1

RESEARCH REPORT
On
“A Study on Social Media for Innovative Marketing Strategies”

In partial fulfillment of the requirement for the award of the

Degree of

Master of Business Administration (MBA)

By
KAUSTUBH JAISWAL
‘2100520700017’

Under the guidance of

Dr. RAJI

Submitted at

DEPARTMENT OF BUSINESS ADMINISTRATION

INSTITITUTE OF ENGINEERING AND TECHNOLOGY
JANKIPURAM LUCKNOW, UP-226021
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Department of Business Administration

Institute of Engineering & Technology Lucknow

STUDENT DECLARATION

I undersigned, hereby declare that the project titled “A Study on Social Media for

Innovative Marketing Strategies” submitted in partial fulfillment for the award

of Degree of Master of Business Administration is a bonafide record of work done

by me under the guidance of Dr. RAJI. This report has not previously formed the

basis for the award of any degree, diploma, or similar title of any University.

Place:

Date:

KAUSTUBH JAISWAL
2100520700017
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Department of Business Administration

Institute of Engineering & Technology Lucknow

CERTIFICATE FROM INSTITUTION

This is to certify that Mr. KAUSTUBH JAISWAL, fourth semester student of Master

of Business Administration, Institute of Engineering & Technology, Sitapur Road,

Lucknow has completed the project report entitled A Study on Social Media for

Innovative Marketing Strategies in partial fulfilment of the requirements for theaward

of the Degree of Master of Business Administration.

Date:

Place:Lucknow

Dr Durgawati Kushwaha

Co Convener
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Department of Business Administration

Institute of Engineering & Technology Lucknow

CERTIFICATE FROM FACULTY GUIDE

This is to certify that Mr. KAUSTUBH JAISWAL, fourth semester student of

Master of Business Administration, Institute of Engineering & Technology,

Sitapur Road, Lucknow has completed the research report entitled A Study on

Social Media for Innovative Marketing Strategies towards partial fulfilment of

the requirement for the award of the Degree of Master of Business

Administration under my supervision.

Date:

Place:

DR. RAJI

Assistant professor
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ACKNOWLEDGEMENT

Through this acknowledgement I express my sincere gratitude towards all those people who

helped me in this research report, which has been a learning experience.

This space wouldn’t be enough to extend my warm gratitude towards my project guide

DR. RAJI for her efforts in coordinating with my work and guiding in right direction. I

would also like to thank the co-ordinator Dr. VIRENDRA PATHAK for his support and

guidance for thecompletion of this report.

I escalate a heartfelt regard to our institution director Dr. VINEET KANSAL for giving me the

essential hand in concluding this work.

It would be injustice to proceed without acknowledging those vital supports I received from my

beloved classmates and friends, without whom I would have been half done.

I also use this space to offer my sincere love to my parents and all others who had been there,

helping me walk through this work.

KAUSTUBH JAISWAL
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TABLE OF CONTENT

S. No. TOPIC Page

No.

1. Introduction 1-11

(a) Industry Profile

2. Review Of Literature 12-19

5. Research Methodology 20-24

6. Data Analysis & Interpretation 25-52

7. Findings, Suggestions,Conclusion & Limitations 53-57

9. References 58-59

10. Annexure 60-62

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CHAPTER 1
INTRODUCTION

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INTRODUCTION

Social media may have begun, as its namesake implies, as a tool intended purely for social
engagement, but the commercial value soon became apparent and it has become the marketer’s
new best friend too. As social media use now far outweighs traffic, circulation, audience reach for
all traditional media channels, marketers have had to seriously alter their game plan to take this shift
in the media landscape into account. The industry is finding that conventional strategies have had to
be re-written and the basic structure of any campaign transformed. A marketers craft has always
been to grab the attention of the consumer, however fleeting that might be. The extent to which
people have embraced new media and technologies such as smart phones has given marketers the
opportunity to reach consumers in a 24/7 capacity through a variety of mediums, significantly
increasing the chances of messaging being seen. However, it is becoming increasinglydifficult to
create a campaign that stands out, not only because of the enormously competitive market but also
as the rise of social media has begun to completely overshadow more traditional approaches.

The problem lies with the change in the consumer mindset. Social media has led to a culture of
constant communication, active engagement and the expectation of immediate access to anyone
and anything. This is of course something that the traditional advert or piece of marketing material
could not ever achieve. However, a Facebook page, Twitter feed or social mobile/location activity
on platforms such as Four Square can directly address the new increasingly demanding expectations
of consumers. In addition to this initial engagement, social media activity is alsolikely to be
sustained as attention is kept over a period of time rather than for just a few quick moments. As a
result, we are increasingly seeing television adverts sign off with a plea for consumers to visit their
Facebook or Twitter page with the promise of an exciting online experience, fun incentives and a
sense of community that people actually want to get involvedwith. Consumers ultimately use
Facebook and other social media for fun and it makes no difference to them whether they are joining,
for example, an unbranded or branded game. However, the more successful the creative the more
likely consumers are going to develop a sense of loyalty to the hosting brand.

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There have been numerous campaigns that have taken advantage of the medium and successfully
propelled a brand to the media spotlight. Beyond creating an appealing consumer experience, social
platforms offer customers a direct line to the brand. Subsequently, the role of the marketer is
changing even further. Added to their already expanding job role is the position of customer services
adviser. Branches of the industry are becoming blurred and perhaps what might once have been the
territory of the PR agency, has now been infiltrated by the ad exec or marketer. So when people use
social networks to voice their enquiries, grievances and praise to a brand it is often marketers who
are designated to deal with it. This is proving an excellent opportunity for the industry to gain a
thorough and accurate insight into the public’s perception of a company or product, allowing them
to both expand on well received aspects and work on those less popular. Crucially, as feedback can
be viewed in real time this gives brands the chance to react and address any issues immediately.

