Syntax Literate: Jurnal Ilmiah Indonesia p–ISSN: 2541-0849 e-ISSN: 2548-1398

Vol. 7, No. 11, November 2022

 

MARKETING SOCIAL INNOVATION PRODUCTS WITH IMC

 

Dwinanto Kurniawan, Nafiah Ariani

Sekolah Pascasarjana Universitas Sahid, Indonesia

Email: [email protected]

 

Abstract

Cumin tea is an herbal product with myriad of benefits. This tea is produced in Tinumpuk Village, Indramayu Regency. Community-based organization that produces this tea belongs to the Ikatan Mantan Buruh MigranDesa Tinumpuk (IBU TIN). This study aims to determine the application of integrated marketing communication by CBO IBU TIN, especially in marketing cumin tea. This research uses qualitative approach and case study method. The techniques used to collect data are observation, in-depth interviews, and documentation studies. Data analysis technique used Miles & Huberman interactive analysis, while triangulation of data sources was used to test the validity of the data. The results of the study shows that marketing of cumin tea products by CBO IBU TIN has used several elements in integrated marketing communication, namely advertising, sales promotion, personal selling, public relations, event marketing, and packaging. This finding also shows that CBO IBU TIN does not use digital (interactive) communication in marketing the cumin tea products.

 

Keywords: Integrated Marketing Communication, Migrant Workers, Cumin Tea

 

Introduction

Micro, Small and Medium Enterprises (MSMEs) have an important role for national economic growth (Salim, 2018; Sarfiah, Atmaja, & Verawati, 2019) and the regional economy (Putri, 2020). Based on data released by the Ministry of Cooperatives and SMEs, the number of MSMEs in 2021 (May) has reached 64.2 million with a contribution to GDP of 61.07% (worth 8,573.89 trillion rupiah) (Kemenko Bidang Perekonomian, 2021). This contribution includes the ability to absorb 97% of the total workforce and 60.4% of the total investment.

However, MSMEs in Indonesia also have several weaknesses, such as weaknesses in the fields of management, organization, technology, capital, licensing constraints (administration), capital, limited market access, and non-technical costs in the field that are difficult to avoid (Lestari, 2013). Another obstacle or challenge that many MSMEs in Indonesia face is to innovate, both in product and marketing (Darwanto, 2013; Saputra, Inayati, & Hartikasari, 2021; Surur & Paramita, 2022).

Limited human resources also seem to be experienced by many MSMEs in Indonesia to market their products (Fidela, Pratama, & Nursyamsiah, 2020). In this context, the application of integrated marketing communications can be a strategy for MSMEs to introduce their products to consumers (Munawar, Juningsih, & Maulana, 2016), as well as helping MSMEs in increasing income (Rahmadani, 2020). Meanwhile, from the various types of elements that exist in integrated marketing communications, MSMEs can choose certain elements that are considered the most efficient and effective in marketing their products (Chrismardani, 2014; Munawar et al., 2016; Resmi & Roni, 2015).

In Tinumpuk Village, Indramayu Regency, a group of former Indonesian migrant workers started their business by producing tea extracted from cumin leaves. This group of women, who are members of the community-based organization (CBO) of Ikatan Mantan Buruh Migran Tinumpuk (IBU TIN) use the land in their yard to plant cumin trees. After having sufficient information about cumin leaves and their health benefits, production began in 2019 in the form of teabags.

The cumin tea produced is marketed to the surrounding community by relying on word of mouth marketing. This marketing method has also proven successful, because buyers experience various benefits after consuming cumin tea, such as easier breath or increased fitness. With the trust from the community and the creativity of CBO IBU TIN, the production of this cumin tea still survives. Jinten tea packaging, which previously only used plastic and aluminum foil paper, has now used cardboard packaging with an attractive appearance.

As an herbal product with a myriad of benefits, cumin tea products have the potential to be marketed more broadly. CBO IBU TIN itself has a plan to market cumin tea products more widely after obtaining a distribution permit from BPOM. However, the wider marketing of cumin tea requires the support of an adequate marketing strategy so that it can be accepted by the community. Integrated marketing communications (IMC) can be used to support the marketing of cumin tea. CBO IBU TIN can also use certain elements in the IMC which are considered the most effective and efficient to use.

