Tải bản đầy đủ (.pdf) (73 trang)

Chuyên đề tốt nghiệp: A study on the influence of social media marketing activities on customer loyalty towards homewear products in Narylee Company Limited

Bạn đang xem bản rút gọn của tài liệu. Xem và tải ngay bản đầy đủ của tài liệu tại đây (16.26 MB, 73 trang )

<span class="text_page_counter">Trang 1</span><div class="page_container" data-page="1">

NATIONAL ECONOMICS UNIVERSITY

FACULTY OF FOREIGN LANGUAGES DEPARTMENT OF BUSINESS ENGLISH

TRAN TUYET MAI

A STUDY ON THE INFLUENCE OF SOCIAL MEDIA MARKETING ACTIVITIES ON CUSTOMER LOYALTY TOWARDS HOMEWEAR

PRODUCTS IN NARYLEE COMPANY LIMITED

</div><span class="text_page_counter">Trang 2</span><div class="page_container" data-page="2">

NATIONAL ECONOMICS UNIVERSITY

FACULTY OF FOREIGN LANGUAGES DEPARTMENT OF BUSINESS ENGLISH

TRAN TUYET MAI

A STUDY ON THE INFLUENCE OF SOCIAL MEDIA MARKETING ACTIVITIES ON CUSTOMER LOYALTY TOWARDS HOMEWEAR

PRODUCTS IN NARYLEE COMPANY LIMITED

Hanoi, March 2023

</div><span class="text_page_counter">Trang 3</span><div class="page_container" data-page="3">

Trân Tuyết Mai - 11193332 - Business English 61B

First and foremost, I would like to thank my research supervisor, Dr. Tran Thi Dan Huyen from the Faculty of Foreign Languages at National Economics University. Without her assistance and dedicated involvement in every step throughout the process, this report could have never been accomplished. I am extremely grateful to you for supporting and understanding me during the past

The internship opportunity I had with Narylee Ltd. was a great chance for learning and professional development. Therefore, I consider myself as a lucky individual as I was provided with an opportunity to be a part of it. I am also grateful for having a chance to meet so many wonderful people and professionals who led me through this internship period.

Bear in mind previous I am using this opportunity to express my deepest

gratitude and special thanks to Ms Pham Thi Bich Hue and Ms Tran Thi Quynh -Narylee Ltd. Marketing Leader who in spite of being extraordinarily busy with

their duties, took time out to hear, guide and keep me on the correct path and give

necessary advices and guidance.

</div><span class="text_page_counter">Trang 4</span><div class="page_container" data-page="4">

Trân Tuyết Mai - 11193332 - Business English 61B

EXECUTIVE SUMMARY

The objective of this study is to analyze the influence of social media marketing activities on customer loyalty toward homewear products in Narylee Company Limited. Some prior literature was analyzed to emphasize the crucial issues in this Graduation Internship Report. In which, six main components of social media marketing activities were focused on, including Entertainment, Interaction, Trendiness, Customization, Word Of Mouth and Promotion. The data was collected via questionnaire, with the participation of 100 customers of

Narylee Company Limited. Data gathered then analyzed using SPSS version 20.

Results presents that Customization, Promotion and Entertainment are the most significant drivers of customer loyalty, while the lowest ones was the Word Of Mouth, Interaction and Trendiness. All the results were discussed to propose

several recommendations to improve the social media marketing activities at Narylee Company Limited.

<small>ii</small>

</div><span class="text_page_counter">Trang 5</span><div class="page_container" data-page="5">

Trân Tuyết Mai - 11193332 - Business English 61B

SEM: Search Engine Marketing

SEO: Search Engine Optimization

SPSS: Statistical Package for Social Sciences

TRE: Trendiness

WOM: Word Of Mouth

<small>ii</small>

</div><span class="text_page_counter">Trang 6</span><div class="page_container" data-page="6">

Trân Tuyết Mai - 11193332 - Business English 61B

LIST OF FIGURES

Figure 1. Proportion of active online shoppers conducting at least

one online purchase every 2 months...---<cccssssssss* 1 Figure 2. Number of digital buyers worldwide from 2014 to 2021... 1

Figure 3. Number of smartphone uS€rS...--.--- <<. 2

Figure 4. Narylee Ltd.’s company strucfUre...--‹--- 12 Figure 5. Proposed research framewOork... cà 26

Figure 6. Duration of using social media platforms...- 32 Figure 7. Frequency of using social media pÏatforms... 33

Figure 8. Years of relationship with Narylee...cc.ccccc s2 33

Figure 9. Social media platforms for interaction with Narylee... 34

Figure 10. Frequency of using social media platforms for interacting with

<small>iv</small>

</div><span class="text_page_counter">Trang 7</span><div class="page_container" data-page="7">

Trân Tuyết Mai - 11193332 - Business English 61B

LIST OF TABLES

Table 1. Range Interval DIVISION...-..c c2. 29

Table 2. Demographics of respondenfs...-.--- 31

Table 3. Mean scores for Entertainment component... 35

Table 4. Mean scores for Interaction compOnent(...- 37

Table 5. Mean scores for Trendiness component...- 39

Table 6. Mean scores for Customization component... 41

Table 7. Mean scores for WOM component... 43

Table 8. Mean scores for Promotion component...----. 44

Table 9. Mean scores for Overall componenfs...--.-:- -- 46

</div><span class="text_page_counter">Trang 8</span><div class="page_container" data-page="8">

Trân Tuyết Mai - 11193332 - Business English 61B

6. Research methodology...--.- - sec c sóc cm 9 9n Kim 0 1 n8 5

7. Research sfruC(UF€... on con n9 HH HH ni HH Hi Hinh nh Bi 6 CHAPTER 1: INTRODUCTION OF NARYLEE COMPANY LIMITED... 7 1.1. Overview of Narylee Company ILÏINÏ(€C... o5 <5 5 5 5s 55555 556896896 7

1.1.1. Narylee's Mission, Vision and Core (ŒHW€S... <5 << << S s3 3E s+ 8 I1 na ốốố... 11 1.1.3. (a0. 61, .. an n... 11 1.2. Company SÍTUCẦUIT... 0 6 5 6 %9 9 %8 89 894 99.9894 98994.9804.9894.080.94008094089658 12

1.3. Marketing Department in Narylee Company Limited... 12

CHAPTER 2: THEORETICAL FRAMEWORK... << se 14

2.1. Social medlia...-..-- - - co c c9 HH HH HH Họ Ki Ki Ki Bi Hi Bi i90 14

2.1.1. Definition of Social II€đÏÏAG... ... - cc < «c9 S996. 09090. 0V 1 09 1 1 14

2.1.2. Social media in fahsion [HẨUSÍTV... co cm n1 n ni nen15 2.2. Social Media ma k€fÏTE... . s- <5 << 5 s0. 0010000091084 17

