1

CHAPTER 1 - INTRODUCTION
Due to an increase in the number of social networking sites over the last decade, we have
observed a change in the way brands have been interacting with the customers, online. Since,
approximately every educated person is using internet today and social networks, where social
networks have brought a revolution as how brands and consumers interact and how these social
networks have affected the brands. The research topic is Social Networks and their effects on
brands or businesses. This will help in identifying the exact relationship between such social
networks and marketing of brands. Social networks like face book, twitter, LinkedIn, etc.
These social networks are not only a place to socialize but also to keep the customer up to date
with the brands and businesses they be new or already running businesses that provide us with
service and products. It is that brands have the power to change the world. This may sound like
a bold saying, but it is true. Brands are everywhere; they are influencing peoples daily lives.
Everyone seek to secure brands, that is made clear and obvious what they buy, and gain
comfort and encouragement from the brands they associate themselves with. People behaviors,
attitudes and even their values are all influenced by brands on a regular basis and done through
now social networks.
Social networking sites are a place where in one forms communities of interest to connect to
others. Social networking sites make the most of social media technology to connect
with people and build relationships. Social networking sites permit persons to make their
profile within a bounded system, share with other users and view and pass through their list of
connections and those made by others within the system ( (ELLISON, Boyd &, 2007) The
increasing confidence on technology for basic communication highlights the significance of
analyzing how these networking sites area effecting regular processes. any person including
youth and young adults, men, women, and prosperous consumers, and older individuals can
join a social network site.

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Once

registered

person

begins

to

socialize

and create his/her own network of friends with common interests or goals. Social Sites like
Face book, Twitter, and LinkedIn are influencing the way customers create, retain and nurture
a variety of social relationships, close friendships to acquaintances .Consumers today want to
be more informed about products or services before they make the any type of purchase.
Significantly, social platforms are very capable of informing and influencing purchase
decisions, as many users now trust their colleague or friends opinions more than the marketing
specialists. Customers have now the control to talk back at the brand and transmit their
opinions of the brand. Therefore, brands have no choice but to treat them differently and with
greater admiration (BASHER, Abu, 2013)
Pakistan Electronic Media Regulatory Authority (PEMRA) was formed back in 2002. The
main job of PEMRA is to keep a check and control at all sorts of networks including social
networks in Pakistan. The past few years have been quite different for Pakistani people as well
as the brands operating in Pakistan. Social networking sites are no doubt the best possible
options left for brands or businesses to reach the huge audience. Many companies prefer using
the social Networking sites to get the feedback from their customers and to bring the offers to
them, even to those who are not their loyal customers but by attracting the customers through
promotions on social networks , brands are being highlighted in the eyes of the consumers, and
the consumers expectations increases from those brands. the customers then want more from
them, and they share their views ,ideas through these social communities and pages. The best
part about marketing through these Social networks is that a one-to-one basis of interaction is
developed with the customers. Many customers find Social Networking sites the best way to
connect with a company regarding its products, service and even after sales service.
Without denying the fact that social network has taken the world in a new direction. Face book,
twitter, and LinkedIn have millions of users. Social network is a huge platform with huge
amount of users, and increasingly, branding tool. With this, many brands and businesses
connect together. Where there is advantages of the social network and brands are taking steps
ahead but, at the same time. Many brands are scared of the sensible downside of social network
as employees saying the incorrect thing, bad word of mouth; accidentally sharing information

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publicly that should only be privately shared, negative things said by the customers, things
about their establishment, etc. And their concern is often genuine as employees and customers
often say negative things about a brand especially if they had a negative brand experience
(KELLEHER, bob, 2013).
Social networks now, without any doubt, the best promising choice left for brands to reach this
huge platform of users. Many brands have a preference using the social networks like Face
book, twitter, to get the feedback from their customers, so that they can bring the offers or any
advancement in products required to them. Through this research we will study about how
brands are being affected by the social networks, since brands now plays role in consumers
life.
Since, Social network has become an important communicating tool that is use to connect
people to other people or to brands etc. People use social networks to share their feeling
,emotions, reviews to friends and even views, ideas, tips to the brands .The brands takes the
reviews seriously to bring upon changes in their products, more innovations and that
information is a supportive source, which may influence consumers choice making. Many
surveys showed that users use information on social network as the guideline for their future
purchase or planning any expense related to brands. Also, social network is used as advertising
for the marketer. Marketers take the benefit and generate marketing strategy, which in return
could help the brands gain more customers. The social network environment is very easy to
apply and to reach the reach customer. These profit give persons ease to achieve what they are
looking for. Users tend to believe in what their friends recommend. Face book, Twitter, is the
most popular social media site that people share their life stories, their lifestyle, or even where
they went for trip or their last outing or last purchase of any brand. Posting information,
uploading images could lead their friends to do the same thing or use their information to make
decisions. ( (SEMA, patarwadee, 2013) According to survey, around 40% of small business
owners said that the increase of new customers via social networks most particularly through
Face book and LinkedIn. It is no surprise, that now all type of businesses are going to join
social networks, to not only increase their visibility but as a way to connect with their
customers. So that they can get the reviews of customers what they want from them (GLYNN,

