Evaluating The Advertising Effectiveness Through Social Networking Media's Targeting On Younger Generation Chapter-1

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Evaluating the Advertising Effectiveness through Social

networking Medias Targeting on Younger Generation


CHAPTER- 1
INTRODUCTION
Social networking is the progression of making and retaining lasting relationships
between friends, colleges, and acquaintances. It is how and why individuals know each
other. The Internet has revolutionized the way the world communicates, making distance
no longer an obstacle. Social networking websites have become an international
phenomenon used by all generations of Internet users. Social networking websites have
not only made keeping friendly relationships easier, but it has aided in simplifying
communication and networking in the business world as well. Social networking
websites have become some of the most widely used sites on the net with over 45% of
active web users interacting through these sites (Nielsen, 2006). Some sites are devoted
to student users such as Face book, while others are more catch-all like MySpace.
However, most sites are devoted to one particular target market and hope to solve
common problems facing each audience. With their popularity increasing, social
networking sites are exposed to increasing scrutiny and internal problems. However,
according to the Senior Director of Media Relations, social networking sites are the
reality television of the internet ripe and ready to be made into capital (Gibs, 2006).
Social networking sites may be used by most for fun and expansion, but in the business
world they mean money. With the future becoming more and more high tech and
electronic it is not a surprise that the way society communicates has done the same thing.

At one time, the postal service was the sole provider of long distance communication, and
then came the telephone. It was only a matter of time until the world of online
communication broke onto the scene. Since the Internet became readily available to the
public in the early nineties, it has skyrocketed to the fastest form of communication
evolving from email to instant messaging, and now to devoted social networking
websites complete with messaging, pictures, and video. These sites have made the world
a much smaller space so that people from different parts of the country as well as the rest
of the world can speak and relate to one another. Issues in one part of the world are now
no longer regional issues but global problems.

Social networking has made steps in overcoming teen suicide with the site SOS, Students
Overcoming Suicide. SOS developed as an independent MySpace.com site to prevent
and raise awareness about teen suicide (Thieren, 2007). Referrals from MySpace.com
have become the largest source of calls to the National Suicide Prevention Hotline as well
as creating other sites devoted to the cause including Helping Teens, Teens Helping
Teens, and the Teen Support Alliance (Thieren). Use of the National Suicide Hotline
has grown by creating a completely anonymous site dedicated to helping and counseling
troubled teens.

Another issue social networking sites have addressed is poverty in Africa. Once isolated
by distance, poverty in Africa has been alleviated by allowing producers to directly
connect with markets instead of loosing money by working with middlemen
(netsquared.org, 2007). Other global problems addressed by social networking are
alleviating AIDS in Africa, improving public schools, and ending global hunger
(change.org, 2007). The site Change.org is devoted to hundreds of social causes working
hand in hand with non-profit organizations. Millions can join in the fight for human
rights by using online social networking that would be almost impossible without this
media.

Other social networking websites are devoted to restoring relationships of former grade
and high school companions, college alumni, and military contacts. Those who are using
Classmates.com have tended to be older individuals in the 30-40 year old range. They
hope to reunite with past romantic flames as well as rekindle friendships long lost.
Classmates.com was founded by Randy Conrads in Renton, Washington in 1995
(classmates.com, 2007). It is now owned and operated by NASDAQ: UNTD and CEO
Mark Goldston. In order to keep the company running they charge a gold membership
fee of $29.95 per year for users to send email, view bios, and plan reunion. Basic
memberships do not require payment and are only allowed to post pictures and find
friends. The majority of funding comes from the membership fees

1.1 Social Network Sites: A Definition

We define social network sites as web-based services that allow individuals to (1)
construct a public or semi-public profile within a bounded system, (2) articulate a list of
other users with whom they share a connection, and (3) view and traverse their list of
connections and those made by others within the system. The nature and nomenclature of
these connections may vary from site to site.
While we use the term "social network site" to describe this phenomenon, the term
"social networking sites" also appears in public discourse, and the two terms are often
used interchangeably. We chose not to employ the term "networking" for two reasons:
emphasis and scope. "Networking" emphasizes relationship initiation, often between
strangers. While networking is possible on these sites, it is not the primary practice on
many of them, nor is it what differentiates them from other forms of computer-mediated
communication (CMC).

