Effect of social media on purchase intention

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Chapter 1

INTRODUCTION

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1.1 Introduction to the social media

Social media

Social media has been around since humans began to communicate. One of the

first signs of human social media was cave wall paintings. Some of the

earliest forms of social media were not digital. According to the Merriam-

Webster dictionary, the word social is "of or relating to human society,

the interaction of the individual and the group, or the welfare of human

beings as members of society. The word media means a medium of cultivation,

conveyance, or expression. Media is also a plural form of medium and a

medium is a particular form or system of communication." Some of the

earliest forms of social media were primitive and did not involve a

computer, but did involve some type of technology to convey the message.

Cave paintings were created using pigments, "Ancient peoples decorated

walls of protected caves with paint made from dirt or charcoal mixed with

spit or animal fat. In cave paintings, the pigments stuck to the wall

partially because the pigment became trapped in the porous wall, and

partially because the binding media (the spit or fat) dried and adhered the

pigment to the wall (Ages)." All living things communicate to each other in

some way or another, but humans leave lasting impressions intentionally. A

fossil leaves an impression, but it doesn't do it on purpose or do it by

using technology. Communication and networking (network in the sense of the

word to purposefully interact with others) are vital to our survival and

our history. The cave paintings of Lascaux are estimated to be up to 20,000

years old. As mentioned on the MET website, "most of the paintings are

located at a distance from the cave's entrance, and many of the chambers

are not easily accessible. This placement, together with the enormous size

and compelling grandeur of the paintings, suggests that the remote chambers

may have served as sacred or ceremonial meeting places (Tedesco)."

Social media refers to interaction among people in which they create,

share, and/or exchange information and ideas in virtual communities and

networks.

Andreas Kaplan and Michael Haenlein define social media as "a group of

Internet-based applications that build on the ideological and technological

foundations of Web 2.0, and that allow the creation and exchange of user-

generated content." Furthermore, social media depend on mobile and web-

based technologies to create highly interactive platforms through which

individuals and communities share, co-create, discuss, and modify user-

generated content. They introduce substantial and pervasive changes to

communication between organizations, communities, and individuals.

http://en.wikipedia.org/wiki/Virtual_communityhttp://en.wikipedia.org/wiki/Virtual_networkhttp://en.wikipedia.org/wiki/Andreas_Kaplanhttp://en.wikipedia.org/wiki/Web_2.0http://en.wikipedia.org/wiki/User-generated_contenthttp://en.wikipedia.org/wiki/User-generated_content

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Social media differ from traditional/industrial media in many ways,

including quality, reach, frequency, usability, immediacy, and permanence.

There are many effects that stem from internet usage. According to Nielsen,

internet users continue to spend more time with social media sites than any

other type of site. At the same time, the total time spent on social media

in the U.S. across PC and mobile devices increased by 37 percent to 121

billion minutes in July 2012 compared to 88 billion minutes in July 2011.

For content contributors, the benefits of participating in social media

have gone beyond simply social sharing to building reputation and bringing

in career opportunities and monetary income, as discussed in Tang, Gu, and

Whinston (2012).

Geocities, created in 1994, was one of the first social media sites. The

concept was for users to create their own websites, characterized by one of

six "cities" that were known for certain characteristics.

1.2 Classification of social media

Social media technologies take on many different forms including magazines,

Internet forums, weblogs, social blogs, microblogging, wikis, social

networks, podcasts, photographs or pictures, video, rating and social

bookmarking. Technologies include blogging, picture-sharing, blogs, wall-

posting, music-sharing, crowdsourcing and voice over IP, to name a few.

Social network aggregation can integrate many of the platforms in use.

By applying a set of theories in the field of media research (social

presence, media richness) and social processes (self-presentation, self-

disclosure), Kaplan and Haenlein created a classification scheme in their

Business Horizons (2010) article, with seven different types of social media:

1. collaborative projects (e.g., Wikipedia)

2. blogs and microblogs (e.g., Twitter)

3. Social news networking sites (e.g., Digg and Leakernet)

4. content communities (e.g., YouTube and DailyMotion)

5. social networking sites (e.g., Facebook)

6. virtual game-worlds (e.g., World of Warcraft) 7. virtual social worlds (e.g., Second Life)

However, the boundaries between the different types have become

increasingly blurred. For example, Shi, Rui and Whinston (2013) argue that

Twitter, as a combination of broadcasting service and social network,

classes as a "social broadcasting technology".

