Impact of Social Media on Consumers' Purchasing Behaviour: Case Study of Nike, Australia

This research proposal evaluates the impact of social media on consumers' purchasing behaviour with a case study of Nike in Australia. The study identifies the research problem, research questions, objectives, and hypothesis. It also includes a literature review, research methodology, data gathering and analysis methods, ethical considerations, limitations, and timeline.

Running head: APPROACH TO RESEARCH
Approach to Research
Name of the Student
Name of the University
Author’s Note

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Abstract
Social media impact on consumers’ purchasing behaviour is the primary concern of this reserach
proposal. Nike is selected for conducting effective case study based on which the entire data will
be evaluated. In the very introduction part, the topic of the research is identified along with
evaluating the rationale of research topic. The second chapter is about analyzing the research
problem. In this specific part, detailed literature review is conducted by incorporating the opinion
of numerous eminent scholars. The third chapter is all about discussing the appropriate
methodological tools that would be used for gathering data and information. This very specific
study will choose appropriate research philosophy, research approach and research design. While
collecting data the researcher would like to use primary data collection technique for getting
immediate response of the participants.

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Table of Contents
1. Introduction:................................................................................................................................3
1.1 Problem statement:....................................................................................................................3
1.2 Research questions:...................................................................................................................4
1.3 Research objectives:..................................................................................................................4
1.4 Hypothesis:................................................................................................................................4
1.5 Overview of the methodology:..................................................................................................5
1.6 Outline of the research plan:......................................................................................................5
2. Research problem and its significance (literature review)..........................................................6
3. Research methodology...............................................................................................................12
4. Data gathering and data analysis methods:................................................................................14
5. Ethical consideration:................................................................................................................16
6. Limitation of the study:.............................................................................................................16
7. Time-line:..................................................................................................................................17
8. Conclusion.................................................................................................................................18
References:....................................................................................................................................19

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Topic: Impact of social media channels in enhancing consumers’ purchasing behaviour,
Case Study of Nike, Australia
1. Introduction:
After evaluating statistical data of last five years, it is observed that the emergence of
social media has left immense positive impact on the overall business success. Especially in the
retail industry, the business experts have firmly concentrated on using social media channels
while creating their brand awareness. Nike is considered as one of the most popular international
brands occupying recognizable place in manufacturing and designing sports apparel. In last five
years, the business experts of Nike have decided to use popularity of social media while
promoting their brand identity. They have received immense positive response from the global
customers. After occupying media channels Nike has currently captured US$ 72.07 stock price
in current business scenario. Breaking 2, one of the most ambitious campaigns initiated by Nike
was introduced on the social media pages (nike.com, 2018). This particular page got 11K shares
along with innumerable positive comments. After initiating their e-commerce method Nike has
received 15,059,105 followers in their social media pages. Therefore, large number of
researchers and practitioners has raised their serious concern on evaluating the importance of
social media for influencing the consumers’ behaviour (nike.com, 2018).
1.1 Problem statement:
As per statistical data, it is observed that around 700 million of people are the monthly
viewers of Instagram pages of Nike. This particular data signifies the fact the emergence of
social media is successfully able to introduce the brand in the international market. In this kind

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of situation, the number of target customers of Nike has immensely increased. Therefore, this
particular research issue has been identified in quest of collecting effective data and information
on how social media channels have left immense positive impact in order to expanding the entire
business process in the global market (Abed, Dwivedi and Williams, 2015).
1.2 Research questions:
 What is the impact of social media networks in influencing purchasing behaviour of
customers
 What are the factors that prevents the organizations in using social media channels as a way
of platform
 What should be the major recommendation for overcoming the barriers of implementing
social media channels for promoting the brands
1.3 Research objectives:
 To evaluate the impact of social media networks in influencing purchasing behaviour of
customers
 To critically understand the factors that prevents the organizations in using social media
channels as a way of platform
 To provide major recommendation on how to overcome the barriers of implementing social
media channels for promoting the brands
1.4 Hypothesis:
H0: Social media channels have no significant impact on consumers’ purchasing behaviour
H1: Social media channels have significant impact on consumers’ purchasing behaviour

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1.5 Overview of the methodology:
The methodology part will focus to give detailed overview on how different tools of
research method are effective in acquiring in-depth knowledge on the identified research issue.
This very specific study will choose appropriate research philosophy, research approach and
research design. While collecting data the researcher would like to use primary data collection
technique for getting immediate response of the participants. As a statistical tool of data analysis,
the researcher would like to choose central tendency method. With the help of central tendency
method the percentage of the respondents will be presented in graphical presentation to get
instant overview about the result of the research paper.
1.6 Outline of the research plan:
This particular research plan is constituted with three important chapters. In the very
introduction part, the topic of the research is identified along with evaluating the rationale of
research topic. After identifying the issue the introduction part has set three major research
objectives based on which the entire process of work will be conducted. The second chapter is
about analyzing the research problem. In this specific part, detailed literature review is conducted
by incorporating the opinion of numerous eminent scholars. The third chapter is all about
discussing the appropriate methodological tools that would be used for gathering data and
information. The types of data collection techniques and data analysis procedure would also b
evaluated in this very specific study. At the end of three chapters the study will discuss different
aspects of ethical considerations along with finding out the limitation of this study.

