The Impact of Social Media on Consumer

Buying Behavior

SUBMITTED TO S.D MAHILA MAHAVIDYALYA

UNDER

CHAUDHARY RANBIR SINGH UNIVERSITY

(JIND)
IN PARTIAL FULFILMENT OF REQUIREMENT THE DEGREE OF MASTER OF
COMMERCE

BY SUPERVISOR
RINKI MRS. MONIKA GARG
M.COM 3rd SEM ASSISTANT PROFESSOR
UNI. ROLL NO_____________ DEPARTMENT OF
COMMERCE

ACADEMIC YEAR 2024-2025

DEPARTMENT OF COMMERCE
 CERTIFICATE

This is certify that RINKI, has undertaken a research study of “THE IMPACT OF
SOCIAL MEDIA ON CONSUMER BUYING BEHAVIOUR” under my supervision in the
fulfillment of the requirement for the award of the degree of M.COM (CRSU
UNIVERSITY, JIND) It is certified that to the best of my knowledge the work reported
here does not from part of any other thesis or dissertation on the basis of which a degree of
diploma was conferred on an earlier occasion on this or any other scholar. This dissertation
enclosed for necessary action.

Date: ………. Mrs. MONIKA GARG

Place: S.D.M.M.V, Jind Assistant Professor Commerce
 Declaration by candidate

I declare that the dissertation entitled “THE IMPACT OF SOCIAL MEDIA ON

CONSUMER BUYING BEHAVIOUR” is my own work conducted under the supervisor of
Mrs. MONIKA GARG, assistant professor of commerce, SD MAHILA
MAHAVIDYALAYA College, Narwana. I further declare that the dissertation does not
contain any part of the work which has submitted for the award of any degree in the
university.

Date: …………… RINKI

Place: SDMMV
PLAGIARISM CHECK REPORT

Name of the Research Scholar: _________________________

Name of the Supervisor: _______________________________

Department/Faculty: ___________________________________

Registration no. ______________________________________

Signature of scholar Signature of supervisor

 ACKNOWLEDGMENT
The research required help and cooperation of many individual. It is a matter of great
satisfaction that the researcher could finish the work in due time with the keen sense of
duty, sincerity, and urgency . I am grateful to a whole lot of people who have helped me
directly. I acknowledgment that this work never been possible without the consistent
support or CRSU University, jind. I would also like to thank Dr. Anjana lohan prinpcipal
for providing area and support or CRSU University jind. I am fortune enough to have an
opportunity to work under the guidance of Mrs. MONIKA Garg [Assistant professor of
department of commerce, SDMMV, Narwana]. Without her help, this work could not been
possible. She is my philosopher and guide all through my academic life. I thank you ma’am
for being my mentor and my guru in the real sense of the term. I indeed helped by my
classmate and my family also for helping me analyzing data for my research work.

Table of Contents
1. Introduction.............
 2. Literature Review...........

3. Objectives of the Study...........

4. Research Methodology.........

5. Data Analysis...............

6. Limitations of the Study........

7. Suggestions.........

8. Conclusion..........

9. References..........

10. Questionnaire........

1. Introduction

Social media has transformed from a platform for personal communication to a dynamic
space for marketing, branding, and consumer engagement. Over the past two decades,
platforms like Facebook, Instagram, TikTok, Twitter, and YouTube have emerged as
essential tools for businesses to connect with their target audiences. Social media has not
only revolutionized how consumers interact with brands but has also redefined the way they
discover, evaluate, and purchase products and services.

Background of the Study

Consumer buying behavior refers to the decision-making processes and actions of

individuals when selecting, purchasing, and using goods and services. This behavior is
influenced by several factors, including cultural, social, psychological, and personal factors.
In today’s digital age, social media has emerged as a critical force in shaping these factors.
The widespread adoption of smartphones and increasing internet penetration have made
social media platforms accessible to billions of users worldwide, offering businesses
unprecedented opportunities to influence consumer decisions.

Social Media’s Role in Marketing

Social media platforms serve as a bridge between consumers and brands. They provide tools
for businesses to:

 Display products and services visually and interactively.

 Engage with consumers through comments, direct messages, and polls.
 Promote their offerings through influencers, targeted ads, and user-generated
content.
 Analyze consumer behavior and preferences using platform analytics.

Social media marketing also fosters a two-way communication channel where businesses
can receive real-time feedback from consumers, making it easier to adapt to market needs
and improve customer satisfaction.

Relevance of the Study

Understanding the impact of social media on consumer buying behavior is crucial for
businesses aiming to thrive in competitive markets. Social media has shifted the power
dynamics, giving consumers access to vast amounts of information, reviews, and
alternatives before making a purchase decision. The influence of social proof—through
likes, shares, reviews, and comments—has made social media platforms an indispensable
part of the consumer journey. Businesses that fail to leverage these platforms risk losing out
on potential customers and brand visibility.