http://en.wikipedia.org/wiki/Reach_%28advertising%29http://en.wikipedia.org/wiki/Geocitieshttp://en.wikipedia.org/wiki/Internet_forumhttp://en.wikipedia.org/wiki/Bloghttp://en.wikipedia.org/wiki/Social_blogginghttp://en.wikipedia.org/wiki/Microblogginghttp://en.wikipedia.org/wiki/Wikihttp://en.wikipedia.org/wiki/Social_networking_serviceshttp://en.wikipedia.org/wiki/Social_networking_serviceshttp://en.wikipedia.org/wiki/Podcasthttp://en.wikipedia.org/wiki/Social_bookmarkinghttp://en.wikipedia.org/wiki/Social_bookmarkinghttp://en.wikipedia.org/wiki/Vloghttp://en.wikipedia.org/wiki/Crowdsourcinghttp://en.wikipedia.org/wiki/Voice_over_IPhttp://en.wikipedia.org/wiki/Social_network_aggregationhttp://en.wikipedia.org/w/index.php?title=Media_research&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Business_Horizons&action=edit&redlink=1http://en.wikipedia.org/wiki/Wikipediahttp://en.wikipedia.org/wiki/Twitterhttp://en.wikipedia.org/wiki/YouTubehttp://en.wikipedia.org/wiki/DailyMotionhttp://en.wikipedia.org/wiki/Facebookhttp://en.wikipedia.org/wiki/World_of_Warcrafthttp://en.wikipedia.org/wiki/Second_Life

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Mobile social media

Mobile social media refers to the combination of mobile devices and social

media. This is a group of mobile marketing applications that allow the

creation and exchange of user generated content. Due to the fact that

mobile social media run on mobile devices, they differ from traditional

social media by incorporating new factors such as the current location of

the user (location-sensitivity) or the time delay between sending and

receiving messages(time-sensitivity). According to Andreas Kaplan, mobile

social media applications can be differentiated among four types:

1. Space-timers (location and time sensitive): Exchange of messages with

relevance for one specific location at one specific point in time

(e.g., Facebook Places; Foursquare)

2. Space-locators (only location sensitive): Exchange of messages, with

relevance for one specific location, which are tagged to a certain

place and read later by others (e.g., Yelp; Qype)

3. Quick-timers (only time sensitive): Transfer of traditional social

media applications to mobile devices to increase immediacy (e.g.,

posting Twitter messages or Facebook status updates)

4. Slow-timers (neither location, nor time sensitive): Transfer of

traditional social media applications to mobile devices (e.g.,

watching a YouTube video or reading a Wikipedia entry)

Internet usage effects

An increasing number of scholars have sought to study and measure the

impact of social media. A 2010 study by the University of Maryland

suggested that social media services may be addictive, and that using

social media services may lead to a "fear of missing out," also known as

the phrase "FOMO" by many students. It has been observed that Facebook is

now the primary method for communication by college students in the U.S.

According to Nielsen, global consumers spend more than six hours on social

networking sites. "Social Media Revolution" produced by Socialnomics author Erik Qualman contains numerous statistics on social media including the

fact that 93% of businesses use it for marketing and that if Facebook were

a country it would be the third largest. Several colleges and universities

such as Harvard, Johns Hopkins, Columbia and Stanford among others have

even introduced classes on best social media practices, preparing students

for potential careers as digital strategists.

There are various statistics that account for social media usage and

effectiveness for individuals worldwide. Some of the most recent statistics

are as follows:

http://en.wikipedia.org/wiki/Andreas_Kaplanhttp://en.wikipedia.org/wiki/Facebook_Placeshttp://en.wikipedia.org/wiki/Foursquarehttp://en.wikipedia.org/wiki/Yelp,_Inc.http://en.wikipedia.org/wiki/Qypehttp://en.wikipedia.org/wiki/Twitterhttp://en.wikipedia.org/wiki/Facebookhttp://en.wikipedia.org/wiki/YouTubehttp://en.wikipedia.org/wiki/Wikipediahttp://en.wikipedia.org/wiki/Erik_Qualman

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o Consumers continue to spend more time on social networks than on any

other category of sitesroughly 20 percent of their total time

online via personal computer (PC), and 30 percent of total time

online via mobile.

o Total time spent on social media in the U.S. across PCs and mobile

devices increased 37 percent to 121 billion minutes in July 2012,

compared to 88 billion in July 2011.

o Facebook remains the most-visited social network in the U.S. via PC

(152.2 million visitors), mobile apps (78.4 million users) and mobile

web (74.3 million visitors), and is multiple times the size of the

next largest social site across each platform.

o 51% of people aged 2534 used social networking in the office, more

than any other age group.

o On average, 47% of social media users engage in social care.

o While the computer is still the primary device used to access social

media despite dropping 4% in usage in 2012, the last year saw a

significant increase in usage, most notably through tablets from 3%

to 16%, internet enabled TVs from 2% to 4%.

o As of 2012, Facebook has 152,226,000 unique PC visitors and

78,388,000 unique mobile app visitors. Twitter reported 37,033,000

unique PC visitors and 22,620,000 unique mobile app visitors.

Pinterest reported 27,223,000 unique PC visitors and 14,316,000

unique mobile web visitors. Google+ reported 26,201,000 unique PC

visitors and 9,718,000 unique mobile app visitors.

o A total of 234 million people age 13 and older in the U.S. used

mobile devices in December 2009.

o Twitter processed more than one billion tweets in December 2009 and

averages almost 40 million tweets per day.

o Over 25% of U.S. Internet page views occurred at one of the top

social networking sites in December 2009, up from 13.8% a year

before.

o Australia has some of the highest social media usage in the world. In

usage of Facebook, Australia ranks highest, with over nine million

users spending almost nine hours per month on the site.

o Twitter has risen as the go to site for customer support in 2013,

while Email's usage has decreased by 7%.

o The number of social media users age 65 and older grew 100 percent

throughout 2010, so that one in four people in that age group are now

part of a social networking site.

o As of May 2012 Facebook has 901 million users.

o Social media has overtaken pornography as the No. 1 activity on the

web.

