Applied Quantitative Analysis (AQA), Vol. 3 No.

2 (2023)
https://doi.org/10.31098/quant. 1886

Research Paper

Social Media Marketing and Purchasing Decisions among Generation Z

Consumers

Patrixia Gliezel M. Torres1, Priyono Joko Alam2, Lela Nurlaela Wati2

1Laguna College of Business and Arts, Philippines
2Universitas Teknologi Muhammadiyah Jakarta, Indonesia

Received: Oct 9, 2023 Revised: Oct 24, 2023 Accepted: Nov 26, 2023 Online: Dec 23, 2023

Abstract
This research identified the strategies enabling small and medium-sized enterprises (SMEs) to leverage social
media to engage Generation Z consumers. Understanding how SMEs utilize social media and implement best
practices is crucial for fostering business-to-consumer relationships. The study assessed the utilization of social
media marketing, specifically electronic word-of-mouth (eWOM), trust, and the level of purchasing decision
factors (awareness, interest, desire, and action) among Generation Z consumers in Los Baños, Laguna. The
findings reveal that social media marketing, particularly eWOM, was fully utilized by Generation Z consumers in
Los Baños, Laguna, indicating its significance in influencing their purchasing decisions. This research used a
quantitative research design with a total of 380 respondents of Generation Z residing in Los Baños, Laguna. The
instrument used was an adopted survey questionnaire already validated by the previous researcher, which is to
be improved and validated by the adviser. This research provides valuable insights into the relationship between
social media marketing and Generation Z consumers' purchasing decisions. Understanding and leveraging these
insights can help businesses engage with this influential consumer segment and drive business growth in the
digital age.

Keywords: Social Media; Marketing; Purchasing Decision; Generation Z

INTRODUCTION
Businesses rely on technology nowadays. Significant changes have been brought about by
technology, which also affects every element of how people communicate and how companies
market their goods and services to gain market share. The Internet offers a variety of advantages
that can assist in attracting a sizable number of potential and committed clients. Consumers use it
for various purposes, including gathering data for online shopping. It is stated that online shopping
is faster and safer. Online shopping is a quick process for people. However, analysts believe it will
significantly rise since consumers feel comfortable and secure when shopping online and think
their time savings would transform how people communicate (Chaffey & Ellis-Chadwick, 2019).

Small and medium-sized businesses (SMEs) have a lot of chances and benefits to social media
marketing (SMM). SMEs must create a clear social media marketing plan that fits their corporate
objectives and target market. When implementing SMM for SMEs, consistency, quality content,
active involvement, and measuring key performance indicators were essential considerations.

Copyright Holder: This Article is Licensed Under:

© Patrixia, Priyono, Lela (2023)
Corresponding author’s email: [email protected]
 Appl. Quant. Anal.

SMEs must create a clear social media marketing plan that fits their corporate objectives and target
market. When implementing SMM for SMEs, consistency, quality content, active involvement, and
measuring key performance indicators were essential considerations. According to the study by
Hayes (2022), more than 80% of consumers say that social media, particularly influencer content,
significantly impacts their purchasing decisions. As a result, marketers from various industries
were advancing social media marketing (SMM) from a single tool to a multifaceted source of
marketing intelligence for a growing and essential audience. Born between 1997 and 2012,
Generation Z represents a distinct and important target population for social media marketing.

This study pinpointed the tactics that helped small- to medium-sized businesses (SMEs) use social
media to engage customers. Understanding how small businesses utilize marketing strategies and
social media best practices to help develop business-to-consumer relationships is crucial because
the SME sector is significant in most economies. This research will tackle the relationship between
the utilization of social media marketing and the level of purchasing decisions among SME owners
and Generation Z consumers.

LITERATURE REVIEW
Digital media, often known as online media, is a type of media on the Internet that is provided
online. Internet media consists of two definitions. Any form or format of internet media is generally
considered exclusively accessible online, comprising sound, video, photos, and text. The term
"media" can refer to both offline and online communication. In light of this, email, mailing lists,
WhatsApp, websites, blogs, and social media were all online media types.

Businesses were increasingly aiming to use social media platforms to engage with various
stakeholders as top-level strategy increasingly involves plans to develop a presence on these sites.
To increase the commercial impact of Indian small and medium-sized firms, this study aims to
identify the factors that would motivate them to employ social media marketing techniques. The
usage of SMM by SMEs has a significant impact on improving their business outcomes. SMEs were
considered to be a substantial source of new employment. SMEs were seen as powerful forces in
the battle against poverty since they were significant revenue sources for low- and middle-income
countries worldwide. The success of SMEs is essential for the overall growth of nations on a national
and regional level (Chatterjee, Kar, & Gupta, 2018).

