DOI QR코드

DOI QR Code

Development of Market Distribution through Digital Marketing Transformation Trends to Maximize Sales Turnover for Traditional Beverage Products

  • Received : 2023.01.25
  • Accepted : 2023.08.05
  • Published : 2023.08.31

Abstract

Purpose: The research aims to investigate the development of market distribution through digital marketing transformation trends with the support of universities. This development strategy is to maximize sales turnover of limited liability companies' typical traditional beverage products. Research design, data, and methodology: The research design uses descriptive qualitative methods. Data were obtained by participatory observation, in-depth interviews, FGDs, and documentation. Results: The result shows that the partner's traditional product market distribution strategy has been carried out by adopting science and technology and expertise possessed by partner universities. Universities that are Partners have benefited from the implementation of the Independent Campus program. Conclusions: The conclusion from the findings is that business actors must collaborate with universities through the Kedaireka Matchmaking Fund Program. The collaboration will create the right strategy development for the business. The government needs to provide more access to finance in the future. The hope is that the traditional beverage industry and higher education can realize the ease of synergy contributing to national development and the vision of the Indonesian Ministry of Education and Culture's independent campus.

Keywords

1. Introduction

The traditional food and beverage industry began to develop rapidly along with changes in lifestyle in urban centers. The literature explains that cultural trends, culinary tourism, and growing health awareness among the public are the main factors influencing the increase in sales of these natural-based products (Luković et al., 2023; Glogovețan et al., 2022; Agustina, 2021; Rana & Paul, 2020; Stone et al., 2018). The issues that arise in the future can be predicted with reliance on traditional drinks that are less exposed, especially in changing international markets. The traditional beverage industry needs to find other ways to increase sales turnover and competitiveness amid the intensification of trade in modern drinks products. On the other hand, the phenomenon of global pandemics and climate change has created poverty and beverage scarcity in almost all parts of the world. Weak government intervention also adds to the burden of providing breakthroughs on this beverage problem. The involvement of non-profit organizations and a good drinks supply system is one of the global leaders' strategic steps in overcoming beverage shortages (Keskin & Güneş, 2021). Likewise, there are opportunities to integrate beverage democracy into a more ethical beverage system. The aim is to deal with changes in demand that are likely to continue to increase throughout the year. The current beverage system requires revision to build a shared vision of a sustainable beverage future. Over time, the strength of the beverage and beverage industry has gradually recovered. A good beverage system supported by an effective traditional food and beverage policy framework has encouraged people to adapt and learn from past experiences (Horng & Tsai, 2010).

In Indonesia, the Indonesian Ministry of Industry revealed that food and beverage growth, especially in the food and beverage industry in the third quarter of 2022, reached 3.57%, higher than the same period last year, which was 3.49%. The food and beverage industry is one of the sub-sectors with the largest contribution to the Gross Domestic Product (GDP) today. The majority of business actors engaged in the food and beverage industry use technology for their marketing and sales. The main drawbacks of adopting this technology are due to weak stakeholder engagement, inadequate environmental aspects, and policy issues (Pranata et al., 2022). Competitive advantages as mentioned by previous studies such as quality and innovative products, attractive packaging, and certification of having a distribution permit have not been able to make this industry maximize revenue and product sales turnover. Lee and Falahat (2019), competitiveness capabilities and marketing strategies will affect sales turnover. Therefore, the government and managers need to build a strategic plan for the food and beverage industry with the right competitive system. Without implementing a market development strategy, competitive advantage will not be successful, new customers will not increase, sales will not be maximized and business growth will most likely not grow and develop rapidly.

A sophisticated and competitive market development strategy is a business strategy by looking at marketing transformation trends that make businesses grow better. However, to succeed in the world of marketing and maintain a sense of relevance to consumers is not easy, especially for the traditional drink and beverage industry with limited business capital, human resources, and science & technology. Limited Partnership of Centerindo Kurnia Tritama is an exporter and producer of the micro-scale traditional beverage industry which is also experiencing the problem of low levels of income and sales turnover. Based on the results of initial observations, the practice of consignment in marketing distribution is one of the reasons that the income for their beverage products is not optimal. This practice forces business actors to have twice as much capital because products are paid for when they are sold. And if they don't sell, they suffer a big loss. In addition, these business actors do not have sufficient experience and knowledge about digital marketing. Even though they have marketed their products online through e-commerce, in terms of "content" they are still simple and less attractive. Centerindo Kurnia Tritama Limited Liability Company produces traditional beverages made from leaves similar to spices. This traditional beverage served hot or warm has a sweet and spicy taste with a bright red color and a fragrant aroma. This Limited Partnership botanical drink was established in 2015, with a production capacity of up to 25,000 packs per month. One of the traditional beverage processing industries typical of the Special Province of Yogyakarta, it combines original Indonesian spices which are presented in a practical form. Limited Partnership of Centerindo Kurnia Tritama has its address at Bulu RT 03, Trimulyo Village, Jetis District, Bantul Yogyakarta. This industry has been registered with the Ministry of Small and Medium Enterprises Cooperatives (KemenKopUKM). And has successfully exported to Washington DC, Canada, and Malaysia. This company produces traditional beverage products made from various natural spices (ginger, secang wood, nutmeg leaves, and cinnamon leaves). Limited Partnership of Centerindo Kurnia Tritama has made a Letter of Intent with Persero Limited of Ultra Prima Abadi (Parents) Grub Surabaya. In addition, this Limited Partnership has also collaborated with the provincial government of East Java and the province of the special region of Yogyakarta.

