How to cite:

I Kadek Yudha Cahaya Pekasa, I Gede Sanica. (2021) E-Commerce Business

Strategy Creative Clothing Industry In Kuta Region In The New Normal Era.

Journal Eduvest. 1(9): 885-891

E-ISSN:

2775-3727

Published by:

https://greenpublisher.co.id/

Eduvest – Journal of Universal Studies

Volume 1 Number 9, September 2021

p- ISSN 2775-3735 e-ISSN 2775-3727

E-COMMERCE BUSINESS STRATEGY CREATIVE CLOTHING

INDUSTRY IN KUTA REGION IN THE NEW NORMAL ERA

I Kadek Yudha Cahaya Pekasa, I Gede Sanica

National Education University

E-mail: [email protected], gede¬[email protected]

ARTICLE INFO ABSTRACT

Received:

August, 26

2021

Revised:

September, 9

2021

Approved:

September, 11

2021

The purpose of this study is to determine Huck's business

strategy in the marketplace to face the new normal era in

preparing and implementing the strategy. The type of data

used in this study is data collection through interviews and

observation. The data That have been collected analyzed

using an triangulation model data analysis. The results of

data analysis obtained by Huck's business strategy to build an

online store in the marketplace using an e-marketing strategy

which is divided into product and service, price, placement

and distribution, promotion, and people. The purpose of using

this strategy is to find out the accuracy in choosing strategies

in online marketplace stores and get sales targets through

online stores in the midst of the Covid-19 pandemic. The

strategy that has been implemented for a year has resulted in

100 total product sales and received the star seller title in

marketplace also getting chat performance of 44%.

KEYWORDS

E-Marketing Strategy, Marketplace, New Normal Era

This work is licensed under a Creative Commons

Attribution-ShareAlike 4.0 International

INTRODUCTION

Currently the development of technology around the world is very rapid,

supported by a very supportive internet network, as well as with the development

of industry 4.0 where all companies are expected to take advantage of

digitalization. The development of digital business in Indonesia is growing very

I Kadek Yudha Cahaya Pekasa, I Gede Sanica

E-Commerce Business Strategy Creative Clothing Industry In Kuta Region In The New

Normal Era 886

rapidly. The development also affects companies vying to build an online-based

business as a medium used to sell products as well as a promotional medium.

In the midst of the current Covid-19 pandemic, all companies are required to

further develop business strategies, coupled with social restrictions that are

generally carried out throughout Indonesia, making companies that rely on offline

sales can no longer run sales business through one side only. but companies can

also switch to online-based sales. The use of the Internet in carrying out business

processes known as e-commerce is a new concept that is usually described as the

process of buying and selling goods or services on the World Wide Web Internet

or the process of buying and selling or exchanging products, services, and

information through information networks including the Internet. Electronic

commerce, also known as e-commerce, is the use of communication networks and

computers to carry out business processes.

In today's business world, websites are one of the important needs for every

company that aims to make it easier for consumers to know the products sold and

can be used as a medium to transact through the website without the need to visit

the store again. To select and purchase products from the company. In addition to

providing convenience in choosing and buying products from the company, the

website can be accessed whenever consumers want for 24 hours which makes

consumers free to choose the desired product.

The creative industry in kuta area previously only used the store as a

medium to sell the products it produces, now the creative industry in kuta area has

done e-commerce business such as personal websites but in the process of creative

industries business in Kuta Area very rarely update product catalogs from

companies. This makes consumers not know the new product from the company.

If the creative industry in kuta area is serious about using websites in order to

increase product sales from the online shop side, it will have an impact on

increasing the sales volume of companies that previously only relied on offline

stores.

In addition to using the website in order to increase online sales, the creative

industries in the Kuta area also use social media such as Instragam and Facebook

as product promotion media and also to make online purchase transactions. The

rapid development of the e-commerce world makes many companies that provide

market place platform services that can be used by the creative industries in the

Kuta area as an online buying and selling media, Tokopedia, Shope, Lazada are

some examples of large markets platform places in Indonesia that on average are

often used by business people to sell products online.

