THE INFLUENCE OF PRODUCT DEVELOPMENT AND PROMOTION ON PURCHASE INTENTION MODERATED BY SOCIAL MEDIA INFLUENCERS

This study aimed to analyze the effect of product development and Promotion on purchase intention, with the role of social media influencers as moderating variables. This research focuses on consumers of TEKIRO brand hand tools products distributed by PT Altama Surya Anugerah (ASA) - Indonesia. The research method used is quantitative, with a Google Forms survey approach. The research sample consisted of 190 respondents who were consumers of TEKIRO hand tools products in 15 major cities in Indonesia. The sampling technique used is non-probability sampling with the quota method. This data was collected by online and offline questionnaires, which the researchers then analyzed using Structural Equation Modeling (SEM) with the AMOS version 23 application. The study results indicate that product development has a significant positive effect on purchase intention. The Promotion has no significant effect on purchase intention. Social media influencers strengthen the positive Influence of product development on purchase intention. However, social media influencers do not strengthen the Influence of Promotion on purchase intention. This research implies that companies must prioritize innovative and sustainable product development and can utilize social media influencers who are credible, relevant to the company's business, know the influencer's audience, and have a good reputation to increase consumer purchase intention.


INTRODUCTION
In the face of increasingly sharp business competition where every company is required always to create products that can fulfill the wishes of consumers who are increasingly diverse from time to time.This must be done considering that if consumers do not fulfill their desires for the benefit of the company's products, consumers will switch their choices to other products that match the desires produced by other companies as competitors (Chaniago, 2020b).The effect caused by switching consumers to products offered by competitors resulted in the company experiencing a decrease in sales, thereby reducing company profits.
Companies are required to always develop products, either by making variations of existing products or creating new products, which is done after considering market desires through market research.Thus, product sales can be maintained and will even increase purchasing power through new products created.The steps taken to follow consumer tastes vary according to consumers' needs, desires, and willingness to buy the products offered, so the various types of products produced are expected to meet consumer tastes.Some entrepreneurs believe that, in the long run, a positive relationship exists between new product sales and increased company sales (Chaniago, 2020a).Selling prices can provide information about business revenues, while Promotion (Marketing) costs can provide an overview of the company's operational expenses and performance (Makalalag et al., 2023)..
Even though the company has carried out the development of the products produced, it will not influence purchasing power if promotional activities do not effectively support it.This is the same as the results of research conducted (Chaniago et al., 2019) that one of the things that determines the success of a business is the Promotion Media.By holding promotional activities, the products produced by a company can be recognized by consumers so that they are interested in choosing a product according to their taste.The main thing in Promotion is to create persuasive messages that effectively attract consumer attention (Puspitarini & Nuraeni, 2019).Social media has great opportunities for business and Promotion.
Social media has a big impact on society, so social media is used by marketers to expand marketing and promotion practices (Hermanda et al., 2019).As shown in Figure 1, active social media users in 2023 amounted to 167 million users out of 60% of the total population in Indonesia.This is the reason in social media where people actualize themselves to the public according to their interests, such as hobbies, sharing information, or doing accidental things.Besides users, users can meet each other even though they are separated by distance.Simple little things published by someone on social media can make them known to other users and even known to the world so that they can influence other users on social media, currently known as Influencers.
Companies look up to Influencers because they are seen as leaders who mediate between the company and its followers.This makes them take on the role of brand ambassadors or spokespersons.Influencers play an important role in helping businesses develop what they call "digital relationships" with their customers by complementing and amplifying more traditional forms of marketing.They see digital relationships as essential in today's business climate (Zaman et al., 2023).
They work to capitalize on the army of independent Influencers that already exist on the internet, namely independent bloggers.Believe it or not, there are almost as many people making a living as bloggers as lawyers.The key is finding bloggers with a relevant readership network, a credible voice, and a good fit with the brand (Kotler & Armstrong, 2018).
According to research conducted by Puspitarini and Nuraeni (2019), an Influencer who provides information or promotes a product can achieve the ultimate goal by increasing sales.Not just increasing sales, but also displaying a good product image or brand image and a good company image to consumers.
Promotional activities moderated by the company's social media influencers increase sales.Sales cannot be carried out by what is expected if persuasive or indirect communication is not prioritized.From here, it seems clear I feel the importance of Promotion in increasing sales of goods produced by a company in the face of fierce competition.Besides that, it can also increase sales.Promotion plays an important role in influencing purchase intentions in various contexts.Research has shown that social media promotions positively impact purchase intentions and purchase decisions.Promotions, such as those conducted through social media, can create awareness, generate interest, and influence consumer attitudes toward a product or service.This, in turn, can lead to increased purchase intent as consumers are more likely to consider purchasing the promoted product or service.Companies strategically utilizing social Media Promotions to communicate their value proposition, showcase their products or services, and interact with consumers can influence purchase intent and drive sales.Overall, Promotions play an important role in shaping consumer attitudes by influencing perceptions, creating engagement, and building relationships between businesses and consumers (Mahbub et al., 2024).However, according to (Grace & Pardede, 2023), the results of this study prove that Sales Promotion has no significant positive effect on Purchase Intention.
Therefore, effective Promotion can influence consumer purchasing intentions.according to (Priansa 2017), Purchase Intention is a personal intention to buy a selected brand choice for themselves after completing the evaluation.Companies need to build long-term relationships with consumers so that they continue to use the products or services offered.It is hoped that customers will become loyal and build customer engagement, which is one form of the company strategy to create resources with a sustainable competitive advantage in improving and maintaining a business.
Purchase Intention is also defined as the emergence of consumer intention or interest in making a product transaction based on trust in their minds and the ability to make a purchase.(Qotrunnida et al., 2021).Purchase Intention is part of the integration process that combines knowledge to evaluate choices and choose one (Qotrunnida et al., 2021).This integration process produces output in the form of options that are cognitively presented as an urge to take an action (desire to buy).From this definition, of course, the urgency of Purchase Intention in the marketing process is clear (Kotler & Keller, 2012) Also, the definition of Purchase Intention is "consumer behavior occurs when consumers are stimulated by external factors and come to Purchase decisions based on their personal characteristics and decision-making process."This means that consumer behavior is influenced by external factors and based on personal characteristics and the decisionmaking process.
A company's success is judged by its ability to create new products according to consumer tastes.In addition, it is necessary to have a social media influencer-moderated Promotion that can provide information to consumers to increase Purchase Intention.The success of a company is judged by its ability to create new products according to consumer tastes.In addition, there is a need for promotion moderated by social media influencers who can provide information to consumers to increase Buying Intention.Based on the above background, the purpose of this study is to analyze the effect of product development and Promotion on purchase intention, with the role of social media influencers as moderating variables.So that the benefits of this research are to make theoretical and practical contributions in the development of marketing strategies, especially in understanding how product development and promotions moderated by social media influencers can influence consumer purchase intentions.