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jess, 2013) Group of people of all ages, can now easily finds what they want and their demand
for; they are now finding what they are looking for online. These days, social networks like
face book, is now the number one activity on the web. Not just face book but others network as
well.
With all the recent changes in social media and the implementation of limited search, local
businesses are seeing how important ranking in search is. Now, people search has changed,
they just search for the brands or the required product online through social networks.
Consumers have the ability now to search online through these social networks. Marketers and
brands know that purchases online begin with online searches, and social network is adapting
to meet this need. Through Brands fan pages, brands have more audience, more customers to
come and buy. The brands pages on social sites have emerged so much now, that every second
brand is advertising through it plus, consumer engagement has increased. People get some
news; they can read the reviews and specifications, make decisions by watching the pictures of
brands. After uncertain upon this hidden gem, all your friends love, and it is now all about
creating a relationship. That is where the social aspect comes in handy. Users easily now
search information through these pages to learn about what specials brand offers or what items
your loyal customers recommend. It is not just about face book that is being used more by the
people of every age but twitter as well, has also made a priority of local search .This attribute
let brands to create promoted offerings. When a follower expands the tweet the offer is shown.
Users also look for visual content. If there is a brand or any type of business, there is a need to
show some of the products and items. Get users interested, it is a great way to quickly grab the
attention of the consumer, if he or she is interested in the styles that those brands sell. They just
click the button and buy online. Customers read those positive comments on those posts,
updated information, and a large fan base is what is going to make the brands really shine.
Users visits to the pages also need to be able to get all the information they need. Brands
address, phone number and a link back to website are all necessary. And if one friend buys the
product, others friend also intends to buy because of the word of mouth. (GLYNN, jess, 2013)
Social network can build brand attitudes that affect buying behavior. The image of brand or
product can lead the consumer to make decision on their purchases. When consumers friend

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on social network uploads, shares, or recommends services or products on their social network,
it affects brand attitude and influences their decision making. Up till now, advertising on social
network, affect both consumer brand attitudes and purchasing intention (YANG, 2012) From
that information, it helps marketers plan their marketing strategies. Many marketers use social
media for marketing promotions. The best and easy way to interact and communicate with
consumers; also it is inexpensive to advertise their brands or services. It is observed that now,
users mostly use more frequently the social networking sites than the corporate sites to search
for the information about any brands or products. (WORLDWIDE, Dei, 2008)
Social networks are not only for advertising, but it is also a tool for brands to connect with their
consumers. Social media allows customers and future consumers to connect straight to a brand
representative or ambassadors. Now most of the customers are using as a tool, to search and
purchase items, brands or businesses use this benefit to advertise their products. The online
consumer is a booming market all around the world. On the other hand, it is giving a globalized
level of segmentation (TICHINDELEAN, Vinerean Cetina &, 2013) If they have some
problems on products or services of the brands, customers could reach the company through
social platforms, which is an easy way to connect and get in touch with with them. Brands are
tested and challenged by how they chose to react to comments or responses on social networks.
Their response and made reactions can put together strong brand images and get more
consumers to purchase brands. When a consumer wants to make decision on product, every
single detail could be an influence to their decision making (SEMA, patarwadee, 2013)
The study shows that social network is gradually more a platform, consumers use to express
their loyalty to their preferred brands and products, and many look for to collect benefits from
brands for helping promote their products. Among those who share their brand experiences
through social network, at least 41 percent say they do so to receive at lower prices. When
researching brands, social network users are likely to trust the suggestions of their friends and
colleagues most, and results indicate that 2 out of 3 respondents said they were either highly or
somewhat influenced by advertising with a social situation (NIELSEN, 2011)

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I chose this topic because of my particular interest in brands and advertising and relating
consumer behavior and how today world is is changing through the increase in social network
and how these social sites are affecting the brands. Since, social networking has gained so
much that every single person is using it as well companies have started marketing on social
networks. As my personal interest in social networking and brands I chose this topic to study
and how the brands then get affected, rise in consumer interest in brands through social sites
like face book etc, how brands sales gets affected, and how they advertise on social networks
now have become full marketing and have engaged consumer so much.
The study will be paying attention on the major cities of Pakistan such as Karachi as we can
find every type of a person here in Karachi, with different mindset to read, with various people
using social networks and brands are present here.
Social Media is everywhere but the question is whether it is worth making an effort. Every now
and then a new social networking engine is introduced. Companies are rushing towards these
as they see an increase in their revenue with their presence on the social media. This paper will
analyze exactly how the companies are marketing and what are the effects of this marketing as
customer service is the new marketing, like how brands offer new trends to its customers. We
would be looking at the ways customers are exposed to marketing strategies by focusing on the
customer service. The problems with the different social networking engines and the
opportunities that exist will also be analyzed in this paper.
Throughout this research, we will be able to know the brands how they get affected by the
social networks, and how businesses take it as an opportunity or a threat. Every now and then a
new social networking site is introduced. Companies are rushing towards these as they see an
increase in their revenue with their presence on the social media. This paper will analyze
exactly how the companies are marketing and interacting and what are the effects of this
marketing.

