PROJECT PROPOSAL
on
". “IMPACT OF DIGITAL MARKETING AND SOCIAL MEDIA ON
PURCHASING DECISION OF YOUTH (OF BHOPAL)”
Submitted to
JAGRAN LAKECITY UNIVERSITY, BHOPAL
For the Degree of
BACHELOR OF COMMERCE/ BACHELOR OF
ARTS
Batch 2021
FACULTY MENTOR: SUBMITTED BY:
DR. SARVESH MOHANIAN ANUPRIYA NATH
JLU ID JLU06243
Roll No. 2021BCHO005
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CONTENT
S. No. Particulars PageNo
1 Declaration 03
2 Acknowledgement 04
3 Introduction 05
4 Types of consumer behaviour 06
5 Advantage of consumer purchasing decision 08
6 Disadvantage of consumer purchasing decision 09
7 Literature Review 10-11
8 Research methods 12
9 Hpothesis of the study 13
10 Data anaylsis& interpretation 14-17
11 Result of the study 18
12 Limitation of the study 19
13 References & Bibilography 20
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DECLARATION
I hereby declare that this project proposal report entiled “ impact of
digital marketing and social media on purchasing decision on youth
{Bhopal}” was carried out by me for the degree of BCOM
HONORS {BANKING & FINANCE} under the guidance and
supervision of DR. SARVESH MOHANIA assistant professor of
school of commerce & economics . The interpretations put forth are based
on my reading and Undertaking of the original texts and they are not
published anywhere in any form. The other books articles and websites,
which I have used are acknowledged at the respective place in
the text.
PLACE :- BHOPAL
NAME OF THE STUDENT: - ANUPRIYA NATH
PROGRAM:-B.COM HONOURS (BANKING & FINANCE)
ACKNOWLEDGEMENT
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I would like to express my special thanks of gratitude to my
research guide DR. SARVESH MOHANIA assistant
professor of school of commerce & economics who gave me the
golden opportunity to do this wonderful research project on the
topic: “IMPACT OF DIGITAL MARKETING AND SOCIAL
MEDIA ON PURCHASING DECISION OF YOUTH (OF
BHOPAL)” which also helped me in doing a lot of research and I
came to know about so many new things.
IMPACT OF DIGITAL MARKETING AND
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SOCIAL MEDIA ON PURCHASING DECISIONOF YOUTH (OF
BHOPAL)
INTRODUCTION :
Who are consumers? What is consumer buyingbehavior?
A consumer is a person or group of persons who intends to order, purchase
goods,Products for their needs and wants. They purchase certain goods for
his/her ownneed and uses or for their consumption. They do not resell
thegoods but utilize it fortheir satisfaction.
CONSUMER BUYING BEHAVIOUR:-
Consumer buying behavior is a study of individuals, groups, or firms and all
activities associated with purchasing and use of goods and services to satisfy
theirneeds and wants.
TYPES OF CONSUMER BUYING BEHAVIOUR
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1. Complex buying behavior:-
This type of behavior happens when consumer is buying expensive and
infrequenttype of product. For e.g, while buying a house or a car.
2. Dissonance-reducing buying behavior:
This type of behavior occurs when consumer is highly involved for buying
products but sees little difference between the brands. E.g, while purchasing
diamond rings.
3. Habitual buying behavior:
This type of behavior happens when consumers does not think much before
buying and their decision making is low and they buy products very often.
4. Variety seeking buying behavior:
This type of behavior occurs when consumers are not involved with lots of
purchase but keeps on changing their product brands and varities according
to their tastes and preferences.
WHAT IS DIGITAL MARKETING?
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Digital marketing refers to online market that utilizes internet or digital
based technologies to promote products and services. It helps in connecting
with thecustomers and are available 24/7. Though in digital marketing the
customers mightnot be able to connect to the retailers directly but they can
shop anywhere andwhenever they want to. This includes not only social
media but, email, web basedadvertising and also texts and multimedia
messages which are opted by manymarketers as their marketing tactics.
