This research aims to reveal factors that drive online shops owned by the student of the university in Bandung which utilizes Instagram for marketing efforts. This research uses three theories stated by Morissan (2010), Joseph (2011) and Strauss and Frost (2009) then synthesis those factors and uses 21 factors to analyze with Factor Analysis methodology. The samples of respondents are online shops owned by students. The total sample is 101 respondents. From the Rotated Component Matrix, this research indicates 7 factors and purposes of the new driver factors through the labeling process. As the result, this research creates 7 new driver factors motivated and driven online shops owned by students to utilize Instagram for marketing efforts, consist of: Learning and Responsive Feedback factor, Limitless Shopping Benefits factor, Cash-less factor, Efficient Communication factor, Easy Customization, Relation and Distribution factor, and Extensive Market Target factor. For future research, the authors suggest conducting empirical research.

1. The Driving Factors of Instagram Utilization for
Marketing Efforts in Promoting Student Owned
Online Store
Authors:
Sabirin Arga
Cut Irna Setiawati
Business Administration, Telkom University
Bandung
2016

2. Marketing manager should strives strategic and
tactics efforts by adopting new technology tools
transition
Marketing strategy has influenced by new
technology development in communication and
superhighway information sharing process

3. Advance technology offers vast and broad
communication network for company in
encouraging huge global electronic marketplace
well
 Digital
telephone
networks
 Interactive
cable
television
 Personal
computer
 Online
service
 Internet

4. Social media is defined as an umbrella terms
involves vary activities that integrate technology,
social interaction and content creation limitless
among users (The Federal Web managers
Council, 2013)

5. The most popular types being social networking
sites (SNS) that defined as a platform used to build
and maintain social relations among individuals
who interests, activities, backgrounds, or real-life
connections (Lampe et al., 2011)
• Internet-based SNSs
: accessed through
email ISD
• Smartphone-based
SNSs : accessed
through mobile
phone numbers

6. Social media also purposed to criticize companies
commercialization forms, products quality, public
and private services – besides for leisure purpose
(Benson et al., 2009).

7. Social media’s rapidly explosion makes it
unsurprising that online shops are following the
trends disseminating sites to reach potential
consumers where they are.
Because :
 Social media promote social interaction easily
among people,
 Social media create collaboration existing,
 Social media facilitate consumer’s needs
regards on products and services openly.

8. Internet users in Indonesia around 82 – 139 million
people in 2013 to 2015 (Indonesian Internet
Service Provider – APJII)
• 75,47% firms has
Instagram account
• 23% Intagram users
are Indonesian
youth
• 22% male users
• 29% female users• 18-29 y.o : 59%
• 30-49 y.o : 25%
• 50-64 y.o : 11%
• Above 65 y.o : 5%

11. Instagram provides
opportunity for
company/online shops
to “produce” images of
products that involves
potential consumers
and individuals
affecting on another.

12. The trends of Intagram motivates young
generation who generate business/online shop to
execute Instagram as marketing strategy in
promoting products.
Instagram offers customers the benefit of
convenient, very rapid mechanism through which to
obtain goods as the lowest price (Goodings et al.,
: 2007)

13. Morissan (2012) stated
that there are 8 factors
drive firm to attempt
marketing online
through social media:
1) audience coverage,
2) communication
efficiency,
3) customer target
coverage,
4) convenience of
information
distribution,
5) limitless service,
6) feedback

14. Joseph (2011) stated
that there are 9
factors drive, consist
of:
1) Beyond relation,
2) Word of mouth,
3) Corporate social
responsibility,
4) Over sales,
5) Brand reputation,
6) Community
loyalty,
7) Digital culture,
8) Unchanged value,

15. Strauss and Frost (2009 reveled that firms do
marketing online to communicate the value for
customer because of driver factors such: online mass
customization, personalization, unlimited service, self
service, one stop shopping, learning process, low
cost, priceless of digital, priceless transaction,
priceless of knowledge, supply chain efficiency,

16. The main aim of this research is to propose
comprehensive factors that drive online shops
owned by students from several universities in
Bandung to utilize Instagram for marketing efforts,
namely driver factors.
Additionally, this study also will indicate the new
factors from analysis methodology that future
research will be tested by using empirical
research among online shops owned by youth.

17. Theory of
Morissan
(2010)
Theory of
Joseph (2011)
Theory of
Strauss
& Frost
(2009)
Dominant
driver factors
This research
analyze these
factors
Framework of
Thinking

18. This research is survey research which asking a
large group of student who own online shop in
Bandung from different 6 universities:
TelkomUniversity, Bandung Institute of Technology,
Padjajaran University, Bandung Islamic of
University, Pasundan University, Indonesia
Education of University.
By using purposive sampling that distributed to
100 samples among these student of university
who run and owned online shops.
This research uses Principal Component
Analysis that stated as the factor analysis
methodology. This research extracted some
factors by using total variances and error variance
Methodology

19. Respondent’s
description

20. To test factor analysis accuracy, this research uses statistics testing by
generating Bartlett Test Sphericity and Kaise Mayer-Olkin (KMO) to
ensure the sample adequacy.. The minimum which must have 0.5 value
of KMO and if least of 0.5 means that the research cannot continue.
MSA value above is more than 0.5 value which means that
all variables if this research can test further by factor
analysis methodology and gave correlation.

29. Instagram
motivate online
shops in Bandung
to enlarge the
target market
through social
media coverage
without restrict
segmentation and
targeting

30. Conclusion:
there are 7 factors that motivate online store owned by students In
University in Bandung
For future research, authors suggest to conduct empirical
research to measure the affect of driver factors stated.

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35. : cutiirna
: setiawaticutirna@gmail.com