The first generation worldwide is Generation Z. They first notice globalization in their thought
processes. When it comes to connecting with others or getting knowledge, Generation Z has no
boundaries. Geographical boundaries were no longer a barrier for them because nearly everything
could be obtained online, and communicating with individuals around the globe could be done
quickly. Borders between people from various backgrounds were also removed by globalization.
Therefore, Generation Z individuals have the freedom to experiment with multiple personas,
sample a variety of hobbies, join new communities, and broaden their horizons, according to Sparks
& Honey. Generation Z is linked online and is affected by the same factors. Because of technology
and globalization, Generation Z is connected to various social networks online through diverse
trends, Internet influencers, fashion, food, locations, and even their language and unique phrases
and expressions.

According to Bradley (2020), eWOM had significant commercial influence because customers
regard it as a reliable and objective source of product information. Numerous studies have
examined how eWOM has affected the marketplace over the past 20 years. Word-of-mouth

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advertising has always been effective because it allows satisfied customers to refer goods and
services to their friends, relatives, and coworkers. Electronic word-of-mouth (eWOM) could be even
more effective in the social networking era. Positive messages on social media can be amplified,
especially by "influencers"—those with a greater than average audience and reach on different
websites and applications.

According to Robinson (2020), trust is the hope and conviction that other people's future behavior
will be positive or, at the very least, neutral. There were various definitions of trust from the
behavioral perspective in contrast to these definitions of trust in terms of emotion or psychological
condition. According to Mishra (2020), trust is the readiness of one party to be open and vulnerable
to another party because of the expectation that the other party is capable, honest, caring, and
trustworthy.

Based on Carnesi's research (2023), businesses utilize social media to build their online
reputations, increase brand awareness, and disseminate significant information about their
ventures. But far too frequently, this process is a one-sided struggle. Utilizing any social networking
site, including Facebook, Twitter, LinkedIn, Google+, and others, should involve engaging followers
actively. This not only improves a company's visibility but also its relationships with both present
and potential clients. The most underused social networking platform tool is conversation.
Companies publish frequently and may even engage viewers in chat, but they rarely demonstrate a
sincere desire to learn from their followers.

In conclusion, variety has a vital role to play in globalization. Generation Z is growing up in a social
system that is very non-traditional. They don't perceive good or evil, typical or atypical, in anything.
They understand that there were many different racial, ethnic, and national origins and social and
economic statuses among people. They accept a wide range of people, including those with different
sexual orientations and gender identities. Therefore, getting the extraordinarily diverse globe is
more than just a matter of tolerance; it is a way of thinking.

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Level of Utilization of Level of Purchasing

Social Media Marketing Decision among
among Generation Z Generation Z
Consumers Consumers
• eWOM • Awareness
• Trust • Interest
• Desire
• Action

Figure 1. Research paradigm

The research paradigm, as seen in Figure 1, illustrates how the study took place. Building trust
among consumers and eWOM (electronic word-of-mouth) were two essential social media
marketing functions. eWOM is the term used to describe the sharing of knowledge and views on
goods, services, and brands over the Internet. Contrarily, trust has a significant role in shaping
customer behavior and purchasing choices. Let's investigate the connection between trust, eWOM,
and social media marketing. The four steps of a customer's journey to reaching a purchase decision
were described by the AIDA model, a marketing framework. Every stage is a typical psychological
process that customers go through.
In conclusion, social media marketing can effectively employ the AIDA model to influence and guide
consumer behavior. By utilizing the AIDA model within social media marketing, marketers can
effectively navigate users through attention, interest, desire, and action, resulting in heightened
engagement, increased conversions, and overall support for company objectives. Through
integrating eWOM, trust-building strategies, and the AIDA model, social media marketing can
successfully lead customers through the decision-making process. Such a successful social media
marketing campaign aims to attract attention through positive eWOM, establish trust through
authentic communication, stimulate desire through captivating content, and prompt action through
clear CTAs and trust-building techniques. Ultimately, this approach contributes to higher
conversions and the advancement of business goals.

Hypothesis
The study tested the following null hypothesis at a 0.5 level of significance:
Ho: There was no significant relationship between the utilization level of Social Media Marketing
and Purchasing Decisions among Generation Z consumers.

