CHAPTER I

INTRODUCTION

1.1 COMPANY PROFILE

1.1.1 COMPANY OVERVIEW

Macbeth is a company that sells shoes, which is inspired by music and other arts. Macbeth founded in 2002 by a musician who got Platinum award, Tom Delonge. Tom Delonge is known as a vocalist and guitarist in the Blink-182 band, and Angel & Airwaves. There are many Indonesian Musicians who wear Macbeth products.

In the beginning, Macbeth only employs 30 people and most of them are families and close friends. They are good in developing products and advance from fashion, which is inspired from music in southern .

The first kind of Macbeth shoes that is introduced is named Eliot that is boost Macbeth popularity. Macbeth tried to reach the youth market by using endorser from a band with genres of punk, pop punk, , hardcore and post- hardcore, such as Angels and Airwaves, Rocket Rockers and Saint Loco.

Beside that, Macbeth has a social mission in designing a character of shoes, which is Macbeth vegan. Macbeth vegan is made from 100% of the non - animal material. Macbeth have mission to eliminate the violence on animals while the material is imported from PETA (People For The Ethical Treatment Of Animals), an organization of antiviolence on animals.

Macbeth achieved the award in 2007, for not using animal material for their products. It means they are using organic canvas and denim from 1 vegetable fibers, synthetic water-based glues, synthetic leather and natural rubber. Macbeth awarded as “Best Vegan Skate Shoe” by PETA for their unique design and material used in their products.

Now Macbeth has already reached an enormous youth market. Macbeth issues their new product four times in a year, which is follow season in Europe. Macbeth is currently using social media networks such as MySpace, Facebook and Twitter, in order to spread their coverage.

Figure 1.1 Facebook of Macbeth

Source: https://www.facebook.com/macbethfootwear?ref=ts&fref=ts

Macbeth footwear (Facebook) and Macbeth Indonesia (Twitter) is collaboration to sell Macbeth products. That is why I used Macbeth Indonesia for Twitter analyzing, while Macbeth Footwear for Facebook analyzing.

2 1.1.2 Product of Macbeth

These are several Macbeth products:

1.

Style: Eliot

Materials: black/cement Eliot in Recycled Canvas – Macbeth’s modern classic updated with a split pennant quarter logo. The Eliot was first shoe and remains one of Macbeth successful styles with its low profile, ultra light weight upper – vegan.

Figure 1.2

Source: http://www.macbeth.com/products/details/eliot/blackcement/491

2.

Style: Brighton

3 Materials: Black/canvas Brighton in Suede / Canvas – a modern update to a classic t-toe jogger featuring a completely new outsole with medial arch wrap as well as an exposed molded Eva midsole. Hidden within the heel of the Eva midsole is an additional soft cushion pocket for added heel impact reduction. “Zero Seam” lining construction with a small amount of padding allows the upper form to your foot like the shoe was custom made to fit your foot.

Figure 1.3

Source: http://www.macbeth.com/products/details/brighton/blackwhite/532

3.

Style: Mathew

Materials: Black/white Matthew in classic canvas / Recycled Canvas – The Matthew its name from Macbeth founder Thomas Matthew Delonge. Its extremely low profile vulcanized look is a great next step for the Eliot customer – vegan.

Figure 1.4

Source: http://www.macbeth.com/products/details/matthew/blackwhite/517

4 4.

Style: Langley

Materials: Black/cement Langley in Classic Canvas – The Langley is a classic vulcanized style, with some additional comfort features added in. Our construction includes a premium textile lasting board which makes the entire shoe more flexible, and we added a layer of soft cushioning foam hidden under our custom molded insole so you will love wearing them all day long – Vegan.

Figure 1.5

Source:http://www.macbeth.com/products/details/langley/darkgreywhite/421 2

5.

