The Influence of Digital Influencer and Product Innovation on MSME Performance in Banda Aceh City by Brand Endorsement as a Mediator

Robi Novrian; Mukhlis; T. Meldi Kesuma

doi:10.18535/ijsrm/v12i07.em03

Abstract

This study aims to examine how Digital Influencers and Product Innovation affect the performance of Micro, Small, and Medium Enterprises (MSMEs) in Banda Aceh City, with Brand Endorsement playing a mediating role. The total population of MSMEs in Banda Aceh is 17,308. The study used primary data. Structural Equation Modelling (SEM) was used to analyze the direct effects, while the indirect effects were tested using the Sobel calculator. The results indicate that Digital Influencers and Product Innovation influence Brand Endorsement. Additionally, Digital Influencers, Product Innovation, and Brand Endorsement all influence MSME Performance. The study also found that Brand Endorsement acts as a mediator between Digital Influencers and Product Innovation in influencing MSME performance. This shows that the MSME Performance improvement model in Banda Aceh depends on the suitability of Digital Influencers, increased Product Innovation, and effective Brand Endorsement.

Keywords

Digital InfluencerProduct InnovationBrand EndorsementMSME Performance

References

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[refR-2] Afrifa, G. A., & Padach, K. (2016). Working capital level influence on SME profitability. Journal of Small Business and Enterprise Development, 23(1), 44–63. https://doi.org/https://doi.org/10.1108/JSBED-01-2014-0014DOI ↗Google Scholar ↗

[refR-3] Ahmed, N., Farooq, O., & Iqbal, J. (2014). Credibility of Celebrity Endorsement and Buying Intentions an Evidence from Students of Islamabad, Pakistan. International Letters of Social and Humanistic Sciences, 20(January), 1–13. https://doi.org/10.18052/www.scipress.com/ilshs.20.1DOI ↗Google Scholar ↗

[refR-4] Alghamdi, F. (2018). Total Quality Management and Organizational Performance: A Possible Role of Organizational Culture. International Journal of Business Administration, 9(4), 186–200. https://doi.org/10.5430/ijba.v9n4p186DOI ↗Google Scholar ↗

[refR-5] Apejoye, A. (2013). Influence of Celebrity Endorsement of Advertisement on Students’ Purchase Intention. Journal of Mass Communication and Journalism, 3(2), 1–7. https://doi.org/10.4172/2165-7912.1000152DOI ↗Google Scholar ↗

[refR-6] Avriyanti, S. (2022). Pengaruh Inovasi Produk Dan Teknologi Informasi Terhadap Perkembangan Usaha (Studi Pada UMKM Bidang Kuliner Di Kabupaten Tabalong). PubBis : Jurnal Pemikiran Dan Penelitian Administrasi Publik Dan Administrasi Bisnis, 6(1), 61–73. https://doi.org/https://doi.org/10.35722/pubbis.v6i1.582DOI ↗Google Scholar ↗

[refR-7] Farid, W. J. A. (2021). Pengaruh Influencer Sebagai Strategi Marketing Di Era Digital. Universitas 17 Agustus Surabaya.Google Scholar ↗

[refR-8] Gita, D., & Setyorini, R. (2016). Pengaruh Brand Ambassador Terhadap Brand Image Pada Perusahaan Online Zalora.co.id. EProceedings of Management, 3(1), 1–7.Google Scholar ↗

[refR-9] Hariyanti, N. T., & Wirapraja, A. (2018). Pengaruh Influencer Marketing Sebagai Strategi Pemasaran Digital Era Moderen (Sebuah Studi Literatur). Jurnal Eksekutif, 15(1), 133–146.Google Scholar ↗

[refR-10] Hutabarat, J. R. (2020). Pengaruh Influencer Marketing Pada Produk Eiger Sebagai Strategi Pemasaran Era Modern Terhadap Keputusan Pembelian (Studi Kasus Mahasiswa Di Kecamatan Medan Timur). Universitas HKBP Nommensen.Google Scholar ↗

[refR-11] Jahanshahi, A. A., Rezaei, M., Nawaser, K., Ranjbar, V., & Pitamber, B. K. (2012). Analyzing the effects of electronic commerce on organizational performance: Evidence from small and medium enterprises. African Journal of Business Management, 6(15), 6486–6496. https://doi.org/10.5897/AJBM11.1768DOI ↗Google Scholar ↗

[refR-12] Komariah, N. S., Nursal, M. F., & Rianto, M. R. (2022). Pengaruh Inovasi dan Media Sosial terhadap Kinerja UMKM Makanan Halal di Kota Bekasi Utara. Jurnal Ilmiah Ekonomi Islam, 8(2), 1365–1372. https://doi.org/http://dx.doi.org/10.29040/jiei.v8i2.5957DOI ↗Google Scholar ↗

[refR-13] Kotler, P., & Keller, K. L. (2018). Marketing Management, Global Edition (15th editi). Harlow, United Kingdom: Pearson.Google Scholar ↗

[refR-14] Kurniawati, E. P., & Akhsa. (2016). Effect analysis of the use of accounting information, managerial performance and employee performance Towards SMEs. Journal of Administrative and Business Studies, 2(3), 131–142. https://doi.org/10.20474/jabs-2.3.4DOI ↗Google Scholar ↗