What makes social network sites unique is not that they allow individuals to meet
strangers, but rather that they enable users to articulate and make visible their social
networks. This can result in connections between individuals that would not otherwise be
made, but that is often not the goal, and these meetings are frequently between "latent
ties" (Haythornthwaite, 2005) who share some offline connection. On many of the large
SNSs, participants are not necessarily "networking" or looking to meet new people;
instead, they are primarily communicating with people who are already a part of their
extended social network. To emphasize this articulated social network as a critical
organizing feature of these sites, we label them "social network sites."
While SNSs have implemented a wide variety of technical features, their backbone
consists of visible profiles that display an articulated list of Friends1 who are also users
of the system. Profiles are unique pages where one can "type oneself into being"
(Sundn,2003, p. 3). After joining an SNS, an individual is asked to fill out forms
containing a series of questions. The profile is generated using the answers to these
questions, which typically include descriptors such as age, location, interests, and an
"about me" section. Most sites also encourage users to upload a profile photo. Some sites
allow users toenhance their profiles by adding multimedia content or modifying their
profile's look and feel. Others, such as Facebook, allow users to add modules
("Applications") that enhance their profile.

The visibility of a profile varies by site and according to user discretion. By default,
profiles on Fraudster and Tribe.net are crawled by search engines, making them visible to
anyone, regardless of whether or not the viewer has an account. Alternatively, LinkedIn
controls what a viewer may see based on whether she or he has a paid account. Sites like
MySpace allow users to choose whether they want their profile to be public or "Friends
only." Facebook takes a different approachby default, users who are part of the same
"network" can view each other's profiles, unless a profile owner has decided to deny
permission to those in their network. Structural variations around visibility and access are
one of the primary ways that SNSs differentiate themselves from each other.

After joining a social network site, users are prompted to identify others in the system
with which they have a relationship. The label for these relationships differs depending
on the sitepopular terms include "Friends","Contacts", and "Fans". Most SNSs require
bidirectional confirmation for Friendship, but some do not. These one-directional ties are
sometimes labeled as "Fans" or "Followers," but many sites call these Friends as well.
The term "Friends" can be misleading, because the connection does not necessarily mean
friendship in the everyday vernacular sense, and the reasons people connect are varied
(boyd, 2006a).

The public display of connections is a crucial component of SNSs. The Friends list
contains links to each Friend's profile, enabling viewers to traverse the network graph by
clicking through the Friends lists. On most sites, the list of Friends is visible to anyone
who is permitted to view the profile, although there are exceptions. For instance, some
MySpace users have hacked their profiles to hide the Friends display, and LinkedIn
allows users to opt out of displaying their network.
1.2 The Social Network Advertising Market
eMarketer predicts that $2 Billion will be spent this year (2008) on social network
advertising worldwide and that this market will continue to grow - reaching $3.8 billion
in spending by 2011. However, a large portion of this spending is predicted to be coming
from the US market. As Internet usage continues to grow in other parts of the world, and
social networks continue to proliferate, advertising dollars on social networking sites
outside of the US will begin to play a major role.