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2. Research problem and its significance (literature review)
The research problem that is identified in this very specific study includes the impact of
social media channels in enhancing consumers’ purchasing behaviour. In quest of evaluating the
study the researcher has identified three major objectives based on which research problem is
evaluated from various perspectives. While evaluating the research issue several literatures of
mot of the eminent scholars will be critically analyzed in this part.
Use of social media among most of the popular brands (comparative analysis)
Brettel et al. (2015) opined that after the emergence of new media in the global business
scenario, most of the organizational experts prefer to choose social media network channels. The
primary target of using social media network is to introduce the brands in global sphere so that
people belonging to other cultural backgrounds and attitudes can access the brand. In evaluating
the history of retail market industry of last five years, it can be observed that most of the
recognizable brands have achieved international image and reputation by using social media
platforms. Brinkmann (2014) commented that with the help of using innovative campaign
strategies in social media pages, they have grabbed the attention of international customers. For
an example, Nike has already placed prestigious and recognizable place in the realm of
Facebook, Instagram, Youtube and other social media channels. In last five years, the business
experts of Nike have decided to use popularity of social media while promoting their brand
identity. Large number of researchers and practitioners has raised their serious concern on
evaluating the importance of social media for influencing the consumers’ behaviour. This
particular brand is recognized as the second most visible brands in social media pages.

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Figure: Nike stands as second top-most brands as the most visible brands of social media
(Source: nike.com, 2018)
Apart from Nike, Adidas is also very popular among retail brands in front of social media
customers. This particular organization has received 14,577,076 facebook followers in last year.
Adidas in current market scenario is known for the most pictured brands as per global scenario
after sharing 81,837 images.

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Figure: Most pictured brands posed on Instagram
(Source: Dinner et al., 2014)
After Nike and Adidas, Puma has become recognized as third popular brands in the page
of social media. Fernie and Sparks (2014) stated that the business experts associated with this
organization prefers to introduce their brands in social media pages. In addition, most of the
promotional campaigns organized by Puma is related to social media pages. The target customers
become source of promotional tools as the share the posts and new updates on their personal
pages. Therefore, the brand has already gained immense reputation and image amongst the mind
of global customers.
Figure: The recognizable brands and their social media presence
(Source: Gaber & Wright, 2014)
Impact of social media on consumers purchasing behaviour:

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Horská (2014) stated that social media has immense positive impact in influencing
consumers purchasing behaviour. As per the current business scenario, millions of people are
using social media after being accustomed with the advancement of technology. People
belonging to various geographical backgrounds can access social media channels and get
necessary updates regarding the new agendas, their plans and services. The primary target of
using social media network is to introduce the brands in global sphere so that people belonging
to other cultural backgrounds and attitudes can access the brand.
Figure: Social media users in terms of age group
(Source: Jamshed, 2014)
It is however observed that 84% of the social media users belong to the group of 18 to 29
due to which the business experts have to be very much focused in fulfilling the needs and
demands of this age group of people. It is however undeniable that the traditional media platform
is effective enough in transmitting the messages amidst specific regional boundary. As a result,

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traditional media platform is not very effective expanding the entire process of business beyond
going regional boundaries. However, social media can gain the attention of global people who
belong to different geographical boundaries and attitudes. It can easily grab the attention of
people belonging to various cultural backgrounds and attitudes. Kim et al., (2015) numerous
multinational companies are there which can initiate their traditional business stores as well as
ecommerce stores. It has been observed that most of the service users prefer to access the
services by using online service methods. However, the social media use is highly criticized by
numerous eminent scholars. As per the point of views of some of the most eminent scholars,
using social media is highly flexible for young generation only. Konya, Cihan and Bayrak (2017)
opined that people belonging to medium age group may not be well accustomed with the
advancement of technology. As a result, they are not well aware about the news brands, which
are posted on social media pages.
Factors affecting in using effective social media networks:
The primary factors that highly affects in using social media networks on behalf of the
business experts include technological incompetency. Horská (2014) commented that large
numbers of employees are there associated with operations who are not well accustomed in
operating advanced technology. In this kind of situation, the business experts have to face
challenges in collecting customers’ reviews in a regular process. In addition, the customers get
deprived of receiving effective feedback from the service providers. Consequently, they tend to
show their reluctant attitude in using the services from organization. Social media is influencing
purchasing behaviour of the customers in a true sense.