Style: Pendleton

Materials: Black/white Pendleton in Synthetic Nubuck – Clean lines are the name of the game with the Pendleton. This vulcanized style takes a 5 minimalist approach to creating a classic design and there are only 4 main panels in the upper design. Whether you are dressing the shoe up or down, there is no clutter here, you will get a great look every time. Not to mention the Pendleton is incredibly comfortable because of the hidden layer of cushioning foam under our custom molded insoles and the premium textile lasting board that adds overall flexibility while you are walking – Vegan.

Figure 1.7

Source: http://www.macbeth.com/products/details/pendleton/blackcement/488

These are several prices of Macbeth products:

Table 1.1 Price of Macbeth products

Source:http://www.loserkids.co.id/index.php?route=product/search&keywor d=fall%20holiday%202012&category_id=116

6 From the explanation above, I choose title of “the influence of influencer, interaction / content, word of mouth and testimony toward purchase decision process of Macbeth product in Bogor City” as my research object.

1.2 RESEARCH BACKGROUND

Social media networks can be used to communicate with friends, family, work partner and can be used as an online shopping. There are many people in Indonesia using social media networks to shop. It makes many of brand owners in Indonesia promoting through social media networks. They are using several social media platforms such as Blog, Facebook, Twitter and YouTube.

Facebook and twitter are two sites that are mostly accessed in Indonesia. The growth of Internet users in Indonesia is surprising. According to data from research of Web Company, there are 40 million Indonesia people using the Internet. Based on web research, it shows Indonesia people are on the big three from the largest customer of Facebook and Twitter in the world. By using social media network, users can access information through Internet without spending so much money.

Tight competition makes the company keep on making new innovation in strategy. Many products and services available on the market is the impact. They keep promoting their products and services through social media.

A marketing strategy that is fit to use in this era is marketing digital. One of marketing strategy that the company could do is promotion. Promotion is one of the elements in the marketing mix that is used by the company to communicate product and service to their target customer. The biggest

7 impacts are increasing in sales and make it easier for the company to promote their product and services.

For the company it becomes easier to develop a strategy that engages the right people in the right place at the right time and know what product they should sell to the their customers.

Macbeth uses twitter as a media promotion tool and communicate to the customers in order to get more customers. Beside that, Macbeth uses twitter as a tool to attract indie music lovers. Macbeth uses Facebook as a media promotion tool to the customer and to share the information in the form of price and photo about Macbeth product such as shoes, shirt and sunglasses. Macbeth uses MySpace to promote the video that related to Macbeth product and promoting the band that endorsed by Macbeth through video.

Macbeth has specific target audiences and Macbeth have fans in Indonesia that is called "Griffon’s Army" Indonesia, who are teenagers and grew up people. Beside that, based on the data from the social media networks account, it is showing that Macbeth’s fans are spread in several cities, such as Bali, Bandung, Jakarta, Bekasi, Malang, Banjarmasin, Makassar, Medan, Solo Pekanbaru, Purwokerto, Samarinda, Surabaya, Tangerang and Yogyakarta. From the social media networks shown the sum of Macbeth’s fans as follows:

My space Twitter Facebook 63858 friends 29,921 followers 535,563 likes http://www.myspace http://twitter.com http://www.facebook.com .com/macbeth /MacbethIndo /macbethfootwear?fref=ts

Table 1.2 Social Networks of Macbeth

Source: data processed

8 The data above shows the magnitude of enthusiasts and Macbeth user who use social media networks and could be concluded, Macbeth use social media networks as promotion media tool in promoting the product to the customer. By using social media networks, Macbeth could wider the coverage of the target market.

That is why I do research on social media role toward the purchase decision process of Macbeth product in Bogor. It can be seen by online sales of Macbeth product from January 2008 until December 2011, as follows:

Table 1.3Volume of Online Sales Macbeth and Vans Product from

January 2008 – December 2011

421,200,000 2011 111,000,000

234,000,000 2010 133,000,000 Vans 167,000,000 2009 Macbeth 140,000,000

78,000,000 2008 128,000,000

0 200,000,000 400,000,000 600,000,000

Source: Forbidden Store.BinaMarga Street, No.1D Baranangsiang Bogor 2011.

