Vol. 5, No. 10, October 2024

E-ISSN:2723 – 6692

P-ISSN:2723– 6595

http://jiss.publikasiindonesia.id/

Journal of Indonesian Social Sciences, Vol. 5, No. 10, October 2024 2710

Developing Marketing Strategy for User-Generated Content:

Study Case for Company X

Akbar Imanulrachman

Institut Teknologi Bandung, Bandung, Indonesia

Email: akbar_imanulrachman@sbm-itb.ac.id

Correspondence: akbar_imanulrac[email protected]*

KEYWORDS

ABSTRACT

online Media; User-Generated

Content; Travel; Tourism;

Motivation; Incentive

This study investigates strategies to enhance user-generated

content (UGC) growth for Company X, a part of Company X, to

address the declining trend in UGC contributions and increasing

operational costs. The study employs a qualitative methodology,

including in-depth interviews with Company X users and content

creators, to identify user personas, motivations, and preferences.

External analyses such as PESTEL, competitive analysis, and

internal SWOT analysis are used to frame the problem. The results

suggest that enhancing the reward system, aligning incentives with

user expectations, and improving platform engagement can

increase UGC contributions. The proposed strategies aim to

leverage UGC to reduce costs and boost user engagement and

retention, supporting Company X’s future growth.

Attribution-ShareAlike 4.0 International (CC BY-SA 4.0)

Introduction

Digital technology has significantly changed the way we consume media and travel

information. In Indonesia, internet usage has proliferated, with over 204.7 million users reported in

January 2022, covering about 73.7% of the population (Riyanto, 2022; Rosary, 2020). This

widespread internet access has brought opportunities and challenges for digital media platforms,

which must constantly innovate to stay relevant and engaging.

Digital media, particularly in news and publishing, has shifted from traditional methods to

more personalized and direct interactions with audiences. This change has made it harder for

platforms to capture and keep user interest, leading them to explore new strategies like User-

Generated Content (UGC) (Beveridge, 2024). UGC, which includes reviews, blogs, videos, and social

media posts created by users, has become an essential part of digital media. It offers natural and

varied perspectives that resonate more effectively with audiences (Pwc, 2028).

Company X is a significant player in Indonesia's digital media scene, focusing on travel-related

content. Despite having about 4 million monthly users and around 10 million monthly page views,

Company X faces challenges maintaining and increasing UGC contributions.

However, inadequate UGC strategies-such as ineffective reward systems, complex submission

processes, and lack of community building, lead to reduced user participation, impacting platform

growth and operational costs.

e-ISSN: 2723-6692  p-ISSN: 2723-6595

Journal of Indonesian Social Sciences, Vol. 5, No. 10, October 2024 2711

This research addresses the specific problem of the decline in UGC contributions for Company

X, coupled with rising operational costs. Despite an extensive user base, the existing UGC system

fails to effectively meet users’ motivational needs, resulting in diminished content contributions.

The impact of inadequate UGC strategies can be significant, leading to lower user retention, reduced

content variety, and increased marketing expenses to maintain platform engagement (Bravo et al.,

2021; Hur et al., 2017).

Previous studies on UGC strategies in digital platforms have highlighted the importance of

incentives, ease of contribution, and community-building initiatives. Bravo et al. (2021) and Wang et

al. (2022) emphasize that UGC incentives aligned with user expectations are essential for sustaining

contributions. However, limited research has been conducted specifically on the Indonesian digital

media context, and even fewer studies focus on the travel sector, where user experiences and

personal motivations vary widely. This research gap reveals a need for customized strategies to

address Indonesian users' unique preferences and behaviors in travel-related content creation.

The new aspect of this research lies in developing tailored UGC strategies that directly

respond to the challenges faced by Company X. By identifying user personas, motivations, and

engagement barriers, this study aims to create a more inclusive UGC ecosystem. The findings offer

practical recommendations to enhance the UGC framework, including improved reward systems,

streamlined submission processes, and community-oriented engagement models. This ultimately

supports Company X's competitive positioning in the digital media and tourism sectors.