The concept of strategy development aims to know objectively about the

internal condition of the company and be able to overcome external threats and

seize existing opportunities (Fitriadi, 2013). This business strategy is also often

called a functional business strategy because it is oriented towards the functions of

management activities, such as marketing strategy, production strategy,

distribution strategy, organizational strategy and strategies related to finance.

E-commerce is a digital transaction that mostly uses the internet and

websites as a link between organizations and individuals (Laudon & Laudon,

2018). An electronic business is a broader definition of e-commerce that includes

Eduvest – Journal of Universal Studies

Volume 1 Number 9, September 2021

887 http://eduvest.greenvest.co.id

more than just buying and selling goods or services (Wibowo, 2014). E-business

includes customer service, collaboration between business partners and the use of

electronic transactions within an organization.

A marketplace is an information system between organizations where sellers

and buyers can communicate information about prices, products and complete

transactions through electronic communication channels (Marco & Ningrum,

2017). Marketplaces can provide opportunities to do business and conduct

transactions through internet-based platform-based electronic channels. Digital

marketing encourages the creation of demand by using internet media, digital

marketing on the internet does not mean eliminating basic books on marketing

and the basic principles of business but rather developing the basic principles of

marketing (Stokes, 2011). Previous research by Husni Awali & Farida Rohman on

the urgency of using e-marketing for the sustainability of MSMEs in pekalongan

city amid the impact of Covid-19. This research states that the implementation of

e-marketing through marketplaces carried out by MSME entrepreneurs is in

accordance with procedures, starting with registering businesses, posting

products, adding important information, and interacting with consumers. As well

as positively impacting the economic resilience of MSMEs in Pekalongan City in

the conditions of the COVID-19 pandemic by continuing to run health protocols.

Another study by Gunardi, Agus Rahayu & Lili Adi Wibowo on the

analysis of online marketing strategies on the financial performance of fashion

SMEs in the city of Bandung. With COVID-19 forcing SME Fashion to carry out

marketing strategies in the form of online through promotion through Instagram,

Facebook, websites and marketplaces by providing discounts on sales of fashion

products, but many fashion companies in Bandung are switching to producing

personal protective equipment (APD) for hospitals in Bandung throughout

Indonesia to improve financial performance.

Based on the explanation above and supported by previous research, the

conceptual framework in this study which describes the flow of thought in this

study to answer research problems can be shown in the figure:

Figure 1. Conceptual Framework

Source: Author, 2021

Coronavirus Disease 2019 (COVID-19)

Impact On Tourism

Marketplace

E-Marketing Strategy

I Kadek Yudha Cahaya Pekasa, I Gede Sanica

E-Commerce Business Strategy Creative Clothing Industry In Kuta Region In The New

Normal Era 888

RESEARCH METHOD

The research method used by the researcher is a qualitative method or a

descriptive method used to obtain a systematic and accurate description of the facts and

nature of the phenomenon being studied. This research was carried out on scientific

objects where the people in question were authorized and knew clearly about the object of

the research place, which was not manipulated by the researcher and the presence of the

researcher did not affect anything named in the research object (Setiadi, Setuju, Sukardi,

& Sugiyono, 2018).

In this study, to check the validity of the data and prove that what is observed in

the field is actually in accordance with what happened at the research location using

triangulation. Triangulation is a technique of checking the validity of data that utilizes

something other than the data for checking purposes or as a comparison of the data

(Anggriawan & Yudianto, 2018). Where the triangulation used is source triangulation,

this triangulation of sources can allow researchers to re-check and complete the

information obtained. Therefore, in this study the researchers compared the data between

observations and interviews.