There have been many claims that Social Network Advertising will revolutionize the
online advertising market. Most famously, founder of Facebook, Mark Zuckerberg,
announced that "For the last hundred years media has been pushed out to people, but now
marketers are going to be a part of the conversation." No doubt social network
advertising is a significant new way of reaching customers, but the market is far from
being mature.
"In general, it's been improving but we still have a long way to go. Things have been
going well this year...it's hard to predict where social networking will come out." - Sergey
Brin (Google Co-Founder)
1.2.1 Social Networking Advertisement
Recently businesses have gotten around paying for advertising on social networking site
by posing as a user and creating a profile for the business. Therefore, when certain words
are searched on the site their business page appears. We propose that businesses should
have to pay a fee for this, which would in turn increase the social networks revenue. Also,
all social networking sites should create revenue from outside sources, not the individuals
who use them. Social networking sites should be free to its users. Varying Social
Networking also sites contain material and content that are not suitable for children of a
young age. We propose that certain sites require some form of age verification to reduce
the number of online crimes against children.

Overall, social networking websites have been successful. They have dramatically
increased the ability to communicate over distances and keep in touch with friends,
family, classmates, and business acquaintances. Their popularity continues to grow and
they are some of the most widely used sites on the Internet. Social networking websites
have created their own burst in the advertising world. With growing use, these sites will
only have more time and money to spend in creating a better way to freely network. It
seems growingly popular to encompass many smaller networks under one name. Even
the social networking sites that are devoted to one target market are gearing toward
catch all sites that can be used for a number of reasons. Social networking sites are still
in their early years and have much room to grow. Future generations are becoming
increasingly reliant on the Internet and its media, so only time and technology will tell
how these networks will fare.

1.2.2 Forms of Social Network Advertising

There are three major classifications of Social Network Advertising:

Direct Advertising that is based on your network of friends - This can be the most
effective format but also causes the most controversy. An example is the
Facebook beacon project.[5] Based on an action your friend has taken, you might
see a message in your news feed saying 'Bob has just bought a 'RadioHead CD
from MusicWorld'. This can be an extremely effective mode as often people make
decisions to purchase something or do something based on their close group of
friends. However, there is also a lot of controversy surrounding this as it can be
considered exploiting the personal relationships you have with your friends and
also raises privacy concerns.
Direct Advertising placed on your social networking site - This is a more
traditional form of web advertising that is minimally effective. Just like you see
banner ads on many other sites, this is a similar concept, except on a social
networking site. You can see these - for example - as a brick in the top right of
MySpace pages, or as a banner on the left of Facebook profiles and so on. There
are two differences however - One is that these social networks can take
advantage of demographic data on your profile and hence target the ad directly to
you. Secondly, these types of ads can also be placed by individual developers on
their application pages through ad networks. They have access to the same data
and can generate income for application developers giving them further
motivation to create apps and giving advertisers a more engaging way to reach out
to these social networking users.

Indirect Advertising by creating 'groups' or 'pages' - This is an innovative


marketing technique in which a company will create a 'page' or 'group' that users
can choose to join. They will use this to build up 'subscribers' or 'fans' and use this
to market a contest, a new product, or simply just to increase brand awareness.
These groups can quickly grow in numbers of subscribers which can become a
very effective marketing to

1.3 The Effectiveness of Advertising through Social Networking Media

The social media advertisements have a lot of advantages and disadvantages. They are
based on the purpose which we are using. In these days the advertisement are the main
part of our business. The advertisements are always influence the purchasing decision of
the customer. That means the advertisement can have the power of influencing the
people.

Advertising is the life blood of the Marketing organization. Now a day most of the
organizations have own advertisement on their products. Without advertisement the
organization could not survived. The advertising is done through the medias like printed
and visual medias. Now the situation has been changing, that means new advertising
Medias are come into picture. Here we are discussing about, how we can influence the
young people to the product through advertisement. The best way to convey the
information about the product which is available in the market is advertise through the
social networking medias. Here we are going to check the effectiveness of advertisement
through social networking sites like Facebook, Twitter, and Google+ etc.
Today the competition in the market is very high. Every organizations trying to increase
their sales and turnover. Now a day people are more conscious about the quality and
values of product and the awareness of the brand is also important. The advertisement of
various products provides the awareness about the products and its features. That would
help the customer to take a decision. Here we evaluate how we can influence the young
generation through social networking media advertisement. The best way to influence
young minds is the advertisement in social networking medias and other websites
because now majority of the youngster has an account in any of the social networking
sites. So it would be definitely influence the young minds. This type of advertising is also
beneficial for the organizations.