Of course with every silver lining, there usually comes a cloud. The problem with this level of
immediacy is that it leaves less time for carefully thought out responses or strategy. The haste with
which comments and tweets are posted can and has often infamously led to some marketing disasters
that can damage both the client and their agencies reputation. There is also the risk of over-doing it
and littering users’ streams with branded messaging that is out of place in their social environment.
The minute a customer finds a brand’s social networking activity intrusive or annoying, then is a
customer lost. There are also many cases of brands trying to abuse the system through fake comments
or a few irresponsible employees tweeting inappropriate comments. As marketers are no longer
lurking behind the scenes, but are instead on the front line dealing directly with the public, they have
become much more accountable for the brand.

Despite the potential fallbacks of social media, it is easy to see why it is increasingly overtaking
traditional forms of marketing. Take television commercials for example, they can cost millions; are
poorly targeted and do not enable data capture. However, online virals promoted through socialmedia
cost next to nothing; reach a far greater targeted audience and allow for much moreengagement
opportunities. Therefore it is easy to see why social media is marketer’s new best friend.

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Industry Profile

Social media refers to user-created content (audio, text, video, multimedia) that is published and

shared online. It is also the online technology that allows users to share content and communicate

with one another. Social media has changed how we live our lives and affected how nearly every

industry does business. People use social media to stay informed, compare and buy products, and

keep in touch with family and friends. Companies also use social media to reach customers. They

have in-house social media departments or hire consulting firms to help them develop a social

media strategy, market their products, and manage their profile across various types of social

media. Nonprofits and government agencies use them to spread information about their programs

and services.

In a general sense, social media has been around since the beginning of the Internet, but Six

Degrees, the first social-networking site, launched in 1997. Marketing professors Andreas Kaplan

and Michael Haenlein identify six different types of social media. In their Business Horizons

article, “Users of the World, Unite! The Challenges and Opportunities of Social Media,” they

named the following:

 collaborative projects (e.g., Wikipedia)

 blogs and microblogs (e.g., Twitter)

 content communities (e.g., YouTube, Flickr)

 social-networking sites (e.g., Facebook, LinkedIn, Instagram)

 virtual game worlds (e.g., World of Warcraft)

 virtual social worlds (e.g., Second Life)

No discussion of social media is complete without mention of the Internet—the delivery method

for all those blog posts, pictures, videos, and Tweets. The Internet is a worldwide network of

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computer networks linked through high-speed, high-volume telephone lines and cables, as well

as via Wi-Fi connections. It has come a long way from its start in the 1960s as a vast, indestructible

U.S. military computer network that could communicate even when under enemy attack. Today,

the Internet is open to everyone and a major destination for information, commerce, entertainment,

and communication. In 2019, 90 percent of the U.S. population used the Internet, according to the

Pew Research Center. Only 48 percent of Americans were online in2000.

Revenue is expected to reach $50.86 billion by 2021. Social media has become extremely popular

(and a lucrative industry) in recent years. In February 2019, 72 percent of the public usedsome type

of social media, according to the Pew Research Center. Revenue in the social media industry is

increasing rapidly. In 2019, worldwide social networking advertising revenue reached

$36.14 billion, according to eMarketer. This is a 25.5 percent increase from 2018. Revenue is

expected to $50.86 billion by 2021.

The social media industry provides another great benefit: jobs for people with a variety of

educational backgrounds and skill sets. There are many rewarding careers in the industry. Social

media managers, software engineers and designers, computer programmers, and other computer

scientists are in demand, but so are workers with creative backgrounds such as writers, graphic

designers, and marketing professionals. Workers with no technical or creative background may

find jobs in administration, finance, law, and other areas.

Several types of companies create and/or utilize social media. Some companies, such as Google

offer several types of products and services. For example, Google offers the search engine Chrome

and hardware (Pixel, Chromecast, etc.). It also offered the social networking site

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Google+ until it closed access to personal accounts in 2019. Others, such as Pinterest, specialize

in social media. There are also thousands of start-ups that are still seeking to capture the public’s

interest or find venture capital funding to build their brands. Companies are located throughout the

United States, but often are headquartered in California, the Pacific Northwest, and New York

City. Typical departments at these companies include:

 business development

 content creation

 corporate communications

 customer service and support

 data and analytics

 design

 engineering

 finance and administration

 human resources

 information systems and technology (including data security)

 legal affairs

 marketing

 merchandising

 quality assurance

 regulatory affairs

 warehousing/fulfillment.

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Consumer Attitudes/Motives

It is vital for retailers and marketers to be aware of the factors that affect consumer attitudes and

motives because consumers are increasingly creating content about brands, something previously

controlled solely by companies (Heinonen 2011). As a result, current research has examined what

aspects of social media sites affect consumer attitudes and motives. Chu (2011) examined the link

between Facebook brand related group participation, advertising responses, and the psychological

factors of self-disclosure and attitudes among members and nonmembers of Facebook groups. The

study determined that users who are members of groups on Facebook are more likely to disclose

their personal data than nonmembers are. Chu (2011)

explains group participation and engagement with online ads requires a higher level of personal

information because users openly reveal their connections with Facebook groups and promote

brands or products when they pass on ads to their friends. “Facebook groups provide channels

that consumers deem useful when seeking self-status in a product category, as does passing on viral

content about brands to their social contacts” (Chu 2011, 40).

Chu (2011) also found that users who are Facebook group members maintain a more favorable

attitude toward social media and advertising. Users who have more positive attitudes toward

advertising are more likely to join a brand or a retailer’s Facebook group to receive promotional

messages. Based on this result, Chu (2011) suggests that a link exists between consumers’ use of

and engagement in group applications on a social media sites. The relationship between consumers’

use of and engagement with group applications influences the rate and effectivenessof advertising

on social media, particularly Facebook. Generally, as Chu (2011) notes, Facebook’scollege-aged

users have the most favorable attitudes toward social media advertising and are the

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largest growing demographic, which suggests that social media sites are a potentially rich platform

for online advertising campaigns, especially for companies with a younger target market.

