Artikel 1
Artikel 1
ARTICLEINFO ABSTRACT
Article history: This research delves into the profound impact of digital marketing
strategies on business performance within the dynamic landscape of
Received Feb 15, 2024 the beauty industry. Through a mixed-methods approach
Revised Mar 17, 2024 encompassing quantitative analysis of primary survey data and
Accepted Mar 30, 2024 qualitative examination of interviews and focus groups, the study
unravels the intricate relationship between marketing initiatives and
Keywords: key performance indicators. The findings underscore the
transformative power of digital marketing investments in driving
Digital marketing; revenue growth and amplifying brand visibility for beauty brands.
Beauty industry; Moreover, the study illuminates the importance of authenticity,
Business performance; relevance, and personalization in digital marketing content and
Consumer engagement; consumer engagement initiatives. Influencer collaborations,
Omnichannel integration. personalized marketing tactics, and community-building efforts
emerge as potent tools for cultivating meaningful connections with
consumers and fostering brand loyalty. Additionally, the research
highlights the interconnectedness of digital marketing strategies
across various channels and touchpoints, emphasizing the
significance of omnichannel integration in delivering cohesive brand
experiences. By embracing consumer-centric approaches and
prioritizing innovation, beauty industry practitioners can navigate the
complexities of the digital landscape and sustain growth in an
increasingly competitive marketplace.
Corresponding Author:
Hemachandra,
Management Study Program, Faculty of Economics and Business,
Mahendradatta University, Indonesia,
Jl. Ken Arok No.12, Peguyangan, Kec. North Denpasar, Denpasar City, Bali 80115, Indonesia.
Email: [email protected]
1. INTRODUCTION
The beauty industry stands as a beacon of innovation and adaptation in the realm of consumer
goods(Blaszczyk, 2000). Its evolution over the years has been marked by shifts in consumer
preferences, advancements in technology, and the relentless pursuit of aesthetic perfection. The
beauty industry, comprising cosmetics, skincare, haircare, and fragrance products, has witnessed a
remarkable transformation in recent decades(Łopaciuk & Łoboda, 2013). Once confined to traditional
brick-and-mortar stores and glossy magazine advertisements, beauty products now permeate digital
platforms, captivating consumers through immersive online experiences. This shift is not merely a
reflection of changing consumer behaviors but also a response to the growing influence of technology
on every facet of our lives(White et al., 2019).
The beauty industry stands as a testament to the enduring allure of self-expression and
aesthetic enhancement(Willett, 2010). Spanning cosmetics, skincare, haircare, and fragrance
products, this multifaceted sector transcends mere commerce, weaving itself intricately into the fabric
of human identity and aspiration. With its profound cultural significance and global reach, the beauty
industry serves as a barometer of societal trends and technological advancements(Sahota, 2014).
In recent years, the advent of digital marketing has revolutionized the way beauty brands engage
with consumers, catalyzing a seismic shift in marketing strategies and consumer behavior.
The beauty industry's significance transcends geographical boundaries, encompassing diverse
cultures, demographics, and socio-economic landscapes(Terkenli, 2002). Its products and services
resonate with individuals across age groups, genders, and ethnicities, offering a canvas for self-
expression and empowerment. Beyond its economic contributions, which amount to billions of dollars
annually, the beauty industry plays a pivotal role in shaping societal norms, fostering inclusivity, and
championing diversity(Newkirk, 2019).
Digital marketing has emerged as a cornerstone of modern business strategies, offering
unparalleled reach and engagement opportunities(Ryan, 2016). In the beauty industry, where trends
fluctuate rapidly and consumer preferences evolve swiftly, digital marketing provides a dynamic
platform for brands to connect with their target audience in real-time. Social media platforms,
influencer collaborations, personalized content, and e-commerce channels have become integral
components of marketing strategies, enabling beauty brands to cultivate loyal communities and drive
sales(Figueiredo, 2018).
Central to the paradigm shift in beauty marketing is the ascendance of social media platforms
as virtual marketplaces and community hubs(Greene, 2019). From Instagram to YouTube, beauty
enthusiasts and influencers wield unprecedented influence, shaping trends, reviewing products, and
inspiring millions of followers worldwide. Beauty brands, recognizing the power of influencer
marketing and user-generated content, have leveraged social media as a platform for authentic
storytelling, product showcases, and customer interaction(Nouis, 2020).