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o In June 2011, it was reported that iPhone applications hit one

billion in nine months, and Facebook added 100 million users in less

than nine months.

o In June 2011, it was also reported that U.S. Department of Education

study revealed that online students out-performed those receiving

face-to-face instruction.

o YouTube is the second largest search engine in the world.

o In four minutes and 26 seconds 100+ hours of video will be uploaded

to YouTube.

o One out of eight couples married in the U.S. last year met via social

media according to statistics released June 2011.

o One in six higher education students are enrolled in an online

curriculum.

o In November 2011, it was reported Indians spend more time on social

media than on any other activity on the Internet.

o 1 in 5 divorces have been blamed on Facebook.

o In a study conducted by the Masdar Institute of Science and

Technology in Abu Dhabi, it was found that on average, any individual

is just 12 hours of separation from another around the world, using

social networking sites.

In a study titled "Mastering the Art of Social Media," the researcher found

that online communication has become a central part in the communication of

political actors. In the study, Klinger focuses on Switzerland, where

broadband, internet use, and media literacy are among the highest in the

world, and how all major political parties in Switzerland run their own

websites and social media sites.

1.3 Purchase intention

Purchase intention is defined as an intent to procure a specific

merchandise or service in the future. It involves financial and

quantitative planning which purpose is to save considerable cost for the

company.

1.4 Objectives of the study

Primary objective:

To analyse the customers purchase intention.

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Secondary objective:

To know what age group use social media more.

To know whether people buy products based on the reviews from social

media.

To know how much time people spend on social media every day.

To find whether social media helps people to find their desired

products.

To find whether online shopping has surpassed offline shopping.

1.5 Scope of the study

The study is mainly to find out the purchase intention of customers

due to the effect of social media.

1.6 LIMITATION OF THE STUDY

Due to lack of time, the survey is taken only from 60 peoples only.

The study is based on the prevailing customers satisfaction. But

the customers satisfaction may change according to time, fashion,

technology development and trend etc.,

The data collected depends up to the consumer.

Only Chennai city is consider as research area.

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CHAPTER 2

RESEARCH METHODOLOGY

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2.0 RESEARCH DESIGN:

Research design to framework or plan for a study that guides the collection

and analysis of data. A typical research design of a company basically

tries to resolve the following issues:

Determining Data sources

Determining Primary Data Collection Methods

Developing Questionnaire

Determining Sampling Plan

2.1 DATA COLLECTION:

The data are collected from two different methods namely:

Primary data

Secondary data

PRIMARY DATA:

The data collected is the first hand data i.e. it is collected from

the customers directly using Questionnaire method.

SECONDARY DATA:

The data collected is the second hand data i.e. it is not collected

from the customers directly but they collect from internet.

2.2 DATA COLLECTION METHODS:

Visited the people directly & gathered information required for the

questionnaire.

2.3 PERIOD OF THE STUDY:

The study was conducted during the academic year 2013-2014.

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2.4 SAMPLING PROCEDURE:

It was proposed to contact 60 samples residing in and around Chennai.

2.5 RESEARCH INSTRUMENT:

Questionnaire is the research instrument used for the study. A questionnaire

consists of a set of questions which gives the respondents more flexibility

in terms of data and get an idea of important unknown data that can be

collected through their behaviour.

2.6 TYPE OF QUESTIONNAIRE:

CLOSED-ENDED QUESTIONS

CLOSED ENDED QUESTIONS:

Questions can be multiple-choice or scaling questions.

A closed ended questions has the respondents pick and answer from a given

no. of options.

The response options for a closed ended questions should be exhaustive and

mutually exclusive.

2.7 TYPES OF SAMPLING Simple random sampling

Systematic sampling

Stratified sampling

Cluster sampling

Simple random sampling: In a simple random sample of a given size, all such subsets of the frame are

given an equal probability. Each elements of the frame thus has an equal

probability of selection: the frame is not subdivided or partitioned.

Furthermore, any given pair of elements has the same chances of selection as

any other such pair [and similarly for triples, and so on]. This minimizes

bias and simplifies analysis of results. In particular the variable between

individual results within the sample is a good indicator of variance in the

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overall population, which makes it relatively easy to estimate the accuracy

of results.

Systematic Sampling: Systematic sampling relies on arranging the target population according to

some ordering scheme and then selecting elements at regular intervals through

that ordered list. Systematic sampling involves a random start and then

precedes with the selection of every kith elements from the telephone

directory [an every 10th sample also referred to as sampling with a skip

of 10].

Stratified sampling: Where the population embraces a number of distinct categories, the frames

can be organized by these categories in to separate strata Each stratum

is then sampled as an independent sub-population, out of which individual

elements can be randomly selected.

