Chapter 1:
Introduction
1.1 Background
There is
increased use of the Facebook in business as a means for boosting brand loyalty.
In the UK retail industry where market rivalry is very strong, brand loyalty
becomes a very important tool for enhancing competitiveness (Tesco plc Case
Study. 2011). Brand loyalty is built through consistent and effective
communication. Any business enterprise makes an effort to reach the target
market using their most preferred and most effective means of communication
(Laohapensang, 2009). It follows that as the users of Facebook grow exponentially
across the world, marketers have a rational basis for launching into the
internet to attract and retain customers. The social media presents certain key
advantages to marketers. Besides being less costly than other advertising
channels, it presents the organisation with the unique opportunity to establish
a direct relationship with the customers (Castronovo, Huang, 2012). As opposed
to the traditional advertisement and marketing communication channels such as
mass media in which the consumer is a passive participant, social media allows
for a higher level of engagement. Consumers can discuss and ventilate on
products and brands. Marketers are similarly able to identify queries and
attend to them on a personal basis. This strengthens brand loyalty.
The general
trend among marketers is that the internet and the social media is becoming an
integral part of their marketing strategy (Tongeren, 2013). Companies such as
Wal-Mart and Tesco already have Twitter and Facebook handles which enable them to
interact with the market and gather crucial information. Projections are that
advertisement expenditures are bound to grow exponentially in coming years
(Furlow, 2011). This is in addition to increased integration of the social
media in market research which is used as a basis for direct marketing and
other dimensions of business strategy. Social media platforms such as Facebook
are therefore important resources for enabling organisations enhance brand
loyalty.
1.2 Objectives and rationale for study
The objectives
for this study are as follows:
- To
establish how consumers perceive brand loyalty in relation to involvement
in Facebook interactions
- To
determine the effectiveness with which the social media platform Facebook can
be incorporated into the marketing mix design and likely impact on
marketing/branding effectiveness
- To
identify the extent to which Tesco applies Facebook in their marketing
exercises
- To
recommend ways in which the social media can be applied to further improve
the success of marketing and branding based on the experiences of Tesco
Even though the
impact of the social media has been investigated in the past, the focus has
been on the use of the internet and the social media and not on specific bulk
of the studies concentrate on specific aspects of the same such as their
influence on consumer behaviour and impact on marketing. This study narrows
down the approach with an aim to establishing the extent to which Facebook can
be effectively used in marketing and inspiring brand loyalty.
Chapter 2:
Literature review
The social media
has revolutionised business in a number of ways including information search
processes, choice of type of messages, need for direct communication, affinity
for convenience and others. These features are important to the marketing
process. The influences on consumers and application to business are as
outlined in the sections below.
2.1 Brand loyalty for organisations
The brand is one
of the resources that an average organisation banks on in their quest to become
more competitive in the market. The branding process therefore focuses on
promoting a certain brand personality which is then used to create a unique
relationship with the customers (Costa, 2011). Brand loyalty is very crucial as
a source of competitive advantage as it makes customers ignore competitors and
make repeat purchases from the organisation. In an industry that has high
competition levels as the UK retail sector, the price competition and
differentiation fails to provide organisations with the level of competitive
advantage desired (Perrey, 2011). Organisations therefore turn to brand loyalty
as the best avenue to remain competitive.
The most
indicator of brand loyalty is the frequency of sales. A customer who is loyal
purchases more frequently from an organisation (Bishop and Ehrlich, 2012).
Loyalty can also be evident in the willingness of the customers to share
information. A loyal customer tends to be more forthright in sharing
information and can be an important source of information. Some of the ways in
which brand loyalty is promoted is through the use of coupons, reward schemes
and discounts, and at times the use of promotion approaches where each sale is
a ticket through which a customer stands a chance to win a prize (Wilson, 2011).
These material rewards tend to be in addition to the efforts made to project a
brand personality that the customers can relate to.
Communication is
very important to the process of branding and this makes social media an
important component of the process (Ind, 2007). Social media platforms such as
Facebook and Twitter have revolutionised the manner in which people communicate
and have prompted organisations to establish social media handlers through
which they keep in touch with and engage consumers. For branding through the
social media to be effective, it is important to understand how it impacts
consumer psychology.
