Analyzing the Impact of Social Media Marketing on Buying Decisions

This report examines the impact of social media marketing on consumer buying behavior, with a specific focus on Proctor & Gamble. It begins with an introduction to social media marketing and its significance in today's fast-paced world, highlighting how it has revolutionized consumer behavior and the buying process. The study explores the background of the study, the research problem, and the rationale behind the investigation, emphasizing the need to understand the effects of social media on consumer decisions. The report delves into the concept of social media marketing, its importance, and the challenges faced by P&G. The methodology includes the research design, approach, and data collection methods, using both primary and secondary research to analyze the impact of social media on customer buying decisions. The report then presents data analysis, followed by recommendations and conclusions. The findings underscore the need for effective employee training to enhance productivity and gain a competitive edge in the market. The study aims to provide insights into how businesses can leverage social media platforms to influence consumer behavior and improve their market position.

Impact of social media
marketing on
consumer buying
decision

ABSTRACT
After the introduction of globalisation, internet and social media has gained an advantage
and also promoted E- commerce as a platform where buyers and sellers can meet globally. After
the innovation in social media platforms and development of awareness in customers there has
been a constant debate about various factors that are responsible for controlling the buying
decision of consumers in developing as well as developed countries. Main purpose of this study
is to assess the various social media platforms and their impact on buying decision of customers.
Maintaining and framing effective strategies helps Proctor and Gamble in achieving a
competitive edge over their competitors and rival firms in competitive market. Main aim of this
report is to analyse the impact of social media on buying behaviour of consumer in respect to
Proctor and Gamble.
Furthermore, various opportunities that are available for business concerns in competitive
market have been assessed here. For evaluation, qualitative type of research method has been
considered for data collection an d interpretation. Furthermore, a combination of both primary as
well as secondary data has been collected for evaluating and assessing aim and objectives.
Lastly, it is concluded that employees in P& G need to be trained effectively so that they can
help in growth of a business concern and enhancement of productivity level. By doing so,
company can achieve a competitive edge over other rival firms and increase their customer base
as well.

Table of Contents
ABSTRACT.....................................................................................................................................2
CHAPTER 1: INTRODUCTION....................................................................................................2
1.1 Introduction......................................................................................................................2
1.2 Background of the study...................................................................................................2
1.3 Background of the company.............................................................................................3
1.4 Research problem:............................................................................................................4
1.5 Rationale or worth of the study........................................................................................4
I.6 Research aims and objectives............................................................................................4
1.7 Research Questions..........................................................................................................5
1.8 Significance of the research..............................................................................................5
1.9 Chapter structure..............................................................................................................5
CHAPTER 2- LITERATURE REVIEW.........................................................................................8
2.1 Concept of social media marketing..................................................................................8
2.2 To determine the impact of social media marketing on customer buying decision.......10
2.3 The importance of social media marketing....................................................................12
2.4 The major challenges of social media marketing faced by Procter and Gamble...........14
CHAPTER 3- RESEARCH METHODOLOGY...........................................................................17
3.1 Research design..............................................................................................................17

3.2 Research approach..........................................................................................................18
3.3 Research philosophy.......................................................................................................18
3.4 Data collection method...................................................................................................19
3.5 Sampling method............................................................................................................19
3.6 Ethical issues..................................................................................................................20
3.7 Validity and reliability....................................................................................................21
3.8 Data analysis...................................................................................................................21
3.9 Accessibility issues.........................................................................................................22
3.10 Research strategy..........................................................................................................22
CHAPTER 4: DATA ANALYSIS................................................................................................24
4.1 Data Interpretation on the basis of primary research......................................................25
4.2 Data Interpretation on the basis of secondary research..................................................13
CHAPTER 5: RECOMMENDATION AND CONCLUSION.....................................................16
5.1 Conclusion......................................................................................................................16
5.1 Recommendation............................................................................................................17
REFERENCES..............................................................................................................................20
APPENDIX....................................................................................................................................22

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CHAPTER 1: INTRODUCTION
1.1 Introduction
Social media marketing is a quite vast concept in today's fast growing world. It has
gained pace since the last decade after social media became more popular among people . This
type of marketing discipline is an advantage as it provides ample of space to both consumers and
business entities for maintaining effectiveness while building relationships. Consumer behaviour
on the other hand refers to an art that deals with various activities that are somehow connected to
purchase and sale of goods and services (John Wiley & Sons.Felix, Rauschnabel and Hinsch,
2017). This buying and selling process can be both online as well as offline. This research is
basically undertaken for assessing the impact that social media has put on consumer's buying
decision in case of “ Proctor and Gamble”.