2.2.1. Definition of social media IATFK©ẨLH... o5 <<. 1 1 95 981 89 5e 17 2.2.2. Components of social media HIAT€ÍTE...o G5 S11 1 n1 tre 18 2.2.3. The importance of social media IHATK€ÍTHE...o- s55 << sen me 22 2.3. Overview of customer ÏOiAÌÏẨy...o- <5 << 5s. 9... TH. 00 0000600 23

2.4. The influence of social media marketing on customer loyaÌfy...- 24

</div><span class="text_page_counter">Trang 9</span><div class="page_container" data-page="9">

Trân Tuyết Mai - 11193332 - Business English 61B

CHAPTER 3: RESEARCH METHODOLOGY ... 5 << eS.Sesseesee 27 3.1. Data SOUTCS... có G5 5... nụ TH c0 0 0 0 0000000900960 0950096 000 27 3.2. Data collection insfrumenfS...--.--- «c5 c1 1 1n 1n 19 56 27

3.2. Data analyzing me(hod...---- - << c2 9 9 S0 0 Vi 11 1Ý 16 1151 29

KK6Wx ¿on nẽe ốe... 29

CHAPTER 4: FINDINGS AND DISCUSSION... on n1 ngu” 31

4.1. The reality of social media ... o - <5 << 5 S 9 9.9. 0H. 00900880 688006866 31

4.1.1. Demographics Of SOCIAL MeCdIA ú... co < 6s << 999 8 998995896989996089968846988896086996 31

4.1.2. The reality of social media marketing activities in Narylee Lid... 32 4.2. The influence of social media marketing activities on customer loyalty

towards homewear products in Narylee Company Limited...- -ss- « 35 4.2.1. The influence of Environment component on customer loyalty

towards homewear products in Narylee Company LIIHẲÉ€(Ï...es«=<ss<<se=s 35

4.2.2. The influence of Interaction component on customer loyalty towards

homewear products in Narylee Company Limited ...ssscssccsssssssssccssssssssscssesssscseees 37 4.2.3.The influence of Trendiness component on customer loyalty towards

homewear products in Narylee Company LÍTHÍÍ€(Í,...c << ssss=ssesssesseeee 39 4.2.4. The influence of Customization component on customer loyalty

towards homewear products in Narylee Company LHẲ€(Ï...e-s«<<s==<se=s 41

4.2.5. The influence of Word of Mouth component on customer loyalty

towards homewear products in Narylee Company Liừmif€d... «‹«=<43

4.2.6. The influence of Promotion component on customer loyalty

towards homewear products in Narylee Company Limif€d...--<-«- 45 CHAPTER 5: RECOMMENDA TIONS...--- SA nen 47 5.1. Recommendations for Entertainment C0ompOTRÍ... << 55 << 55s <sess 47 5.2. Recommendation for Interaction C0mpDOTI€TIÍ... s5 << 5 5< 5e s99 47

5.3. Recommendation for Trendiness componen(f... -.‹ - ‹ « «« «<< 48

5.4. Recommendation for Customization componenf... ... .. -. - <«<«49

5.5. Recommendation for Word Of Mouth component... -... 49 5.6. Recommendation for Promotion comp0nen(... ... ... -. - -‹ < « ‹ « «« « «« «<<50

</div><span class="text_page_counter">Trang 10</span><div class="page_container" data-page="10">

Trân Tuyết Mai - 11193332 - Business English 61B CONCLUSION

REEERENCES APPENDIX

</div><span class="text_page_counter">Trang 11</span><div class="page_container" data-page="11">

Trân Tuyết Mai - 11193332 - Business English 61B

1. Background

The Internefs quick expansion in today’s culture has changed how

companies engage with their customers. In today’s society, the rapid

development of the Internet has altered how businesses interact with their customers. Customers would prefer to stay at home to investigate new products, surf some social networking sites or e-commerce platforms to learn about prices or read reviews and feedback before making purchase decision than visit the stores directly as demonstrated in the figures about the proportion of active online shoppers conducting at least one line purchase every 2 months and the number of digital buyers globally from 2014 to 2021:

Figure 1: Proportion of active online shoppers conducting at least one online

purchase every 2 months

<small>% of active online shoppers conducting at least one online purchase every 2 months.</small>

<small>Cosmetics & Personal careDigital entertainmentAgro Food and BeveragesFashion and accessoriesPharmaceutical’ HealthMedia & books (both digital and physical)ICT/electronic goodsHome furniture & household productsEducation and online coursesTools, gardening & do-it-yourself</small>

<small>TourismTravel, e.g. hotel bookings, flight tickets, etc. [I 0 ap</small>

<small>0% 25% 50% 75%</small>

<small>8# Since the outbreak of COVID-19 #2019</small>

Source: UNCTAD and NetComm Suisse e Commerce Association

Figure 2: Number of digital buyers worldwide from 2014 to 2021

</div><span class="text_page_counter">Trang 12</span><div class="page_container" data-page="12">

Trân Tuyết Mai - 11193332 - Business English 61B

Also, compared to traditional customers, internet shoppers tend to use fewer senses, thus they rely less on textual and visual descriptions of goods and

services (Koufaris, 2002). Therefore, as a result of the increase in using

technological devices like smartphones or tablets, businesses tend to focus more on social media marketing channels than on traditional marketing strategies like leaflets or word-of-mouth that can be considered as effective ways to increase their market share or draw in more customers.

Figure 3: Number of smartphone users

It may be claimed that the evolution of consumer behavior is significantly influenced by developing digital technology and online platforms, prompting the adoption of new models in marketing operations by firms. This is because in a digitalized environment, it would be simple for buyers to find out various details about the things they want to buy, such as price, quality, delivery fees, or reviews, with just a click. Hence, interacting with potential clients through social networks and mobile devices may be seen as contemporary communication

tactics that might improve a relationship with a client and increase sales.

As a result of the digital revolution, a wide variety of industries, including fashion, are greatly benefited by this trend. As social media becomes more widespread, fashion industry is very competitive. Researchers have pointed out that social media platforms like Facebook are superior than other forms of advertising because they maintain data on all of their users, guaranteeing that marketing reaches a retailer’s precise target market (Graham, et al., 2011). Thanks to social media sites, retailers have a great opportunity to build up

</div><span class="text_page_counter">Trang 13</span><div class="page_container" data-page="13">

Trân Tuyết Mai - 11193332 - Business English 61B

experience and enhance the user experience with their business by making use of the data saved on social media sites.