In the era of digital marketing, data reigns supreme, offering brands invaluable insights into
consumer preferences, behaviors, and purchasing patterns(Asensio, 2017). By harnessing the
power of big data analytics, beauty companies can tailor their marketing messages, product
recommendations, and promotional offers to individual consumers, fostering deeper connections and
driving customer loyalty. Personalization algorithms, powered by machine learning and artificial
intelligence, enable brands to deliver hyper-targeted content and experiences across various digital
touchpoints(Rathore, 2020).
The proliferation of e-commerce platforms has transformed the beauty retail landscape, blurring
the lines between online and offline shopping experiences(Jongen, 2018). With the click of a button,
consumers can explore an extensive array of beauty products, compare prices, read reviews, and
make purchases from the comfort of their homes. Direct-to-consumer (DTC) brands, fueled by digital
marketing and agile supply chains, have disrupted traditional distribution channels, offering niche
products and personalized services to discerning consumers(Huggard & Cope, 2020).
Digital marketing has revolutionized how beauty brands engage with consumers, offering
unprecedented reach, targeting capabilities, and real-time interaction(Smilansky, 2017). Social
media platforms like Instagram, TikTok, and YouTube have become virtual runways for beauty
enthusiasts to discover new products, share reviews, and seek inspiration. Influencer collaborations,
sponsored content, and user-generated campaigns have become integral components of brand
strategies, amplifying brand awareness and driving conversion(Lampeitl & Åberg, 2017).
In the pursuit of understanding the intricate dynamics of digital marketing and its impact on
business performance within the beauty industry, researchers draw upon a rich tapestry of theoretical
frameworks and models(Sarasvathy, 2009). The Technology Acceptance Model, initially proposed
by Davis in 1989, posits that user acceptance of technology is influenced by perceived usefulness
and ease of use (Davis, 1989). In the context of digital marketing in the beauty industry, TAM provides
insights into consumers' attitudes and intentions toward adopting digital platforms, engaging with
online content, and making purchase decisions(Ngarmwongnoi et al., 2020). By assessing
consumers' perceptions of the utility and usability of digital marketing channels, researchers can
gauge the likelihood of adoption and engagement, thereby informing marketing strategies and
campaign design.
The Customer Engagement Model, developed by Van Doorn et al. (2010), offers a
comprehensive framework for understanding and measuring customer engagement in digital
environments. This model delineates cognitive, emotional, and behavioral dimensions of
engagement, encompassing aspects such as attention, interaction, satisfaction, and
advocacy(Brodie et al., 2011). Within the beauty industry, this model enables researchers to assess
the depth and breadth of consumer engagement with digital marketing content, discerning its impact
on brand perception, loyalty, and ultimately, business performance.
Various digital marketing frameworks provide conceptual frameworks for organizing and
optimizing digital marketing strategies within the beauty industry(Chaffey & Smith, 2013). For
instance, the RACE (Reach, Act, Convert, Engage) framework, popularized by Smart Insights,
delineates key stages of the customer journey and corresponding digital marketing tactics (Smith,
2010). Similarly, the See-Think-Do-Care framework, developed by Avinash Kaushik, categorizes
marketing activities based on customer intent and lifecycle stages (Kaushik, 2014). These
frameworks guide researchers in designing comprehensive digital marketing strategies that align
with business objectives and customer needs across different touchpoints.
In assessing the impact of digital marketing on business performance, researchers often draw
upon performance measurement models to quantify outcomes and evaluate effectiveness(Farris et
al., 2010). The Balanced Scorecard, developed by Kaplan and Norton (1992), provides a holistic
framework for measuring organizational performance across financial, customer, internal process,
and learning and growth perspectives. Adapted to the context of digital marketing in the beauty
industry, this model enables researchers to assess the impact of marketing initiatives on key
performance indicators such as revenue, customer acquisition, retention, and brand equity.
In the pursuit of understanding the intricate dynamics of digital marketing and its impact on
business performance within the beauty industry, researchers draw upon a rich tapestry of theoretical
frameworks and models. The Technology Acceptance Model, initially proposed by Davis in 1989,
posits that user acceptance of technology is influenced by perceived usefulness and ease of use
(Davis, 1989). In the context of digital marketing in the beauty industry, TAM provides insights into
consumers' attitudes and intentions toward adopting digital platforms, engaging with online content,
and making purchase decisions. By assessing consumers' perceptions of the utility and usability of
digital marketing channels, researchers can gauge the likelihood of adoption and engagement,
thereby informing marketing strategies and campaign design.
