PROPOSED VALUE PROPOSITION STRATEGY FOR

VOCATIONAL SCHOOL SMK RISET TEKNOLOGI JAYA

WITH AN EXPERIENTIAL MARKETING APPROACH

FINAL PROJECT

By
Marfa Eka Ridera
29121155
(Master of Business Administration Program)

INSTITUT TEKNOLOGI BANDUNG

December 2022
 ABSTRACT

PROPOSED VALUE PROPOSITION STRATEGY FOR

VOCATIONAL SCHOOL SMK RISET TEKNOLOGI JAYA
WITH AN EXPERIENTIAL MARKETING APPROACH

By
Marfa Eka Ridera
29121155
(Master of Business Administration Program)

Education is one of the most important aspects for us in life. The education that
we have taken so far can be one of the measuring tools in getting a job and has an
impact on the economy. Of course, to get a job requires qualified
self-qualification. Not only that, educational institutions must also have good
quality in order to support students in developing themselves. SMK is one of the
educational institutions that prepare students especially to work in certain fields.
Ristek Jaya Vocational School is one of the vocational schools in East Jakarta.
Currently, SMK Ristek Jaya is experiencing a decline in student interest due to a
lack of public trust in the SMK. The school, especially the Jaya Technology
Research Vocational School, must further improve and conduct research on what
they should do to increase customer trust with them, so that they can move to find
ways to increase people's interest in entering Jaya Technology Research
Vocational School.
In analyzing how the customer's perspective is on schools, a survey was
conducted on parents, students of SMK Ristek Jaya and SMK Alumni to help see
what they need and what their perspective is on SMK, especially SMK Ristek
Jaya.
The Value Propositions method will be used to help Ristek Jaya Vocational High
School find the value they can offer to customers. By using the value proposition,
the school will make various improvements to add value and increase customer
confidence in choosing SMK Ristek Jaya. Experiential Marketing, with values
​that have been found by the school, it will be delivered through an experiential
marketing approach. By using experiential marketing, it is hoped that it can
convey clearly and according to customer expectations.

Keywords: Vocational School, Value Propositions, Experiential Marketing.

1
 ABSTRAK

PROPOSED VALUE PROPOSITION STRATEGY FOR

VOCATIONAL SCHOOL SMK RISET TEKNOLOGI JAYA
WITH AN EXPERIENTIAL MARKETING APPROACH

Oleh
Marfa Eka Ridera
29121155
(Program Studi Magister Administrasi Bisnis)

Pendidikan adalah salah satu aspek yang penting bagi kita dalam menjalankan
hidup. Pendidikan yang kita tempuh selama ini dapat menjadi salah satu alat
ukur dalam memperoleh pekerjaan dan berdampak pada ekonomi. Tentunya,
untuk memperoleh pekerjaan membutuhkan kualitas diri yang mumpuni. Tidak
hanya itu, institusi pendidikan juga harus mempunyai kualitas yang baik agar
mendukung para siswa dalam mengembangkan diri. SMK adalah salah satu
institusi pendidikan yang mempersiapkan peserta didik terutama untuk bekerja di
bidang tertentu.
SMK Ristek Jaya adalah salah satu sekolah kejuruan di Jakarta Timur. Saat ini,
SMK Ristek Jaya mengalami penurunan peminat siswa karena kurangnya
kepercayaan masyarakat terhadap SMK. Pihak sekolah khususnya SMK Riset
Teknologi Jaya harus lebih meningkatkan dan melakukan penelitian apa yang
harus mereka lakukan untuk meningkatkan kepercayaan pelanggan dengan
mereka, sehingga mereka dapat bergerak mencari cara untuk meningkatkan minat
orang masuk SMK Riset Teknologi Jaya.
Dalam melakukan analisis bagaimana perspektif customer terhadap sekolah,
maka dilakukan survey kepada orang tua, murid SMK Ristek Jaya dan Alumni
SMK untuk membantu melihat apa yang mereka butuhkan dan bagaimana
perspektif mereka terhadap SMK, terutama SMK Ristek Jaya.
Value Propositions metode yang akan digunakan guna membantu SMK Ristek
Jaya untuk menemukan value yang dapat mereka tawarkan kepada customers.
Dengan menggunakan value proposition, sekolah akan membuat berbagai
perbaikan untuk menambah value dan meningkatkan kepercayaan customer untuk
memilih SMK Ristek Jaya. Experiential Marketing, dengan value yang sudah
ditemukan oleh sekolah maka akan disampaikan melalui pendekatan experiential
marketing. Dengan menggunakan experiential marketing diharapkan dapat
menyampaikan dengan jelas dan sesuai harapan customer.

Kata Kunci: Sekolah Menengah Kejuruan, Value Propositions, Experiential

Marketing.

2
 PROPOSED VALUE PROPOSITION STRATEGY FOR
VOCATIONAL SCHOOL SMK RISET TEKNOLOGI JAYA
WITH AN EXPERIENTIAL MARKETING APPROACH

VALIDATION PAGE

By
Marfa Eka Ridera
Student ID: 29121155
Master of Business Administration Program

Institut Teknologi Bandung

Approved

9 December 2022

3
 DECLARATION OF NON-PLAGIARISM
Plagiarism is:
Taking, using, and submitting a work of another, including an idea, writing,
or invention, as if it was her or his own.

Plagiarism includes (but not limited to):

1. quoting verbatim the work of another without acknowledgement of
the source;
2. paraphrasing the work of another without acknowledgement of
the source;
3. using the idea of another without acknowledgement of the source; 4.
submitting the work of another without identifying clearly who did the
work;
5. colluding by submitting the work of another as her or his own
with consent from the other.

I understand that Plagiarism is wrong, a breach of academic

integrity, and against Program, School, and University’s Policy
and Regulation.

I declare that all material in this Final Project is original, my

own work, and does not involve plagiarism.

I have not allowed, and will not allow, another to copy my work
with the intention of submitting it as her or his own work.