The traditional beverage business in Indonesia has experienced significant economic turmoil during the Covid-19 pandemic (Agustina, 2021). The right strategy to be able to increase sales turnover is still a hot topic today. The reason is that the marketing strategy that focuses on increasing market distribution channels at the international level is quite successful in facing various challenges. The purpose of this research is to investigate market distribution development strategies through digital marketing to maximize sales turnover of traditional beverage products. This research is based on previous research. (See Table 1).

Table 1: Theoretical Background

OTGHB7_2023_v21n8_57_t0001.png 이미지

Based on table 1, shows that previous research on sales turnover using Gray's theory is useful for determining business scale forecasting and a company's ability to sell products. Then create a good sales strategy (Bilgil, 2021; Lin & Hsu, 2002). Various factors and methods are used to increase sales turnover to generate profits and also attract investors (Lavorato & Piedepalumbo, 2023; Obasi & Amadi, 2022; Ezenyilimba et al., 2019; Marshall et al., 2012; Avlonitis & Salavou, 2007). However, not a few previous studies have identified weaknesses in the marketing strategy used. Thus, local companies can add employment, improve the community's economy, and contribute to state revenues. However, previous studies have not explained in depth the model for developing the right company distribution strategy to increase sales turnover of traditional beverage. The novelty of the research is demonstrated by investigating unique opportunities for digital marketing transformation trends with support from partner universities. Optimization of a successful market distribution strategy is expected to provide maximum revenue value and increase the sales turnover of drink and beverage products throughout Indonesia.

2. Literature Review

2.1. Market Distribution Theory

Distribution is very important in the marketing of traditional food and beverage products. Because without market distribution, the products that have been produced will not be able to be enjoyed by customers. The market distribution provides an opportunity for companies to convey product value through persuasive communications to their customers. That way, customers will be more familiar with the company's products. So that the possibility of them buying the company's products and sales turnover increases. Market distribution is the activity of spreading the product throughout the market so that many people can buy the product. This activity also aims to expedite and make it easier to send products from producers to consumers. The use of market distribution must be by the type, quantity of product, price, place, and time needed. Failure in market distribution activities will cause production results to be buried in storage areas and cause production prices to increase. As a result, most likely consumers are not interested in buying it. So producers or business actors experience losses due to decreased revenue and sales turnover (Shaw, 1912). Theoretically, every business actor has a policy for conducting market distribution activities. This is done so that the distribution can be carried out optimally or it can be done by the business actors themselves. If the business actor does not know the range of distribution and does not understand the types of goods being distributed. Chances are the production will not arrive on time according to consumer demand (Farris et al., 1970). Two aspects must be carried out so that market distribution activities run smoothly and affect industry performance. First, the physical aspect relates to the location of product transfer or distribution. Second, the non-physical aspect is related to the seller's (producer) knowledge of what consumers want. And consumers must know what products are sold by manufacturers. There are three types of distribution channels, namely; (1) direct distribution between producers and consumers directly; (2) semi-direct distribution is carried out through intermediaries so that products from producers can be accepted by consumers; (3) indirect distribution is done through several intermediaries. So that the product cannot be received directly from the manufacturer (Kwoka, 1979). Studies show that many business actors ignore market distribution and only focus on price competition. As a result, the estimated operating profit margin is too high. Even though it is very important to observe the pattern of pricing by looking at market distribution. To be able to support competition rather than rely solely on collusion between producers (Sharma et al., 2019).

2.2. Traditional Beverage Products

Traditional beverage products have an attractive taste for customers. In addition to its unique taste, it is also guaranteed to be very safe for consumption. Therefore, traditional beverage products are the main attraction for loyal customers. However, because the production of this product is still limited, it is very important to develop an appropriate market distribution strategy so that the product reaches consumers. Traditional drinks generally have certain characteristics depending on how the drink is processed by the local community. For example, the manufacture of traditional Korean drinks which are influenced by the amount of rice, malt, and different types of sweeteners (Nam & Kim, 1989). Traditional beverage products are typical drinks that are the result of inheritance from ancestors for generations - natural ingredients such as leaves, spices, fruits, or products from trees. One of the main benefits of traditional beverages is to increase the body's immunity. That is why good traditional beverages are consumed regularly and have many loyal customers. Heritage beverage products become regional identities and can be developed together with the tourism sector (Horng & Tsai, 2010). For example, a traditional herbal medicine made from ingredients or ingredients from plants, animals, or minerals and the availability of extracts or mixtures thereof that have been used for generations for treatment based on the norms in force in society. Previous studies revealed that traditional products are assets and culinary culture. In addition to its extraordinary benefits for health and fitness, ancient peoples instilled the habit of consuming traditional food and beverage for generations to preserve this medicinal tradition (Feng et al., 2020). The main way to preserve traditional beverages is through product and image marketing strategies by disseminating information about these traditional products. Information conveyed through certain media includes nutritional content and benefits, processing methods, and presentation methods (Agustina, 2021). The literature reveals that to achieve product marketing objectives, cooperation with government departments, universities, the private sector, and society, in general, is required. The use of technology, more democratic resource management facilities, and traditional family-oriented food and beverage attracted more visitors to heritage sites. Of course, it is supported by funds that can increase the heritage of this traditional beverage (Haven-Tang & Jones, 2005).

