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A Seminar Paper on
SUBMITTED TO:
Chairman
rd nd
3 Year 2 Semester Examination Committee
Department of Business Administration
Shahjalal University of Science &Technology, Sylhet
SUPERVISED BY
SUBMITTED BY
Letter of Transmittal
Sincerely yours,
Letter of Certificate
January 30, 2024
I am very pleased to declare that the group of students from the Department of Business
Administration, 22nd Batch, Session 2019-20, Reg.no. 2019731010, 2019731046,
2019731053, 2019731066, 2019731086, were given the topic “Impact of Social Media
Marketing on Consume Purchasing Behavior in Sylhet Region” for conducting a seminar
paper as part of their BBA program. They have reviewed all the literature and sources for
collection of both primary and secondary data and they have done their assigned task. I have
supervised them throughout the preparation of the paper.
I also certify that the paper is an original one and has not been submitted elsewhere
previously for publication in any form.
Acknowledgement
By the grace of The Almighty, we have successfully completed the research on “Impact of
Social Media Marketing on Consume Purchasing Behavior in Sylhet Region”. This paper
is the outcome of the hard work and the support of all the people related to the preparation of
this report. Without the cooperation of each and every person related to this paper it would
not be possible for us to complete the paper. We want to express our earnest gratitude to our
research supervisor Dr. Mohammad Shahidul Hoque, Professor, Department of Business
Administration, Shahjalal University of Science & Technology, Sylhet for providing us
detailed feedback and support all the time on this project work. Without his suggestions it
might have not been possible for us to complete this research work within such a limited
amount of time.
Our special thanks to all of them who helped us and inspired us.
Abstract
This research is about the study of the Buying process of consumer’s complex purchases
that keeps a special emphasis on how the process is being influenced by the use of social
media. Here, the complex buying behavior refers to the infrequent purchases by the consumer
with their high involvement that makes a significant brand difference. Social media is
becoming a new trend. Over the last decade, the World Wide Web has seen a burgeoning in
user generated web technologies like blogs, social networks and social media websites. All in
all, that is known as social media and these technologies are the actual reason in the
enablement of expansion in the user generated content, a community that is worldwide.
Social media has given rise to the online platforms like Facebook, Instagram, YouTube,
Twitter, where people can connect with each other, share thoughts and the content. This
revolution of social media has given new way of gaining the information on the products as
well as on services. One consumer’s opinion and feedback on products and services can be
dominated by strangers on social media, which subsequently influence the opinions in the
offline world also. But undoubtedly social media has given the power to the consumer where
content is generated by them only through online conversations so consumers are the one
who play an important role in making or breaking the brand. The marketers try to understand
the utilization of social media by the consumers and their deciding pattern on the basis of the
content showed there that can change their decision process. The research also explores that
how the abundance of the content and the user generated information can change the buying
pattern of the consumers. The six phases of customer decision process, also known as EBM
model has been used. The research has also been done to know the relevance of the model
in the context of social media usage. A quantitative survey has been done to explore the
aspects of the customer decision process.
Keywords: Social Media, Consumer Behavior, World Wide Web, Online platforms.
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TABLE OF CONTENT
CHAPTER ONE
INTRODUCTION
1.1 Introduction
In today's rapidly evolving digital landscape, the fusion of social media and marketing
strategies has revolutionized the way businesses engage with consumers. The emergence of
social media platforms as powerful tools for communication, connectivity, and information
sharing has not only transformed the dynamics of interaction but has also significantly
reshaped consumer behavior and purchasing patterns. This paradigm shift towards online
connectivity has given rise to a phenomenon wherein social media marketing has emerged as
a pivotal force driving consumer decisions and shaping their buying habits.
The subject of this seminar explores the complex relationship between social media
marketing and consumer purchasing behavior, with the goal of elucidating the complex
mechanisms through which social media platforms significantly impact customer decisions.
Due to the dominance of various digital platforms like Facebook, Instagram, Twitter,
YouTube, TikTok, and others, businesses now have an abundance of opportunities to connect
and interact with their target audience in previously unthinkable ways.
Due in large part to its capacity to provide users with a personalized and immersive
experience, social media has a significant impact on consumer behavior. Social media
networks can show users content and items that are relevant to their interests, preferences,
and behaviors by using customized algorithms and targeted advertising. Personalized
marketing is further enhanced by the use of data analytics and AI-powered solutions, which
provide a highly customized environment that connects with individual consumers more
deeply.