Name: MARFA EKA RIDERA Student ID: 29121155

Signed: ___________________________________ Date: 23/12/2022

4
 ACKNOWLEDGEMENTS

The author feels praise and gratitude of blessing from Allah SWT, the author can
finish this research. Therefore, the author feels respect and thankful to everyone
who helps and assists in preparation of this research. Author would like to thanks
profusely to:
1. My beloved family, Bapa, Mamah and my two sisters for all support,
prayers and love.
2. SMK Ristek Jaya that allows me to analyze and finish the issue in the
school.
3. Nila Armelia Windasari, S.A., M.B.A., Ph.D. as thesis advisor that always
supports me to finish the thesis.
4. Wisnu, Amel, Ime, Reva, Feti, Ismail, and Fitry were my best friends who
supported me until I finished the journey.
5. Syndicate 2, Syndicate 10, Anti, Rio, Hilmi, Rifqi, Ferry, as my discussion
partner, friendship, laughter and support in all activities.
6. EMBA65 classmate for the experience, happiness and also sharing
knowledge in class for the last 1.5 years.

Bandung, 21 December 2022

Marfa Eka Ridera

5
 TABLE OF CONTENTS

ABSTRACT i
ABSTRAK iii
VALIDATION PAGE iv
FINAL PROJECT GUIDANCE v
TABLE OF CONTENTS viii
LIST OF APPENDICES ix
LIST OF FIGURES x
LIST OF TABLES xi
LIST OF ABBREVIATIONS AND SYMBOLS xii
Chapter I Introduction 1
I.1 Background 1
I.2 Company Profile 3
I.3 Business Issue 5
I.4 Research Questions and Research Objectives 7
I.5 Research Scope and Limitation 7
Chapter II Literature Review 8
II.1 Theoretical Foundation 8
II.2 Conceptual Framework 13
Chapter III Research Methodology 14
III.1 Research Design 14
III.2 Data Collection Methods 15
III.3 Data Analysis Method 16
Chapter IV Results and Discussion 22
IV.1 Analysis 22
IV.2 Business Solution 28
IV.3 Implementation Plan & Justification 10
Chapter V Conclusion and Recommendation 14
V.1 Conclusion 14
V.2 Recommendation 14
REFERENCES 15
APPENDICES 16

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 LIST OF APPENDICES

Appendix A Value Propositions Questionnaires 18

7
 LIST OF FIGURES

Figure I.1 Sum of Total SMK in Indonesia Chart 2

Figure I.2 Unemployment Rate Chart 2020 - 2022 2
Figure I.3 Picture of SMKs Ristek Jaya 4
Figure I.4 Total Students SMK in Indonesia Chart 5
Figure I.4 Total Students SMK Ristek Jaya Chart 6
Figure II.1 Experiential Modules Elements 9
Figure II.2 The Value of Proposition Canvas 12
Figure II.3 Conceptual Framework 13
Figure III.1 Reliability Statistics 16
Figure III.2 Own Illustrations 17
Figure III.3 Open Coding Result 18
Figure IV.1 Customer Jobs 20
Figure IV.2 Customers Pains 21
Figure IV.3 Customers Gains 22
Figure IV.4 Pain Relievers 23
Figure IV.5 Gain Creator 24
Figure IV.6 Products and Services 25
Figure IV.7 Value Proposition Canvas 27
Figure IV.8 Prototype Posters Value Proposition 30
Figure IV.9 Prototype Booklet SMK Ristek Jaya 33
Figure IV.10 Socialization Layout 34
Figure IV.11 Merchant SMK Ristek Jaya 35
Figure IV.12 Prototype Poster Cashback 36

8
 LIST OF TABLES

Table IV.1 Implementation Plan 36

9
 Chapter I Introduction

I.1 Background
In determining the progress of a country, education is one of the important
things. Good quality resources will play an important role in bringing
progress to the country. In Indonesia, continuous efforts are made to improve
the quality of education. The most suitable education to face the challenges of
globalization is education oriented to the business world or the industrial
world with an emphasis on learning approaches and supported by good
management of education implementation.
Thus it can be concluded that education is a process to empower people so
that they are willing and able to realize the potential that exists in itself, so
that the product education is able to become citizens of learning and working
in accordance with desire and can play a role in nation building. Because of
that, education has a strategic and crucial role in improving abilities and skills
so that the community can improve their welfare. The process turns out that
education does not only produce educated people who can meet their needs
and improve their welfare which has an impact on an increase in economic
activity.
As an educational institution, vocational education which is regarded and
expected to be able to produce graduates who have the competence to meet
the needs of the industrial world and global challenges. According to data
from the Ministry of Education and Culture, school data from 2020 to 2022
has increased. This data represents the total Sekolah Menengah Kejuruan
(SMK) in Indonesia.

1
 Figure I.1 Sum of Total SMK in Indonesia Chart
(Source: Data Pokok Kemdikbud, 2020-2022)

However, with the increase in the number of Vocational High Schools (SMK)
it is actually increasing. It can be seen from the data below that there was a
fairly large increase. In addition, the number of job vacancies is not
proportional to the number of job seekers from SMK graduates. With the high
unemployment rate, and the low quality of work of SMK graduates, it shows
that there is a mismatch between education as a producer of graduates and the
world of work as a party that provides job vacancies.

Figure I.2 Unemployment Rate Chart 2020 - 2022

(Sources: Data Pokok Kemdikbud 2020 - 2022)

SMKs Riset Jaya Teknologi, one of the private Vocational High Schools in
East Jakarta. Based on the data, SMKs Riset Teknologi Jaya should be aware
of the reduced number of people who are interested in entering SMK. The
school, especially for SMKs Riset Teknologi Jaya, should make more
improvement and do research what should they do for increase the customer

2
trust with them, so they can make a move to find a way the increase people
interesting to entering SMKs Riset Teknologi Jaya.

As the world of work develops, schools must be able to adapt to current

situations. People who are looking for the best educational institutions to
support their careers and according to the skills needed for the future. Not
only the quality of the school, but the communication made by the school to
the community must be clear and can make the community believe that
SMKs Riset Technology Jaya is a trusted school that can produce graduates
who are ready to work with low levels of unemployment.