Customer relationship management’s main objective is to increase customer

loyalty (Randeni & Wanninayake, 2011). Customers who are loyal not only

make more frequent purchases of products, but they also ignore alternatives or

competitors if they make purchasing decisions. Therefore, every interaction a

seller has with their customers offers the chance to further the satisfaction they have already felt with prior interactions. Because social media acts as a forum for

communication, merchants have an unrivaled opportunity to engage and support clients, thereby strengthening customer loyalty. Yet, since customers can readily talk about their unpleasant experiences with company by sharing it on social media, social media marketing can also have a negative impact on customer loyalty. Another issue for firms that might reduce customer loyalty is cancel culture, which can occur through social media.

2. Rationale

Internet social networks have been one of the most influential services on the internet and Web, which have recently caused a significant shift in the social system all over the world. A new breed of websites called social networks has captured the interest of Internet users. These websites operate on the basis of online organization and each one brings together a group of internet users who have unique characteristics, Social network is an example of a social media that

enable new forms of online communication and information sharing.

Nowadays, competition is more intense in the fashion sector, which

emphasizes the need of customer loyalty more than in the past. Based on today’s

perspective, marketing encompasses customer development, which takes into account consumer happiness and quality, as well as their loyalty and efficient

communication (Heidarzadeh and Hoseini, 2008). As a result, companies try to have loyal customers.

In today’s competitive markets, gaining and keeping customer loyalty to a brand is considered as a challenge. The need to take social media marketing into account and plan for it is undeniable given the rising internet penetration rate in the world, the widespread use of these tools, particularly among younger generations, and the growth of social networks in cyberspace with regard to their functions and individuals’ impressionability from similar groups in this space.

</div><span class="text_page_counter">Trang 14</span><div class="page_container" data-page="14">

Trân Tuyết Mai - 11193332 - Business English 61B

Numerous marketing scholars, including marketing practitioners, have stressed the importance of interpersonal interactions in shaping consumers’ attitudes toward desirable brands and building strong bonds between them and their

customers (Brexendorf et al., 2009).

Given the rapid expansion of social networks in our nation's online

environment, it is more important than ever to investigate the extent to which

these networks affect people's brand loyalty. As a result, it is important that Narylee Company Limited also venture into this area to reach out to their customers. So the researcher has chosen the topic “A study on the influence of social media marketing activities on customer loyalty towards homewear products in Narylee Company Limited”.

3. Research objectives

The aim of the research is look at how social media marketing activities

influences consumer loyalty towards homewear products, which helps Narylee Ltd. more than spending resources on extra promotional activities. To achieve

that, the researcher has developed the following objectives:

Firstly, to analyze the current situation of social media marketing activities towards homewear products in Narylee Ltd.

Secondly, to identify social media marketing activities’ components influencing

on customer loyalty towards homewear products in Narylee Company Limited.

Lastly, to provide suggestions to improve the current social media marketing

4. Research questions

In order to accomplish the objectives mentioned above, the research is conducted to investigate the answers for the following research questions:

Question 1: What is the reality of social media marketing activities towards homewear products in Narylee Ltd.?

Question 2: What components of social media marketing activities influence on customer loyalty towards homewear products in Narylee Ltd.?

Question 3: Which recommendations can be made to improve the current social media marketing practises in Narylee Ltd.?

</div><span class="text_page_counter">Trang 15</span><div class="page_container" data-page="15">

Trân Tuyết Mai - 11193332 - Business English 61B

5. Research scope

Geographical scope: Narylee Company Limited

Time scope: Data collected from the responses of the survey conducted among customers of Narylee Company Limited spreading across Vietnam in 2023

Content scope: This research’s content includes information about social media

marketing activities in general and at Narylee Company Limited specifically to make data collection, analysis and provide some recommendations.

6. Research methodology

Firstly, in order to review the current situation of social media marketing activities in Narylee Company Limited, primary data and secondary data methods are being applied.

Primary data: including Narylee company’s internal information, information on the internet, related research topics, from which there is an orientation for the topic.

Secondary data: collected based on the method of collecting primary data

examine the influence of social media marketing activities on customer loyalty

towards homewear products in Narylee Company Limited.

Secondly, online questionnaire is designed on Google Form and sent to 100 customers of Narylee Company Limited to gain an overview of the current status

of social media marketing activities in this company. The questionnaire is

comprised of 3 parts:

Part 1: Personal information of the respondents

Part 2: The influence of social media marketing activities on customer loyalty towards homewear products in Narylee Company Limited

Part 3: A short answer question

Last but not least, the research uses SPSS to assess the overall customers’

attitude towards each component through the mean score calculation. The scale

includes five ranges: “Strongly disagree”, “Disagree”, “Neutral”, “Agree”,“Strongly agree”.

</div><span class="text_page_counter">Trang 16</span><div class="page_container" data-page="16">

Trân Tuyết Mai - 11193332 - Business English 61B

7. Research structure

This study consists of five main chapters:

Chapter 1 - Introduction of the company - gives information about Narylee Company Limited such as overview of the company, organizational structure and marketing department

Chapter 2 - Literature review - reviews the theoretical background of social media marketing and discuss previous theoretical models, previous studies and research models

Chapter 3 - Research methodology — discusses the methods used to collect and

analyze the data and the participants’ information

Chapter 4 - Findings and discussion- provides a thorough analysis of collected data and discusses major findings

Chapter 5 - Recommendations - suggest some recommendations for Narylee Company Limited

</div><span class="text_page_counter">Trang 17</span><div class="page_container" data-page="17">

Trân Tuyết Mai - 11193332 - Business English 61B

CHAPTER 1: INTRODUCTION OF THE COMPANY

This chapter focuses on providing general and specific information of Narylee Company Limited, including its history, basic information and organizational

1.1. Overview of Narylee Company Limited

Narylee Company Limited exclusively distributes Korean-style homewear in Vietnam market. Established in 2013 under the leadership of Ms. Vu Thi Nga, chairman of the Management Board, Narylee has become one of the leading high-quality homewear brands in Vietnam.

Over a 9-year path of establishment and development, Narylee Ltd. has been increasingly asserting its position in the field of fashion for women not only in Hanoi city but also nationwide. A journey of continuous development, the company has achieved many remarkable achievements, playing a great role in the field of the Vietnamese fashion sector.

Thanks to social media development, the company also constantly welcomes new opportunities. Narylee has affirmed its strong foothold in the market and become the incredibly growing fashion brand in Vietnam with a system of e-commerce platforms in the country such as: Tiki, Lazada, Shopee,... Developing from selling online and using the livestream tool via Facebook, CEO Narylee has

proven that it is not only celebrities or "hot girls" who live stream sales that get

many views. In particular, Narylee has attracted over 233,000 likes and 405,000 follower on Facebook fanpage.

Started as a start-up company with no reputation in fashion industry, but after a long time of striving, Narylee now has over 20 employees with thousands of loyal customers.

In addition, Naryee Company Limited has developed a project since 2019, named Kimnhaxinh. Kimnhaxinh is the world of decorative items that can be suitable for any style, any space. Kimnhaxinh was born with the desire to create a reliable destination for customers to find good-quality home decorations at the most reasonable prices. After 4 years of operation, Kimnhaxinh has gained over 3,000 customers nationwide.