CONCEPT OF SOCIAL MEDIA INFLUENCE ON CONSUMER
BUYING BEHAVIOUR
CONTENT:-
Around the world companies are trying to find out new techniques and ways
to keep them constant in a market. In current year, traditional market is just
a small segment .therefore, many firms are opening digital approaches and
are taking help of social media to advertise their products to increase the
value of goods and services provide by them.
In understanding the effects of social media on advertisement of brand
nameand image is taking a vital control on the world.
The social media had laid down a vital information carrier and granted
theconnection between the retailers and consumers stronger.
Customer satisfaction is the most imp. point whenever anyone talks
aboutsocial media marketing. In the survey- the researcher has found
that only 70%
consumers are satisfied will e-marketing and the rest 30% are still
dependentand likely to prefer nearby or local market.
.
ADVANTAGES OF SOCIAL MEDIA ON
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CONSUMER PURCHASING DECISIONS
Brand Awareness: Social media helps in creating the awareness
aroundthe world about a firm's new brand product.
Helps in Promoting and Advertising: Social media not only aware
the people, the consumers around the world, but it helps the firm toget
recognized and attract new customers to try new product
Survival in the market: Social media helps the firm to survive at one
firm will get to know what the other firms are opting, which new
techniques &new strategies for their survival.
Connection with the consumer: These days all types of brand
whether it is a skin product, clothing, accessories etc provides the
customers to give their opinions or reviews about the product so that
the producers can connect and understand the consumer preferences
and choices. It would help them to connect improvise their products or
brands.
Customer loyalty: When consumers review and opinions are taken up
happily by the producers, the loyalty increases towards the brand &
consumers might advertise or promote the product. In the research the
customers loyalty was more than 67% than the unlinking one, as the like
toshop again & again through e-market.
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DISADVANTAGES OF SOCIAL MEDIA ONCONSUMER
PURCHASING DECISIONS
Time consuming: Though some social media sites are free but they
require a lot more time as the businesses tries to provide good & respective
info about product. Therefore, it takes a lot of time and is a very time
consuming process
.
Decrease in ROI(Rate of interest): Many social sites are required
daily basis interactions as brands or businesses are require daily info. to the
customers, if not there would be decrease in ROI and will reduce the
followers.
Negative feedback: Due to the options of the reviews are available
feedback can pull one leg downtowards defaming of a brand or a product so
sometimes social media is not a good option for the promotion.
Difficult in measuring: It is very difficult in measuring the effort and
effectiveness on social media. The interactions with customers are good but
at someplace it's difficult to analyze the business and what measure &
strategies should one can opt for stabilizing in the market.
Limited social media platform: When someone talks about
advertising in social media platform, the very famous & only Facebook,
Instagram, YouTube, LinkedIn comes in mind but what about the other
platforms? Many people even think the ads which pops in other social
mediasites are fake.
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LITERATURE REVIEW
Stegmann & Sutton Brady analyzed that online marketing issues,
digitaladvertising, public relations have a psychological impression in
the minds ofcustomers. Many organisation believes that online
marketing can reachmaximum number of potential customers
.
Mo. Irfan in his study on the topic “consumer behavior
decisions:Personalselling & sales promotion” stated that the actions of
consumers who want tobuy or not become important parts of
individual selling & sales promotion onpartially and simultaneously
purchasing decisions. The sample in this studywas 100 respondents.
The data analysis, technique in this study uses multiplelinear
regressions.
Sara Radicati, 2010, suggests that from unsolicited commercial email,
alsoknown as “spam” which is an increasing problem for consumers
accessingtheir email.
Rowley, 2004, P.26- The digital revolution has impacted consumers
andbusiness alike. The internet – a huge source of information has
created aplatform where it has several important marketing aspects
and variouscompanies which has builded 24/7 online E-market for the
customers to shop
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William E Baker in his study suggested the marketing strategies and
firmperformance. The marketing and the natural environment have
called forresearch that connects environmental marketing strategies to
the performanceof the firm. This research constructs and examines its
relationship with thefirm’s performance.
