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Impact of Social Media on Youth Buying Decisions

   

Added on  2022-12-29

31 Pages7952 Words27 Views
MARKETING
DISSERTATION
Impact of Social Media on Youth Buying Decisions_1
ACKNOWLEDGEMENT
I would like to extent my acknowledgement to all those people and members who have played a
crucial role in my career and academic life. On the first note I would like to thank my parents
who have supported me with understanding and love. Without them I would have not done
anything and could not reach to the place where currently I am. After that I would like to extent
my gratitude to my team mates and supervisor who have supported me throughout the study.
Thank you
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ABSTRACT
The current study is based on the topic social media and how it assist in influencing the
consumer buying decision. In this current and modern business environment the use of latest
marketing techniques like the social media marketing is very assistive for the company in
managing and attracting the consumers to a great extent. From the study it was evaluated that
when the company will make sure that they are using social media then this will definitely attract
the consumer towards the product and services of the company. The major reason for this is that
in this current advance world the consumer are much attracted towards the use of the social
media websites and because of this it is mandatory for company to make use of the social media.
From the current study it was evaluated that the major research method focused was the
qualitative study. The major reason for this is that this is the tool which assist the researcher in
focusing on in- depth analysis of the research topic. Also from the research methodology section
it was evaluated that data was collected from primary sources and further thematic analysis was
conducted over it. Further from the data analysis section it was witnessed that majority of
respondent assented to the fact that social media is beneficial in stimulating the interest of the
consumer towards the product and services of the company.
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TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION....................................................................................................5
1.1 Background............................................................................................................................5
1.2 Aim........................................................................................................................................5
1.3 Objectives..............................................................................................................................5
1.4 Research questions.................................................................................................................5
1.5 Rationale................................................................................................................................6
1.6 Scope......................................................................................................................................6
CHAPTER 2: LITERATURE REVIEW.........................................................................................7
2.1 Introduction............................................................................................................................7
2.2 Understanding the concept of social media in relation of buying decision...........................7
2.3 Ways by which social media affects the youth buying decisions..........................................8
2.4 Challenges while making use of social media in influencing consumer buying decision.....9
2.5 Conclusion...........................................................................................................................10
CHAPTER 3: RESEARCH METHODS.......................................................................................11
CHAPTER 4: DATA ANALYSIS/ DISCUSSION.......................................................................14
CHAPTER 5: CONCLUSION......................................................................................................23
CHAPTER 6: RECOMMENDATION..........................................................................................25
REFERENCES..............................................................................................................................27
APPENDIX....................................................................................................................................29
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Title: To analyse the impact of social media on youth towards customers buying decisions.
A study on Tesco.
CHAPTER 1: INTRODUCTION
1.1 Background
In the era of digitalization, it has become very important for the organization to
effectively analyse the usage of the social media on the youth pertaining to the customers buying
decision. The use of social media has affected the lives of many in regard to making decisions.
Organizations are now available on the social media through which it shows case its products
and services leading to influencing the perception and needs of the consumers. In this research,
Tesco is taken as an organization which is one of the largest retail giants in the world (About Us.
2020). This study provides a detailed analysis of the concept of social media and the way
through which it has impacted the buying decision of the youth of the society. Along with this,
various challenges which might come across on account of making use of the social media as
platform for influencing the consumer buying decision.
1.2 Aim
The aim of the study is to analyse the impact of the social media over the youth towards
the customers buying decisions.
1.3 Objectives
To understand the concept of social media in respect to the buying decisions.
To determine the ways through which social media can impact the youth buying decision.
To identify the challenges in making use of social media in influencing the consumer
buying decision.
To recommend the ways in order to overcome the challenges.
1.4 Research questions
1. What is the concept of social media in regard to the buying decisions?
2. What are the ways in which social media can affect the youth buying decisions?
3. What are the challenges pertaining to making use of social media in respect to consumer
buying decision?
1.5 Rationale
The rationale behind the selection of this topic is the increase in the usage of the social
media sites for undertaking the purchase related decisions. The younger section of the society is
