The Implementation of Branding and Socialization of Intellectual

Property Rights in the Microfinance, Small, and Medium Enterprises

(MSME) Community in Yogyakarta

Ninik Probosari, Kartika Ayu Ardhanariswari, Ari Wijayanti

Universitas Pembangunan Nasional Veteran Yogyakarta

Keyword: Branding, Microfinance, Small, and Medium Enterprises (MSME), Intellectual Property Rights

Abstract: The emergence of branding on MSME's products causes by the needed for the identity for products of

MSME's for entering in the national market, thus increasing penetration. In fact, many MSME s are not yet

aware of the importance of branding for competitiveness and not aware of the importance of protecting

intellectual property rights. The MSME's are more focused on aspects of product sales. The purpose of the

research is that known the business conditions and application of branding of MSME's snacks and

implementations of the socialization of intellectual property rights in the Yogyakarta District. The result of

this activity is to increase entrepreneurial skills to the community by providing capabilities to homemakers

and youth to teaching how to market product results online and branding good, also awareness of the

importance and the process of registering intellectual property rights.

1 INTRODUCTION

The development of SMEs in Yogyakarta is growing

rapidly, and this is inseparable from the support of

the Regional Government and banks. Also, BUMN,

BUMD, private companies, and communities also

help improve the skills and quality of human

resources. At present the MSME sector, based on

2016 census data, from a total of 533,670 business

units/companies, the number of micro and small

businesses (MSEs) is 524,935 companies (98.40%)

and large businesses of 8,735 companies (1,60%).

Some successes have not only succeeded in meeting

the needs of the national market but also succeeded

in penetrating international market competition. The

great potential of businesses in the Yogyakarta

Regency provides new opportunities for the

community to increase budgetary needs in the local

area. Hopefully, this information can be useful for

readers and motivate people in various regions to

start businesses immediately.

One of the problems experienced by the majority

of MSMEs is the lack of understanding of branding

as a function of maintaining business

Sustainability. Most MSME business people still

focus on trading and forget about the branding side.

This can be caused by ignorance, ego, or their closed

nature over new ideas, and feeling quickly satisfied.

Seeing the good conditions above, it turns out

that the existence of MSMEs in Yogyakarta still has

several obstacles, namely the branding/media

promotion and also the protection of trademark

intellectual property rights. Because it is very

important for every MSME to have a clear and

unique strategy and approach for an identity to be

outlined in branding through social media or other

digital media. Why does identity or brand identity or

branding design through social media help the SME

industry a lot? One of them is helping MSMEs to

form and look professional. This will increase

consumer confidence in the products and services

offered. A strong brand identity is very important

because the character of the Indonesian people is

easier to remember images than writing. There is a

saying that "pictures speak is equivalent to

thousands of words". Social media

Branding is usually in the form of symbols or

symbols so that it is easily identified comfortably

rather than a pile of pages of words contained in a

company profile. In addition, the graphic design side

of branding through social media can increase

awareness of the products or services offered,

especially if the name of the company does not

246

Probosari, N., Ardhanariswari, K. and Wijayanti, A.

The Implementation of Branding and Socialization of Intellectual Property Rights in the Microﬁnance, Small, and Medium Enterprises (MSME) Community in Yogyakarta.

DOI: 10.5220/0009962002460250

In Proceedings of the International Conference of Business, Economy, Entrepreneurship and Management (ICBEEM 2019), pages 246-250

ISBN: 978-989-758-471-8

necessarily explain something. The value of a brand

or brand can be a profitable added value if at any

time the SMEs or business units decide to transfer it

to the heir or others. From a theoretical approach

(Fandy Tjiptono,

Brand Management & Strategy, 2005), this good

brand is produced through branding decisions. This

branding decision covers six main aspects, namely

First, the decision regarding whether to use the

brand or not for the product produced. Branding

applies to all types of products (goods, services,

retailers, online businesses, people, organizations,

places, and ideas). Namely by giving a name to the

product and include the meaning or specific meaning

regarding what is offered the relevant product and

what distinguishes it from competing products. The

second aspect of brand sponsor decisions, namely

decisions regarding who should sponsor the brand.

