The Influence of Social Media Marketing on Retail Sales Performance

This research project investigates the significant role of social media marketing in the retail sector, focusing on its impact on sales performance. It explores how companies can connect with customers, share information, and increase profitability. The report analyzes the influence of social media marketing on the sales presentation of the retail sector, with a specific focus on Stefanel UK, a prominent online shopping organization. The study examines the research aim, objectives, and a comprehensive literature review to understand the concept of social media in retail, analyze its role in increasing sales, and assess various social media tools and techniques. The methodology includes sampling, data collection using questionnaires, and qualitative data analysis to assess the impact of social media marketing. The report also covers the tools and techniques adopted by Stefanel. The report concludes with the findings, analysis, and recommendations to improve sales through social media campaigns.

RESEARCH PROJECT
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INTRODUCTION
In the present era, the use of internet is growing in very fastest way because every company
desired the frequent sales and profitability from the market. In order to increase sales and connect with
customer, social media marketing play a very crucial role. It is a platform through which any company
can directly connect with customer and share the information related to product and services. The
following research project is going to define the significance of social media marketing in the retail
sector because it is a field where marketer can get touch with customer and earn maximum profitability
by deliver product and services. In addition to this, this report has explained the influence of the
mentioned aspect on sales presentation of retail sector and analyze the role of social media marketing in
increasing sales with the respect of Stefanel UK company. This is one of the famous online shopping
organization in the UK which have major objective is to deliver high quality of product to its customer
and gain high market share and profitability. It delivers high quality women and men clothing in order to
gain effective profitability.
1.1 Research Aim
Research Aim
To study the impact of social media marketing on sales performance of retail sector
1.2 Objectives
Objectives
 To understand the concept of social media in retail sector
 To analyze the role of social media marketing in increasing sales
 To assess various tools and techniques of social media adopted by Stefanel.
 To recommend the ways that can aid in improving sales through social media campaign.
2.0
Literature Review
To understand the concept of social media in retail sector
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According to the view of (Sigala, Marianna, Christou and Gretzel, 2012) social media
marketing is a process under which company use the various platform of social media like face book,
twitter, instagram etc in order to promote and sale its product and services in the market. In other word
it can be said that social media marketing is a platform through which company can directly get touch
with customers and render information about product and services. With assistance of various channels
company can gain the feedback of customer related to commodity. In addition to this, corporation can
easily gain attraction of customer at a single platform. (Xiang, Zheng and Gretzel, 2010). The major
advantage of social media marketing is that company can easily identify the actual needs and wants of
customer regarding existing product and services. Furthermore, company can estimate the complaints
of customer regarding product and services and make important improvement in order to enhance
goodwill. As per the view of (Safko and Lon, 2010) social media marketing is a medium through which
business enterprise can promote its product and services in front of large audience and also get the
review of them related to existing performance of business.(Weinberg and Tamar, 2009 stated that
social media marketing is a medium between customer and company through which both of them
transfer or exchange their information related to product and services. It assist in increasing the
numbers of customer because by this source large number of customer can able to view company's
information and get easily touch with company.
According to the view of (Thevenot and Guillaume, 2007) in the retail sector social media marketing
play a very crucial role because in this sector company required instant sales and profitability by deliver
high quality goods and services in the market. For this sector, social media is very essential and helpful
platform because by this, company can easily announce the information or message about product and
services to the large number of audience at a one time. With the help of social media , corporation can
easily deliver the information like product features, prices, quality etc. to end users in the market. It can
be said that in the retail sector social media play a very important role because company can increase its
sales and profitability by get touch with customer and also get the feedback from them related to
product and services. As per the view of (Safko and Lon, 2010) in the retail sector, social media
marketing aids in increasing sales by enhancing popularity of organization in the market.
To analyze the role of social media marketing in increasing sales
As per the above discussion it has been ascertained that social media marketing plays a very
crucial role in the retail sector through which retail outlet can get touch with end user and also get
feedback related to existing performance and product and services in the market. The major role of
social media marketing is to expand the sales of product and services in the market by deliver the right
information to customer. With the help of social media marketing, company can directly connect with
customer and identify the actual demand and requirement of customer. With the help of estimation the
demand and requirement of customer of existing product and services, company can improve its
performance in the market. With assistance of social medial platform like face book, instagram, twitter
corporation can directly connect with customer and identify their review and feedback about
commodities and services. After knowing customer taste and review about product, company can
improve its performance and quality of product and services. This will assist in fulfilling customer
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demand and requirement about products and enhancing company’s sales and profitability. So its can be
said that social media marketing assist the retail outlet in enhancing sales and profitability in the market.
As per the view of (Hudson, Simon, and Thal, 2013) another major role of social media marketing in
the retail sector is that it aid in attracting the large number of customer at a single time. Furthermore,
with assistance of social media marketing, company can announce the information about product
features, quality, price etc at a single time to large number of audience on the social media platform like
face book etc. So that customer can influence to purchase the product and services of company because
it is promoted by the very famous channels. So it can be said that social media marketing assist company
in enhancing the sales and profitability by attracting the large number of customer at social media
platform.