The 35-54 age groups preferred ad formats on video and brand channels because they found them

to be more eye catching, informative, and had better placement within the online

page layout. Overall, online advertising formats with positive attributes are welcomed by users;

however, ads that are intrusive or interfere with online social networking activities, such as pop

up, expandable, or floating formatted ads were disliked by network users (Cox 2010).

Student’s trust ‘real’ friends, then Facebook friends, followed by expert blogs and independent

review sites and lastly celebrities and e-retailer sites (Harris and Dennis 2011).

User Generated Content

“While social media provides never ending avenues for communicating, it is the individuals who

serve as the influencers not the technology” (Gonzalez 2010, 23). User generated content

produces social currency for marketers because it helps define a brand. User generated content describes

“the sum of all ways in which people make use of social media, usually applied to describe the various

forms of media content that are publicly available and created by end users” (Kaplan and Haenlein 2010,

61). Therefore, social currency is when individuals share a brand or information about a brand (Zinnbauer

and Honer 2011). Social currency greatly affects brand performance and is a concept that can be linked to

Bourdieu’s (1977) and Coleman’s (1988) idea of social capital. Social capital is shaped on a personal level

and occurs in the relationships among individuals (Zinn Bauer and Honer 2011)

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Furthermore, the amount of an individual’s social capital depends on the size of the network of

connections that the user can successfully mobilize (Bourdieu as cited in Zinnbauer and Honer

2011). An individual’s connections can potentially aid in developing brands into an essential

part of customers’ social interactions via social networking. “Translating [Bourdieu’s] theory into

today’s world of exponentially increasingly social interactions on the internet, social currency can

also be understood as the entirety of actual and potential resources available to a brand from its

presence in social networks and communities” (Zinnbauer and Honer 2011, 51). There are six

components of social currency: affiliation, conversation, utility, advocacy, information, and

indemnity (Zinnbauer and Honer 2011). Social currencies come from interactions between

consumers and are usually beyond the direct control of a firm (Zinnbauer and Honer 2011).

Through their empirical study, Zinnbauer and Honer (2011) establish that although social

currency consists of six different components, brands do not rely on all of them to facilitate brand

loyalty among users. It was discovered however, that what made a brand successful was being an

essential part of people’s daily lives.

Taylor, Strutton, and Thompson (2012), found however, that social media users’ message sharing

behaviors are also attributed to the need for self-enhancement. When consumers perceive an online

advertisement to be consistent with their identity, they are more likely to share the message with

others because it is representative of who they are and what they like. Thus, “advertisers should

consider the symbolic and self-expression properties of their online ads and match them to targeted

consumers’ self-concepts” (Taylor, Strutton, and Thompson 2012, 13).

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Taylor, Strutton, and Thompson (2012), found however, that social media users’ message sharing

behaviors are also attributed to the need for self-enhancement. When consumers perceive an online

advertisement to be consistent with their identity, they are more likely to share the message with

others because it is representative of who they are and what they like. Thus, “advertisers should

consider the symbolic and self-expression properties of their online ads and match them to targeted

consumers’ self-concepts” (Taylor, Strutton, and Thompson 2012, 13). In other words, the

marketing of a company needs to share similar characteristics with its target market’s interest. All

of the findings from these studies show the significance of CGA and its impact on online

marketing.

Muñiz and Jensen Schau (2007) note that a lot of CGA is created quickly and spreads via e-mail

without revealing who made it or if it is official corporate content. Therefore, brand managers

now have to consider how to react when their brand is talked about by consumers (Campbell et

al.2011). Muñiz and Jensen Schau (2007) argue CGA is relevant to companies because it provides

proof of consumer perceptions of brands and their feelings towards the brand. They also argue

that CGA is important because they are prime examples of persuasive marketing messages from

brand loyalists. Moreover, CGA is only going to increase in frequency. Marketers have

underestimated the possible consequences of interactive marketing on the Internet by not

considering the influence consumers gain from CGA (Deighton and Kornfeld as cited in Pehlivan,

Sarican,and Berthon 2011).

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Golan and Zaidner (2008) studied viral ads from large companies. They applied Taylor’s six–

segmented strategy wheel to conduct a content analysis of 360 viral ads. They found that humor

and sexuality are the main advertising factors used to attract consumers to viral ads, and if

consumers are entertained by the ads, they are more likely to share or pass on the ads to their

friends and family. Golan and Zaidner (2008) also discovered that ads placed in the right location

could produce word of mouth that can sometimes last for years. Ferguson (2008) investigated ad

campaigns from larger well-known companies and measured the amount of consumer response

to analyze how viral marketing strategies affect return on investment. Through their research,

both Ferguson (2008) and Chu (2011), however, found viral marketing campaigns are not

always effective or desirable for companies because many group members hesitate to pass on

viral ads to their Facebook friends. It was also concluded that many users simply ignore online

viral ads.

Kelly et al. (2010) determined that three factors influencing ad avoidance online: interruption of

task, perceived clutter on the Internet sites, and negative past experiences with Internet advertising.

“Research shows the believability of trustworthiness of the medium influences how the consumer

views the credibility of the information offered” (Moore and Rodgers as cited in Kelly et al. 2010,

17). Based on this study, the majority of ads featured on social networking sites are not relevant

to consumers, and they only notice ads when it annoys or entertains them.

It has become clear that advertisements that provide entertainment are usually liked and

accepted which reconfirms the results of some previous studies.

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CHAPTER 2
REVIEW OF LITERATURE

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REVIEW OF LITERATURE

Defining Social Media

Social media cannot be understood without first defining Web 2.0: a term that describes a new

way in which end users use the World Wide Web, a place where content is continuously altered

by all operators in a sharing and collaborative way (Kaplan and Haenlein 2010). “It is much more

to do with what people are doing with the technology than the technology itself, for rather than

merely retrieving information, users are now creating and consuming it, and hence adding value

to the websites that permit them to do so” (Campbell et al. 2011, 87). Web 2.0 has evolved from

simple information retrieval to interactivity, interoperability, and collaboration (Campbellet al.