Each marketing organization has three main choices:

(1) products use manufacturing brands; (2) the

manufacturer sells the product to a distributor or

intermediary who will then use the house brand or

private label; and (3) implementing a mixed brand

strategy. The third aspect of brand hierarchy

decisions, namely decisions regarding whether each

product needs to be given its own brand or use a

corporate brand. The fourth aspect of brand

extension decisions, namely decisions regarding

whether specific brand names need to be extended to

other products. The fifth aspect of a multi-brands

decision is to develop two or more brands in the

same product category. The sixth aspect of brand

repositioning decisions, namely the decision to

change the product and its image in order to better

meet customer expectations.

2 SOLUTIONS AND OUTPUT

TARGETS

Community service activities are trying to help

partners (in this case the Kompak Jogis Community

and Forkom Karya Manunggal Yogyakarta to be

able to make branding through social media products

of MSMEs) and understand the IPR registration

procedures, the activities that will be carried out to

address partner problems are:

Information dissemination and material

regarding the importance of branding/brands

for MSMEs

Dissemination and distribution of material

concerning Overview of Intellectual Property

Rights in the Trademark, Industrial Design,

and Copyright categories.

Training on the design of branding concepts

through social media and other digital media

(websites)

Assistance with the branding design process

Intellectual Property Rights registration

assistance

3 METHOD OF

IMPLEMENTATION

This research used qualitative research. Qualitative

research is a scientific method of observation to

gather non-numerical data. This sort of inquiry

refers to the meanings, concepts, definitions,

characteristics, metaphors, symbols, and description

of things "and not to their "counts or measures. This

research answers how and when a particular

phenomenon occurs. According to Hennink et al.,

“qualitative research is an approach that allows you

to examine people’s experiences in detail, by using a

specific set of research methods such as in-depth

interviews, focus group discussions, observation,

content analysis, visual methods, and life histories or

biographies”.

This Reseach undertaken is to provide awareness

of the importance of branding/brands for MSMEs

and also to assist in making branding through social

media as the identity of MSMEs. This activity was

carried out in partnership with the Kompas Jogis

Community and Forkom Karya Manunggal in the

city of Yogyakarta. Specific problems faced by

community service partners, namely the Kompak

Jogis Community and Forkom Karya Manunggal

Yogyakarta, are to provide awareness of the

importance of branding/brands for MSMEs, to the

assistance of branding through social media as the

identity of MSMEs in their associations, as well as

socialization activities on the importance and

procedures protection of Intellectual Property Rights

in Trade Marks of MSME products.

The Implementation of Branding and Socialization of Intellectual Property Rights in the Microﬁnance, Small, and Medium Enterprises

(MSME) Community in Yogyakarta

247

Figure 1: Socialization Activities of Intellectual Property

Rights

Figure 2. Training on the design of branding concepts

through social media and other digital media.

Referring to the above activity items, the

problems of the Kompak Jogis Community and the

Forkom KaryaManunggalYogyakarta as a service

partner carried out by the Universitas Pembangunan

Nasional “Veteran” Yogyakarta include the

following:

1 To strengthen the Kompak Jogis Community

and Forkom Karya Manunggal Yogyakarta,

one of the important strategies implemented is

to provide awareness of the importance of

branding/brands for MSMEs and also to assist

in making branding through social media as

the identity of MSMEs. Branding strategies

need to be carried out to be able building the

image and identity of the products produced

by MSMEs that can influence consumers to

have a positive perception of the product,

character, ability, appearance, and offer being

promoted. Moreover, to enter the era of free

trade on a national, regional, and global scale

that cannot be separated from the support and

influence of the branding carried out.

2 So far, branding has become one of the things

that are considered trivial for some business

people, none other than MSMEs. Whereas

UMKM actors must have an awareness that

packaging or identity/branding through social

media that is made and used must be able to

be uniquely involved and attractive so that it

becomes a reliable promotional media. The

interesting branding through MSME social

media is the main attraction for the product

being sold. Generally, consumers on the

market want to buy an item after seeing a

unique and attractive product packaging. So

the packaging design is very important for

MSMEs.

3 Another problem is that there is not enough

knowledge about the importance of having a

clear and unique strategy and approach for an

identity to be poured out for MSMEs through

social media. One thing to do is to approach

social media. Two facts must be kept in mind

when talking about social media and SMEs.