RESULT AND DISCUSSION

Huck is a clothing line company in Legian, Kuta which was established on May 25,

2009 with its address at Jl. Legian 464. Huck was founded by 3 people, namely I Wayan

Yoga Adhi Surya, Nyoman Astawa and I Gede Oka Sugandhi, all of whom came from

Legian. Huck sells various kinds of clothing products ranging from shirts, pants, shoes,

shirts, and so on, all of which are produced and designed by themselves, aiming to

maintain product quality. At the beginning of the company formed sales Huck entrust

products produced to other stores to introduce the brand to consumers.

In 2010 Huck started to open its first store in the Legian area, the development of

the cloting line that year was very large, coupled with the Huck name being increasingly

recognized and many new cloting lines popping up, Huck reopened their stores in other

areas. In 2012 reopened a store in the Kediri Tabanan area, in 2018 opened a store in the

Surabaya area, East Java and finally in 2019 opened a shop in the Kuta area.

In 2020, precisely in March, it was something that was never expected by all

companies in the Legian, Kuta and Seminyak areas in particular and Bali in general, at

which time the Bali Government issued an appeal regarding the implementation of PPKM

(imposition of restrictions on community activities) in the area. Bali which resulted in

almost all shops closing. Since the implementation of PPKM in Bali, tourism in Bali has

experienced a very significant decline in tourist arrivals, which has a huge impact on the

economy in the area. The same thing was also expressed by Mr. Nyoman Astawa as one

of the owners of Huck.

Huck as one of the fashion industries that really felt the impact of the appeal about

PPKM which also resulted in a decrease in the number of foreign and local tourists,

looking for ways to anticipate the decline in sales that occurred in the midst of the Covid-

19 pandemic, Huck tried to find opportunities to sell products in the marketplace since

last month. June 2020.

1. “Our shop has been closed since March last year due to the PPKM appeal from

the government as a result of the Covid-19 pandemic, but in the middle of the

year we reopened the shop for approximately 2 months but there was no increase

in sales, after that we closed again. ” (Interview with Mr. Nyoman Asatawa

(Owner of Huck), 20 May 2021).

Eduvest – Journal of Universal Studies

Volume 1 Number 9, September 2021

889 http://eduvest.greenvest.co.id

2. “We have been trying to sell our products online through the marketplace since

June last year and currently we are focusing on Shopee only.” (Interview with

Mr. Nyoman Asatawa (Owner of Huck), 20 May 2021)

The next strategy used by Huck so that products sold in online stores can be seen

among other stores that sell fashion products is to provide information to consumers who

already know Huck products and have also purchased Huck products to make online

purchases accompanied by promos attractive promotions.

In addition to the strategies that have been carried out, there are things that need to

be considered in increasing consumer confidence in Huck's online store (Charlebois,

Schwab, Henn, & Huck, 2016), including reviews from buyers, getting star seller titles at

online stores and factors from online store admins in responding to questions from

consumers who will buy or ask about product availability from Huck (Gabay, 2015). Fast

chat responses will affect chat performance on the online store's homepage, where

currently Huck's online store has a chat performance of 44%.

1. “The initial strategy that we consider to make our consumers believe in buying

our products is a photo of our product, we make it as attractive as possible,

make a description of the products we sell, add a size chart to each of our

products, look for delivery services closest to the company area us, and doing

promotions through social media that we already have.” (Interview with Mr.

Nyoman Asatawa (Owner of Huck), 20 May 2021)

2. "In addition to the strategies that we have carried out, helping consumers who

have purchased our products is also quite helpful for our online store, where

consumers who have purchased our products will definitely do a review after

the goods are received by giving stars and comments on our products, and We

really try to reply to questions from consumers as quickly as possible in order

to get high chat performance. So far, we've only had chat performance of

44%." (Interview with Mr. Nyoman Asatawa (Owner of Huck), 20 May 2021)

Marketplace is a place to sell products online. A marketplace is a place where

sellers and buyers meet to transact with each other, be it goods or services (Soska &