METHOD
This research design is a quantitative research correlational method.The main data source is obtained by collecting data from respondents using offline and online questionnaires to consumers who use hand tools products in Indonesia or buy tools and carpentry needs located in 15 cities in Indonesia, so the object of this research is Purchase Intention.According to (Sekaran & Bougie, 2016), the subject is one sample member.So, the subject of this research is Handtools / Hand Tools Products with the TEKIRO brand at PT Altama Surya Anugerah located at Jl. Bandengan Utara No. 89, North Jakarta, and researchers want to explore topics related to Purchase intention from users of hand tools (hand tools and carpentry tools).
The measurement scale used is an ordinal scale using the Likert scale measurement method.The population in this study are residents of 15 major cities in Indonesia (service center locations Jakarta, Bandung, Semarang, Surabaya, Bali, Makassar, Manado, Samarinda, Banjarmasin, Pontianak, Medan, Jambi, Pekanbaru, Palembang & Lampung).The population criteria for this study are end users or users of hand tools or carpentry tools.To obtain data from respondents, this study uses the Non-Probability Sampling method with a quota sampling technique that determines the sample from a population with certain characteristics until the desired number (quota).Research instrument testing uses validity and reliability tests.In this study, the data review method underwent several experiments, including the SEM Acceptance Test, Model Feasibility Test, and Hypothesis Test.The hypothesis in this study can be seen from the following figure:

RESULTS AND DISCUSSION Descriptive Analysis Results
The survey data used in this study is the main data in the form of Google Forms questionnaires distributed online and Offline in 15 cities in Indonesia.There were 352 respondents in the survey collected during June-July 2024, A total of 352 respondent samples obtained were then processed with AMOS version 23 data processing.This chapter will present the analysis results in the form of respondent profiles, along with indicators in the study, instrumental test results including validity and reliability, goodness of fit test results, hypothesis test results, and discussion.Determination of these sample criteria using the theory (Hair, 2009) The minimum sample size is the total number of researcher indicators multiplied by 10.