I.2 Company Profile

The rapid development of the industrial world is a challenge for the world of
education. SMK Ristek Jaya was established in 1991 under the auspices of
the Indonesian Youth Intellectual Corps Foundation led by Drs. H. Hartono
Kosasih, MM. SMK Ristek Jaya produces a ready-made workforce who is
able to seize every opportunity that exists. This is evidenced by the spread of
Ristek Jaya Vocational High School Graduates/Alumni in various industries,
the business world, government agencies and others.

SMK Ristek Jaya has the status of "Accredited A" with a decree of the
National Accreditation Board for Schools/Madrasah (BAN-S/M) number:
Mk. 0034500. Then in 2012 SMK Ristek Jaya implemented the ISO
9001;2015 Quality Management System set by the TUV NORD Indonesia
Certification Body. SMK Ristek Jaya has a 4 field:
- Computer and Network Engineering
- Machining Engineering
- Technical light vehicle
- Motorcycle Engineering.

3
 Figure I.3 Picture of SMKs Ristek Jaya
(Source: Website SMKs Ristek Jaya)

VISION OF VOCATIONAL SCHOOL OF RISTEK JAYA

To become an educational institution that excels in academics, achieves and
has noble character.

MISSION OF VOCATIONAL SCHOOL OF RISTEK JAYA

Mission of SMKs Riset Teknologi Jaya:
- Improving management quality through ISO 9001:2015 quality
management system
- Educate students to be good and smart with noble character
- Become a model school, in developing the quality of education in
Indonesia
- National standard production unit
- Graduated with international standard productive graduates

SCHOOL QUALITY POLICY

Here’s a School Quality Policy SMKs Riset Teknologi Jaya:
- Increase customer satisfaction
- Improving the quality of human resources
- Improve the quality management system
Innovation that SMKs Ristek Jaya for improving the quality, Establishing
Industry Class which is to build industrial character in students, to facilitate
the adjustment of graduates in industry, LSP-P1 SMK Ristek Jaya as a
competency certification test site to ensure the competence of graduates and

4
In order to guarantee the quality of education management, SMK Ristek Jaya
Jakarta implements ISO 9001:2015.

I.3 Business Issue

Not only the number of schools, the number of students will also increase
from 2021-2022. Not only because schools are required, but people have
begun to realise that education is very important. We can see from the data
from the Ministry of Education and Culture below that there has been an
increase in each province.

Figure I.4 Total Students SMK in Indonesia Chart

(Sources: Data Pokok Kemdikbud 2020 - 2022)

As we can see based on data, the number of students increased. But, SMKs
Riset Teknologi Jaya has a decrease in students this year. What is happening
in SMKs Riset Teknologi Jaya makes the management of the school aware of
the cause of decrease. This kind of thing also causes competition for new
students. Many job training institutes who do various ways to attract the
interest of prospective new students so that they can attend the vocational
training institute.

The competitive situation That's what every job training institution demands
to be able to compete in order to survive and grow. So, it is very important to
make a strategy, to face the competitive situation. The importance of quality
of school is the same as with branding of the school. How management
delivers the value of vocational school, especially SMKs Riset Teknologi
Jaya for them.

5
 Figure I.5 Total of Students at SMKs Ristek Jaya Chart
Sources: SMKs Riset Jaya Database

The strategies that have been carried out by SMK Ristek Jaya include:
Promotional activities by internal parties (students or alumnus) and external
parties (teachers).
- Internal activities: Students search for the names of students attending
schools in their area of ​residence. The names will be given to the school
for follow-up.
- External Activities:
1. Teachers make industrial visits to visit schools (SMP) as well as to
get to know and introduce SMK Ristek Jaya.
2. The school forms a PPDB team every year.
3. Creating Social Media (Instagram and Website). There is no
marketing team, but it is managed by the student affairs
department.
4. SMKs Ristek Jaya plans an industrial visit to develop the new
curriculum.
Cause the strategy is still not effective for SMKs Ristek Jaya,
1. The reputation of SMK/STM is still bad in the society due to frequent
brawls and government assistance.
2. Not all parents have social media.
3. The website and Instagram owned by the school also cannot be interactive
enough so it will be difficult if prospective students want to know about
the SMKs Ristek Jaya.

6
4. Government increased the quantity for the public school (still not found in
the data).

I.4 Research Questions and Research Objectives

Based on the business issue described above, this research question is as
follows:
1. What value can SMKs Ristek Jaya provide to increase customer trust?
2. What integrated marketing communication to help SMKs Riset Teknologi
Jaya delivers the value of vocational school to the students?
Research Objectives based on the business issue and research question is to
know the value proposition and the solutions of integrated marketing
communication that can make a customer interested with SMKs Ristek Jaya.

I.5 Research Scope and Limitation

To focus on the research objectives and avoid the ambiguity, there are some
limitations. Research limitations are as below:
1. This research will focused on SMK Ristek Jaya
2. Based on current conditions SMK Ristek Jaya 2018 - 2022
3. This research will focus on creating value and deliver that value with
experiential marketing.

7
 Chapter II Literature Review

II.1 Theoretical Foundation

In this chapter, the researchers are going to discuss the underlying theories as
the base of conducting the research. Value Propositions will be explained
below and how to deliver the value of SMK Ristek Jaya with Experiential
Marketing.

II.1.1 Customer Perceived Value

Due to its neglectedness in previous studies, several researchers have

examined the influence of value on customers’ purchase intentions Lin, Sher,
& Shih, (2005). Previous studies have pointed to the positive relationship
among service quality and perceived value. In the telecommunication sector,
Turel and Serenko (2006) and Wang et al. The perceived value of brands
relating to quality, price and social dimensions has a positive impact on
consumer expectations Fazal-e-Hasan et al (2018).

Sweeney and Soutar explain that value matters where you have your potential
customer and it must be equal to what customer is paying and in return what
they are getting. Woodruff explains the functional value where intention of
purchase while emotional value to create curiosity towards particular brand
however in this study we will focus on overall perception. R.L. Oliver [28]
describes the equity theory; it includes the ratio of outcome/input in both
form customer as well as seller point of view. R N Bolton customer perceived
value is a process of evaluation that what customer is paying and what he is
getting in return. R.L. Oliver more explicitly the concept of outcome to input
must be appropriate.