3. Research Methods and Materials

3.1. Research Design

Research using descriptive qualitative research design. This design was chosen because the research investigated the framework for optimizing market distribution development strategies through digital marketing transformation trends built by Bina Bangsa University, Serang-Banten, Indonesia. the development framework aims to maximize revenue and sales turnover of beverage products in the form of traditional beverages originating from the Limited Partnership of Centerindo Kurnia Tritama in the Special Province of Yogyakarta, Indonesia.

3.2. Participants

Participants in this study are people who are considered to have the ability to provide information regarding market distribution and the development of sales turnover of traditional beverage products at the Limited Partnership of Centerindo Kurnia Tritama. In this study, the participants included; (1) the Limited Partnership of Centerindo Kurnia Tritama (as a place that will be used as a background to obtain the required data that is useful to support the achievement of research objectives); (2) the company owner; (3) company and logistics managers; (4) finance sector; and (5) company employees. The number of participants was 20 people consisting of 1 company owner, 1 operational manager, 1 marketing manager, 1 person in finance, 2 people in production, 2 logistics, and 12 marketing staff/employees. The average age of the participants was 20-55 years with a ratio of 12 males and 7 females.

3.3. Data Collection

Data collection techniques in the form of observation, semi-structured interviews, and supported by literature studies that are relevant to the theme of this research. Preliminary observations have been made by researchers to identify the strengths, weaknesses, opportunities, and challenges experienced by the business. The interview instrument was built based on the opinions of experts. So that the main focus of this research is obtained, namely market distribution through digital marketing transformation trends which include place, time, and product form. Interviews were conducted with Teams from Higher Education, experts in the field of digital marketing transformation, and business people from Limited Partnership of Centerindo Kurnia Tritama. Place, namely the availability of products at locations in physical and non-physical forms (e-commerce) that are strategic for potential consumers. Time, namely the availability of products according to consumer desires. The form is a product that is processed and ready for consumption under proper conditions. After data collection was completed, data reduction was carried out to check the credibility of the data by conducting triangulation including check, recheck, and crosscheck as well as prolonging their stay at the research location. The filtered data is classified based on the research theme that has been formulated in the research question. Qualitative data analysis becomes the next process for analyzing and interpreting data into information in developing a framework according to research objectives. The final step draws conclusions and suggestions for future research.

4. Results

The findings reveal that higher education offers engineering innovation in the form of five solutions for market development strategies through digital marketing transformation trends for the Limited Partnership of Centerindo Kurnia Tritama. First, optimize content marketing where videos and infographics will be the top marketing content formats. Video can create deeper relationships with consumers and it's easy for brands to turn video content into podcasts and text-based content. Based on the results of the interviews, the College will conduct training on making videos using smartphones and affordable editing software. Students with majors according to the plan will be involved in this activity. so that they get field practice with their knowledge. Influencer and micro-influencer marketing strategies will be the marketing tactics used. Influencers can find a niche in the food and beverage industry. So they play a huge role in converting prospects, connecting with consumers, and increasing brand awareness.

Second, optimizing social media marketing allows businesses to authentically connect with consumers and introduce them to you personally. In interviews conducted with experts in the field of digital marketing transformation, participants explained that at least business actors must have three to five social media platforms such as Instagram, YouTube, and Tiktok to expand their marketing reach. This social media platform will be useful in the development of marketing distribution where the process of distributing goods, moving goods, from one point to another for use, purchase, or sale can be processed via the internet until it reaches the customer. Without the distribution process, goods that have been produced cannot be enjoyed by customers or processed again by other parties.

Third, optimizing video and image SEO marketing. The results of the interviews revealed that the use of Search Engine Optimization (SEO) is also a veryinteresting marketing trend. This technique can optimize the website so that it gets the top ranking in Google search results. SEO experts can help businesses with everything from search insight reports, and link building that will help brands grow authority, to historical and multimedia optimization. In the case that occurred in the Limited Partnership of Centerindo Kurnia Tritama, video SEO marketing seems to involve a team of students so that the costs that must be incurred are more affordable when utilizing SEO marketing. Student teams have great potential in designing attractive videos and images according to their generation.