Christin, 2015). Transactions that occur in the marketplace are managed directly by the

marketplace management. Marketplace provides payment management, sales catalog,

product stock and information about buyers and sellers that have been verified by

management (Zimmerman et al., 2012). In addition, the price that has been set on the

marketplace has been still means there is no bargaining. The buyer will place an order

through the marketplace, then the marketplace will forward it to the seller and the seller

will send the ordered product to the buyer (Hutchings & Holt, 2015). So, the marketplace

is only a place for transactions between sellers and buyers.

a) Product and service is what products are sold, it is best to include a description of the

product. This has been implemented by Huck where the products sold in the photo

are attractive and include a description of the product.

b) Price in using the marketplace, customers can access price information from a

number of suppliers relatively easily. With price differentiation, especially for small

players in the market, being a challenge, businesses need to consider value

differentiation. To attract consumers Huck provides attractive prices accompanied by

discounts offered on certain days.

c) Placement or distribution, especially for digital products and services, the internet

provides an opportunity for the company's products to access global markets.

Distribution of products and markets no longer has to be determined by location.

With efficient delivery and delivery channels, non-digital products can also benefit

from a much wider market. Delivery services are also a matter of concern for Huck to

I Kadek Yudha Cahaya Pekasa, I Gede Sanica

E-Commerce Business Strategy Creative Clothing Industry In Kuta Region In The New

Normal Era 890

provide consumer convenience, and getting a star seller is something that supports

consumers' decisions to buy products.

d) Promotion in online promotion can be tracked, measured and targeted in a much more

sophisticated way. Advertising, personal selling, promotion-based marketing and

public relations can all be done through online media. Promotion from social media is

the choice taken by Huck because the number of followers on Instagram is quite high

in addition to providing information to Huck customers who already know Huck's

products to shop at online stores.

e) The internet asks for new P considerations, namely people. This last element is used

to conduct surveillance and in charge of running digitally connected online media that

can help maintain brand image. This has also been prepared by Huck where admins

from online stores try to reply to questions as quickly as possible from consumers in

order to increase the value of chat performance, where currently Huck's chat

performance on online stores is 44%.

From the explanation above, it can be seen that Huck has implemented all e-

marketing strategies where the e-marketing strategy is divided into product and service,

price, placement or distribution, promotion, and people (Chaffey, Edmundson-Bird, &

Hemphill, 2019). The current strategy has had a positive impact but still needs to be

developed where the strategy used so far has only been able to generate 100 sales at

online stores. With this number of sales clearly still far from Huck's sales target, it is very

important to develop further from the strategy that has been implemented (Ferrell &

Hartline, 2013).

This advantage is greatly utilized by Huck to sell products using the marketplace,

where several important things are already available in the marketplace including places

to sell, payment management, sales catalogs, product stock and information about

verified buyers and sellers, so Huck just needs to fill in the following: anything needed to

open a store and provide any information about the products being sold such as prices and

product specifications on the marketplace more easily.

The right strategy will produce positive results, digital marketing encourages the

creation of demand by using internet media without eliminating the basics of marketing

but further developing it. In e-marketing, it is stated that there are new 4p+1p applied in

electronic marketing, namely: product and service, price, placement or distribution,

promotion, and people (Al-Weshah, 2020).

From the explanation above, it can be seen that Huck has implemented all e-

marketing strategies where the e-marketing strategy is divided into product and service,

price, placement or distribution, promotion, and people. The current strategy has had a

positive impact but still needs to be developed where the strategy used so far has only

been able to generate 100 sales at online stores. With this number of sales clearly still far

from Huck's sales target, it is very important to develop further from the strategy that has

been implemented.

CONCLUSSION

Based on the results of interview and observation data analysis, the following

conclusions can be drawn. Huck is one of the companies that has had a major impact on

the decline in the number of foreign and local tourist arrivals caused by the Covid-19

pandemic. In order to maintain the company, Huck tries to sell products through online

stores in the marketplace which is expected to help the company to get sales. The planned

strategies that have been implemented include: offering attractive products, including

product descriptions, promotions, and optimal services. This strategy that has been

running for 1 year has had a positive impact on Huck's online store, where currently Huck

Eduvest – Journal of Universal Studies

Volume 1 Number 9, September 2021

889 http://eduvest.greenvest.co.id

has

891 http://eduvest.greenvest.co.id

earned the title star seller and has 44% chat performance.