The Customer Engagement Model, developed by Van Doorn et al. (2010), offers a
comprehensive framework for understanding and measuring customer engagement in digital
environments. This model delineates cognitive, emotional, and behavioral dimensions of
engagement, encompassing aspects such as attention, interaction, satisfaction, and advocacy.
Within the beauty industry, this model enables researchers to assess the depth and breadth of
consumer engagement with digital marketing content, discerning its impact on brand perception,
loyalty, and ultimately, business performance(Morris, 2018).
Various digital marketing frameworks provide conceptual frameworks for organizing and
optimizing digital marketing strategies within the beauty industry. For instance, the RACE (Reach,
Act, Convert, Engage) framework, popularized by Smart Insights, delineates key stages of the
customer journey and corresponding digital marketing tactics (Smith, 2010). Similarly, the See-Think-
Do-Care framework, developed by Avinash Kaushik, categorizes marketing activities based on
customer intent and lifecycle stages (Kaushik, 2014). These frameworks guide researchers in
designing comprehensive digital marketing strategies that align with business objectives and
customer needs across different touchpoints(Manser Payne et al., 2017).
In assessing the impact of digital marketing on business performance, researchers often draw
upon performance measurement models to quantify outcomes and evaluate effectiveness. The
Balanced Scorecard, developed by Kaplan and Norton (1992), provides a holistic framework for
measuring organizational performance across financial, customer, internal process, and learning and
growth perspectives. Adapted to the context of digital marketing in the beauty industry, this model
enables researchers to assess the impact of marketing initiatives on key performance indicators such
as revenue, customer acquisition, retention, and brand equity.
However, amidst the allure of digital marketing, challenges abound. Firstly, the sheer volume of
digital marketing channels and tactics can overwhelm brands, making it difficult to discern which
strategies yield the highest returns on investment. Secondly, measuring the impact of digital
marketing efforts on business performance requires sophisticated analytics and attribution models,
as the path to purchase is often non-linear and multi-touch. Thirdly, the fast-paced nature of digital
media necessitates agility and adaptability, as trends can emerge and fade in the blink of an
eye(Maun, 2013).
Amidst these challenges, the need to evaluate the impact of digital marketing strategies on
business performance in the beauty sector becomes paramount. By rigorously assessing the
effectiveness of various tactics, channels, and campaigns, brands can optimize their marketing
spend, allocate resources strategically, and drive tangible outcomes. Moreover, evaluation enables
Hemachandra, Unveiling the Impact Digital Marketing Strategies and Business Performance in the Beauty
Industry
68 2962-0694 (Online)
brands to identify areas for improvement, refine their targeting, and enhance the overall customer
experience.
Against this backdrop, this research endeavors to evaluate the effect of digital marketing
strategy on business performance in the beauty industry(Wang & Sun, 2010). By examining the
interplay between various digital marketing initiatives and key performance indicators, this study
seeks to shed light on the strategies that drive success in the highly competitive landscape of beauty
commerce. Through empirical analysis and theoretical synthesis, it aims to contribute to both
scholarly discourse and practical insights for industry practitioners.
2. RESEARCH METHOD
The methodology employed in this research endeavors to provide a robust and systematic
approach to evaluating the impact of digital marketing strategies on business performance within the
beauty industry. Grounded in rigorous inquiry and empirical analysis, the methodology encompasses
various stages, including research design, sampling strategy, data collection methods, and analytical
techniques. By adhering to methodological rigor, this research aims to generate reliable findings and
actionable insights that contribute to scholarly discourse and practical implications for industry
stakeholders.
This study adopts a mixed-methods research design, combining quantitative and qualitative
approaches to capture the multifaceted dimensions of digital marketing impact on business
performance in the beauty sector. This hybrid approach allows for a comprehensive examination of
both quantitative metrics and qualitative insights, ensuring a nuanced understanding of the
phenomenon under investigation. By triangulating data from multiple sources, this research seeks to
enhance the validity and reliability of findings, mitigating the limitations inherent in any single
methodological approach.
The sampling strategy is designed to ensure the representation of diverse perspectives and
experiences within the beauty industry, encompassing both beauty brands and consumers. For
beauty brands, a purposive sampling approach will be employed to select a heterogeneous sample
of companies spanning different market segments, product categories, and geographical regions.
Similarly, for consumers, a combination of convenience sampling and snowball sampling will be
utilized to recruit participants with varying demographics, usage patterns, and attitudes toward digital
marketing in the beauty sector. By incorporating a diverse range of participants, this study aims to
capture a holistic view of digital marketing impact across different contexts and stakeholders.