Respondent Profile
The respondent profile shows the demographic characteristics of the research sample, which include gender, age, occupation, education, and domicile.Based on the survey results, the detailed profiles of the 352 respondents in the study used are as follows: Based on Figure 4 Based on gender, 352 respondents consisted of 255 or 72.4% of respondents were male, and 97 or 27.6% were female.Based on age, a total of 352 respondents consisted of 188 or 53.4% of respondents aged 24-34 years, 105 or 29.8% of respondents aged 35-44 years, 28 or 8% of respondents aged 18-24 years, 17 or 4.8% of respondents aged 15-24 years, 14 or 4% of respondents aged ≥45 years.As shown in Figure 5. based on education, it can be seen that the majority of the total 352 respondents are 186 or 52.5%, namely S1 (Bachelor), followed by 91 or 25% of SMA / SMK education, then D3 as many as 66 or 18.8% respondents, then S.D. & SMP as many as 6 or 1.7% of respondents, 2 or 0.6% as housewives, and there are 1 or 0.3% with S2 education.Based on the occupation of a total of 352 respondents, 192 or 54.5% of respondents worked as private employees, 77 or 21.9% of respondents as technicians/mechanics/craftsmen or the like, then as many as 49 or 13.9% of respondents as entrepreneurs, then as many as 25 or 7.1% of respondents as students/students, followed by 2 or 0.6% of respondents as housewives, 2 or 0.6% of respondents as Police, 1 or 0.3% of respondents as BUMN, and finally 1 or 0.3% of respondents as TNI.Source: processed by researchers, 2024 A total of 352 respondents were taken from 15 cities in Indonesia, namely Surabaya city as many as 64, Semarang city as many as 59, Jakarta city as many as 52, Makassar city as many as 22, Bandung city as many as 21 Medan city as many as 20, city as many as 16, Manado city as many as 15, Pontianak city as many as 14, Pekanbaru city as many as 13, Jambi and Banjarmasin cities as many as 12, Lampung and Bali cities as many as 11 and the last city Samarinda as many as ten respondents.

Descriptive Statistics
According to (Sugiyono, 2010), mean is a group explanation technique based on the average value of the group.The average value is obtained by adding up all data values and then dividing by the number of people in the group.Mean is a statistical measure that is very useful in quantitative research to provide an overview of the central tendency in a data set.Indicates the average value, or the most representative value, of the data set.The Promotion variable gets the highest mean value of 4.29.This is followed by the Purchase Intention variable 4. Source: processed by researchers, 2024 In study, the Promotion variable has six indicators with a mean value of 4.24 and a standard deviation of 0.888.Table 3 shows that all indicators of the Promotion variable each have good value results, which prove that respondents agree with the Promotion of the TEKIRO Handtools brand.In this study, the Social Media Influencer variable has three indicators.Social Media Influencers who collaborate with Handtools -TEKIRO products, namely; 1. Rifat Sungkar is an Indonesian racer actively participating in National and International rally championships.2. Sintya Marisca is a Jakarta actress, presenter, influencer, and celebrity.3. Gisella Anastasia is an Indonesian singer, actress, influencer and presenter.She was the runnerup of the fifth season of Indonesian Idol. 4. Arief Muhammad is a writer, content creator, influencer, Youtuber, and entrepreneur.5. Ridwan Hanif is a content creator, influencer, and YouTuber specializing in automotive.6. Matteo Guerinoni is a former motorcycle racer, G.P. motorcycle commentator, and owner of several Italian restaurants in Jakarta and Bali.With a mean value of 4.16 and a standard deviation of 0.937, Table 4 shows that all indicators of the Social Media Influencer variable have good value results, which proves that respondents agree that Social Media Influencers are important to the TEKIRO Handtools brand.Source: processed by researchers, 2024 Table 6.shows that the Cronbach's Alpha value generated by the Purchase Intention variable is 0.864, the Product Development variable is 0.861, the Promotion variable is 0.885, and the Social Media Influencer is 0.859.The four variables are said to be reliable because they have met the requirements for Cronbach's Alpha value, which is ≥ 0.70.