This study shows the author's interest in the practice of integrated marketing communication carried out by CBO IBU TIN in marketing cumin tea. In addition, CBO IBU TIN is a community-based group (CBO) with collective values within the group. This study was conducted at a time when cumin tea was produced on a limited basis. Researchers are interested in knowing the practice of integrated marketing communication (IMC) in marketing cumin tea during this period. Thus, this study aims to determine the application of IMC in marketing cumin tea products.

Previous research related to this research is Soleh's research (2019) which analyzes the application of IMC by MSMEs throughout Bandung Raya in the ABCGM Synergy Program (Soleh, 2019). In his study, Soleh also analyzed the efforts made in carrying out promotional activities. From this study, the recommendation proposed is the need for the ABCGM Synergy Program to provide further training and learning on Integrated Marketing Communication activities to MSMEs.

Another study was conducted by Sariwaty, Rahmawati, Oktaviani, and Amran (2019). In this study, the implementation of IMC is aimed at increasing sales of creative products in the home interior sector. Before implementing IMC, product marketing efforts were only made from individual consumer orders or from stores (Sariwaty, Rahmawati, Oktaviani, & Amran, 2019). The implementation of IMC can run well after training in making brochures and banners, including the use of online media to market products. In addition, counseling is also provided so that MSME owners can better understand the concept and application of marketing communication.

Inregrated Marketing Communication (IMC)

Terrence A. Shimp (2012) defines Inregrated Marketing Communication as the process of developing and implementing various forms of persuasive communication programs to customers and prospective customers on an ongoing basis using all forms of communication that are relevant and acceptable to customers and potential customers (Shimp, 2007). A similar notion is also explained by Tuckwell (2008), who defines Integrated Marketing Communication (IMC) as a coordination of all forms of marketing communication carried out through an integrated program to maximize the impact on the target audience (Tuckwell, 2007). In practice, efforts to integrate these various communication channels aim to send a clear, consistent, and convincing message to potential customers about the company and its products (P. Kotler & Armstrong, 2010).

American Association of Advertising Agencies emphasizes that IMC as a marketing communication planning concept should focus on comprehensive added value that evaluates the strategic role of various communication elements used, such as advertising, direct promotion, sales promotion, and public relations (Belch & Belch, 2017). Meanwhile, Tuckwell (2007) mentions seven elements that can be used to implement IMC (Tuckwell, 2007): (1) advertising; (2) direct response communications; (3) sales promotion; (4) personal selling; (5) public relations; (6) event marketing and sponsorship; and (7) digital (interactive) communication.

In addition to the IMC elements proposed by the American Association of Advertising Agencies and Tuckwell (2008), Paul R. Smith & Ze Zook (2011) propose two other elements that can be utilized, namely packaging and merchandising (Smith & Zook, 2011). Packaging is a container or product wrapping that functions as a marketing tool and builds a brand identity, while merchandising is a regulatory activity related to layout (arrangements between one product and another) or store display settings (Smith & Zook, 2011)..

 

Method

This research uses a qualitative approach with a case study method. A qualitative approach is a research procedure that produces descriptive data in the form of speech or writing and the behavior of the people being observed (Bogdan & Taylor, 1992). In this study, this behavior is the application of IMC elements by the community-based organization (CBO) of Ikatan Mantan Buruh Migran Tinumpuk (IBU TIN) in an effort to market cumin tea products. In the context of this study, the phenomenon of the application of the elements of IMC is not clearly visible, so an investigation using case studies is needed (Yin, 2009).

Research data collection techniques using observation, in-depth interviews and documentation studies. Observations were carried out in a non-participatory manner, while in-depth interviews were conducted with cumin tea craftsmen who were selected through purposive sampling to suit the research objectives (Bungin, 2011). Documentation is used to strengthen the findings in the field, which are sourced from books, journals, internet data, and related photos and can support the findings in this study.

The research data that has been collected will be analyzed using the Miles & Huberman interactive model. This analysis model consists of stages of data reduction, data presentation, and drawing conclusions (Miles & Huberman, 2014). The technique used to test the validity of the data is source triangulation, which is done by checking the data that has been obtained from various sources.

 

Result and Discussion

1. Based on the research findings, there are six elements of IMC that are practiced by CBO IBU TIN in order to market cumin tea products, as can also be seen in Figure 1.

 

Figure 1.

