There is a need for academic research that determines the factors that influence purchasing decisions or trigger word-of-mouth (WOM) endorsements amongst consumers on social media (SM) channels; with the aim of identifying critical components of an effective digital communication strategy. This research focuses on exploring these factors through studying consumer engagement motives behind connecting with brands via SM during purchasing decision lifecycle phases.
The researcher was able to discover misalignments between engagement motives of consumers and the current corporate approach in exploiting SM opportunities. The quantitative empirical research captures the opinions of 335 UK respondents. This acts as the primary data to accompany the full literature review of journals, academic studies, and web resources acting as secondary research material. The main findings reveal that a corporate needs to treat SM platforms as two-way communication channels.
Trust and relationships are built over time between a corporate and the target audience through valuable content and identifying the behaviour of top influencers on the right channels. Factors like gender, age group, level of experience, use of wireless devices and different personality types all directly affect consumer-to-consumer and consumer-to-brand engagement on SM channels. To fully exploit the commercial aspects of SM, effective SM engagement strategy is needed to build conversations and fulfils the ranges of needs of different consumers. Research shows consumers are interested in sharing tips relating to their stage in the cycle. Furthermore, consumers indicated that marketing messages can be perceived as an interruption to the natural consumer-to-consumer communication flow.
The research also distinguishes between propensities to engage with a brand, and purchasing or WOM advocacy that might not be directly related. Consequently, many engagement barriers are created as a result of this misalignment between corporate assumptions and actual consumer engagement motivations that unnecessarily lead to loss of opportunities. If identified and studied carefully, corporates could adapt their digital communication strategies to fully harness SM potential, and thereby monetise a brand fanbase. The researcher has developed a number of strategic frameworks that could help marketers understand the dynamics of this complex ecosystem in order to align their goals with real-life consumer expectations.
Table of Contents
1. Introduction
1.1 Background to the research
1.2 Purpose of the research
1.3 The contribution of the research
1.4 Scope and limitations
1.5 Structure of the document
1.6 Conclusion
2. Literature review and theoretical background
2.1 Communication as a human need
2.1.1 Basic linear communication models
2.1.2 Many-to-many communication models
2.4 Consumer driven ecosystem
2.4.1 Definition of ‘Social Media’
2.4.2 The connective tissue of the web
2.4.3 eWOM and brand value opportunities
2.5 Impact on traditional media landscape
2.6 Explaining the evolution
2.7 Shifts in budget focus
2.8 Could Social Media be another bubble?
2.8.1 Case study: Obama’s presidential campaign
2.9 External strategic challenges
2.9.1 Recession pressures
2.9.2 Diversity of consumer behaviour
2.9.3 Demographics and characteristics
2.9.4 User generated content and the culture of generosity
2.9.5 Building relationships and trust
2.10 Internal corporate barriers
2.10.1 Diversity of stakeholders
2.10.2 Corporate culture paradigm shift
2.10.3 Tracking efficiency and measuring Social Media ROI
2.11 Future trends
2.11.1 Sharing on the move
2.11.2 Crowd sourcing of information through co-creation
2.11.3 Filtering clutter
2.11.4 Corporations look to scale
2.12 Summary
2.13 Research propositions
3. Primary research
3.1 Introduction
3.2 Research methodology
3.3 Definition of research population
3.4 Sampling frame & data collection
3.5 Questionnaire structure
3.6 Data reliability
3.7 Analysis of Quantitative data
3.8 Techniques used within the data analysis
3.8.1 Pearson Chi-squared test of independence
3.8.2 ANOVA Test
3.8.3 Testing for normality of the distribution
3.8.4 Linear regression
3.9 Detailed data analysis
3.9.1 Descriptive statistics
3.10 Factors motivating consumers to engage with corporates? Which reasons are the most important to them? (Q1)
3.10.1 Developing a framework of consumer engagement
3.10.2 Answering Q1
3.10.3 Driving Factors of Social Media Engagement
3.11 What are the barriers limiting corporates in their attempts to use SM to monetise fans? (Q2)
3.11.1 Prioritising barriers to the engagement process
3.12 Does a relationship exist between consumer engagement, purchasing and WOM recommendation? (Q3)
4. Findings
4.1 Summing up on Q1
4.2 Summing up on Q2
4.3 Summing up on Q3
5. Conclusions and recommendations
5.1 Measuring ROI
5.2 Thin Relationships
5.3 Legitimate barriers
5.4 Social objects and content types
5.5 Social Media strategic integration
6. Conclusion
Research Objectives and Themes
This research aims to identify the key factors and critical components of an effective corporate strategy to harness social media potential, monetise a brand's fanbase, and address the gap between consumer engagement motivations and corporate practices across the purchasing decision cycle.