In today's scenario, technology and use of internet has made doing business a quite faster
process. By the use of social media people from all over the world are able to communicate with
each other and share their thoughts and ideas. One key impact of social media and technological
advancement on consumer's buying decision is that it that behaviour of consumers has changed
completely. They have become more aware about the products and services that are being
provided in the market. In addition to this, it can also be said that social media plays a significant
role in attracting customers towards a product or influencing consumer behaviour. It acts as a
main source by which people all over the world have become more aware about the products and
current markets trends or situations. On the other hand, change in consumer behaviour has
resulted in frequent shift in demand and switching of products.
Customer are well aware about different goods. The increase in knowledge has allowed
them to make effective and profitable decisions. By communicating with friends and relatives,
consumer grabs knowledge about different things. Thus, by analysing them, they take proper
decisions. In coming years' technology will play a significant role in providing information about
products and services to people. It will allow them to share it quickly with others. The use of
social media will make them aware about different goods. It will also help in gaining knowledge.
1.2 Background of the study
Social media is the most preferred platform in today's world that creates a sense of
awareness in people. Technological advancement on the other hand refers to developing
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applications and software which helps in providing information to individuals worldwide. One
major example that can be considered here is E- commerce which has come into existence after
introduction of new technological advancements. By this, consumers are able to differentiate
between different products which one is best suitable for them. Social media advancement also
affects the product switching behaviour of customers (Scott, 2015). This research has been based
on Proctor and Gamble which is a business concern in consumable goods industry. As per this
research, it has been assessed that managers of P& G need to identify issues which influence
buying decision of customers and resolve them in an effective manner. This will further help
them in gaining a competitive edge over their rival firms.
Buying behaviour of customers is greatly affected by a significant rise tin their awareness
and knowledge level. Nowadays customers have become well aware about technological
advancements and they communicate with each other through social media platforms for getting
information and data in a more detailed manner. Also, companies provide offers on products in
order to attract them. Moreover, it has been noticed that there are various factors that affect or
influence behaviour of consumers in global market. These factors are personal, social as well as
psychological behaviour of an individual.
1.3 Background of the company
The Procter and Gamble Company (P&G) had initiated as an American multinational
business concern that deals in consumer goods corporation which has its headquarters in
Downtown Cincinnati in Ohio. It was founded in the year 1837 by British American William
Procter and Irish American James Gamble. This business concern specialises in a wide range of
products ( personal health/ consumer health/ personal and hygiene products) These products are
further classified into various segments such as beauty, grooming, health care, personal care etc.
In 2014, P& G recorded a sale of $ 83.1 billions and announced streamlining of a business
concern in the same same year on August 1. As per the words of previous chairman of P&G, Mr.
A.G. Lafley , the future of P& G was expected to be much simpler thereby making it lesser
complex business concern with leading brands that are easier to operate and work with. The
current chairman of Procter and Gamble is Mr. David Taylor, who also believes the same
ideology.
Managers of P&G provide training to their already existing workers soi that they can
comfortably work with new and innovative technology. This helps in fostering growth of the
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company and also leads to customer satisfaction. In context of younger employees, they are
active and quick in adopting new technology which further saves time. It also reduces costs of
production due to which company can earn higher benefits.