Application of IMC Elements in Marketing Cumin Tea

 

1.   Advertising

The advertising element has not been used optimally by CBO IBU TIN in marketing cumin tea products. The use is only limited to x-banner print media as product information media, not yet using other media (posters, brochures, electronic media, and other media). This is due to the limitation of raw materials so that cumin tea products cannot be produced in large quantities. Mutiah Suparta, as Chair of the CBO IBU TIN also conveyed the consideration of waiting for a distribution permit from BPOM, “If the distribution permit from BPOM has been issued, we plan to produce it in large quantities. So, for now, don't let the costs for promotion be greater than the production costs, we'll be in trouble later.”

 

Figure 2.

X-Banner Display of Cumin Tea Products

 

2.   Sales Promotion

Sales promotion activities in marketing cumin tea are only carried out through word of mouth communication. From the surrounding community, who were given the opportunity to try cumin tea for free, all claimed to feel the benefits, such as breathing relief or increased fitness. These positive testimonials have an impact on product repurchase from the surrounding community. Mutiah Suparta stated that in 1 month the average sales of cumin tea products can reach 50 packs (1 pack contains 25 tea bags).

3.   Personal Selling

IBU TIN's CBO personal selling activity was carried out at the I-MASARO (Indramayu-Zero Waste Management) secretariat. MASARO is a corporate social responsibility program implemented by PT Polytama Propindo and launched on January 25, 2017. Together with CBO IBU TIN, waste management was built to process waste into various processed products with economic value and environmentally friendly (Republika Online, 2018). At the I-MASARO secretariat, more personal sales are made. Potential consumers can interact with sellers and obtain more adequate information about the health benefits of cumin tea compared to other similar products. Personal selling is also done during the exhibition, which is generally done through interpersonal communication.

 

Figure 3.

Consumen Trying and Buying Cumin Tea Products at the I-MASARO Secretariat

 

4.   Public Relations (Community Relations)

Activities to build community relations (public relations) are carried out by building synergistic cooperation with PT. Polytama Propindo. This well-established relationship is also more aimed at empowering the CBO IBU TIN, especially in mentoring activities, such as disseminating information to develop cumin tea in various ways from preparing to the production stage, providing assistance in obtaining SP-PIRT licensing, and providing opportunities to CBO IBU TIN at several exhibitions as a means to market cumin tea more broadly to the public. The SP-PIRT license is used as a guarantee that the cumin tea product developed by CBO IBU TIN is appropriate and passes food safety requirements. This synergistic relationship gives CBO IBU TIN many benefits, especially in terms of developing cumin tea products, from assistance (preparation and production) to licensing assistance.

 

Figure 4.

Preparation for taking care of the SP-PIRT Licensing (Assistance by PT. Polytama Propindo)

 

5.   Event Marketing dan Sponsorship

The IMC element applied by CBO IBU TIN is only for event marketing, while sponsorship has not been carried out. In addition, the sponsorship element seems inappropriate if it is carried out by CBO IBU TIN, which incidentally is an empowerment-based MSME. Cumin tea products for the first time had the opportunity to fill the product booth at the inauguration of the Timorensis Deer Breeding at Taman Keanekaragaman Hayati (KEHATI) Indramayu in August 2021. Another event was the implementation of World Clean Up Day 2021 which was held in September 2021. Apart from these two exhibitions, there was no other exhibition that was participated by CBO IBU TIN. However, the participation of CBO IBU TIN in the exhibition shows that their cumin tea products are ready to be marketed to the wider community.

 

Figure 5.

The Regent of Indramayu Visits the Jinten Tea Product Booth at the Inauguration of the Timorensis Deer Breeding at Taman Keanekaragaman Hayati (KEHATI) Indramayu

 

6.   Packaging

The packaging of cumin tea products is also part of the implementation of IMC elements, from which previously only made of plastic and aluminum foil paper to finally be packaged in good packaging. The good packaging of this cumin tea product can add value and become a medium for carrying messages to the public. We can't imagine what if this product is distributed in plastic packaging and aluminum foil.

 

Figure 6.

Cumin Tea Product Packaging

 

 

Discussion

Although there are some elements whose utilization is still low, such as advertising and packaging elements, the limitations of their application need to be seen in the context of CBO IBU TIN which can be categorized as MSMEs. In addition to limited human resources, limited capital is also a separate obstacle. Permadi's research (2022) explains how MSMEs prefer to promote through social media because they are cheap (Permadi, 2022). The selection of the x-banner promotional media, which was done by CBO IBU TIN when participating in the exhibition, could be said to be the right one. Although banners have disadvantages such as low excitability and limited information displayed, banners also have advantages with a large reach and low production cost (Kennedy & Soemanagara, 2006).

