The Impact of Marketing Capability and Customer Value Creation on Iconic Product Advantages and Marketing Performance in SMEs

Authors

  • Aris Mardiyono Universitas 17 Agustus 1945 Semarang, Indonesia
  • Gita Sugiyarti Universitas 17 Agustus 1945 Semarang, Indonesia

DOI:

https://doi.org/10.37641/jimkes.v13i3.3182

Keywords:

Customer Value Creation, Marketing Capability, Marketing Performance, Iconic Product Advantages, SMEs

Abstract

This study examines the impact of product selling power and customer value creation on the benefits and marketing performance of iconic products among SMEs. This study uses a quantitative research method with a survey approach to test the relationship between variables objectively and measurably. The study was conducted in Semarang Regency from June to September 2024. The research sample consisted of 220 local wisdom-based SMEs, especially batik, water hyacinth, and clay craft SMEs. Sampling was carried out using a purposive sampling method. Data collection was carried out using a questionnaire with a 7-point Likert scale, then analyzed using Structural Equation Modeling (SEM) with the help of AMOS software. The results confirm that marketing capabilities significantly increase iconic product excellence and marketing performance. In addition, customer value creation has a strong impact on iconic product excellence and marketing performance. This study also found that iconic product excellence mediates the relationship between marketing capabilities, customer value creation, and marketing performance. These findings highlight the importance of customer-centric strategies and brand differentiation for SMEs.

Downloads

Download data is not yet available.

References

Abdullah, Y., & Rosliyati, A. (2020). The product market strategy, value creation, and competitive advantages as a determinant factor of marketing performance. International Journal of Supply Chain Management 9(3), 13-20.

Berendt, J., Uhrich, S., & Thompson, S. A. (2018). Marketing, get ready to rumble: How rivalry promotes distinctiveness for brands and consumers. Journal of Business Research, 88(3), 161-172.

Buhalis, D., & Sinarta, Y. (2019). Real-time co-creation and nowness service: lessons from tourism and hospitality. Journal of Travel & Tourism Marketing, 36(5), 563-582.

Chang, H. H., Wang, Y. H., & Yang, W. Y. (2009). The impact of e-service quality, customer satisfaction and loyalty on e-marketing: Moderating effect of perceived value. Total quality management, 20(4), 423-443.

Chapman, A., & Dilmperi, A. (2022). Luxury brand value co-creation with online brand communities in the service encounter. Journal of Business Research, 144(3), 902-921.

Chinakidzwa, & Phiri, M. (2020). Market orientation and market sensing capabilities in a digital world: Relationships and impact on market performance. The Retail and Marketing Review: Special Covid Edition, 16(3), 1-18.

Dewangga, R. W., & Nugroho, S. P. (2024). The effect of product knowledge and market orientation on business performance in msmes. Jurnal Ilmiah Manajemen Kesatuan, 12(1), 163-174.

Guenzi, P., & Troilo, G. (2006). Developing marketing capabilities for customer value creation through Marketing–Sales integration. Industrial marketing management, 35(8), 974-988.

Habibie, S. A. M., Santoso, R., Islamudin, A., & Vizandra, E. P. (2024). The effect of digital marketing-upgrading and product virality on the sustainability of MSMEs. Jurnal Ilmiah Manajemen Kesatuan, 12(6), 2109–2120.

Hartomo, O. D. (2011). Keunggulan operasional dan penciptaan nilai, suatu telaah empiris. Dinamika Sosial Ekonomi, 7(1), 70-78.

He, H., Harris, L. C., Wang, W., & Haider, K. (2016). Brand identity and online self-customisation usefulness perception. Journal of Marketing Management, 32(13-14), 1308-1332.

Hidayat, A. N., Mutmainah, I., & Marnilin, F. (2024). Comparison of corporate bankruptcy predictions based on the altman model and springate approach: Case study of the technology sector listed on the IDX for the 2021-2023 period. Jurnal Ilmiah Akuntansi Kesatuan, 12(6), 427-458.

Hiong, L. S., Ferdinand, A. T., & Listiana, E. (2020). Techno-resonance innovation capability for enhancing marketing performance: a perspective of RA-theory. Business: Theory and Practice, 21(1), 329-339.

Homburg, C., & Wielgos, D. M. (2022). The value relevance of digital marketing capabilities to firm performance. Journal of the Academy of Marketing Science, 50(4), 666-688.

Hu, H. H., Kandampully, J., & Juwaheer, T. D. (2009). Relationships and impacts of service quality, perceived value, customer satisfaction, and image: an empirical study. The service industries journal, 29(2), 111-125.

Jung, S. U., & Shegai, V. (2023). The impact of digital marketing innovation on firm performance: Mediation by marketing capability and moderation by firm size. Sustainability, 15(7), 5711.

Kumar, V., & Reinartz, W. (2016). Creating enduring customer value. Journal of marketing, 80(6), 36-68.

