THE POTENTIAL BENEFITS OF LOCAL ONLINE MARKETPLACE FOR SMES: FOCUS ON WUKIRSARI VILLAGE, BANTUL, YOGYAKARTA
Keywords:
Cultural marketing, Digital transformation, Local online marketplace, SMEs, Sustainable local developmentAbstract
This study explores the transformative potential of local online marketplaces for small and medium-sized enterprises (SMEs) in Wukirsari Village, Bantul, Yogyakarta. The research aims to understand how digital platforms can enhance SMEs’ visibility, foster cultural integration, and drive sustainable economic growth. Using qualitative methods, data were collected through focus group discussions, interviews, and live observations involving SME owners across various sectors such as batik textiles, handicrafts, and local culinary products. The findings indicate that before the introduction of community engagement initiatives, SMEs in Wukirsari faced limited market reach, lacked data-driven decision-making, and struggled to differentiate themselves in the marketplace. Following the implementation of local online marketplaces, SMEs experienced notable improvements in customer engagement, inventory optimization, and brand loyalty. Key enablers included the use of localized storytelling, collaboration with influencers, integration of cultural narratives, and the adoption of analytics tools to better understand consumer behavior. These efforts not only improved operational strategies but also strengthened community pride and participation. Furthermore, the research emphasizes the role of collective action and cultural marketing in reinforcing sustainable development. As SMEs tailored their offerings to reflect local heritage and responded to real-time feedback, they positioned themselves as both economically viable and socially embedded entities. The study concludes that strategic use of local online marketplaces, combined with culturally resonant and data-informed marketing, can significantly boost SME competitiveness while contributing to the resilience and identity of the local economy.
References
Aluri, A., Price, B. S., & McIntyre, N. H. (2019). Using Machine Learning To Cocreate Value Through Dynamic Customer Engagement In A Brand Loyalty Program. Journal of Hospitality and Tourism Research, 43(1), 78–100. https://doi.org/10.1177/1096348017753521
Asproth, V., & Nystrm, C. A. (2008). Communication and information exchange among SMEs and their local environment. Journal of Organisational Transformation and Social Change, 5(2), 175–189. https://doi.org/10.1386/JOTS.5.2.175_1
Berg, B. (2014). Study 2: Retail Branding and Local Competition: The Importance of Retail Brand Equity and Store Accessibility for Store Loyalty in Local Competition (pp. 73–101). Springer Fachmedien Wiesbaden. https://doi.org/10.1007/978-3-658-01596-1_3
Bessière, J. (1998). Local development and heritage: traditional food and cuisine as tourist attractions in rural areas. Sociologia Ruralis, 38(1), 21–34. https://doi.org/10.1111/1467-9523.00061
Caboni, F., Dessì, S., & Giudici, E. (2013). Storytelling: a strategy for brand communication. https://doi.org/10.7433/SRECP.2013.15
Chen, C.-H. (2012). The rise of co-creative consumers : user experience sharing behaviour in online communities. http://eprints.qut.edu.au/48252/
Chu, L. Y., & Wu, B. (2018). Designing online platforms for customized goods and services: a market-frictions based perspective. Social Science Research Network. https://doi.org/10.2139/SSRN.3221791
Cleveland, M. (2006). The local, the global, and the creole : ethnic identification, acculturation to global consumer culture, and consumptionscapes. https://spectrum.library.concordia.ca/id/eprint/9048/
Gengatharen, D., & Standing, C. (2004). Regional e-marketplaces: towards a unified theoretical framework for assessing facilitators and inhibitors of success. European Conference on Information Systems, 553–565. https://dblp.uni-trier.de/db/conf/ecis/ecis2004.html#GengatharenS04
Ger, G. (1999). Localizing in the Global Village: Local Firms Competing in Global Markets. California Management Review, 41(4), 64–83. https://doi.org/10.2307/41166010
Hee, Y. (2019). method for providing a brand-influencer marketplace.
Hisyam, A., & Fitriyah, H. (2024). Digital Marketing Strategy for MSMEs to Increase Competitiveness of Local Products. Indonesian Journal of Cultural and Community Development. https://doi.org/10.21070/ijccd.v16i1.1148
Jansson, J., Nilsson, J., Modig, F., & Vall, G. H. (2017). Commitment to Sustainability in Small and Medium-Sized Enterprises: The Influence of Strategic Orientations and Management Values. Business Strategy and The Environment, 26(1), 69–83. https://doi.org/10.1002/BSE.1901
Milán-García, J., Uribe-Toril, J., Ruiz-Real, J. L., & de Pablo Valenciano, J. (2019). Sustainable Local Development: An Overview of the State of Knowledge. Resources, 8(1), 31. https://doi.org/10.3390/RESOURCES8010031
Miles, D. A. (2014). Measuring Customer Behavior and Profitability: Using Marketing Analytics to Examine Customer and Marketing Behavioral Patterns in Business Ventures. Academy of Marketing Studies Journal, 18(1), 141. https://www.questia.com/library/journal/1G1-397455477/measuring-customer-behavior-and-profitability-using
Mukhopadhyay, S., Conlon, S., & Simmons, L. L. (2011). Consumer Feedback: Does Rating Reflect Reviewers’ Feelings? Americas Conference on Information Systems. https://dblp.uni-trier.de/db/conf/amcis/amcis2011.html#MukhopadhyayCS11
Oduoza, C. F., & Xiong, M. H. (2009). A decision support system framework to process customer order enquiries in SMEs. The International Journal of Advanced Manufacturing Technology, 42(3), 398–407. https://doi.org/10.1007/S00170-008-1596-0
Riesco, M. A. (2014). Personalized, real time, offer or promotion, news, and general information delivery system, to a user or client, using precise geo-localizing technologies. https://www.freepatentsonline.com/y2015/0012358.html
Sabur, Moch. (2025). The Role of Cultural Marketing in Promoting Local Products to International Markets: A Case Study in Indonesia. International Journal of Social and Human., 2(1), 10–18. https://doi.org/10.59613/b410w756
Sinha, S., & Singh, T. (2018). Travel from Traditional Marketing to Digital Marketing. 6(11), 173–177. https://doi.org/10.23956/IJERMT.V6I11.60
Slocinska, A., & Depta, A. (2015). Knowledge Sharing Behaviour and Development of Small and Medium-sized Enterprises. 11(02), 69–78. https://doi.org/10.18096/TMP.2015.02.07
Valentina, V., Valentina, V., Surugiu, M.-R., Login, I.-A., & Stroe, A. (2015). Innovative Valuing of the Cultural Heritage Assets. Economic Implication on Local Employability, Small Entrepreneurship Development and Social Inclusion. Procedia - Social and Behavioral Sciences, 188, 16–26. https://doi.org/10.1016/J.SBSPRO.2015.03.334
Wenzel, F. (2017). Sustainable Digital Business: Crucial Success Factor for Small and Medium-Sized Enterprises and Start-Ups (pp. 131–143). Springer, Cham. https://doi.org/10.1007/978-3-319-54603-2_11
Wilson, D., & Polter, R. (2020). Sustainable local economic development indicator framework: A tool for property building redevelopment projects. Community Development, 51(5), 609–627. https://doi.org/10.1080/15575330.2020.1825503
Downloads
Published
How to Cite
Issue
Section
Citation Check
License
Copyright (c) 2026 Gulam Hazmin, Angga Kurniawan, Vidya Vitta Adhivina, Dhea Maulyn Bielqis Malichah, Nelson Lajuni
This work is licensed under a Creative Commons Attribution 4.0 International License.