2.2 Influence of the social media on consumers
The internet has
revolutionised communication and social networks in the society. It has enabled
people to embrace virtual space in an unprecedented fashion where they can
create online friends networks and be able to communicate with each other
effectively. Through social media platforms such as Twitter and Facebook, the
average consumer has the ability to maintain a very large network of friends
with whom they communicate on a regular basis (Branthwaite and Patterson, 2011).
What this means is that the social media user is more in touch with a lot of
people, is exposed to a lot of information, and is similarly in a position to
spread information to thousands of people with the click of a button. The
average consumer is therefore more exposed and forced to process vast amounts
of information within a short span of time (Adaileh, 2012). This shapes an
emerging consumer characteristic in relation to information search.
The information
search process is very relevant to marketers as it enables them to know how to
design their marketing messages and how which channels to use. The fact that
the internet is always available and easy to use has significantly altered the
manner in which consumers relate to information (Pliska, 2012). Search engines
are becoming part of the daily life of most consumers as they look to it
whenever they need to search for any information. The alternative source of
information is the social media platform where consumers ask for information
about products and brands before making use of it. As a matter of fact,
recommendations from friends within their networks tend to carry a lot of
weight and this is what makes the social media an important part of the
marketing process. This is the rationale on which internet marketing themes
such as viral marketing is based. The internet has actually been found to grow
exponentially in significance in the information search processes. In a USA
study on university students, more than 52% of the students admitted that they
were likely to search for information online instead of delaying the search
awaiting further consultations with people around them (Wang, 2012). Most of
them also affirmed the fact that they would readily accept recommendations on
products from friends in their social circles in the social media. Apart from
the fact that the internet and the social media influences consumers information
search process, it also influences the kind of information that they would find
useful.
The design of
the message to be conveyed ought to be reflective of the consumer
characteristics. In the context of the internet and the social media, the aim
of designing a message should be to attract the attention of the consumer
quickly and in a manner that enables them to get the message without strain
(Cha, 2011). Bombarded with volumes of information on a daily basis, the
average consumer is increasingly impatient and with a reduced memory span.
Surveys on the effectiveness of messages over the internet indicate that images
and videos tend to be more memorable than text messages. This is especially the
case where such text is done in pros and using normal fonts that are not catchy
to the eye. The Coca Cola Company is renowned for its use of catchy images and
videos in its marketing campaigns (Mayes, 2011). They are effective and pass
the intended message in a few seconds. In the context of the social media, it
is important to maintain direct contact with the consumers. This is related to
the desire by customers to maintain direct contact with brands and companies.
Desire to be
associated with brands and companies are brought about by the virtualisation of
human networks through the social media. The fact that people can form
friendships with people they do not know and relate to them normally as friends
makes it very acceptable that personal touch can exist between people and
organisations (Schmidt and Ralph, 2011). The concept of a brand having a
relationship with the consumers has never been as real as it is in the context
of the social media. One important aspect of such a relationship is having
frequent communication and the ability of the consumers to be responded to
whenever they have queries or concerns. In this regard, companies maintain
contact with consumers and endeavour to respond to as many as they can. This
helps them maintain touch (Daniasa, et al., 2012). The consumers in turn share
their experiences about the brand and its products within their social circles
which are often larger than in real life. This means that the average consumer
has been turned into an active participant in the branding process and they are
no longer satisfied with being a passive participant in the branding process.
Social media users are increasingly accustomed to the habit of making comments
about products (Daniasa, et al., 2012). These are some of the properties that
have been exploited by marketers to suit their marketing and branding goals.
2.3 Application of the social media in
marketing
The fact that
the internet and the social media have been very useful in business and
marketing is an established fact. This is evident from the trends in marketing
where the internet marketing budgets across different industries has been
growing exponentially. In markets such as China, growth in online marketing has
been at its highest as companies seek to tap into the growing number of online
users buoyed on the increased usage of computers and internet-enabled phones
(Maktoba, Bathgate and Nwankwo, 2012). The trend has also been the same in most
of the developed world as the culture of internet use and interaction through
the social media increases.