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Table 1. Distribution of Generation Z consumers according to sex, age, and educational attainment

Sex
According to the conducted survey, there were more men (54%) than women (42%) in the
population of Generation Z, and four percent (4%) of the consumers prefer not to declare their
sexes in the municipality of Los Baños, Laguna.

Age
Most of the interviewed Generation Z consumers are 14 to 16 years old, followed by the age group
of 20 to 22 years old. Given that Los Baños has a median age of 26, half of the city's residents were
under 26, and the other half were over 26.

Educational Attainment
Based on the data gathered, most Generation Z interviewed were in high school or secondary
education. 70% of the respondents came from high school, 20% from college or tertiary education,
and 2% from elementary or primary-level education.

The main data-gathering instrument of this study was an adopted survey questionnaire that the
previous researcher had already validated and was to be improved and validated by the adviser.
The survey questionnaire is divided into three parts, which will gather the needed data by the
problem statement. The first part of the questionnaire will consist of questions regarding the
demographic profile of the respondents. The second part of the questionnaire will be about social
media marketing, and the third part will be about the purchasing decisions of Generation Z
consumers.

To determine the level of utilization of social media and level of purchasing decision among
generation consumers, the following statistical limits with a 4-point Likert Scale, respectively, with
their corresponding verbal interpretation is adopted for this study:
Assigned Points Numerical Range Categorical Response
4 3.25 – 4.00 Very High
3 2.50 – 3.24 High

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2 1.75 – 2.49 Low

1 1.00 – 1.74 Very Low

Using Google Forms, the respondents' availability to complete the questionnaires was identified.
Questionnaires were delivered after a discussion of the study with Generation Z customers. Also,
hard copies of questionnaires were distributed to the respondents of small and medium
enterprises. The questionnaire was immediately submitted to the researcher or returned after the
respondents had completed answering it. The researcher then documented and tabulated the
information and data acquired. To protect the privacy of the respondents, the study addressed
specific ethical issues. These issues included consent and confidentiality. The researcher obtained
the full consent of the respondents by explaining the necessary details and the aim of the study. The
respondents voluntarily participated in the research and understood their role in completing it. The
confidentiality of the respondents was ensured by not disclosing their names or other personal
information in the research. Only relevant information needed to answer the specific research
questions was included. The obtained data will be tabulated, analyzed, and interpreted using the
following statistical treatments applied to the study:
1. Frequency - This was used to compute the number of respondents who will participate in the
study.
2. Weighted Mean and Likert Scale - These were used to determine the level of purchasing
decision as assessed by Generation Z consumers.
3. Pearson Product-Moment Correlation Coefficient - This was used to determine the significant
relationship between the level of utilization and Social Media Marketing and purchasing
decisions among Generation Z consumers.

METHODOLOGY
This research study utilized quantitative methods and employed a descriptive correlational
research approach to examine the relationship between the level of purchasing decisions and the
utilization of Social Media Marketing among Generation Z consumers. Descriptive correlational
research involves evaluating and analyzing data to understand existing conditions, practices,
beliefs, processes, perceptions, trends, and cause-effect relationships. Significantly, this research
approach did not alter the environment and could involve a one-time interaction with groups of
people or a longitudinal study tracking individuals over time (Bhandari, 2022). It was chosen to
analyze and interpret the study's results. The research design involved using surveys to collect
necessary information. It utilized the gathered data to propose interventions for enhancing the
company's existing program or developing a new one.

The respondents in this study were Generation Z consumers and Small-Medium Enterprises
(SMEs). The total number of Generation Z in the Philippines is 31,183, according to the Philippine
Statistics Authority (2020). Therefore, the sample size for this study is 380. The researcher will
randomly choose the respondents to obtain more objective results. The respondents were selected
regardless of gender, age, or educational attainment. The researcher will use a survey to collect data
from the respondents. The survey will ask about the respondents' shopping habits, attitudes
towards SMEs, and willingness to support SMEs. The researcher expects that the findings of this
study will be helpful for SMEs in understanding the needs and wants of Generation Z consumers.
The results will also help SMEs to develop strategies to attract and retain Generation Z customers.

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FINDINGS AND DISCUSSION

Following their investigation, analysis, and data gathering, the researchers concluded that social
media marketing tactics directly impacted customer purchasing behavior, particularly among
Filipinos. Social media is a phenomenon because it has altered how people interact and behave. It
changed from a communication medium to a marketing channel that aids companies in promoting
and advertising their goods. But as more people use social media, they unknowingly change their
purchase habits due to becoming dependent on it or addicted to it.