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CHAPTER 2-LITERATURE REVIEW

The past few years have shown a sudden shift in the way communication is done. From a oneone basis it has changed too many, many by updates on Twitter and statuses on Face book. The
users are now into those communication models that provide better mediums. Even though
telecom companies have been involved in social networking engines doing every sort of
marketing, but there is still a lot to be done. Marketing can be considered a backbone of any
company. It is the main thing that leads to a customer making the final purchase. Before any
function comes, the marketing function where a product or service is marketed to the customer
or a viral marketing promotion is used to ensure that the customers will come running after the
product (CLERE, 2010)). The question here is how can marketing be this strong and that took
on a social network? The answer to this question is hidden in the name of the marketing. It is
viral. It spreads like a wild fire and ensures that results will be in favor. Viral marketing is
defined as a marketing buzz that spreads from a person to another. The same way that
communication is done via the social networking engines. Not many social networking engines
existed before 2004. It can be said that the face of communication has changed over the years (
(ZARRELLA, 2009)
Now social communication has become persistent and is speedily becoming the chosen
interaction medium for the consumers. Their expectations are rising, for both speed and
relevancy. In order to meet these expectations, brands need to start laying the base now for
successful social communications. This means changing to a model that will facilitate them to
tackle and overcome social communication obstacles to meet these opportunity and, eventually
take business impact through social. Achieving direct and instant relationship to consumers is a
big chance, but it also allows more risk. On these social networks like face book, twitter or
LinkedIn, the conversation is publicly made, so care the brands look after the customers as
brands are handling potentially touchy customer conversations out in the open. But here the
other question arises, that how do you ensure you are getting it right? (FEVARON, Rod, 2013)

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The motivational factor for consumers joining, brand following, product on social
networking platforms vary from consumer to consumers, from users to users. The
major motive, fans come to connect to a brand page or following the brands update or
information is through brand request, promotion and marketing followed by a friend call. The
search factor plays a significant part; therefore it is critical for brands to be found if consumers
search for them. Other motivational factor can be brand loyalty, that leads towards brand
follow up on the social networking platforms that can be face book, LinkedIn, twitter etc.
Brand

loyalists

are

consumers

who

will

market

certain

brand,

talk positively about it among their friends. This is free word ofmouth marketing for the brands
and is often very effective. (BASHER, Abu, 2013) Some of the famous brands have done what
others have not, successfully used social media like Twitter and Face book to encourage buyers
from all around the world. This speaks volumes of their sales and revenues in countries like
Pakistan, where unaccounted for wealth and excessive spending results in higher profits for
these companies than ever before (TRIBUNE, express, 2013)
With the increase in social networking sites, many cellular companies moved towards making
devices that enabled internet to be used at a very fast rate. The change in machinery, skills,
knowledge has not only allowed the consumers but also the companies to gain access to
valuable information provided on these social networking sites. The companies in Pakistan are
no different from the companies of other countries. They also have to face numerous threats
every other day. The traditional way of one-way of interaction with the customers has changed
into many too many. Many companies at one point try to communicate to customers about
their products. Business is clearly all about networking. Making connections to be precise.
Social networking sites are a platform, especially for the companies and their customers. It is
one free and easy way of making profits. No matter what a company does it is all about profits
in the end. The return the company gets by interacting with so many customers at once. The
social network grows and eventually everything becomes viral on a network. That is more like
free marketing done by your customers for your company. Social Media provides companies a
way to interact with their audience in real time. This means the company is interacting with its
customer whenever and wherever they are.

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Almost every other person can see how the marketing has changed over the time. From
constantly showing advertisements on televisions, companies are moving towards social
networking sites to market their brands. The function of social networks in modern marketing
is the need of time. Social networks have been playing a major role in connecting a company to
its customer, a brand to its consumers. About every brand has a presence on social networks,
mostly found on face book, twitter. Without that presence survival is difficult (EVANS, Dave,
2010). Because there is so much competition in the market that if one company or your brand
is not interacting or making relations with your customers, the customer can easily switch to
other brands. Various new brands, every day can be seen on these social networks promoting
themselves by offering promotions, discounts etc. According to (SIMON, 2012) a survey done
recently customers noted that they switched brand when there was a rude behavior from an
employee on social network, they had to stay for the service to be provided to them and when
they had to constantly follow up to see if the company has updated the information or not
(MAINWARING, Simon, 2012). These social sites use social media technology to connect
with people and build associations. Social networking sites allow persons to construct their
profile within an enclosed system, share with other users and view and pass through their list of
connections and those made by others within the system (ELLISON, Boyd &, 2007)
Consumers today want to be more informed about products before they make the purchase.
Above all, social platforms are extremely capable of informing and influencing buying
decisions, as many users now trust their friends opinions more than the marketing strategists.
Consumers now have the control to talk back at the brand and show their opinion of the brand.
Therefore, marketers have no alternative but to treat them in a different way and with greater
respect.

How the brand awareness is created by the brands on social networks and their advertising
attracts their customers to the products. Specified attitudes toward social networks, it is
possibly not shocking that, usually, consumers do not react fine to the idea of advertising on
social networks. Research reveals that overall, just a quarter are encouraging toward online
advertising, and opinions of social media advertising are on par with online advertisements
overall. This compared to almost half finding TV advertising acceptable. Since, consumers are

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now spending so much time on them; online social networks clearly represent an opportunity
for advertisers. (BROWN, Milward, 2011) Given some consumer reluctance to embrace
advertising on social networks, and the lower than average click rates these advertisements
create, brands will require to guarantee their creative is relevant to the social environment in
order for it to be efficient. For the main social networks, likely face book, this atmosphere is
likely to be oriented toward connectivity, entertainment, and fun. Beyond advertising on social
networks, how else can brands legitimately build a social presence? Unless brands are
genuinely committed to building real relationships and sharing the space with consumers.
Brand awareness and advertising of brands, on social network is done by creating fan pages or
brands communities. Fan pages offer a route to enriching relationship with valuable customers,
as these already loyal customers are more likely than others to become fans. Through these fan
pages, there is more involvement of the consumer with the brands. Consumer commitment is
mainly appropriate in the case of social networks communication. Because social networking
sites are relationship centric and naturally participatory, engagement with social network pages
including those of a brand, naturally leads to the cultivation of meaningful relationships.
(ROUTLEDGE, 2013) Through these pages, users comments, express their feeling for brands
and views the images of the brands. And these experiences carry sometime significant weight.

