Sitti Mardiyah (1), Nikmatul Masruroh (2), Retna Anggitaningsih (3)
General Background: Marketing strategy is central to business operations, while Islamic business practice requires marketing activities to remain consistent with Sharia and muamalah principles. Specific Background: The company applies product, price, promotion, and place strategies while emphasizing product quality, accessible prices, and its INDAH motto, Innovative and Worshiping. Knowledge Gap: The manuscript identifies the need to understand how Islamic values are applied within the firm’s marketing activities and what conditions support or obstruct consumer interest. Aims: Using qualitative descriptive field research based on interviews, observation, and documentation, this study analyzes Sharia marketing practices and their supporting and inhibiting factors within the company. Results: The company applies the 4Ps together with rabbaniyyah, akhlaqiyah, al-waqi’yyah, and al-insaniyyah principles. Product quality and relatively low prices support consumer interest, whereas limited leather supplies and insufficient human resources delay production and marketing processes. Novelty: The study provides a context-specific account of how the 4P marketing mix is integrated with Sharia marketing characteristics in a bag-producing enterprise. Implications: Consistent application of Islamic transaction principles, supported by reliable materials and workforce capacity, is important for sustaining the firm’s marketing activities and consumer interest.
Highlights:
Keyword: Marketing Strategy, Sharia Marketing, Consumer Interest
In the view of Islamic teachings, everything should be done neatly, correctly, orderly, and systematically. [1] This principle applies to all aspects of life, from worship and social activities to economic activities. Islam views that worldly activities carried out in a halal way, properly, and producing fair benefits will bring happiness not only in this world but also in the hereafter. This principle serves as the foundation of sharia management, which is derived from the Qur’an, the sunnah, and the human values that develop in society.[2] This sets it apart from conventional management, which tends to be value-free and focused solely on worldly benefits. Amid the complexity of global problems, the economic aspect is always one of the issues that attracts attention.[3] In Indonesia, various types of businesses based on Islamic values are growing, each with its own uniqueness and characteristics. However, not all of these businesses are able to survive. Some manage to reach the peak of success, while others lose their way. This challenge requires Muslim entrepreneurs to have high professionalism, which not only includes business skills but also a commitment to Sharia principles.[4]
To strengthen competitiveness and achieve success, a strategy is needed that not only aims to gain and increase profit, but also to enhance faith so that the sustenance we receive is truly blessed by Allah SWT. Well-being will certainly be achieved if human needs are met, both primary and secondary needs.[5] In Islam, through the texts of the Qur’an and the Sunnah, Allah SWT encourages humans to make efforts to meet their life needs. Strategy is very important for a company, where strategy is a way to achieve the goals of a company. According to Swastha, strategy is a series of major plans that describe how a company should operate to reach its objectives.[6] Marketing is one of the main activities carried out by entrepreneurs in their efforts to sustain their business. Meanwhile, according to Kertajaya, sharia marketing is a business strategy that should cover all activities within a company, including the process of creating, offering, and exchanging value, from a producer, or a company, or an individual, in accordance with Islamic teachings.[7]
Marketing strategy from a Shari’ah perspective is all activities carried out in business that involve creating value (value creating activities) allowing anyone who engages in them to grow and make use of their benefits, based on honesty, fairness, transparency, and sincerity, following processes based on Islamic business contracts or transactional agreements in Islam.[8] The marketing principles offered by the Prophet Muhammad (PBUH) always place honesty and fairness in relationships as the main foundation.[9] UD Kiki Collection, located in Mengok Village, Pujer District, Bondowoso Regency, is a business in the bag-making field that adopts sharia marketing principles in its operations.[10] This business was started in 2000 in Bali by Edi Santoso and Sri Wahyuni, and then moved to Bondowoso in 2005. By making waist bags, backpacks, side bags, wallets, and pencil cases from various materials like cloth, leather, and imitation leather, UD Kiki Collection has been able to create jobs for the local community and support government programs in reducing unemployment.
