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Korean Celebrity Brand Ambassador As a Strategy to Increase Sales of PT

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Korean Celebrity Brand Ambassador As a Strategy to Increase Sales of PT Rezki Pratami, dkk. Korean Celebrity Brand Ambassador as a Strategy to... MediaTor, Vol 13 (2), Desember 2020, 249-262 Korean Celebrity Brand Ambassador as a Strategy to Increase Sales of PT. Shopee Indonesia (Study: “Gfriend” in Shopee 11.11 Big Sale) 1Rezki Pratami, 2Afrina Sari Magister Ilmu Komunikasi, Universitas Budi Luhur, Jl. Ciledug Raya, Jakarta Selatan, Indonesia. E-mail: [email protected], [email protected] Abstract. This article examines PT. Shopee Indonesia’s strategy in increasing sales with Korean celebrity brand ambassadors. Theory used is the integrated marketing communication theory by Kotler & Armstrong (2008) and brand ambassador concept owned by Rossita & Percy (2005). Data analysis is with observation, documentation and interviews of 4 informants by applying case study methods. The results showed choosing GFRIEND as the brand ambassador of Shopee 11.11 Big Sale campaign resulted in the sale of 70 million items sold on November 11, 2019, and sales tripled in the first hour compared to 2018. By running four of eight integrated marketing communication models by Kotler & Armstrong (2008) such as sales promotion, advertising, interactive marketing, and also events and experiences conducted through both mass media, online media, and social media resulted in a third quarter achievement of 2019 PT. Shopee Indonesia increased by 261,1% or equivalent to 257,2 million dollars, as well as Gross Merchandising Value (GMV) of 69,9% or equivalent to 4,6 billion dollars compared to 2018. This means that making GFRIEND as a brand ambassador Shopee 11.11 Big Sales is the right strategy and successfully brings PT. Shopee Indonesia to a significant increase in sales. Keywords: Brand Ambassador, Strategy, E-commerce, PT. Shopee Indonesia, Marketing Communication. INTRODUCTION because of its easy access and diverse The phenomenon of business and choices. Harahap (2018), e-commerce or commerce in the digital age, offers a online shopping is a buying and selling variety of lines that are already integrated activity or transactions conducted with with internet technology. Globalization is intermediaries in the form of social touted as the cause of the birth of a change in networks or online shopping sites. the style of commerce from conventional Online shopping activities are carried out to digital. In order to maintain existence, through manufacturers or resellers using a company or entity should follow the internet technology, payment is made by trends of the digital trading industry. bank transfer, virtual account as well as McKinsey in cnn.indonesia.com (2019), cash on delivery (COD), and finally the the digital trading industry in Indonesia goods will be delivered with the agreed became an increasingly popular business delivery service. in 2019. The penetration of Indonesian E-commerce or online shopping online shopping increased by about 9% is a process of buying and selling compared to 2017 and then to 83% of the products electronically or online with the accumulated internet users in Indonesia. intermediary of business transactions in E-commerce is one of the online the form of computerization with internet shopping platforms that people love most media. Hidayat (2008:7) highlights the DOI: https://doi.org/10.29313/mediator.v13i2.6090 249 MediaTor, Vol 13 (2), Desember 2020, 249-262 advantages of e-commerce components the world. 90% of internet users between compared to conventional, namely; the ages of 16 and 64 reported buying (1) there are many products that can be products online as stated in this following marketed in e-commerce sold through FIGURE 1. online shopping, (2) where selling According to the report data from products is internet means must have iPrice cited in katadata.co.id (2019), a domain, (3) the receipt of messages Shopee is listed as the most popular is done virtually i.e. by e-mail, sms, or e-commerce in Southeast Asia during the telephone line, (4) has a varied payment second quarter of 2019, in application method namely debit and transfer, activity, number of downloaded credit card, even cash, (5) has customer applications, and transactions in regional service to assist in transactions , (6) markets. The value of Shopee transactions the method of delivery is done with the increased by 72.3% to 54 Trillion rupiah, agreed delivery service. E-commerce compared to 42 Trillion rupiah in 2018. is differentiated into five types based Based on data released by mobile app on how the transaction type is. Laudon analytics company AppAnnie.com (2008:63) classifies types of e-commerce, (2019), shopee indonesia app in iOS namely; Business to Consumer (B2C) downloads gets a rating of 4,5 or 258 is a company to consumers, Consumer ratings, while in android downloads to Consumer (C2C) namely consumers get a rating of 4,6 or 5206713 ratings. to