Problem Number 1. What is the level of utilization of social media marketing as assessed by
Generation Z consumers in Los Baños, Laguna, in terms of eWOM and Trust?

The table that follows provides the findings on the problem stated above.
Table 2. Level of utilization of social media marketing as assessed by Generation Z consumers in
Los Baños, Laguna, in terms of eWOM
Indicators in terms of eWOM 𝑿̅ VI
1. Use of social media every day. 3.79 FU
2. Read opinions and product feedback seen through social
3.58 FU
media accounts and pages before purchasing it.
3. Use of social media during free time. 3.93 FU
4. Feel curious about a particular product of service when
3.02 U
seeing their advertisement online.
5. Consider availing of a product or service that a friend
2.96 U
shares and recommends online.
GENERAL ASSESSMENT 3.45 FU
Legend: 3.25 – 4.00 Fully Utilized (FU) 1.75 – 2.49 Partially Utilized (PU)
2.50 – 3.24 Utilized (U) 1.00 – 1.74 Not Utilized (NU)

The level of utilization of social media marketing as assessed by Generation Z consumers in Los
Baños, Laguna, in terms of eWOM (Electronic Word of Mouth) had a general assessment of 3.45,
which was verbally interpreted as Fully Utilized. Therefore, Generation Z consumers in Los Baños
Laguna fully utilized social media marketing regarding eWOM. The question of usage on social
media during free time had the highest computed mean of 3.93, which is verbally interpreted as
Fully Utilized, followed by the use of social media every day with a mean of 3.60 and verbally
interpreted as Fully Utilized as well, while considering availing products or service recommended
by friends and online gained the lowest mean of 2.96 or verbally interpreted as Utilized. The
reading of opinions and product feedback gained a mean of 3.58 and was verbally interpreted as
fully utilized while being curious about the product when seeing the advertisement online gained
a mean of 3.02 or was verbally interpreted as utilized.

Social media websites have created valuable opportunities for electronic word-of-mouth (eWOM)
conversations. People could now discuss brands' products and services with friends and
acquaintances. According to Bradley (2020), eWOM had significant commercial influence because
customers regard it as a reliable and objective source of product information. Numerous studies
have examined how eWOM has affected the marketplace over the past 20 years. Word-of-mouth
advertising has always been effective because it allows satisfied customers to refer goods and
services to their friends, relatives, and coworkers. Electronic word-of-mouth (eWOM) could be even
more effective in the social networking era. Positive messages on social media can be amplified,
especially by "influencers"—those with a greater than average audience and reach on different
websites and applications.
Table 3. Level of utilization of social media marketing as assessed by Generation Z consumers in
Los Baños, Laguna, in terms of trust

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Indicators in terms of Trust ̅

𝑿 VI
1. Downloads online shopping applications that can be seen
2.96 U
on social media, which can help with purchases.
2. Trusts social media platforms and promotions 3.06 U
3. I use social media during my free time. 2.84 U
4. Consumers usually purchase products that are
3.93 FU
recommended by social media influencers.
5. Finds online advertisements informative, and it helps with
3.14 U
what to purchase
GENERAL ASSESSMENT 3.19 U
Legend: 3.25 – 4.00 Fully Utilized (FU) 1.75 – 2.49 Partially Utilized (PU)
2.50 – 3.24 Utilized (U) 1.00 – 1.74 Not Utilized (NU)

The level of utilization of social media marketing as assessed by Generation Z consumers in Los
Baños, Laguna, in terms of trust. The general assessment gained a mean of 3.19, verbally
interpreted as Utilized. This means that Social Media Marketing in terms of trust is fully utilized as
assessed by Generation Z consumers in Los Baños, Laguna. The highest indicator was "Consumers
usually purchase products recommended by social media influencers," which gained a mean of 3.93
and was verbally interpreted as Fully Utilized. Based on the indicator, genZ trusts social media,
especially when a known influencer advertises or promotes the product to them. The indicator "I"
also gained the same mean as the first one finds online advertisements informative and helps me
with what I am going to purchase," earned a mean of 3.14 and was verbally interpreted as Utilized.
That said, genZ trusts social media at a very high level since they were born in the digital era. They
were more familiar with how the social media works. It can effectively promote or advertise
products or services that lead to the business's target market or audience.

