Elsevier

Computers in Human Behavior

Volume 49, August 2015, Pages 597-600
Computers in Human Behavior

A research on effectiveness of Facebook advertising on enhancing purchase intention of consumers

https://doi.org/10.1016/j.chb.2015.03.051Get rights and content

Highlights

  • To identify consumer perceptions towards social media advertising approach and relationship to developing brand image for companies.

  • Examine how Facebook advertising impacts user likelihood of elaboration in regards to generate further messages from a brand.

Abstract

The present study aimed to examine the effectiveness of advertisements in enhancing consumers’ purchasing intention on Facebook in 2013. It is an applied study in terms of its goals, and a descriptive survey one in terms of methodology. The statistical population included all undergraduate students in Cypriot universities. An 11-item researcher-made questionnaire was used to compare and analyze the effectiveness of advertisements. Data analysis was carried out using SPSS17, the parametric statistical method of t-test, and the non-parametric Friedman test. The results of the study showed that Facebook advertising significantly affected brand image and brand equity, both of which factors contributed to a significant change in purchasing intention.

Introduction

Social media has quickly changed the contemporary marketing approach. It has established a connection between marketers and other consumers, creating new possibilities and opportunities with the aim of increasing consumer brand awareness (Comscore Media, 2009). In order to attract consumers’ attention and address customization of their needs, advertising specialists have started using social networking website appeals in their ads. Their aim is to encourage users to share the brand image and to develop free advertising. Therefore, it is beneficial to investigate why there might be reason to have high expectations for the use of social media as a marketing tool, and what advantages a Facebook presence might have over more traditional marketing strategies (Waters, Canfield, Foster, & Hardy, 2011) (see Fig. 1).

Promoting even small firms and businesses using social media (such as Facebook) is a less expensive solution than taking the risk of paying large sums to advertise in non-virtual media. Companies and service providers have begun to research and investigation the usage and efficiency of digital communications in order to improve their brand awareness (Johns & Perrot, 2008). Kotler (1999) mentions that brands can speed up consumers’ information dispatch. Additionally, brands can have negative and positive influences on the perception of the effectiveness of the associated products and services.

Rowley (2004) suggests that companies would do well to create a recommendation mechanism that allowed customers to connect with each other. This would result in a successful brand image. Social media has created opportunities for consumers as well as advertisers to benefit from the comments and observations that others post in social media (Cha, 2009). Inspired by the power of some types of social media (such as Facebook) to engage users in virtual relationships, various companies and services have sought ways to get involved in the “people’s internet” and to leverage the “likes,” “shares and “comments” for their brands’ profit (Andriole, 2010).

When most consumers join a brand group on Facebook, it is possible for the information that they receive from other users to influence their brand perceptions and purchase intentions (Zhao & Shanyang, 2008). Meanwhile, consumers have more opportunities to increase viral messages created by advertisers to their contacts through Facebook. These types of social engagement behaviors boost opportunities for consumers to view the augmented images that social media friends post on their profiles (Rodgers, Melioli, Laconi, Bui, & Chabrol, 2013). While consumers steadily choose brand groups on Facebook as trusted sources of information, new opportunities arise to build unique brand awareness and viral advertising platforms (Holzner, 2008). In the consumer behavior, adoption behavior links with how consumers can be more influenced to adopt new trends (Cress, Schwammlein, Wodzicki, & Kimmerle, 2014). This study is step forwards the better understanding of purchase intention of consumers to adopt new brands through Facebook advertising. Furthermore, this article focuses primarily on the aspect of Facebook advertising by examining the potential link between brand image, brand equity and purchase intention of consumers.

Section snippets

Advertising on Facebook

Facebook advertising offers users or consumers the opportunity to interact actively with the adverts on their page allowing them to “like” and “share” and also view who else or which friends liked or shared the same adverts. According to some research, social media such as Facebook act as a check on the credibility of brands. Lee and Kim (2011) found that consumers view consumer-generated messages on social media, unlike advertising generated by advertisers, as being motivated by altruism. In

Research methodology

The statistical society included 320 undergraduate students of Cypriot universities from which 100 students were selected through simple randomized sampling and were distributed among them through online platforms. A researcher-made questionnaire was used to examine the effectiveness of advertisements. At the beginning of the questionnaire, some demographic questions were asked from participants (gender, age, monthly income of family) and in the second part, they were posed with some Yes and No

Result

Table 1 shows the description of factors contributing to the effectiveness of advertisements and the enhancement of consumers’ purchasing intention on Facebook in the sample studied. The individuals’ scores on the questionnaire were rated on a Likert scale. The mean in each of the aspects is presented.

Table 1 shows that, among the factors, all components have close means and SD’s among sample Samples.

H1

Consumers’ opinion on Facebook advertising will positively affect the Firm’s brand image.

As

Discussion and conclusion

Social media advertising provides a whole new dimension to advertising, as it offers interactivity to the users, especially on Facebook (Logan, Bright, & Gangadharbatla, 2012). In the present study, the high percentage of correlation between variables shows that the process of obtaining and exchanging information through Facebook facilitates public participation. Facebook, by leveraging WOM and viral marketing, can enhance brand image and brand equity, thereby enhancing consumers’ intention to

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