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At the same time, it is also undeniable that most of the social media viewers are from
young generation. Therefore, the business experts have to face immense challenges in gaining
organizational image and reputation. Jamshed (2014) stated that their numbers of target
customers were becoming restricted within specific age group of people. In addition, the people
are very much aware of the fact that only specific group of people cannot expand the brand in the
international sphere. Therefore, it can be concluded that social media channels have several
negative roles in influencing customers’ behaviour due to which large number of business
organization intends to depend on social media pages only. At the same time, Fernie and Sparks
(2014) has provided different opinion by emphasizing the fact that people in general are
becoming updated and advanced with the gradual flow of time. In this kind of situation, the
business organizations should provide effective training on technological skills and competency
so that the employees do not have to face challenges in operating advanced technology.
Automatically, those organizations would not hesitate in implementing their promotional
methods on social media channels and grab the attention of international customers by going
beyond regional background.
After evaluating the overall research problem from eminent scholars it is however
summarized that, the primary target of using social media network is to introduce the brands in
global sphere so that people belonging to other cultural backgrounds and attitudes can access the
brand. Large number of researchers and practitioners has raised their serious concern on
evaluating the importance of social media for influencing the consumers’ behaviour. Brinkmann
(2014) opined that people belonging to various geographical backgrounds can access social
media channels and get necessary updates regarding the new agendas, their plans and services.
As per the point of views of some of the most eminent scholars, using social media is highly

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flexible for young generation only. It is also undeniable that most of the social media viewers are
from young generation. Fernie and Sparks (2014) commented that the business experts have to
face immense challenges in gaining organizational image and reputation. In order to overcome
barrier of social media the business organizations should provide effective training on
technological skills and competency so that the employees do not have to face challenges in
operating advanced technology. Automatically, the customers are going to receive effective
feedback within proper stipulated time.
3. Research methodology
Introduction
The methodology chapter describes the systematic process of the research project. Using
the appropriate research structure and relevant ideas related to the topic the researcher will
introduce methods for conducting the research (Levy & Lemeshow, 2013). In this study,
appropriate methodological tools will be used for evaluating collected data and information.
Research philosophy
Research philosophy is being considered as belief, depending on which the needs of the
research is being developed. Nature of the research is being analysed depending on research
philosophy (Novikov & Novikov, 2013). Research philosophy can be classified into three types
such as interpretivism, positivism and realism. In the other words, the research philosophy can be
classified into two aspects such as epistemology and ontology. In case on ontology, the
researcher develops the research depending on real situation, where in epistemology, research is
being developed depending on previous knowledge (Zikmund et al. 2013). Dealing with the
management and business activities, the interpretivism philosophy is needed. In order to examine

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the research problem, positivism is being followed. Realism is being considered as mixed
approach, where positivism and interpretivism both are being followed.
Justification for chosen research philosophy
In order to conduct thee research, the researcher will chose positivism research
philosophy. By cross-checking the research information, positivism helps to reach at the ultimate
problem. Using the positive research philosophy, it will be easier for the researcher to develop
the research in more critical manner. This positivism approach can help to critically analyse the
topic.
Research approach
Research approach can be classified into two types such as inductive and deductive.
Depending on the existing theories and models, the deductive research approach is being
developed (Mary Converse, 2012). On the other hand, in case of inductive research approach,
new theories and model are being developed.
Justification for chosen research approach
In this research, deductive research approach will be followed by the researcher.
Depending on the existing theories and models it will be easier for the researcher to analyse the
impact of social media in terms of enhancing the purchasing behaviour of the customers.
Research design
Research design is very important for defining research purpose in proper manner. There
are three types of research design, such as descriptive, explanatory and exploratory research
design (Coleman, 2013). Using an appropriate research design, accurate structure for the

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research project can be developed. Exploratory design is a long term process and in case of
explanatory research design, different ideas related to the research topic are being discussed
(Wahyuni, 2012). In case of descriptive research design, the entire research is being conducted
with better explanation. Hence, it can be said that in the descriptive research design, can help
thee researcher to achieve the research objective in detail manner.
Justification for chosen research design
In order to conduct the research, the descriptive research design will be followed by the
researcher. By choosing this research design, it will be easier for the researcher to reach to the
ultimate goal with details information.
4. Data gathering and data analysis methods:
Data collection
Primary and secondary are the two types of data sources. In case of primary data, the
information is being collected by the researcher directly from the participants through survey and
interview method. In case of primary data, the unpublished sources are being used for collecting
the data (Håkansson, 2013). On the other hand, in case of secondary data, the information are
being collected from the published sources. Different types of secondary data is being collected
from published journals, articles and official websites. On the other hand, in case of collecting
the statistical information authorized sources are being used.
Sample size
In order to conduct the research, both the primary data sources will be used. Colleting the
information from primary sources, both the interview and survey method will be followed by the