This study aims to develop strategies to boost UGC for Company X, addressing the decline in

contributions and rising operational costs. Through interviews and analysis, this research seeks to

understand user motivations and preferences and propose strategies that will enhance the UGC

ecosystem, improve the reward system, and increase user engagement. The goal is to use UGC to

reduce costs and support Company X's growth in the competitive digital media and tourism

industries.

Materials and Methods

This study uses a qualitative approach to explore what influences user-generated content

(UGC) on Company X. The research focuses on understanding the motivations, preferences, and

behaviors of UGC contributors and readers and the external and internal factors affecting Company

X's operations. A qualitative approach is chosen because it allows a detailed understanding of users'

experiences and perspectives (Creswell & Creswell, 2018).

Data is collected through both primary and secondary sources

For primary data, in-depth interviews are conducted with Company X readers and UGC

contributors. Twelve participants are selected based on factors like age, gender, socioeconomic

status, location, and engagement with Company X. The interviews are semi-structured, allowing for

open discussions while ensuring key topics are covered. Questions focus on what drives users to

create content, what influences their engagement, and what challenges they face. The participants

include six Company X readers and six UGC contributors, categorized by how often they contribute

content.

Secondary data comes from internal sources like Google Analytics and the Content

Management System, which provide insights into user behavior and UGC performance. External

e-ISSN: 2723-6692  p-ISSN: 2723-6595

Journal of Indonesian Social Sciences, Vol. 5, No. 10, October 2024 2712

data, such as market analyses and competitor evaluations, is also used to understand the broader

environment. PESTEL and SWOT analysis tools help assess external factors and internal strengths

and weaknesses.

The data is analyzed using several methods to gain clear insights

For qualitative data, thematic analysis is used to identify patterns and themes related to user

motivations, content preferences, and challenges in contributing to UGC. This involves organizing

the data into categories to find common themes. Narrative analysis is also used to interpret UGC

contributors' stories and experiences, focusing on what influences their content creation and

engagement.

External and internal factors are analyzed using PESTEL and SWOT frameworks. PESTEL

analysis helps examine external factors impacting Company X, while SWOT analysis examines the

platform’s internal strengths, weaknesses, opportunities, and threats. Competitor analysis is also

done to see how similar platforms operate and manage UGC, helping Company X identify areas

where it can stand out.

This research focuses on Company X's operations, particularly its UGC strategy. Due to limited

data access, the study does not cover financial or cost analysis. The findings may also be limited by

the number of participants interviewed, which could affect how broadly the results apply to all

Company X users.

This research methodology outlines a simple approach to understanding user-generated

content on Company X. By combining interview data with internal and external sources, the study

aims to provide practical insights into how Company X can improve its UGC strategy to boost user

engagement and grow the platform.

Results and Discussions

In-Depth Interview Results

The in-depth interviews with Company X users and content contributors offered important

insights into the reasons behind their participation and the challenges they face. Many contributors

are motivated by the straightforward enjoyment of sharing their travel experiences. They have a

passion for travel and want to inspire others. However, rewards like money or recognition were less

important to them. Most contributors felt that the current reward system, which mainly includes

content showcases and occasional vouchers, does not do enough to encourage regular contributions

(Rousseau & ten Have, 2022).

The interviews also pointed out several challenges for contributors. A key issue is the

complicated process of submitting content. Many contributors found the user interface difficult to

navigate, which made uploading content a frustrating experience. Moreover, the lack of feedback

from the platform about the impact or quality of their contributions left some contributors feeling

unappreciated, discouraging them from continuing to contribute. There is also a mismatch between

the rewards offered and what contributors expect. Many feel that the effort required to produce

quality content is not adequately recognized, leading to fewer submissions over time.