From online sales,it can be seen that Macbeth is declining on sales start from 2010 until 2011. Therefore, the roles of social media are required to increase Macbeth sales in Bogor city. 9 In 2011,population of Bogor city is 870.197, while in Bandar Lampung is 1.364.759. Bandar Lampung also do not have a Macbeth official store. According to the sales, even though Bandar Lampung does not have a Macbeth official store, the sales are still higher compared to Bogor city. These are the sales:

Table 1.4 sales of Macbeth product in Bogor city and Bandar Lampung

2009 2010 2011 Bogor city 140.000.000 133.000.000 111.000.000 Bandar 118.779.000 160.780.000 174.085.000 Lampung

Based on the problem above, the author chooses the title “THE INFLUENCE OF INFLUENCER, INTERACTION / CONTENT, WORD OF MOUTH AND TESTIMONY TOWARD PURCHASE DECISION PROCESS OF MACBETH PRODUCT IN BOGOR CITY”.

1.3 FORMULATION OF THE PROBLEM

Formulation of the problem in this research is growing of technology, which force the company to be more perceptive in using the sophistication of technology to promote the product. Therefore, the company should have a good strategy by using social media.

From the formulation of the problem, come up research question as follows:

1. What and how is the influence of influencer, interaction / content, word of mouth and testimony that used by Macbeth? 2. What and how is the purchase decision process in Bogor City?

10 3. How the influence of influencer, interaction / content, word of mouth and testimony can affect toward the purchase decision process of Macbeth product in Bogor City?

1.4 PURPOSE OF RESEARCH

The purpose of this research is to obtain the data and information needed in this research with the purpose as follows:

1. Analyzing the effect of the influence of influencer toward a purchase decision. 2. Analyzing the effect of interaction / content toward a purchase decision. 3. Analyzing the effect of word of mouth toward a purchase decision. 4. Analyzing the effect of testimony toward a purchase decision.

1.5 USE OF RESEARCH

The use of this research is expected to help and give big impact to the development of science. Related to the research that is conducted, the use of this research is divided into two, which are theoretical and practical functions.

1.5.1 Theoretical Function

1. The result of this research is expected to give information and develop knowledge in Management Business Telecommunication and Informatics that is related to the influence of influencer, interaction/content, word of mouth and testimony toward the purchase decision procedure.

11 1.5.2 Practical Function

1. For Researcher

The researcher could implement the knowledge that obtained in this research and could add the knowledge that related with Management Business Telecommunication and Informatics.

2. For Company

This research could be used as a reference material to Macbeth Company and can be used to improve the company’s strategy.

3. For Institute Management Telkom Bandung

This study expected to give more knowledge in the library and as a reference material for students who want to learn about marketing management, especially the influence of influencer, interaction /content, word of mouth and testimony toward purchase decision process.

1.6 SYSTEMATICS OF WRITING

Formulation and writing in this research are proper and can be determined as follows:

CHAPTER I PRELIMINARY

This chapter contains of formulation and explanation toward overview of object research, background research, formulation of the

12 problem, purpose of research, use of research, systematic of the writing of the research conducted.

CHAPTER II LITERATURE STUDY AND SCOPE OF RESEARCH

This chapter contains a summary of theory, previous research, framework, research hypothesis and scope of research that related to the problem that researched by the author.

CHAPTER III RESEACH METHODOLOGY

This chapter contains the method that is used in this research and can be adapted with type of research, operational variables, stages of research, population and sample, data collection, and data analysis techniques.

CHAPTER IV RESULT AND DISCUSSION

This chapter provides about the result of research that already conducted with the uses of method that have been set.

CHAPTER V. CONCLUSION AND RECOMMENDATION

This chapter contains of conclusion about the result of research and suggestion for the company.

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