Fourth, optimizing Artificial Intelligence (AI) and Automation marketing using chatbots that automate certain tasks. Usually, chat helps consumers understand complex requests, personalize responses and improve interactions over time. Generally, business actors do not use artificial intelligence-enabled virtual assistants due to high costs and technical barriers. Therefore, this framework for implementation is a new step in the traditional beverage industry. The team at the university needs to design a guideline for using AI at a cost that can be reached by traditional beverage entrepreneurs.

Fifth, optimizing privacy marketing by giving consumers control over their data to ensure that their data has been collected legally and safely. In practice, consumer data protection regulations are indispensable for market equilibrium and excessive loss of privacy. The protection of important data is carried out to avoid the threat of cybercrime and prevent the misuse of personal data by irresponsible parties. Therefore, the security of customers' data should indeed be considered in the future market distribution framework for traditional beverage products.

The following is a road map and a framework program design built by universities for marketing distribution optimization strategies for traditional beverage products Limited Partnership of Centerindo Kurnia Tritama.

Based on Figure 1, describes the steps for implementing the work program to optimize the market distribution development strategy of Yogyakarta's typical traditional beverage products Limited Partnership of Centerindo Kurnia Company to be able to achieve maximum sales revenue and turnover. As partners, universities will contribute in terms of providing a database for problem identification analysis and are committed to providing the required human resources support. The team identified the condition of the traditional food and beverage industry typical of the Special Province of Yogyakarta. To be precise CV Limited Partnership of Centerindo Kurnia Tritama Company is one of the exporters and producers of the traditional drink (wedang uwuh). Further identification using SOT analysis to find out the strengths, weaknesses, opportunities, and threats in this industry. Existing program development includes; digital marketing, innovative products with a production capacity of up to 25,000 per month, producer communities, exports, domestic cooperation, halal certification, and IPR. In addition, Limited Partnership has received operational capital assistance in the form of machine tools from the government. The sales point or consignment system still dominates product sales. On the one hand, being able to expand the market and save on promotion costs, but on the other hand, the required capital is multiplied with a relatively long sales period increases the risk of failure to sell.

OTGHB7_2023_v21n8_57_f0001.png 이미지

Figure 1: Road Map of Program Implementation Framework

The main activities carried out will be more focused on implementing market development strategy optimization through five digital marketing transformation trends with the target of a Limited Partnership of Centerindo Kurnia Tritama Company in the Special Region of Yogyakarta Province. Broadly speaking, optimizing this market development strategy is interesting for each platform, and prioritizing which platforms should be the focus by identifying many questions, for example; how many social media marketers are on Limited Partnership? which social media platform has the most suitable audience for the target? how long will it take to master the strategy on each targeted platform? are there any platforms that are not favorable to the overall marketing strategy at the moment, is there a platform where you can easily reuse interesting content? (like TikTok and YouTube Shorts).

The benefits of cooperation for universities are in supporting the Independent Campus program. The stages start with the input and process which then end with the output and outcome of the framework. (see picture 2) Figure 3 it is explained that the input of the framework consists of eight items including human resources, literature review, innovation results, facilities, funding, location, collaboration with Yogyakarta government agencies, and cooperation with partners, namely Centerindo Kurnia Tritama. In terms of the process, universities refer to the basis for achieving performance indicators, namely; (1) based on research results; (2) based on innovation (science and technology); (3) Participatory empowerment of lecturers and students; and (4) Excellent Faculty of Economics and Business, Faculty of Science and Technology, Faculty of Computer Science. The output of the Key Performance Indicator (IKU) as a measure of success and strategic goals for Higher Education includes the model Kedaireka Faculties Matching Fund Program; model discovery optimization of market development through digital marketing transformation trends; Appropriate application of science and technology; and Kemenkopukm & Kemenperin fostered areas. While the strategic goal is to increase partner income; Increase partner sales turnover; solving partner problems to achieve the Stability of the traditional sustainable food & beverage industry. More details regarding the orientation of the college team program are as follows.

OTGHB7_2023_v21n8_57_f0002.png 이미지

Figure 3: Stages of College Teamwork Framework towards Partners

Figure 4 explains the orientation of this program to focus on implementing research results, based on engineering innovation (appropriate science and technology), and area-based program development in the traditional food and beverage industry. The findings will help Partners have the right direction for strategies to increase revenue and product sales turnover to achieve sustainable stability. Activity 1.1 - Initial coordination between partners, University, local government, and experts - this activity aims to provide an overview and prepare the team as well as discussions and questions and answers related to the draft program implementation stages. This activity is carried out face-to-face on one working day. This activity is expected to produce an understanding and work plan document along with the implementation time by the implementing team. The regional government of Yogyakarta Province and experts acted as resource persons assisted by the University implementation team to prepare the technical aspects of the meeting. Participants in the activity were 30 people consisting of the implementing team, partners, local government, and experts.

