SOCIAL MEDIA, ISLAMIC FINANCIAL LITERACY, AND ISLAMIC BANKING PRODUCT OWNERSHIP: A MODERATING MODEL

Lutfi Lutfi, Vita Prihatiningrum

Abstract


The role of social media and Islamic financial literacy is critical in influencing the consumer to have Islamic financial products. However,  no studies on this topic have been conducted in Indonesia. The use of social media by a millennial is snowballing. This study examines the impact of social media, represented by the attractiveness of influencers and social media engagement, on the intention to own Sharia banking investment products among the millennial generation. This study also examines the role of Islamic financial literacy and income as independent and moderating variables. Data is collected using purposive sampling, followed by convenience sampling through a Google form questionnaire distributed to the social media users of Gen Z in the Surabaya agglomeration area. This study used 216 questionnaires and analyzed them using Partial Least Square - Structural Equation Model (PLS-SEM). The results show that influencer attractiveness, social media engagement, and Sharia financial literacy positively influence millennials' ownership intention of Islamic banking investment products. Islamic financial literacy weakens influencer attractiveness's impact on the ownership intention of Islamic banking investment products, while income does not moderate the relationship. Furthermore, social media engagement is most significant in determining product ownership intentions. The practical implication of the findings suggests the importance of Islamic banks to encourage more engagement of their social media users by providing useful information about bank products. This research provides a theoretical contribution to the theory of consumer behavior and social media that using social media is one of the most effective ways of influencing consumer purchasing decisions.

Keywords


Social media; Islamic Bank Products ownership; Islamic Financial Literacy; Moderating Model

Full Text:

PDF

References


Abidin, C. (2016). Visibility labour: Engaging with Influencers' fashion brands and# OOTD advertorial campaigns on Instagram. Media International Australia, 161(1), 86-100. https://doi.org/10.1177/1329878X16665177

Ahmad, M. & Shah, S. Z. A. (2020). Overconfidence heuristic-driven bias in investment decision-making and performance: mediating effects of risk perception and moderating effects of financial literacy. Journal of Economic and Administrative Sciences, 38(1), 60-90. https://doi.org/10.1108/jeas-07-2020-0116

Ajina, A. S. (2019). The Role of Social Media Engagement in Influencing Customer Loyalty in Saudi Banking Industry. International Review of Management and Marketing, 9(3), 87–92. https://doi.org/10.32479/irmm.8060

Alaaraj, H. & Bakri, A. (2020). The Effect of Financial Literacy on Investment Decision Making in Southern Lebanon. International Business and Accounting Research Journal, 4(1), 37–43. http://dx.doi.org/10.35474/ibarj.v4i1.133

Albaity, M. & Rahman, M. (2019). The intention to use Islamic banking: an exploratory study to measure Islamic financial literacy. International Journal of Emerging Markets, 14(5), 988–1012. https://doi.org/10.1108/IJOEM-05-2018-0218

Agnihotri, R. (2020). Social media, customer engagement, and sales organizations: A research agenda. Industrial Marketing Management, 90, 291-299. https://doi.org/10.1016/j.indmarman.2020.07.017

Amari, M., Salhi, B., & Jarboui, A. (2020). Evaluating the effects of sociodemographic characteristics and financial education on saving behavior. International Journal of Sociology and Social Policy, 40(11/12), 1423-1438. https://doi.org/10.1108/IJSSP-03-2020-0048

Asebedo, S. D., Wilmarth, M. J., Seay, M. C., Archuleta, K., Brase, G. L., & MacDonald, M. (2019). Personality and saving behavior among older adults. Journal of Consumer Affairs, 53(2), 488-519. https://doi.org/10.1111/joca.12199

Belanche, D., Casaló, L. V., Flavián, M., & Ibáñez-Sánchez, S. (2021). Understanding influencer marketing: The role of congruence between influencers, products and consumers. Journal of Business Research, 132, 186-195. https://doi.org/10.1016/j.jbusres.2021.03.067

Copur, Z. & Gutter, M. S. (2019). Economic, sociological, and psychological factors of the saving behavior: Turkey case. Journal of Family and Economic Issues, 40(2), 305-322. https://doi.org/10.1007/s10834-018-09606-y

BPS (2021). Hasil Sensus Penduduk 2020. Jakarta: Badan Pusat Statitik

Campbell, C. & Rapp, J. (2020). ScienceDirect More than meets the eye : The functional components underlying influencer marketing. Business Horizons, 63(4), 469-479. https://doi.org/10.1016/j.bushor.2020.03.003