</div><span class="text_page_counter">Trang 18</span><div class="page_container" data-page="18">

Trân Tuyết Mai - 11193332 - Business English 61B

1.1.1. Narylee’s Mission, Vision and Core Values

1.1.1.1. Mission

All women, no matter where they come from, have an equal opportunity to own the product they love when entering Narylee’s showroom. Moreover, when they put it on, they gain not only physical beauty, but also a belief in their true worth, prompting them to devote themselves to their desires and dreams and live happily and confidently.

Accompanying and understanding the concerns in the journey of shaping the beauty and building the own style of women, Narylee has launched products with high convenience, optimization in hiding the body’s shortcomings, so that women could feel confident and comfortable when they put them on. With Narylee, each product brings love and happy energy that company wants to give to every Vietnamese women in all corners of the country. Narylee believes that this journey will always get people’s interest and be shared because it comes from the heart and will touch hearts, especially people walking on the wrong

Narylee hopes to perform two things: deliver quality fashion products and

spread happiness to everyone. It has been the company’s wish since it first

debuted in 2013. For the past 9 years, Narylee has learned how to care from the smallest things, to appreciate the values and magical beauty of every person. It has alo witnesses constantly creative efforts and made decisions to bring women trendy style and better experiences everyday. With Narylee, the 9-year period is not a destination, but a journey. No matter how long this journey will take, it will always be a happy journey because Narylee has been surrounded by so many people who accompany and inspire it on the mission path of HAPPY FASHION,

spreading positive energy and community service.

1.1.1.2. Vision

The company’s chairman compromise Narylee’s vision as follow:

Becoming the leading women’s fashion brand in Vietnam market by 2025 and

being the top shopping address for women in the coming years.

Extending scale and setting first steps into the world market by 2030.

</div><span class="text_page_counter">Trang 19</span><div class="page_container" data-page="19">

Trân Tuyết Mai - 11193332 - Business English 61B

1.1.1.3. Core values

Established with the mission "All women, no matter where they come from,

have an equal opportunity to own the product they love when entering Narylee’s

showroom", Narylee Ltd. always puts core values first. Four core values are respected and uniformly maintained by the entire staff, engraved in the mind throughout the working process. That is the spirit of: charisma, quality, dedication and responsibility.

Product quality and service attitude play an important role in building Naryee’s charisma. The company always considers customers as the focus to serve. From the beginning, Narylee did not define itself as a business marker, but

just an individual that “does a job”. The company hopes that it can perform well

so that Narylee can be proud when it looks back on the whole journey later. In terms of viewing customers as the focus, the company finds it necessary to

voluntarily provide full information, transparent prices and build a thoughtful

service process,... Narylee does not rely on physical store or facebook fanpage

for customers to ask and will reply later. Instead, the staff in the company put themselves in the customers’ position to understand what they really want and need, then find the solution for the problem, which step by step helps customers to increase their trust in the company.

Product quality is the first deciding factor to make Narylee’s difference

compared to other fashion brands.

The source of Narylee Ltd.’ fabric material is the same as that of two famous brands, Li-ning of China and Pierre Cardin of France, which is distributed by An

Phuoc in Vietnam.

Cotton fabric in Narylee Ltd.’s clothes is anti-bacterial, anti-odor, anti-mold, anti-ultraviolet, which is safe for skin. It is also tested in the laboratory for 30 days and does not cause mold.

Textures imprinted on the fabric are created by modern technology, which does not cause peeling if used for a long time.

</div><span class="text_page_counter">Trang 20</span><div class="page_container" data-page="20">

Trân Tuyết Mai - 11193332 - Business English 61B

Products’ form makes customers feel comfortable and does reveal body defects, especially suitable for married woman.

Diverse designs with hundreds of different sizes and textures are suitable for all four seasons in Vietnam.

Exclusive brand and products are only distributed by Narylee to the market without counterfeiting.

In terms of the staff that are young, enthusiastic and fashionable, Narylee always affirms the brand value through meticulousness in every detail of tailoring as well as the product material’s selection process. Because of that

dedication, Narylee always has its own value and difference in the eyes of

Besides, the staff at Narylee Ltd. also have full professional knowledge

about fashion consulting as well as the products that the company provides.

Therefore, there will certainly not be a situation that the staff lack professionalism or knowledge to support customer service.

No matter what customers have difficulty in choosing homewears for the

first tine or for any special occasions, the staff from Narylee always try their best

to advise, support and provide customers with the best service experience. Responsibility

Social responsibility

With the role of a leading fashion company in Vietnam, Narylee not only business goals but also actively affirms its leadership in improving social

standards and development for employees and community. Responsibility to employees

Narylee creates a fulfilling, safe and healthy working environment so that employees can develop to their full potential.

Environment responsibility

Narylee is trying to fulfill its environmental responsibility, as a way to create an ethical fashion brand.

</div><span class="text_page_counter">Trang 21</span><div class="page_container" data-page="21">

Trân Tuyết Mai - 11193332 - Business English 61B 1.1.2. Corporate culture

Theoretically, a corporate culture is kind of an invisible force which guides managers and employees to act consistently throughout the organization when "value" related issues arise. At best, it is a phrase that builds camaraderie or a sense of unity among employees. At its worst, it compared to cult like religious beliefs.

The Narylee corporate culture covers the basic "foundations" of what the organization values and presumably, how employees are supposed to act within those values. The best way to find out what a organization values is to track one or more of the following: what they pay attention to, what they talk about, what they passionately defend, and what they praise and reward. If your corporate

culture is working well, it provides direction to employees about what to do and what not to do in value related situations. In an environment with a strong

corporate culture, individuals located in different departments or in far-flung geographic regions should act pretty much the same given the same set of

1.1.3. Narylee Ltd.’s products

As a woman, everyone has the need to dress well. Therefore, in addition to choosing clothes for work, hangout or party participation, women are also interested in home fashion. Understanding this psychology, Narylee has launched homewears that are trendy and high-quality. Narylee’s homewears are applied to not only working, dating or hanging out with friends but also home outfits, which brings the feeling of beauty and luxury. The current models of women’s homewear are not only comfortable and convenient, but also have a lot of easy-to-wear designs.

Underwear is a product that can be used by both men and women. It is often attached to humans from an early age to old age. Therefore, this is an extremely popular and indispensable product for everyone. Nowadays, underwear is not

only a tool to cover the “private parts” but also an outfit to express one’s

personality. In addition, underwear is also considered as a weapon to attract the opposite sex. As a result, Narylee is trying its best to provides customers with underwear that comes in a variety of styles, colors and fabrics. Moreover,

</div><span class="text_page_counter">Trang 22</span><div class="page_container" data-page="22">

Trân Tuyết Mai - 11193332 - Business English 61B

because of the characteristics of contacting directly with the body’s sensitive parts, Narylee’s underwear is sewn with good fabrics, capable of absorbing sweat

quickly, which ensures the best safety for the users.