Gen Z, also known as Zoomers, were born between 1997 and 2012 and have never known a world
without the Internet, according to Memon (2021). Trust is taking chances and picking a course of
action despite the danger that others could lose out.

Problem Number 2. What is the level of purchasing decision as assessed by Generation Z

consumers in terms of Awareness, Interest, Desire, and Action?

Table 4. Level of purchasing decision as assessed by Generation Z consumers in terms of awareness

Indicators in terms of Awareness ̅
𝑿 VI
1. Social media have an impact on the intention of consumers
3.27 VH
to purchase
2. Popular products online were attractive to the eyes of
3.23 H
consumers
3. I find online advertisements informative, and they help me
3.11 H
with what I am going to purchase
4. Online advertisements are helpful if you need to gain
3.11 H
knowledge about a particular product or service.
5. Visit online websites that were promoted on social media 2.84 H
GENERAL ASSESSMENT 3.11 H
Legend: 3.25 – 4.00 Very High (VH) 1.75 – 2.49 Low (L)
2.50 – 3.24 High (H) 1.00 – 1.74 Very Low (VL)

Generation Z consumers assess the level of purchasing decisions in terms of awareness. The general
assessment based on the table displays High with a mean of 3.11. This means that the level of

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Purchasing Decision is high in terms of awareness as assessed by Generation Z consumers in Los

Baños, Laguna. Moreover, the highest indicator that gained 3.27 is "Social Media have an impact
with the intention of consumers to purchase" and verbally interpreted as Very High, followed by
the indicator "Popular products online were interesting to the eyes of consumers," which gained
the mean of 3.23 and verbally interpreted as High. In contrast, the indicator "I visit online websites
that were promoted in social media" gained the lowest mean of 2.84, which is verbally interpreted
as high. Therefore, Gen Z is directly influenced by the promotional events posted or shared on social
media. It shows that it is a good strategy for businesses to promote their brands online.

The first is to launch campaigns via many channels. You must capture consumers' attention across
various platforms, including television and email marketing. Second, you can compose information
for a 30-second television commercial and write details about your product in newsletters. And
lastly, display banners and posters. Large posters and billboards about it might pique the
customer's interest in your brand. Create a visually appealing design and show it before nearby
companies' windows. Additionally, you can hand out fliers at gatherings with many people, such as
festivals and sporting events (Indeed Editorial Team, 2022).

Table 5. Level of purchasing decision as assessed by Generation Z consumers in terms of interest

Indicators in Terms of Interest ̅
𝑿 VI
1. Read opinions and product feedback that can be seen
3.56 VH
through social media accounts before purchasing it.
2. Social media increases consumers’ curiosity about the
3.27 VH
product or service they want to purchase.
3. Popular products online were attractive to the eyes of
3.23 H
consumers
4. Consumers usually purchase products that are
3.14 H
recommended by social media influencers.
5. Feels curious about a particular product or service when
3.02 H
seeing their advertisement online.
GENERAL ASSESSMENT 3.24 H
Legend: 3.25 – 4.00 Very High (VR) 1.75 – 2.49 Low (L)
2.50 – 3.24 High (H) 1.00 – 1.74 Very Low (VL)

The level of purchasing decision as assessed by Generation Z consumers in terms of interest had a
general assessment of 3.24 or higher.

Accounts that cater to Gen Z's interests or introduce them to new ones receive much attention from
them. It is necessary to determine their significant interests to comprehend their distinctive social
media activity. Table 2.2 shows the level of purchasing decision as assessed by Generation Z
consumers in Los Baños, Laguna, in terms of interest. The general assessment for this variable is
High, with a mean of 3.24. This means that the level of Purchasing Decision is high in terms of
interest as assessed by Generation Z consumers in Los Baños, Laguna. The highest indicator, "I read
opinions and product feedback that I see through my social media accounts before I purchase it,"
garnered a mean of 3.56 and was verbally interpreted as Very High. In contrast, the indicator "I
feel curious about a certain product or service when I see their advertisement online" gained the
lowest mean of 3.02 and was verbally interpreted as high.
After grabbing their attention, the next stage is to pique their interest in your goods. For instance,
describe the appealing qualities of your product in a blog post on the company website or any social
media platform. Consider creating a brief film that showcases the product and includes a voiceover
explaining the features' functions to add visual appeal. Customers interested in your product may
buy it more frequently (Indeed Editorial Team, 2022).