The specific activities at the core of social networking have emotional meaning as well. Every
post represents a need to be recognized and acknowledged by those around us. Every comment
left or shared is, in part, a way of seeking validation. These underlying emotional factors a
sense of control, belonging, entertainment, validation, and recognition all shape the ways in
which consumers react to brands in social networks. These factors keeping in mind by the
marketers, as they attempt to engage consumers. In general, personal contact is a far greater
influence on purchase decisions than informal online sources, how to capitalize on word of
mouth, though sometimes recommendations, reviews, and shared experiences posted on
specialized networks carry significant weight. Nonetheless, even the general online sources can
be useful. Brand Personality is another factor that correlates with fandom. Brands that have
more fans tend to be seen as particularly creative, trustworthy, and desirable. A brand that has

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this kind of personality might find it easier to attract fans. A brand is the intangible sum of an
organizations attributes, which can reflect an organizations name, history, reputation, and
advertisement. Searching engine interfaces contain branding elements. A brand can be
recognized as the identifiable symbol, sign, name, or mark that distinguishes an organization or
a product from its competitors.
Through these social networking sites, the brands improves their revenue plus customer
engagement by capturing the quick conversations between consumers to consumers, between
customer and brand, between brand and many other users through these social pages on social
networking sites. This social platform is filled with all buzzing customers, sharing their all
types of positive negative views, through this the brands reaches to what consumers want from
them, this is a positive way and effective way to interact with the huge audience that is your
customer. As the brands listens to the feedback provided by the customers and implement on
them accordingly. the asked questions are the opportunity for the brands from their customers
so that they can bring improvisations and educate and guide their path or track. (BRENNAN,
2010)
When it comes to that how the social networks helping the brands or the businesses then the
key word in the social networks and brands is conversation and communication, since
attracting customers by creating a social network is totally different than broadcasting
advertisements, or employing marketing strategies to convert targeted groups of consumers
into customers. Creating online conversations also requires a whole new ideas and skill set.
Social networking sites encourage brands to change their traditional marketing strategies and
focus on talking with clients, with the goal of developing and deepening the relationship
between the brand and customer. social networking gives brands the opportunity to present a
human face in the form of a social media representative ,an individual who can raise person to
person conversations which builds trust in the companys authenticity as well as its
professionalism. (BROWN, lisa, 2011) But there is something else that social networking sites
offer, which no other public platform does: the ability to keep an eye on public awareness of its

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brand, products, and services in real time. As a result, companies also have the opportunity as
well as the responsibility to provide a quick and effective response.

According to some report, the main working is done between brand and social networks are
that twitter is to get the news informs of the reporters so that the reporters can highlight the
news about the brands and keep updated, where as LinkedIn is the social platform where the
employees share or posts the scholarly articles with their customers. But when it comes to face
book, it is responsible for the brands social responsibilities. This brand fan pages provides the
brands opportunity to establish social media presence. (TOBY MERRILL, Kenneth Latham,
Richard Santalesa, David Navetta, 2011) No doubt, social network is the best way to interact
with the large audience, be it your loyal customers, or future customers or may be investors.
not only it provides the information about the products and services but it provides brands the
opportunity to hire more talented employees, the human resource people keep on checking
these platforms and make use of it, most prominently by face book and LinkedIn to collect
information when making hiring and promotions decisions. through the promotional activities
on social networks, the brands engages their customers with brands products. Word of Mouth
Marketing via Blogs companies provides their products to popular bloggers with big reader
audiences, hoping for a favorable review. (BROWN, lisa, 2011)

Therefore, good branding can result in customer loyalty and positive image of a firms
products and services. Social network plays a significant role in how consumers discover,
research, and share information about brands and products. In fact 60 percent of consumers
researching products through multiple online sources learned about a specific brand through
social networking sites. Active social media users are more likely to read product reviews
online, and 3 out of 5 create their own reviews of products and services. Overall, consumer
generated reviews and product ratings are the most preferred sources of product information
among users of social networks. ( (NIELSEN, 2011)While a good brand campaign will still
include this approach, the modern marketer must also seek to engage customers on Face book,
Twitter, LinkedIn, or any number of other social media or blogging platforms. The need to

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13

engage has increased the marketing noise, if you will, on social networks to the point that
marketers, who in the past could rely on a formula to build brand, must now innovate
constantly, creating engaging content for social media users to interact with and consume.

Theoretical framework

Brand
Awareness

Social
networks

Word of mouth

Advertising
and Sales

Communication
and brand
recognition
Brand
engagement

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14

AIMS, PURPOSE AND OBJECTIVES

OBJECTIVES
The objects of this research on the topic social networks and their effects on Brands are as
follows:
To identify factors those are affecting the brands through social networks.
To discover answers to questions by applying analysis of questionnaires.
To either gain insights into the phenomenon or gain familiarity with it.
To look for any new ideas and concepts.
To test the hypothesis in order to come to a conclusion.
To make recommendations to improve further studies in this field.