2011).

Kaplan and Haenlein (2010, 61) define social media as “a group of Internet based applications that

build on the ideological and technological foundations of Web 2.0, and allow the creationand

exchange of user generated content.” Sinclaire and Vogus (2011, 294) cite O’Reilly’s (2005)

definition: “social media is a broad term that describes software tools that create user generated

content that can be shared.” However, there are some basic features necessary for a website to meet

the requirements as a social network website: the site must contain user profiles, content, a method

that permits users to connect with each other and post comments on each other’s pages, and join

virtual groups based on common interests such as fashion or politics. (Gross & Acquisti,2005;

Ellison, Steinfield & Lampe, 2007; Lenhart & Madden, 2007; Winder, 2007; Boyd & Ellison, 2007

as cited in Cox 2010).

The phrase social networking sites’ is often used interchangeably with social media.
However, social media is different because it allows participants to unite by generating personal

information profiles and inviting friends and colleagues to have access to those profiles (Kaplan

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and Haenlein 2010, 63). Thus, social media is the environment in which social networking takes

place and has altered the way in which consumers gather information and make buying decisions.

Consumers’ Sentiment toward Marketing (CSM) is a factor consider by researchers to measure

how well consumers will perceive social media marketing. CSM is defined as a concept which

refers to the general feelings that consumers have for marketing and the marketplace (Lawson et

al. 2001as cited by Mady 2011). An individual’s perception of the overall marketplace plays a

major role in whether or not they are motivated to partake in consumption activities (Mady 2011).

In order to create a successful marketing campaign via social media, a consumer must be open to

the technology. Consumer technology readiness is defined as “people’s propensity to embrace and

use new technologies for accomplishing goals in home and work” (Parasuraman, 2000 as cited by

Mady 2011, 195). Consumer technology readiness is important for retailers to remember when

marketing on social networks because if their intended target market does not use social media, is

not familiar with it, or perceives it negatively, then their social media marketing will be

unrewarding. Analysis of technology readiness can determine if marketing via interactive

advertising would be a good fit for a retailer’s target market.

The Innovation Adoption Process (IAP) is another instrument that provides information on a

consumer’s acceptance of new technology. The IAP is the progression through which an individual

goes through the innovation-decision process (Rogers as cited in Mady 2011). Five steps make up

the process: knowledge of the innovation, forming an attitude toward the innovation, deciding to

adopt or reject the innovation, implementation of the innovation, and confirmation of the decision

(Mady 2011). Knowledge of IAP can help marketers obtain a social media marketing campaign

that is fulfilling.

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Social media has advanced from simply providing a platform for individuals to stay in touch with

their family and friends. Now it is a place where consumers can learn more about their favorite

companies and the products they sell. Marketers and retailers are utilizing these sites as another

way to reach consumers and provide a new way to shop. “Technology related developments such

as the rise of powerful search engines, advanced mobile devices and interfaces, peer-to-peer

communication vehicles, and online social networks have extendedmarketers’ ability to reach

shoppers through new touch points” (Shankar et al. 2011, 30).

Shopper marketing is a new concept that has emerged, creating a new touch point for the

interactions between businesses and consumers. Shopper marketing is “the planning and execution

of all marketing activities that influence a shopper along, and beyond, the entire pathof purchase,

from the point at which the motivation to shop first emerges through purchase, consumption,

repurchase, and recommendation” (Shankar et al. 2011, 29). Perceived fit is an important factor

for retailers to consider for shopper marketing; perceived fit is the amount of similarity between an

extension product category and existing products affiliated with the brand (DelVecchio and Smith

as cited in Cha 2009). The more people perceive shopping services on social networking sites as

useful and easy to use, the more likely they are willing to shop foritems on social networks

(Cha 2009). Providing shopping services on social networks canprovide business growth for

retailers due to the diversity of consumers who use social media sites. The wide range of

consumers utilizing social networks means that most target markets can be reached (Cha 2009).

This provides an effective platform for retailers to promote their brand and products to potential

consumers. According to Shankar et al. (2011), shopper marketing can join forces with shoppers

to improve products, create clear messages, identify promoters, and serve as a connection to in-

store activities, thus demonstrating the importance of social media

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within a retailer’s marketing plan. Advancements within social media sites have created consumer

communities that are defining new ways in which companies and customers caninteract with one

another to share information on brand products. For example, virtual brand communities are

creating a computer-generated space for consumers and retailers to connectwith one another

via marketing.

Virtual Brand Community

A main topic being studied involving social media as a marketing tool is Virtual Brand

Communities (VBC). “VBC can be described as aggregations of consumers that occur on the

internet because of their interest in some brand or product” (Muniz and O’Guinn as cited in Georgi

and Mink 2012, 3). Specifically, a brand community is a group of people who share the same

interest in a particular brand or product (Casaló, Favián and Guinalíu 2008). Overall, VBC’s are

“the site[s] of complex brand meaning creation and consumption efforts” (Muñiz and Jensen

Schau, 2007). Casaló, Favián and Guinalíu (2008) found when a member is trusting of theVBC

that they are part of, it increases their amount of participation, and consumers who have a positive

participation experience are more loyal to the brand. Trust is a central aspect to guarantee the

VBC’s survival. Cha (2009) concludes that security is a major factor affecting a consumer’s

opinions toward social networking sites and can ultimately impact trust. Since VBCs depend on

individual users’ participation, both group unity and awareness can strengthen users’ satisfaction

with a VBC (Casaló, Favián and Guinalíu 2008). The study done by Casaló, Favián and Guinalíu

(2008) demonstrates the powerful sway VBC and an online interaction between consumers can

have on their buying behavior.