Cluster sampling: Sometimes it is more cost-effective to select respondents in groups sampling

is often clustered by geography, or by time periods.

Sample used: The sampling size we have used here is simple random sampling.

Sample size is 60.

2.8 Statistical analysis:

Statistical tools are used for analysing and for interpreting the data with

the help of pictorial representation.

1. Post hoc analysis

2. Anova

3. Chi-square test

4. T-test

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REPORT WRITING:

Report writing is the end product of the research activity.

In the report, the evidence and findings are presented in such a way that it

is really understood, assessed by the reader and enables him to validity of

the conclusion.

REPORT PRESENTATION:

After the analysis of the data using statistical techniques, the finding and

suggestions are presented in the form of report.

CHART:

To represent the collected data in the pictorial form the charts which are

used in this study are:

Pie- diagram

PIE DIAGRAM:

A pie-diagram is a pictorial representation data with several divisions in

a circular form.

It consists of circles sub-divided into several sectors by radius.

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CHAPTER 3

RESPONDENTS PROFILE

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3.1 Gender of the respondents:

Gender:

Table No: 3.1.1

Frequency Percent

Valid

Percent

Cumulative

Percent

Male 42 70.0 70.0 70.0

Female 18 30.0 30.0 100.0

Total 60 100.0 100.0

Figure: 3.1.1.1

Inference:

The chart represents that out of 60 respondents 70% of them

are male

30% of them are female

Male

70%

Female

30%

GENDER

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3.2 Age of the respondents:

AGE:

Table no: 3.2.1

Frequency Percent

Valid

Percent Cumulative Percent

18-24 46 76.7 76.7 76.7

25-30 10 16.7 16.7 93.3

31 &

above 4 6.7 6.7 100.0

Total 60 100.0 100.0

Figure no: 3.2.1.1

Inference:

76% of the respondents are from the age between 18-24

17% of the respondents are from the age between 25-30

7% of the respondents are from the age of 31 & above

76%

17%7%

Age

18-24 25-30 31 & above

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3.3 Educational qualification of the respondents:

Educational qualification:

Table no: 3.3.1

Frequency Percent Valid


UG 42 70.0 70.0 70.0

PG 18 30.0 30.0 100.0

Total 60 100.0 100.0

Figure no: 3.3.1.1

Inference:

70% of the respondents are completed or undergoing their under

graduate courses

30% of the respondents are completed or undergoing their post

graduate courses

70%

30%

Education

UG PG

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3.4 Occupation of the respondents:

Occupation:

Table no: 3.4.1

Frequency Percent

Valid

Percent

Cumulative

Percent

student 35 58.3 58.3 58.3

employee 21 35.0 35.0 93.3

business 4 6.7 6.7 100.0

Total 60 100.0 100.0

Figure no: 3.4.1.1

Inference:

58% of the respondents are students

35% of the respondents are working & 7% are doing business

58.3

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6.70

10

20

30

40

50

60

70

Student Employee Business

Occupation

Occupatio

n

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CHAPTER 4

FINDINGS OF THE STUDY - 1

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4.1 Visiting social media sites:

Table no: 4.1.1

Do you visit social media site

Frequency Percent

Valid

Percent

Cumulative

Percent

Yes 51 85.0 85.0 85.0

No 9 15.0 15.0 100.0

Total 60 100.0 100.0

Figure no: 4.1.1.1

Inference:

85% of the respondents visit social media site

15% of the respondents will not visit social media site

Visiting social media sites

Yes No

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4.2 social helps you to find your desired product:

Table no: 4.2.1

Figure no: 4.2.1.1

Inference:

72% of the respondents says that social media helps them to find

their desired product

28% of the respondents says that social media does not help them to

find their desired product

Yes

No

SOCIAL MEDIA HELP TO FIND YOUR DESIRED PRODUCT

Does the social media help you to find the desired product

Frequency Percent

Valid


Yes 43 71.7 71.7 71.7

No 17 28.3 28.3 100.0

Total 60 100.0 100.0

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4.3 Influencing to use a particular site:

Table no: 4.3.1

Figure no: 4.3.1.1

Inference:

80% of the respondents will influence their friends to use a

particular site

20% of the respondents will not influence their friends to use a

particular site

Yes

80%

No

20%

Infuencing your friend

Yes No

Will you influence your friend to use a particular site

Frequency Percent

Valid


Yes 47 80.0 78.3 78.3

no 12 20.0 20.0 98.3

Total 60 100.0 100.0

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4.4 Following brand news & posts:

Table no: 4.4.1

will you follow and read the brand news and posts from the social

media site page

Frequency Percent

Valid


Strongly

disagree 4 6.7 6.7 6.7

Disagree 6 10.0 10.0 16.7

Neutral 19 31.7 31.7 48.3

Agree 27 45.0 45.0 93.3

strongly

agree 4 6.7 6.7 100.0

Total 60 100.0 100.0

Figure no: 4.4.1.1

Inference: 45% of the respondents agree that follow brand news and posts from

social media

32% of the respondents are neutral & 10% disagree that they dont

follow brand news and posts from social media

7% of them strongly agree and disagree that they follow & dont

follow brand news and posts from social media

7%

10%

31%

45%

7%

Following brand news & posts

Strongly disagree Disagree Neutral Agree Strongly agree

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4.5 Purchase intention:

