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PM235 social media advertisements BSc Honours – HRM GSM London

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Social Media Advertisements on Consumer Purchase Behaviour

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Title

“To analyse the impact of social media advertisements on consumer purchase behaviour.” A study on Tesco.

INTRODUCTION

In order to sustain in the competitive environment, it is rudimentary for the organisations and management to attracts more and more customers. Customer behaviour greatly influence the productivity and profitability of the organisation (Simmonds and Spence, 2017). Companies utilises numerous tactics in order to attract and retain customers. In the era of digitalisation, organisation effectively using social media platform like YouTube, Facebook, Instagram to commercialise their products and services to large number of users at optimum cost. In this context, the following research will focus on the impact of social media advertising on consumer purchase behaviour by analysing study on Tesco. Tesco is one of the leading supermarket and retail store incorporating in United Kingdom. It has a total of 6553 within and outside United Kingdom (Srivastava and Wagh, 2017). This implies that humongous amount of customers are associated with the organisation. In this research, the investigator will focus on three core areas. Researcher will shed light on consumer purchase behaviour, the impact of social media on consumer purchase behaviour and the factors that affects consumer purchase behaviour. Precise methodologies will be used and time scale will be provided that will demonstrate the series of activities researcher will going to perform in the specific duration. By following this, researcher will be able to accomplish the aim and objectives of the study.

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Research aim and objectives

The aim of research “To analyse the impact of social media advertisements on consumer purchase behaviour.” A study on Tesco.

Objectives

  • To investigate the consumer purchase behaviour.
  • To examine the influence of social media advertisement on consumer purchase behaviour.
  • To identify the factors that transforms behaviour of consumers

Research Questions

  • What is consumer purchase behaviour?
  • How social media advertisement influences consumer purchase behaviour?
  • What are the factors that transforms behaviour of consumers?

Background of study

There is no doubt that consumers highly affects the productivity and profitability of the organisations. Researchers in their respective study contends that consumers can either lead the organisation towards success or drags it down towards its dissolution (Nair and Dhivya, 2017. In this study, researcher will examine the consumer purchase behaviour and which factors greatly affects the behaviour of consumers. In current era, social media led a significance impact on people especially on youth. By taking advantage of social media and its enormous power, management of organisations able to increase their customer base effectively. They promote and advertise about their products and services on the social media through which organisations able to attracts more and more custoemrs effectively and efficiently. Researchers have conducted their analysis in the respective field thus making easier for researcher to gather relevant articles and journals through which research can be made.

Rationale of Research

The research study will aid in enhancing the level of knowledge of the researcher as he or she will able to get deeper insights about the subject matter. As social media and consumer purchase behaviour are directly related to each other, researcher will able to develop his or her level of knowledge and learnings. Furthermore, researcher will also able to get familer about Tesco which is one of the leading supermarket of United Kingdom. He or she will able to develop education about the impact of social media commercials developed by Tesco and its impact on their target customers behaviour. The reason for conducting the research study was to spread knowledge about the impact of social media marketing on the behaviour of consumers.

Significance of research

The research study will help the end users to develop learnings about the impact of social media marketing and consumer purchase behaviour. After completion of the research study, researcher will provide some key recommendations which can assists the organisation to improve its branding strategy and social media marketing through which they can attracts more and more customers towards the organisation. Eventually, senior researchs and academicans will be able to comprehend the research and compare it with their research so that robust arguments can be created. Thus, this research study will help the readers to understand the concepts and factors that can influence the behaviour of consumers.

Define the methodologies.

Research philosophy- It is consists of facts in relation to collection and analysis of data. It is mainly related with nature and source of knowledge. These are classified into two categories as are pragmatism, positivism, realism and interpretivism. For the present study on Tesco there will be use of the combination of both positivism and interpretivism is need to be taken. It is helpful in relation to gain the depth information with the help of conducting observation in the effective manner. In addition to this, positivism philosophy will work as to conduct the collecting and interpreting the data. Thus, it can be said that positivism is dependent on the activities as role of research to identified the each thing effectively. This kind of philosophies are helpful in relation determine the implication on social media on the buying behaviour of customers. It is based on the observation which are quantifiable. It is helpful in relation to implementing the differed element of study. This kind of philosophy assisted in representing the differed aspects of phenomenon.

