived Social Media Marketing Elements on Consumer–Brand Engagement and Brand Knowledge. Asia Pacific Journal of Marketing and Logistics, 32(3), 695–720. https://doi.org/10.1108/APJML-04-2019-0262
de Vries, L., Peluso, A. M., Romani, S., Leeflang, P. S. H., & Marcati, A. (2017). Explaining Consumer Brand-Related Activities on Social Media: An Investigation of the Different Roles of Self-Expression and Socializing Motivations. Computers in Human Behavior, 75, 272–282. https://doi.org/10.1016/j.chb.2017.05.016
Dolan, R., Conduit, J., Fahy, J., & Goodman, S. (2016). Social Media Engagement Behaviour: A Uses and Gratifications Perspective. Journal of Strategic Marketing, 24(3–4), 261–277. https://doi.org/10.1080/0965254X.2015.1095222
Gensler, S., Völckner, F., Liu-Thompkins, Y., & Wiertz, C. (2013). Managing Brands in the Social Media Environment. Journal of Interactive Marketing, 27(4), 242–256. https://doi.org/10.1016/j.intmar.2013.09.004
Godey, B., Manthiou, A., Pederzoli, D., Rokka, J., Aiello, G., Donvito, R., & Singh, R. (2016). Social Media Marketing Efforts of Luxury Brands: Influence on Brand Equity and Consumer Behavior. Journal of Business Research, 69(12), 5833–5841. https://doi.org/10.1016/j.jbusres.2016.04.181
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to Use and How to Report the Results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/EBR-11-2018-0203
Hulland, J., Baumgartner, H., & Smith, K. M. (2018). Marketing Survey Research Best Practices: Evidence and Recommendations from a Review of JAMS Articles. Journal of the Academy of Marketing Science, 46(1), 92–108. https://doi.org/10.1007/s11747-017-0532-y
Islam, J., & Rahman, Z. (2017). The Impact of Online Brand Community Characteristics on Customer Engagement: An Application of Stimulus-Organism-Response Paradigm. Telematics and Informatics, 34(4), 96–109. https://doi.org/10.1016/j.tele.2017.01.004
Kamboj, S., & Rahman, Z. (2016). The Influence of User Participation in Social Media-Based Brand Communities on Brand Loyalty: Age and Gender as Moderators. Journal of Brand Management, 23(6), 679–700. https://doi.org/10.1057/s41262-016-0002-8
Kim, A. J., & Ko, E. (2012). Do Social Media Marketing Activities Enhance Customer Equity? An Empirical Study of Luxury Fashion Brand. Journal of Business Research, 65(10), 1480–1486. https://doi.org/10.1016/j.jbusres.2011.10.014
Kock, N. (2018). Minimum Sample Size Estimation in PLS-SEM: An Application in Tourism and Hospitality Research. In Applying Partial Least Squares in Tourism and Hospitality Research (pp. 1–16). Emerald Group Publishing Ltd. https://doi.org/10.1108/978-1-78756-699-620181001
Lim, J.-S., Pham, P., & Heinrichs, J. H. (2020). Impact of Social Media Activity Outcomes on Brand Equity. Journal of Product & Brand Management, 29(7), 927–937. https://doi.org/10.1108/JPBM-03-2019-2298
Liu, S., Perry, P., & Gadzinski, G. (2019). The Implications of Digital Marketing on WeChat for Luxury Fashion Brands in China. Journal of Brand Management, 26(4), 395–409. https://doi.org/10.1057/s41262-018-0140-2
Liu, X., Shin, H., & Burns, A. C. (2019). Examining the Impact of Luxury Brand’s Social Media Marketing on Customer Engagement: Using Big Data Analytics and Natural Language Processing. Journal of Business Research, 125, 815–826. https://doi.org/10.1016/j.jbusres.2019.04.042
Liu, X., Shin, H., & Burns, A. C. (2021). Examining the Impact of Luxury Brand’s Social Media Marketing on Customer Engagement: Using Big Data Analytics and Natural Language Processing. Journal of Business Research, 125, 815–826. https://doi.org/10.1016/j.jbusres.2019.04.042
Merrilees, B. (2016). Interactive Brand Experience Pathways to Customer-Brand Engagement and Value Co-Creation. Journal of Product & Brand Management, 25(5), 402–408. https://doi.org/10.1108/JPBM-04-2016-1151
Mishra, A. S. (2019). Antecedents of Consumers’ Engagement with Brand-Related Content on Social Media. Marketing Intelligence and Planning, 37(4), 386–400. https://doi.org/10.1108/MIP-04-2018-0130
Mishra, A. S. (2021). Exploring COBRAs, its Antecedents and Consequences in the Context of Banking Brands. International Journal of Bank Marketing, 39(5), 900–921. https://doi.org/10.1108/IJBM-11-2020-0553
Muntinga, D. G., Moorman, M., & Smit, E. G. (2011). Introducing COBRAs: Exploring Motivations for Brand-Related Social Media use. International Journal of Advertising, 30(1), 13–46. https://doi.org/10.2501/IJA-30-1-013-046
Neuman, W. L. (2014). Social Research Methods : Qualitative and Quantitative Approaches (7th ed.). Pearson Education.