The advantages of the advertisements through social networking medias are

Cost effectiveness of the advertisement

Reach a lot of people in a short span of time

Can easily get a lot of informations about the products from other sites also

Attract more young people and market the fashion products

The disadvantages are

Mostly the targeting is focused only on a particular groups taste

The information is very short

High competition because of cost effectiveness

After the analysis we found that while targeting the young generation people through the
social media marketing and advertisement, the mindset of the people are important. Some
of the young generation people are not interested to socializing with people. They thought
that social networks are harming their privacy. So they are not willing to create account in
social medias.

CHAPTER- 2
REVIEW OF LITERATURE& RESEARCH DESIGN
2.1 Title of the Topic

Evaluating the Advertising Effectiveness through Social networking


Medias Targeting on Younger Generation.

2.2 Introduction to the Study

Advertising is the life blood of the Marketing organization. Now a day most of the
organizations have own advertisement on their products. Without advertisement the
organization could not survived. The advertising is done through the medias like printed
and visual medias. Now the situation has been changing, that means new advertising
Medias are come into picture. Here we are discussing about, how we can influence the
young people to the product through advertisement. The best way to convey the
information about the product which is available in the market is advertise through the
social networking medias. Here we are going to check the effectiveness of advertisement
through social networking sites like Face book, Twitter, Google+ etc.

2.3 Statement of Problem

To make an analysis on Evaluating the Advertising Effectiveness through


Social networking Medias targeting on Younger Generation . Here we
measure if the advertisement in the social networking medias make any difference in the
purchasing decision of the youngsters and we are trying to find out the youngsters
consider the social networking sites as a reliable source of information about new
product.

2.4 Need for the Study

Today the competition in the market is very high. Every organization is trying to increase
their sales and turnover. Now a day people are more conscious about the quality and
values of product and the awareness of the brand is also important. The advertisement of
various products provides the awareness about the products and its features. That would
help the customer to take a decision. Here we evaluate how we can influence the young
generation through social networking media advertisement. The best way to influence
young minds is the advertisement in social networking medias and other websites
because now majority of the youngster has an account in any of the social networking
sites. So it would be definitely influence the young minds. This type of advertising is also
beneficial for the organizations.

2.5. Objectives of the study.

This study has been undertaken

To assess the degree of difference in the purchasing decision of youngsters based


on the social media advertisement.
To find out the extend of youngsters considering the social networking sites as a
reliable source of information about new and existing products.
To find out whether there is any relationship between age and purchase of product
through online.

2.6 Review of Literature

Marketing affects almost every aspect of todays daily life. Modern age is the age of
marketing. Marketing is a dynamic, exciting and challenging activity. Today the success
or failure of a company and its product in the market place depend largely on the
adoption of effective marketing strategy by the company.

2.6.1 Meaning and Definition of Marketing

In common practice Marketing means the process of distribution of goods and services.
The aim of marketing is to make sales in order to earn reasonable profit for the product.
The term marketing embraces all resources and activities necessary to direct and facilitate
the flow of goods and services from the producer to the customer.

Philip Kotler defines marketing as human activity directed at satisfying need and wants
through exchange process. According to him activities such as product development,
search, communication, distribution, pricing and service contribute the core of marketing
activities.

2.6.2 Objectives of Marketing


Barker and Ashen says The end of all marketing activities is the satisfaction of human
wants .Though the satisfaction of human wants, profits are rewarded to the business and
the reward is inducement of marketing.