Chopra, A., Avhad, V., & Jaju, A. S. (2021). Influencer marketing: An exploratory study to identify antecedents of consumer behavior of millennial. Business Perspectives and Research, 9(1), 77-91. https://doi.org/10.1177/2278533720923486

Chou, C. C., Block, L., & Jesness, R. (2012). A Case Study of Mobile Learning Pilot Project in K-12 Schools. Journal of Educational Technology Development & Exchange, 5(2), 11-26. 10.18785/jetde.0502.02

Creevey, D., Kidney, E., & Mehta, G. (2019). From dreaming to believing: a review of consumer engagement behaviours with brands' social media content across the holiday travel process. Journal of Travel & Tourism Marketing, 36(6), 679-691. https://doi.org/10.1080/10548408.2019.1624242

Darzi, M. A., & Bhat, S. A. (2018). Personnel capability and customer satisfaction as predictors of customer retention in the banking sector: A mediated-moderation study. The International Journal of Bank Marketing, 36(4), 663-679. https://doi.org/10.1108/IJBM-04-2017-0074

Dean, D., Suhartanto, D., & Pujianti, F. N. (2021). Millennial Behavioural Intention in Islamic Banks: The Role of Social Media Influencers. Journal of Islamic Marketing, 12(7), 1241-1259. https://doi.org/https://doi.org/10.1108/JIMA-02-2021-0042

De Costa, M. F. S., & Abd Aziz, N. (2019). Does brand attitude affect the financial decision-making behaviour of Malaysian millennials in purchasing Shariah-compliant stocks? International Journal of Accounting, Finance and Business, 4(19), 98–107.

de Oliveira Santini, F., Ladeira, W. J., Pinto, D. C., Herter, M. M., Sampaio, C. H., & Babin, B. J. (2020). Customer engagement in social media: a framework and meta-analysis. Journal of the Academy of Marketing Science, 48(6), 1211-1228. https://doi.org/10.1007/s11747-020-00731-5

De Veirman, M., Cauberghe, V., & Hudders, L. (2017). Marketing through Instagram influencers: the impact of number of followers and product divergence on brand attitude. International Journal of Advertising, 36(5), 798-828. https://doi.org/10.1080/02650487.2017.1348035

Dhar, J. & Jha, A. K. (2014). Analyzing social media engagement and its effect on online product purchase decision behavior. Journal of Human Behavior in the Social Environment, 24(7), 791-798. https://doi.org/10.1080/10911359.2013.876376

Hair Jr, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2021). A primer on partial least squares structural equation modeling (PLS-SEM). Sage publications.

Haro-de-Rosario, A., Sáez-Martín, A., & del Carmen Caba-Pérez, M. (2018). Using social media to enhance citizen engagement with local government: Twitter or Facebook?. New Media & Society, 20(1), 29-49. https://doi.org/10.1177/1461444816645652

Hollebeek, L. (2011). Exploring customer brand engagement : definition and themes. Journal of Strategic Marketing, 19(7), 555-573, 37–41. https://doi.org/10.1080/0965254X.2011.599493

Husna, N. A. I. & Lutfi, L. (2022). Perilaku Pengelolaan Keuangan Keluarga: Peran Moderasi Pendapatan. Jurnal Samudra Ekonomi Dan Bisnis, 13(1), 15-27. https://doi.org/10.33059/jseb.v13i1.3349

Jiménez-Castillo, D., & Sánchez-Fernández, R. (2019). The role of digital influencers in brand recommendation: Examining their impact on engagement, expected value and purchase intention. International Journal of Information Management, 49(February), 366–376. https://doi.org/10.1016/j.ijinfomgt.2019.07.009

Krishna Kishore, S. V., Kiran, P., Banerjee, J., & Vasudevan, M. (2022). Moderation of income and age on customer purchase intention of green cosmetics in Bangalore. In Achieving $5 Trillion Economy of India (pp. 187-213). Springer, Singapore.