However, the impact of social media on consumer behavior is not without its complexities
and challenges. Issues surrounding data privacy, authenticity, information overload, and the
blurring lines between genuine content and paid promotions are among the critical
considerations that warrant examination. Understanding the ethical implications and potential
pitfalls of social media marketing is imperative in maintaining consumer trust and navigating
the evolving landscape of digital marketing ethics.
The primary objective of this study is to investigate the customer satisfaction level of Social
Marketing on Consume Purchasing Behavior To achieve this primary objective, the following
specific objectives have been identified:
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1. Explore the Evolution of Social Media Platforms: Analyze the evolution of major social
media platforms, understanding their growth, demographics, and the pivotal role they play in
shaping consumer behavior and preferences.
3. Examine the Role of Influencer Marketing: Investigate the impact and dynamics of
influencer marketing, dissecting the strategies used by influencers and brands to build trust,
credibility, and authenticity, and their effects on consumer purchasing behavior
The scope of the study covers the general public, the study will help us to understand the
impact of social media on consumer behavior. Social media has an important role in
influencing buying decisions of consumer. This study has made an attempt to understand the
influence of social media on consumer behavior. Social media has the power to influence
potential consumers from the start until the stage of a purchase and beyond as well. The study
is greatly significant because in today’s world social media has an important role in day-to-
day activities of people. The study will also reveal how social media will affect buying
decisions of general public and the factors that motivate general public to purchase through
social media platforms.
Social media marketing is not a new aspect and it is always changing and evolving.
There are many journals/articles on this topic but very few link social media with
changes, in consumer behavior. The study is presented in a general manner.
Data sample was quite small that shows limited generalizability of the study
conducted. Sample size should be increased as it would cover more people in the
society and help create a better and accurate set of results.
The people who participated in the survey were mainly from Sylhet, but the study
can be conducted on a broader scale by collecting data from different parts of the
country to get a better picture of the impact social media is having on consumer
buying process
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As the study was limited to a specific time period. Thus, it cannot be used to
analyze behavior over a period of time as the timing is not guaranteed to be
representative.
In order to increase the level of focus of the study objectives have been narrowed
down and the research only contains information on what needs to be studied
considering the objectives.
Data was collected from the members of the population who were conveniently
available and able to participate in study. This may lead to a bias error and also may
be an untrue representation of the population.
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CHAPTER TWO
LITERATURE REVIEW
The rapid proliferation of social media platforms has revolutionized the landscape of
consumer engagement and marketing strategies. Scholars and practitioners alike have
explored the multifaceted relationship between social media marketing and consumer
purchasing behavior, shedding light on the nuanced ways in which online interactions
influence consumer decisions.
Numerous studies underscore the pivotal role of social media in enhancing brand awareness
and recognition (Smith et al., 2016; Liang and Turban, 2011). The interactive nature of
platforms like Facebook, Instagram, and Twitter facilitates direct communication between
brands and consumers, fostering a sense of community and engagement (Muntinga et al.,
2011; Mangold and Faulds, 2009). This interaction is found to be particularly influential,
shaping consumer perceptions and attitudes towards brands (Hajli, 2014). Social media's
impact on information dissemination and consumption is a recurrent theme in the literature.
Users seek product information, reviews, and recommendations from peers, contributing to
the phenomenon of social proof (Cheung et al., 2014; Zhang et al., 2016). Positive user-
generated content and testimonials on platforms like Yelp or Twitter play a crucial role in
building trust and influencing purchasing decisions (Duan et al., 2008; Zhu and Zhang,
2010).
Targeted advertising on social media platforms has emerged as a potent tool for marketers
(Smith and Fischer, 2018; De Vries et al., 2012). Personalized content based on user
demographics and preferences enhances the relevance of marketing messages, increasing the
likelihood of user engagement and conversion (Li and Bernoff, 2008; Tuten and Solomon,
2017).
However, the literature also acknowledges challenges and ethical considerations associated
with social media marketing. Privacy concerns, the authenticity of user-generated content,
and the potential for misinformation are among the issues that warrant careful consideration
(Stephen and Toubia, 2010; Kaplan and Haenlein, 2010).
In conclusion, the existing body of literature highlights the transformative impact of social
media marketing on consumer purchasing behavior. From building brand awareness to
fostering direct engagement and influencing decision-making processes, social media has
become an indispensable tool for businesses seeking to navigate and thrive in the digital
marketplace.