Mo. Nagsimha Kanagal of IIM Bangalore , stated in his journal about
digitalmarketing and its strategies. The digital marketing is also called
onlinemarketing where various firms promotes their brands and
products throughonline purchasing sites which are available 24/7.
Therefore around 70% of theyoung generation believes in online
shopping.
Winer (2009) states the opportunity of advertising on blogs, which
describesas a website built around a theme where the users share their
opinions andencourages others to discuss by explanation.
Mei-Lien-Li in his study stated that the trust is the most important
aspect forany kind a business where we customer satisfaction should
be a significantfactor only for purchase intention. Retailers should
deliver more values toshoppers through promotion activities to build a
long term and mutuallyprofitability relationship with shoppers.
Kiani (1998) has presented in his research a set of guidelines for
advertisingon the web. The impact is immediate. Nutella is the perfect
example; whenmany passionate consumers began creating online
opportunities around thebrand where the company intervened.
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RESEARCH METHODS
OBJECTIVES OF THE STUDY:
To study the relationship between the modes of digital marketing and
social media.
To examine the effect of implementation of social media for
purchasing decisions of youth of Bhopal city.
To determine the possibility of embracing the strategies by online
retailers by registering with the consumers..
STUDY DESIGN :
This project will be using l as secondary data. The primary sources
will be used to collect the data from the respondents for the accurate
results for the study whereas the secondary sources are referred for
the theoretical references.
GEOGRAPHICAL AREA :
The research of the project was conducted mainly within the
economicboundaries of Bhopal, MP, India .
DATA COLLECTION PROCEDURE :
The data for this research project is mainly collected from the
questionnaire and some secondary data such as books, journals,
research papers and articles have been used
.
SAMPLE SIZE:
The sample size for this research study is 100.
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HYPOTHESIS OF THE STUDY:
H0- There is no significant relationship between
effective marketing strategy and consumer behavior.
H1- There is a significant relationship between effective
marketing strategy and consumer behavior.
In conducting my research paper, I opted to use secondary data as a primary
source of information. Secondary data, derived from existing sources such
as research publications, government reports, and databases, has proven to
be valuable in providing a comprehensive understanding of the research
topic. By utilizing secondary data, I am able to analyze and synthesize a
wide range of information effectively. This approach offers several
advantages, including cost-effectiveness and time efficiency, as the data is
readily available and collected by other researchers who have already made
significant contributions to the field. Additionally, utilizing secondary data
enhances the credibility and reliability of my research findings, as they are
based on well-established sources. However, it is crucial to critically
evaluate the quality and relevance of the secondary data to ensure its
appropriateness for my research objectives. Overall, by utilizing secondary
data, I aim to contribute further to the existing body of knowledge in my
field of study.
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DATA ANALYSIS AND INTERPRETATION
1. Do you like purchasing products online more than nearby markets
OPTIONS NO. OF RESPONES PERCENTAGE
YES 70 70 %
NO 30 30%
TOTAL 100
This question analyze about how many respondents like to purchase
product through online sites more than nearby markets, through which
about 70% of the respondents replied that they like to purchase products
online and about 30% likes to buy through nearby markets.
2. How do u get information about products?
OPTIONS NO OFRESPONES PERCENTAGE
FRIENDS 11 11%
FAMILY 07 7%
ADS ON TV 13 13%
ADS ON DIGITAL 21 21%
MEDIA
ADS ON SOCIAL 36 36%
MEDIA
SOURCES 12 12%
TOTAL 100
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This question analyze about how the respondents get the information
about any product in any type of market. For this responses has been
come out In favour of ads on social media whereas the digital media
has the influence on the respondents more than the other options with
a percentage of 36% and21% respectively.
3. Do you collect information before purchasing the product?
OTIONS NO OF RESPONES PERCENTAGE
YES 96 96%
NO 4 4%
TOTAL 100
This question analyze that do the respondents collect information
before purchasing any product. And with a huge favour towards yes
atleast 96% of the consumers do collect info regarding any product
before purchasing.