Kustodian Sentral Efek Indonesia. (2021). Statistik Pasar Modal Indonesia Februari 2021. 1–6. https://www.ksei.co.id/files/Statistik_Publik_Januari_2021.pdf

Lee, J. Y., Fang, E., Kim, J. J., Li, X., & Palmatier, R. W. (2018). The effect of online shopping platform strategies on search, display, and membership revenues. Journal of Retailing, 94(3), 247-264. https://doi.org/10.1016/j.jretai.2018.06.002

Li, M. W., Teng, H. Y., & Chen, C. Y. (2020). Unlocking the customer engagement-brand loyalty relationship in tourism social media: The roles of brand attachment and customer trust. Journal of Hospitality and Tourism Management, 44, 184-192. https://doi.org/10.1016/j.jhtm.2020.06.015

Luntungan, I., Hubeis, A. V. S., Sunarti, E., & Maulana, A. (2014). Strategi pengelolaan generasi Y di industri perbankan. Jurnal Manajemen Teknologi, 13(2), 219-240. http://dx.doi.org/10.12695/jmt.2014.13.2.7

Lusardi, A. & Mitchell, O. S. (2014). The economic importance of financial literacy: Theory and evidence. Journal of Economic Literature, 52(1), 5-44. https://doi.org/10.1257/jel.52.1.5

Mahmoud, M. A., Hinson, R. E., & Adika, M. K. (2018). The effect of trust, commitment, and conflict handling on customer retention: the mediating role of customer satisfaction. Journal of Relationship Marketing, 17(4), 257-276. https://doi.org/10.1080/15332667.2018.1440146

Marzuki, M. & Nurdin, N. (2020). The influence of halal product expectation, social environment, and fiqih knowledge on intention to use Shariah financial technology products. International Journal of Innovation, Creativity and Change, 13(1), 171-193.

McClure, C., & Seock, Y. K. (2020). The role of involvement: Investigating the effect of brand's social media pages on consumer purchase intention. Journal of Retailing and Consumer Services, 53, 101975. https://doi.org/10.1016/j.jretconser.2019.101975

McDermott, K. (2017). Future trends in consumer behavior. Saatavissa: https://www. acapture. com/wpcontent/uploads/2017/03/Future-trends-in-consumer-behavior. pdf. Viitattu, 27, 2017.

Mothersbaugh, D. L., Hawkins, D. I., Kleiser, S. B., Mothersbaugh, L. L., & Watson, C. F. (2020). Consumer behavior: Building marketing strategy. New York, NY, USA: McGraw-Hill Education.

Muangmee, C., Kot, S., Meekaewkunchorn, N., Kassakorn, N., & Khalid, B. (2021). Factors determining the behavioral intention of using food delivery apps during COVID-19 pandemics. Journal of Theoretical and Applied Electronic Commerce Research, 16(5), 1297-1310. https://doi.org/10.3390/jtaer16050073

Nurmalasari, A. & Wijaya, N. H. S. (2022). Consumer Satisfaction, Consumer-Brand Identification, and Repurchase Intention. Jurnal Maksipreneur: Manajemen, Koperasi, dan Entrepreneurship, 12(1), 1-10. http://dx.doi.org/10.30588/jmp.v12i1.931

OJK (2019). Laporan statistik survei literasi dan inklusi keuangan 2019. Jakarta: Otoritas Jasa Keuangan.

Prentice, C., Han, X. Y., Hua, L. L., & Hu, L. (2019). The influence of identity-driven customer engagement on purchase intention. Journal of Retailing and Consumer Services, 47, 339-347. https://doi.org/10.1016/j.jretconser.2018.12.014

Kustodian Sentral Efek Indonesia. (2021). Statistik Pasar Modal Indonesia Februari 2021. 1–6. https://www.ksei.co.id/files/Statistik_Publik_Januari_2021.pdf

Rachmatulloh, D. P. & Solekah, N. A. (2021). Antecedents of Saving Decision at Sharia Banks: Islamic Financial Literacy, Religiosity and Service Quality (Studies on Millennial Generation). Al-Tijary, 6(2), 97-111. https://doi.org/10.21093/at.v6i2.2669

Rudyanto, R. (2018). Pengaruh Pemasaran Jejaring Media Sosial Dan Keterkaitan Konsumen Terhadap Niat Beli Konsumen. Jurnal Manajemen Dan Pemasaran Jasa, 11(2), 177-200. https://doi.org/10.25105/jmpj.v11i2.3126

Saputri, M. E. & Kurniasih, N. (2020). Experiential marketing: A review of its relation to customer satisfaction in online transportation (a study of GO-JEK company). Advances in Business, Management and Entrepreneurship, 47-51.