OTGHB7_2023_v21n8_57_f0003.png 이미지

Figure 4: College Program Orientation

Activity 1.2 - Equalizing perceptions and assisting in strengthening commitments related to market development strategies through digital marketing transformation trends - this activity is planned for face-to-face implementation in Yogyakarta, precisely at the location of the partner who is the target of the program. This activity aims to explore the opinions of policyholders and experts on the issues of Strengths, Weaknesses, Opportunities, and Threats which focus on digital marketing transformation trends to maximize revenue and sales turnover of traditional beverage products typical of the special region of Yogyakarta; equate perceptions and also garner support from local governments in program implementation. This activity will involve experienced experts in the field of digital marketing (apps developers, web developers, Content creators, content writers, and SEO specialists); and several e-commerce and fintech actors.

Activity 1.3 - Brainstorming (Focus Group Discussion) regarding the root of the problem and solutions - this activity aims to explore the magnitude of the problem, the root of the problem, the target commitment to digital marketing transformation efforts to maximize revenue and sales turnover of traditional beverage products typical of Yogyakarta Special Province through a discussion focus group. This activity presented all the same participants as activity 1.2 along with the Department of Cooperatives, MSMEs, and Industry for the Special Region of Yogyakarta. This activity will produce a digital marketing guideline for MSMEs in Indonesia. The student implementation team became the moderator as well as being able to give their opinion in this discussion.

Activity 1.4 - Preparation of Digital Marketing Strategy Program Guidelines - activity aims to produce activity outputs that contain analysis of situations, problems, and recommendations that can be used as guidelines for stakeholders in utilizing strengths and outputs; tackling weaknesses and threats to the MSME industry, especially traditional Indonesian food and beverage products qualitatively. In addition, this activity is also aimed at producing information media as well as marketing both print and online media to promote partner products. The student implementation team will be actively involved in this activity. The target is digital consumers. This activity involves involving experienced experts in the field of digital marketing; the Department of Cooperatives, SMEs, and the Industry Special Region of Yogyakarta; implementation team in a hybrid meeting.

Activity 1.5 - Program Dissemination with Experts – this activity aims to convey the results of the programs that have been implemented and to disseminate the programs that have been prepared by the implementing team. In addition, this activity was carried out once in a hybrid manner. The results of data analysis will be disseminated in reputable international journals and accredited journals Sinta 2. In addition, partners will conduct program dissemination workshops based on the results of existing data analysis

5. Discussion

Through the matching fund program on the 'Kedaireka' platform, Higher Education offers a model for optimizing market development strategies through five forms of digital marketing transformation adopted from the research of Nguyen Ngoc Hien and Tran Nguyen Huynh Nhu (2022). Masuda et al. (2022) revealed that failure to use influencers will affect the level of engagement (clicks, subscriptions, and purchases). This is because the influence of social media can affect purchase intentions as well as persuasion theory. Video marketing makes marketing content more engaging. An interesting video provides information that the product offered has a million extraordinary advantages and benefits that can attract consumers. Therefore, marketing strategies using influencers need to be adjusted to personal attributes, characterizations, and the type of influencer that will be used later.

Social media can provide consumer support services. Previous findings conducted a moderation analysis of millennial and non-millennial consumers and consumer engagement. The aim is to assess whether the role of social media in marketing activities is important. The results show the important role of social media marketing in driving their experience and intention toward the brand (Khan, 2022). Another study found that consumers who like a particular brand mediate the influence of distribution and promotion through social media. Such consumer behavior ultimately has a positive effect on brand loyalty (Suartina et al., 2022). Thus it is clear that without social media marketing, consumers will find it difficult to communicate with the brands offered. Marketing and sales teams must align. So that the marketing team can get an overview of their consumers. This digital marketing practice has also been widely used as a marketing strategy to increase ranking and traffic. This is because 93% of online experiences begin with an internet search (Singh et al., 2023).

The application of AI can be found in the retail business. However, there are not many traditional beverage businesses in Indonesia that use AI marketing and automation like this. Studies reveal that AI is widely used by businesses with a large number of consumers. It can function as a tool that attracts more consumers in cyberspace (Kamoonpuri & Sengar, 2023). The reason that is most often found is due to the ability of AI to help complete marketing and interaction work faster, more numerous, and more accurately than human capabilities. Chatbots are even able to guide consumers in even the most complicated sales process (Krishnan et al., 2022).

Findings have revealed that in implementing a digital marketing strategy it is necessary to consider the security of its customers' data. Choi et al. (2019) offer a theoretical privacy model where the collection of consumers' data requires their consent. And consumers are fully aware of the consequences that must be received from the agreement they do. The extent to which it is implemented will most likely see developments in the field. This consideration is based on previous findings by Fainmesser et al. (2022) that private user data can be accessed by third parties for a fee. As a result, this method will harm the user. The research also provides a solution, namely a higher tax collection policy that is proportional to the amount of data collected. In the end, the framework for optimizing market distribution development strategies through digital marketing transformation trends is built by considering various phenomena in the field. The market distribution for traditional beverage products aims to be spread to all potential markets, especially online. So many people are interested in buying these products. This activity also aims to expedite and facilitate the delivery of products produced by Centerindo Kurnia Tritama to consumers.