To assess various tools and techniques of social media adopted by Stefanel.
As per the above discussion it has been ascertained thatin the retail sector social media
marketing play a very crucial role through which corporation can easily enhance the sales and
profitability by connecting with customer and identifying their reviews and feedback related to product
and services. In the Stefanal company there are various tools and techniques of social media marketing
can be used. As per the (Hudson, Simon, and Thal, 2013) view Brand management is an effective tool
through which company can acquire large number of attention at the web page. Under this technique,
company create and maintain a blog on web page. This assist in engaging customer on the internet. It is
a kind of web site where customer can share their interest and provide feedback related to product and
services. This aid in increasing the relationship with customer and gain their attention toward product
and services. This is effective technique because fully utilize the social part of social media. With the
help of this techniques, cited firm can easily get touch with customer and identify their feedback and
requirement related to existing product and services. As per the view of () social media targeting is
another essential technique through which company can find customers on various platform of social
media like twitter, instagram etc. Under this technique, company can influence customer for twite their
webpage. In addition to this, customer can also post their comment and interest on the webpage of
corporation. This assist company in increasing the goodwill at the social media platform and acquire
large attraction of customer toward product and services. Social media targeting is probably the most
direct way of social media marketing. As per the view of () another essential tool of social media
marketing is marketing gamification under which company can create its own web page on the internet
along with various viral video, hosting a competition and creating a novel sites. This assist in gaining the
interest of customer toward product and services. This is way through which company indirectly
promote its brand in the market and acquire customer interest.
3.0
3.1 Sampling
Samples- Sampling is a process under which investigator have to select numbers of participant
or respondent among the various. In other word it can be said that sampling is a process which is used in
statistical analysis in which a predetermined number of observation are taken from a larger population.
In the following project report, in order to overcome the biasness problem in the process of
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investigation, investor will use the random number of sampling. In this manner, researcher will provide
equal chance to the respondent to select as a sample for primary investifgation. In the present research,
20 managers of Stefanel company based in UK have been selected as respondents which is a sample size
in this project. For this purpose, a questionnaire has been prepared in which some relevant questions
regarding role of social media and its impact on performance of sales have been included. Representing
a large scaled population by a narrow one is a better approach as per the process of sampling. The scope
of study which is so broad can be compacted with the help of sampling. There are two methods which
can be used of the sampling in any research which are probabilistic and non probabilistic. In sampling
the fixed number of candidates are analyzed on the basis of their responses
3.2 Data collection method
Data collection- Data collection is a process under which investigator will collect or gather
information related to the specific topic. With assistance of data collection method, researcher can
easily identify the various views, suggestion, idea and opinion of respondent related to the particular
topic or services of organization. In the following project report, With the help of data collection
process, researcher can easily estimate the impact of social media marketing in the retail sector (Dinan,
2000). There are major two type of data collection that is primary data collection and second one is
secondary data collection. In the primary data collection process, the researcher can estimate data from
the primary sources like questionnaire, interview , survey etc (Data collection sources. 2016). On the
other hand in the secondary data collection process, researcher can estimate and identify data or
information from the secondary resources like books, journals, magazines, etc. In the following research,
investigator will use primary method of data collection through which he will decide some sample size
and prepare questionnaire in order to identify the impact of social media marketing in the retail sector.
3.3 Data Analysis
Data analysis is a process under which researcher consider on the result after collecting the
information from various respondent. In this process,researcher analysis and asses the outcomes of the
information. In other word it can be said that data analysis is a process of implementing the suggestion
and models over the business process and take relevant decision according to gathered information
from the respondent. There are two type of data analysis that is qualitative and quantitative (Chan,
Ling and Guillet, 2011). In the qualitative research revolves around describing characteristics. It does
not use numbers. On the other hand quantitative research, prime focus on the numbers. Qualitative
data analysis research works with description and characteristics. The major problem with this tool is
long timing because in order to interpret data, researcher have to take long time. One of the types of
data analysis which is known as quantitative data analysis , the SPSS is a statistical tool, which is used to
access the data which is the base for that quantitative method. The present research has adopted the
qualitative method for analyzing the data.
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3.4 Ethical consideration
In the following research project, the investigator should take ethical consideration. It is very important
while researcher conduct data analysis, data collection and interpret data for the relevant decision and
outcomes. For researcher it is important to take the relevant information from the secondary resources,
there should not any kind of false data. While conducting research, there should ethical standards,
different disciplines and institutions that promote the value. The researcher must avoid the errors while
it prepare the questionnaire and interpret the data about the topic. The researcher should take the fair
decision related to the outcome and take consider on the trust, accountability, mutual respect and
fairness.