Table no: 4.5.1

The comments on social media application would affect your purchase

intention

Frequency Percent

Valid


strongly

disagree 5 8.3 8.3 8.3

disagree 9 15.0 15.0 23.3

neutral 19 31.7 31.7 55.0

agree 18 30.0 30.0 85.0

strongly

agree 9 15.0 15.0 100.0

Total 60 100.0 100.0

Figure no: 4.5.1.1

Inference:

32% of the respondents say that they are neutral on saying that the

comments on social media application would affect your purchase

intention

8%

15%

32%

30%

15%

Purchase intention

Strongly disagree Disagree Neutral Agree Strongly agree

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30% of them agree that the comments on social media application would

affect your purchase intention

15% of them disagree and strongly agree that the comments on social

media application would affect your purchase intention

8% of them strongly disagree that the comments on social media

application would affect your purchase intention

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4.6 Positive opinion:

Table no: 4.6.1

will positive opinion increase your purchase intention

Frequency Percent

Valid


strongly

disagree 6 10.0 10.0 10.0

disagree 5 8.3 8.3 18.3

neutral 16 26.7 26.7 45.0

agree 26 43.3 43.3 88.3

strongly

agree 7 11.7 11.7 100.0

Total 60 100.0 100.0

Figure no: 4.6.1.1

Inference:

43% of the respondents agree that positive opinion will increase the

purchase intention

27% respondents are neutral

Strongly

disagree

Disagree

NeutralAgree

Strongly agree

POSITIVE OPINION TO INCREASE PURCHASE INTENTION

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12% respondents strongly agree that positive opinion will increase

the purchase intention

10% respondents strongly disagree that positive opinion will increase

the purchase intention

8% respondents disagree that positive opinion will increase the

purchase intention

27

4.7 Review about purchase intention:

Table no: 4.7.1

Did the review or information motivates you to make purchase intention

Frequency Percent

Valid


strongly

disagree 2 3.3 3.3 3.3

disagree 5 8.3 8.3 11.7

neutral 14 23.3 23.3 35.0

agree 31 51.7 51.7 86.7

strongly

agree 8 13.3 13.3 100.0

Total 60 100.0 100.0

Figure no: 4.7.1.1

Inference:

52% of the respondents agree that the review about a product

motivates their purchase intention

24% respondents are neutral about the review about a product


13% respondents strongly agree that the review about a product


3%8%

24%

52%

13%

Review about purchase intention

Strongly disagree

Disagree

Neutral

Agree

Storngly agree

28

8% of the respondents disagree that the review about a product


3% of the respondents strongly disagree that the review about a

product motivates their purchase intention

29

4.8 Decision making:

Table no: 4.8.1

Do you seek information or opinion to assist you in making decision

Frequency Percent

Valid


strongly

disagree 3 5.0 5.0 5.0

disagree 9 15.0 15.0 20.0

neutral 11 18.3 18.3 38.3

agree 20 33.3 33.3 71.7

strongly

agree 17 28.4 28.4 100.0

Total 60 100.0 100.0

Figure no: 4.8.1.1

Inference:

33% of the respondents agree that they will seek information before

decision making

29% of them strongly that they will seek information before decision

making

5%

15%

18%

33%

29%

Decision making

Strongly disagree Disagree Neutral Agree Storngly agree

30

18% of them are neutral in seeking information before decision making

15% of them disagree that they seek information before decision

making

5% of them strongly disagree that they seek information before

decision making

31

4.9 Dissatisfaction with social media:

Table no: 4.9.1

Are you dissatisfied with any of the social media site

Frequency Percent

Valid

Percent

Cumulative

Percent

strongly

disagree 5 8.4 8.4 8.4

disagree 11 18.3 18.3 26.7

neutral 17 28.3 28.3 55.0

agree 20 33.3 33.3 88.3

strongly

agree 7 11.7 11.7 100.0

Total 60 100.0 100.0

Figure no: 4.9.1.1

9%

18%

28%

33%

12%

Sales

Strongly disagree Disagree Neutral Agree Storngly agree

32

Inference:

33% of the respondents agree that they are dissatisfied with social

media

28% respondents are neutral on dissatisfaction with social media

18% disagree with the dissatisfaction with social media

12% strongly agree that they are dissatisfied with social media

9% strongly disagree that they are dissatisfied with social media

33

4.10 Purchasing product:

Table no: 4.10.1

whom do you purchase product for

Frequency Percent

Valid

Percent

Cumulative

Percent

Business 7 11.7 11.7 11.7

Gift 20 33.3 33.3 45.0

Purchase for

yourself 32 55 55 99

Total 60 100.0 100.0

Figure no: 4.10.1.1

Inference:

55% of the respondents say that they purchase products only for

themselves

33% of the respondents say that they purchase as gift

12% say that they purchase for business purposes

12%

33%55%

Sales

Business Gift Purchase for yourself

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4.11 Tools to live your social life online:

Table no: 4.11.1

what tool is necessary to live you social life online

Frequency Percent

Valid


mobiles 30 50.0 50.0 50.0

blogs 10 16.7 16.7 66.7

videos 10 16.7 16.7 83.3

IM's 2 3.3 3.3 86.7

others 8 13.3 13.3 100.0

Total 60 100.0 100.0

Figure no: 4.11.1.1

Inference: 50% of them say mobiles is the necessary tool to live their social

life online

17% of them say that videos and blogs are the tools that necessary to

live their social life online

13% of them have chosen others option

3% of them say IM is the tool necessary to live their social life

online

Mobiles

50%

Blogs

17%

Videos

17%

IM's

3%

Others

13%

SALES

35

4.12 Media influence:

Table no: 4.12.1

how social media lead to a change in you

Frequency Percent

Valid

Percent

Cumulative

Percent

Building awareness 21 35.0 35.0 35.0

Motivation 22 36.7 36.7 71.7

Helping people take

action 5 8.3 8.3 80.0

Customizing

messages 8 13.3 13.3 93.3

None of these 4 6.7 6.7 100.0

Total 60 100.0 100.0

Figure no: 4.12.1.1

Inference:

37% of the respondents say that social media lead to a change in

motivation

35% of them say its building awareness among people

13% of them say it is customizing messages

8% of them say it help people to take action

7% of them chosen none of these

Building

awareness

Motivation

Helping people

take action

Customizing

messages

None of these

MEDIA INFLUENCE

36

4.13 Networker:

Table no: 4.13.1

what kind of networker are you

Frequency Percent

Valid

Percent

Cumulative

Percent

Essentiali

st 9 15.0 15.0 15.0

Consumer 32 53.3 53.3 68.3

Commenter 8 13.3 13.3 81.7

Promoter 8 13.3 13.3 95.0

Early

adapter 3 5.0 5.0 100.0

Total 60 100.0 100.0

Figure no: 4.13.1.1

Inference:

57% of the respondents are consumer

14% are commenter & promoter

9% of them are essentialist & 6% are early adapter

9%

57%

14%

14%6%

Sales

Essentialist

Consumer

Commenter

Promoter

Early adapter

37

4.14 Shopping:

Table no: 4.14.1

Has your online shopping surpassed your offline shopping

Frequency Percent

Valid


Yes 29 48.3 48.3 48.3

No 31 51.7 51.7 100.0

Total 60 100.0 100.0

Figure no: 4.14.1.1

Inference:

48% of the respondents say that online shopping has surpassed offline

shopping & 53% say no

Yes

48%No

52%

Sales

Yes

No

38

4.15 Time spent:

Table no: 4.15.1

how much time do you spend on networking sites

Frequency Percent

Valid

Percent

Cumulative

Percent

less than 1hr 28 46.7 46.7 46.7

1hr to 2 hr 16 26.7 26.7 73.3

more than 2hr 16 26.7 26.7 100.0

Total 60 100.0 100.0

Figure no: 4.15.1.1

Inference:

46% of the respondents spends less than time on networking sites

27% of them spends 1HR to 2HR and more than 2HR on networking sites

46%

27%

27%

Time spent

Less than 1HR

1HR to 2HR

More than 2HR

39

4.16 Money spent:

Table no: 4.16.1

How much have you spent for products after viewing their online

Frequency Percent

Valid


not spent 16 26.7 26.7 26.7

more than 1000 or

less than 2000 27 45.0 45.0 71.7

more than 2000 17 28.3 28.3 100.0

Total 60 100.0 100.0

Figure no: 4.16.1.1

Inference:

45% of the respondents had spent more than 1000 or less than 2000 in

online shopping

28% of the respondents had spent more than 2000 in online shopping

27% of the respondents have not bought anything in online shopping

26.7

45

28.3

Not spent

more than 1000 or less than 2000

More than 2000

0 5 10 15 20 25 30 35 40 45 50

Sales

Sales

40

4.17 Buying a product online:

Table no: 4.17.1

Would you buy a product solely because of the ad viewed online

Frequency Percent

Valid


Yes 31 53.3 53.3 53.3

No 29 46.7 46.7 100.0

Total 60 100.0 100.0

Figure no: 4.17.1.1

Inference:

53% of the respondents say that they will buy the products solely by

viewing the ad online and 47% of the respondents say no

53.3

46.7

YES

NO

42 44 46 48 50 52 54

Buying a product online

Buying a product online

41

4.18 Ranking of social networking sites:

Table no: 4.18.1

Facebook

Ranking Frequency Percent

Valid

Percent

Cumulative

Percent

1 39 65.0 65.0 65.0

2 8 13.3 13.3 78.3

3 5 8.3 8.3 86.7

4 5 8.3 8.3 95.0

5 3 5.0 5.0 100.0

Total 60 100.0 100.0

Table no: 4.18.2

Twitter


Valid

Percent

Cumulative

Percent

1 8 13.3 13.3 13.3

2 24 40.0 40.0 53.3

3 9 15.0 15.0 68.3

4 8 13.3 13.3 81.7

5 11 18.3 18.3 100.0

Total 60 100.0 100.0

42

Table no: 4.18.3

Flickr


Valid

Percent

Cumulative

Percent

1 1 1.7 1.7 1.7

2 12 20.0 20.0 21.7

3 18 30.0 30.0 51.7

4 16 26.7 26.7 78.3

5 13 21.7 21.7 100.0

Total 60 100.0 100.0

Table no: 4.18.4

LinkedIn


Valid

Percent

Cumulative

Percent

1 6 10.0 10.0 10.0

2 6 10.0 10.0 20.0

3 17 28.3 28.3 48.3

4 14 23.3 23.3 71.7

5 17 28.3 28.3 100.0

Total 60 100.0 100.0

Table no: 4.18.5

OLX


Valid

Percent

Cumulative

Percent

1 6 10.0 10.0 10.0

2 11 18.3 18.3 28.3

3 10 16.7 16.7 45.0

4 17 28.3 28.3 73.3

5 16 26.7 26.7 100.0

Total 60 100.0 100.0

43

Inference:

Out of 60 respondents 39 of them ranked Facebook 1st

8 of them ranked twitter 1st

Only one respondent ranked Flickr 1st

6 of them ranked LinkedIn 1st

6 of them ranked OLX 1st

44

CHAPTER 5

FINDINGS OF THE STUDY - 2

45

Oneway Anova:

Table no: 4.19

Table showing the differences between the ages of the respondents and their

positive opinion to increase their purchase intention.

ANOVA

Age of the respondents:

Sum of

Squares df

Mean

Square F Sig.

Between

Groups

1.349 4 .337 .963 .435

Within

Groups

19.251 55 .350

Total 20.600 59

AGE:

will positive opinion increase your

purchase intention N

Subset for

alpha =

0.05

1

neutral 16 1.1250

strongly disagree 6 1.1667

disagree 5 1.2000

agree 26 1.3846

strongly agree 7 1.5714

Sig. .181

Means for groups in homogeneous subsets are displayed.

a. Uses Harmonic Mean Sample Size = 8.190.

b. The group sizes are unequal. The harmonic mean of the

group sizes is used. Type I error levels are not

guaranteed.

Null hypothesis:

There is no significant difference between ages of the respondents

and positive opinion to increase their purchase intention.

46

Alternate hypothesis:

There is a significant difference between respondents ages of the

respondents and positive opinion to increase their purchase intention

Calculated value = 0.435

LOS = 0.05

Conclusion:

Since the calculated value is greater than the table value reject

null hypothesis. So we conclude that there is a significant difference

between ages of the respondents and positive opinion to increase their

purchase intention

Graph: 4.19.1

Showing relationship between ages of the respondents and positive opinion

to increase their purchase intention.

47

Table no: 4.20

Oneway Anova:

Table showing differences between Occupation and necessary tools for their

social life.

ANOVA

Occupation

Sum of

Squares df

Mean

Square F Sig.

Between

Groups

1.708 4 .427 1.104 .364

Within

Groups

21.275 55 .387

Total 22.983 59

Occupation

What tool is

necessary to live

you social life

online? N

Subset for

alpha =

0.05

1

blogs 10 1.3000

mobiles 30 1.4000

im's 2 1.5000

others 8 1.6250

videos 10 1.8000

Sig. .230

Means for groups in homogeneous

subsets are displayed.

a. Uses Harmonic Mean Sample Size =

5.825.

b. The group sizes are unequal. The

harmonic mean of the group sizes is

used. Type I error levels are not

guaranteed.

48

Null hypothesis:

There is no significant difference between ages of the respondents

and positive opinion to increase their purchase intention.


There is a significant difference between Occupation and necessary

tools for their social life.


LOS = 0.05

Conclusion:

Since the calculated value is greater than the table value reject


between Occupation and necessary tools for their social life.

49

Graph: 4.20.1

Showing relationship between Occupation and necessary tools for their

social life.

50

Chi-square test:

Table showing the differences between age and dissatisfaction with any of

social media.

Table no: 4.21

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

AGE: * Are you

dissatisfied with

any of the social

media site ?

60 100.0% 0 .0% 60 100.0%

AGE: * Are you dissatisfied with any of the social media site?

Are you dissatisfied with any of the social media

site?

Total

strongly

disagree

disagre

e neutral agree

strongly

agree

AGE: 18-24 4 9 14 15 4 46

25-30 1 1 1 5 2 10

31 &

above

0 1 2 0 1 4

Total 5 11 17 20 7 60

Chi-Square Tests

Value df

Asymp. Sig.

(2-sided)

Pearson Chi-Square 6.535a 8 .588

Likelihood Ratio 8.200 8 .414

Linear-by-Linear

Association

.632 1 .427

N of Valid Cases 60

a. 11 cells (73.3%) have expected count less

than 5. The minimum expected count is .33.