Research approach- It is helpful in relation to Encompasses the plan fort procedures in order to carrying out whole study effectively. In this there are two kinds of approached are given as are Inductive and deductive approach. Deductive approach refers as to take activities from general to specific. It can be known as the top down approach. In this there is generalized theory which is narrowed down to be more specific. In order to carry out the effect of consumer behaviour on the buying habit, social media plays effective role. Thus, to carry out present research there will be use of inductive approach so that implication of social media can be determine in the effective manner. By making the specific observation on the business activities of Tesco, the firm need to take steps in order to analyse the things in effective manner. Furthermore, it can be said that specific observation will be helpful in relation to detecting the regularities and patterns. With the help of this the generalized conclusion can be drawn.

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Research design- It is helpful in relation to provide information about the plan of action which is need to be adopted by the researcher for carrying the varied components of study in logical and coherent integration manner. There are differed kinds of research design as are descriptive, explanatory and exploratory. In order to carry out the present research descriptive method will be chosen. Expressive research configuration centres around portraying members in precise way. It likewise depicts the attributes of the wonder being contemplated. An engaging report gives three techniques to the specialist for the completion of exploration. These are contextual analysis, perception and study. This outline was chosen as it helped in receiving appropriate techniques for concentrate the complexity of computerized innovation on business exercises of Tesco. With this plan, the researcher can utilize study for accomplishing the point of the examination. Elucidating configuration aided better portraying the social media activity as it is innovative in order to utilized as a part of the lodging and their significance. Based on this, the analyst can decide the ramifications of activities of social media on buying behaviour of customers in order to determine productivity and profitability of both the enterprise.

Data collection- It is the kind of techniques which is helpful in order to gather important information. Under this there are two methods of data collection as are primary and secondary. In order to carry out the present research there will be use of both primary as well secondary method. Under the primary data the researcher will gather the whole data from the first out particular study. Thus, it can be called as the first hand information. In this manner it can be said that there differed methods in relation to conduct the analysis as are observations, interviews, surveys etc. In order to carry out the present research this will be done with the help of questionnaire method. It is very expert way in order to gather the information in the effective manner. In this whole information is need to be gathered with the customer in the market. The effective research is need to be taken by asking the questions to them. In this manner secondary method will be used in order to carry out the research activities through books, journal, online articles, organization records etc. It is very effective in order to gain the factual description about the better understanding of subject better. This will also give the depth information about the impact of social media on the business activities of Tecso. It is need to be determine so that productivity and profitability of the firm can be enhanced. This will be helpful in order to enrich the growth of the firm in expertise mode. This is helpful in order to enrich the growth of firm in enlarge manner.

Sampling- Under this there are two kinds of techniques as are probabilistic and non-proablistc. This both are helpful in relation to collect the information so that firm is able to undertake its business activities with the effective research. In order to carry out present study there will be use of probabilistic method, as it is very helpful in relation to provide equal chance to the each population and view of all can be carried out. Thus, the sample of 20 customers will be undertake to address the each information in the corrective manner.

Data analysis- The term data analysis will be inclusive of the activities as are cleaning, coding and transforming of whole data in relation to drawn the conclusion in effective manner. Under this there are two kinds of methods of data analysis as are quantitative and qualitative analysis. In this it can be sated that the quantitative analysis is relates to the better interpretation of situation as well people. It is very helpful in order to give detailed insights about the each particular phenomenon. Thus, with the help of quantitative analysis the each information can be gathered by statistical tool and techniques of quantitative in order to analysis the data. It is very helpful in relation to have effective impact of social media technique on the business activities of Tseco, and buying behaviour of consumers so that firm leads to have profitability and productivity. This kind of function will be helpful in relation to undertake each activities in the expertise manner. Hence, there will be use of thematic analysis in order to the activities of research. In this manner it can be true to said that it will be helpful in order to recordings and comprising the whole data in the effective manner. It is helpful in defining the each phenomenon.

Ethical issues- It is need to be considered in the following manner as are-

  1. Informed consent- It is one of the ethical consideration which will be helpful in order to carrying out permission from the participants. In this way non-compaline to this can led to the ethical issues. In order to conducting the present study on the business activities of Tesco, participants in this will be informed about the main objective behind conducting this research.
  2. Confidentiality- In this the anonymity of the whole participants' information is need to be maintained. The whole the information is need to be protected and there is no harm is need to be made in this relation so that activities can be carried out in the effective manner. The researcher should have proper storage of data. In this way information can be protected from the unauthorized access.

Cost consideration

The exploration ponder requires doing different procedures because of which expenses might be caused. These incorporate information accumulation, breaking down the essential and in addition supplementary level headed discussion and so on. In any case, the monetary assets accessible are restricted. This issue was tended to as the analyst limited the expenses by not designating research associates. The different procedures of the investigation were completed by the analyst himself.