UD Kiki Collection has been growing pretty fast, with product distribution reaching Surabaya, Probolinggo, all the way to Bali and Kalimantan. Customer trust in the quality and price of the products is one of the company's strengths. However, the limited supply of raw materials, especially leather imported from outside the region, is a challenge on its own.[11] On the other hand, the increasingly tough competition in the bag craft industry requires companies to keep innovating and implementing the right marketing strategies to stay popular with consumers. So far, UD Kiki Collection has focused its marketing strategy on consumer satisfaction by applying the 4P concept (product, price, promotion, place).[12] The main focus is on competitive pricing strategies and effective distribution through the producer–retailer–consumer channels. This strategy has proven to enhance consumer appeal while also strengthening UD Kiki Collection's position in the market. Therefore, studying sharia marketing strategies in the context of UD Kiki Collection is important to understand how applying Islamic values can help boost consumer interest.
This research uses a qualitative research approach. This type of approach aims to fully and contextually reveal phenomena or symptoms, all based on facts. Qualitative researchers focus on the quality or the most important aspects of things and services, such as events or social phenomena, meaning the significance behind the events that can provide valuable lessons for developing theoretical concepts. [13] Besides that, the researcher chose this type of study because it fits the research purpose very well, which is to observe and describe the issues in increasing consumer purchase interest through marketing strategies at UD. Kiki Collection.
In determining the data obtained in this study, data collection techniques are needed so that the evidence or facts obtained function as objective data and there is no data distortion. The data collection techniques used are observation, interviews, and documentation, collected in the form of words, images, and not numbers, because this study uses inductive and deductive research. The steps the researcher takes in analyzing the data include data reduction, data presentation, and drawing conclusions. Meanwhile, the techniques for checking data validity include prolonged participation, observation rules, and data triangulation.
1. Product Strategy The products released by UD Kiki Collection are high-quality products with various types. The materials used include fabric, imitation, and leather. The imitation they chose is made from AC material with a variety of patterns and colors. In addition, the stitching done by the employees looks very neat, so UD Kiki Collection's products have developed quite well and the products already have a brand that is well known by consumers. Introducing products by giving a brand to an item is very important to implement at UD Kiki Collection. Because with good quality and by giving a brand to a product, it becomes easy for people to remember the product and it seems impressive, which can attract consumers' attention.
2. Pricing Strategy UD Kiki Collection sets prices that are quite affordable and accessible for everyone. Since the prices start from Rp. 35,000, many customers prefer buying bags from UD Kiki Collection rather than from other companies. In setting prices, UD Kiki Collection has applied honesty. This honesty is very important to ensure that neither the seller nor the buyer suffers a loss. So, UD Kiki Collection sets prices based on the raw materials and the size of the bags. The way they determine the price is by calculating the total cost of raw materials and production.
3. Promotion Strategy The promotion carried out by UD Kiki Collection is in line with the facts on the ground, namely by putting up a banner in front of the company located on the main road so that people passing by can see and get to know the products made by UD Kiki Collection. In addition, UD Kiki Collection also does direct promotion to consumers, such as when there is a bazaar at the Bondowoso square during the HARJABO (Bondowoso Anniversary) event. Another promotion is done through social media, specifically Facebook, under the name of Mr. Edi Santoso.
The implementation of promotion is very important, especially the promotion carried out at UD Kiki Collection Pujer Bondowoso by putting up banners, through social media, and directly introducing products to consumers. With that, consumers will be interested in learning about the products offered by UD Kiki Collection, and this will have a big impact on them, making them interested in buying.
1. Distribution (place) The distribution carried out at UD Kiki Collection is done by sending products to wholesalers, and then the wholesalers sell them directly to consumers. Distribution is the process of getting products to the consumer. This is very important to implement at UD Kiki Collection, which is done by the company waiting for orders from wholesalers, then the orders are sent through the company’s sales agents, and then the wholesale market sells them directly to consumers. In carrying out its marketing strategy to increase consumer interest, the implementation at UD Kiki Collection Pujer Bondowoso must align with the characteristics of Sharia marketing, which consists of several elements:
2. The Divinity (Rabbaniyah) of UD Kiki Collection Pujer Bondowoso in its working principle applies the idea of always remembering Allah, inspired by the company's motto INDAH (Innovative and Beautiful), which means that in working (innovating), employees should never forget to always remember Allah, because Allah is always watching every action of His servants. Therefore, the work carried out at UD Kiki Collection must comply with Islamic principles and remain true to righteousness.