Scope of the Study

This study focuses on how social media influences consumer buying behavior across various
demographics. It examines factors like:

 The effectiveness of targeted advertising campaigns.

 The role of influencers in building trust and promoting products.
 The significance of user reviews and social proof in decision-making.
 The impact of engaging content, such as short videos and live streams, on consumer
awareness and loyalty.

The research also explores how these factors vary among different age groups, income
levels, and geographic locations, providing valuable insights for marketers and businesses.

Significance of the Study

The findings of this study will help businesses optimize their social media marketing
strategies by understanding what drives consumer actions on these platforms. It will also
guide marketers in creating more targeted and effective campaigns, ensuring better
alignment with consumer expectations. For academic purposes, this research contributes to
the growing body of literature on digital marketing and consumer behavior.

In summary, the introduction establishes the growing significance of social media as a tool
for influencing consumer decisions and sets the foundation for a deeper exploration of its
impact on buying behavior throughout the dissertation

2. Literature Review

The literature on the impact of social media on consumer buying behavior is vast and
diverse, with numerous studies conducted by Indian and international scholars. This section
highlights significant contributions, focusing on Indian writers and researchers to provide a
contextual understanding of the topic within the Indian market.
1. Dr. Ramesh Kumar (2018):
In his book "Consumer Behavior and Branding: Concepts, Readings, and Cases -
Indian Context", Dr. Kumar explores how social media has transformed the
traditional marketing funnel in India. He emphasizes the role of platforms like
Instagram and Facebook in influencing the younger demographic, especially in urban
areas, by creating personalized and relatable content.
2. Dr. Seema Gupta (2020):
In her research article "Impact of Social Media on Indian Consumers’ Purchase
Decisions", Dr. Gupta investigates how factors like influencer marketing, user-
generated content, and social proof drive consumer purchases in India. She
highlights that Indian consumers tend to trust influencers who represent middle-class
values and relatable lifestyles, making micro-influencers more effective than
celebrity endorsements in many cases.
3. Prof. Rajesh Panda and Dr. Suchismita Pati (2019):
In their paper published in the Indian Journal of Marketing, titled "Social Media and
Indian Consumers: A Behavioral Perspective", the authors analyze the impact of
regional content and vernacular advertising. They found that local language content
increases engagement and trust among rural and semi-urban consumers, significantly
influencing their buying decisions.
4. Dr. Pooja Malhotra (2021):
Her study "E-commerce and Social Media Integration: An Indian Perspective"
highlights how platforms like WhatsApp and Facebook have become powerful tools
for small and medium businesses (SMBs). Dr. Malhotra emphasizes that Indian
consumers are increasingly relying on reviews and ratings on social media before
making purchase decisions.
5. Dr. Dinesh Kumar and Dr. Sunita Sharma (2022):
Their work, "Influence of Social Media Marketing on Indian Millennial Consumers",
explores how millennials in India respond to social media campaigns. They conclude
that this demographic is heavily influenced by visual content and prefers engaging
with brands through Instagram stories, reels, and TikTok (prior to its ban in India).
6. Nielsen (2017).
In his report “Consumer Trust in Advertising Report”. reported that 70% of
consumers trust online reviews from strangers more than traditional advertisements.
7. Hootsuite(2021).
Through his study “The Global State of Digital Marketin”, observed that influencers
significantly impact millennial and Gen Z purchasing decisions, especially in
categories like fashion, beauty, and tech.
3. Objectives of the Study

 To examine the extent of social media's influence on consumer buying decisions.

 To identify the platforms most effective for consumer engagement.

 To analyze the role of influencers in consumer decision-making.

  To explore how demographic factors (age, income, location) influence the impact of

social media.

 To provide actionable recommendations for businesses to optimize social media

marketing.

4. Research Methodology

Data Collection Type

The data for this study was collected primarily through structured questionnaires. A total of
13 questions were designed to gather insights into the impact of social media on consumer
buying behavior.

Type of Study

This study utilized a quantitative approach to analyze responses, providing measurable

insights into consumer behavior trends.

Sampling Design

 Unit of Analysis: Individuals who actively use social media platforms for product
discovery and purchase.
 Respondents: Included people from diverse backgrounds such as urban and rural
areas, shopkeepers, and other social media users familiar to the researcher.

Questionnaire
The questionnaire was distributed in hard copy format, and responses were collected
manually.

Data Analysis

1. Do social media platforms influence your buying decisions?

Do social media platforms influence your

buying decisions?

32% Agreed
Strongly agreed
44% Disagreed

24%

Interpretation:

44% of respondents agreed, and 24% strongly agreed that social media platforms
influence their purchase decisions. However, 32% disagreed, and none strongly
disagreed.