Access issues

In this it can be said that there are various of access issues were faced by researcher at the time of collection of the primary and secondary data. In addition to this it can be said that while primary data collection, there was issue in order to gaining access to the participants of the study. It can be resolved by talking permission from the organization. At the time of collection of secondary data, the researcher will face the issue of restricted access to some journal articles. In this manner, permission was granted for accession of the full article.

LITERATURE REVIEW

To investigate the consumer purchase behaviour-

According to Franklin, (2012) states that social media activities plays crucial role in order to get success in firm. This is helpful in order to aware the customer about the product and services of entity. In contrary to Obeidat and Abu-Shanab, (2010) states that social media plays essential role in order to gather the information from the medium of online techniques. The large number of the customer are relay on the social media activities so that Tesco need to have the use of this kind of techniques to have increment in the profitability of the firm in the large manner. As per the view of Franklin, (2012) it can be said that social media is the one of the vital tool in order to cover the wide range of customers. The social media technique is one of the effective method which sis made in the form of internet based application and build with the idealogical and technological foundation. According to McGrath and O'Toole, (2012) stated that it is very helpful in order to communicate the large number of people. In addition to this, it can be said that social media platform like Facebook, twitter and all have high number of the users. This all are very helpful in order to motivate the customer to purchase product and services of their own choice. This is helpful in order to bring desire result so that firm can produce those products which are helpful to attract the customer in the market. According to Obeidat and Abu-Shanab, (2010) the view of Grafton, Lillis and Mahama, (2011) increment in the use of social media will work as to led major shift in approach to pursuing consumer brand awareness so that product can get popular in the market. Under this it can be said that specification of a product or a service which works as to generated the ability to fill explicit and implied needs quality is reaching the gap between the consumer's expectations for the product's quality and their realization of the actual performance of that product. This kind of activities will be helpful in relation to attract the customer in the market. The consumer review product on the online site if he like this product than he will purchase it in order to attract the customer in the market. According to the view of Franklin, (2012) states that social media plays the essential role in relation to influence the buying behaviour of the customer in the market. Hence, it can be said that it will attract the more number of the customer so that firm can able to expand to business oppression in the large manner. According to Grafton, Lillis and Mahama, (2011) states that social media marketing plays the greater role in order to influence the customer in the large manner. Thus, it can be stated that social media marketing encourage the customer to purchase the product. The Tesco is working as retail sector, conducts its business activities in relation to attract the customer by asking for the feedback, this will be helpful in relation to attract the customer in the market about the services. This kind of activities will be helpful in order to undertake the modification procedure so that business activities can be conducted effectively.

To examine the influence of social media advertisement on consumer purchase behaviour.

According to Grafton, Lillis and Mahama, (2011) states that advertisement plays essential role in order to reach large number of customer in the market. Thus, it is helpful in order to gather the attraction of customers so that they will influence to buy the products. In contrary to Davidson and Vaast, (2010) Tesco need to produce impressive advertisement in the online site so that they are able cover wide range of customer in the market. According to Bucoloand and Matthews, (2011) states that social media marketing plays the greater role in order to influence the customer in the large manner. Thus, it can be stated that social media marketing encourage the customer to purchase the product. The Tesco is working as retail sector, conducts its business activities in relation to attract the customer by asking for the feedback, this will be helpful in relation to attract the customer in the market about the services. This kind of activities will be helpful in order to undertake the modification procedure so that business activities can be conducted effectively. Andriole, (2012) Pointed out that this kind of function are very helpful in order to having enhancement in the productivity and profitability of firm. Thus, it can be said that most of the customers are relay on the online activities so that this is one of the effective platform which will be helpful in order to gather the attraction of large number of the customer in the market. According to the online environment is a new prospectively in a commonly way. Social media is important role of the changed the consumer behavior in the market communication. Social media affect the consumer behavior. Its a new channel communication of the product information. Shopping mode the types of the social media in different website as online shopping, internet shopping, and online buying behavior states. Internet the introduce the organization the promote the product and services. In the media of product in the process of purchasing and buying product services. As per the view of Consumer the use of the social media in online shopping of a product to purchase and buying is utilize the technologies in online shopping process states. In the channel of the internet thy market and communicate their customer and sharing different information. Business and buyers directly interact each other and the looking for the product and services. In contrary to Social media is impact of social marketing important the consumer behavior to buy online. Consumer buying behavior has new social technologies networking has communication much more creative.