Studies also found that within these VBCs many new forms of social interactions are taking

place such as Electronic Consumer to Consumer Interaction (eCCI), which are interactions
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between consumers of e-services (Georgi and Mink 2012). The chance to mingle with other

people is a fundamental part of the consumer experience and social networking sites have

become a way in which consumers can interact with one another and retailers (Georgi and Mink

2012). Because of eCCI, consumers are playing a more dominant role in influencing each other

with their consumption decisions. Georgi and Mink (2012) came up with the concept of

electronic consumer to consumer interaction quality (eCCIq). They found that seven factors

contribute to the success of eCCIq. These include content, security, hedonic (meaning the

emotional aspects of consumers’ interactions with products), quality, atmosphere, convenience,

and social. An example of eCCI (which is any interaction between consumers of e-services) is

when a consumer posts a question about the fit or color of a product displayed online and another

consumer answers the question. This eCCI event would presumably be of high quality if the

question is answered by another consumer quickly, correctly, and in a friendly manner. This

example of an interaction between consumers involves some of the factors associated with

eCCIq such as social and convenience, thus making it an eCCIq occurrence. Consumers feel

more engaged with products and companies when they have the option to submit feedback

(Mangold and Faulds 2009). Accordingly, it is important for retailers to be aware of the quality

of their social media presence even when consumers are the creators of their marketing because

it is increasingly influencing how consumers shop. Companies need to be aware of the variety of

factors that affect their social media presence such as a consumer’s social identity online.

Some VBC research focused on the concept of social identity and group norms as an aspect that

strongly influences online groups’ buying behavior. The nature and culture of social media groups

affect the ways members of such groups interpret and attach meaning to brands and products

(Muñiz and Jensen Schau, 2007). Group norms represent the set of shared goals,

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beliefs, and values that the group members follow. Social identity refers to the values and beliefs

that influence group related behavior (Zeng, Huang, and Dou 2009). Community members

within a strong social group were more likely to have group intentions to accept advertising in

online communities (Zeng, Huang, and Dou 2009). For instance, if a Facebook group is centered

on luxury brands, then ads pertaining to high-end products are more relevant to members of the

VBC. Some members consume ads more easily by accepting the meanings in which they

contain, while others interpret the ads by attaching meaning to the brand represented based on

their own experiences (Muñiz and O’Guinn as cited in Muñiz and Jensen Schau, 2007).

Moreover, VBC members value ads that are relevant to the theme of their community.

Muñiz and Jensen Schau (2007) found advertising and branding produce discouragement of the

intended meaning of the ad in order to serve the meaning of the distinct group, in this circumstance

the brand community. A VBC can alter or manipulate the true meaning of an ad by the way it

displays or uses an ad for branding. Many times VBC’s change the meaning of an ad by the way

it is presented on the community forum. A VBC can alter an ad to conform to the theme of its

community, therefore the ads true meaning gets lost. An individual’s identity within social media

combined with the social community’s customs affects the way in which people perceive ads

presented on social media. Community customs can be affected by users’ cultural backgrounds as

well.

Pookulangara and Koesler (2011) used the Technology Acceptance Model3 (TAM3) to look at the

impact of culture on social media. TAM3 highlights the role and procedures connected to perceived

usefulness and perceived ease of technology. TAM3 suggests that the factors that determine

perceived usefulness will not influence perceived ease of use and the factors that

influence perceived ease of use will not influence perceived usefulness (Pookulangara and
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Koesler 2011). The researchers used TAM3 to find out if an individual’s cultural background

affects perceived ease and perceived usefulness in order to discern users’ behavioral intention

towards social media. More specifically, the researchers used TAM3 to determine if an

individual’s cultural background influences how they will interpret a message, event, or idea

presented to them through a social networking site. This was done through a conceptual framework

in which the researchers created a research model using TAM3.

Based on the research model, Pookulangara and Koesler (2011) conclude that culture does in fact

influence how individuals act and perceive an event on technology based applications, such as

social media. This means that an individual’s cultural or ethnic background will influence how

they will interpret social media and its content. “Social networking has allowed the evolution of

new culture where it is no longer shaped by just individual values and ideologies, but also by

new rituals and communication tools in the social space of Web 2.0” (Pookulangara and Koesler

2011, 352). Retailers need to be conscious of the importance of culture when utilizing social media,

since social networks are a merging of different cultures and the creation of new online cultures

(Pookulangara and Koesler 2011). In addition, cultural backgrounds and traditions may factor into

the formulation of a consumer’s opinion and attitude towards a brand or product.

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CHAPTER 3
RESEARCH
METHODOLOGY

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 21

PROBLEM STATEMENT OF THE RESEARCH

The problem states that marketers can benefit from social networks to predict the likelihood of purchase

intention. This can be done by taking into account a firm’s choice of network (i.e. Facebook, Instagram,

Pinterest etc.) and by examining that network’s data. Assessing a network’s data substantially improves a

company’s marketing efforts because it provides the company with vital information on the network’s users,

which helps determine the best social media tactics for that particular site Based on this study, it can further

be argued that knowing which social media sites a company’s target market utilizes is another key factor in

guaranteeing that online marketing will be successful. Companies must go beyond the advertising aspect of

social networking sites and find groundbreaking ways to use them as a way to conduct conversations with

consumers, instead of a one-way communication network.

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OBJECTIVES OF THE STUDY

1. To study the purpose of using social media networks

2. To study the interested activities of people in using social media networks
3. To find out the application of social media as a marketing tool.
4. To analyze the impact of social media on purchasing behaviour of consumers.

