UNDERSTANDING THE FACTORS THAT ARE AFFECTING VIRAL MARKETING AND CUSTOMER PURCHASE INTENTION FOR SME TIKTOK VIDEO IN INDONESIA

• Main Author: Jason Kurnia, Jeremy
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/58029
• Institution: Institut Teknologi Bandung

TikTok is known for its capability of making video content viral within a short period of time. Businesses in Indonesia have been trying to integrate TikTok into their digital marketing strategy. However, most of them are still struggling to use it effectively, especially SMEs in small cities all around Indonesia. There are wasted opportunity if SMEs do not integrate TikTok in their marketing strategy. Thus, this study is conducted to discuss the factors that are affecting viral TikTok contents and how it will affect the customer purchase intention towards a product or service of an SME. This research uses mixed-method approach in order to broaden the factors affecting viral TikTok content. The qualitative approach is done with an in-depth interview to obtain additional variables that will be analyzed using manual coding. Moreover, the data will be validated with the triangulation data source method using netnography observation and literature reviews. The quantitative approach will then be used to further understand the relationship between the variables. The data collection method being used is online survey through Google form questionnaires. This study analyzes 211 respondents with criteria that have been determined by the author. For the analysis, Descriptive Analysis and Partial Least Squares - Structural Equation Modeling (PLS-SEM) will be used. From the result of this study, it could be concluded that the factors that have a positive significant influence on Engagement Rate (EG) of TikTok contents are Information Seeking (IS), Status (ST), Relatability (RE), and Curiosity (CU). Also, viral marketing and high engagement rate TikTok content will surely influence the Customer Purchase Intention (CPI) positively, with the moderating effect from Product Compatibility (PC) and Sales Promotion (SP). Therefore, SMEs could use the result of this study to make more effective TikTok contents for attracting more customers to buy their products/services.