The Impact of Social Media Marketing on Consumer Buying Behavior - Biz Talk with Peyton

 The Impact of Social Media Marketing on Consumer Buying Behavior

Introduction:

    In today's first official blog post, I will be discussing the impact of social media marketing on consumer buying behavior. After discussing the impacts of social media marketing as well as some statistics on current data, I will voice my own experiences being influenced by marketing on social media. Social media is overabundant in today's workspace, and nearly every business utilizes some form of online marketing, whether that be content marketing, email marketing, affiliate marketing, video marketing, social media marketing, or other forms. I assume everyone reading this can say that they have used at least one of the apps shown in the image above. How often do you see advertising while you scroll? Pretty often, right? That's because businesses know you are on those websites; therefore, they direct a noticeable amount of their advertising budget towards digital marketing, especially social media. In fact, according to an article by Yaqub M., who is a certified business consultant, 70% of small businesses invest in social media advertising, and up to 30% of their advertising budget goes towards their social media campaign. (Yaqub M.) 

Impact on Consumer Behavior and Other Statistics:

    Social media advertisements influence consumers' buying behavior in many different ways. According to an article by Rakshit Garg, some of these tactics include engagement and interaction, trend awareness, targeted advertising, and instant gratification. (Rakshit Garg) The high level of engagement with social media apps allows businesses to be seen by a larger pool of potential customers. Moreover, businesses can directly interact with potential customers, answering questions, introducing product promotions, and personalizing the experience towards a specific customer based on their needs. Brands can keep customers updated with new promotions and products to influence impulse buys. Consumers get satisfaction from impulse buying because they want to satisfy their immediate "want" for the product. Businesses use this tactic well, and I myself have fallen into the trap of impulse buys on products I did not even need. What's even more mind-boggling is that the algorithms these social media apps use are so smart that they can track what advertisements you are drawn towards, and then direct more or less of that specific product to your feed depending on how much time you spend watching an ad. 

    For example, I was scrolling on Instagram reels about a week ago, and I came across an advertisement for gym pump cover t-shirts. I had not heard of the brand before, but the shirts looked like my style, so I clicked on the link. After a little while of searching the pump cover business's web page, I went back to Instagram and continued scrolling. Sure enough, I got at least four more advertisements from different brands of gym pump covers. Eventually, the algorithm will throw me another product it thinks I would like. Lately, most of my Instagram reel advertisements have gone back to Japan-related advertisements, like apps for learning the language, study abroad services, etc. (If you didn't happen to read my introduction post, I am studying abroad in Japan). According to the same article by Yaqub M., over 200 million Instagram users visit a business's webpage or profile every day, and 71% of U.S. businesses are on Instagram. (Yaqub M.) It's kind of eerie knowing how much a social media platform like Instagram can learn about a person's buying habits and can construct new pathways to get consumers to make more purchases.

My Thoughts and Discussion Prompt:

    As a college student, I use social media every day, from checking up on what's happening in the world to watching videos during a study break to posting updates about my life. I’m sure most college students have had experiences like mine with seeing ads on social media. Putting my business and marketing hat on, social media is a great opportunity to reach a larger audience of potential consumers and gain more brand awareness. Having a solid social media presence can help build the brand's reputation and increase profits. Switching to a consumer perspective, I find social media marketing to be extremely convenient, addicting, yet slightly annoying. I like coming across new products while scrolling on social media like Instagram. I have found many awesome products from new brands that I will continue to purchase from in the future. I, like most people, like to buy things. The dopamine rush and the excitement of getting something new is a real feeling that affects many online buyers. However, I get slightly annoyed by the sheer number of advertisements that are in my feed. What are your thoughts? How are your buying habits influenced by social media? Let me know in the comments.

Thanks for reading, see you next week.

Sources:

Garg, Rakshit. “The Impact of Social Media on Consumer Behavior and Its Implications for Business Growth.” IOSR Journal of Business and Management, vol. 26, no. 10, Oct. 2024, pp. 30–34, www.iosrjournals.org/iosr-jbm/papers/Vol26-issue10/Ser-16/D2610163034.pdf, https://doi.org/10.9790/487x-2610163034.

M. Yaqub, “50+ Small Business Social Media Statistics to Know in 2024.” BusinessDasher, 10 Jan. 2022, https://www.businessdasher.com/social-media-for-business-statistics/?