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NEED OF THE STUDY:

Social media has completely overhauled the marketing sector and there is no turning back. The

divide between marketers and consumers has been revolutionized. The era of catchy punch lines

and striking images is no longer the be all and end all; it is about a continual dialogue, building

trust and interacting with the right audience in the right way, as fast as possible. nce social media

sites can be exploited for the information it provides on consumer behavior with regards to their

purchasing intentions, research further suggests that businesses should incorporate social

networking sites into their business model or promotional mix. A business model is a system of

codependent structures, activities, and processes that serve as a firm’s organizing logic and create

value for customers. Social media should be regarded as an integral part of an organization’s

integrated marketing strategy and should not be taken lightly. Almost 1 in every 10 person in the

world is an active Facebook user, which points to the potential of finding aready market for

any product or service. Social networking sites are being utilized to enhance a company’s brand

appeal and increase their target market because new technologies allow for more personal, targeted

communications, as well as increased consumer participation in the creation of marketing and

brand related information.

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RESEARCH DESIGN

Descriptive Research: The study is descriptive in nature as the data collected is primary data using
questionnaire.

Exploratory Research: The study is partly exploratory in nature as the secondary data is used for literature
review from past studies.

SAMPLING DESIGN:

Sampling method: Convenient sampling is used as method of sampling.

Sampling size: Sampling size would be 100.

Data collection

Primary data: Questionnaire is used as the main source for the primary data. Interviews are also conducted
with the professionals in order to get more information.

Secondary data: Journals, Articles, Magazines are used as a source of secondary data.

Primary Data
Primary Data was collected using questionnaire from among the consumers who are active on social media.

Secondary Data
Secondary Data is in the form of articles in magazines, journals, reports or any other historical data on the
social media was collected.

Research Instrument:
The instrument selected for the primary data is structured questionnaire.

Data Analysis:

Data was analyzed using tables, charts and statistical tools.

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CHAPTER 4
DATA ANALYSIS AND
INTERPRETATION

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DATA ANALYSIS AND INTERPRETATION

1. Do you have account in any of the following social media network?

(Yes/ No)

Member in social media

network

15%

Y
e
s

N
Fig:1 Member in Social media network
o

Interpretation:
Of the total respondents, 85% of them have accounts in one or the other social network sites and other 15%
do not have any account.
85%

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 27

2. How long have you been a member of any social media network?
a. Above 5 Years b. 3-5 Years
c. 3 Years d. 1-3 Years
e. < 1 Year

Membership in social network sites

40

35

30

25

20

15

10

Above 5years 3-5yrs 3yrs 1-3yrs Less than 1yr

Fig 2 : Membership in social network sites

Interpretation:
Of the total respondents, 13% of them have been members of the social network sites for less than 1yr and
34% of them for less than 3yrs. 19% respondents have been members for 3 yrs and the remaining 34%
respondents have been involved in the social networking for more than 3yrs.

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3. Tick the social media network in which you have account

a. Facebook
b. Twitter
c. instagram
d. Linkedin
e. pinterest
f. google plus
g. Others please specify

Social media network

8%
8%
28% Facebook
Twitter
6%
instagram
Linkedin
Pinterest
17% google plus
Others
18%

15%

Fig 3: Social media network

Interpretation:
Of the total respondents, 28% of them have accounts in Facebook, 18% in Twitter, 17% in LinkedIn and 15%
in instagram. Other 22% respondents have accounts in other network sites like pine rest and google plus.

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4. Do you have more than one social media account (Yes/No)?

Members have more than social media

account
10%

Yes
No

90%

Interpretation:
Almost all the respondents have more than one social media account. Most of them have accounts in two
sites and few have 3 or more accounts.

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 30

5. Among the following for which purpose do you mostly use social media?
a. Increasing network
b. Sharing Ideas
c. Improving knowledge
d. Entertainment
e. Communication
f. Mass mingling (community/groups)
g. Other please specify

Purpose
0%
13%

Increasing network
12% Sharing Ideas
42% Improving knowledge
Entertainment
Communication
8%
Mass mingling
Others

25%

Fig : 4 Purpose

Interpretation:
Of the total respondents, 42% of them use social network sites mostly for communication and 25% of them
use them for entertainment. 13% respondents use them for increasing their network, 12% respondents use
for sharing the ideas and the remaining 8% use them for improving their knowledge.

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6.How much time do you spend on your social media network in a day?
h. Less than 30min b. 30-60min c. 1-2hrs d. More than 2hrs

Time spent in social network sites

40

35

30

25

20

15

10

Less than 30min 30-60min 1-2hrs More than 2hrs

Fig 5 : Time spent in social network sites

Interpretation:
Of the total respondents, 26% respondents spend up to half an hour on social network sites, 38% respondents
spend up to an hour. 24% respondents spend more than 1hr and the remaining 12% respondentsspend more
than 2hrs for the same.

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7.How frequently do you visit social media network sites?

i. Frequently b. Regularly c. Once in a while
d. Rarely e. Never

Frequency of visiting the sites

40

35

30

25

20

15

10

Frequently Regularly Once in a while Rarely Never

Fig 6 : Frequency of visiting the sites

Interpretation:
Of the total respondents, 36% of them visit social network sites frequently, 29% of them visit regularly and
19% respondents do the same once in a while. The remaining 16% respondents rarely or never visit these
sites.

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8.Mention the level of interest you show in the following activities in your social media networks.
Mark 5 if you are highly interested
Mark 4 if you show usual interest
Mark 3 if you medium importance
Mark 2 if you are not interested
Mark 1 if you do not show any interest

COMMENTING ON PHOTOGRAPHS

Commenting on Photographs
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 7 : Commenting on Photographs

Interpretation:
Of the total respondents, 18% of them show high interest, 31% of them show usual interest and 37% of them
show medium interest in commenting the photographs or pictures. 12% respondents are not much interested
in this and the remaining 2% respondents do not show any interest at all.

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COMMENTING ON OTHER’S STATUS

Commenting on Other’s Status

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 8 : Commenting on other’s status

Interpretation:
Of the total respondents, 31% of them show high interest, 29% of them show usual interest and 15% of them
show medium interest in commenting on others’ status. 15% respondents are not much interested in this and
the remaining 10% respondents do not show any interest at all.