4. which type of social media provides you the relevant information about
any product?
OPTION NO OF RESPONES PERCENTAGE
FACEBOOK 15 15%
YOUTUBE 44 44%
WHATAPP 00 0%
INSTAGRAM 06 6%
OTHERS 11 11%
TOTAL 100
This question analyze about that how the consumers get the information
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from which social media. And the analysis shows that Instagram had a
more impact and vital information about products with 44%.
5. Do you change your initial purchase preferences after searching relevant
information via social media sites ?
OPTIONS NO OF RESPONES PERCENTAGE
ALWAYS 11 11%
OFTEN 23 23%
NEVER 5 5%
RARELY 10 10%
SOMETIMES 51 51%
TOTAL 100
This question analyze that does the customers change their preference after
collecting relevant info via social media. And around 51% do changes their
preferences after getting influenced by social media.
6.What type of information will you collect while buying online?
OPTIONS NO OF RESPONES PERCENTAGE
Price 4 4%
Quality 14 14%
Attributes 1 1%
Quantity 0 0%
Customer’s 13 13%
satisfaction
All of the above 68 68%
TOTAL 100
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This question analyze that what type of information is collected the most by
the consumers during online shopping. And for this the answer highly
believes that the68% customers like to get all type of info i.e., price,
quantity, attributes, quality, cus tomers satisfaction etc., all these types of
info is likely to be collected by them before purchasing.
7. How satisfied are you by the products ad on various social media
platform?
OPTIONS NO OF RESPONES PERCENTAGE
More than 80% 14 14%
Between 50-80% 67 67%
Less than 50% 19 19%
TOTAL 100
RESULTS:-
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This paper suggests that place attractiveness, word-of-mouth customer to
customer marketing, customer service beyond simple product advice,
community embededness and informal but meaningful interpersonal
relations between shop owner and customers are some of the key pillars of
the strategic marketing approach that should be undertaken by the retailers
for influencing the consumer behavior.
A structured questionnaire was given to 100 respondents of Bhopal City to
know their perception and preferences’ regarding various preferences and it
was found out that the age group of 15-25 years constitute the largest group
among the respondents who are excessively influenced by the implication of
social media marketing and online purchasing .
It has been observed that various factors such as demonstration of the
product, fair prices, ease in transaction, other promotional activities etc
plays a vital role in enhancing the sales and, in turn, profitability of online
business concern. So in order to grab the opportunities in the business
environment and prepare for the threats, a rational retailer should not
overlook the following factors.
Finally, two new findings emerges; first, there is a significant relationship
between the effects of marketing strategies and consumer behavior, and
second, customer overall satisfaction with the firm is positively affected by
undertaking effective marketing strategies.
LIMITATION OF THE STUDY
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1. Sample Size and Representativeness: -The sample size of your study
may be limited, which could impact the generalizability of your results to
the wider population of youth in Bhopal. Additionally, ensuring that your
sample is representative of the target population is crucial to avoid biased
conclusions.
2. Data Collection Method:- The data collected for your study may heavily
rely on secondary data of primary sources self-reported surveys or
interviews, which can be subjected to response bias and memory recall
issues. It is recommended to use multiple data collection methods to
increase the reliability and validity of your findings.
3.Non-Experimental Design: -If your study uses an observational design, it
may be challenging to establish a causal relationship between digital
marketing/social media and purchasing decisions. Randomized controlled
trials or experimental designs are generally more effective in establishing
cause-and-effect relationships.
4. Cultural and Regional Context:- Youth behavior and preferences can
vary based on cultural, social, and regional factors, so it's essential to
acknowledge the potential impact of these contextual variables on your
research findings. This limitation should be considered when interpreting
the results and applying them to other contexts.
5. Changing Technology and Platforms:- The digital marketing landscape
and social media platforms are constantly evolving, with new platforms and
technologies emerging regularly. The study's findings may become outdated
quickly, especially if there is a significant time lapse between data
collection and publication.
REFERENCES;-
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