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researcher. Using the probability sampling technique a survey will be conducted on 100
customers of Nike and the researcher will use a questionnaire with 15 numbers of questions. On
the other hand, the interview will be conducted with 3 managers of Nike.
Data analysis
There are two types of data analysis techniques such as qualitative and quantitative. In
the quantitative data analysis, numerical information are being collected. On the other hand, in
case of qualitative data analysis, the information are being collected in descripted manner. In
order to conduct the research, both the qualitative and quantitative data analysis techniques will
be followed. Using quantitative method survey will be conducted and using the qualitative
method, interview will be conducted.
Summary
The research methodology chapter has discussed about data collection method, data
analysis techniques and research philosophies that will be used for the research (van Wyk, 2012).
Using the appropriate research structure and relevant ideas related to the topic the researcher will
introduce methods for conducting the research. Research philosophy can be classified into three
types such as interpretivism, positivism and realism. In the other words, the research philosophy
can be classified into two aspects such as epistemology and ontology. Research approach can be
classified into two types such as inductive and deductive. Depending on the existing theories and
models, the deductive research approach is being developed. Depending on the existing theories
and models it will be easier for the researcher to analyse the impact of social media in terms of
enhancing the purchasing behaviour of the customers.

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Using an appropriate research design, accurate structure for the research project can be
developed. Exploratory design is a long term process and in case of explanatory research design,
different ideas related to the research topic are being discussed. Primary and secondary are the
two types of data sources. In case of primary data, the information is being collected by the
researcher directly from the participants through survey and interview method. On the other
hand, in case of qualitative data analysis, the information are being collected in descriptive
manner. It is very important to maintain the authenticity and confidentiality of the research.
Hence, the researcher will maintain the confidentiality of the participants and none of the
participants will be forced to involve in the research project.
5. Ethical consideration:
Data protection Act 1998, is very important to be followed by the researcher in order to
maintain the authenticity of a research project. It is very important to maintain the authenticity
and confidentiality of the research (Tracy, 2012). Hence, the researcher will maintain the
confidentiality of the participants and none of the participants will be forced to involve in the
research project. The researcher will not copy the information from any journals or articles.
Proper in-texting will be done by the researcher in terms of using information from others
sources (Collis & Hussey, 2013). None of the information will be leaked by thee researcher and
the research project will be used only for the academic purpose. Any kind of company logo will
not be used in the survey paper.
6. Limitation of the study:
It can be assumed that budget and time can be the major limitations for the research
project (Collis & Hussey, 2013). The researcher will get only 12 months for conducting the

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entire research, which is very less for this project. On the other hand, for making the research
project more effective the researcher will need strong financial support, which can be the major
barrier for the researcher.
7. Time-line:
Main activities/ stages 1st-2nd
Week
3rd- 4th
Week
5th- 6th
Week
7th-8th
Week
9th- 10th
Week
11th- 12th
Week
Topic Selection
Data collection from
secondary sources
Framing layout of the research
Literature review
Formation of the research
Plan
Selection of the Appropriate
Research Techniques
Primary data collection
Analysis & Interpretation of
Data Collection
Conclusion of the Study
Formation of Rough Draft
Submission of Final Work

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Table: Time frame the Research Plan
(Source: As Created by the author)
8. Conclusion
This specific research plan has evaluated appropriate data and information regarding the
impact of social media channels in consumers’ purchasing behaviour. Detailed case study is
conducted on Nike, the top most social media popular retail brand. In last five years, the business
experts of Nike have decided to use popularity of social media while promoting their brand
identity. Large number of researchers and practitioners has raised their serious concern on
evaluating the importance of social media for influencing the consumers’ behaviour. The number
of target customers of Nike has immensely increased. Therefore, this particular research issue
has been identified in quest of collecting effective data and information on how social media
channels have left immense positive impact in order to expanding the entire business process in
the global market. The study aims to evaluate the impact of social media networks in influencing
purchasing behaviour of customers. With the help of using innovative campaign strategies in
social media pages, they have grabbed the attention of international customers.
It is however undeniable that the traditional media platform is effective enough in
transmitting the messages amidst specific regional boundary. As a result, traditional media
platform is not very effective expanding the entire process of business beyond going regional
boundaries. The primary factors that highly affects in using social media networks on behalf of
the business experts include technological incompetency. In this study, appropriate
methodological tools will be used for evaluating collected data and information. As per ethical
consideration, the researcher will maintain the confidentiality of the participants and none of the

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participants will be forced to involve in the research project. The researcher will not copy the
information from any journals or articles.

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APPROACH TO RESEARCH
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