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 35

CHATTING

Chatting
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 9 : Chatting

Interpretation:
Of the total respondents, 37% of them show high interest, 24% of them show usual interest and 21% of them
show medium interest in chatting. 15% respondents are not much interested in this and the remaining 3%
respondents do not show any interest at all.

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UPLOADING PHOTOGRAPHS

Uploading Photographs
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 10 : Uploading photographs

Interpretation:
Of the total respondents, 37% of them show high interest, 28% of them show usual interest and 18% of them
show medium interest in uploading photographs. 12% respondents are not much interested in this and the
remaining 5% respondents do not show any interest at all.

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PLAYING GAMES

Playing games
50
45
40
35
30
25
20
15
10

High interest Usual interest Medium interest No interest No interest at all

Fig 11 : Playing games

Interpretation:
Of the total respondents, 13% of them show high interest, 10% of them show usual interest and 47% of them
show medium interest in playing games. 15% respondents are not much interested in this and the remaining
15% respondents do not show any interest at all.

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WATCHING VIDEOS

Watching Videos
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 12 : Watching videos

Interpretation:
Of the total respondents, 20% of them show high interest, 25% of them show usual interest and 36% of them
show medium interest in watching videos. 13% respondents are not much interested in this and the remaining
6% respondents do not show any interest at all.

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MAKING FRIENDS

Making Friends
35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 13 : Making friends

Interpretation:
Of the total respondents, 27% of them show high interest, 32% of them show usual interest and 14% of them
show medium interest in making friends. 17% respondents are not much interested in this and the remaining
10% respondents do not show any interest at all.

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 40

SENDING INVITATIONS

Sending invitations
50
45
40
35
30
25
20
15
10

High interest Usual interest Medium interest No interest No interest at all

Fig 14 : Sending invitations

Interpretation:
Of the total respondents, 17% of them show high interest, 17% of them show usual interest and 43% of them
show medium interest in sending invitations. 15% respondents are not much interested in this and the
remaining 8% respondents do not show any interest at all.

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ORGANIZING EVENTS

Organizing events
45
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 15 : Organizing events

Interpretation:
Of the total respondents, 10% of them show high interest, 9% of them show usual interest and 23% of them
show medium interest in organizing events. 42% respondents are not much interested in this and the remaining
16% respondents do not show any interest at all.

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 42

USING VARIOUS APPLICATIONS/TOOLS

Using Various applications/tools

45
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig : 16 Using various applications/tools

Interpretation:
Of the total respondents, 12% of them show high interest, 10% of them show usual interest and 19% of them
show medium interest in using applications. 39% respondents are not much interested in this and the
remaining 20% respondents do not show any interest at all.

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CREATING GROUPS

Creating groups
45
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 17 : Creating groups

Interpretation:
Of the total respondents, 11% of them show high interest, 14% of them show usual interest and 23% of them
show medium interest in creating groups. 40% respondents are not much interested in this and the remaining
12% respondents do not show any interest at all.

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UPLOADING VIDEOS

Uploading Videos
45
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 18 : Uploading videos

Interpretation:
Of the total respondents, 15% of them show high interest, 19% of them show usual interest and 40% of them
show medium interest in uploading videos. 19% respondents are not much interested in this and the remaining
7% respondents do not show any interest at all.

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 45

WRITING MESSAGES

Writing messages
45
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 19 : Writing messages

Interpretation:
Of the total respondents, 42% of them show high interest, 27% of them show usual interest and 16% of them
show medium interest in writing messages. 13% respondents are not much interested in this and the remaining
2% respondents do not show any interest at all.

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READING NOTES

Reading Notes
40

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 20 : Reading notes

Interpretation:
Of the total respondents, 10% of them show high interest, 12% of them show usual interest and 20% of them
show medium interest in reading notes. 35% respondents are not much interested in this and the remaining
23% respondents do not show any interest at all.

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COMMENTING AND MAINTAINING BLOGS

Commenting and Maintaining blogs

50
45
40
35
30
25
20
15
10

High interest Usual interest Medium interest No interest No interest at all

Fig 21 : Commenting and maintaining blogs

Interpretation:
Of the total respondents, 11% of them show high interest, 11% of them show usual interest and 20% of them
show medium interest in commenting and maintaining blogs. 45% respondents are not much interestedin this
and the remaining 13% respondents do not show any interest at all.

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BIDDING & GAMBLING

Bidding & Gambling

35

30

25

20

15

10

High interest Usual interest Medium interest No interest No interest at all

Fig 22 : Bidding & Gambling

Interpretation:
Of the total respondents, 9% of them show high interest, 13% of them show usual interest and 16% of them
show medium interest in bidding and gambling. 31% respondents are not much interested in this and the
remaining 32% respondents do not show any interest at all.

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 49

9. Do you show any concern to the ads in the social networking sites?
a. Yes b. No

Concern to the ads in the social networking

sites

43%
Yes
No
57%

Fig 23 : Concern to the ads in the social networking sites

Interpretation:
57% of the total respondents do not show any concern to the ads in the social networking sites while the
remaining 43% show concern towards the same.

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 50

10. Have you ever purchased any goods/services advertised in the social networking sites?
a. Yes b. No

Purchase of goods/services
12%

Yes
No

88%

Fig 24 : Purchase of goods/services

Interpretation:
Only 12% have bought goods advertised in the social media while the other 88% did not buy any goods or
services.

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11. What is your frequency of purchase of Goods/ Services advertised in social media networks?
a. Whenever there is satisfactory offer (more than 5 times)
b. Whenever it is essential to buy (3-5 times probably)
c. When it is unavoidable (1-3 times)
d. Only once as a trail (1 time)
e. Never through social media ads

Frequency of purchase of Goods/ Services

8%

Whenever there is satisfactory

14% offer
Whenever it is essential to buy

45%
When it is unavoidable

12% Only once as a trial

Never through social media ads

21%

Fig 25: Frequency of purchased goods/services

Interpretation:
Up to half of the respondents (45%) never purchase any goods or services through social media ads. 21%
respondents say that they purchase the goods for trial purpose, 12% purchase when it is unavoidable and 14%
purchase when it is essential. 8% respondents go for purchase whenever there is satisfactory offer.