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Table 6. Level of purchasing decision as assessed by Generation Z consumers in terms of desire

Indicators in terms of Desire ̅
𝑿 VI
1. Download online shopping applications I see on social
3.06 H
media, which can help purchasing.
2. Social media have an impact on the intention of consumers
3.27 VH
to purchase
3. Usually, purchase products that were recommended by
3.14 H
4. social media influencers.
5. Finds it more efficient to buy things online. 2.91 H
6. Consider availing of a product or service that a friend
2.96 H
shares and recommends online.
GENERAL ASSESSMENT 3.07 H
Legend: 3.25 – 4.00 Very High (VR) 1.75 – 2.49 Low (L)
2.50 – 3.24 High (H) 1.00 – 1.74 Very Low (VL)

Generation Z consumers assess the level of purchasing decisions in terms of desire. The general
assessment based on the table displays High with a mean of 3.70. This means that the level of
Purchasing Decision is high in terms of desire as assessed by Generation Z consumers in Los Baños,
Laguna. Moreover, the indicator "Social media have an impact with the intention of consumers to
purchase" gained the highest mean of 3.27 and was verbally interpreted as Very High. In contrast,
the indicator "I find it more efficient to buy things online" gained the lowest mean of 2.91. In
addition, the indicator “I consider availing product or service that my friends share and recommend
online” also earned the lowest mean of 2.96, which is verbally interpreted as High.

Consider how infomercials offer their material; they hope to engage viewers with intriguing facts
about the product and its advantages. These advantages should pique viewers' interest in the goods.
The way that infomercials accomplish this is by showcasing the goods in a variety of inventive
settings. Explain to the audience the benefits of the good or service and why they require it.

Table 7. Level of purchasing decision as assessed by Generation Z consumers in terms of action

Indicators in Terms of Action ̅
𝑿 VI
1. Download online shopping applications seen on social
3.06 H
media, which can help purchasing.
2. Consumers usually purchase products that are
3.14 H
recommended by social media influencers.
3. Finds it more efficient to buy things online. 3.91 H
4. Purchase products that are seen online. 2.74 H
5. Avail products/services that are seen online. 2.58 H
GENERAL ASSESSMENT 2.89 H
Legend: 3.25 – 4.00 Very High (VR) 1.75 – 2.49 Low (L)
2.50 – 3.24 High (H) 1.00 – 1.74 Very Low (VL)

The level of purchasing decision as assessed by Generation Z consumers in terms of action. The
general assessment based on the table displays High with a mean of 2.89. This means that the level
of Purchasing Decision is high in terms of action as assessed by Generation Z consumers in Los
Baños, Laguna. Moreover, the indicator "finds it more efficient to buy things online" gained the
highest mean of 3.91 and was verbally interpreted as Very High. In contrast, the hand of "avails
products or service that seen online" gained the lowest mean of 2.58, which was verbally

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interpreted as high. One reason for having the lowest mean for the availability of products or
services online is that most respondents were in high school or at the secondary level of education.
It means that they have no source of income yet and still ask for money from their parents.

Overall, regarding AIDA, the level of purchasing decisions is high, as assessed by Generation Z
consumers in Los Baños, Laguna. Generally, a high level of buying decision offers organizations
chances to spur growth, boost client relationships, stand out from rivals, and raise overall
performance. Businesses can improve their marketing tactics, raise client satisfaction, and find
long-term success by taking advantage of these opportunities. Therefore, implementing a well-
designed online marketing strategy can indeed help increase the consumer base of a small or
medium-sized enterprise (SME).

Problem Number 3. Is there a significant relationship between the level of utilization of

Social Media Marketing and the level of purchasing decisions among Generation Z?

Table 8. Test of significant relationship between the level of utilization of social media marketing
and level of purchasing decision among Generation Z
Level of Utilization
Level of Purchasing
on Social Media r Value P Value Remarks Decision
Decision
Marketing
Awareness .682** .000 Significant Reject Ho
Interest .764** .000 Significant Reject Ho
eWOM Desire, .735** .000 Significant Reject Ho
Action .591** .000 Significant Reject Ho
Awareness .802** .000 Significant Reject Ho
Interest .748** .000 Significant Reject Ho
Trust
Desire, .902** .000 Significant Reject Ho
Action .834** .000 Significant Reject Ho
**Correlational at the level 0.01 *Correlational at the level 0.05(Two-tailed)

Businesses aiming to reach Generation Z must comprehend the value of social media marketing and
how it affects this group's purchasing behavior. Brands may interact with Generation Z through
social media platforms, forge meaningful connections, and use these connections to sway their
purchasing decisions through socially responsible, relevant, and authentic marketing techniques.
This research observes that eWOM is a trend influencing Generation Z users on social networking
sites. Traditional marketing methods and social media marketing differ in that social media
marketing enables users to reach both individuals they know and allows strangers to communicate
through chat and feedback on actual goods or services offered by the various companies. These
actions may impact people's buying intentions.

