The Impact Of Social Media Marketing On Consumers Purchse Intention The Case Of Heineken Breweries S.C Ethiopia

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Date

2018-05-12

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Addis Ababa University

Abstract

In traditional marketing, a gap exists between buyer and seller. The ways to reach the buyer are very expensive and inefficient. As studies have shown Social media has a capacity to fill this gap because one can reach millions of buyers with a single click. (Bernie Borges, 2009) In social media settings, consumers provide online feedback about products/services, and this feedback is visible to other agents, including other consumers, channel partners, competitors, and investors. According world internet users, December 2017, report Ethiopia has about 16.5 million internet users. This population can be reached through social media. So social media marketing is a great tool to reach a number of potential customers. The objective of this study is to get answers for the questions like "what impact does social media marketing has on consumers' purchase intention?" using the independent variables: electronic word of mouth, online communities, online advertisement and a dependent variable consumers purchase intention. To administer this study the researcher used quantitative approach and descriptive survey with explanatory design plus cross-sectional approach. The data were collected using a broad survey closed -ended questionnaire with Likert-Scale and single choice items . The target population of the study include Heineken breweries' products consumers of Addis Ababa who are social media users. The number of total population for this study is unknown due to its dynamic and complex nature which increases on a daily basis. Thus, the sampling of the population could not be random. It is purposive or convenient sampling and the data is non-parametric. To decide the sample size, the researcher used the standard recommendation of Corebetta (2003) for infinite or unknown population sample size of 385. Nevertheless, the researcher distributed questionnaires for 500 respondents to get a better representative for the target population and ended up with 430 respondents which about 12% above the standard size. The questionnaire was distributed online via Google forms and in person using printed questionnaires. The reliability of the questionnaire items were tested before starting the survey using Guttman-Split half method, and some corrections were taken on the items before starting the survey. The research used Excel Spread Sheet and SPSS version 20. Besides, normality distribution of the variables was checked using Koolmogorov-Smirnov test(KS-test) and the hypotheses validity is tested using Linear regression coefficient of nonparametric statistic. iii Major findings of the study are:- Face book is the most popular SM platform by the respondents. But most of the respondents do not follow SM pages of Heineken breweries Ethiopia. Among traditional advertising mediums, TV is the most popular medium having nearly half(47%) of the respondents. Regarding SM, again about 47% of the respondents prefer it as compared to traditional mediums, and about 27% of the respondents believe that SM and traditional media complement each other.SM is a great motivation towards the use of internet and this might have been a major reason for the increasing of internet users of the respondents in particular Addis Ababa in general. The result of testing hypotheses of the null hypotheses is partially rejected and partially accepted. This shows that the practiced of Social Media Marketing on Consumers Purchase Intention at Heineken breweries is at very low level than it is supposed to be.

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Keywords

Social media, Social media marketing, Purchase intention

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