Decorative items for houses

Narylee aslo provides a website, named kimnhaxinh.vn for customers to

choose easily decoration items with any styles in any spaces of their houses. Kimnhaxinh was born with the desire to create a reliable destination for customers to find good-quality home decorations at the most reasonable prices.

Sales Marketing ... .. Finance

<small>department Department department department department</small>

L Employee

Narylee Company Limited is mainly controlled by the CEO and under CEO

is 5 main departments: sales, marketing, human resources, customer service and

finance. While CEO is responsible for managing all business activities,

operations and administration, initiating the strategy to implement the company’s vision, mission, core values, the other departments take on specific tasks and missions under CEO’s directives, facilitating the company’s operations. Nonetheless, the researcher chose to concentrate on the duties and goals of the Marketing Department for this study.

1.3. Marketing Department in Narylee Company Limited

The Marketing Department in Narylee Ltd. can be viewed as a back office that draws customers and cultivates strong relationships with them regarding all facets of business. If the sales team is in charge of convincing customers to utilize the service, the marketing team will either create an online platform or

</div><span class="text_page_counter">Trang 23</span><div class="page_container" data-page="23">

Trân Tuyết Mai - 11193332 - Business English 61B

figure out ways to persuade customers to contact the sales teams with a variety of recommendations on search engine tools. The Marketing Department can be

considered as a link between the business and the client in general and the sales teams and customers in particular.

In terms of mission, the Marketing Department is crucial to the promotion of

services. To be more precise, marketing personnel is in charge of altering the

content, HTML, and layout on online platforms in order to leave a positive

impression on visitors to the websites. The department also makes use of SEO and SEM to raise the ranking of its websites in search engine results for targeted keywords, such as Google, in order to enhance traffic and draw in more potential

clients. Nowadays, the Marketing Department controls the majority of websites,

including narylee.com and kimnhaxinh.vn.

In addition to designing websites, the Marketing Department is in responsible of launching a number of marketing communication campaigns to enhance brand awareness, which is one of its primary goals. The department works with media agencies to fulfill clients' thoughts with Narylee's imagery. It is also responsible for obtaining customer service feedback and making suggestions

for enhancing offerings to constantly please customers. Last but not least, the

department will assess the success of each marketing initiative based on expected

data on an annual basis in order to recommend Integrated Marketing

Communication for the company in the next year.

All of these show how important the Marketing division is to how Narylee

Company Limited operates. It is indisputable that the department is responsible

for a significant portion of the design work for Narylee Ltd.'s commercial

strategies, as well as for the technology setup of marketing communications and customer relationship management in particular.

</div><span class="text_page_counter">Trang 24</span><div class="page_container" data-page="24">

Trân Tuyết Mai - 11193332 - Business English 61B

CHAPTER 2: THEORETICAL FRAMEWORK

This chapter provides general information about social media marketing such as its definition, features and its importance. Besides, it also consists of the relationship between social media marketing and customer loyalty and an overview of the proposed research framework.

2.1. Social media

2.1.1. Definition of social media

It is undoubted that people are using social media more and more these days. According to Statisticbrain, almost everyone owns a social media account

and keeps it updated often. Social media is defined as “activities, practices and

behaviours among communities of people who gather online to share information, knowledge, and opinions using conversational media” (Safko and Brake, 2009).

Robinson (2007) asserts that social media are communication tools with Web 2.0 characteristics, such as participatory, collaborative, knowledge-sharing, and user-empowering.

Social media have a very accessibility and salable propagation techniques have been applied in them. These are the media that are designed to engage and

spread content on the internet through social interaction (Khaniki and Babaie, 2011). Social networks, which show how effectively converging networks perform in the setting of a complex information society, often consist of personal or organizational groups that are connected to one another via one or more dependencies. Thus, having social odor is the reason for their rising success. According to Kaplan and Haenlen (2010), social media are a group of internet-based tools that are ideologically internet-based and stabilized on web technology,

allowing users to generate and share content.

Nowadays, people of all ages choose to keep in contact with one another more regularly in a variety of ways. In addition to traditionally social events and interactions, people today use mobile devices to communicate and create social networks online (Brown, Harvey, 2006). Social media is the platform that people utilize to do this. More specifically, according to Nile (2014), Kaplan & Haenlen

(2010), “Social media is the collective of online communication channels

dedicated to community-based input, interaction, content-sharing, and

</div><span class="text_page_counter">Trang 25</span><div class="page_container" data-page="25">

Trân Tuyết Mai - 11193332 - Business English 61B

collaboration”. The different varieties of social media are websites and programs devoted to forums, microblogging, social networking, social bookmarking, social curation, and wikis. These websites and applications fall into a select group of social media categories (Ekanayake, 2015).

Social networks (Facebook, Instagram, Twitter) Bookmarking sites (LinkedIn, Tumblr)

Social news (Reddit)

Media sharing (Youtube) Microblogging (Twitter)

Blog commments and forums

2.1.2. Social media in fashion industry

Social media technology is used to encourage customers engagement with brands. These communications strengthen the brand by raising awareness, participation and engagement; this improve brand recall and encourages sales (Md1052, 2014). Fashion brands may reach customers through tweets, blogs, and social media sites such as Facebook, Twitter, Youtube, Instagram, and Pinterest (Ozdemir, 2015). Although many fashion firms thought social media would deteriorate their relationship with customers, social media is now seen as a chance to strengthen those relationships and ultimately reach a larger customers

(Mohr, 2013). The introduction of social media (such as Facebook and Instagram)

has increased interest among fashion brands in viral and word-of-mouth advertising.

According to Mohr (2013), one of the most important forms of market information for customers is word of mouth (WOM), which refers to

interpersonal communication regarding goods and services amongst consumers.

Regardless of whether the information is accurate or not, WOM may be quite effective when it spreads online (Duley, 2015). Given the great immediacy of information and the lack of a yardstick by which to judge the veracity, it is

getting harder for followers sift out the facts. People congregate in a shared area to share ideas as a result of the dissemination of information (Mohr, 2013).