The main approach to marketing through the social media has been through
the use of online advertisements that bare links leading to the social site for
the business or to its official website. These online advertisements mostly
come in form of short messages that are often contained in colourful images to
attract attention (Govoni, 2012). Social media platforms such as Facebook have
enabled ways of advertising where the advertiser to determine some of the
characteristics of the target audience such as location, age, and other parameters
(Govoni, 2012). This helps in making social media marketing more effective. The
other form of engagement with customers is through the social platforms such as
pages and handler accounts through which meaningful discussions can be held.
Companies use the social media very effectively in organising events and
facilitating discussions about products. The risk in this regard is where
customers with bad experiences come out strongly and possibly influence
opinions negatively (Ezumah, 2013). Nevertheless, vigilance in monitoring
communication can be exercised to ensure that the negative sentiments are not
only countered but that the persons with the bad brand experiences are engaged
with more meaningfully.
The other form of application of the social media is through providing
customers with information on a regular basis. This information may not be
necessarily related to the products being offered by the organisations. A good
example is a Baby Care Centre, a provider of baby products in the USA and a few
other countries (Guacaneme, 2012). The company provides some form of
consultancy and tips on baby care where they are able to guide new parents on
the development processes for their babies and how they need to face challenges
that they face from time to time (Guacaneme, 2012). By providing this
information, they come out as helpful as and probably more concerned about the
welfare of their clients than they are about making sales. This is a good
example on how a relationship between the brand and the customers can be
entrenched.
The fact that
social media encourages interactions is very important to the marketers. It
becomes a source of market intelligence. Just like the social media provides
the customers with the option of getting product information from the comfort
of their homes and offices, the same can be said of marketers (Curran and
Lennon, 2011). In the social media, candidness is easier to obtain than during
physical surveys where only persons agreeable to a product or brand are likely
to stop by to participate. Feedback harnessed online has a higher chance of
being more accurate and what is more acceptable is the cost of obtaining it. By
engaging actively with customers online, information drawn from their enquiries
can be harnessed and analysed to form marketing intelligence.
Such information can be used to create new products that are more popular
with the consumers. Besides, the information gained can be stored and later
used for direct marketing endeavours where only people who are likely to be
interested are targeted (Barber, 2013). This raises chances of success in the
marketing endeavour. In the example of Baby Care Centre mentioned above,
customers who enquire about matters of childbirth and pregnancy are provided
with regular tips based on a predicted schedule of their stage in parenting and
products that are likely to be needed at each stage advertised (Guacaneme,
2012). This high level of relevance is aimed at ensuring that they are
constantly providing products that are needed to their customers. It also helps
in creating demand for products where the relationship between the brand and
the consumer strengthens and trust is developed.
In some cases,
businesses have been known to use social media platforms to test for which
marketing messages are likely to resonate well with the market. This can be
done by sending advertisement messages and monitoring the level of responses
generated in terms of likes, comments and shares (Witkemper, Lim and
Waldburger, 2012). Platforms such as Twitter and Facebook make obtaining such
information effortless (Witkemper, Lim and Waldburger, 2012). What is important
is to ensure that the messages are exposed to audiences with similar
characteristics and making note of such features for purposes of targeting in a
future marketing campaign. Companies such as Sainsbury have in the past used
this approach using their accounts on Twitter with tremendous results (J
Sainsbury PLc, 2013). Another application of social media in marketing is
through the use of viral marketing techniques.
Apart from the direct initiatives by the companies to reach consumers
through the social media, companies can make use of the consumers’ tendency to
recommend products to their advantage. Viral marketing makes use of web users’
social networks to advance their marketing goals. It is another form of word of
mouth marketing only that it is more deliberate and is executed online.
Messages that resonate well with consumers are projected into the social media
platforms from where users share them with friends while adding comments and
recommendations. Viral marketing has in the past been used by companies such as
Coca Cola and Heineken with tremendous success (Mayes, 2011). This marketing
theme requires strategy and understanding of the market characteristics. Giant
retailers such as Tesco and Wal-Mart have also been known to use such
techniques (Walmart, 2013). Others include phone companies such as Apple which
depend on the social affluence of their niche market to recommend their
products to people within their social circles. In fact, the marketing process
at Apple is one that combines high expectation and an element of surprise in a
mix that would keep the market waiting for new inventions and thereafter engage
widely on their customer experience (AppleStore, 2013). When properly
implemented; viral marketing can yield superior results.
