Social Media Marketing and Branding in Creating Willingness to Pay Premium Prices: A Study of Home Brand Tea Products

Ercilia Octavia

doi:10.14414/jebav.v27i3.4744

Vol. 27 No. 3 (2025), Articles

Vol. 27 No. 3 (2025)

Social Media Marketing and Branding in Creating Willingness to Pay Premium Prices: A Study of Home Brand Tea Products

Articles

DOI: 10.14414/jebav.v27i3.4744

Published 27-03-2025

Ercilia Octavia⁺⁻

Ercilia Octavia

Universitas Sebelas Maret

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Keywords

social media marketing
branding
willingness to pay premium prices
home brands

How to Cite

Octavia, E. (2025). Social Media Marketing and Branding in Creating Willingness to Pay Premium Prices: A Study of Home Brand Tea Products. Journal of Economics, Business, and Accountancy Ventura, 27(3), 385-399. https://doi.org/10.14414/jebav.v27i3.4744

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Abstract

Gambyong, Kemuning Mbok Karti, and Gondang Sari are small and medium-sized enterprise (SME) tea brands that have established themselves as high-quality and well-recognized brands. As a result, they can charge premium prices for their prod-ucts and effectively market them through social media platforms. This study inves-tigates the impact of social media marketing and branding on consumers' willing-ness to pay premium prices for home-brand tea products. The research sample con-sisted of 159 customers of Gambyong Tea, Kemuning Mbok Karti Tea, and Gondang Sari Tea, selected using purposive sampling techniques. Data were collected through a structured questionnaire, and the analysis was conducted using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings reveal that social media marketing directly influences brand identity, brand awareness, and brand im-age. Furthermore, brand awareness significantly impacts both brand preference and consumers' willingness to pay premium prices. Similarly, brand image has a signif-icant effect on brand preference, which, in turn, strongly influences willingness to pay premium prices. This study offers a novel contribution by developing a model that highlights the role of social media marketing in shaping branding and driving consumer willingness to purchase home-brand products at premium prices. The findings have important implications for SMEs, emphasizing the strategic use of social media to enhance branding efforts and boost sales of premium products.

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Social Media Marketing and Branding in Creating Willingness to Pay Premium Prices: A Study of Home Brand Tea Products

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