Thanks to the internet, fashion is present everywhere. “Blogs” give users virtually limitless online space for self-expression (Mohr, 2013). Blogs are

</div><span class="text_page_counter">Trang 26</span><div class="page_container" data-page="26">

Trân Tuyết Mai - 11193332 - Business English 61B

defined as personal websites, “usually maintained by an individual with regular

entries of commentary, descriptions of events, or other material such as graphics or video, where entries are commonly displayed in reverse-chronological order” (Wikipedia, 2009). Not similar as fashion-focused periodicals and television programs, a great number of fashion blogs are brought up-to-date frequently with new fashion trends. The blog’s potent personalized, personal, mainstream, and elitist point of view is what makes it so successful. Readers get the chance to express their thoughts and take fashion critics to task thanks to its entertaining

experience. Therefore, on the iPhone, Ipad, and iPod, there has been an increase in fashion apps over the past two years. These apps give users access to the most

recent discounts, fashion trend information, the convenience of shopping and social sharing simplicity (Mohr, 2013). Users can post their favorite items and ensembles, as well as the newest styles from trend-setters and fashionistas. They also can connect with styles and share poses.

“As more shoppers are using social media (e.g. Twitter, Facebook, MySpace, and LinkedIn) and rely on them for marketing shopping decisions, promotion through these media has become important” (Miryala & Reddy,

2015). According to Curran et al (2011), social media platforms like Facebook are superior to previous forms of advertising because they maintain data on all of

their users, guaranteeing that marketing reaches a retailer’s precise target market.

Retailers can leverage the data saved on social media sites to enhance the user

experience with their brand.

In addition, researcher shows that a company can use social networking sites

to forecast customers’ chance to make a purchase (Hill, et al., 2006). This can be

accomplished by considering the networks a company chooses (such as Facebook, Instagram, Pinterest, etc.) and by looking at the data on those networks. A

company’s marketing efforts are greatly enhanced by analyzing a network’s data

since it gives the business crucial information about network’s users, which aids

in determining the most effective social media strategies for that specific website

(Hill, et al., 2006). According to this study, it can be stated that a significant element in ensuring the effectiveness of online marketing is understanding which

social media platforms a company’s target market uses (Paquette, 2013, p. 20).

According to Sorescu et al (2011), a brand must look beyond the social networking sites’s potential advertising and devise ground-breaking strategies for using them as a two-way conversational network with customers.

</div><span class="text_page_counter">Trang 27</span><div class="page_container" data-page="27">

Trân Tuyết Mai - 11193332 - Business English 61B

Sinclaire & Vogus (2011) determined that big organizations view social

media platforms as strategic tools and some companies are even hiring staff to manage their social media accounts. “Customer are no longer passive receivers of marketing messages; instead, they are using Facebook, MySpace, Youtube and Twitter to voice their opinions-both positive and negative” (Sinclaire & Vogus, 2011, p. 293). To ensure that they can draw in more customers, small merchants must also begin implementing atypical marketing strategies in innovative and

compelling ways.

2.2. Social media marketing

2.2.1. Definition of social media marketing

Rudyanto et al. (2021), Wijayaa et al (2021) and Yuliantoro et al (2019) describe social media marketing as a process performed by businesses to communicate and conduct online marketing activities through social media platforms in order to build and maintain stakeholder relationships bu interacting,

sharing information, and recommending products.

Because social media marketing is distinct from traditional forms of marketing, it needs specific consideration and the development of a strategy in order to generate a brand image and loyalty. Relationship marketing and social media marketing are related; in relationship marketing, it is required for companies to switch from “trying to sell” to “building connections” with customers (Gordhamer, 2009). Also, firms should avoid “big companies” and focus on “little acts”, as certain small initiatives can quickly and easily reach a huge number of people and achieve their goals (Coon, 2010). Social media marketing tries to show what the company is rather than trying to control its image, which makes it more authentic in its engagement with customers.

A strong social media strategy is necessary to maintain competitiveness in

today’s rapidly changing corporate environment. In order to make a decision on the content and features of their offers and activities in social media settings, businesses engage with social media specialists and consultants with a view to

winning over consumers’ hearts and minds and engender brand loyalty (Coon,

2010). According to eMarket research, consumers use social networking platforms to follow a brand’s products and advertising initiatives. For instance, Pepsi and Coca-Cola used online customer loyalty programs to entice customers with exclusive deals, cost-free mp3 downloads, free CDs, and other incentives

</div><span class="text_page_counter">Trang 28</span><div class="page_container" data-page="28">

Trân Tuyết Mai - 11193332 - Business English 61B

(Mangold and Foulds, 2009). Customers also consider social media platforms as a service channel where they can interact with brands in real-time (Leggat, 2010). Consumers, however, favor up-do-date content on social media. Therefore, Google has modified its search algorithm, which allows users to view newly updated content first (Feidman, 2011). Consumers who are exposed to numerous marketing messages on social media sites weed out the information that is not pertinent to them (Brito, 2011). Hence, one of the most important tactics for successful managing a company on social media is to provide relevant and updated material. Another key factor in customer;’s engagement with brands on

social media is the popularity of the social media platform and the content among friends. As there are several social media platforms and it is hard to participate in all of them, marketers should consider their target demographic and choose the ones that will allow them to communicate with them most effectively. Additionally, offering mobile applications enables clients to interact with the company consistently and foster customer loyalty (Kim and Adler, 2011).

2.2.2. Components of social media marketing

The researcher conducted the research through certain studies to further find out the relationship between components of social media marketing activities and the customer’s loyalty toward the brand. What the researcher discovered was that those components have been highlighted in different publications by various authors and settings. Five components for social media marketing activities were suggested by Kim & Ko (2010), who worked for opulent companies, namely entertainment, interaction, trendiness, customization, and word-of-mouth. Ebrahim (2020) also proposed a methodology that includes those mentioned

factors in social media marketing activities. Sano (2015) concurred with Kim & Ko (2010) regarding three components of social media marketing in the insurance service sector: interaction, trendiness, customization and added perceived risk, which is considered as the fourth elements of social media

marketing activities. Mehrabi et al. (2014) pointed out five areas of social media marketing, including advertising campaigns, updating content, providing relevant

content, delivering popular content among friends, and providing applicable programs. In 2013, Jo looked at three elements of events, information and advertisement to investigate the marketing activities on social networks. In her research on the significance of business of business social media activities, Lee

(2017) divided these activities into communication, providing information,

</div><span class="text_page_counter">Trang 29</span><div class="page_container" data-page="29">

Trân Tuyết Mai - 11193332 - Business English 61B

support for daily life, promotion and selling and social response. Seo & Park

(2018) identified these elements as entertainment, interaction, trendiness,

customization, and, perceived risk in their study of the airline sector.