2.4 Views on effective use of social media in future
Views abound
that the level of effectiveness of the social media is likely to change over
time. At the moment, the social media use is most prevalent in the developed
countries where the internet and relevant infrastructure is in place (Kunz et
al., 2011). Even the middle aged persons that had hitherto dismissed the social
media as a tool for the younger ones are joining in. This increases the number
of users that a marketer would want to target through the channel. Besides
this, the number of internet users in the developing countries is on a steep
rise. Led by China, web users are on the increase. Internet enabled phones are
now more affordable and this means that access to the internet is much easier
even for those who are not able to afford computers (Castronovo and Huang,
2012). The evolution of the social media platform increases the level of
interaction between people in different countries and this fast tracks the
emergence of a global culture. This removes the complexity of advertising. As a
matter of fact, many of the organisations that advertise over the social media
tend to achieve good results even where the marketing approach is universal.
There is however a weakness in the same.
Many of the
social media platforms were started as platforms for interpersonal
communication between people. The angle of commercialisation was rare and
friends would discuss products and brands as part of a social engagement and
not as part of a marketing endeavour (Schmidt and Ralph, 2011). This is what
made word of mouth marketing over the internet very effective. As more
companies discover the potential of viral marketing, the initial intent of the
social media platform is increasingly eroded as the average social media user
is bombarded with commercial messages every second (Castronovo and Huang, 2012).
This frequency of advertisement is likely to erode the level of significance of
the recommendations they find online from friends within people’s social
networks. As a matter of fact, it is very likely that consumers will
deliberately make efforts to avoid online advertisements that are on their
social media platforms. This means that even though the social media platforms
can yield results, additional methods must be devised to make them more
effective.
Tesco is known
to have been among the first UK retailers to embrace the use of social media
platforms such as Twitter and Facebook in marketing its services (Shields,
2012). This move not only gave it the image of an agile and dynamic
organisation, but also it helped in cementing its leadership in the market. The
company uses its Facebook handling platforms for a number of uses including
informing the market about new products that are on offer as well as
interacting with consumers and attending to their concerns (Drennan, 2012). The
company implements an account handling design that ensures that enquiries are
responded to effectively. Complaints and other forms of feedback are used by
the organisation to examine its product and service handling and pinpointing
areas for improvement (Drennan, 2012). In addition to this; the company
implements a data mining system that enables them to anticipate the needs of
individual customers hence use them to implement a direct marketing strategy.
Being among the
leading retailers in the world, the company’s brand is already strong. However,
the company recognises the growing influence of the social media and internet
in shaping communication approaches within the society. It has remained one of
the giant leaders in the retail business with a solid online advertisement
strategy. It also uses it to inform its customers of existing offers which
include coupons and discounts as well as the introduction of new products
(Sociagility Ltd, 2012). Tesco does not take its existence in the social media
for granted. It advertises its social media handlers through its official
websites, official communications and at times in advertisements done using the
traditional channels such as mass media and outdoor advertising (Drennan, 2012).
This promotes awareness and encourages the customers to immediately seek
clarifications on products or services instead of bolting off in frustration
whenever something goes wrong.
2.5 Literature gap
Much is known
about the social media and its impact on consumer psychology. Much is also
known about Tesco and its leadership in the use of the internet and the social
media in advertising its products. The connection between the brand loyalty and
profitability is also well established. But what are yet to be explored are the
exact sentiments of the consumers about the variables mentioned. This study
uses primary research to bring out the perceptions of the consumers who are
Facebook users regarding the use of the social media at Tesco with an aim to
not only gauging its effectiveness but also indicating the extent to which
Facebook can be used to enhance brand loyalty.
3.0
Methodology
The guiding
philosophy in this research is constructionism which emphasises the fact that
realities are subjective. Acknowledging this theoretical viewpoint gives
marketers the impetus to research into feelings and perspectives of customers
and using this as the basis for ensuring that their expectations are met. In
this research, focus shall be on capturing the perceptions of international
students on the Tesco brand and the extent to which it is shaped by their use
of the Facebook handler for the company.
The population
for the study was the Chinese student population in UK that use Facebook.