II.1.2 Experiential Marketing

Experiential marketing strategy is the goal of creating a “connection” with an
audience, as a conduit for inciting an action and developing a relationship.
According to Schmitt, the purpose of marketing, in terms of customer

8
satisfaction, is not just to provide solutions to customer problems or to
provide needed benefits. The primary objective is to provide a holistic
experience (valuable experience) to consumers. Experiential marketing gives
an exceptional framework to integrate elements of experience and
entertainment into the product/service. Nowadays, consumers do not only
judge a product / service based on quality, functionality, and benefits, but
more than that. They want products, communications, and marketing
activities that provide sensation, touch their hearts, stimulate their intellect,
and suit their lifestyle. In other words, consumers want products that can
provide experience. There are five types of experience which Bernd Schmitt
called as the Strategic Experience Modules (SEMs), namely:
- Sensory experience/sense
- Affective experience/feel
- Creative cognitive experience /think
- Physical experience/act
- Social identity experience/relate

Figure II.1 Experiential Modules Elements

(Source: Schmitt, 1999, Experiential Marketing)

Schmitt (1999; 2003) and Pine and Gilmore (1998) defined experience to
consist of five sensory elements which are: sense, feel, think, act and relate.
Sensing: Is referred to as the aim of creating experience through senses like:
hearing, sight, touch, taste and smell. Hultén (2009) identifies the “sensory
elements”, covering the same five senses, which will be further elaborated on

9
later in this chapter. These sensory elements are expected to add value to the
product and motivate customers to purchase.
Feeling: Illustrates the aim to generate emotional response from the
customer, by understanding the stimuli that generates feelings. The emotions
towards a brand or product can vary from slight positive moods to strong
feelings of satisfaction and pride.
Think: Is the aspiration of evolving the customers in the creative process
through intellectual activities and problem solving, creating experience.
Technology companies use campaigns connecting the customer to this sense,
through elements of surprise and/or by arousing curiosity or provocation.
Act: Is the initiative to affect the customer’s lifestyle and interactions often
through bodily experiences. It may also display ways of doing everyday
activities or living life in a new way. This element of experience creates
social-identity by relating to a culture or reference group.
Relate: Goes further than the feelings of individuals aiming to connect
customers with other individuals or cultures. It can contain aspects from any
of the other sensory concepts discussed above; sensing, feeling, thinking or
acting. It might be impossible to generate all experiences modules at once,
but Schmitt (1999), claims that incorporating a few of them lead to lucrative
marketing. Further, he addresses the opportunity to implement experience
marketing in companies going through change

II.1.3 Customer Knowledge

Customer knowledge refers to an enterprise's understanding of its current and
future customers' needs and preferences Lee et al (2011). Enterprises usually
acquire customer knowledge by creating interactions and dialogues with
customers, by observing how customers use products or experience service,
as well as by analyzing corporate data and information in order to forecast
customer behavior Wayland and Cole (1997). Gibbert et al. (2002) noted that
enterprises should carefully observe, interact and create dialogues with their
customers to acquire customer knowledge so that they can provide
customized service and maintain long-term relationships.

10
One of the key challenges in retrieving knowledge from customers is lack of
trust. The customer knowledge system needs more social interactions
between the project teams and customers. Since trust can enhance social
interaction between the customer and development team , lack of social
interactions in fact, could be viewed as the main origin of issues. Lin, et al.
argue that to improve the effectiveness and efficiency of customer knowledge,
trust between customer and company is important. Skotis, et al. argue that
lack of trust and lack of motivation are barriers of customer knowledge. In
fact, Trust refers to the avoidance of opportunistic behaviors to gain customer
knowledge in order to improve the firm's reputation and image.

II.1.4 Value of Proposition

Based on the business issue, to answer the research questions the researcher
will use the value of proposition for solving this problem. A value proposition
is an explicit promise made by a company to its customers that it will deliver
a particular bundle of value creating benefits (Buttle, 2009). Many definitions
of the value proposition concept have been made, and the concept is widely
used. A value proposition is an explicit promise made by a company to its
customers that it will deliver a particular bundle of value creating benefits
(Buttle, 2009). Lanning (1998: 55) defines the value proposition as an entire
set of experiences, including value for money that an organization brings to
customers. Customers may perceive this set or combination of experiences to
be “superior, equal or inferior to alternatives”.

Other definitions from value propositions is an entire set of experiences,

including value for money that an organization brings to customers.
Customers may perceive this set or combination of experiences to be
“superior, equal or inferior to alternatives” (Lanning, 1998).

11
 Figure II.2 The Value of Proposition Canvas
Sources: Value Proposition Design by Wiley

Bring in the Value Proposition Map and Customer Segment Profile you
completed earlier. Go through pain relievers and gain creators one by one,
and check to see whether they fit a customer job, pain, or gain. Put a check
mark on each one that does. The outcome, If a pain reliever or gain creator
doesn’t fit anything, it may not be creating customer value. Don’t worry if
you haven’t checked all pains/gains—you can’t satisfy them all.

II.2 Conceptual Framework

Conceptual Framework is developed for this study, it aims to facilitate finding
the business solution for the key business solution. The framework also will
guide the process from business issue identification until proposed business
solution. This is to ensure that the solution is generated from a solid
methodology and analysis. Conceptual framework for this study as following:

Figure II.3 Conceptual Framework

The conceptual framework explained how the author proposed the solution
for this case. Goals of this, how the company delivers the value of schools

12
with experiential marketing can bring up the customer knowledge and
reputation which increase new students at SMKs Ristek Jaya.

13
 Chapter III Research Methodology

III.1 Research Design

This research will be conducted by interviews, qualitative and quantitative
questionnaires. This research will answer the research questions to know the
value SMK Ristek Jaya and how to deliver that value to customers.