- Dynamics of consumer behavior and engagement on social media channels.
- Alignment between consumer expectations and corporate social media engagement strategies.
- Measurement of social media return on investment (ROI) and impact on purchasing decisions.
- The role of electronic word-of-mouth (eWOM) and influence of community members.
- Strategic frameworks for brands to transition from passive followers to active advocates.
Excerpt from the Book
2.1 Communication as a human need
According to Schutz (1966) “we communicate to meet a range of human needs”. Moving up Maslow’s hierarchy, we find that humans try to fit into social groups to achieve belonging, acceptance, and affirmation, and to be able to give back by sharing same thoughts and feelings with others. Therefore, we communicate to meet belonging needs by talking with others, listening and responding to what they say (Maslow, 1968a, Maslow, 1968b), all of which are fundamental concepts of SM interaction.
Scholars have also established evidence that communication is not only a human need but also a means for a healthier life, by showing connections between unfulfilled belonging needs and an increased risk of heart disease (Wood, 2009). According to Maslow (1968a), self-esteem is also shaped by those whom we interact with, and involves valuing and respecting ourselves and being valued and respected by others (Wood, 2009), which is similar to interactions among members of an online community for example [Figure 2].
Summary of Chapters
Chapter 1: Introduction: Provides an overview of the research background, purpose, scope, and the overall structure of the dissertation.
Chapter 2: Literature review and theoretical background: Reviews the current social media landscape and engagement theories, acting as a secondary source of research.
Chapter 3: Primary research: Details the research methodology, population, sampling, data collection via questionnaire, and the quantitative analysis of the data.
Chapter 4: Findings: Summarizes the key results from the research, addressing the identified research questions (Q1-Q3).
Chapter 5: Conclusions and recommendations: Offers strategic direction and models for corporations to effectively integrate and leverage social media.
Chapter 6: Conclusion: Provides a final synthesis of how corporations can exploit the commercial aspects of social media.
Keywords
Social Media, Consumer Engagement, Purchasing Decision Lifecycle, eWOM, Branding, Marketing Strategy, ROI, Corporate Communication, Influencers, Online Communities, Consumer Behavior, Social Network Analysis, Customer Advocacy, Digital Strategy, Monetisation.
Frequently Asked Questions
What is the core focus of this dissertation?
The research examines how corporations can effectively use social media platforms to engage with their audience and monetise their fanbase, specifically focusing on consumer motivations and purchasing behaviors.
What are the primary themes discussed?
The paper covers the social media ecosystem, the misalignment between corporate engagement approaches and consumer motivations, social media ROI measurement, and the impact of influencers on the purchasing cycle.
What is the main research question?
The research aims to identify the factors motivating consumers to engage with brands on social media, the barriers to effective corporate monetisation, and the relationship between engagement and purchasing/advocacy.
Which methodology was employed in this study?
A quantitative empirical approach was utilized, involving a survey of 335 UK-representative respondents and the use of Pearson Chi-squared tests, ANOVA, and Linear Regression for data analysis.
What does the main body of the work cover?
The work covers a theoretical literature review, primary research design and data analysis using SPSS, and a findings chapter that synthesizes the results to offer recommendations for corporate strategies.
Which keywords best characterize this research?
The research is characterized by terms like Social Media, Consumer Engagement, eWOM, Marketing Strategy, ROI, and Purchasing Decision Lifecycle.
How does the "Engagement Model" help marketers?
The model helps marketers evaluate the best approaches to reach consumers and gauge the value of social media activities such as WOM and viral campaigns.
What conclusion does the author draw regarding social media for business?
The author concludes that social media should be treated as a two-way communication channel rather than a short-term marketing tool, focusing on building long-term trust and relationships.
- Citation du texte
- MBA Mo Elnadi (Auteur), 2010, Harnessing Social Media Commercial Potential, Munich, GRIN Verlag, https://www.grin.com/document/162446
