How social media marketing activities affect consumer equity

Titis Shinta Dhewi,Arum Prasasti,Mickhael Kurnianto,Satria Lintang Rachmadana

doi:10.36096/ijbes.v3i4.279

Abstract

This study aims to find out how social media marketing activities influence consumer equity through brand equity in a culinary brand. The study sample is men and women, 200 respondents, within the age range of 18 to 30 years old This study uses quantitative methods and questionnaires as data collections tools. The data was then analyzed using SmartPLS with the Structural Equation Modelling approach. It is found that social media marketing activities positively influence consumer equity through brand equity in culinary brands. Customer equity is also indirectly affected by brand equity. Therefore, this research can be a basis for future research in social media marketing activities within the scope of culinary brands especially in the context of small-medium enterprises.

Highlights

The use of social media has become a necessity for both individuals and companies (Chen & Lin, 2019)
The study found that the direct influence between social media marketing is apparent and proving the first hypothesis which is social media marketing activities, in culinary-SME influence brand equity significantly and positively
For SME ahead, social media marketing strategy can be utilized to engage with the consumers and enhance its brand equity

Summary

Introduction

The use of social media has become a necessity for both individuals and companies (Chen & Lin, 2019). Companies use social media as a tool or strategy (Felix et al, 2017a) to promote, retain consumers, or strengthen brand loyalty (Erdogmus & içek, 2012); (Tsimonis & Dimitriadis, 2014), as well as customer equity (AJ Kim & Ko, 2012) (Vogel et al, 2008). While individuals use social media as a form of existence (Chen & Lin, 2019), networking (Felix et al, 2017b), and identity (Tajfel & Turner, 2019). Companies need loyalty from their consumers so that their brands can survive These forms of customer loyalty can be translated as customer equity. Previous research has stated that there is a significant influence between marketing activities on social media and consumer equity H. Kim et al, 2012) (Felix et al, 2017b)

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Conclusion