Social Media Marketing, Quality Signaling, and the Goldilocks Principle

Information Systems Research ◽

10.1287/isre.2021.1067 ◽

2022 ◽

Author(s):

Tingting Nian ◽

Arun Sundararajan

Keyword(s):

Social Media ◽

Social Presence ◽

Business Strategies ◽

Social Media Marketing ◽

Information Revelation ◽

Direct Control ◽

Consumer Awareness ◽

Strategic Investment ◽

Marketing Spending ◽

The Cost

Embraced by a rapidly increasing number of companies, social media marketing has become an integral part of companies' business strategies. However, not all the firms plan on a big spend on social media marketing. Our stylized model investigates the strategic effects of social media marketing spending (SMM spending) with the presence of exogenous quality revelation through sources over which firms have no direct control. Unlike traditional advertising, social media marketing has two roles: awareness enhancement and information revelation. Consumers are heterogeneous in their awareness of the product (e.g., whether they know the existence of the product). Our results suggest that the high-quality firm gets enough quality transparency from background user-generated discussions, and the cost of maintaining a social presence outweighs the benefits. The low-quality firm avoids social media marketing because quality transparency is broadly detrimental, whereas the mid-tier firm is “just right” to benefit from social media discussions they encourage. Our model provides a first step toward framing social media marketing spending as a strategic investment. We recognize that social media marketing, although capable of increasing consumer awareness and improving the realized perceptions of a firm's true quality, also has strategic signaling effects.

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Consumer based brand equity in the 21st century: an examination of the role of social media marketing

Young Consumers Insight and Ideas for Responsible Marketers ◽

10.1108/yc-03-2016-00590 ◽

2016 ◽

Vol 17 (3) ◽

pp. 243-255 ◽

Cited By ~ 17

Author(s):

Atefeh Yazdanparast ◽

Mathew Joseph ◽

Fernanda Muniz

Keyword(s):

College Students ◽

Social Media ◽

Undergraduate Students ◽

Brand Equity ◽

Social Media Marketing ◽

Content Type ◽

Research Population ◽

The Cost ◽

The Impact

Purpose The present research investigates the influence of brand-based social media marketing (SMM) activities on metrics of consumer-based brand equity (CBBE). Specifically, the study examines the role of consumer-brand social media experiences on attitude toward SMM activities of brands and its consequent impact on brand perceptions. Design/methodology/approach Paper-and-pencil surveys were administered to undergraduate students in a Southwestern university in exchange for extra credit. Survey questions were adapted from previously validated scales, and measurement adaptations were minimal and only related to the context of questions to assure their relevance with the context of this study. Bi-variate correlation, bootstrapping technique, Sobel test, ANOVA and linear regression were used to test the hypotheses. Findings The results indicate that brand-based SMM is essential in impacting consumers’ attitudes toward brands and consequently, CBBE reflected via perceived value for the cost, perceived uniqueness and the willingness to pay a price premium for a brand. Additionally, the main reason for individuals to use social media impacts their attitudes toward and receptiveness of SMM activities of brands. Research limitations/implications This study used a sample of college students to address the research questions. Considering the higher adoption rate and interest in social media among younger consumer groups, the results may not be representative of the entire population. Much of the existing research on social media, however, has focused on undergraduate college students and is primarily based on studies utilizing the similar research population. Originality/value The present research is one of the few studies that empirically examine the impact of consumer-brand interactions/experiences on consumers’ attitudes toward SMM activities of brands, as well as brand-related knowledge and perceptions as reflected by CBBE. The results indicate that the CBBE model of the twenty-first century should incorporate the role of brand-based SMM activities as facilitators of brand knowledge (i.e. brand awareness and brand image) by reinforcing or even shaping important brand-based associations.