The team designed a market distribution usage framework focusing on the type, quantity of product, price, place, and time needed. Because if there is a failure in market distribution activities it will cause the goal of increasing revenue and sales turnover not to be achieved. As previous studies explained, likely, consumers will not be interested in buying a product if there is a failure in applying the right market distribution (Shaw, 1912). Development strategy to maximize revenue and sales turnover of traditional drink products typical of Limited Partnership of Centerindo Kurnia Tritama requires a lot of involvement from experts and cooperatives & small and medium enterprises in the Yogyakarta area. Likewise from a technical and financial point of view which is the driving force behind the optimization program framework being carried out. This study has built a marketing distribution model that is unique and different from previous findings which focus more on competitive advantage. The last three years' studies have focused on the importance of increasing competitive advantage to support a sustainable food and beverage industry through various factors supporting competitiveness. For example, the positive impact of gaining competitive advantage through resource innovation, digitalization, and market orientation (Venturelli et al., 2022; Distanont & Khongmalai, 2020); cooperation in technology development, government certification, and eco-innovation (Garousi Mokhtarzadeh et al., 2020; Rabadán et al., 2019; Guo et al., 2019); environmental collaboration, and competitive intelligence (Barbosa et al., 2022; Suchánek & Králová, 2019; Welsh et al., 2013); new product development using the concept of big data at a lower cost (Jagtap & Duong, 2019). The uniqueness of this finding lies in the design of the activity map and program orientation. This research also supports the efforts of the Yogyakarta Provincial Government in carrying out the digital transformation of MSME business actors in accelerating national economic recovery.

6. Conclusions

The results of research findings and discussion have revealed that the market distribution strategy for traditional beverage products is carried out by adopting science and technology and expertise by universities. The framework that can be carried out includes forms of training activities, coaching, and forms of services/traditional beverage products. This collaboration with beverage product business partners allows universities that become partners to carry out the Independent Campus program as stipulated in the Minister of Education and Culture Number 3 of 2020 concerning National Standards for Higher Education. Based on the findings, it can be concluded that to overcome the marketing weaknesses of traditional beverage products from the Limited Partnership of Centerindo Kurnia Tritama Company, business actors cooperate with universities through the Kedaireka Matching Fund Program. The cooperation carried out can create the development of the right strategic framework for its business. This study identified weaknesses in marketing distribution that still use the consignment system. This research is limited to a framework whose realization still needs to be developed. In addition, the problem identification is still within the scope of only one traditional beverage industry. Future research can carry out this framework with some adjustments according to the research object. The research implication is that the government will provide more access to funding for business partners and universities in the future. The traditional beverage sector is very potential and universities that have many advantages in terms of expertise can support economic development and education in Indonesia.

7. Acknowledgment

The writing team would like to thank the chairman of the foundation, the chancellor, and the entire academic community as well as the student team at Bina Bangsa University, Banten, and STEBI Lampung for their support. Likewise for the Ministry of Education and Culture through the Matching Fund 2023 program which is a source of inspiration for the writing team. Thank you to all agencies and experts who have contributed to the completion of this research.