The visual appearance of the x-banner is also in harmony with the appearance on the cumin tea product packaging, especially from the aspect of color selection which is a combination of white and green (see Figure 2). This means that CBO IBU TIN has realized the importance of visual elements in cumin tea packaging. Sari (2013) states that the visual element of packaging is a communication strategy that should be used by the small industrial sector to display a form of product imagery and face intense competition (Sari, 2013).

The packaging of cumin tea products that have looked attractive is also supported by an understanding of the health benefits of cumin tea. Understanding of the product can facilitate the process of personal selling. In the context of herbal products such as cumin tea, potential buyers who have never used the product generally want to know first the health benefits of cumin tea. This understanding is in line with the opinion of Alma (2009) which states that the seller should already know enough about the product to be sold, because potential consumers are not happy with the seller who cannot answer the questions that are being asked regarding the products offered (Alma, 2009).

CBO IBU TIN also succeeded in using word of mouth as a sales promotion. This form of communication is very effective for MSMEs or community-based organization such as CBO IBU TIN, where buyers can feel a more personal relationship (P. T. Kotler & Keller, 2011). This form of communication can also be said to be very suitable for the characteristics of MSMEs or businesses with limited capital capacity because they are cheap and can increase sales (Diahnisa & Kusumastuti, 2017; Hildayanti & Satriyani, 2022).

The integrated marketing communication element that is also practiced by CBO IBU TIN is building relationships with stakeholders outside the community, one of which is with PT. Polytama Propindo by becoming a target group. This relationship is important because it is mutualism. This strengthening of stakeholder relations in turn can help CBO IBU TIN open a wider network (Halim, Wahyudi, & Yogatamaa, 2020).

The expanded network was felt by CBO IBU TIN when it was able to participate in the World Clean Up Day 2021 exhibition (September 2021) and the inauguration of the Timorensis Deer Captivity at Taman Keanekaragaman Hayati (KEHATI) Indramayu (August 2021). For community-based organization such as CBO IBU TIN, exhibitions have an important role in introducing social innovation products such as tea jinten, as well as being an opportunity to increase networks, increase image and visibility, and to learn from buyers directly (Susanti, Rachmaniar, & Koswara, 2021; Yahya & Lubis, 2017).

From the IMC elements that have been used by CBO IBU TIN, it seems that there is one (1) element that has not been utilized to market cumin tea products. Tuckwell (2007) calls it digital (interactive) communication, while Smith & Zook (2011) calls it a website and social media. The importance of using this element in helping to market MSME products is also widely mentioned in research (Ali Abbasi, Abdul Rahim, Wu, Iranmanesh, & Keong, 2022; Kolbe, Calderón, & Frasquet, 2021; Sinha & Fukey, 2021; Suryono, Rahayu, Astuti, & Widarwati, 2020). In Febriyantoro & Arisandi's research (2018), it is stated how digital marketing can make it easier for MSMEs to convey information and interact directly with consumers, expand market share, increase awareness, and increase sales (Febriyantoro & Arisandi, 2018).

It must be admitted that the application of digital marketing or digital (interactive) communication for MSMEs or social-based groups such as CBO IBU TIN is not easy. This statement is also in line with the results of research by Soleh (2019) and Sariwaty et al. (2019). Both studies emphasize the need for efforts to provide further training and learning to MSMEs regarding the use of online media to support marketing activities.

 

Conclusion

The marketing activities of cumin tea products by CBO IBU TIN have used several elements in integrated marketing communication (IMC), namely elements of advertising, sales promotion, personal selling, public relations, event marketing, and packaging. However, there is still one element of IMC that has not been used by CBO IBU TIN in marketing its products, namely digital marketing. The existence of this deficiency leads to research suggestions regarding the need to find the right formulation in implementing digital marketing for community-based MSME actors such as CBO IBU TIN. This formulation is then outlined in various training and mentoring programs whether carried out by the government, educational institutions (especially universities), private institutions, or even the business community. Through these mentoring and training activities, the use of digital marketing elements by MSMEs can be maximized and have a real impact on the progress of MSMEs.

 


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Dwinanto Kurniawan , Nafiah Ariani  (2022)

 

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