Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?

Digital transformation is more than just providing online and mobile banking services. The banking and finance industry needs to innovate by combining digital technology with customer interactions. In this case, these new technology findings should make it easier and more convenient for users to acc...

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Main Authors: Banon Amelda, Firdaus Alamsjah, Elidjen Elidjen
Format: Article
Language:English
Published: Bina Nusantara University 2021-03-01
Series:CommIT Journal
Subjects:
Online Access:https://journal.binus.ac.id/index.php/commit/article/view/6663
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author Banon Amelda
Firdaus Alamsjah
Elidjen Elidjen
author_facet Banon Amelda
Firdaus Alamsjah
Elidjen Elidjen
author_sort Banon Amelda
collection DOAJ
description Digital transformation is more than just providing online and mobile banking services. The banking and finance industry needs to innovate by combining digital technology with customer interactions. In this case, these new technology findings should make it easier and more convenient for users to access banking services. However, to understand the relationship between resources (capabilities) and performance, the empirical research is still very limited and rare to explain why some firms successfully use their capabilities while others do not. The aim of the research is to answer whether digital technology, digital leadership, and digital marketing have a significant influence on company performance. The research is a quantitative study using a survey method by distributing questionnaires to employees and leaders in banks. It obtains 100 respondents. The analytical method is the Structural Equation Model (SEM) approach using the Smart Partial Least Square (PLS) statistical software. There are several obtained results. First, digital technology capabilities have a positive and insignificant effect on company performance. Second, digital leadership capability significantly, positively affects digital technology capability and digital marketing capability. Third, digital marketing capability has a positive and significant effect on company performance. Finally, digital leadership capability only has a positive and significant effect on company performance after being mediated by digital marketing capabilities. However, the effect is not significant if it is mediated by digital technology capabilities.
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spelling doaj.art-5912bdbc206d4c508c04730f93d882cc2023-09-02T20:36:43ZengBina Nusantara UniversityCommIT Journal1979-24842021-03-0115191710.21512/commit.v15i1.66635753Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?Banon Amelda0Firdaus Alamsjah1Elidjen Elidjen2Bina Nusantara UniversityBina Nusantara UniversityBina Nusantara UniversityDigital transformation is more than just providing online and mobile banking services. The banking and finance industry needs to innovate by combining digital technology with customer interactions. In this case, these new technology findings should make it easier and more convenient for users to access banking services. However, to understand the relationship between resources (capabilities) and performance, the empirical research is still very limited and rare to explain why some firms successfully use their capabilities while others do not. The aim of the research is to answer whether digital technology, digital leadership, and digital marketing have a significant influence on company performance. The research is a quantitative study using a survey method by distributing questionnaires to employees and leaders in banks. It obtains 100 respondents. The analytical method is the Structural Equation Model (SEM) approach using the Smart Partial Least Square (PLS) statistical software. There are several obtained results. First, digital technology capabilities have a positive and insignificant effect on company performance. Second, digital leadership capability significantly, positively affects digital technology capability and digital marketing capability. Third, digital marketing capability has a positive and significant effect on company performance. Finally, digital leadership capability only has a positive and significant effect on company performance after being mediated by digital marketing capabilities. However, the effect is not significant if it is mediated by digital technology capabilities.https://journal.binus.ac.id/index.php/commit/article/view/6663digital marketing capabilitydigital leadership capabilitydigital technology capabilitycompany performanceindonesian banks
spellingShingle Banon Amelda
Firdaus Alamsjah
Elidjen Elidjen
Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?
CommIT Journal
digital marketing capability
digital leadership capability
digital technology capability
company performance
indonesian banks
title Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?
title_full Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?
title_fullStr Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?
title_full_unstemmed Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?
title_short Does The Digital Marketing Capability of Indonesian Banks Align with Digital Leadership and Technology Capabilities on Company Performance?
title_sort does the digital marketing capability of indonesian banks align with digital leadership and technology capabilities on company performance
topic digital marketing capability
digital leadership capability
digital technology capability
company performance
indonesian banks
url https://journal.binus.ac.id/index.php/commit/article/view/6663
work_keys_str_mv AT banonamelda doesthedigitalmarketingcapabilityofindonesianbanksalignwithdigitalleadershipandtechnologycapabilitiesoncompanyperformance
AT firdausalamsjah doesthedigitalmarketingcapabilityofindonesianbanksalignwithdigitalleadershipandtechnologycapabilitiesoncompanyperformance
AT elidjenelidjen doesthedigitalmarketingcapabilityofindonesianbanksalignwithdigitalleadershipandtechnologycapabilitiesoncompanyperformance