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Promotion in Increasing Sales Product Popularity: Study on Youth Perspectives

Journal La Bisecoman ◽

10.37899/journallabisecoman.v1i1.23 ◽

2020 ◽

Vol 1 (1) ◽

pp. 7-11

Author(s):

Paule Mbembae

Keyword(s):

Social Media ◽

Social Media Marketing ◽

Business People ◽

Competitive Prices ◽

Younger Generation ◽

Use Of Social Media ◽

Medium Businesses ◽

The Cost ◽

A Company ◽

Small And Medium Business

Success or failure of a company that operates is always faced with costs, costs needed by the company. The use of social media can minimize promotion costs. Small and medium-sized businesses must begin to understand social media marketing so that products sold can sell quickly. A problem that is often faced by small and medium business people is the limited capital to advertise. Through social media marketing, small and medium businesses will save the cost of promoting their products. Modern marketing requires more than developing good products, setting competitive prices and making it easy for customers to reach. The younger generation will be very happy if business people know what they want automatically. In addition, they will also be open to a product if they are involved not as consumers but become friends. The advantage is that customers can easily submit responses or comments through social media, be it praise, criticism, or even suggestions.

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Development of accounting for social media marketing services (SMM)

Problems of Theory and Methodology of Accounting Control and Analysis ◽

10.26642/pbo-2021-2(49)-8-18 ◽

2021 ◽

pp. 8-18

Author(s):

I.M. Vygivska ◽

D.O. Seletska ◽

I.V. Semchuk

Keyword(s):

Social Networks ◽

Social Media ◽

Economic Effect ◽

Social Media Marketing ◽

Base Interaction ◽

Customer Base ◽

Regulatory Authorities ◽

Conflict Situations ◽

Main Production ◽

The Cost

Accountants of agencies and studios that provide advertising services of this type ask themselves the question: «How to keep records of works on popularizing brands in social networks?». The current regulatory framework does not give clear recommendations on how to account for transactions in the provision of marketing services in social networks, and not so many foreign and Ukrainian specialists have studied the accounting nuances of SMM. Therefore, taking into account the specifics of the object under study, a number of proposals were made to the working chart of accounts in terms of synthetic accounting on accounts 23 «Main production» and 05 «Guarantees and collateral provided» for web studios and marketing agencies, which will allow differentiating the costs incurred in the process of activities and, along with this, improving the accounting process in terms of the formation of the cost of SMM services. The order of accounting reflection of the budget provided by the customer on the off-balance account is proposed, which allows you to control the movement of funds received and track the directions of their use. Inadequate documentation of SMM transactions raises many questions from the fiscal regulatory authorities. The article develops documentary support for the purposes of accounting for marketing services in social networks (SMM). The effect of the implementation of the developed form «Act of acceptance and transfer of services rendered for SMM» is the possibility of highlighting the volume of marketing work performed and confirmation of the economic effect obtained (increase in sales, customer base, interaction with the brand, etc.), which will prevent the occurrence of conflict situations between the customer of services and the SFSU authorities regarding the inclusion of VAT amounts in the tax credit and the possibility of avoiding the accrual of «compensating» tax liabilities.

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The Motivation, Strategies, and Barriers for Adopting Social Media Marketing in the Flower Retailing Business

Horticulturae ◽

10.3390/horticulturae6040080 ◽

2020 ◽

Vol 6 (4) ◽

pp. 80

Author(s):

Li-Chun Chen ◽

Li-Chun Huang

Keyword(s):