51

Null hypothesis:

There is no significant difference between age and dissatisfaction

with any of social media.


There is a significant difference between age and dissatisfaction

with any of social media.

Chi-square test:

There is a significant difference between Occupation and necessary

tools for their social life.


LOS = 0.05

Conclusion:

Since the calculated value is greater than table value so reject the


between age and dissatisfaction with any of social media.

52

Correlations:

Table showing the differences between educational qualification and social

media which would lead to change in a person.

Table no: 4.22

Null hypothesis:

There is no significant difference between educational qualification

and social media which would lead to change in a person.


There is a significant difference between educational qualification

and social media which would lead to change in a person.


LOS = 0.05

Conclusion:

From the above calculation value is greater than the table value reject

the null hypothesis. So we conclude that there is a significant difference

between educational qualification and social media which would lead to

change in a person.

Educational

qualificati

on

How can

social

media or

lead to a

change in

you?

Educational

qualification

Pearson

Correlation

1 -.165

Sig. (2-tailed) .208

N 60 60

How can social

media or lead to a

change in you?

Pearson

Correlation

-.165 1

Sig. (2-tailed) .208

N 60 60

53

T-Test:

Showing relationship between the times spent on networking sites and gender

of the respondents.

Table no: 4.23

Group Statistics

How much time do you

spend on networking

sites? N Mean

Std.

Deviati

on

Std.

Error

Mean

Gender Less than 1hr 28 1.3214 .47559 .08988

Less than 1hr or 2 hr 16 1.3750 .50000 .12500

Independent Samples Test

Levene's

Test for

Equality

of

Variances t-test for Equality of Means

95% Confidence

Interval of the

Difference

F Sig. t df

Sig.(2-

tailed)

Mean

Difference

Std. Error

Difference Lower Upper

Gender Equal

variances

assumed

.446 .508 -.353 42 .726 -.05357 .15182 -.35996 .25282

Equal

variances

not

assumed

-.348 30.056 .730 -.05357 .15396 -.36797 .26083

54

Null hypothesis:

There is no significant difference between the times spent on

networking sites and gender of the respondents.


There is a significant difference between the times spent on

networking sites and gender of the respondents.

T-test:


LOS = 0.05

Conclusion:

Since the calculated value is greater than table value reject the


between the times spent on networking sites and gender of the respondents.

55

CHAPTER 6

SUMMARY & CONCLUSION

56

5.1 Summary of the findings: Analysis of the data was made in the previous chapters. This chapters

consolidates the finding of the study. The major findings are as follows:

Most of the respondents are male and majority of them are in the age

group of 1824.

Most of the respondents say online shopping has not surpassed offline

shopping

Most of the respondents say social media helps them to find the

desired products

Most of the respondents agree that people buy products from review

Most of the respondents use networking for only less than a hour

5.2 Conclusion

From the analysis it is concluded that social media has its effects on

purchase intention has most of the respondents also buy the products from

the reviews of the products and also makes decision making through social

media.

57

Annexure 1

Questionnaire for effects of social media on purchase

intention AGE: a. 18-24 b. 25-30 c. 31 & above

GENDER: M/F

EDUCATIONAL QUALIFICATION: a. UG b. PG

OCCUPTION: a. Student b. Employee c. Business

1) Do you visit social media site?

a) YES b) NO

2) Does the social media help you to find the desired product?

a) YES b) NO

3) Will you influence your friend to use a particular site?

a) YES b) NO

4) Will you follow and read the brand news and posts from the

social media site page?

a) Strongly disagree b) Disagree c) Neutral d) Agree

e) Strongly agree

5) The comments on social media application would affect your

purchase intention?


e) Strongly agree

58

6) Will positive opinion increase your purchase intention?


e) Strongly agree

7) Did the review/information motivated you to make purchase

intention?


e) Strongly agree

8) Do you seek information or opinion to assist you in making

decision?


e) Strongly agree

9) Are you dissatisfied with any of the social media site?


e) Strongly agree

10) Who do you purchase product for?

a) Business b) Gift c) Purchase for yourself

11) What tool is necessary to live your (social) life online?

a) Mobiles b) Blogs c) Videos d) IMs e) Others

12 How can social media influence or lead to a change in you?

a) Building awareness b) Motivation c) Helping people take

action d) Customizing messages e) none of these

59

13) What kind of a networker are you?

a) Essentialist b) Consumer c) Commenter d) Promoter

e) Early adapter

14) Has your online shopping surpassed your offline shopping?

a) YES b) NO

15) Rank the following according to your perception.

a) Facebook

b) Twitter

c) Flickr

d) LinkedIn

e) OLX

1 2 3 4 5

16) How much time do you spend on networking sites?

A) Less than 1hr b) Less than 1hr or than 2hr c) More than 2hr

17) How much have you spent for products after viewing their ASs

online?

a) Not spent b) Less than 1000 or more than 2000 c) More than

2000

18) Would you buy a product solely because of the ad viewed

online?

a) YES b) NO

60

Annexure 2

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Effect of social media on purchase intention