HYPOTHESES
H1: There is a positive relationship between social networks and brand awareness.
H2: There is a positive relationship between advertising on social network and sales.
H3: There is a positive relationship between the word of mouth and advertising on social
networks.
H4: Social network is positively related to brand recognition and communication.
H5: there is a positive relationship in consumer brand motivation and social network

LIMITATIONS
Some of these limitations that were faced during this research were:

Access to information,

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15

Lack of sufficient resources such as financial resources as well as time for gathering
data.

The sample size was also limited. One more limitation faced at the end was the
measure which was used for gathering data.

DELIMITATIONS
The information used in this paper is from a lot of web sources and books. It was also collected
from the respondents of the questionnaire. Even though it is as unbiased as possible, the
opinions in the study are mainly of the author. A lot of information from the online sources is
rephrased and included in this paper. The researcher has put every effort to collect as recent
data as possible and to keep this thesis as unbiased as it can be.

SCOPE
The study is confined to focus on brands and social networks only. It will broadly discuss the
social networking engines available in Pakistan and mostly are being used and the marketing
strategies that are used by brands on social networks to market to a global audience, using this
social network platform, the brands have revived and are establishing relationships with
consumers. The study will also cover the role of consumer involvement with brands pages and
communities on social networks as a new marketing tool in social media.

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CHAPTER 3 METHODOLOGY
PURPOSE OF THE STUDY
The purpose of this study is to analyze the different social networking sites. The other purpose
of this study is to see how marketing is being done using the social networking sites like face
book, twitter, LinkedIn etc. It will also be analyzed that how marketing is being done by
providing customer service, as how consumer are engaged in brands through these social
networking sites

AREA OF STUDY
Since, the topic I chose is social networking engines and their effects on brands or businesses.
Thus my area of study is advertising, consumer behavior and brands. The quantitative data will
be used to discuss the outcomes through bar charts, pie chart or percentages which will be
interpreted.

RESEARCH METHODS
The research methods will contain a questionnaire. It will be used to gather up the data on this
research topic. This is a quantitative research and involves connection. It is said to be
quantitative because of the research tool that will be used in the research as quantitative and it
is has large samples, wide respondents and involves the use of planned questions, where the
answers have been set and large number of respondents is involved in it.
I did not choose the qualitative data as qualitative research requires a lot of questions and that
open ended questions with a focus group or full in-depth, as well as contains individual
interviews face to face, through telephone etc. since the time is limited and considering
different cities, therefore limited resources and time constrained will not fit to qualitative
research.

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RESEARCH POPULATION
In this study the research population will be general pubic of Pakistan, including the genders,
males and females. Doesnt matter ,they may be of any age and ethnicity, as every age group
has a different approach which will help in understanding more easily and conveniently that if
they are in the support and agree or not of the social networking engines and their effects on

brands or businesses in Pakistan.

SOURCES OF INFORMATION
The data was gathered using a number of sources. The secondary as well as primary sources
were used. The details are given below.
Primary source
Primary data is the main source of data that must be analyzed properly and completely.
Questionnaires form a major part of the primary data and are mainly included under this
heading. Even though secondary data is available, it is still the main primary data that must be
analyzed. Primary data was collected from different individuals. No biasness was done in
collecting the data as the respondents belonged to different age groups and profession.
Secondary sources
The secondary sources used in data collection included online newspaper, articles, books.
Journals were also analyzed to get information out about the topic of this research.

RESEARCH DESIGN
SAMLING DESIGN

Target population: While conducting the research on social networks and their effects
on brands students of Masters and Bachelors programs were targeted from Karachi.

Element: Students including male and female both, of all programs i.e. BBA, MBA, BSC,
and BSS.

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Sampling unit: Graduates i.e. Masters in Business Administration

Extent: Universities of Karachi, such as Bahria University, Karachi University, Fast

university etc

Sampling size: Data for this study were collected from 53 people online.

DETERMINATION OF SAMPLING SIZE

Variable: Since the research is conducted to see the effects of social networks on brands
Independent Variable: The independent variable is social networks
Dependent Variable: The dependent variable in this research is brands.

DATA COLLECTION
After filling the entire questionnaire, the filled the data was coded in software namely ,SPSS
for the further proceedings to conclude and obtain the results.

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CHAPTER 4 RESULTS AND

DISCUSSION
DATA ANLYSIS AND RESEARCH FINDINGS
Subject Demographics and Characteristics
.
H1: There is a positive relationship between social networks and brand awareness.
P = 0.000, Alpha = 5% = 0.05 , Mean diff =1.58491
At 5% significance level, the data provide sufficient evidence to conclude that there is a
positive relationship between social networks and brand awareness, therefore we reject null
hypothesis.
H2: There is a positive relationship between advertising on social network and sales
P = 0.000 , Alpha = 5% = 0.05 , Mean diff = 1.8367
At 5% significance level, the data provide sufficient evidence to conclude that there is a
positive relationship between social networks and advertising and sales, therefore we reject
null hypothesis.
H3: There is a positive relationship between the word of mouth and advertising on social
networks.
P = 0.003 , Alpha = 5% = 0.05 , Mean diff = 1.7424
At 5% significance level, the data provide sufficient evidence to conclude that there is a
positive relationship between social networks and advertising and word of mouth, therefore we
reject null hypothesis.

