Saudi Journal of Business and Management Studies (SJBMS)
Volume-4 | Issue-06 | 499-507
Original Research Article
Marketing Communication Strategy to Increase Transition from Subsidized LPG Consumption to Non-subsidized LPG: A Case Study of PT Pertamina (Persero) Domestic Gas Region I-Medan City, North Sumatra- Indonesia
Rudi Faisal Al Hafiz, Sukaria Sinulingga, Rulianda Purnomo Wibowo
Published : June 25, 2019
Abstract
Subsidized LPG products are only intended for the poor. While non-poor people are encouraged to use non-subsidized LPG. In the midst of increasing the number of poor people in Medan City, the realization of non-subsidized LPG sales has decreased. The purpose of this study is to find factors that affect non-poor household customers switching using non-subsidized LPG and drafting alternative strategies and policies that can be implemented by Pertamina's management to make switching of non-poor household LPG customers who have been using LPG subsidies to non-subsidized LPG. This type of research is correlational research. The questionnaire was distributed accidentally to 100 non-poor household LPG customers in Kota Medan who have switched to non-subsidized LPG. From the results of the analysis, it was found that 52.2% of non-subsidized LPG purchases were influenced by Advertising, Sales Promotion, Public Relations, Personal Selling, and Interactive Marketing, while 47.8% were influenced by other variables outside the variables used in this study. Advertising variables, Sales Promotion, Public Relations, Personal Selling, and Interactive Marketing have a significant effect on the decision of purchase of non-subsidized LPG. However, based on partial testing, Personal Selling variables have no significant effect on non-subsidized LPG purchases. On the contrary, the variables of Advertising, Sales Promotion, Public Relations, and Interactive Marketing significantly affect the purchasing decisions