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CHAPTER THREE
THEORITICAL FRAMEWORK
The rapid expansion of interactive digital channels within the 18-year period between 2004
(when MySpace became the first social media site to reach one million subscribers) and 2022
propelled social media to heights surpassing even the reach of radio and television.
Over 59% of the world's population used social media as of the beginning of 2023, with 4.76
billion users worldwide.
With more than 80% of consumers stating that social media, particularly influencer content,
has a major influence on their purchasing decisions, marketers from a variety of sectors are
spearheading the development of social media marketing (SMM), moving it from a single
tool to a multifaceted source of marketing intelligence on a growing and increasingly
significant audience.
Social media refers to interactive digitally mediated tools that enable the production, sharing,
and exchange of ideas, information, professional interests, and other forms of expression
through online networks and communities. Social media is used for self-promotion, learning
and exploring new topics, and preserving memories and make friends as ideas bloom from
the development of gaming websites, podcasts, videos, and blogs.
Facebook, Twitter, Tumblr, WeChat, Instagram, QZone, Weibo, and LinkedIn are a some of
the most well-known social networking platforms, each with more than 100 million
registered members. Some well-known websites and apps that are occasionally referred to as
social media services include Reddit, Discord, VK, YouTube, QQ, Quora, Telegram,
WhatsApp, LINE, Snapchat, Pinterest, Viber, and more, depending on how they are
understood. Collaboration is exemplified by the construction of wikis.
LinkedIn
LinkedIn is a community that inspires leadership, learning, and core values, in addition to
being a professional network. Thus, it's a perfect location to convey your corporate culture
and develop your personal brand alongside your business brand, in addition to using it to
network, locate prospects, and share industry insights. Take advantage of the many features
available on LinkedIn corporate pages while creating your page. LinkedIn is a fantastic
resource for:
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Social media is one of the most powerful free marketing platforms available today, especially
considering how widely used and adaptable it is. Particular advantages of social media
marketing include the following:
Humanize your company: Social media gives you the ability to make your company an
engaged player in your industry. Your user interactions, posts, and profile all create a
personable image that others can relate to and trust.
Drive traffic: Social media is a great way to get more people to your website so you can turn
them into customers. You can do this by including links to your blog entries in your posts,
advertising, and profiles. Furthermore, social signals contribute to SEO indirectly.
Boost brand awareness: Social media sites' visual format gives you the opportunity to
establish your visual identity among large audiences and raise brand awareness. Additionally,
increased brand recognition improves the outcomes of all your other initiatives.
Develop relationships: By using these platforms, you may communicate with your fans
directly and indirectly, network, get feedback, have conversations, and establish personal
connections.
With regard to the benefits above, don’t just take our word for it. Let’s take a look at
some social media marketing statistics that prove its power:
The average US adult spends 2.25 hours on social media every day.
Over 70% of people who have a positive experience with a business on social media will
recommend that business to their networks.
Facebook users click on 12 Facebook ads on average every month.
81% of people use Instagram to research products and services.
Nearly 80% of Twitter users feel more positive about a business when they get a response
to their tweet.
4 out of 5 people on LinkedIn drive business decisions.
46% of TikTok users engage in the app without any other distractions.
The study of people, groups, or organizations, as well as all the actions connected to the
acquisition, utilization, and disposal of goods and services, is known as consumer behavior. It
also examines how a customer's feelings, attitudes, and preferences influence their purchasing
decisions. In an attempt to comprehend people's desires and consumption patterns, the formal
study of consumer behavior looks into individual characteristics such as demographics,
personality lifestyles, and behavioral variables (such as usage rates, usage occasion, loyalty,
brand advocacy, and willingness to provide referrals). The effects on consumers from social
groups including sports, family, friends, and reference groups, as well as society at large,
including opinion leaders and brand influencers, are also being looked into.
According to Engel, Blackwell, and Mansard, “Consumer behavior is the actions and
decision processes of people who purchase goods and services for personal consumption”.
According to Louden and Bitta, “Consumer behavior is the decision process and physical
activity, which individuals engage in when evaluating, acquiring, using or disposing of goods
and services”.
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The following are some of the numerous variables that affect customer behavior:
c) Psychological elements, such as reasons for purchasing, how the product is perceived, and
opinions regarding the product.
d) Situational elements include the time element, the social context, and the physical
surroundings at the time of purchase.