2. Do social media ads feel risky for influencing purchases?

 Do social media ads feel risky for influenc-
ing purchases?

16%

Agreed
8% Strongly Agreed
44% Disagreed
Strongly disagreed

32%

Interpretation:
44% agreed, and 32% strongly agreed that they view social media advertisements as
risky, while 8% disagreed, and 16% strongly disagreed.

3. Do individuals prefer social media platforms for exploring products they can’t
find locally?
 Do individuals prefer social media plat-
forms for exploring products they can’t
find locally?

16%
24%
Agreed
Strongly agreed
Disagreed
Strongly disagreed

24%

36%

Interpretation:
24% agreed, and 36% strongly agreed that social media platforms help discover
products unavailable locally. However, 24% disagreed, and 16% strongly disagreed.

4. Is it difficult to trust information on social media about products?

 Is it difficult to trust information on
social media about products?
12%

40% Agreed
Strongly agreed
Disagreed

48%

Interpretation:
40% agreed, and 48% strongly agreed that trusting product information on social
media is difficult. However, 12% disagreed.

5. Do government initiatives (e.g., Digital India, Skill India) promote e-commerce

through social media?
 Do government initiatives (e.g., Digital
India, Skill India) promote e-commerce
through social media?

12%

Agreed
Strongly agreed
44% Disagreed

44%

Interpretation:
44% agreed, and 44% strongly agreed that government initiatives support e-
commerce on social media platforms. However, 12% disagreed.

6. Does social media improve product accessibility for rural consumers?

 Does social media improve product
accessibility for rural consumers?

Agreed
Strongly agreed
Disagreed
48% Strongly disagreed
52%

Interpretation:
48% agreed, and 52% strongly agreed that social media increases product
accessibility for rural consumers. None disagreed or strongly disagreed.
7. Is it easier to compare brands and products on social media?

Is it easier to compare brands and

products on social media?

Agreed
Strongly agreed
Disagreed
48% Strongly disagreed
52%

Interpretation:
52% agreed, and 48% strongly agreed that social media makes it easier to compare
brands and products. None disagreed or strongly disagreed.

8. Do reviews and ratings on social media influence buying decisions?

 8. Do reviews and ratings on social
media influence buying decisions?

36%
Agreed
Strongly agreed
Disagreed

64%

Interpretation:
36% agreed, and 64% strongly agreed that reviews and ratings play a critical role in
influencing their buying behavior. None disagreed.

9. Does influencer marketing impact your decision to buy products?

 Does influencer marketing impact your
decision to buy products?

Agreed
Strongly agreed
Disagreed
48% Strongly disagreed
52%

Interpretation:
38% agreed, and 34% strongly agreed that influencers affect their purchasing
decisions. However, 11% disagreed and 17% strongly disagreed, indicating
skepticism toward influencer marketing.

10. Is social media content engaging enough to drive purchases?

 Is social media content engaging enough
to drive purchases?

17%

Agreed
Strongly agreed
44% Disagreed
Strongly disagreed

39%

Interpretation:

48% agreed, and 52% strongly agreed that engaging social media content (e.g., reels,
stories) encourages them to make purchases. However 15% disagreed and None
strongly disagreed.

11. Are advertisements on social media personalized enough?

 Are advertisements on social media
personalized enough?

12%

Agreed
Strongly agreed
44%
Disagreed
Strongly disagreed

44%

Interpretation:
44% agreed, and 44% strongly agreed that personalized advertisements resonate
better with their preferences. However, 12% disagreed.

12. Do social media platforms provide enough information about products?

 Do social media platforms provide enough
information about products?

Agreed
Strongly agreed
Disagreed
48% Strongly disagreed
52%

Interpretation:
48% agreed, and 52% strongly agreed that social media provides sufficient product
information. None disagreed or strongly disagreed.

13. Does social media encourage impulse buying?

 Does social media encourage impulse buy-
ing?
12%

35% Agreed
Strongly agreed
Disagreed
Strongly disagreed
31%

23%

Interpretation:
36% agreed, and 24% strongly agreed that social media often leads to impulse
purchases. However, 32% disagreed, and 12% strongly disagreed, showing mixed
opinions.

This practical methodology offers a structured approach to understanding how social media
influences consumer buying behavior while highlighting key findings from the data
collected.

6. Limitations of the Study

 The study is limited to users with internet access and social media accounts,
excluding offline populations.
 The sample size of 200 may not fully represent all demographics.
 Self-reported data may include biases, such as exaggeration or omission.
 Rapidly evolving social media trends might affect the generalizability of findings.
 7. Suggestions

1. Leveraging Influencer Marketing: Businesses should partner with micro and macro
influencers to boost engagement.
2. Personalization: Implement AI-driven ad targeting to cater to individual preferences.
3. Encouraging UGC: Promote hashtags and contests to increase user-generated content.
4. Cross-Platform Strategies: Use platform-specific content, such as reels for Instagram
and short videos for TikTok.
5. Building Trust with Reviews: Highlight verified reviews and respond to customer
feedback.
8. Conclusion

The study on the Impact of Social Media on Consumer Buying Behavior reveals significant
insights into how digital platforms influence the decision-making processes of modern
consumers. Social media has become a critical marketing tool that shapes consumer
preferences, awareness, and purchase behavior, transcending traditional marketing methods.