Discrimination in favour of Facebook users was to ensure that only those that
may have had a chance to experience Tesco Facebook strategies are sampled. This
choice is due to the fact that they would be relatively new to the market and
unlikely to have developed a long attachment to any UK brand. They would
therefore most easily influenced by Facebook communications on the brand if
such an influence exists. The research is designed as primary research with the
data collection method being the use of questionnaires. Primary research was
picked due to its ability to capture information in dynamic situations. Market
perceptions are bound to change with time and information could easily get
outdated. This makes primary research the best avenue for guaranteeing
accuracy, reliability and validity.
To facilitate
analysis and establishment of relationships between the variables under
discussion, the questionnaires were structured mainly relying on closed
questions facilitating ease of completion and analysis. Sampling was through
stratified random sampling due to its ability to ensure fairness in collecting
views from across the population. A sample size of 50 was targeted even though
70 questionnaires were distributed and 50 of them picked for analysis. Questionnaire
distribution and collection was done physically due to proximity with the
target population. The data analysis was quantitative using the SPSS application
with a focus to establish the relationship between the variables.
The main
limitation in this study was the relatively small population sampled. This was
necessary in the interest of time and resources available. However, sampling
was done strategically through stratified random sampling to ensure that the
views held are reflective of the entire population.
4.0 Results
and analysis
The perceptions
of the international students about the impact of the Facebook interaction
platform with Tesco are as discussed in this chapter.
The gender
distribution of the students interviewed was as shown below.
Male=
1, Female= 2
The
distribution of the usage of Facebook was distributed as shown in the figure
below.
Key:
1.
Once a Week
2.
2-3 times a week
3.
4-5 times a week
4.
Daily
5.
At least thrice daily
From
a review of the figures in the table below, this translates to over 70% of the
youthful population that utilizes the internet more than 4 times in a week. This
is a huge market whose potential ought to be tapped to realize superior growth
in the increasingly competitive market.
The
frequency of purchase from Tesco is such that 48% admitted to frequently
shopping from Tesco when compared to other supermarkets. This is as shown
below:
Key:
1.
Very rarely
2.
Rarely
3.
Average
4.
Frequently
5.
Very frequently
This result
would be an indication that Tesco has a strong brand hence the rationale for
examining its Facebook strategy.
When queried on
whether they were aware of the existence of a Facebook account by Tesco, 70% of
the respondents answered to the affirmative. This could at best be an indicator
that the company has marketed its account sufficiently.
When tested for
a relationship between the level of awareness of Tesco’s Facebook handler and
the frequency of use of the platform, the Pearson’s correlation index was at
-0.056.
The implication
of this finding is that it would appear that Tesco uses many other ways of
alerting customers of its Facebook platform than merely sending messages to
users on the platform.
Opinions on
whether the company was being effective in the use of its Facebook platform to
satisfy information needs were almost evenly distributed as shown in the figure
below:
Key:
1.
Very ineffective
2.
Ineffective
3.
Average
4.
Effective
5.
Very effective
The fact that
distribution is even is an indicator that more needs to be done in terms of
content and communication effectiveness. The frequency of use of Facebook in
information search is as shown below:
Key:
1.
Very rarely
2.
Rarely
3.
Average
4.
Frequently
5.
Very frequently
From this
result, the majority of the customers admitted to having been using their
Facebook activities in search of products they wish to buy. However, when
contrasted against the level of frequency of interaction with Tesco through
their Facebook platform, there is a negative correlation between the variables.
Symmetric Measures
Value
|
Asymp. Std. Error(a)
|
Approx. T(b)
|
Approx. Sig.
|
||
Nominal by Nominal
|
Phi
|
.610
|
.289
|
||
| Cramer's
V |
.305
|
.289
|
|||
Interval by Interval
|
Pearson's R
|
-.014
|
.157
|
-.098
|
.922(c)
|
Ordinal by Ordinal
|
Spearman Correlation
|
-.055
|
.160
|
-.382
|
.704(c)
|
N of Valid Cases
|
50
|
||||
a Not
assuming the null hypothesis.
b Using the
asymptotic standard error assuming the null hypothesis.
c Based on
normal approximation.
The Pearson’s
correlation scale ranges from 1 t0 -1 with both ends being indicators of a
perfect relationship while 0 indicates no relationship. With a Pearson’s index of -0.055, the
relationship is weak and negative and this implies the fact that the frequency
of product search by Facebook users does not have a strong relationship with
the frequency of interaction between the organisation and the social media
users. This implies that the customers that do online search for their products
do not necessarily prioritise organisations that they are already known to.