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H4: Social network is positively related to brand recognition and communication

P = 0.000 , Alpha = 5% = 0.05 , Mean diff = 1.11981
At 5% significance level, the data provide sufficient evidence to conclude that there is a
positive relationship between social networks and brand recognition and communication,
therefore we reject null hypothesis
H5: there is a positive relationship in consumer brand motivation and social network
P = 0.028 , Alpha = 5% = 0.05 , Mean diff = 3.3089
At 5% significance level, the data provide sufficient evidence to conclude that there is a
positive relationship between social networks and brand motivation, therefore we reject null
hypothesis
Data relating to stated objectives/hypotheses

1. Motivation behind following a brand or joining a brand page

Brand invitation

2 4%

Advertising

13 27%

Friends invitation

11 22%

Personal research

11 22%

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Loyalty towards the brand

12 24%

Interpretation

It is found that about 27 % of the respondents agreed that brands advertise or they promote
their products or services through the social network. Most of the brands advertise through
social network because of advancement of technology, plus it covers a huge market of people
with different preferences, and it is also an easy and a cheaper way to advise their products and
services and internet is considered as the best way to spread the messages.24% respondents are
the loyal customers of the particular brand.4% people join a brand page is due to the brand
invitation where as 22% respondents follows the brand page because their friend invited as it is
also representing the word of mouth advertising being done, while 22% is the personal research
of the respondents to join the brands page on social networks.

2. Do you purchase a product or avail a service after positive feedback on social

network?

Yes

25 51%

No

8 16%

Sometimes

16 33%

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Interpretation
51% people said they purchase a product or avail a service if they find a positive feedback
about it on social media. This means customer service is the new marketing. 33% said it
depends whether it is of interest to them or not. But a positive feedback definitely leads to
positive sharing whether product/service is used or not. 16% no they dont go for purchase
right away.

3. What do you think about advertising on social network?

It is a good way to market to the relevant audience

37 74%

Its not good as it lets the company access my personal information

5 10%

I dont care as I do not look at the advertisements a lot.

8 16%

Interpretation
Social media provides options to the companies to target their audience by saving their
preferences. This feature lets the companies target the audience and display ads on the profiles
of the targeted audience only. 37% believe it is a good thing to see advertisements that they will
be interested in instead of looking at all of the.5% people believe that they do not appreciate a
company using their personal information to target them because it means their privacy is being
invaded with advertisements. 8% did not bother about advertising on social media at all.

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4. Do you think social network has a positive influence on brand awareness?

Yes

35 70%

No

0 0%

May be

15 30%

Interpretation

Results have shown that about 70% respondents agreed that brands attempt to increase brand
awareness through social network websites. This shows that most of the companies use social
media websites to make their products aware to the customers. Through social networks,
brands builds awareness by promotional activities, giving discounts and other attractive offers
to make their brands to be recalled easily.

5. Do you think that the social networks have changed or improved consumer relations
and brand recognition?

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Yes

41 84%

No

8 16%

Interpretation

84% of the respondents agreed that social network has a positive influence on brand
recognition as more the consumers interaction on social sites more the voices and more
reviews and critics on communities of brands, so they take them seriously and bring changes so
more interaction brings more recognition. It has improves the customer relations by
continuously updating brands fan pages on social networks, by interacting one on one with
their customers and listening to their ideas, comments be it positive or negative and to listen
what their customers expect from them.

6. Have you ever made any purchase because of its advertising on social network?

always

12 24%

rarely

32 64%

never

6 12%

Interpretation

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24% respondents answer always that they purchase any brand because of its advertising done
on social network, where as 64% marked on rarely that it is not must to make purchase of that
brand which is advertise on social network, since there are a lot of brands being advertise now
on social networks and not every brand one has to buy. While 12% respondents answer that
they never purchase any item or brand that is being advertise on social network.

Discussion
The result of the research shows that it is strong evident that the social networks have become
the opportunity for the brands and a platform for the brands to interact with the huge audience.
The result shows that there is a positive relationship between the social networks and
advertising. Through social networks, brands can advertise themselves; they get variety of
customers to target and to advertise their brands and products by bringing up many promotions
and giving discounts. Through the online advertising and brands present on social networks
make the customer to purchase the brand, not only the loyal customers but also the potential
future customers. Users get to know about brands which they might even dint know previously.
The communication has increased through social networks, there are a lot of brands pages on
social networks like face book, twitter, LinkedIn that help in the interaction between the
customer and brands. accessing these social sites from mobile phones have given the users to
spend more time now and can access anytime, which gives the chance for brands to have more
users and customers. Users now can share many updates, opinions, and photos, through these
reviews the brands reads and take action to what their customers want more and new.
Therefore, through social network more communication is done and easily. With the increase
in users on these social networks and information the brand awareness has also increased. A
brands can share its information, upload pictures of the products, if they want users to join their
page they can invite them and through this the brands built their identity. Twitter and other
social networks like face book and LinkedIn, they allows engagement with the users and
customers in a viral way. Loyal and satisfied customers or users would re tweet messages that
they would love to recommend. Through constant and essential tweeting, the brand awareness
would be enhanced. A short, sweet yet sufficient message would serve as a great marketing

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attention-grabber. Social networks have a positive relation with the brand recognition and yes,
social network can be used as a brand building tool, with social networks brands decide how to
position their brands, with consistent effort and build reputation for the brand and brand values
and advantages.