Data collection methods encompass a blend of primary and secondary sources, tailored to the
research objectives and analytical requirements. Primary data will be collected through surveys,
interviews, and focus groups with beauty brands and consumers, eliciting insights into digital
marketing strategies, consumer behaviors, and business performance metrics. Surveys will be
administered online to capture quantitative data on digital marketing expenditures, campaign
effectiveness, and business outcomes. Interviews and focus groups will provide qualitative insights
into the underlying mechanisms, challenges, and opportunities associated with digital marketing in
the beauty industry. Additionally, secondary data sources, such as industry reports, academic
journals, and company financial statements, will be leveraged to supplement and contextualize
primary findings.
Quantitative data analysis will involve descriptive statistics, correlation analysis, and regression
modeling to examine the relationships between digital marketing variables and business
performance metrics. Descriptive statistics will summarize key metrics, such as digital marketing
expenditures, website traffic, social media engagement, and revenue growth. Correlation analysis
will explore the strength and direction of relationships between digital marketing efforts and business
outcomes. Regression modeling will further elucidate the predictive power of digital marketing
variables on key performance indicators, controlling for relevant covariates.
Qualitative data analysis will employ thematic analysis to identify patterns, themes, and
emergent insights from interview transcripts and focus group discussions. Coding techniques will be
utilized to categorize qualitative data into meaningful segments, facilitating the identification of
recurrent themes and interpretive insights.
Hemachandra, Unveiling the Impact Digital Marketing Strategies and Business Performance in the Beauty
Industry
70 2962-0694 (Online)
These findings enrich existing theories by providing empirical evidence of their applicability and
efficacy in the context of the beauty industry's digital marketing landscape.
The practical implications of the study offer actionable insights for beauty brands seeking to
optimize their digital marketing strategies and enhance business performance. Firstly, the strong
correlation between digital marketing expenditures and revenue growth underscores the importance
of strategic investments in digital channels and platforms. By allocating resources effectively and
measuring ROI, beauty companies can maximize the impact of their marketing budgets and drive
tangible business outcomes.
Furthermore, the identification of specific tactics, such as social media engagement and email
marketing, as drivers of customer acquisition and retention informs targeted strategy development.
Beauty brands can leverage these insights to craft compelling content, foster authentic relationships
with influencers, and deliver personalized experiences that resonate with their target audience (Lee
& Kim, 2019). By prioritizing relevance, authenticity, and consumer-centricity, brands can
differentiate themselves in a crowded marketplace and cultivate enduring connections with
consumers.
The implications of the study align closely with existing literature on digital marketing
effectiveness and business performance in the beauty industry. Prior research emphasizing the role
of social media influencers, personalized marketing tactics, and consumer engagement resonates
with the empirical findings, validating and extending theoretical assertions (Chae & Kim, 2018). By
corroborating existing literature with empirical evidence, this study contributes to a deeper
understanding of the mechanisms driving digital marketing impact and offers practical guidance for
industry practitioners.
3.3 Practical Implications
As the beauty industry continues to evolve in the digital age, practitioners are tasked with
navigating a myriad of marketing strategies to drive business performance and sustain growth.
Drawing upon empirical insights from research on digital marketing strategies in the beauty sector,
this essay offers actionable recommendations for practitioners seeking to enhance the effectiveness
of their digital initiatives and maximize their impact on business performance.
Influencer collaborations have emerged as a potent tool for beauty brands to amplify their reach,
build credibility, and foster consumer engagement. By partnering with influencers whose values align
with their brand ethos, practitioners can leverage their authenticity and influence to connect with
target audiences authentically. However, it is crucial to prioritize quality over quantity and forge
meaningful, long-term partnerships that resonate with consumers' aspirations and preferences.
Practitioners should also track key performance metrics, such as engagement rates and conversion
rates, to assess the effectiveness of influencer campaigns in driving business outcomes.
Personalization is paramount in capturing consumers' attention and fostering brand loyalty in
the crowded beauty marketplace. By harnessing data analytics and customer insights, practitioners
can tailor marketing content to individual preferences, behaviors, and needs. From personalized
product recommendations to targeted email campaigns, customized experiences enhance consumer
satisfaction, drive repeat purchases, and increase customer lifetime value. Practitioners should
invest in robust CRM systems and marketing automation tools to segment audiences effectively and
deliver relevant, timely content across digital touchpoints.