About half of
the respondents admitted to having made enquiries through Tesco’s Facebook
handler.
However, there
were varying opinions on the ability of the company to respond to queries made.
Only 40% commended the organisation for effective
responses. T
As can be noted
from this response, no distinction is made between those who have made
enquiries in person and the rest as it is expected that they’d still be in a
position to learn from the experiences from fellow Facebook users.
Irrespective of
the divided opinions on the effectiveness of the company’s use of the social
media, the respondents were strongly in support of the fact that direct online
interactions heightens the expectations that they have on the company.
This
means that the average customer now expects more from the organization and this
is an important variable that the organization needs to consider when designing
a social media strategy with an emphasis to not only provide timely information,
but also be up to date and comprehensive in their approach. Closely related to
this question is where perceptions were sought on whether the customers thought
that Tesco provides them with information on the latest products in the market.
This response
indicates that the Facebook handler by Tesco enjoys the confidence of the
market on being up to date. However, it should be noted from the response to
question Q7 above where the level of interaction with Tesco was quite low. This
implies that many of the consumers preferred to be passive consumers of
information as opposed to being more interactive. It could also imply that the
information provided by Tesco is comprehensive enough hence no need for making
enquiries.
Over 70% believe that Tesco takes their opinions about
their products seriously. On the impact of
interaction, 92% confirmed the fact that online interactions with the company
influence their level of attachment to the brand. This implies that where
online interactions are more frequent and effective, brand loyalty is likely to
result.
The relationship
between this response and one on whether the Tesco Facebook platform provides
sufficient information about the latest products.
With a Pearson’s
correlation of 0.457, the relation can be said to be moderate and positive.
This provides insight on the fact that internet users expect to find the latest
information about products online. Their confidence in the brand is boosted
when this happens. The relationship between this question and the question on
whether customers think their views are taken seriously also revealed a direct
relationship between the variables albeit it a weak positive relationship
The views in this question were further reinforced by the
assertion that brand loyalty could result in continuous online interaction with
over 60% holding the same view.
An examination on whether there is a correlation between
gender and the response to this question revealed a very weak but positive
relationship.
5.0
Discussion of results
The results of
the study confirm theoretical perceptions on the impact of the social media on
customer expectations and communication approaches. The social media
facilitates the direct interaction between the company and the end consumer in
a manner that makes it possible for them to develop a relationship with each
other. Out of the Facebook users sampled, a significant proportion had admitted
to having made one form of enquiry or another to Tesco through their Facebook
platform with the rest being privy to a similar enquiry and therefore being in
a position to tell the extent to which the company can be considered to be
effective on that platform. The results also confirm the theory that internet
use heightens expectations among consumers who then expect the companies and
brands to take their suggestions seriously. The average consumer is no longer
satisfied to be a dormant participant in the branding process and this makes it
imperative for companies to be not only interactive but also take customer
sentiments seriously.
As has been
noted in previous studies, different approaches can be used to improve on the
level of brand loyalty. The main alternatives used are either the use of
material rewards such as loyalty schemes or through prompt and meaningful
interaction with an aim to creating a relationship. Active Facebook
communications at Tesco are used to enhance brand loyalty using consistent and
frequent communication. This study proves that this approach can yield positive
results where the respondents confirmed that meaningful online interactions do
impact significantly on their level of attachment to the brand. Another crucial
impact of the social media on consumer psychology is heightened expectation on
the availing of information. The average internet user would want to be the
first person to know about the products in the market. This study revealed the
perception among the customers where the majority admitted to using Facebook to
search for information about products online. It therefore follows that the
organisation that is able to consistently provide the latest information will
experienced heightened interaction which could in turn lead to a higher level
of attachment with the brand.
Despite any
success in the use of the social media platforms, it is imperative that a wide
approach to marketing communications is embraced by the organisation. Even
though it may always be possible to find customers through the media platforms
through Facebook and others, users may not always be in a position to come
across an organisation’s account when online. This was confirmed through this
study where there was no relationship found between the frequency of use of the
Facebook platform and knowledge of the existence of Tesco’s Facebook handler.
This distinction is very important for organisations seeking to promote
interaction with its customers who need to be granted the assurance that all
interactions and concerns will be taken seriously.