III.1.1 Quantitative Research

Quantitative studies focused on cause and effect, how much, and numeric
correlations. Quantitative method is used to generate data that can be
transformed into usable tabulation. The method of processing data/information
by organizing it into a table. With the help of tabulation, numeric information
is arrayed logically and orderly into columns and rows, to help in their
statistical data interpretation.

In this final project, a survey was conducted to understand the prospective

value by customers about vocational school and know what they expect from
education services. The result is used to develop Value Proposition for SMKs
Riset Teknologi Jaya.

III.1.2 Qualitative Research

The qualitative research is conducted to gather in depth-insight into SMKs

Ristek Jaya problems and generate new ideas for SMKs Ristek Jaya. The data
used in the qualitative research was collected through an interview with the
management of SMKs Ristek Jaya. Interviews are commonly used in
qualitative research to gather “facts” or to get insights into or knowledge of
ideas, attitudes, experiences, processes, behaviors, or predictions.

Author will conduct a semi structured interview with management of the

school which consist of Value Proposition and Experiential Marketing. Each
question may have additional questions if necessary to ensure that the
information gathered from the interviewee is sufficient. The Value Proposition
canvas by Alexander Osterwalder will be used to identify customer jobs, pains
and gains, which will be used to create value propositions that may solve the

14
customer’s pains and provide competitive advantage to the customer. In book
Osterwalder (2014), Value Proposition Design, describes the value
propositions as a benefit that customers might expect from the company’s
products or services, and the value propositions canvas is a technique that
examines how well products or services match with potential customers. Value
Proposition has two sides: Customer profile and Value Map.

III.2 Data Collection Method

This research will contain two ways of data collection, there is primary data
and secondary data collection.

III.2.1 Primary Data

Primary data consists of information gathered primarily for investigation, data

that researchers obtain from the first hand (Rabianski, 2003). This research
will conduct an interview and survey as a primary data collection. To better
understand what customers need, the author conducts a survey by using
questionnaires to collect information. Questionnaires will be sent to the
concerned respondents whose criteria is parents, students of vocational school
and alumni of vocational school.

III.2.2 Secondary Data

Secondary data is collected for a different purpose and reused for another
research question. In this research , secondary data can be obtained from:

- Database from management of SMKs Riset Teknologi Jaya.

- Basic Data from Ministry of Education, Culture, Research, and
Technology.
- Supporting resources data from SMKs Riset Teknologi Jaya.

III.3 Data Analysis Method

Identifying respondents' responses to each variable aims to see the picture in
describing the answers of respondents in research. Using a Likert score with a
maximum value of four for answers strongly agree and the minimum score is
1 for answers that strongly disagree. The data that I got from the results of the

15
questionnaire that was distributed to respondents and 145 respondents were
obtained and questionnaires were distributed to students of SMKs Riset
Teknologi Jaya, alumni, parents around the school and the teachers.

III.3.1 Validity Test

Validity is used to see the validity of each research instrument, namely

emotional value, Social Value, Quality/Performance and Price. Validity testing
is done by using a person. testing seen from the value r table with df = n-2, a
significant level of 5% and a value of r table (0.05; 88) of 0.2072. The results
of the questionnaire which show validity can be seen in the appendix.

III.3.2 Reliability Test

Sugiyono (2017, 130) states that the reliability test is the extent to which
measurement results using the same object, will generate the same data. Using
the SPSS 22.0 program for windows, variables declared reliable with the
following criteria:

1. If the r-alpha is positive and greater than the r-table then the statement is
reliable.
2. If the r-alpha is negative and smaller than the r-table then the statement is
unreliable.

If the Cronbach's Alpha value is > 0.6 then it is reliable, If the Cronbach's
Alpha value is <0.6 then it is not reliable. A variable is said to be good if it has
a Cronbach's Alpha value > of 0.6 (Priyatno, 2013: 30). Here’s a result of the
Reliability Test for Perceived Value Scale Questionnaire.

Figure III.1 Reliability Statistics

From the reliability results that show Cronbach's Alpha 0.778> 0.60, it can be
concluded that the 15 variables are reliable or consistent.

16
III.3.3 Open Coding - Axial Coding - Selective Coding
Open Coding is generally the initial stage of Qualitative Data Analysis. After
completing the Open Coding, depending on the methodology we use, we can
do Axial Coding and Selective Coding. At later stage of the research, these
coding help us to build theories in an inductive process (i.e. Grounded
Theory). Open Coding can be used with inductive, deductive or verification
modes of inquiry too.

Figure III.2 Own Illustration

Based on the results of open questions, interviews and FGD, the

following open coding - axial coding - selective coding was obtained:

17
Figure III.3 Open Coding Result

18
According to the results of the selective codes, SMKs Riset Teknologi Jaya
must make improvements in aspects of school facilities and infrastructure.
Tholib (2000: 97) educational facilities are equipment that can directly
achieve educational goals, for example: rooms, books, libraries, laboratories,
and so on. In developing facilities and infrastructure it can help in improving
the school's reputation and meeting the standards set for Vocational High
Schools.

19
 CHAPTER IV Results and Discussion

IV.Analysis
In this chapter, an alternative strategy and analysis will be proposed to the
company using a value proposition. There's customer jobs, pains and gains in
the value proposition.

IV.1.1.1 Customer Jobs

Customer Jobs are to know the work of users who want to be completed with
a product or service. A customer job could be the tasks they are trying to
perform and complete, the problems they are trying to solve, or the needs they
are trying to satisfy. There are three types of Customer Jobs to be done and
supporting job:

a. Functional job: Customer try to complete their task or solve problem

b. Social Job: Customers want to look good or have a social power status.
c. Personal/emotion jobs: Customers look for emotional benefit, for example
feeling good or secure.
d. Supporting job: Customers perform supporting jobs in terms of purchasing
or consuming value.

Figure IV.1 Customer Jobs

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 IV.1.1.2 Customers Pains

Customer Pains described anything that gave pain to the customer in order
to get the job done. Pain could be described as risk or any potential
outcomes, if the job could not be done or finished badly. There are three
types of Customer Pain:
1. Undesired outcomes, problems, and characteristics: Functional pains
(current solution does not work has negative effects), social pains,
emotional pains, or ancillary.
2. Obstacles: Things that prevent customers from finishing their jobs.
3. Risk (undesired potential outcomes): What could go wrong or negative
consequences if the customers could not do their jobs well or unable to
finish their jobs.