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CHAPTER 5 CONCLUSION
Summary of Findings
It is very important to have a look at the topic before providing the summary or to
conclude the topic. The topic was about social networking including most used networks that
includes Face book, twitter and LinkedIn, and how marketing is being done by the brand with a
focus on the aspect of customer service. It was analyzed that social networking engines provide
millions of customers for the brands and businesses. They also help in identifying the target
market with the preferences. It is the job of a brand to see how well they can use the social
network.
The literature review helped in analyzing the different aspects of social network. The
literature review of social networking engine gave a brief description as to what role the social
networking engine plays in marketing by analyzing all the brands available. Every brand
operating on the social networks have to realize the importance of customer service and its role
as a new marketing tool. All the brands on face book, twitter or LinkedIn have to advertise
their products, make creative decisions to bring up more innovative products. So that more
reviews available, views of the images for customer to whatever they want and more customer
oriented audience related to that brand (HEGGESTUEN, john, 2013)
Since all brands have its own unique personality and goals. Twitter or Face book, may not be
right for them. Brands that have small social network budgets can still achieve a high level of
brand awareness by focusing their resources on just one or two platforms. The platform choice
ultimately depends on what your brand is trying to achieve. it is not mandatory to focus on all
the social medium but by checking the pocket and then brands can look for what audience and
medium to focus on (OVA, Tony dan, 2013)It is recommended that companies use social
network as an opportunity for discovering what customers are really interested in,
what complaints they have and what ideas they might have for product development
(KORNAAT, 2010); (PICARD, 2011)As points of measurement it is recommended to get

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insights about reach in terms of the number of consumers who really have conversations on the
brand and the content that the brand offers online , frequency and traffic in terms of unique
users and their rate of revisits , influence in the sense of real discussions
taking place on the brand between users, conversations and transactions as in do people really c
lick through on links that you offer or participate in the content and finally the durability of
their

relationship

(KORNAAT,

2010)

The questionnaire results were a true reflection of what the customers think. Many believed
that by providing a proper customer service online, it is easy for a company to market its
products. The companies who act online promptly are considered more responsible as
compared to others who are late to the market. All the hypotheses are accepted as the entire
hypothesis are true and this is concluded from the findings and by analyzing the questionnaire
filled by the students.
According to different studies many customers believe that any company marketing
online must realize that with so much of information coming in every second, a company needs
to be extremely fast and smart in responding to the customers. Just like a positive publicity,
there is negative publicity. For any company to create hype online it must ensure that all the
customers are happy. As the speed of sharing is increasing, so is the way customers are seeing
the company. It takes a second to change the perception of the customer. Companies should
know that the customer of today is well aware and prepared therefore a company must ensure
that they are well prepared before they enter any market be it social media.

Conclusion
For any marketer to reach global users, they can use any social network that they want
to. The jobs of social network specialists are increasing with every passing day and it is the
new field that has quite the hype in the market. But it takes a couple of responsible people to
go out there and create a positive image of the company. Marketing on social networks can be

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done in two ways. Either the company can go for paid advertising or start a viral campaign.
The consumer behavior can be influenced only if a company understands the network and the
users properly.
The social network of consumers is the biggest marketer that a company can have.
Brands need to be present wherever audiences invest their time and attention. Increasingly, that
means social network. Brands and businesses that are hidden on social networks will fail to
spot at engagement that their competitors might grab. More significantly, there are already
well-known cases of brands that successfully revived their image or launched themselves,
thanks to social network.
Research has determined that retailers can increase awareness of their brand by being creative
when engaging customers on social media sites. As more shoppers are using social media for
example Twitter, Face book, and LinkedIn and rely on them for marketing shopping decisions,
promotion through these media has become important ( (AL, Shankar et, 2011)). According to
( (AL, Curran et, 2011)social media sites such as Face book are better than other advertising
avenues because it stores information on all its users thus ensuring marketing reaches a
retailers specific target market. Social media sites are a great stage for retailers to create an
experience and retailers can use information stored on social media sites to improve user
experience with their brand.

Some of the opportunities that social networks offer to the marketing communications of
brandsare potentially very large communities of interested consumers (FANLIST,
2012)an opportunity for effective interaction with customers ( (DRURY, 2008); (AL, Kaplan
et, 2010); (PICARD, 2011; KORNAAT, 2010); (PICARD, 2011)as well as an opportunity for
discovering what customers are really interested in, what complaints they have and what ideas
they might have for product development ( (KORNAAT, 2010); (PICARD, 2011)Additionally,
(AL, Mangold et, 2009)as well as others (AL, clow et, 2012); (AL, De Pelsmacker et, 2010)),
stressed the possibility that social network can and should be used as a tool to create positive
Word of mouth. Also social networks seems to be a good medium to organize special

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promotions for fans as this seems to be highly appreciated ( (AL, clow et, 2012). Additionally,
emphasized the relative lower cost of social network than can be achieved with old media.
(AL, kaplan et, 2010) Add that this offers an opportunity for small and medium sized firms,
not-for- profits as well as governmental organizations