consumers, Business to Business AppAnnie also reported that Shopee is (B2B) companies to businesses, Peer-to- the number one app based on downloads Peer (P2P) i.e. online loan transactions and average monthly active users in the from borrowers to investors, and Shopping category in Southeast Asia Mobile Commerce (M-Commerce) i.e. and Taiwan for the second quarter in a transactions by relying on mobile phones row. This was strengthened by Shopee’s between customers and business provider leadership in Indonesia by ranking first organizations. In research conducted by by MAU (Monthly Active User) in the Global Web Index (2019) explained that Shopping category and recording 138 Indonesia is the country with the highest million orders for the third quarter of e-commerce or online shopping users in 2019. FIGURE 1. E-Commerce Activities In Indonesia Source: https://datareportal.com/reports/digital-2019-ecommerce-in-indonesia 250 Rezki Pratami, dkk. Korean Celebrity Brand Ambassador as a Strategy to... According to the report data from for quality, marketing reputation, and iPrice cited in katadata.co.id (2019), product innovation. Shopee is listed as the most popular Shimp (2003) mentions brand is a e-commerce in Southeast Asia during the design in the form of names, signs, and second quarter of 2019, in application abbreviations that are able to identify a activity, number of downloaded product and differentiation for another applications, and transactions in regional product. A good brand will have the markets. The value of Shopee transactions power so that it is formed always in the increased by 72.3% to 54 Trillion rupiah, consumer’s mind and easy to remember. compared to 42 Trillion rupiah in 2018. Kotler (2008), while Ambassador, is a Based on data released by mobile app person or entity often associated with analytics company AppAnnie.com public figures or celebrities who have a (2019), shopee indonesia app in iOS major influence on the world. This figure downloads gets a rating of 4,5 or 258 is believed to psychologically have the ratings, while in android downloads power to influence one’s beliefs and get a rating of 4,6 or 5206713 ratings. attitudes towards the products presented. AppAnnie also reported that Shopee is From the above understanding, it can be the number one app based on downloads concluded that the brand ambassador is and average monthly active users in the an individual body born of celebrities Shopping category in Southeast Asia or public figures who have the power to and Taiwan for the second quarter in a convince the psychological person with row. This was strengthened by Shopee’s the brand presented, so that it is inherent leadership in Indonesia by ranking first in the mind of the consumer. Brand by MAU (Monthly Active User) in the ambassadors are usually chosen based on Shopping category and recording 138 the characteristics of a product that it will million orders for the third quarter of bring and adjust to the target market so 2019. that it is able to represent a product and Things that e-commerce platform have a good selling value. content service providers do to increase Rossiter and Percy in Royan sales, one of the things that can be (2005:15), divided the characteristics unavoidable and trivial is to choose a of the brand ambassador as follows; (1) brand ambassador or product ambassador Visibility, popularity in a public figure who can bring a brand to be more chosen as a brand ambassador must be recognizable, get more attention from very inherent, because it leads to how well consumers, until getting the final result known from the perception of the wider is achieving good sales. Raswen (2019) public, (2) credibility, is the background Brand Ambassador is important in the of culture, experience, and psychological sustainability of a company. Through in perceptions formed by communicators brand ambassadors the company gives the influenced by five senses, (3) attraction, a trust of the audience or consumers, as well brand ambassador both has the appeal of as a tool to communicate a product that physical charm and personality in order to is ultimately able to form the identity of be able to amaze viewers and consumers the company. While Shimp in Noviyanti , (4) power, power is able to increase the (2017) brand ambassador is a star that intensity of the purchase, because it is represents a product that wants to be appropriate to instruct the consumer to advertised. A company will conduct star show his or her likeness and perform the selection as a brand ambassador capable purchase action. of bringing the company to a reputation After briefly partnering with 251 MediaTor, Vol 13 (2), Desember 2020, 249-262 BLACK PINK in 2018 as Brand successfully brought Shopee in sales Ambassador, 2019 Shopee officially with a fantastic number of sales, even announced that Christiano Ronaldo will successfully made Shopee as the number be his newest Brand Ambassador. The two one e-commerce platform in Indonesia names cannot be trivialized.
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