Analysis of the Effectiveness of Digital Business Communication in Improving the Brand Image of UMKM in Makassar City

Abstract

This study aims to analyze the influence of digital business communication effectiveness on brand image among Micro, Small, and Medium Enterprises (UMKM) in Makassar City. The research utilizes a quantitative associative approach, with data collected via Likert-scale questionnaires distributed to 392 respondents, determined using the Slovin formula. The data analysis technique was conducted through several systematic stages, beginning with an instrument test on an initial 30 respondents, which confirmed that all items were valid (r_hitung > 0.361) and reliable (Cronbach’s Alpha > 0.60). Descriptive analysis revealed that the Digital Business Communication variable falls into the "Very Effective" category (mean 4.12), while Brand Image is categorized as "Very Good" (mean 4.05). Classic assumption tests confirmed that the data were normally distributed and free from heteroscedasticity. Based on the simple linear regression analysis, the regression equation Y = 12.450 + 0.745X was obtained. Hypothesis testing using the t-test yielded a t_hitung value of 12.340, which is greater than the t_table (1.966) with α significance level of 0.000 < 0.05; thus, H_a is accepted. Furthermore, the coefficient of determination (R²) of 0.611 indicates that digital business communication effectiveness contributes 61.1% to the formation of UMKM brand image in Makassar City. This study concludes that strengthening digital communication, particularly in aspects of interactivity and content quality, is a primary determinant in building a strong business reputation in the digital era.