Based on these findings, different types of contributors were identified. "The Enthusiast" is a

passionate traveler who enjoys sharing detailed stories and photos. "The Casual Contributor" shares

content occasionally, usually driven by a specific trip, and is not primarily motivated by rewards.

e-ISSN: 2723-6692  p-ISSN: 2723-6595

Journal of Indonesian Social Sciences, Vol. 5, No. 10, October 2024 2713

"The Opportunist" is more focused on potential rewards or recognition and contributes content

with those incentives in mind. Understanding these different personas is key to developing

strategies to boost participation.

External Analysis

Using the PESTEL framework, the external analysis shed light on various factors affecting

Company X's user-generated content strategy (Pröllochs & Feuerriegel, 2020). Politically,

regulations on digital content and data privacy could impact how content is managed on the

platform. Economically, downturns could lead to fewer people traveling, reducing the amount of

shared content. Socially, the growing popularity of social media and the desire for authentic travel

experiences encourage more users to contribute content. Technological advances in mobile devices

and content creation tools have made it easier for users to create and share content, though the

platform must remain user-friendly to take full advantage of these trends (Digital, 2022).

Environmentally, the increasing focus on sustainable travel could shift the type of content users

contribute, with more emphasis on eco-friendly travel experiences. Ensuring compliance with

intellectual property laws is essential to avoid legal issues when managing user-generated content.

Internal Analysis

The SWOT analysis revealed several strengths and weaknesses related to Company X's

approach to user-generated content. One of the platform's strengths is its large user base, which

provides a solid content-sharing foundation. The focus on travel, a highly engaging topic, naturally

encourages users to share their experiences. However, a significant weakness is the current reward

system, which is not effectively motivating contributors. The process of submitting content also

needs improvement. Growth opportunities include enhancing the reward system and making the

content submission process easier. Additionally, expanding partnerships with travel brands could

provide new incentives for contributors. However, the platform faces competition from other sites

with better user-generated content features, which could threaten its position if it does not innovate

(Cheng et al., 2021).

Business Solution

Based on the findings, several strategies are suggested to increase user-generated content on

Company X. First, the reward system should be improved to offer more meaningful financial and

non-financial incentives. This might include creating tiers of rewards based on how often and how

well users contribute. Second, submitting content needs to be made more accessible, and the

platform should provide more precise feedback to contributors. This could involve redesigning the

user interface and offering guides to help users create content. Third, engagement and retention

could be boosted by building a stronger community among contributors through regular activities

like contests or highlighting top contributors. Finally, partnering with travel brands could offer

rewards and recognition, including co-branded content or sponsored trips for top contributors

(Soylemez, 2021).

e-ISSN: 2723-6692  p-ISSN: 2723-6595

Journal of Indonesian Social Sciences, Vol. 5, No. 10, October 2024 2714

Implementation Plan & Justification

The implementation plan involves rolling out these strategies in phases, starting with

immediate improvements to the user interface and reward system (Malinova et al., 2022; Zorzetti et

al., 2022). Following these enhancements, marketing efforts will promote user-generated content

and establish partnerships with travel brands. This plan has the potential to increase user

engagement, lower content creation costs, and strengthen Company X's position in the market.

Conclusion

This study examined ways to improve user-generated content (UGC) on Company X to reverse

the decline in contributions and increase user participation. Through in-depth interviews with users

and contributors, the research identified the key motivations and obstacles that impact UGC

involvement. Contributors are primarily motivated by the personal satisfaction of sharing their

travel experiences. However, the current reward system, which mainly offers content showcases

and occasional vouchers, does not do enough to encourage regular contributions. Contributors also

face challenges with the platform’s user interface, which makes submitting content difficult, and the

lack of feedback from the platform further discourages them from participating. The external

analysis showed that factors like the growing use of social media, advances in mobile technology,

and a rising focus on sustainable travel could influence UGC. Internally, the analysis revealed that

while Company X has a large user base and a strong interest in travel content, the current reward

system and submission process needs significant improvements. Based on these findings, the study

suggested several strategies: improving the reward system, making the content submission process

easier, building a stronger community among contributors, and partnering with travel brands to

offer additional incentives. These strategies aim to increase UGC contributions, lower content

creation costs, and strengthen Company X’s position in the market. In conclusion, by addressing the

challenges identified and implementing the suggested strategies, Company X can boost user

participation, improve the quality and quantity of UGC, and maintain its competitiveness in the

digital media and travel sectors.