The following are the aims of marketing:


v Intelligent and capable application of modern marketing policies. To develop the
marketing field.

v To develop guiding policies and this implementation for a good result.

v To suggest solutions by studying the problems relating to marketing.

v To take appropriate activities in the course of action.

Functions and Importance of Marketing

As a country becomes more industrialized and urbanized, marketing becomes


functionally more important. Marketing is a connecting link between the consumer and
the producer. It helps in increasing the living standard of people. It helps to increase the
nations income. Marketing process increases employment opportunity.

Therefore marketing is a total system of business activities designed to plan, price,


promote and distribute want-satisfying goods and services goods and services to prevent
and potential customer. Thus, greater marketing effort is required in case of more
industrialized and urbanized societies. So, marketing has to play a vital role not only in
profit making, but in non-profit making organization also. It includes buying, selling,
transporting, storing, standardization and grading, financing, risk taking and marketing
information.

2.6.3 The Exchange Functions

Buying and selling lead to exchange. The buying function involves looking for and
evaluating goods and services. The selling function involves promoting the products. It
includes the use of personal selling and advertising and other mass selling methods.

2.6.4 The Physical Distribution Functions

The transporting function means the movement of goods from one place to another. The
storing function involves holding goods. These are the major activities of many
marketing institutions especially warehouse transportation agencies, wholesalers and
some retailers.

2.6.5 The Facilitating Functions

Standardization and grading, financing, risk taking and market information are the
functions included in this head.

2.6.6 Modern Marketing Strategies

Marketing strategy of a firm is the complete and unbeatable plan or instruments designed
specifically for attaining the marketing objectives of the firm. According to Philip Kotler,
marketing strategy is the basic approach that the business unit will use to achieve its
objectives and it consists of brand decisions on target markets, marketing positioning and
mix and marketing expenditure level.

Designing the product, forms perk of marketing strategy. While marketing the products,
the management paces several problems. The strategies are intended to overcome such
difficult situations and to maximize profits.

2.6.7 Consumer Behavior

All the behavior of human beings during the purchase may be termed as buyer
behavior. The process whereby individuals decide whether, what, when, how and from
whom to purchase goods and services, can be termed as the consumer behavior or the
buyers behavior".

The studies on the spending pattern of consumers over consumption reveal the influences
of several economic factors. They are disposable income, size of family; family income
etc. with the widespread use of television, circulation of magazines and the increasing
mobility of consumers, fashion news is spreading like wildfire

2.6.8 Perception

Perception is the process by which an individual selects, organizes, and interprets


information inputs to create a meaningful picture of the world. Perception depends not
only on the physical stimuli, but also on the stimulis relation to the surrounding field and
on conditions within the individual. The key point is that perceptions can vary widely
among individuals exposed to the same reality. One person might perceive a fast-talking
salesperson as aggressive and insincere; another, as intelligent and helpful. Each will
respond differently to the salesperson.

In marketing, perceptions are more important than the reality, as it is perceptions that will
affect consumers actual behaviour. People can emerge with different perceptions of the
same object because of three perceptual processes: selective attention, selective
distortion, and selective retention.

The concept customer is the king has much significance in marketing a product. The
product has to be ultimately accepted by him. Hence, a product should have some
marketing characteristics, which a consumer should accept.

The marketing concept was born out of the, determination of consumer wants and ends
with the satisfaction of their want. The purpose of any business is to create a customer. It
is the customer who determines what a business is: it is the customer and alone who
through being willing to pay for goods or services, converts economic resources into
wealth, things into goods.

Purchase Decision Process

Customers go through a five-stage


decision-making process in any purchase. This is summarized in the diagram below:
Figure (1)

This model is important for anyone making marketing decisions. It forces the marketer to
consider the whole buying process rather than just the purchase decision (when it may be
too late for a business to influence the choice!)

The model implies that customers pass through all stages in every purchase. However, in
more routine purchases, customers often skip or reverse some of the stages.