[refR-15] Lea-Greenwood, G. (2013). Fashion Marketing Communications. New Jersey: Wiley.Google Scholar ↗

[refR-16] Marwick, A. E. (2013). “They’re really profound women, they’re entrepreneurs”: Conceptions of Authenticity in Fashion Blogging. International Conference on Weblogs and Social Media (ICWSM), 1–8. USA: Association for the Advancement of Artificial Intelligence.Google Scholar ↗

[refR-17] Masito, R. A., & Saino. (2021). Pengaruh Digital Marketing Dan Customer Relationship Marketing Terhadap Loyalitas Konsumen Pada Produk Air Minum Cheers (Studi PT. Atlantic Biruraya). Jurnal Pendidikan Tata Niaga, 9(2), 1216–1222. https://doi.org/https://doi.org/10.26740/jptn.v9n2.p1216-1222DOI ↗Google Scholar ↗

[refR-18] Nguyen, A. T. H., Nguyen, P. V., & Do, H. T. S. (2022). The effects of entrepreneurial orientation, social media, managerial ties on firm performance: Evidence from Vietnamese SMEs. International Journal of Data and Network Science, 6(1), 243–252. https://doi.org/https://doi.org/10.5267/j.ijdns.2021.9.004DOI ↗Google Scholar ↗

[refR-19] Puryantini, N., Arfati, R., & Tjahjadi, B. (2017). The Effect of Knowledge Management on The Performance of Innovation Dimediated Organizations In Government Research Organizations. Berkala Akuntansi Dan Keuangan Indonesia, 2(2), 21–38. https://doi.org/https://doi.org/10.20473/baki.v2i2.5325DOI ↗Google Scholar ↗

[refR-20] Raimondo, E. (2016). What Difference Does Good Monitoring & Evaluation Make to World Bank Project Performance? https://doi.org/https://doi.org/10.1596/1813-9450-7726DOI ↗Google Scholar ↗

[refR-21] Ramayanti, R., & Novita. (2017). Perkembangan Kinerja Umkm Sebelum Dan Sesudah Masyarakat Ekonomi Asean (MEA). Proceeding Profesionalisme Akuntan Menuju Sustainable Business Practice, 1(1), 252–260. Bandung: Universitas Widyatama.Google Scholar ↗

[refR-22] Rianto, M. R., Jasfar, F., & Arafah, W. (2021). Mediating Effect of Organization Learning on the Relationship Between Strategic Change, Knowledge Management and Transformational Leadership ; Case of Indonesia Islamic Banks. Journal of Economic Development Environment and People, 10(3), 26–41. https://doi.org/10.26458/jedep.v10i3.697DOI ↗Google Scholar ↗

[refR-23] Schiffman, L., & Kanuk, L. (2010). Consumer Behavior (11th ed.). London: Pearson.Google Scholar ↗

[refR-24] Setiadi, N. J. (2013). Perilaku Konsumen (Edisi Revi). Jakarta: Kencana.Google Scholar ↗

[refR-25] Shimp, T. A. (2013). Advertising, Promotion, adn Other Aspect of Integrated Marketing Communivations. In Journal of Chemical Information and Modeling (7th Editio, Vol. 53). https://doi.org/10.1017/CBO9781107415324.004DOI ↗Google Scholar ↗

[refR-26] Sil, M., Kassiavera, S., & Belly, N. M. (2018). Analisis Total Quality Management terhadap Kinerja Manajerial pada Usaha Mikro, Kecil dan Menengah dalam Era Globalisasi. The National Conferences Management and Business (NCMAB) 2018 “Pemberdayaan Dan Penguatan Daya Saing Bisnis Dalam Era Digital,” 208–220. Surakarata: Universitas Muhammadiyah Surakarta.Google Scholar ↗

[refR-27] Sinarwati, N. K., Sujana, E., & Herawati, N. T. (2020). The Role of Mobile-Based Accounting Information Systems for Improving MSME Performance. International Journal of Psychosocial Rehabilitation, 24(6), 2088–2095.Google Scholar ↗

[refR-28] Suryana. (2019). Kewirausahaan, Kiat dan Proses Menuju Sukses. Jakarta: Salemba Empat.Google Scholar ↗

[refR-29] Wu, C.-S., Lee, C.-J., & Tsai, L.-F. (2012). Research on The Knowledge Sharing, Adventure Recreation And Performance of Information System R&D Personnel. International Journal of Organizational Innovation, 5(1), 176–202.Google Scholar ↗

[refR-30] Yusiana, R., & Maulida, R. (2015). Pengaruh Gita Gutawa Sebagai Brand Ambassador Pond’s Dalam Mempengaruhi Keputusan Pembelian (Studi Kasus Pada Mahasiswi Universitas Telkom Jurusan D3 Manajemen Pemasaran). Jurnal Ecodemica : Jurnal Ekonomi Manajemen Dan Bisnis, 3(1), 311–316. https://doi.org/https://doi.org/10.31294/jeco.v3i1.59DOI ↗Google Scholar ↗