Based on the results, there was a significant relationship between the level of utilization of Social
Media Marketing eWOM and purchasing decision in terms of awareness with r value of .682**;
eWOM and purchasing decision in terms of interest with r value of .764**; eWOM and purchasing
decision in terms of desire with r value of .735**; and eWOM and purchasing decision in terms of
action with r value of .591** among generation Z consumers. Moreover, there was also a significant
relationship between the level of utilization of Social Media Marketing trust and purchasing
decision in terms of awareness with r value of .802**; trust and buying decision in terms of interest
with r value of .784**; trust and purchasing decision in terms of desire with r value of .902**; and
trust and buying decision in terms of action with r value of .834** among generation Z consumers
as shown in their probability values of .000 respectively. Results show that if the independent
variable increases, the dependent variables tend to increase also. Therefore, if social media
marketing increases, purchasing decisions also increase. Thus, the null hypothesis is rejected. The

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result shows a significant relationship between the independent and dependent variables.

Problem Number 4. Based on the Results of the Study, What Output May Be Proposed?

Table 9. Social media portals - matrix

Social Description Content Hours to Benefits to Remarks
Media Manage Business Owners
Portal
FACEBOOK

A powerful Most of the Better to Show ads to users The Facebook

platform that users were spend whose friends platform had a
offers attracted by about 3 – have recently higher-than-
numerous rumors. 4 hours a engaged with average tolerance
opportunities - day their followers. for times between
for Links were a - - feeds. But will
businesses to must to be Minimum Friends and grow incredibly
connect with seen and of 2 hours followers were well if daily
their target heard on the per day instantly notified feedings are
audience and FB account. with new feeds. maintained.
promote - -
their Users usually Reach target
products or love factual audience based on
services content. demographics.
-
Hard selling is
usually
ignored.
-
Spammers
were called
out.
-
The more
postings, the
better

23
 Appl. Quant. Anal.

Social Description Content Hours to Benefits to Remarks

Media Manage Business
Portal Owners
YOUTUBE

Powerful Advertising is Better to It is given The YouTube

social media permitted spend about priority in platform had
platform that - 3 – 4 hours a Google’s page minimal
offers Maximum of day ranking. maintenance
significant 2 GB videos, - - requirements.
opportunities 10 minutes in Minimum of It is an However, as the
for length 2 hours per excellent place channel grows
businesses - day to park video and becomes an
and Video - clips and essential part of
marketers to descriptions If the spwere the the business's
engage with were a must business company's online presence,
their target for already has a server and more frequent
audience optimization. YouTube bandwidth. and consistent
through - account, - content creation
video users love more time Businesses can is needed to
content. "how-to" or will be create a sustain the
educational required if it customer and momentum and
videos and needs to channel base. meet the
entertaining create a - audience's
content promotional Youtube expectations.
- video. videos can.
they like Start
public generating
attention conversations
about a
business and
drive traffic
back to the
website.

24
 Appl. Quant. Anal.

Social Description Content Hours to Benefits to Remarks

Media Manage Business Owners
Portal
INSTAGRAM

a popular Advertising is Better to Wide Reach: Instagram is a

social media permitted spend Instagram has a powerful social
platform - about 3 – 4 massive user media platform
that plays a Entertaining hours a base, with over 1 that enables
significant photos and day billion monthly businesses to
role in short videos - active users. connect with their
marketing were Minimum - target audience,
strategies. It encouraged of 2 hours allows businesses promote their
is a visually- - per day to engage directly products or
focused Video with their services, and
platform descriptions audience through build a strong
where users were a must comments, likes, brand presence.
can share for and direct With its visually-
photos and optimization. messages oriented nature
videos with - and wide reach,
their They like Instagram allows
followers. public businesses to
attention. showcase their
offerings through
high-quality
images and
engaging videos.