Figure IV.2 Customers Pains

Customer pain refers to anything that troubling customers during, and after
attempting to complete a job. There 4 importance things based on survey,
They can’t afford tuition, School location is too far, They don't get a
completed facilitated and infrastructure and Hard to find a job after
graduated. Then, there's Customer Gain, here the result of Customer Gain
based on a survey.

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IV.1.1.3 Customer Gain
Customer gain describes the outcome or benefits that customer wants. Gains
included functional gains, social gains, emotional gains, and or cost savings.
There are three types of Customer Gain:

1. Required Gains: Basic benefit or value that customer needs, but the
product could work without the gains.
2. Expected Gains: Basic benefit or value that customer needs, but the
products or services could work without them.
3. Desire gains benefit or value that is beyond the basic and would love to
have.
4. Unexpected gains: Benefit or value that exceeds customer’s expectation
and desire.

Figure IV.3 Customers Gains

Customer gain may also refer to the desired outcome or advantage that
consumers anticipate from a product or services. To summarize, Customers
have expectations if they want to choose a vocational school, they want
quality and comprehensiveness of facilities and infrastructure, location of
school closer to their home, activities that can make them have an
achievement, low cost and reputation of school.

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IV.1.1.4 Value Map

The value map is divided into products and services, pain relievers, and gain
creators.

a. Pain Relievers

This describes how a product or service relieves the pain of the customer. It
focused on the pain that matters to consumers and how products or services
remove or reduce the pain that bothers customers to their work.

Figure IV.4 Pain Relievers

In this research, the biggest pain of the customer is they need more facilities
that can meet their needs. Based on brainstorming results with the tema, here
are the Pain Relievers from customer pains:

a. Quality of Educators.
b. School activity that provides students achievement.
c. There are accommodation facilities.
d. Affordable Tuition.
e. Ease of getting a job.

The expectation of customer pains is to make the school develop the

facilities for the students, more provide program activity for the students to
see their potential for getting an achievement.

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b. Gain Creator
This describes how a product or services create customer gains and how it
offers added value to customers. Here’s a value map for gain creators.
a. There is a fee for assistance.
b. Need a program to improve student skills.\
c. Provide parents to see the school's performance in the form of a report.
d. Workshop tools that can provide achievements for students.

Figure IV.5 Gain Creator

Based on the gain creator, it is better for schools to focus on serving parents,
improving the facilities and infrastructure offered and programs that help
students achieve and improve their skills.

a. Products and Services

SMK Riset Teknologi designed the value proposition to create products

and services as the answer for customers, especially for parents and
students to fulfill their needs, the products and services that are offered
might be tangible, intangible or digital.

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 Figure IV.6 Products and Services

To deliver the value proposition, SMK Riset Teknologi Jaya offers the
products and services to answer their functional, emotional and social needs.
There’s a few products and services can develop by SMK Riset Teknologi
Jaya:

a. Booklet
b. Workshop & Seminars
c. Scholarships

The customer job and value map has been generated. After gathering
information about the customer’s pain and gain through empathy and creating
a value map through ideation, the next step is to develop a business solution
for this thesis. The business solution will start with generating the proposed
value proposition canvas and how SMK Riset Teknologi Jaya can deliver the
value proposition to customers will be explained below.

IV.2 Business Solution

In a business solution, the researcher will find a solution with previous
analysis, that is a value proposition canvas. We can see the result of what
customer’s need and the next step after the business solution will implement
that solution with an experiential marketing approach.

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IV.2.1 Value Propositions Canvas

Based on the above definition, after conducting the define process through
customer profile then it mapped to Value Proposition Canvas, with
alternative solutions in the form of services , pain relievers, and gain creator.
Ideation process to answer the gain and pain of the customer from the
customer profile. SMK Riset Teknologi Jaya will focus more on making
customer’s trust. We can see this from the results of the value proposition
which we will use as a school value that can be offered to customers. As we
can see from the value proposition below, we have to offer customers with
the value SMK Riset Teknologi Jaya that can make customer’s trust. The
details of value from SMK Riset Teknologi Jaya will be explained below the
pictures.

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Figure IV.7 Value Proposition Canvas

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Here’s a value that can be offered by Riset Teknologi Jaya. The value that will
be offered has been considered by the resources owned by the school. There
are three values ​that can be offered to consumers.

First, Workshops and Seminars, these workshops and seminars will be

addressed to students, parents and teachers of the Jaya Technology Research
Vocational School. The following are some recommendations for workshops
and seminars that can be implemented by schools:

a. Workshop
- Student and Teacher Workshops: Utilization of Technology and
the Internet as Creative Learning Media in the 4.0 Era. SMK
Riset Teknologi Jaya will focus more on creative learning media
which utilize tools such as Canva, Slides go and PowerPoint for
teaching and doing a students assignment. The little things will
matter for them to increase their creativity and adapt more with the
4.0 Era. The researcher and management of school chose this
workshop, because so that all can learn and not be left behind by
one another.
- Student and Teacher Workshops: Building Communication,
Collaboration and Critical Thinking in improving soft-skills.
This workshop is very important for the students and teachers also,
they will learn how they can deliver what they are thinking and
learn more how they can improve soft-skill for the future. We agree
that this workshop is not just for subjects by school but they can
search the journal to make it interesting so they enjoy reading the
journal. They will attend this workshop every once a month, and
form groups to discuss 1 topic they have read and then discuss with
the teacher and classmates. The result will have a point for every
student who is active and ambitious to increase their grades. For
teachers, they will do the same as students, and the result will
impact their KPI.
- Parents Workshop: Building Understanding of Child
Development in Learning. This workshop will get more attention

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 by school for the parents. It's very important to guide the parents
about their children's school. They should pay more attention to
their child, so SMK Riset Teknologi Jaya presents a workshop for
the parents at least in every semester to follow up their concern
about their child and help them to understand about the school.

b. Seminars

- Problem solving in dealing with students' and parents' problems.

