Endorsement Strategy in Digital Halal: Review of the Ijarah Agreement and Islamic Law

Abstract

The advancement of digital technology has driven a transformation in business marketing strategies, notably through endorsement practices by Instagram celebrities and influencers. Within the halal industry context, endorsement practices involve not only promotional effectiveness but also adherence to the ijarah (service lease) contract and Sharia principles. This study aims to analyse the implementation of the ijarah contract in digital business endorsements within the halal industry ecosystem from an Islamic legal perspective. A qualitative descriptive method was employed, utilising a library research approach that examined scholarly literature, journals, fatwas (religious rulings), and fiqh muamalah (Islamic commercial law) references concerning ijarah contracts and digital endorsement practices. The findings indicate that the ijarah contract is applicable to endorsement practices as it fulfils the elements of a service lease arrangement between business entities and influencers, specifically regarding the provision of digital promotional services. Implementation of the contract must satisfy the essential pillars and conditions of ijarah, such as the presence of contracting parties, clearly defined benefits, agreed-upon remuneration (ujrah), and a halal object free from gharar (uncertainty or ambiguity). In the digital halal industry, Instagram endorsements have proven effective in enhancing brand image and market reach; however, they require transparency, honesty, and compliance with Sharia principles to avoid manipulative practices or the promotion of non-halal products. This study affirms that the ijarah contract serves as a relevant legal framework for the development of halal-industry-based digital endorsement businesses.

Keywords

References

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