3. Vary from consumer to consumer: Different consumers act in different ways. Customers
vary in their behavior. Divergences in consumer behavior can be attributed to personal
characteristics such the makeup of the consumer base, way of life, and cultural background.
As an illustration, some customers are technophile.
4. Product to product variations exist: The way consumers behave varies depending on the
type of product. A subset of consumers may purchase a greater quantity of one item while
purchasing very little or none of another. Teens might not spend money on general and
academic reading, but they might spend a lot on snobby items like cell phones and branded
clothing.
5. Raises standard of living: Consumer purchasing decisions may result in a higher standard
of living. A person's level of living rises when they purchase more products and services.
However, even with a healthy salary, if someone spends less on goods and services, they are
denying themselves a better quality of life.
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Psychological Factors:
The human psychology plays a crucial role in designing the consumer’s preferences and likes
or dislikes for a particular product and services. Some of the important psychological factors
are:
Motivation
Perception
Learning
Attitudes and Beliefs
Social Factors:
The human beings live in a complex social environment wherein they are surrounded by
several people who have different buying behaviors. Since the man is a social animal who
likes to be acceptable by all tries to imitate the behaviors that are socially acceptable. Hence,
the social factors influence the buying behavior of an individual to a great extent. Some of the
social factors are:
• Family
• Reference Groups
• Roles and status
Cultural Factors:
It is believed that an individual learns the set of values, perceptions, behaviors, and
preferences at a very early stage of his childhood from the people especially, the family and
the other key institutions which were around during his developmental stage. Thus, the
behavioral patterns are developed from the culture where he or she is brought up. Several
cultural factors are:
• Culture
• Subculture
• Social Class
Personal Factors:
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There are several factors personal to the individuals that influence their buying decisions.
Some of them are:
Age
Income
Occupation
Lifestyle
Economical Factors:
The last but not the least is the economic factors which have a significant influence on the
buying decision of an individual. These are:
Personal Income
Family Income
Income Expectations
Consumer Credit
Liquid Assets of the Consumer
Savings
1. Production Policies
The study of consumer behavior affects the production policies of the business. Consumer
behavior discovers, needs, tastes, choices of consumers, and such discovery enables the
business to plan and implement products according to these specifications. Every business
needs to be in constant touch with the change in consumer behavior so that necessary changes
in products are made on time.
2. Price policy
Consumer behavior is equally important in having price policy. The buyer only purchases
your product, which is cheaper or has distinctive features than your competitor's.
The study of consumer behavior helps a marketer identify the needs, wants, desires and
problems, etc. of the consumer. This information and knowledge help the marketer exploit
market opportunities and meet the challenges in the market.
CHAPTER FOUR
METHODOLOGY OF THE STUDY
Secondary Data:
Articles.
Newspapers.
Other research papers.
4.2 Methodology
The research design for this study will be cross-sectional, as data will be collected at a single
point in time. A structured questionnaire will be used to collect data from customers who
purchase from social media. The questionnaire will include both closed-ended and open-
ended questions that will help to obtain information about customer satisfaction levels, their
experiences, and opinions about social media services.
Ethical Considerations
The study will follow ethical considerations by ensuring that the data collected is kept
confidential and that the participants' anonymity is protected. Informed consent will be
obtained from the participants, and they will have the right to withdraw from the study at any
time. Additionally, the study will adhere to the ethical guidelines provided by the university
and the research ethics committee. The methodology of this study will employ a quantitative
research method to collect and analyze numerical data. A cross-sectional research design will
be used, and data will be collected through a structured questionnaire. The collected data will
be analyzed using statistical analysis techniques. Finally, the study will adhere to ethical
considerations to ensure the rights and welfare of the participants.
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CHAPTER FIVE
DATA ANALYSIS AND FINDINGS
Question-1: Capture the participant's age to analyze how generational differences may
influence social media engagement and purchasing choices.
Figure: Age
Figure: Gender
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Question-3: Gather geographical data to explore regional nuances and cultural factors
affecting participants' responses.
Figure: Location
Question-4: Identify the participant's occupation to discern if professional roles correlate with
specific purchasing behaviors influenced by social media.
Figure: Occupation
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Question-5: Investigate the potential relationship between income levels and the extent to
which social media affects purchasing decisions.
Question-6: Determine how frequently participants use social media to gauge their exposure
and potential receptiveness to marketing content.