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3.6 Research work plan
Task in
week
Week
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Week
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Week
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k 4
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k 5
Week
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Week
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Week
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Selection
of the topic
Formulatio
n of project
Making
aims and
objectives
Performing
historical
research
Research
methodolo
gy
Disposal of
primary
research
Data
Analysis
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Evaluating
result
Conclusion
and
Recommen
dation
Submitting
Draft
Submission
to Tutor
4.1 Introduction
The data analysis is a significant part of a research where collected data is analysed to reach at a
conclusion. In data analysis, information collected through primary method is studied. This includes
information that are assembled through questionnaire, surveys, interviews etc. from a particular
number of respondents. In the present research, 20 managers of Stefanel company based in UK have
been selected as respondents. For this purpose, a questionnaire has been prepared in which some
relevant questions regarding role of social media and its impact on performance of sales have been
included. This questionnaire filled by the manages of cited enterprise will be helpful in collecting
significant information. Apart from this, it will also help in accomplishing aims and objectives of current
research topic.
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4.2 Data analysis
Theme 1: Social media is more helpful in marketing.
1) In your opinion which medium is more helpful in marketing? Frequency Percentage
Social media 11 55
Traditional marketing 7 35
Both 2 10
Findings and analysis: As per the above theme, it has been attempted to know the importance of
methods which has more relevance in marketing as per the present situation. According to collected
data from managers, they have agreed upon this fact that social media marketing is more helpful in
advertising and promoting their products at a wider level as compared to traditional method of
marketing. 55% of managers have said in favour of social media marketing while 35% of managers have
said that traditional way of marketing like promotions through newspapers, magazines, television,
billboards are more effective. Among these, about 10% of managers share their opinion that mix of both
the ways are more helpful in promoting products and services of said organisation.
Theme 2:Social media helps in impacting buying decision of customers.
2) Do you think that social media helps in impacting customer's
decision of buying? Frequency Percentage
Yes 15 75
No 5 25
Findings and analysis: The present theme has depicted the role of social media in impacting the buying
decision of customers. As per this analysis, managers have been asked for their views about marketing
through social media and its impact on changing decision of customers to make purchase. In this, 75% of
managers have given their accord that through social media they can present their products and
services in more attractive manner due to which it becomes easier to impact the mind of a client for
buying the product. On other hand, 25% managers have given contrary views according to which they
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have said that through social media, they do not get the opportunity for attracting customers through
their personal talents. They have less convincing power as they do not meet face to face. As a result
customers cannot be made ready to buy and sales are also affected.
Theme 3: Social media helps in enhancing customer base.
3) Do you agree that social media marketing helps in increasing the
customer base? Frequency Percentage
Strongly agree 8 40
Agree 6 30
Neutral 2 10
Disagree 3 15
Strongly disagree 1 5
Findings and analysis: The present pie chart and table demonstrate the viewpoints of managers
regarding role of social media marketing for Stefanel in increasing their customer base. In this regard,
70% of manager have favoured this view that number of customers have gone high due to marketing
done through social media. As per this, they have agreed that social media platform has given various
facilities apart from promotion of products due to which more number of customers have been added
with the company. 10% managers are neutral in this view while 20% of managers have disagreed to the
fact that social media has any role in adding more number of customers. In their views, other factors
have played more important role in increasing the sales of mentioned retail firm.
Theme 4: Social media has helped in making brand recognisable.
4) Has social media marketing helped in making brand more
recognisable among customers? Frequency Percentage
Strongly agree 6 30
Agree 7 35
Neutral 3 15
Disagree 2 10
Strongly disagree 2 10
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Findings and analysis: The present theme has focussed on the fact that social media has played an
important role in making said company's brand more recognisable. About 65% of managers have agreed
that through social media they have successfully crated brand awareness among the customers. As per
managers, more than 50% population nowadays active on internet due to which they become more
familiar with brands which are advertised on social media. While 15% managers are neutral on this
notion. On other hand, 20% managers disagree to the fact that through social media, they have made
their brand more recognisable.
Theme 5: Facebook has played an important role in increasing performance of business.
5) Which social media has helped more in increasing the performance
of business? Frequency Percentage
Facebook 9 45
Twitter 5 25
Youtube 3 15
Blog 1 5
Others 2 10
Findings and analysis: The present theme has discussed about various social networking sites according
which has played an important role in making performance of business higher. As per this analysis, it is
clear that Facebook has played a significant role in enhancing performance of business. 45% of
managers have agreed to this fact as there are large number of users of Facebook. As per this analysis,
at second place, Twitter has played an important role where 25% of managers have agreed that many
customers have been added with mentioned company due to the promotional efforts on Twitter. Apart
from this, 15% of customers have increased due to videos displayed on Youtube and 5% through Blogs
created. 5% managers have given their preference to other mediums as well.
Theme 6: Sales has increased due to the use of social media marketing.
6) What are the major achievements through use of social media
Frequency Percentage
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