According to a study, the friends of a consumer on social network have the power to influence
a customer to make the purchase (IYENGAR, Raghuram et al., 2009). For some companies it
might be the biggest thing to market on social network by according to few authors, social
network launch is the worst thing that ever happened to the marketing area. The marketers do
not consider the target market instead they consider anyone and everyone to be their target
audience. According to traditional marketing techniques, a company had to identify, segment
and then target. In social network it is about targeting, then segmenting and finally identifying
(GOLDFAYN, Alex, 2012). It may be easy for companies to engage their social network
marketers in a conversation with their customers and know what they feel about their brand,
but it may not be the right opportunity. Talking to a customer on phone and having a real
conversation is different and brings in totally different results (C, Eridon, 2012). It will take a
lot of time before companies will come up with a marketing plan based just upon the social
networking engines, for now they are a substitute and will just be used as a way to please the
customer online to refrain him from spreading negativity about the company.

Recommendations
Following are the few recommendations for the companies using social networks for
marketing purpose.
1. It is always a good idea to create a proper plan before launching the presence on
social network to avoid any sort of mistakes that can turn the company into a
disaster.

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2. Social media is much more powerful and companies may not realize it but customer
is the in charge here and therefore keeping all the customers happy all the time is
the key to success.
3. Monitor social network website by hiring social media specialists to ensure there is
no negative hype that will put an end to social networking for your company.
4. Think before you write on the network because it is easy to share on social network
and within seconds millions will have access to information that is online.
5. Whenever a company plans to implement a viral campaign they must think it
through. They must at least predict the end of that campaign and results. Everything
needs to be planned before it goes online on the network.
6. Companies must realize that keeping all the customers happy can be the main key
to success on social network. Customers are the new marketing tool as they will
spread good word of mouth about the company.
7. Company must use the social network that suits them. Jumping into the world of
social networks also needs a well thought out plan that needs implementation.

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Bibliography
Brennan. 2010. improving revenue and custoemr engagement with social media., p.13.
Brown, lisa. 2011. The New Conversation:Taking Social Media from Talk to Action.
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Brown, Milward. 2011. how should your brand capitalise on social media.
C, Eridon. 2012. 11 Ways to Make Social Media Marketing Less of a Time Suck. Retrieved
November 22, 2012, from hubspot: http://blog.hubspot.com/blog/tabid/6307/bid/33438/11Ways-to-Make-Social-Media-Marketing-Less-of-a-Time-Suck.aspx.
Clere. 2010. Social Media in Telecommunications. lulu.com.
Eridon, Corey. 2012. 11 Ways to Make Social Media Marketing Less of a Time Suck.
Available from World Wide Web: <http://blog.hubspot.com/blog/tabid/6307/bid/33438/11Ways-to-Make-Social-Media-Marketing-Less-of-a-Time-Suck.aspx>
Evans, Dave. 2010. Social Media Marketing: The Next Generation of Business Engagement.
Wiley.
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Wide Web: <http://mashable.com/2012/09/07/social-media-bad-marketing/>
Heggesuen, john. 2013.
Iyengar, Raghuram, Sangman HAN, and Sunil GUPTA. 2009. Do Friends Influence Purchases
in a Social Network? Harvard Business School.
Mainwaring, Simon. 2012. Why social media means customer service can make or break your
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Toby merrill, Kenneth Latham, Richard Santalesa, David Navetta. 2011. The Business Benefits
May Be Enormous,But Can the Risks,Reputational, Legal, Operational Be Mitigated? social
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Zarrella. 2009. The Social Media Marketing Book. O'Reilly Media.

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APPENDIX
Please identify your age group
Less than 18
18-24
25-39
40-60
Please identify your gender
male
female
what are top used social networks
face book
twitter
linked In
other
Time dedicated for socializing through social networks
More than 5 hours
Three or four hours
Less than three hour
One or two hours
Motivation behind following a brand or joining a brand page
Brand invitation
Advertising

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Friends invitation
Personal research
Loyalty towards the brand
Why do you use your particular social network?
To keep in touch
To form professional network
To discover about new products and services
To promote a brand
To get feedback regarding a product or service
Considering social network in buying decision of brands
Always
Most often
Rarely
Never
How do you perceive marketing on social networks
Useful
Very useful
Somewhat Useful
Unbearable
Do you purchase a product or avail a service after positive feedback on social network?
Yes
No
Sometimes

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Do you believe that brands have gotten better because of social media?
Yes
No
Do you believe that social network marketing is more effective for brands?
Yes
No
Sometimes
How would a negative feedback on social network affect your perception of a brand?
I will start doubting the brand
I will do more research and consider other social network
It would not change my perception at all
Do you believe social media is the best way to interact with a brand?
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
What do you think about advertising on social network?
It is a good way to market to the relevant audience
Its not good as it lets the company access my personal information
I dont care as I do not look at the advertisements a lot.

Do you think social network has a positive influence on brand awareness?

Yes

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No
May be
Do you think that the social networks have changed or improved consumer relations and
brand recognition?
Yes
No
Does your opinion of a brand change if it has no presence on social networking sites?
Yes
No
Benefits of using social networks sites for brands
Increase exposure
Wide market place
Grown business partnerships
Develop loyal fans
Improved sales
Reduced marketing expenses
Do you follow only known brands?
Yes
No
Both
Have you ever made any purchase because of its advertising on social network?
always
rarely

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never

Bahria Institute of Management & Computer Science, Karachi