Goodness of Fit (GOF) Test Figure 6. Model Measurement Results Before Modification
Source: processed by researchers, 2024 In Figure 6. it can be seen that the Chi-Square value is 372,088, which still shows a large enough number and a Probability of 0.000.In addition, other numbers are shown by RMSEA of 0.067, AGFI of 0.863, IFI of 0.942, TLI of 0.932, and CFI of 0.942, which are also considered as a whole not meeting all Good Fit criteria, therefore to get a model according to the criteria it is necessary to do Modification Indices.To get fit results, the researcher modified several indicators with large errors according to the modification indices, namely the PR2 & PR3 Promotion variable and the PI2 Purchase Intention variable.The modifications' results are expected to provide a Goodness of Fit value by the criteria.

Figure 7. Model Measurement Results After Modification
Source: processed by researchers, 2024 After modifying the model shown in Figure 7, the Goodness of Fit criteria have been met, as shown by the Chi-Square value of 92.486, Probability of 0.247, AGFI of 0.949, IFI of 0.997, CFI of 0.997, RMSEA of 0.017, Cmin/DF of 1.101, and TLI of 0.996.Based on the overall value, the model has met the criteria, so the research can proceed to the next method.Source: processed by researchers, 2024

Hypothesis Testing Results
In conducting hypothesis testing, C.R. (Critical Ratio) and P-value are needed to see how much Influence a variable has on other variables.C.R. value ≥ 1.967 and p-value ≤ 0.05 are ideal results expected in a research study.Table 4.9 shows estimated results, C.R. (critical ratio) values, and pvalues taken based on standardized regression weights.Researchers also attached the results of the Sobel test using quantpsy.orgsoftware.Source: processed by researchers, 2024 Based on Table 8, it can be stated that there are two hypotheses accepted by fulfilling the conditions C.R.≥ 1.967 and p-value ≤ 0.05 and 2 hypotheses rejected.The results of hypothesis testing as shown in Table 4.10, which is the result of testing the research hypothesis.The first hypothesis proves that Product Development positively and significantly affects purchase intention.Based on Table 9, the results of the C.R. (critical ratio) value obtained from H1 are 7.891, and the p-value is close to 0.000; it is stated that H1 has met the requirements for the C.R. value and p-value because the C.R. value is more than> 1.967 and the p-value is less than <0.05.There is also an estimated coefficient value of 1.093.So, this proves that the first hypothesis is accepted.H2 Promotion has a positive and significant effect on Purchase Intention.
The second hypothesis proves that Promotion positively and significantly affects purchase intention.Based on Table 9, the results of the C.R. (critical ratio) value obtained from H2 are -0.169 and a p-value of 0.189; it is stated that H2 does not meet the requirements for the C.R. value and pvalue because the C.R. value is less than 1.967 and the p-value is more than 0.05.There is also an estimated coefficient value of -0.169.So, this proves that the second hypothesis is rejected.

H3 Product Development positively and significantly affects Purchase Intention moderated by Social Media Influencers.
To test the third hypothesis, the Sobel test was carried out using the analytics calculator analysis tool to help measure the moderation hypothesis.

Figure 8. Product Development Sobel Test Results
Source: Data processed by researchers, 2024 The third hypothesis proves that Product Development positively and significantly affects Purchase Intention moderated by Social Media Influencers.Based on Table 9, the results of the C.R. (critical ratio) value obtained from H3 are 2.84 and a p-value me 0.004; it is stated that H3 has met the requirements of the C.R. value and p-value because the C.R. value is more than 1.967 and the pvalue is less than 0.05.There is also an estimated coefficient value of -0.042.So, this proves that the third hypothesis is accepted.

H4 Promotion positively and significantly affects Purchase Intention moderated by Social Media Influencers.
To test the third hypothesis, the Sobel test was carried out using the analytics calculator analysis tool to help measure the moderation hypothesis.