3. Ethical (Moral) UD Kiki Collection in carrying out its marketing strategy applies appropriate ethics and norms. One example is looking at employees' appearance: all employees must dress neatly (Islamic), especially female employees who are required to wear a hijab to comply with Islamic law. In their speech, they must also be gentle so that consumers don't switch to another company. Regarding ethical characteristics, UD Kiki Collection Bondowoso has actually implemented them because ethics are very important. For consumers to behave well toward the company, the company must apply good ethics. These good ethics will make consumers feel comfortable and eventually make UD Kiki Collection Pujer Bondowoso their regular choice.
4. Realistic (Al-waqi’yah) The products produced by UD Kiki Collection, whether in terms of product quality or pricing, are all based on reality and have no element of harming consumers, because UD Kiki Collection strongly applies the principle of honesty. This realistic characteristic greatly affects consumer purchasing power, especially at UD Kiki Collection Pujer Bondowoso, where this realistic approach has been applied, making consumers feel satisfied with the items they order, as their orders match their requests. If the ordered products were not in line with reality, it could reduce consumer purchasing power.
5. Humanistic (Al-insaniyyah) In running its marketing strategy, UD Kiki Collection also applies a humane approach. All employees working at UD Kiki Collection highly respect customers and are always patient in serving them, so both employees and customers practice the principle of ukhwah Insaniyah (brotherhood among humans). This humane attitude is very important to implement within the company, especially at UD Kiki Collection. Mutual respect among employees and toward customers is necessary, as it fosters close relationships like human brotherhood, without discriminating against people based on their origin or social status.
In a company, when carrying out business activities, there are several supporting factors to ensure smooth marketing processes. Some strategies have been neatly arranged and must align with the expected plan. The smooth running of a company definitely involves several things that help make the company successful. [14] Therefore, it's necessary for a leader to do analysis and evaluation. Some of the factors supporting the success of UD. Kiki Collection Pujer Bondowoso's marketing include prioritizing high-quality products by using the best raw materials, always having a stylish look, and offering various models that always follow current trends.[15] Besides that, the prices listed at UD Kiki Collection are really affordable because they are determined by calculating the total cost of raw materials and production, so this product is accessible to everyone.
However, in running a business, even though there are many supporting factors for the company's success, it’s not easy to execute because there will definitely be obstacles. At UD. Kiki Collection Pujer Bondowoso, one of the obstacles is the limited natural resources (NR) in the form of leather, which forces UD Kiki Collection to import materials from outside Bondowoso. In addition, another obstacle is the lack of skilled employees in making bags. These two factors lead to limitations in bag production and result in marketing setbacks. Another challenge is the lack of a solid promotion strategy, which so far is only done through banners and online, and UD Kiki Collection’s dream of having its own company website hasn’t been achieved yet.
Based on the research results and discussion, the conclusions can be drawn as follows: The Sharia-compliant marketing strategy has been implemented at UD Kiki Collection to increase consumer interest by applying the 4Ps, which are product, price, promotion, and place, while emphasizing product quality and affordable prices, also tailored to the characteristics of Sharia marketing, which consist of teitis (rabbaniyyah), eitis (akhlaqiyah), realistic (al-waqiyyah), and humanistic (al-insaniyyah). In addition, in running its marketing strategy, UD Kiki Collection aligns with the company motto, INDAH (Innovative and Worshiping). There are supporting and inhibiting factors for the Sharia marketing strategy in increasing consumer interest: the supporting factor is good product quality because the products are made by skilled employees using quality materials. Also, the affordable prices make it accessible for all types of consumers. Meanwhile, the hindering factors are the limited raw materials like leather and the lack of human resources, which results in delays in the process of making the products.
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