SMK Riset Teknologi Jaya will offer seminars that help parents and
students how they can solve the problems at school, and try to engage
more with them so they will feel more secure to being a part of SMK Riset
Teknologi Jaya. Also, that will be an input for us to improve what we can
give to the customers in the future.
- Preparation for being a job seeker. Students will be taught by expertise
to get ready to prepare their needs for looking for a job. Students will have
to make a Resume, know how to interview for a job and get to know their
potential in the future career.

Another solution, based on survey results, schools need to make

information that is easy for parents to digest clearly. So, the school will
make a booklet that contains information related to the school such as
(facilities and infrastructure, school advantages, tuition fees, and so on).

Then, to improve school performance, the next plan is to have internal

scholarships that will be given to outstanding students. Programs that can
be offered by schools to achieve an increase in student achievement are as
follows:

- English Speech
- Competition Making a Product Logo Design (Canva)
- Competition Essay Writing Competition Related to Student Skills
Programs

After finding the value that can be offered to customers, Jaya Technology
Research Vocational School must know how to deliver their values ​to parents

29
clearly, easily understood, and also make them sense, feel, think, act and relate
with the value that SMK Ristek Jaya offers to them. Therefore the
implementation of the value proposition the author will make a prototype of
the value that has been designed using an Experiential Marketing approach.

IV.2.2 Proposed Designed Concept

The researcher will begin to propose prototype concepts for value proposition
and Experiential Marketing. First, prototypes for value proposition and will
continue with Socializations school alumni as an Experiential Marketing SMK
Riset Teknologi Jaya.

IV.2.2.1 Posters and Booklet SMK Riset Teknologi Jaya

The value SMK Riset Teknologi Jaya: Smart & Achievement, Respectful, and
Integrity. Here’s a prototype value proposition will give to customers. Poster,
Booklet and Video.

1. Poster, these posters will be distributed to parents and junior high school.

Figure IV.8 Prototype Posters Value Proposition

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2. The booklet will be distributed to parents and junior high school too, but
in this booklet more details about SMK Ristek Jaya with the intentions of
to make parents and students know what is inside in SMK Ristek Jaya.

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32
Figure IV.9 Prototype Booklet SMK Ristek Jaya

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IV.2.2.2 Experiential Marketing SMK Riset Teknologi Jaya

After we have a value proposition, we need to deliver with easy understanding

and also clear messages to customers. As we know experiential marketing should
include aspects: sense, feel, think, act and relate.

For now, the researchers and SMK Ristek Jaya have ideas for experiential
marketing with socialization school alumni and collaborations industry to show
parents what they can get in vocational school and how to work at a company
after graduation. Here’s a socialization layout for the event.

Figure IV.10 Socialization Layout

Socialization is not only with school alumni but in collaboration with industry
which has long been a partner of SMK Ristek Jaya. The main purpose of this
socialization is to increase trust in parents and prospective students to choose
Ristek Jaya Vocational School as the secondary school they will go to after junior
high school. Packaged in the form of socialization so that parents and students
have the same opportunity to find out more about what SMK Ristek Jaya can offer
to prospective students and parents. Following is the concept of socialization with
school alumni.

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1. The first activity of socialization with alumni is a seminar for parents and
students. Alumni and industry parties will give seminars on the theme of
the importance of the role of parents in the continuation of children's
education and the importance of getting an education.
2. In the second activity, alumni and industry parties will provide demo
services for motorcycle vehicles and provide explanations about the basics
of automotive work such as production, quality checks products to
prospective students. Students willing to try with them to know more
about the automotive industry.
3. The third activity, alumni and the industry will provide limited free
services to several customers who have come by holding quizzes for
prospective students.
4. Fourth, the school will provide posters, booklets and merchants for parents
and prospective students. For merchants, SMK Ristek Jaya will
collaborate with school alumni to create a t-shirt for parents or students.
Here’s a design for t-shirt

Figure IV.11 Merchant SMK Ristek Jaya

35
5. Then, provide limited cashback to parents who register their children on
the socialization day of the event.

Figure IV.12 Prototype Poster Cashback

That;s all the way SMK Ristek Jaya delivers the value that they have. Hopefully
the experiential marketing and value of SMK Ristek Jaya can give more increased
trust to vocational schools.

IV.3 Implementation Plan & Justification

Experiential marketing strategy implementation cannot be carried out in the near
future, because it requires quite a long time and complicated procedures to be able
to collaborate with industry and alumni. To make the development process more
focused, the following is a recommended implementation plan for the implement
value proposition SMK Ristek Jaya.

Figure IV.13 Implementation Plan

To prepare workshops, seminars and scholarship programs requires quite a long

time, SMK Ristek Jaya needs 2 years. Because schools need time to prepare
proposals for assistance to the government, sponsorship to industries that have
collaborated with schools and also provide the necessary facilities in making these

36
programs. Likewise with Experiential Marketing, making the concept of the event
by holding socialization which is packaged with workshops from alumni and the
best automotive companies, distribution of merchants, and providing assistance
with discounted registration prices takes a long time to prepare.

37
 Chapter IV Conclusion and Recommendation

This chapter will explain the conclusion that researchers reach for SMK Riset
Tkenologi Jaya. Specifically, the researcher will answer the questions on Chapter
1. First, What value can SMKs Ristek Jaya provide to increase customer trust.
Second, What integrated marketing communication to help SMKs Riset
Teknologi Jaya delivers the value of vocational school to the students.

V.1 Conclusion
In this section the researcher tries to make a conclusion based on the analysis
that has been done;

Because vocational education has a different perspective from customers who

think that SMK has lower credibility compared to SMA. SMK Ristek Jaya is
one of the vocational schools at Jakarta Timur who have a high interest in the
SMK Ristek Jaya before a lot of schools were built there. SMK Ristek Jaya do
not pay attention to their credibility and are aware now they can only depend
on what they have the same as before without innovation. So, the researcher
and the school tries to discuss what value that they should have first to
improve their reputation so customers can trust them.