Impact of Social Media on Youth Buying Decisions_5
making use of social media in order have a glimpse of the new and coming products which helps
in taking decision pertaining to whether to buy the product or not. This topic is important
because the influence of the social media is very huge and it is expected to further expand. Also,
it is important now as the businesses are being done through social media affecting the customers
decision-making. This research provides ways through which social media is affecting the youths
buying decisions and the challenges associated with it.
1.6 Scope
The research is limited to the organization Tesco and can be made use by its competitors
in the UK market. Along with this, it can be made use by the other organizations or the entities
which are involved in the retail industry. Data is being gathered through the primary source by
the way of filling questionnaire and secondary sources such as books, journals and other
published articles of other researchers. Thus, the scope of the research is limited to UK retail
market and the other researchers carrying out the similar research.
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CHAPTER 2: LITERATURE REVIEW
2.1 Introduction
The literature review is basically surveyed which is being conducted on the already
established or the published journals in regard to the specific topic. It will provide an insight
about the current knowledge which helps in effectively analysing along with identifying the
relevant theories and gaps in the existing study. The topic is bifurcated in different themes which
will cover all the important aspect of the topic.
2.2 Understanding the concept of social media in relation of buying decision
The social media is being used by the organizations for the purpose of creating brand
awareness among the consumers. According to Lim and et.al., (2017) social media helps in
enhancing and increasing the target audience base as this results into building a relationship with
the potential target segment along with the existing customers. Social media is advantageous to
the businesses as it has the tendency to impact the buying decisions. Through social media,
organizations promote their products and service which helps in drawing attention of the
consumers and this is largely possible because larger group of people are using social media sites
which prompts the business organizations in effectively meeting up with the changing needs of
the consumers. Ramanathan, Subramanian and Parrott (2017) stated that social media is the most
common way of promoting the products and there are large number of businesses making use of
this platform in order to promote its products and expand business. Thus, this might not draw the
attention of the audience and in order to be effective the management are required to come up
with the unique way to promote the products otherwise, it may not be able to grab the attention
of the consumers.
Along with this, through social media, the businesses can posts the various things or the
events about the organization which persuades the consumers in having a look at what new the
organization is coming up with and thus, creates a sense of excitement. As defined by Zhang and
et.al., (2017) consumers by the way of link provided or by commenting on the post helps in
gathering more information about the post. This consequently leads to making consumers change
their perspectives and resulting into affecting their buying decisions. Further stated by the author
that the impact of social media on buying decisions is not only in positive terms but also in the
negative aspects as well and both the sides should be taken care of before promoting the product
or services on this platform. Thus, social media sites is having huge impact on the consumers
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buying decisions which can be in favour of the business or in against the business depending
upon the way organization is making use of it otherwise, it is the most widely used platform for
promoting and expanding the business.
2.3 Ways by which social media affects the youth buying decisions
According to Kwahk and Kim (2017) more the buyers are now utilizing the social media
platforms than before. The consumers and especially the youth are more interested in looking for
the product or service reviews and the suitable recommendations. Thus, this results into making
it important for the businesses to have a prominent presence in the different social media sites.
Author also added that the latest trend in the marketing scenario is the introduction and excessive
usage of the social media. Social media is having an immense power to influence the decision-
making process of the consumers. There are mainly few ways through which the social media
influence the consumer behaviour. As emphasized by Safia, Chai, Frimpong and Akram (2019)
the first way is building of product awareness, as the social media is having a greater influence
over the consumers which they are attempting to build the awareness about the particular
product. When the people come across a problem they start looking for the solutions. Social
media is the way through which consumers can get an insight about the particular product or
service they are interested in. But on the other hand, some times it creates problem as the
consumers are really do not know which good or service will help in satisfying their needs or the
problems. Thus, if the business fails to have a prominent online brand presence then they might
miss out the opportunities available which can influence the youth and the other consumers
buying decisions.
Another way is the social proof which is considered to have a greater force over the
changing consumer buying decisions. As per Sheth (2018) social media has resulted into the
generation of the social proof pertaining to the existence of the business and the social proof has
emerged because of the tendency of the people to imitate the behaviour of the people
surrounding them or the people who are having influence on them. Through the way of sharing
the pictures and the comments of the happy customers helps in creating a more trust and also
works well on the sign-up page. In contrast to it, if the organization fails to highlight the events
and the activities of the organization then it might not be able to create a better image which will
negatively influence the consumer's buying decisions. Along with this, Duffett (2017) stated that
on social media sites organizations have created forums and the groups in which consumers join
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