Pentina, I., Guilloux, V., & Micu, A. C. (2018). Exploring Social Media Engagement Behaviors in the Context of Luxury Brands. Journal of Advertising, 47(1), 55–69. https://doi.org/10.1080/00913367.2017.1405756
Piehler, R., Schade, M., Kleine-Kalmer, B., & Burmann, C. (2019). Consumers’ Online Brand-Related Activities (COBRAs) on SNS Brand Pages: An Investigation of Consuming, Contributing and Creating Behaviours of SNS Brand Page Followers. European Journal of Marketing, 53(9), 1833–1853. https://doi.org/10.1108/EJM-10-2017-0722
Ramadan, Z., Farah, M. F., & Dukenjian, A. (2018). Typology of Social Media Followers: The Case of Luxury Brands. Marketing Intelligence & Planning, 36(5), 558–571. https://doi.org/10.1108/MIP-01-2018-0039
Schivinski, B., Christodoulides, G., & Dabrowski, D. (2016). Measuring Consumers’ Engagement with Brand-Related Social-Media Content: Development and Validation of a Scale that Identifies Levels of Social-Media Engagement with Brands. Journal of Advertising Research, 56(1), 64–80. https://doi.org/10.2501/JAR-2016-004
Schivinski, B., & Dabrowski, D. (2015). The Impact of Brand Communication on Brand Equity through Facebook. Journal of Research in Interactive Marketing, 9(1), 31–53. https://doi.org/10.1108/JRIM-02-2014-0007
Schivinski, B., Muntinga, D. G., Pontes, H. M., & Lukasik, P. (2019). Influencing COBRAs: The Effects of Brand Equity on the Consumer’s Propensity to Engage with Brand-Related Content on Social Media. Journal of Strategic Marketing, 29(1), 1–23. https://doi.org/10.1080/0965254X.2019.1572641
Schulze, C., Schöler, L., & Skiera, B. (2015). Customizing Social Media Marketing. MIT Sloan Management Review, 56(2), 8–10.
Sekaran, U. S., & Bougie, R. J. (2016). Research Methods for Business: A Skill Building Approach (7th ed.). John Wiley & Sons.
Seo, E. J., & Park, J. W. (2018). A Study on the Effects of Social Media Marketing Activities on Brand Equity and Customer Response in the Airline Industry. Journal of Air Transport Management, 66, 36–41. https://doi.org/10.1016/j.jairtraman.2017.09.014
Simeoni, F., & Cassia, F. (2019). From Vehicle Suppliers to Value Co-Creators: The Evolving Role of Italian Motorhome Manufacturers. Current Issues in Tourism, 22(2), 218–236. https://doi.org/10.1080/13683500.2017.1293619
Simon, F., & Tossan, V. (2018). Does Brand-Consumer Social Sharing Matter? A Relational Framework of Customer Engagement to Brand-Hosted Social Media. Journal of Business Research, 85, 175–184. https://doi.org/10.1016/j.jbusres.2017.12.050
Tsai, W.-H. S., & Men, L. R. (2017). Consumer Engagement with Brands on Social Network Sites: A Cross-Cultural Comparison of China and the USA. Journal of Marketing Communications, 23(1), 2–21. https://doi.org/10.1080/13527266.2014.942678
Valos, M. J., Habibi, F. H., Casidy, R., Driesener, C. B., & Maplestone, V. L. (2016). Exploring the Integration of Social Media within Integrated Marketing Communication Frameworks. Marketing Intelligence & Planning, 34(1), 19–40. https://doi.org/10.1108/MIP-09-2014-0169
Vázquez-Casielles, R., Iglesias, V., & Varela-Neira, C. (2017). Co-Creation and Service Recovery Process Communication: Effects on Satisfaction, Repurchase Intentions, and Word of Mouth. Service Business, 11(2), 321–343. https://doi.org/10.1007/s11628-016-0311-8
Yadav, M., Joshi, Y., & Rahman, Z. (2015). Mobile Social Media: The New Hybrid Element of Digital Marketing Communications. Procedia - Social and Behavioral Sciences, 189, 335–343. https://doi.org/10.1016/j.sbspro.2015.03.229
Yadav, M., & Rahman, Z. (2018). The Influence of Social Media Marketing Activities on Customer Loyalty. Benchmarking: An International Journal, 25(9), 3882–3905. https://doi.org/10.1108/BIJ-05-2017-0092
ADDITIONAL REFERENCES
Sea Insight. (2020). Revitalisasi UMKM Indonesia. Sea Group. https://cdn.sea.com/webmain/static/resource/seagroup/sea%20insights/%5B2020-07-06%5D%20Indonesian%20SME%20Recovery%20Report%202020/Indonesian%20SME%20Recovery%20Report%20%5BIDN%5D.pdf
Statista. (2021). Breakdown of Social Media Users by Age and Gender in Indonesia as of January 2021. Statista. https://www-statista-com/statistics/997297/indonesia-breakdown-social-media-users-age-gender/
We Are Social. (2023). Digital 2023 Indonesia. We Are Social. https://wearesocial.com/id/blog/2023/01/digital-2023/