First, the value created by value proposition canvas, SMK Ristek Jaya should
pay more attention to their students, what they can afford and how to make
them show what the potential they have. Based on the value proposition, SMK
Ristek Jaya must have programs for students, parents and teachers.
Workshops, Seminars and Scholarships will be the program that the school
will provide to students, parents and teachers aimed to add skills, provide
services to parents to be involved in the importance of the world of education
and prepare themselves for the world of work.

Second, after the school has a value that they can offer to customers, SMK
Ristek Jaya must have a way to deliver their value to customers. The
researcher proposed they use experiential marketing, specifically use
workshop approach with school alumni and collaborate with partner industry.

38
The goals of experiential marketing are to increase customers' trust and want
to enroll their children into SMK Ristek Jaya.

V.2 Recommendation
The recommendation is based on strategy formulation on Chapter III and
Chapter IV. There are some potential plans that can be implemented for SMK
Ristek Jaya.
To summarize the business formulation on process before, this research will
recommend SMK Ristek Jaya to initiate the following strategies to increase
customer trust:
- Report Performances, parents will trust the school they choose if they can
provide and explain how they perform. Not only teachers, but their
facilities, what the result of their programs. The researcher proposed for
example the report performances for SMK Ristek Jaya (Appendix).
- Cooperation with external parties is very important for an educational
institution to broaden the horizons of thought and develop potential and all
aspects. Mainly, this is very good as a means of building institutional
capacity, developing teacher quality, increasing students' talents, and
strengthening confidence in the community as the school's main
stakeholder.

39
 REFERENCES

Lin, Sher, & Shih. (2005). Past Progress and Future Directions In
Conceptualization Customer Perceived Value: International Journal of Services
Industry Management (pp. 371-325)

Turel, O. and Serenko, A. (2006). Satisfaction with mobile services in Canada: an

empirical investigation. Telecommunications Policy, 30, (pp. 314-331)

Fazal-e-Hasan, (2018), "Examining the role of consumer hope in explaining the

impact of perceived brand value on customer–brand relationship outcomes in an
online retailing environment", Journal of Retailing and Consumer Services, Vol.
41, (pp.101-111)

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 APPENDICES

Appendix A Perceived Value Scale

41
Appendix B Value of Proposition Questions
Customer Jobs

1. Apakah anda melanjutkan pendidikan ke jenjang SMA/SMK?

2. Apa pekerjaan anda sekarang?
3. Aktivitas sosial apa yang anda lakukan saat sekolah untuk mencapai
pekerjaan yang anda inginkan?
4. Apa yang ingin kalian perbaiki dalam sistem pendidikan saat ini?
5. Persepsi seperti apa yang anda harapkan dari rekan-rekan kerja mengenai
anda?
6. Bagaimana caranya anda untuk mencapai tujuan tersebut?
7. Apa yang anda rasakan ketika tujuan tersebut tercapai?

Customer Pain

1. Hal apa yang berharga menurut anda dalam memilih sekolah sebagai
pilihan anda untuk melanjutkan jenjang pendidikan?
2. Hal apa yang membuat anda kecewa ketika anda maupun anak anda dalam
layanan jasa pendidikan?
3. Kesulitan apa yang anda maupun anak anda hadapi ketika memilih
sekolah?
4. Apa dampak dari kesulitan yang kalian hadapi?
5. Bagaimana caranya menghadapi dampak tersebut?
6. Apa yang menjadi hambatan anda maupun anak anda ketika ingin
menerapkan solusi terhadap kesulitan yang kalian hadapi?

Customer Gain

1. Apa yang membuat anda senang terhadap layanan jasa pendidikan yang
kalian terima?
2. Apa ekspektasi anda ketika memilih sekolah?
3. Apa yang anda sukai dari sistem pendidikan maupun fasilitas yang
diberikan oleh sekolah?
4. Apa hal yang memudahkan anda ketika membuat keputusan untuk
memilih sekolah?

42
 5. Dampak positif seperti apa yang kalian harapkan dari sekolah?
6. Apa yang membuat suatu sekolah terlihat berkualitas?
7. Bagaimana anda mengukur kesuksesan dan kegagalan dari sekolah?
8. Aspek apa yang anda ingin implementasikan dan harapan anda untuk
sekolah?

Pain Reliever

1. Apakah layanan jasa pendidikan yang anda rasakan membuat anda lebih
menghemat dari segi biaya maupun waktu?
2. Apakah layanan jasa pendidikan yang diberikan membuat anda merasa
lebih baik?
3. Apakah layanan jasa pendidikan yang diberikan dapat mengurangi resiko
yang dapat terjadi pada suatu hal tertentu?
4. Apakah layanan jasa pendidikan dapat mengurangi kesulitan maupun
permasalahan anda?
5. Apakah ada hal negatif dari layanan jasa pendidikan yang membuat anda
takut/ragu?
6. Apakah hal negatif tersebut membuat anda menjadi mempunyai banyak
pertimbangan dalam memilih layanan jasa pendidikan?
7. Apakah hal negatif tersebut menjadi hambatan untuk anda untuk mencapai
ekspektasi anda terhadap layanan jasa pendidikan?

Gain Creator

1. Apakah layanan jasa pendidikan dapat membuat anda menghemat dari

segi biaya, waktu maupun usaha?
2. Apa yang anda ingin dapatkan dari layanan jasa pendidikan?
3. Apa ekspektasi anda dalam layanan jasa pendidikan untuk memenuhi
kebutuhan anda?
4. Dampak positif seperti apa yang anda harapkan dengan melanjutkan
jenjang pendidikan?
5. Apakah dengan melanjutkan jenjang pendidikan dapat memudahkan hidup
anda?

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PROPOSED VALUE PROPOSITION STRATEGY FOR VOCATIONAL
SCHOOL SMK RISET TEKNOLOGI JAYA WITH AN EXPERIENTIAL
MARKETING APPROACH

By
Marfa Eka Ridera
29121155
(Master of Business Administration Program)

Institut Teknologi Bandung

Approved
Supervisor Team

9 December 2022

44