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Factors that transforms behaviour of consumers

According to Nguyen, de Leeuw and Dullaert, (2018) there are various factors which can affects the purchase behaviour of consumers. These factors include brand reputation, schemes and loyalty points provided by the organisation, marketing tactics, quality of products and services and many more. In order to sustain in the competitive environment, it is essential for the organisation to increase the customer base by attracting them with ineresting loyalty schemes or efficient quality of proudcts and services. Now a days social media and its influence majorly affects the consumer purchase decision. Organisations tends to commercialsie their products and services on the social media and also gathers real time feedbacks and suggestions from the customers. Bigne and et.al., (2018) argued that social media is not only the lone factor that transforms the behaviour of consumers, there are several other factors such as schemes, discounts, price and quality which greatly affects the purchase behaviour of customers. Balabanis and Siamagka, (2017) said that in order to sustain in the competitive envrionment, it is essntial for the organisation to enhance their customer base through advertisements, providing them quality goods and servcies.

Now a days it is difficult for the management to retain customers due to stiff competition and substitution of products and services. Thus, through precise commercialisation and optimum marketing strategy the management and organisation can able to increase their custoemr base and profitability (Simmonds and Spence, 2017). Buying behaviour is influenced by number of factors . Motivation and perception is the most important one. When a need becomes a motive and when it is aroused to certain level of intensity. Internal factors that stimulates the energy and desire is motivation. There are mainly two types of needs- Biogenic needs and physiological needs. Perception is when we think in mind the particular thing is good/ bad, when buyer thinks and decide in mind only by hearing from other that particular goods he/she is buying is not good, whether he/she taste or use this or not,buyer will not purchase the goods. So, buying behaviour is affected by perception.

Srivastava and Wagh, (2017) said that likes, dislikes, taste, preference, affected by the people in the environment. Consumer always ask for confirmation from the people and do not do things which are not acceptable socially. There are many factors like family, Reference group, role in the society. Every individual is surrounded by the group of individuals by which consumer behaviour is influenced. The attitude of a person is affected by the reference group. Nair and Dhivya, (2017) said that there are so reference groups- primary group, secondary groups, formal groups, aspiration group, avoidance group. Every individual plays dual role in the society, family, clubs and organisation are like many groups which man has to participate. A man who is the executive officer in the office is also someone's husband and father at home.

The role and status defines the persons position in the firm. There are two types of family one is joint and second is nuclear family. The decision making of a consumer is fast compare to joint family because one has to ask many people before buying of any goods. Culture is the fundamental elements of consumer desire and needs (Bigne and et.al., 2018). The growing child what he sees in his surrounding acquires a set of values and perceptions. The pattern of consumption, the way of taking, dressing sense, all these things are depend on the cultural behaviour around consumer. Buying behaviour is depends on the cultural behaviour as when changes takes place some people do not accept those change immediately, there will slow acceptance or sometimes rejection of changes. are the factors which influence by economic factor. The buying behaviour is wholly dependent on the income of a person (Nguyen, de Leeuw and Dullaert, 2018). There are disposable income and discretionary income. The actual income is disposable income , if it rises expenditure also rises and vice versa. It is the total of all family member income.

Family income affects the consumer behaviour, the surplus remain after the expenditure on the basic needs of the family is make available for buying luxury items & extra needs. The expectation of a consumer on behalf of income is largely affected. As if he expect income is increased, he tempted to spend more on luxury goods. Saving affect the buying behaviour of an individual. If person decides to save more he spend less on luxury & comforts. The taste of a person is depend on the stages of life (Balabanis and Siamagka, 2017). For example tight jeans t shirt are not prefer by all old age people. The goods prefer by lawyer,clerk,teacher, are different from the goods prefer by Doctors, it is the main difference of occupation. The person interacting with the environment defines the life style of a consumer. Many strategies have to be design which suits on the life style of a consumer.

REFERENCES

  • Andriole, S. J., 2012. Managing technology in a 2.0 world.IT Professional,14(1), pp.50-57.
  • Bucolo, S. and Matthews, J.H., 2011. Design led innovation: Exploring the synthesis of needs, technologies and business models. InProceedings of Participatory Interaction Conference 2011.
  • Davidson, E. and Vaast, E., 2010, January. Digital entrepreneurship and its sociomaterial enactment. InSystem Sciences (HICSS), 2010 43rd Hawaii International Conference on(pp. 1-10). IEEE.
  • Flick, U., 2011. Introducing Research Methodology: A Beginner's Guide to Doing a Research Project. SAGE.
  • Franklin, M., 2012. Understanding Research: Coping with the Quantitative - Qualitative Divide. Routledge.
  • Grafton, J., Lillis, M. A. and Mahama, H., 2011. Mixed methods research in accounting. Qualitative Research in Accounting & Management. 8(1). pp.5–21.
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