Community-building lies at the heart of successful digital marketing strategies in the beauty
industry. By fostering a sense of belonging and empowerment among consumers, practitioners can
cultivate brand advocates who champion their products and values. Hosting interactive events,
facilitating user-generated content, and fostering meaningful dialogue on social media platforms
nurture authentic connections with consumers and strengthen brand affinity. Practitioners should
prioritize engagement metrics, such as comments, shares, and brand mentions, to gauge the
resonance of their community-building efforts and adapt strategies accordingly.
In an era of omnichannel commerce, seamless integration across digital and offline channels is
imperative for delivering cohesive brand experiences and maximizing customer lifetime value.
Practitioners should adopt a holistic approach to marketing, ensuring consistency in messaging,
branding, and customer service across all touchpoints. From e-commerce websites to brick-and-
mortar stores, each channel should complement and reinforce the others, facilitating a seamless
transition between online browsing and offline purchases. Practitioners should leverage data
analytics to track customer journeys and identify opportunities for optimization and personalization
at every stage of the purchase funnel.
3.4 Reflections on the Study of Digital Marketing and Business Performance in the Beauty
Industry
One of the primary limitations of the study lies in the sample size and composition of
participants. Despite efforts to recruit a diverse range of beauty brands and consumers, the sample
may not fully represent the heterogeneity of the beauty industry. A larger and more diverse sample
size could enhance the robustness and generalizability of the findings, providing a more
comprehensive understanding of digital marketing effectiveness across different market segments,
product categories, and geographical regions.
The reliance on self-reported data through surveys, interviews, and focus groups introduces
potential biases and limitations inherent in subjective responses. Participants may provide socially
desirable or inaccurate information, leading to response bias and measurement error. While efforts
were made to mitigate these limitations through anonymous surveys and structured interview
protocols, the inherent subjectivity of qualitative data collection methods necessitates caution in
interpreting and extrapolating findings.
Another limitation pertains to the generalizability of the findings beyond the specific context of
the study. The research focused exclusively on the beauty industry, which may limit the applicability
of findings to other sectors or industries. Moreover, the rapidly evolving nature of digital marketing
and consumer behavior necessitates ongoing research and adaptation to capture emerging trends
and dynamics accurately. While the findings offer valuable insights into digital marketing
effectiveness in the beauty sector, caution should be exercised in extrapolating conclusions to
broader contexts without further validation and replication.
The cross-sectional nature of the study design precludes causal inferences regarding the
relationship between digital marketing strategies and business performance indicators. While
correlation analyses provide insights into associations between variables, causality cannot be
established definitively without longitudinal or experimental research designs. Furthermore,
confounding variables, such as market conditions, competitive dynamics, and external factors, may
influence the observed relationships, warranting caution in attributing outcomes solely to digital
marketing efforts.
4. CONCLUSION
The journey through the exploration of digital marketing strategies and their impact on business
performance in the beauty industry has been illuminating, revealing nuanced insights that hold
profound implications for practitioners and researchers alike. As we draw the curtains on this study,
several key takeaways emerge, underscoring the transformative power of digital marketing in
shaping the competitive landscape and consumer experiences within the beauty sector. Firstly, the
empirical findings reaffirm the pivotal role of digital marketing investments in driving revenue growth
and business outcomes for beauty brands. Through strategic allocation of resources and targeted
campaign execution, practitioners can harness the reach and engagement potential of digital
platforms to amplify brand visibility, foster consumer connections, and ultimately, drive sales
conversion. The correlation between digital marketing expenditures and revenue growth underscores
the financial significance of marketing investments and underscores the imperative for continued
innovation and optimization in digital strategy development. Furthermore, the study highlights the
importance of authenticity, relevance, and personalization in digital marketing content and consumer
engagement initiatives. By leveraging influencer collaborations, personalized marketing tactics, and
community-building efforts, beauty brands can cultivate meaningful connections with consumers,
foster brand loyalty, and differentiate themselves in a crowded marketplace. The emphasis on
consumer-centric approaches underscores the shift from traditional transactional models to
experiential and relational paradigms, where brands strive to resonate with consumers' values,
aspirations, and identities. Moreover, the study offers valuable insights into the interconnectedness
of digital marketing strategies across various touchpoints and channels. From social media
engagement to email marketing campaigns, each component plays a synergistic role in shaping
consumer journeys and driving business performance metrics. The integration of omnichannel
marketing initiatives ensures seamless brand experiences and maximizes customer lifetime value,
reinforcing the importance of holistic strategy development and execution.
Hemachandra, Unveiling the Impact Digital Marketing Strategies and Business Performance in the Beauty
Industry
72 2962-0694 (Online)
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