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12. On the whole, what is the impact level of the social networking sites on the social behaviour
according to you?
a.Very high impact b. High impact c. Medium
d. A little impact e. No impact at all

Overall impact of social networking sites

45
40

35

30

25

20

15

10

Very high impact High impact Medium A little impact No impact at all

Fig 26 : Overall impact of social networking sites

Interpretation:
Of the total respondents, 74% respondents feel that the social networking sites show high impact on the social
behaviour while 12% do not feel the same. Another 14% respondents feel that these sites impact the behaviour
of its members to some extent.

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CHAPTER 5
FINDINGS,SUGGESTIONS,LIMITATION
AND CONCLUSION

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 54

FINDINGS:

1. Most of the respondents are holding the social media network accounts and using more than three
years.
2. The popular social media networks are face book, twitter and orkut and the most of the respondents
are using more than one.
3. Most of the respondents are using for communication, entertainment etc and spending time more
than half an hour daily.
4. Most of them have shown interest on commenting photographs, writing messages, other’s status,
chatting, uploading photographs and making friends in the social media networks.
5. Some of them have shown interest in playing games, uploading videos, watching videos and sending
invitations.
6. Minimum number of respondents has shown interest in organizing events, using various
application/tools, creating groups, reading notes and commenting, bidding and gambling and
maintaining blogs.
7. Maximum number of respondents has not shown interest to the ads in the social networking sites and
only 12% of them has purchased goods/services through the social network sites
8. It is observed that the overall impact on social networking sites on the respondents is high.

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SUGGESTIONS:

1. Popular networking sites like face book, twitter, instagram, google plus are showing greater impact on
people by its features like sharing photos, sharing videos, communicating with friends etc., whichare
very helpful to connecting, sharing thoughts, sharing messages etc., with friends. Hence social
networking sites have to improve the quality in these features so that more and more customer will
have a chance to use this trait.

2. Social networking sites have to increase the privacy control features.

3. Recently, there was a compliant on face book due to altering privacy and security settings every time.
These types of complaints, rumors will ruin the individual interest. Hence, at most care should be
taken in order to get satisfaction of customers.

4. The ads in the social networking sites must be in attractive manner.

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CONCLUSION:

The Marketing through social media nowadays represents one of the most effective ways to introduce the
company and its products on the market. Various businesses are achieving amazing results being advertised
via e-mail marketing. Online marketing is fast, simple, represents a different way to socialize the business and
it is most direct marketing medium that is currently available. Through social media platform businessesare
exposed to a global market and different kind of customers. Well-conceived marketing strategy may have
positive results in different areas in business; it represents a breeding ground for business ideas. This study
aims to present the impact of social media and the impact that the electronic part, has in the marketing strategy.
The paper is based in secondary data through different reports, scientific papers and literature regarding the
importance of social media and its tools in the marketing strategy.

Business marketing strategy in relation to social media platform and its channels (e-mail, social networks,
blogs, etc.). How this type of marketing has affected and improved the business environment and in what form
it is expected to effect in the future. The paper concludes that a well-conceived social media marketingstrategy
will have a great impact in the company's level of exposure and awareness process, customerloyalty
creation and interaction process and in the level of traffic increase. It is suggested to the social networking
sites to improve the quality in the features in order to access more number of features

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LIMITATION OF THE STUDY

1- Limited Representativeness

2 -Sample Bias

3 -Self reporting Bias

4 -lack of context and depth

5 -Lack of control

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REFERENCES

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ANNEXURE

QUESTIONNAIRE

1. Do you have account in any of the following social media network?

(Yes/ No)

2. How long have you been a member of any social media network
a. Above 5 Years b. 3-5 Years
c. 3 Years d. 1-3 Years
e. < 1 Year

3. Tick the social media network in which you have account

a. Face book
b. Twitter
c. instagram
d. LinkedIn
e. Pine rest
f. Google plus
g. Others please specify
4. Do you have more than one social media account ( Yes/No)?

5. Among the following for which purpose do you mostly use social media?
a. Increasing network
b. Sharing Ideas
c. Improving knowledge
d. Entertainment
e. Communication
f. Mass mingling (community/groups)
g. Other please specify

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6. How much time do you spend on your social media network in a day?
a. Less than 30min b. 30-60min c. 1-2hrs d. More than 2hrs

7. How frequently do you visit social media network sites?

a. Frequently b. Regularly c. Once in a while
d. Rarely e. Never

8. Mention the level of interest you show in the following activities in your social media networks.
Mark 5 if you are highly interested
Mark 4 if you show usual interest
Mark 3 if you medium importance
Mark 2 if you are not interested
Mark 1 if you do not show any interest

i. Commenting on Photographs
ii. Commenting on Other’s Status
iii. Chatting
iv. Uploading Photographs
v. Playing games
vi. Watching Videos
vii. Making Friends
viii. Sending invitations
ix. Organizing events
x. Using Various applications/tools
xi. Creating groups
xii. Uploading Videos
xiii. Writing messages
xiv. Reading Notes
xv. Commenting and Maintaining on blogs
xvi. Bidding & Gambling

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9. Do you show any concern to the ads in the social networking sites?
a. Yes b. No
10. Have you ever purchased any goods/services advertised in the social networking sites?
a. Yes b. No
11. What is your frequency of purchase of Goods/ Services advertised in social media networks?
a. Whenever there is satisfactory offer (more than 5 times)
b. Whenever it is essential to buy (3-5 times probably)
c. When it is unavoidable (1-3 times)
d. Only once as a trail (1 time)
e. Never through social media ads
12. On the whole, what is the impact level of the social networking sites on the social behaviour
according to you?
a. Very high impact b. High impact c. Medium
d. A little impact e. No impact at all
13. Suggestions please!

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