25
 Appl. Quant. Anal.

Social Description Content Hours to Benefits to Remarks

Media Manage Business
Portal Owners
TWITTER

a platform Love rumors It is a Creates The Twitter

that allows - little business and platform is one
businesses to Does not short. It brand loyalty where single
connect with like pictures takes among postings should
their target - seconds followers have been more
audience, Links in to post - addressed. It
share postings will - Quick method of would help if
information, feed the Having communication you repeated
engage in growth. content to - postings more
conversations, - link to Positions the than once to be
and promote Repeat and/or business as an heard on a
their products postings create authoritative minimal level
or services. were a must will take voice for return on
Twitter is to be seen 1-2 hours - investment.
known for its and heard. daily. Great for This platform is
real-time - business the most
nature and Loves 1 to 1 research difficult to feed
character- ratio of - and will
limited posts, following Expand demand all your
called tweets, and being business time for such
which can followed networks and limited space.
contain text, relationships. But with help,
images, - Twitter can be a
videos, and Can generate big boon to the
links. direct traffic business.
back to the
website and
other marketing
campaigns

CONCLUSIONS
After the researchers' investigation, examination, and gathering of the information, they could
finally conclude a direct impact of social media marketing strategies on consumer buying behavior,
specifically among Generation Z consumers in Los Baños, Laguna.
1. Social media marketing has been effectively utilized by Generation Z consumers, who are
known for their high levels of engagement on various social media platforms. Within this
context, Generation Z actively participates in electronic word-of-mouth (eWOM) activities,
which involve sharing their opinions, experiences, and recommendations with their peers on
social media platforms. This eWOM form is a powerful tool for influencing consumer behavior
and shaping purchasing decisions among Generation Z individuals. Moreover, trust-building
plays a significant role in the effectiveness of social media marketing strategies targeting this
generation. By engaging in eWOM and establishing trust, Generation Z consumers contribute to
the success of social media marketing campaigns to capture their attention and influence their
buying choices.
2. Generation Z consumers demonstrate a notable level of engagement in the purchasing decision-
making process, aligning with the principles outlined in the AIDA model. The AIDA model,
which stands for Attention, Interest, Desire, and Action, provides a framework for
understanding consumer behavior and the sequential stages they go through before

26
 Appl. Quant. Anal.

purchasing. SMEs (Small and medium-sized enterprises) can leverage this understanding to
guide Generation Z consumers effectively along the decision-making journey and ultimately
drive higher purchasing decisions. Therefore, by understanding and applying the principles of
the AIDA model, SMEs can effectively guide Generation Z consumers through the stages of
attention, interest, desire, and action, ultimately driving higher levels of purchasing decisions.
Through strategic and targeted marketing efforts, SMEs can align their messaging and offerings
with Generation Z's unique preferences and behaviors, maximizing their potential to capture
this influential consumer segment.
3. Social media marketing efforts have a substantial impact on influencing and driving consumer
purchasing behavior. When businesses effectively utilize social media marketing strategies,
they can successfully engage with their target audience, create brand awareness, generate
interest, and ultimately influence consumers to purchase. Given the significant relationship
between social media marketing and purchasing decisions, a consumer's purchasing decision
tends to increase as social media marketing increases. Social media marketing is vital in
influencing and driving consumer purchasing behavior. Through effective utilization of social
media platforms, businesses can engage with their target audience, create brand awareness,
generate interest, and ultimately influence consumers to make purchasing decisions. By
understanding and leveraging the power of social media marketing, businesses can maximize
their potential for success in today's digital marketplace.
4. To further improve businesses' sales and exposure, there is a need to create a social media
portal, Matrix. Implementing a social media matrix designed for small and medium-sized
enterprises (SMEs) can significantly enhance their marketing efforts. Matrix can significantly
enhance SMEs' social media marketing efforts by implementing a social media portal. By
strategically selecting and utilizing the most appropriate social media platforms, SMEs can
improve their sales and exposure, reach their target audience more effectively, and allocate
their resources efficiently. With a well-defined social media strategy, SMEs can maximize the
benefits of social media marketing and stay competitive in the digital landscape.

LIMITATION & FURTHER RESEARCH

This study used quantitative descriptive correlational research to assess the level of utilization of
social media marketing concerning electronic word-of-mouth (eWOM) and trust, specifically
regarding the purchasing decision stages of awareness, interest, desire, and action among SME
owners and Generation Z consumers. The data was collected through an online survey, ensuring
respondent convenience.

The study participants were SME owners and Generation Z consumers in Los Banos, Laguna. The
study aimed to provide insights into the decision-making process of purchasing items through
social media. However, it is essential to note that the scope of this study was limited to the use of
social media for marketing purposes and its impact on the purchasing decisions of Generation Z.

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