For conceptualizing framework, the researcher has chosen the components

recommended by Kim & Ko (2010) and included one more component that she

believe will have an impact on the Vietnam market for this research. Kim & Ko

(2011) evaluated five aspects of Entertainment, Interaction, Trendiness, Customization, and Word of mouth in their study to examine how customers are influenced by social media and if they are impacted by social media marketing

activities in terms of their purchasing behaviour and brand evaluation. The findings showed that despite some items from each element being eliminated due to factor loadings, all five dimensions had a positive influence on how customers rated social media marketing activity (Sano, 2015). In addition, while examining Vietnamese consumer behaviour, promotion has been considered to be a significant component. According to a 2019 poll by Deloitte Vietnam on preferred sources of information, the importance of online and digital channel;s is anticipated to increase as Internet and smartphone penetration rated continue to rise across Vietnam (Deloitte, 2020). Thus, this component is chosen as the impact possibilities it would have on this particular market. In general, the purpose of this study is to investigate the potential influence of social media marketing on customer loyalty. The researcher anticipate finding positive

relationships between these six social media marketing activity aspects and customer loyalty.

An entertainment component of social media marketing can be thought of as experiences created by marketers on social media platforms that are viewed as engaging and vibrant by customers (Agichtein et al., 2008). With the creation of

positive feelings, entertainment enables firms to encourage consumers to support their brands (Kang, 2005). According to Muntinga et al. (2011), customers are

said to constantly seek satisfaction and amusement on social media networks by

sharing details about the product, such as news and pictures (Lee & Ma, 2012).

As a result, entertainment can improve customer purchase intent and foster a sense of brand intimacy (Dessart et al., 2015), which encourages and raises social

network participation (Park et al., 2009).

Kim & Ko (2012) defined interaction as giving clients the opportunity for two-way communication with brands and information exchange with other users.

</div><span class="text_page_counter">Trang 30</span><div class="page_container" data-page="30">

Trân Tuyết Mai - 11193332 - Business English 61B

Social media, as opposed to conventional marketing techniques, enables businesses to remain involved and receive unique requests, product suggestions, or complaints from customers (Vukasovic, 2013). Social media also offers a platform for conversations, debated, and the sharing of viewpoints. Targeted social media profiling fosters common conversation themes and aids in the development of the brand-customer relationship (Manthiou et al., 2013). Such interactive activities would encourage consumer involvement in boosting brand

trust and eliminate consumer doubts while making purchases (Khadim et al.,

2018). Hence, the potential outcomes can explain why marketers want to persuade social media users to engage in online discussions (Zhu & Chen, 2015).

Trendiness describes the most popular issues currently being discussed or trendy information that brands find relevant and engaging to provide with their clients (Naaman et al., 2011). This trendiness can include company-related information, customer reviews and product recommendations, emerging trends,... that promotes client trust while also raising brand recognition (Godey et al., 2016). The types of information that companies can provide to customers vary. The first is the most current, widely talked-about trends among users, which can be about anything, including social, amusement, etc. Another type might be brand-based instructional material, which provides customers with additional knowledge about things like the place where a product was made, how it was made, or the companies efforts to protect the environment. Also, consumers prefer to learn about products through user reviews and comments so they can understand other viewpoints. Also, brands can offer clients trendy material that serves as an inspiration or a suggestion, such as fashion lookbooks that offer options for winter attire or advice on how to design the ideal Scandinavian kitchen. A business can increase and offer more value by providing customers with the most recent, up-to-date information (Godey et al., 2016). According to this literature, this particular activity not only lessons the significant effort that clients must expend in their information searches but also strengthens and generates positive assessments of the brand.

Customization is created to increase consumer happiness by satisfying them based on their own preferences, brands, and individuals work together (Seo & Park, 2018). It speaks to the extent to which businesses cater their goods and services to specific consumer preferences and needs in order to satisfy demand and increase customer retention (Seo & Park, 2018; Chan & Guillet, 2011).

</div><span class="text_page_counter">Trang 31</span><div class="page_container" data-page="31">

Trân Tuyết Mai - 11193332 - Business English 61B

Martin & Todorov (2010) assert that this particular marketing activity gives businesses a chance to interact with potential customers, which strengthens and improves trust and purchase intent. Messages that are sent to a certain group of targeted clients can also be viewed as customization. Companies can stress individuality and personalization through this element, which will increase brand trust and intimacy with users.

From the beginning, Word of Mouth was acknowledged as the most successful yet poorly understand marketing tactic in existence (Misner, 1999). This aspect of social media marketing activities is the dissemination of

information about a specific product or business to other users on digital networks from the perspective of the consumer (Hennig-Thurau et al., 2004). Users engage with one another through word-of-mouth, sharing and exchanging personal experiences, ideas, and views on goods and services as well as tips and recommendations (Sano, 2014). The definition of this phrase, given by Muntinga

et al. (2011), is relationships between clients and businesses. Customers tend to

believe word-of-mouth since it is more reliable and trustworthy than the information firms already present on their websites and social media channels. Customers frequently look for other opinions online before making a purchase since the online word-of-mouth is based on actual experiences rather than overblown marketing claims. Social media is the right tool for spreading

information to other interested individuals. Consumers have the option to express and request opinions. Such activities can broaden and deepen the networks of

relationships inside brand communities, thereby promoting consumer brand loyalty and brand trust. According to Karjaluoto et al. (2014), customers’ decision to share their ideas via word of mouth on digital platforms may have a positive effect on their decision to make a purchase.

Consumers are frequently persuaded to make purchases based on a brand’s

marketing as well as the quality of its products and services. Keller (2009) defined promotion as strategy to increase consumption through short-term efforts

and convince targeted consumers to participate. Marketers use promotion on

social media marketing to boost sales volume and brand loyalty among both current and infrequent customers. Using promotion in social media marketing strategies significantly aids businesses in raising brand awareness and product consumption rates. Due to the multiple holidays and events where consumers can

</div><span class="text_page_counter">Trang 32</span><div class="page_container" data-page="32">

Trân Tuyết Mai - 11193332 - Business English 61B

expect various deals and are ready to buy products, this element will fit the Vietnamese market well.

2.2.3. The importance of social media marketing

Social media marketing has evolved into a crucial component of online marketing strategy for all kinds of organizations with the advent of new social commerce platforms. It represents accessible equipment for fusing verbal communication with technology and social engagement (Neti, 2011). The majority of those technologies are web-and mobile-based; popular ones include Twitter, Facebook, Myspace and Youtube (Neti, 2011). Social media gives markerters a voice and a platform to engage with colleagues, consumers and potential customers. It humanizes the company and promotes message in a casual,

friendly manner. Also, it is a tool that may be utilized to enlighten customers about products (Lake, 2015).

Social media is really important today. Marketers may effectively use social media in order to (Neti, 2011) (Bendror, 2014)

Identify the brand and provide information about the goods or services they offer effectively (brand recognition)

Establish connections with people on social media who might not otherwise be aware of the products, services, or brands that companies represent

Enhance brand loyalty

More chances to convert: Every post that marketers make on social media sites gives consumers a chance to convey. Marketers will be able to communicate with

all of their clients at the same time, whether they are recent customers, old customer, or both

Increase conversation rates in a few key ways: People prefer to do business with other people, not with companies, and social media is a platform where brands can act like people do

Increase brand authority

Lower marketing costs - social media advertising is generally inexpensive when

compared to other medias (broadcast media and print media)

Provide engaging content to bring businesses to life on social media

</div><span class="text_page_counter">Trang 33</span><div class="page_container" data-page="33">

Trân Tuyết Mai - 11193332 - Business English 61B

Develop business alliances

As a result, social media marketing during this time period became quite essential. Businesses have undoubtedly recognized the value of social media and acknowledged that social media marketing is an essential component of their

overall strategy for marketing and public relations (Bendror, 2014).

