Investigating the Effect of Social Media Marketing Activities Influence on Purchase Intention: The Utilization of S-O-R Model

Abstract

Indonesia is the tenth largest country in the global e-commerce industry, counting for one percent of all e-commerce transactions worldwide. Shopee is one of Indonesia’s e-commerce sites with the highest transaction and top-of-mind indicators. It may happen because they utilized social media more effectively and efficiently than their competitor. Therefore, this study aims to explore the influence of social media marketing activities on brand equity and purchase intention. The research was conducted in Riau Province, Indonesia, using the online questionnaire written in Indonesian and distributed using the snowball sampling method through social media, such as Instagram, Line, and WhatsApp. This study successfully collected 232 valid respondents and used SMART PLS 3.0 to perform SEM-PLS analysis.

As a result, trendiness, customisation, and E-WOM are related to brand image. Meanwhile, entertainment and interaction are not related to brand image. Furthermore, entertainment and trendiness are related to brand awareness. Meanwhile, customisation, interaction, and E-WOM are unrelated to brand awareness. Lastly, brand image and brand awareness are related to purchase intention. The findings provide a better understanding of the influence of social media marketing activities in the e-commerce industry in Indonesia. In conclusion, the correlation among social media marketing activities, brand image, brand awareness, and purchase intention become clearer since the S-O-R model was utilized to theoretically give a better perspective and explanation.

Keywords: Social Media Marketing Activities, Brand Image, Brand Awareness, Purchase Intention, and S-O-R Model