Question-7: Pinpoint the primary platforms participants use, allowing for targeted marketing
strategies based on platform popularity.
Question-8: Explore the types of content participants engage with to understand their
preferences and tailor marketing efforts accordingly.
Question-9: Evaluate if social media marketing has directly impacted participants' purchase
decisions, indicating the effectiveness of such campaigns.
Question-13: Identify the type of content participants find most persuasive in the realm of
social media marketing, aiding in content strategy planning.
It is suggested for the organizations to understand the crucial role of social media to
sell and promote its merchandise as social media is the best way to entice the
customers towards products and services.
The marketing methods should be designed in such a way that could attract the various
age and class of the customers.
Social media influencers make a positive impact on the buying decision process of the
customers.
Consumers are more attracted towards the content that shows discounts, promotions
and influencers because it keeps that ability to change customers mindset and their
perception.
Consumers, influenced by social media are tending to spend 4 times more than their
normal purchase and the attraction towards the products is so high that they buy it on
the same day using social media.
Social media is effective and cheap
Social media can make a direct interaction with customers
Social media is an effective way to generate more leads and sales.
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CHAPTER SIX
RECOMMENDATIONS AND CONCLUSION
6.1 Recommendations
Companies should give more importance to social media marketing. Their presence on
social media can give them more visibility and it can also increase the brand value that
will lead to more customer loyalty and customer lifetime value.
Companies can be more connected with customers through social media because the
brands can communicate with them regularly and help or guide them to make a better
purchase decision.
Companies can use social media more frequently to draw the consumer attention and
brand awareness.
Brands can be more interactive with the customers and it can get more customers
insights and their reviews and feedbacks to make them feel that they are a part of the
brand.
Brands can share more positive experience of the customers who have already used that
product so that the prospects and the ones who are already planning to buy can relate
themselves more.
Brands need to show themselves as more influential and it should try to make the
product viral on social media.
Social media influencers should be chosen wisely, they should be the one who can
connect with the customers with their want and needs.
6.2 Conclusion
The research has shown a powerful impact of social media on consumer buying behaviour
in digital age. No doubt that social media had brought major changes to both, consumer as
well as businesses. The research has shown that consumers are highly selective while
making a purchase. Though there is a plenty of data and sources of information on social
media, still personal attitude of the consumers makes a lot of difference in selecting and
making a purchase.
The quality of content on social media makes a big impact so it should be consumer
relevant. When the marketing is done through social media, it is not all about consumer
awareness or selling the product itself. It is more than that which includes retaining a built-
up relationship and building it between the potential buyers and corporations. Now the
consumer is the king who can get all the information regarding a product or services by
simply speaking with each other. So, the companies and marketers should highly careful
about the bad mouth on social media because it can lead to destroy the company’s
reputation.
Even many individuals have agreed on the fact that through social media, they can share
their opinion and talk to other consumers and the corporations more effectively. Social
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media has definitely bridged up the gap between the brands and the consumers.
Considering this fact, companies are now making each possible effort in making the buyer
feel connected with the brand and allowed them to put their views, opinions, feedbacks
and reviews.
The company that are adapting an integrated strategic approach with the aim of social
network platforms that is becoming the most successful in getting, engaging, influencing
and retaining the customers. Factors, that can change the customer’s brand perception and a
will to buy includes the strategies that led to consumers perspective, and the opinion of the
people who create content on social media. So, these strategies definitely need a high
degree of maintenance and those companies that are using the method should be ready to
fix all the marketing services to retain the existing customers and to increase the customer
lifetime value.
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References
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Mangold, W.G., Faulds, D.J., 2009. Social media: The new hybrid element of the promotion
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APPENDIX
Questionnaire
1. Age
2. Gender:
o Male
o Female
3. Location:
o City Dweller
o Rural Resident
o Preferable Nomad
4. Occupation:
o Student
o Daily Wage Worker
o 9 to 5 Employee
o Others
5. Average monthly income:
o 5k to 20k
o 20k to 30k
o 30k to 40k
o 40k to 50k+
6. How often do you use social media platforms (e.g., Facebook, Instagram, Twitter)?
o Daily
o Several times a week
o Once a week
o Less than once a week
7. Which social media platforms do you use the most? (Select all that apply)
o Facebook
o Instagram
o Twitter
o YouTube
o TikTok
o Other (please specify)
8. What types of content do you typically engage with on social media? (Select all that
apply)
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