Key Findings

1. Influence of Social Media Platforms:

Platforms like Instagram, Facebook, and YouTube have emerged as primary drivers
of consumer engagement. These platforms are not only hubs for entertainment but
also essential tools for discovering and purchasing products.

2. Role of Reviews and Social Proof:

Reviews, ratings, and comments on social media strongly influence consumer trust
and purchasing decisions. Positive reviews act as endorsements, while negative
feedback can deter potential buyers, demonstrating the power of social proof.

3. Effectiveness of Influencer Marketing:

Influencers play a vital role in shaping consumer behavior, particularly among

younger demographics. Their recommendations are often perceived as authentic,
making them effective brand ambassadors for specific target groups.

4. Personalization and Targeted Advertising:

Consumers are drawn to personalized advertisements that align with their

preferences and needs. Targeted ads, enabled by algorithms, enhance consumer
engagement and conversion rates.

5. Impact on Rural and Urban Consumers:

Social media bridges the gap between rural and urban markets, making products and
brands accessible to previously underserved areas. This has empowered rural
consumers and opened new markets for businesses.

6. Encouraging Impulse Buying:

 The interactive and engaging nature of social media content, such as reels, stories,
and live videos, often leads to impulse purchases, demonstrating the immediacy of
its influence.

Broader Implications

The study highlights how social media has revolutionized the consumer journey, turning it
into a more interactive and informed process. Businesses can no longer afford to ignore the
potential of social media in driving sales and building brand loyalty. By leveraging trends
like influencer marketing, user-generated content, and personalized advertisements,
companies can tap into the growing consumer base online.

Challenges Identified

Despite its benefits, social media marketing also poses challenges, including:

 Consumer skepticism towards overly promotional content.

 Difficulty in establishing long-term trust with users.
 The need for constant adaptation to evolving trends and algorithms.

Recommendations

1. Brands should focus on building trust through genuine and transparent content.
2. Investing in micro-influencers who resonate with niche audiences can yield better
engagement.
3. Businesses must utilize data analytics to optimize personalization and targeted
marketing efforts.
4. Training and awareness programs should be introduced to help rural consumers
make informed choices.

Conclusion
In conclusion, social media is no longer just a platform for communication; it is a
marketplace, a review hub, and a branding tool that profoundly impacts consumer behavior.
As its influence continues to grow, businesses must adopt innovative strategies to stay
competitive and relevant. Future research can explore deeper into the long-term effects of
social media on consumer loyalty and its role in shaping global consumer trends.

9. References

 Kumar, R. (2018). Consumer Behavior and Branding: Concepts, Readings, and Cases -
Indian Context.

 Gupta, S. (2020). Impact of Social Media on Indian Consumers’ Purchase Decisions.

 Panda, R., & Pati, S. (2019). Social Media and Indian Consumers: A Behavioral
Perspective. Indian Journal of Marketing.

 Malhotra, P. (2021). E-commerce and Social Media Integration: An Indian Perspective.

 Kumar, D., & Sharma, S. (2022). Influence of Social Media Marketing on Indian
Millennial Consumers.

 Nielsen. (2017). Consumer Trust in Advertising Report.

 Hootsuite. (2021). The Global State of Digital Marketing.

10. Questionnaire

Questionnaire on Social Media's Impact on Consumer Buying Behavior

1. Do social media platforms influence your buying decisions?

 Strongly agree
 Agree
 Disagree
 Strongly disagree
2. Do social media ads feel risky for influencing purchases?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
3. Do individuals prefer social media platforms for exploring products they can’t find
locally?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
4. Is it difficult to trust information on social media about products?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
5. Do government initiatives (e.g., Digital India, Skill India) promote e-commerce
through social media?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
6. Does social media improve product accessibility for rural consumers?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
7. Is it easier to compare brands and products on social media?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
8. Do reviews and ratings on social media influence buying decisions?
 Strongly agree
 Agree
  Disagree
 Strongly disagree
9. Does influencer marketing impact your decision to buy products?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
10. Is social media content engaging enough to drive purchases?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
11. Are advertisements on social media personalized enough?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
12. Do social media platforms provide enough information about products?
 Strongly agree
 Agree
 Disagree
 Strongly disagree
13. Does social media encourage impulse buying?
 Strongly agree
 Agree
 Disagree
 Strongly disagree