First, SMEs will always want to add

connections to social media. Second, SME

owners have limited time and money for

social media. Fortunately, social media does

not mean that SMEs must appear on all social

media platforms. SMEs can choose one or two

of the most relevant and effective social media

to reach out and focus on consumers. It should

be remembered that neglecting the existence

of social media will have a negative impact on

the development of MSMEs. Problems like

this have not been much expressed by the

Yogyakarta Jogging Compact Community.

4 The most important final problem for MSME

practitioners is that there is no awareness of

the importance of legal protection regarding

intellectual property rights regarding

trademarks, copyrights, and industrial designs.

So it is feared that the products will be

plagiarized by others or prosecuted because

there are products that have the same

trademark.

4 OUTCOMES

For the form and realization of the above method,

the work procedure is as follows:

ICBEEM 2019 - International Conference on Business, Economy, Entrepreneurship and Management

248

Making Branding Re-Design through social

media and other digital media MSME

products.

Making a Branding Design Handbook through

morning media on MSME actors.

Registration of Copyright Guidebooks.

Through branding design, the outcomes resulting

from PbM activities are as follows:

Improving the quality of social media

branding designs

Improved marketing strategy

Branding Design Handbook for SMEs

Proceedings and Journals

Figure 3.Branding Strategy through Social Media

This output was generated through socialization

activities and the provision of material on Brief

Information on Intellectual Property Rights in the

Trademark, Industrial Design and Copyright

categories see Doc 1. And through training on the

design of branding concepts through social media

and training on online marketing. The first thing

they do is introduce them to an online marketing

strategy through Instagram. One example of

marketing via Instagram can be seen in Figure 3

5 CONCLUSIONS

The conclusion of this community service activity is

trying to help partners (in this case the Kompak

Jogis Community and Forkom Karya Manunggal

Yogyakarta to be able to make branding through

social media products of MSMEs, and understand

the IPR registration procedures are:

1 Some SMEs' responses related to branding

appear, this is caused by, 1) because they do

not understand the knowledge of branding; 2)

do not have a positive entrepreneurial

character 3) have never received assistance.

2 Referring to these conditions, the Universitas

Pembangunan Nasional “Veteran”

YogyakartaService Team needs to hold

technical guidance on branding strategies for

MSMEs in Yogyakarta to provide

understanding for MSMEs about the benefits

of branding for business development, which

in the end is able to compare products well.

The function of branding as a means to embed

the image and image of the product and its

business in a positive way in the minds of

consumers must be truly understood by the

SMEs, because product branding is one of the

important points so that MSME products will

always be remembered by the public or

consumers in the time period long.

3 Linkages with Intellectual Property Rights, a

choice that must be made by SMEs in the city

of Yogyakarta if they want to survive in trade

competition. The obstacles that arise in

trademark registration occur mainly because

of the misunderstanding of MSME actors in

understanding the brand. Therefore, MSMEs

need government support to be able to develop

brands. This support can be in the form of

providing brand development training as well

as ease in obtaining brand protection.

The Implementation of Branding and Socialization of Intellectual Property Rights in the Microﬁnance, Small, and Medium Enterprises

(MSME) Community in Yogyakarta

249

ACKNOWLEDGEMENT

Thanks to Lembaga Penelitian dan Pengabdian

Kepada Masyarakat (LPPM) Universitas

Pembangunan Nasional ‘Veteran’ Yogyakartawhich

has funded community service through the IbM

program.

REFERENCES

Books

Budiarto, Rachmawan; Susetyo Hario Putero; Hempri

Suyatna, dan Puji Astuti. 2016. Pengembangan

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Redono, Daru. 2013. Simple Promotion dan Branding

untuk Usaha Kecil Menengah. Penerbit Universitas

Brawijaya Press (UB Press): Malang.

Susanto, A.B. dan Wijanarko, Himawan. Power Branding

Membangun Merek Unggul dan Organisasi

Pendukungnya. Jakarta: Quantum Bisnis &

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Tjiptono, Fandy. Brand Management & Strategy.

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Internet

Profil Asosiasi UKM Yogyakarta, diakses pada 5 Maret

2019 melalui

http://www.umkmYogyakarta.com/

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5 Maret 2019. melalui https://marketing.co.id/5-

kesalahpahaman- ukm-tentang-media-sosial/

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