1.4 Research problem:
In the present context, advancement and innovation in technology has created a number
of issues. Due to this advancement, business concerns nowadays have to keep themselves
updated with the technology and infuse great amount of money into it. Due to this they are not
able to maintain their production cycle intact which further hampers their productivity. Another
major issue is that customers are getting influenced by other innovative products by the use of
social media. Hence, the business is facing difficulty in retaining their customer base.
1.5 Rationale or worth of the study
As per many studies that are done social media is considered as a major marketing tool
that aims towards enhancement of marketing communication. But even then lesser attention has
been paid to identification of ways in which firms can benefit from this scenario. Hence, to lower
the gap and assess the opportunities available for social media in Canadian region researcher has
decided to conduct a study. Moreover, the main reason due to which this topic was chosen is
personal interest of researcher in social media. A significant reason behind getting this research
conducted is identification of factors which have major impact on consumer behaviour. Also,
this research throws light on the various technological tools and methods that are used by
consumers for raising their knowledge base (Tuten and Solomon, 2017). In addition to this, it
also helps in doing evaluation regarding social media and the impact it has put on consumer
behaviour. Lastly, it will also help in understanding the changing scenario in decision making
process of buyers with the introduction of information technology.
I.6 Research aims and objectives
Research aim: “To assess the impact of social media on consumer buying behaviour. A case
study on Procter and Gamble”
Objectives: The objectives of the study have been stated as under:
 To evaluate the concept of social media marketing.
 To determine the importance of social media marketing.
 To analyse the impact of social media marketing on customer buying decision.
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 To evaluate the major challenges of social media marketing faced by P&G.
1.7 Research Questions
Various questions that researcher can consider in context of this research have been stated as
under:
 What is the concept of social media marketing?
 How to determine the importance of social media marketing?
 How will social media marketing lay an impact on customer buying decision?
 What are the major challenges of social media marketing that are being faced by P&G?
1.8 Significance of the research
In the present context, research is done to put an emphasis on impact that social media
has laid on buying decision of consumers in Canada. This study can be used as an example for
entire consumer goods sector as it throws light on how effective is social media and its various
platforms in raising demands and knowledge of customers. Also, after the arrival of new
technology, adopting cost effective tools and techniques that help in faster production of goods
and services has become possible. Also, managers of Procter and Gamble will be able to infuse
training programmes for their employees which will further lead to an increase in the flow of
production. By involving new technology, consumer demands will be easily accessible to the
company. After knowing the demands of customers, management will try to reduce their cost of
production and make products that gain high value in competitive market. Also, by critically
evaluating all these factors, appropriate strategies can be formed that will further help in
employee satisfaction and retention (Gunawan and Huarng, 2015). Therefore, current
dissertation will assist the business unit to improve their present position and speed up in the
flow of production.
Apart from this, current dissertation will be helpful from consumer's point of view as it
ensures inclusion large amount of data about consumer's buying behaviour with regard to impact
of training on productivity and growth of company. This will prove to be effective for other
scholars to conduct the similar type of study and draw valid outcome from the same. It will
provide valuable outcomes to apply the study in other related areas like retail industry.
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1.9 Chapter structure
Chapter structure is a defining term that states various components that are a part of the
dissertation project in a chronological order. In the present context, chapter structure and the
research work done should be conducted in an appropriate format. Chapter structure is different
for different researches and needs to be presented in an appropriate and formal way. In the
present context, researcher will have the follow the structure as stated beneath:
Chapter 1: Introduction
Introduction is the basic overview of the entire report in a summed up way. In present
context, research project will begin with introduction as its first chapter where basic information
will; be provided regarding the project and company. Furthermore, this section also deals with
aims and objectives that have to be achieved while completing the research. It is the initial step
where the research actually begins. It entails the purpose behind conducting a research with its
overview and description of company, on which it is based. Furthermore, this initial part of a
dissertation describes the most important part i.e. topic of investigation. In this regard, aims and
objectives are defined on respective research. It indicates researchers on which topic they have to
investigate and in what manner, problems should be analysed to achieve mentioned goals.