Social Media ◽

Academic Research ◽

Customer Relationship ◽

Social Media Marketing ◽

Retail Sector ◽

Perceived Performance ◽

Study Results ◽

Retailing Business ◽

Network Platform ◽

The Cost

Florists have been adopting social media as a new marketing instrument to promote their business. However, academic research has rarely looked into the existing state of that adoption. Consequently, several fundamental problems remain unknown regarding the application of social media marketing (SMM) among florists, which may limit the development of the flower retailing business in the current social media era. In seeking to address this deficiency, this study aimed to investigate florists’ motivations, strategies, and perceived performance in relation to the application of SMM, as well as to explore the barriers faced by florists regarding the adoption of SMM. The authors implemented these objectives by interviewing 35 flower shop owners who each had established a brand page on Facebook. The qualitative data obtained from the interviews were analyzed using a grounded hermeneutic editing approach. The study’s results revealed that even though there were different motivations for florists to adopt social media marketing, including increasing brand exposure, improving customer relationship, and reducing the cost of advertising, showing expertise in floral design to attract consumers was the most common motivation stressed by the interviewees. The strategies mostly used by florists in managing their Facebook brand pages included providing high quality posts, cross-industry advertising, and switching consumers from online questions to a physical store visit. The most significant benefit perceived by florists regarding the use of a Facebook brand page was the development of new customers. Although the interviewees recognized the benefits of adopting SMM, some of them faced great incompatibility in labor source for that adoption. In addition, most interviewees focused on achieving general marketing goals rather than more advanced functions, such as business intelligence, in the application of SMM. The study results implied that the interviews mostly saw Facebook brand pages as a social network platform for increasing current sales volume, rather than for reaching a long-term quality customer relationship, which has deviated from the essence of social media marketing, and thus, limiting the synergy of the application of SMM in the flower retail sector.

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A Study on the Influence of Instagram on Business Development of Unorganised Netpreneurs Among Various Popular Social Media Platforms

International Journal of Research in Engineering, Science and Management ◽

10.47607/ijresm.2020.345 ◽

2020 ◽

Vol 3 (10) ◽

pp. 111-114

Author(s):

Sibichan Thomas ◽

S. Rajendran

Keyword(s):

Social Media ◽

Social Networking ◽

Social Networking Sites ◽

Customer Relations ◽

Cost Effective ◽

Business Development ◽

Social Media Marketing ◽

Social Media Networks ◽

Social Media Platforms ◽

The Cost

Social networking sites have become a new tool in marketing. A large number of companies already use Instagram as a platform for marketing. Myriads of opportunities are waiting for retailers through social media networks. Instagram based platform provides retailers a new arena. Most of the netpreneurs are using Instagram for customer relations, and to introduce new brands to the customers. It has also been proved as one of the cost effective marketing method for retailers. Throughout the study and survey, it has been proved that about 90% of respondents agree that Instagram is one among the top social sites, that supports marketing. Most of the netpreneurs use different tactics in business, by putting offers and promotion. Instagram could be used as a better platform for the collaboration of different netpreneurs to handle the tasks. Though social media marketing is time consuming, by outsourcing netpreneurs can overcome the main hurdle in this marketing strategy.

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Penerapan Strategi Social Media Marketing Untuk Meningkatkan Penjualan Pada Dealer Mobil Toyota, Daihatsu dan Honda Bandung

Infoman s ◽

10.33481/infomans.v12i2.159 ◽

2018 ◽

Vol 12 (2) ◽

pp. 115-124

Author(s):

Yopi Hidayatul Akbar ◽

Muhammad Agreindra Helmiawan

Keyword(s):

Social Media ◽

Search Engine ◽

Social Media Marketing ◽

Public Attention ◽

Media Companies ◽

Social Media Networks ◽

Internet Users ◽

Marketing Activities ◽

The University ◽

Website Content

Social media is one of the information media that is currently widely used by several companies and personally to convey information, with the presence of social media companies no longer need to spread offers through print media, they can use information technology tools in this case social media to submit offers the products they sell to users globally through social media. This social media marketing technique is the process of reaching visits by internet users to certain sites or public attention through social media sites. Marketing activities using social media are usually centered on the efforts of a company to create content that attracts attention, thus encouraging readers to share the content through their social media networks. The application of the QMS method is certainly not only submitted through search engine webmasters, but also on a website keywords must be applied that relate to the contents of the website content, because with the keyword it will automatically attract visitors to the university website based on keyword phrases that they type in the search engine. With Search Media Marketing Technique (SMM) is one of the techniques that must be applied in conducting sales promotions, especially in car dealers in Bandung, it is considered important because each product requires price, feature and convenience socialization through social media so that sales traffic can increase. Each dealer should be able to apply the techniques of Social Media Marketing (SMM) well so that car sales can reach the expected target and provide profits for sales as car sellers in the field.

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