Figure 9. Promotion Sobel Test Results
Source: Data processed by researchers, 2024 The fourth hypothesis proves that Promotion has no significant positive effect in moderating Social Media Influencers on Purchase intention.Based on the hypothesis testing carried out, the results of the C.R. (critical ratio) value obtained are -3.04 and a p-value of 0.002 with an estimated value of 0.017; it is stated that H4 does not meet the requirements for the C.R. value and p-value because the C.R. value is less than 1.967 and the p-value is less than 0.05.So, this proves that the fourth hypothesis is rejected.So, this proves that the fourth hypothesis is rejected.

Comparison of Direct and Indirect Effects
From the results of the hypothesis testing above, the researcher compares the direct and indirect effects between hypotheses H1 .vs.H3 and H2 .vs.H4, to determine which effect is better.The fourth hypothesis in this study shows that the hypothesis has been rejected.The fourth hypothesis, H4, examines the effect of Promotion on Purchase Intention moderated by Social Media Influencers; this is indicated by the Critical Ratio (C.R.) value of -3.04 and a p-value of 0.002 with an estimated value of 0.017.This result certainly does not meet the criteria for hypothesis acceptance; where the C.R. value should be greater than or equal to 1.967 and the p-value is less than or equal to 0.05, but with a P-value that is included in this test standard, it could be that Social Media Influencers can strengthen Promotion on Purchase Intention, we can see from the selection of the right influencer, influencer credibility, or the match between the influencer and the target market which can strengthen the effectiveness of Promotion.
Promotions of this hypothesis test align with research conducted by Grace & Pardede (2023), which also found that Promotion hPromotionnificant positive effect on purchase intention.However, this is not in line with research from Wati and Indiana (2022).(Wati & Indiani, 2022) Sondari et al. (2023) state that Promotion has and significant effect on Purchase Intention, which Social Media Influencers moderate.

CONCLUSION
The results of this study prove that the first hypothesis, H1, and the third hypothesis, H3, are accepted.This is because the four hypotheses' C.R. value and P-value value meet the requirements: the C.R. value ≥ 1.967 and the P-value value ≤ 0.05.Meanwhile, the second hypothesis, H2, and the fourth hypothesis, H4, are rejected.This is because the C.R. value and P-value of the six hypotheses do not meet the C.R. value ≥ 1.967 requirements and P-value ≤ 0.05.The results of this study provide a very strong basis for management implications that PT ASA and other companies can implement in the hand tool industry in Indonesia.Companies should prioritize sustainable and innovative Product Development or R&D departments.Continuous product innovation is important to maintain competitiveness in the market, as consumers' needs and expectations change every year.This is supported by the results of the study, which show that Product Development has a significant positive effect on Purchase Intention (with an estimated value of 0.984, C.R. 8.038, and p-value close to 0.000) and is strengthened by the role of Social Media Influencers (with an interaction estimate value of 1.279, C.R. 2.84, and p-value 0.004).This study also highlights the potential of a credible and relevant Social Media Influencer as a powerful and effective strategic tool in increasing consumer purchase intention for handtools products in Indonesia.

Figure 3 .
Figure 3. Research conceptual framework scheme H1: Product Development has a positive and significant effect on Purchase Intention.H2: Promotion has a positive and significant effect on Purchase Intention.H3: Product Development positively and significantly affects Purchase Intention moderated by Social Media Influencers.H4: Promotion positively and significantly affects Purchase Intention moderated by Social Media Influencers.

Descriptive Statistics of Purchase Intention Variables Table 2. Descriptive Statistics of Purchase Intention Variables
28, Product Development 4.27, and Social Media Influencers 4.24.In this study, the Product Development variable has four indicators with a mean value of 4.24 and a standard deviation of 0.873.Table4.3shows that all indicators of the Product Development variable have value results between good and good enough, proving that respondents agree that Product Development is quite important for TEKIRO brand Handtools products.

Descriptive Statistics of Promotion Variables Table 3. Descriptive Statistics of Promotion Variables
PR4The existence of additional Extra points when purchasing Handtools-TEKIRO products will make me more interested in buying them.