References

Beveridge, C. (2024, March 26). User-Generated Content (UGC): What It Is + Why It Matters.

Hootsuite. https://blog.hootsuite.com/user-generated-content-

ugc/#:~:text=UGC%20is%20a%20cost%2Deffective,in%20your%20business%3A%20your%

20audience

Bravo, R., Catalán, S., & Pina, J. M. (2021). Gamification in tourism and hospitality review platforms:

How to R.A.M.P. up users’ motivation to create content. International Journal of Hospitality

Management, 99, 103064. https://doi.org/10.1016/j.ijhm.2021.103064

Cheng, L.-C., Chen, K., Lee, M.-C., & Li, K.-M. (2021). User-Defined SWOT analysis – A change mining

perspective on user-generated content. Information Processing & Management, 58(5), 102613.

https://doi.org/10.1016/j.ipm.2021.102613

Creswell, J. W., & Creswell, J. D. (2018). Research Design: Qualitative, Quantitative, and Mixed Methods

Approaches (5th Edition). Sage publications.

Digital, D. (2022). 8 Social Media Trends for 2022. Deloitte Digital.

https://www.deloittedigital.com/mt/en.html

e-ISSN: 2723-6692  p-ISSN: 2723-6595

Journal of Indonesian Social Sciences, Vol. 5, No. 10, October 2024 2715

Hur, K., Kim, T. T., Karatepe, O. M., & Lee, G. (2017). An exploration of the factors influencing social

media continuance usage and information sharing intentions among Korean travellers.

Tourism Management, 63, 170–178. https://doi.org/10.1016/j.tourman.2017.06.013

Malinova, M., Gross, S., & Mendling, J. (2022). A study into the contingencies of process improvement

methods. Information Systems, 104, 101880. https://doi.org/10.1016/j.is.2021.101880

Pröllochs, N., & Feuerriegel, S. (2020). Business analytics for strategic management: Identifying and

assessing corporate challenges via topic modeling. Information & Management, 57(1), 103070.

https://doi.org/10.1016/j.im.2018.05.003

Pwc. (2028). Perspectives from the Global Entertainment & Media Outlook 2018–2022 Trending now:

convergence, connections and trust. PwC.

Riyanto, A. D. (2022, February 19). Hootsuite (We are Social): Indonesian Digital Report 2022.

Hootsuite. https://andi.link/hootsuite-we-are-social-indonesian-digital-report-2022/

Rosary, A. (2020). Indonesia Millennial Report 2020: Understanding Millennials’ Behaviours and

Demystifying Their Stereotypes. Jakarta: IDN Research Institute.

https://www.idn.media/news/41/indonesia-millennial-report-2020-understanding-

millennials-behaviours-and-demystifying-their-stereotypes

Rousseau, D. M., & ten Have, S. (2022). Evidence-based change management. Organizational

Dynamics, 51(3), 100899. https://doi.org/10.1016/j.orgdyn.2022.100899

Soylemez, K. C. (2021). 4W of user-generated content: why who we are and where we post influence

what we post. Journal of Research in Interactive Marketing, 15(3), 386–400.

https://doi.org/10.1108/JRIM-06-2019-0093

Wang, Z., Huang, W.-J., & Liu-Lastres, B. (2022). Impact of user-generated travel posts on travel

decisions: A comparative study on Weibo and Xiaohongshu. Annals of Tourism Research

Empirical Insights, 3(2), 100064. https://doi.org/10.1016/j.annale.2022.100064

Zorzetti, M., Signoretti, I., Salerno, L., Marczak, S., & Bastos, R. (2022). Improving Agile Software

Development using User-Centered Design and Lean Startup. Information and Software

Technology, 141, 106718. https://doi.org/10.1016/j.infsof.2021.106718