For example, a student buying a favorite hamburger would recognize the need (hunger)
and go right to the purchase decision, skipping information search and evaluation.
However, the model is very useful when it comes to understanding any purchase that
requires some thought and deliberation.

2.7.1 Need Recognition

The buying process starts with need recognition. At this stage, the buyer recognizes a
problem or need (e.g. I am hungry, we need a new sofa, I have a headache) or responds to
a marketing stimulus (e.g. you pass Starbucks and are attracted by the aroma of coffee
and chocolate muffins).

2.7.2 Information Search

An aroused customer then needs to decide how much information (if any) is required.
If the need is strong and there is a product or service that meets the need close to hand,
then a purchase decision is likely to be made there and then. If not, then the process of
information search begins.

A customer can obtain information from several sources:

Personal sources: family, friends, neighbors etc

Commercial sources: advertising; salespeople; retailers; dealers; packaging; point-of-


sale displays

Public sources: newspapers, radio, television, consumer organizations; specialist


magazines
Experiential sources: handling, examining, using the product

The usefulness and influence of these sources of information will vary by product and by
customer. Research suggests that customers value and respect personal sources more
than commercial sources (the influence of word of mouth). The challenge for the
marketing team is to identify which information sources are most influential in their
target markets.

2.7.3 Evaluation of Alternatives

In the evaluation stage, the customer must choose between the alternative brands,
products and services.

How does the customer use the information obtained? An important determinant of the
extent of evaluation is whether the customer feels involved in the product. By
involvement, we mean the degree of perceived relevance and personal importance that
accompanies the choice.

Where a purchase is highly involving, the customer is likely to carry out extensive
evaluation.

High-involvement purchases include those involving high expenditure or personal


risk for example buying a house, a car or making investments.

Low involvement purchases (e.g. buying a soft drink, choosing some breakfast
cereals in the supermarket) have very simple evaluation processes.

Why should a marketer need to understand the customer evaluation process?

The answer lies in the kind of information that the marketing team needs to provide
customers in different buying situations.

In high-involvement decisions, the marketer needs to provide a good deal of information


about the positive consequences of buying. The sales force may need to stress the
important attributes of the product, the advantages compared with the competition; and
maybe even encourage trial or sampling of the product in the hope of securing the
sale.

2.7.4 Purchase

All the above stages might happen in a few minutes while the reader is considering the
advertisement; in the comfort of his or her favorite armchair. The final buying decision,
on the other hand, may take place sometime later; perhaps weeks later, when the
prospective buyer actually tries to find a shop which stocks the product.

Post-purchase evaluation - Cognitive Dissonance

The final stage is the post-purchase evaluation of the decision. It is common for
customers to experience concerns after making a purchase decision. This arises from a
concept that is known as cognitive dissonance. The customer, having bought a product,
may feel that an alternative would have been preferable. In these circumstances that
customer will not repurchase immediately, but is likely to switch brands next time.

2.8 Methodology in the Study


Data collected through questionnaires would be completed, classified and tabulated for
analysis. Analysis would be done using the statistical tool of percentage and comparative
techniques with the help of SPSS software. Inferences would be drawn from the analysis,
conclusions would be made and suggestions would be given.

2.8.1 Type of Research

The type of research used is convenience sampling. Convenience sampling is a non-


probability sampling technique where subjects are selected because of their convenient
accessibility and proximity to the researcher. The subjects are selected just because they
are easiest to recruit for the study and the researcher did not consider selecting subjects
that are representative of the entire population.

2.8.2 Data Used

Primary data: The data is collected through structured questionnaire, which is self-
administered by the researcher. Secondary data: The data is collected from journals,
websites and books.

2.8.3 Source of Data

Questionnaire and personal interview method was applied to collect the actual data for
the research study. This helps the students were more comfortable, free to participate
fully in the interview by giving the required information and express their feelings
without inhibition.

Internet: Various websites also provided significant contribution in data collection.