The most
significant finding in this study on the perceptions of consumers and the
Facebook strategy of organisations is that continuous interaction does impact
brand loyalty positively. Buoyed by the belief that every enquiry and feedback
is taken seriously, the Facebook users feel as though they are part of the
organisation and an important player in determining what they offer to the
market. A successful social media strategy is therefore likely to yield fruit
as per the perceptions of the average internet user in the market.
6.0
Conclusion
and recommendations
The study
established the fact that investment in a social media strategy is likely to
yield fruits in as the likelihood of it aiding brand loyalty is high. A
Facebook strategy gets the online users to interact frequently with the company
hence becoming a part and parcel of its branding processes. With the
affirmations that Tesco responds effectively to feedback from the consumers, it
would appear that Tesco’s strategy is working as expected hence its likelihood
to sustain its brand strength in the UK market. Continuous interactions lead to
greater emotional involvement and that in turns generates brand loyalty. The
Tesco Facebook strategy enables the strengthening of this relationship.
This research
has also shown that it is important for the organisation to embrace a balanced
approach in its marketing communications strategies. Having determined that the
level of awareness of the company’s Facebook handler is not strongly related to
the frequency of use of the platform, it can be concluded that Tesco has been
using other platforms to make the market aware of its Facebook handler. This
theory is reinforced by the fact that an overwhelming majority were aware of
the existence of this platform even though only a small fraction had been
interacting regularly with the company using it. It is therefore established
that Tesco uses Facebook as an integral part of its marketing communications
and not as a sole avenue for the same.
As communication
technologies improve, more and more people are bound to embrace the use of the
social media around the world. Tesco has put the social media to good use.
However, it fails to fully exploit the potential in the same platform. Since
the customers in the market air their views freely, Tesco should embrace agility
and readily move with the aspirations of the market in terms of what it ought
to stand for and provide to the market. Tesco should take advantage of the fact
that the consumer wants to be a part of the branding process and establish a
model that enables the consumer to have greater attachment with the
organisation. The company should also make greater efforts to enhance
communication effectiveness to make interactions more meaningful.
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Appendix 1: Questionnaire
Questionnaire
Q.1 What gender are you?
1. Male
2. Female
Q.2 How often do you use Facebook?
1. Once a Week
2. 2-3 times a week
3. 4-5 times a week
4. Daily
5. At least thrice daily
Q.3 How often to you purchase products from Tesco vis-à-vis other
leading retailers?
1. Very rarely
2. Rarely
3. Average
4. Frequently
5. Very frequently
Q.4 Do you use Facebook to search for products in the market?
1. Very rarely
2. Rarely
3. Average
4. Frequently
5. Very frequently
Q.5 Are you aware of the existence of Tesco’s Facebook handler’s
account?
1. Yes
2. No
Q.6 Do you consider them as effective in providing information that is
important to you?
1. Very ineffective
2. Ineffective
3. Average
4. Effective
5. Very effective
Q.7 How often (if at all) do you interact with Tesco over their
Facebook platform?
1. Very rarely
2. Rarely
3. Average
4. Frequently
5. Very frequently
Q.8 Have you ever made enquiries to the company about the company or
its products through their Facebook platform?
1. No
2. Yes
Q.9 In relation to the question above, to what extent was the response
provided satisfactory?
1. Very poor
2. Poor
3. Average
4. Good
5. Very good
Q.10 Does the fact that you are able to access the Tesco Facebook
platform heighten your expectations on the level of interaction needed?
1. No
2. Yes
Q.11 To your knowledge, does Tesco provide information on the latest
products introduced into the market?
1. No
2. Yes
Q.12 Do you think Tesco takes into consideration opinions you provide
about their brand and products?
1. Very unlikely
2. Unlikely
3. Average
4. Likely
5. Very likely
Q.13 Does your ability to interact with Tesco online make you feel more
attached to their brand?
1. No
2. Yes
Q.14 Do what extent is your brand loyalty impacted by your online
interaction with Tesco over Facebook?
1. Very little
2. Little
3. Average
4. Much
5. Very much
Q.15 Irrespective of your personal feelings about the company, to what
extent does the sentiments of your online friends affect your views on the
company?
1. Very low
2. Low
3. Average
4. High
5. Very high
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