References

  1. Agustina, H. N. (2021). Consuming Jamu as Local Wisdom to Fight for Covid-19 Pandemic in Indonesia. International Journal, 8(3), 127-137. https://www.researchgate.net/profile/Hiqma-Agustina/publication/363129352_Consuming_Jamu_as_Local_Wisdom_to_Fight_for_Covid-19_Pandemic_in_Indonesia/links/630ed4075eed5e4bd132678d/ConsumingJamu-as-Local-Wisdom-to-Fight-for-Covid-19-Pandemic-inIndonesia.
  2. Avlonitis, G. J., & Salavou, H. E. (2007). Entrepreneurial orientation of SMEs, product innovativeness, and performance. Journal of Business Research, 60(5), 566-575. https://doi.org/10.1016/j.jbusres.2007.01.001
  3. Barbosa, M. W., Ladeira, M. B., de Oliveira, M. P. V., de Oliveira, V. M., & de Sousa, P. R. (2022). The effects of internationalization orientation in the sustainable performance of the agri-food industry through environmental collaboration: An emerging economy perspective. Sustainable Production and Consumption, 31(May), 407-418. https://doi.org/10.1016/j.spc.2022.03.013
  4. Bilgil, H. (2021). New grey forecasting model with its application and computer code. AIMS Mathematics, 6(2), 1497-1514. https://doi.org/10.3934/math.2021091
  5. Choi, J. P., Jeon, D. S., & Kim, B. C. (2019). Privacy and personal data collection with information externalities. Journal of Public Economics, 173, 113-124. https://doi.org/10.1016/j.jpubeco.2019.02.001
  6. Distanont, A., & Khongmalai, O. (2020). The role of innovation in creating a competitive advantage. Kasetsart Journal of Social Sciences, 41(1), 15-21. https://doi.org/10.1016/j.kjss.2018.07.009
  7. Ezenyilimba, E., Mbah, C. C., & Eze., J. O. (2019). Effect of Prouct Innovation on Organizational Sales Turnover (a study of Selected Beverage Companies in Anambra State). Advance Journal of Economics and Marketing Research, 4(7), 14-43. www.iaspub.org.uk/AJEMR/%0Aii.
  8. Fainmesser, I. P., Galeotti, A., & Momot, R. (2022). Mendaftar untuk Pembaruan dan Berita. Management Science, 68(8), 5924-5957. https://doi.org/https://doi.org/10.1287/mnsc.2022.4513Abstrak
  9. Farris, P., Olver, J., & Kluyver, C. De. (1970). Marketing Science. Management Science, 17(2), B-124-B-126. https://doi.org/10.1287/mnsc.17.2.b124
  10. Feng, H., Wang, X., Duan, Y., Zhang, J., & Zhang, X. (2020). Applying blockchain technology to improve agri-food traceability : A. Journal of Cleaner Production. https://doi.org/10.1016/j.jclepro.2020.121031
  11. Garousi Mokhtarzadeh, N., Amoozad Mahdiraji, H., JafariSadeghi, V., Soltani, A., & Abbasi Kamardi, A. A. (2020). A product-technology portfolio alignment approach for food industry: a multi-criteria decision making with z-numbers. British Food Journal, 122(12), 3947-3967. https://doi.org/10.1108/BFJ-02-2020-0115
  12. Glogovetan, A. I., Dabija, D. C., Fiore, M., & Pocol, C. B. (2022). Consumer Perception and Understanding of European Union Quality Schemes: A Systematic Literature Review. Sustainability (Switzerland), 14(3), 1-16. https://doi.org/10.3390/su14031667
  13. Guo, Z., Bai, L., & Gong, S. (2019). Government regulations and voluntary certifications in food safety in China: A review. Trends in Food Science and Technology, 90(October), 160-165. https://doi.org/10.1016/j.tifs.2019.04.014
  14. Hana, D., Materna, K., & Hasman, J. (2022). Distribution strategies of new and renewed regional industrial breweries in the context of Czech identity and the traditional beer market. Acta Universitatis Carolinae, Geographica, 57(2), 131-146. https://doi.org/10.14712/23361980.2022.11
  15. Haven-Tang, C., & Jones, E. (2005). Using Local Food and Drink to Differentiate Tourism Destinations Through a Sense of Place. Journal of Culinary Science & Technology, 4(4), 69-86. https://doi.org/10.1300/j385v04n04_07
  16. Horng, J. S., & Tsai, C. T. (2010). Government websites for promoting East Asian culinary tourism: A cross-national analysis. Tourism Management, 31(1), 74-85. https://doi.org/10.1016/j.tourman.2009.01.009
  17. Jagtap, S., & Duong, L. N. K. (2019). Improving the new product development using big data: a case study of a food company. British Food Journal, 121(11), 2835-2848. https://doi.org/10.1108/BFJ-02-2019-0097
  18. John E. Kwoka, J. (1979). The effect of market share distribution on industry performance. The Review of Economics and Statistics, 61(1), 101-109. https://doi.org/https://doi.org/10.2307/1924836
  19. Kamoonpuri, S. Z., & Sengar, A. (2023). Hi, May AI help you? An analysis of the barriers impeding the implementation and use of artificial intelligence-enabled virtual assistants in retail. Journal of Retailing and Consumer Services, 72(May), 1-9. https://doi.org/10.1016/j.jretconser.2023.103258
  20. Keskin, B., & Gunes, E. (2021). Social and cultural aspects of traditional drinks: A review on traditional Turkish drinks. International Journal of Gastronomy and Food Science, 25(June). https://doi.org/10.1016/j.ijgfs.2021.100382
  21. Khan, I. (2022). Do brands' social media marketing activities matter? A moderation analysis. Journal of Retailing and Consumer Services, 64(January), 1-7. https://doi.org/10.1016/j.jretconser.2021.102794
  22. Krishnan, C., Gupta, A., Gupta, A., & Singh, G. (2022). Impact of Artificial Intelligence-Based Chatbots on Customer Engagement and Business Growth. Studies in Big Data, 113, 195-210. https://doi.org/10.1007/978-3-031-10869-3_11