2.3. An overview of customer loyalty

A repeat buyer who also spreads the word about the brand to other people is considered a loyal customer. One of the main goals of customer relationship management is to increase customer loyalty (Randeni & Wanninayake, 2011). Positive emotional attitudes toward a specific brand in the minds of consumers lead to customer loyalty. Primarily, loyalty emerges through favorable experience and increased pleasure of perceived worth. According to Emond (2013), keeping known customers is less expensive than finding new ones, and doing so is the most efficient approach to increase customer retention, satisfaction, and loyalty. It appears that building customer loyalty is crucial for

any business organization, so the numerous studies have been conducted and

identified two key loyalty qualities, namely “Attitudinal Loyalty and Behavioral Loyalty”. Out of these two, attitudinal loyalty may be more crucial for marketers using social media (Silva & Yapa, 2009).

Behavioral Loyalty

The majority of marketers basically view customer loyalty as repeat buying,

which exclusively relies on loyal customers to produce profits. Yet, this is only

one sort of customer loyalty, which is “Behavioral loyalty” (Silva & Yapa, 2009).

These consumers can be seen frequently if the business offers services. Having

behaviorally loyal clients is vital for producing income, but if they are not satisfied, they are likely to switch to a rival and moreover, they are likely to

disseminate bad rumors about the company to other potential customers (Bennett & Bov, 2002). Behavioral loyalty can be found in:

Low cost compared to other competitors.

When there is an agreement with the company.

High switching cost.

There is a relationship with an employee rather than with your company.

</div><span class="text_page_counter">Trang 34</span><div class="page_container" data-page="34">

Trân Tuyết Mai - 11193332 - Business English 61B

It’s difficult to break habits.

Attitudinal Loyalty

According to Bennett and Bove (2002), “Attitudinal loyalty” is defined as when certain loyal clients lower the costs of consumer education and marketing and simple to manage, and especially spread good word of mouth by turning into net boosters. Because of the strong bond that exists between an attitudinal loyalty

customer and a specific brand, those customers will not ever switch to the competition simply just since their current supplier has a problem or the product and service offered does not meet their needs. Instead, they will try to communicate with the company and correct any errors by investing their time and effort without expecting anything in return. Although attitude-based loyalty customers are excellent (Cheng, 2011), their purchasing rates may be lower than those of behavioral loyalty customers since people have favorite companies that they do not always choose to purchase from. If the behaviorally loyal consumers

are also attitudinally loyal, the relationship will be of immeasurable worth.

Instead of having just one sort of customer, most marketers work to cultivate loyal attitudinal and behavioral consumers (Rundle-Thiele, 2005). Marketers attempt to achieve this by being ethical, democratic, and catering to various clients segments, utilizing various types of methods, and by rephrasing the customers (Samarasinghe & Fernando, 2013). They must also determine who their ideal clients are and what their actual needs are.

2.4. The influence of social media marketing on customer loyalty

Okazaki et al. (2015) noted that numerous organizations had recently embraced social media to link customers with brands. Furthermore, they still do not understand how to develop customer engagement with brands. According to Tuten (2008), social media marketing refers to a broad variety of publicity expenditures, including the use of social networks, podcasts, blogger authorizations, virtual worlds, social information sites, product reviews generated by users, games, and consumer-generated advertisements. To encourage and incentivize social media users to collaborate with their friends and families, social media marketing turns customers into promoters and marketers for companies that generate, review, and break online information about the products of the business (Ismail, 2017).

</div><span class="text_page_counter">Trang 35</span><div class="page_container" data-page="35">

Trân Tuyết Mai - 11193332 - Business English 61B

Social media was first solely used by people to stay in touch with their

family and friends, but later it evolved into a tool for business publicity and delivering information about popular companies through the world (Ismail, 2017).

Consumers now follow the branding pages to learn about the newest products from the company and to read business news. Companies are establishing a clear understanding of their target markets and basing their product development on the lifestyles of their clients (Zhu et al., 2009). If a company has more loyal customers, it will improve its standing in the market and gain more profit (Reichheld & Schefter, 2000). Customers can become dependable on reduce skepticism about purchases and foster faith in the products if the brand’s initial experience is positive and it earns their trust (East et al., 2013).

Trust is frequently a driving force behind customer loyalty, however, loyalty cannot be replaced by trust because customers are frequently dissatisfied but loyal to the brand (Bitner, 1990). Consumers will be confident in the products if

they realize that the products they buy are trustworthy, especially the brand they

intend to buy (Ha & Perks, 2005). Additionally , satisfaction also plays an important role in encouraging customer loyalty (Hellier at al., 2003). Several researchers, like Ali and Muqadas (2015), demonstrate the link between customer

loyalty and satisfaction and show that the correlation between customer loyalty and satisfaction is positive.

Consumers might not know anything about companies before the development of social media marketing. In the modern era, social media marketing is essential for helping businesses retain their current customers by providing them with reliable information about the product or brand (Zarantonello & Schmitt, 2010). The customer gathers corporate information from online sources and compares it with a product from a different brand to make it more advantageous and less reliant on the brand they were going to buy

in the competitive current market (Ismail, 2017). At times, the company has

struggled because consumers rely too much on other people’s feedback and on

incorrect statements made by people (Marshal & Murdoch, 2001).

According to Hellier at al. (2013), businesses can increase customer loyalty through strengthening their relationships with consumers. The client

collaboration comprises timely brand reports, information on upgrades, details

on the business’s most recent product, and details on the enhancements the

company makes to the existing and new brand (Mellens, Dekimpe & Steenkamp,

</div><span class="text_page_counter">Trang 36</span><div class="page_container" data-page="36">

Trân Tuyết Mai - 11193332 - Business English 61B

1996). Customers will see the brand more favorably and believe that it was created with their needs in mind as a result of this kind of detail (Madanoglu,

2004). Several companies make such goods to consumers’ demands using social

media. This can increase consumer trust and customer loyalty. A product is

offered to customers based on their preferences (Smith, 2003).

2.5. Research framework

On the basis of the ideas summarized above, the researcher would like to suggest following research framework for the research on the influence of social media marketing on customer loyalty towards homewear products in Narylee

Company Limited as the diagram below:

Figure 5: Proposed research framework

<small>Social Media Marketing (SMM)</small>

</div>

×