Chapter 2: Literature review
This is usually the second chapter that falls after introduction. This chapter provides
essential and basic data and information regarding consumer buying behaviour and impact of
social media as well. It infuses data form a number of books, journals and other relative
materials. Also, this section acts a strong base for the entire report and helps in achieving aims
and objectives within a specified time frame. Under this part, researched reviews various articles,
books and articles of some professionals and experts, who have already conducted a research on
same topic (Ashley and Tuten, 2015). This would help in analysing their perception and gather
relevant information to address mentioned issues or objectives of research.
Chapter 3: Research Methodology
Research methodology happens to be the third segment of the research project and is
usually placed after the literature review is done. Here, a combination of various tools and
techniques are used that help in collection and analysis of data for generating a valid and
effective outcome of the research. It includes research approaches, philosophy, data gathering
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methods, qualitative and quantitative techniques, strategy, ethical consideration and more. These
methods help in conducting an investigation in more specific and precise manner.
Chapter 4: Data Analysis
Data analysis forms the most important part of the report. In this part, the data and
information that has been collected is analysed with the help of research questions as well as
objectives. Furthermore, it also provides a detailed information about the findings. This part is
quite important for researchers also as it helps them in presenting the results and outcomes in a
formal way. By doing so, readers are also able to understand the nature of the study. Under this
chapter, critical analysis of information which is gathered through primary and secondary
research has been done. This would help in analysing what data has been gathered and what it
entails. Through this process, researchers can obtain desired conclusion in prescribed way.
Chapter 5: Conclusion and Recommendations
This is the last chapter of the research where entire project is summed up. In present
context, conclusion is drawn after careful evaluation of the aims and objectives that have been
mentioned in the study. In addition to this, recommendations are also provided in this section so
that improvement can be made in current business concern by taking help form developing scope
learning for employees in an organisation.
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CHAPTER 2- LITERATURE REVIEW
This part of research can be described as the most crucial part which helps in providing a
theoretical description of overall research project. A literature review is both a summary and
explanation of the completed and current state of knowledge on a specified area of study with the
help of academic books and journals. This section of research is mainly based on secondary
source of data collection as in the research project data has been gathered through books and
journals. This section plays effective role in analysing the issue of research in theoretical form
which helps the investigator in finalising the actual outcome and result. The literature is
published on part of researchers and scholars which provides a brief overview related to field of
the study. In this, researcher needs to conduct an in-depth review of information published by
way of secondary sources, as it is important to analyse the previous literatures with the similar
area of study and information extracted through secondary sources. The review of previous
literature plays vast role in accumulating appropriate result and outcome, and helps in conducting
analysis from all the relevant features (Aichner and Jacob, 2015). The research into
consideration is based on employee motivation which consist to be an essential aspect of firm as
it is the major responsibility of organisation or its higher authority to encourage their employees
in order to attaining desired goals and objectives in effective manner. This part provides a clear
description about the research issue in the form of theory. Moreover, the outcomes derived in
previous studies is analysed so as to identify literature gap. An in-depth analysis of theories and
literature published in past is conducted through this section.
2.1 Concept of social media marketing
According to the views of Leung (2015), it can be stated that the concept of social media
marketing has invented in last 10 years and had played a crucial role in marketing of any
product. For understanding the concept of social media marketing, it is necessary to understand
that what is Social media. Social media can be considered as a virtual platform, which have their
physical applications installed on the system. This is used to share information and data with all
the world, for performing all these operations a high speed internet connectivity is required.
Social media is a collective media of channels which includes sharing of information,
community, interaction of peoples with each other (GalbRaith, 2014). Social media not only
allow this, but it also give permission to business organizations to share the details about their
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