Schiffman, L. G., & Wisenblit, J. (2019). Consumer Behavior, 12th editon. New Jersey: Pearson Education

Singh, A. P. & Dangmei, J. (2016). Understanding the generation Z: The future workforce. South-Asian Journal of Multidisciplinary Studies, 3(3), 1-5.

Solomon, M. R. (2019). Consumer behavior: Buying, having, and being, 12th edition. Boston, MA: Pearson Publishing

Tariq, R., Mohan, U., Maqbool, N., Zahid, U., Hussain, M., & Khan, J. (2020). Role of Influencer Marketing in Promoting Financial Products in the Banking Sector of Pakistan. Journal of Marketing and Consumer Research, 68, 47–59. https://doi.org/10.7176/JMCR/68-06

Tiago, M. T. P. M. B., & Veríssimo, J. M. C. (2014). Digital marketing and social media: Why bother?. Business Horizons, 57(6), 703-708. https://doi.org/10.1016/j.bushor.2014.07.002

Tiruwa, A., Yadav, R., & Suri, P. K. (2018). Moderating effects of age, income and internet usage on Online Brand Community (OBC)-induced purchase intention. Journal of Advances in Management Research, 15(3), 367-392. https://doi.org/10.1108/JAMR-04-2017-0043

Tutberidze, G., Khoshtaria, T., & Matin, A. (2020). The impact of social media engagement on consumers' trust and purchase intention. International Journal of Technology Marketing, 14(3), 305-323. https://doi.org/10.1504/ijtmkt.2020.10033402

Veirman, M. De, Cauberghe, V., & Hudders, L. (2017). Marketing through Instagram influencers : the impact of number of followers and product divergence on brand attitude. International Journal of Advertising, 36(5), 798-828. https://doi.org/10.1080/02650487.2017.1348035

Wang, L., Wong, P. P., & Narayanan, E. A. (2020). The demographic impact of consumer green purchase intention toward green hotel selection in China. Tourism and Hospitality Research, 20(2), 210-222. https://doi.org/10.1177/1467358419848129

Wardani, A. K., & Lutfi, L. (2017). Pengaruh literasi keuangan, experienced regret, risk tolerance, dan motivasi pada keputusan investasi keluarga dalam perspektif masyarakat Bali. Journal of Business and Banking, 6(2), 195-214. http://dx.doi.org/10.14414/jbb.v6i2.996

Weismueller, J., Harrigan, P., Wang, S., & Soutar, G. N. (2020). Influencer endorsements: How advertising disclosure and source credibility affect consumer purchase intention on social media. Australasian Marketing Journal, 28(4), 160–170. https://doi.org/10.1016/j.ausmj.2020.03.002

Wu, J., Cai, J., Luo, X. R., & Benitez, J. (2021). How to increase customer repeated bookings in the short-term room rental market? A large-scale granular data investigation. Decision Support Systems, 143, 113495. https://doi.org/10.1016/j.dss.2021.113495

www.kumparan.com (2021). BSI Ekspansi Bisnis dan Penetrasi Layanan di Timur Tengah. accessed from https://kumparan.com/kumparanbisnis/bsi-ekspansi-bisnis-dan-penetrasi-layanan-di-timur-tengah-1y4E1qFHn1W

Yang, S., Zhang, Y., & Zhao, D. (2016). Who exhibits more energy-saving behavior in direct and indirect ways in China? The role of psychological factors and socio-demographics. Energy Policy, 93, 196-205. https://doi.org/10.1016/j.enpol.2016.02.018

Yodi, H. P., Widyastuti, S., & Noor, L. S. (2020). The effects of content and influencer marketing on purchasing decisions of fashion Erigo company. Dinasti International Journal of Economics, Finance & Accounting, 1(2), 345-357. https://doi.org/10.38035/dijefa.v1i2.309




DOI: https://doi.org/10.18860/ed.v11i1.17803

Refbacks

  • There are currently no refbacks.


Bookmark and Share


Editorial Office:
Megawati Soekarnoputri Building
Faculty of Economics
E-mail: eldinar@uin-malang.ac.id
Universitas Islam Negeri Maulana Malik Ibrahim Malang

E-ISSN 2622-0083 

Creative Commons License
El Dinar under a CC BY SA 4.0 International License.

Member of:

 

Indexed By:

 

 


View My Stats

 

Flag Counter