The Role of Social Media Marketing Activities on Brand Trust and Brand Loyalty: Evidence from E-Commerce Tourism’s Instagram

Abstract

In the current era of globalization, the development of social media has become a global phenomenon, where customers prefer social media as a credible source of information compared to other channels. With the rapid development of technology and information, it can be seen the potential for changes in the company's marketing through social media, namely social media marketing activities. This study aims to study the role of social media marketing activities in increasing brand trust and brand loyalty on Brand X through its Instagram social media account. Data collection was carried out through an online questionnaire given to active Instagram users who knew the brand X was < 20 to 45 years old in Indonesia. There were 477 respondents who filled out the questionnaire, and 400 of them met the criteria as research respondents. Data analysis was performed using Partial Least Squares - Structural Equation Model (PLS-SEM). Based on the research that has been done, the conclusion that can be drawn is that there is a positive and significant relationship between SMMA_CUST on Brand Loyalty and Brand Trust. There is a positive and significant relationship between SMMA_ENT on Brand Loyalty and Brand Trust. There is a positive but not significant relationship between SMMA_INT on Brand Loyalty and Brand Trust. There is a positive and significant relationship between SMMA_TREN on Brand Loyalty and Brand Trust. Due to the differences in the results obtained, further research is needed to examine the influence of Social Media Marketing on Brand Loyalty and Brand Trust in industries other than tourism. The results show that social media marketing efforts including active and up-to-date social media, online interactivity, and collaboration with other platforms are beneficial for brand loyalty and trust. The results of this study can help Brand X and various companies engaged in the tourism industry to maintain loyalty and trust in the company by using social media in marketing all their tourism products. In addition, the results of this study also show the need for companies to develop appropriate online strategies to compete with other tourism industry company.