Mao, H., Liu, S., Zhang, J., & Deng, Z. (2016). Information technology resource, knowledge management capability, and competitive advantage: The moderating role of resource commitment. International journal of information management, 36(6), 1062-1074.

Matarazzo, M., Penco, L., Profumo, G., & Quaglia, R. (2021). Digital transformation and customer value creation in Made in Italy SMEs: A dynamic capabilities perspective. Journal of Business research, 123, 642-656.

McNaughton, R. B., Osborne, P., & Imrie, B. C. (2002). Market‐oriented value creation in service firms. European journal of marketing, 36(9/10), 990-1002.

Medase, K., & Barasa, L. (2019). Absorptive capacity, marketing capabilities, and innovation commercialisation in Nigeria. European Journal of Innovation Management, 22(5), 790-820.

Millson, M. R. (2013). Exploring the moderating influence of product innovativeness on the organizational integration‐new product market success relationship. European Journal of Innovation Management, 16(3), 317-334.

Mohammad Shafiee, M., Warkentin, M., & Motamed, S. (2024). Do human capital and relational capital influence knowledge-intensive firm competitiveness? The roles of export orientation and marketing knowledge capability. Journal of Knowledge Management, 28(1), 138-160.

Ngah, R., & Wong, K. Y. (2020). Linking knowledge management to competitive strategies of knowledge-based SMEs. The Bottom Line, 33(1), 42-59.

Payne, A., Frow, P., & Eggert, A. (2017). The customer value proposition: evolution, development, and application in marketing. Journal of the Academy of Marketing Science, 45(3), 467-489.

Puzakova, M., & Aggarwal, P. (2018). Brands as rivals: Consumer pursuit of distinctiveness and the role of brand anthropomorphism. Journal of Consumer Research, 45(4), 869-888.

Qashmal, M., Adam, M., & Nizam, A. (2024). Evaluating the influence of digital marketing, service quality, and product excellence on loyalty through the mediating role of customer satisfaction. Indatu Journal of Management and Accounting, 2(2), 55-67.

Rošulj, D., Petrović, D. Č., & Arsić, S. M. (2024). Knowledge Management in Serbian SMEs: Key Factors of Influence on Internal and External Business Performances. Sustainability, 16(2), 797.

Sánchez-Gutiérrez, J., Cabanelas, P., Lampón, J. F., & González-Alvarado, T. E. (2019). The impact on competitiveness of customer value creation through relationship capabilities and marketing innovation. Journal of business & industrial marketing, 34(3), 618-627.

Sánchez-Medina, P. S., Corbett, J., & Toledo-López, A. (2011). Environmental innovation and sustainability in small handicraft businesses in Mexico. Sustainability, 3(3), 984-1002.

Sharmelly, R., & Klarin, A. (2021). Customer value creation for the emerging market middle class: Perspectives from case studies in India. Journal of Risk and Financial Management, 14(10), 455.

Sugiyarti, G., & Ardyan, E. (2017). Market sensing capability and product innovation advantages in emerging markets: The case of market entry quality and marketing performance of batik industry in Indonesia. DLSU Business & Economics Review, 27(1), 175-189.

Sugiyarti, G., Ferdinand, A. T., & Nurchayati, T. (2018). Acculturative products uniqueness antecedence for successful marketing performance. DLSU Business & Economics Review, 28(1), 11.

Tantalo, C., & Priem, R. L. (2016). Value creation through stakeholder synergy. Strategic management journal, 37(2), 314-329.

Trieu, H. D., Van Nguyen, P., Nguyen, T. T., Vu, H. M., & Tran, K. (2023). Information technology capabilities and organizational ambidexterity facilitating organizational resilience and firm performance of SMEs. Asia Pacific Management Review, 28(4), 544-555.

Udayana, I. B. N., Farida, N., Lukitaningsih, A., Tjahjono, H. K., & Nuryakin. (2021). The important role of customer bonding capability to increase marketing performance in small and medium enterprises. Cogent Business & Management, 8(1), 1932239.

Vajjhala, N. R. (2013). Key barriers to knowledge sharing in medium-sized enterprises in transition economies. International Journal of Business and Social Science, 4(14), 809-817.

Vargo, S. L., Koskela-Huotari, K., & Vink, J. (2020). Service-dominant logic: foundations and applications. London: Routledge.

Weerawardena, J. (2003). The role of marketing capability in innovation-based competitive strategy. Journal of strategic marketing, 11(1), 15-35.

Wibowo, S., Suryana, Y., Sari, D., & Kaltum, U. (2021). Marketing performance and big data use during the COVID-19 pandemic: A case study of SMEs in Indonesia. The Journal of Asian Finance, Economics and Business, 8(7), 571-578.

Downloads

Published

2025-05-31

How to Cite

Mardiyono, A., & Sugiyarti, G. (2025). The Impact of Marketing Capability and Customer Value Creation on Iconic Product Advantages and Marketing Performance in SMEs. Jurnal Ilmiah Manajemen Kesatuan, 13(3), 1913–1926. https://doi.org/10.37641/jimkes.v13i3.3182