Sunaman Boangmanalu
Telkom University, Indonesia

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The effect of marketing mix on purchasing decisions modified with variables of education level and monthly allowance (Study on By.U products) Sunaman Boangmanalu; Indrawati Indrawati
Journal of Digital Business and Marketing Vol. 1 No. 1 (2025): February
Publisher : Goodwood Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35912/jdbm.v1i1.3312

Abstract

Purpose: This study examines how Telkomsel’s by.U product influences the purchasing decisions of the youth segment in Central Jakarta through the 7Ps marketing mix (product, price, place, promotion, people, process, and physical evidence). Education level and monthly allowance were included as moderating variables. Research Methodology: A quantitative approach was applied, and primary data were collected through questionnaires from 348 respondents. Data analysis employed Partial Least Squares Structural Equation Modeling (PLS-SEM) using SmartPLS 4.0, including validity, reliability, path coefficients, and multi-group analysis for moderation effects. Results: Four elements—price, promotion, people, and process—showed positive and significant effects on the purchase intention. Education level (senior high school) and monthly allowance (low allowance) significantly moderated the relationship between purchase intention and purchase decisions. Promotion had the strongest influence, highlighting the role of attractive offers and relevant promotional content. Internet service quality has emerged as a critical factor in youth preferences for video, music, and gaming services. Conclusions: To expand by.U’s market share, Telkomsel should focus on competitive pricing, appealing promotional strategies, enhancing service processes, and maintaining high Internet quality. Targeted marketing should consider the education level and spending capacity for optimal impact. Limitations: This study is limited to the youth market of Central Jakarta, reducing its generalizability. Only the education level and monthly allowance were tested as moderators. Contribution: This study provides empirical evidence of the effectiveness of the 7Ps marketing mix for digital-native telecommunications products.