Suggestions that can be given for further research, in this study explain how Huck's

business strategy in facing competition in the marketplace coupled with the Covid-19

pandemic conditions. This research is in accordance with what is expected by researchers

where the strategy used can help the company reach the target. The author knows there

are still some shortcomings in this study, for further research can focus on external factors

of the company. The next research can also evaluate more deeply about the business

strategy of Huck.

REFERENCES

Al-Weshah, Ghazi. (2020). E-marketing practices from Jordanian tourism agencies perspectives: a

qualitative evidence. In Destination Management and Marketing: Breakthroughs in

Research and Practice (pp. 1170–1187). Amerika: IGI Global.

Anggriawan, Fakhri Triasa, & Yudianto, Ivan. (2018). Factors Affecting Information Quality of

Local Government Financial Statement. Journal of Accounting Auditing and Business, 1(1),

30–42.

Chaffey, Dave, Edmundson-Bird, David, & Hemphill, Tanya. (2019). Digital business and e-

commerce management. London: Pearson UK.

Charlebois, Sylvain, Schwab, Anita, Henn, Raphael, & Huck, Christian W. (2016). Food fraud: An

exploratory study for measuring consumer perception towards mislabeled food products and

influence on self-authentication intentions. Trends in Food Science & Technology, 50, 211–

218.

Ferrell, Odies C., & Hartline, Michael. (2013). Marketing strategy, text and cases. Amerika:

Cengage Learning.

Fitriadi, Barkah. (2013). Strategi Bersaing: Suatu Kajian Perumusan Strategi Pemasaran Guna

Meraih Keunggulan Kompetitif (Studi Pada PT. Ongkowidjojo, Malang). Jurnal

Administrasi Bisnis, 5(1).

Gabay, Jonathan. (2015). Brand psychology: consumer perceptions, corporate reputations. New

York: Kogan Page Publishers.

Hutchings, Alice, & Holt, Thomas J. (2015). A crime script analysis of the online stolen data

market. British Journal of Criminology, 55(3), 596–614.

Laudon, Kenneth C., & Laudon, Jane P. (2018). Management Information Systems: Managing The

Digital Firm. Language, 647, 27cm.

Marco, Robert, & Ningrum, Bernadheta Tyas Puspa. (2017). Analisis Sistem Informasi E-

Marketplace Pada Usaha Kecil Menengah (UKM) Kerajinan Bambu Dusun Brajan. Data

Manajemen Dan Teknologi Informasi (DASI), 18(2), 48–53.

Setiadi, B. R., Setuju, S., Sukardi, T., & Sugiyono, S. (2018). Efficiency of material consumption

in sustainable conventional machining practices. IOP Conference Series: Materials Science

and Engineering, 434(1), 12175. Jakarta: IOP Publishing.

Soska, Kyle, & Christin, Nicolas. (2015). Measuring the longitudinal evolution of the online

anonymous marketplace ecosystem. 24th {USENIX} Security Symposium ({USENIX}

Security 15), 33–48.

Stokes, Rob. (2011). eMarketing: The essential guide to digital marketing (Vol. 563). China:

Quirk eMarketing.

Wibowo, Edwin Agung. (2014). Pemanfaatan Teknologi E-Commerce Dalam Proses Bisnis.

Equilibiria, 1(1).

Zimmerman, Lance C., Schroeder, Ted C., Dhuyvetter, Kevin C., Olson, K. C., Stokka, Gerald L.,

Seeger, Jon T., & Grotelueschen, Dale M. (2012). The effect of value-added management on

calf prices at superior livestock auction video markets. Journal of Agricultural and Resource

Economics, 128–143.