  23. Lavorato, D., & Piedepalumbo, P. (2023). How Smart Technologies Affect the Decision-Making and Control System of Food and Beverage Companies-A Case Study. Sustainability (Switzerland), 15(5), 1-21. https://doi.org/10.3390/su15054292
  24. Lee, Y. Y., & Falahat, M. (2019). The impact of digitalization and resources on gaining competitive advantage in international markets: Themediating role ofmarketing, innovation and learning capabilities. Technology Innovation Management Review, 9(11), 26-38. https://doi.org/10.22215/TIMREVIEW/1281
  25. Lin, C. T., & Hsu, P. F. (2002). Forecast of non-alcoholic beverage sales in Taiwan using the Grey theory. Asia Pacific Journal of Marketing and Logistics, 14(4), 3-12. https://doi.org/10.1108/13555850210764927
  26. Lukovic, M., Kostic, M., & Dajic Stevanovic, Z. (2023). Food tourism challenges in the pandemic period: getting back to traditional and natural-based products. Current Issues in Tourism, 26(1), 1-17. https://doi.org/10.1080/13683500.2023.2165481
  27. Marshall, G. W., Moncrief, W. C., Rudd, J. M., & Lee, N. (2012). Revolution in sales: The impact of social media and related technology on the selling environment. Journal of Personal Selling and Sales Management, 32(3), 349-363. https://doi.org/10.2753/PSS0885-3134320305
  28. Masuda, H., Han, S. H., & Lee, J. (2022). Impacts of influencer attributes on purchase intentions in social media influencer marketing: Mediating roles of characterizations. Technological Forecasting and Social Change, 174(January), 121-246. https://doi.org/10.1016/j.techfore.2021.121246
  29. Nam, S.-J., & Kim, K.-O. (1989). Characteristics of Sikhye(Korean Traditional Drink) made with Different Amount of Cooked Rice and Malt and with Different Sweeteners. Korean Journal of Food Science and Technology, 21(2), 197-202. https://koreascience.kr/article/JAKO198903041943547.pdf
  30. Obasi, R., & Amadi, L. (2022). Brand Price Positioning Strategy and Sales Turnover of Food and Beverage Manufacturing Companies In Rivers State Nigeria. Int. J. Social Science Humanities Research, 05(01), 36-49. http://www.gphjournal.org/index.php/ssh/article/view/554/351 https://doi.org/10.47814/ijssrr.v5i7.342
  31. Pranata, N., Soekarni, M., Mychelisda, E., Novandra, R., Nugroho, A. E., Rifai, B., Buhaerah, P., Zulhamdani, M., & Yuliana, R. R. D. (2022). Technology Adoption Issues and Challenges for Micro, Small and Medium Enterprises: A Case Study of the Food and Beverage Sub-Sector in Indonesia. The Journal of Asian Finance, Economics and Business, 9(3), 265-274. https://doi.org/10.13106/jafeb.2022.vol9.no3.0265
  32. Rabadan, A., Gonzalez-Moreno, A., & Saez-Martinez, F. J. (2019). Improving firms' performance and sustainability: The case of eco-innovation in the agri-food industry. Sustainability (Switzerland), 11(20), 1-16. https://doi.org/10.3390/su11205590
  33. Rana, J., & Paul, J. (2020). Health motive and the purchase of organic food: A meta-analytic review. International Journal of Consumer Studies, 44(2), 162-171. https://doi.org/10.1111/ijcs.12556
  34. Sharma, A., Kumar, V., & Cosguner, K. (2019). Modeling Emerging-Market Firms' Competitive Retail Distribution Strategies. Journal of Marketing Research, 56(3), 439-458. https://doi.org/10.1177/0022243718823711
  35. Shaw, A. W. (1912). Some Problems in Market Distribution. The Quarterly Journal of Economics, 26(4), 703-765. https://www.jstor.org/stable/1883802 https://doi.org/10.2307/1883802
  36. Singh, D., Panigrahi, A., Das, A., Krishnan, A., Samanta, D., Bhattacharya, A., & Dutta, S. (2023). Search Engine Optimization for Digital Marketing to Raise the Rank, Traffic, and Usability of the Website. In Smart Innovation, Systems and Technologies (Vol. 316, pp. 217-226). Springer International Publishing AG. https://doi.org/10.1007/978-981-19-5403-0_18
  37. Stone, M. J., Soulard, J., Migacz, S., & Wolf, E. (2018). Elements of Memorable Food, Drink, and Culinary Tourism Experiences. Journal of Travel Research, 57(8), 1121-1132. https://doi.org/10.1177/0047287517729758
  38. Suartina, I. W., Wimba, I. G. A., Astrama, I. M., Wulandari, N. L. A. A., Rahmayanti, P. L. D., Yasa, N. N. K., & Sujana, I. K. (2022). The role of brand love in mediating the effect of intensive distribution and social media promotion on brand loyalty and e-WOM. International Journal of Data and Network Science, 6(2), 335-346. https://doi.org/10.5267/j.ijdns.2022.1.004
  39. Suchanek, P., & Kralova, M. (2019). Customer satisfaction, loyalty, knowledge and competitiveness in the food industry. Economic Research-Ekonomska Istrazivanja, 32(1), 1237-1255. https://doi.org/10.1080/1331677X.2019.1627893
  40. Venturelli, A., Caputo, A., Pizzi, S., & Valenza, G. (2022). A dynamic framework for sustainable open innovation in the food industry. British Food Journal, 124(6), 1895-1911. https://doi.org/10.1108/BFJ-03-2021-0293
  41. Welsh, J. A., Lundeen, E. A., & Stein, A. D. (2013). The sugar-sweetened beverage wars: Public health and the role of the beverage industry. Current Opinion in Endocrinology, Diabetes and Obesity, 20(5), 401-406. https://doi.org/10.1097/01.med.0000432610.96107.f5