2.8.4 Tools and Technique for Data Collection

Taking into consideration the time factor it was felt expedient by the researcher that data
is collected at a fast pace with minimum disturbance to the respondents. The
questionnaire itself, which is the tool for data collection, had an introduction outlining the
object of the study. It provides with questions relating to factors that influences a
customer in choosing a service provider. The questions address the issues raised by the
objective of the study.

2.8.5 Sampling

The sampling technique to be used is convenience sampling.

Sample size is =100

2.8.6 Tools Used for Analyzing the Data

Tools used for data collection (Questionnaire)


The researcher have used Self-completion questionnaire, to collect information from the
respondents.

Tools used for analyzing the data (Bar Graphs, Pie-charts ,cross tabulation and chi
square)
A combination of bar graphs and pie-charts were used to analyze and interpret the data.
Bar graphs and Pie-charts were used to represent the opinions of the respondents in terms
of percentages. In addition to this hypotheses were formulated to assist in analyzing the
research. The software that was used to analyze the data was SPSS Package.

2.8.7 Scope of the Study


To examine the effectiveness of the internet based advertisement.

To identify the financial and organisational benefits through this mode of


advertisement.

To determine influence of the social networking medias in the youngsters


life.

2.8.8 Limitations of the Study

The study conducted is of academic nature and therefore the respondents


participation may be limited.

The analysis will be made based on the assumption that the information given
by the respondents was all correct

The scope of the study is restricted to certain sample population of workers in


each category, due to the time and population constraints.

Limitation of convenience sampling i.e. the sample population may not be


representative of the entire population.

2.9 Chapter Scheme

Chapter- 1: Introduction
This chapter introduces to the social networking sites, various promotional campaigns
used by major players in the social networking sites.

Chapter- 2: Review of Literature &Research Design

This chapter covers the title of the study, statement of the problem, need for the study,
objective of the study, methodology of the study, sampling, scope of the study, limitations
of the study and the chapter scheme. It gives an overview of the plan of the study.

Chapter- 3: Profiles of the Industry

This chapter covers the industry profile and the company profile of major players in
social networking medias in detail.

Chapter- 4: Result, Analysis &Discussions

This chapter covers the result, analysis and discussion of the data collected from
questionnaire and the issues raised by the objective of the study.

Chapter- 5: Summary of Findings, Conclusions and Recommendations

This chapter covers the results of the study conducted. It also covers the conclusions and
the recommendations provided by the researcher to the companies and also mentioned the
further scope for the study and how to implement the result of the study is also
mentioned.

CHAPTER- 3
PROFILE OF THE INDUSTRY
Advertising is a form of communication used to encourage or persuade an audience
(viewers, readers or listeners) to continue or take some new action. Most commonly, the
desired result is to drive consumer behavior with respect to a commercial offering,
although political and ideological advertising is also common. The purpose of advertising
may also be to reassure employees or shareholders that a company is viable or successful.
Advertising messages are usually paid for by sponsors and viewed via various traditional
media; including mass media such as newspaper, magazines, television commercial,
radio advertisement, outdoor advertising or direct mail; or new media such as blogs and
websites and text messages.

Commercial advertisers often seek to generate increased consumption of their products or


services through "branding," which involves the repetition of an image or product name
in an effort to associate certain qualities with the brand in the minds of consumers. Non-
commercial advertisers who spend money to advertise items other than a consumer
product or service include political parties, interest groups, religious organizations and
governmental agencies. Nonprofit organizations may rely on free modes of persuasion,
such as a public service announcement (PSA).

Modern advertising developed with the rise of mass production in the late 19th and early
20th centuries. In 2010, spending on advertising was estimated at $142.5 billion in the
United States and $467 billion worldwide Internationally, the largest ("big four")
advertising conglomerates are Interpublic, Omnicom, Publics, and WPP.

Advertisement is an encapsulated communication about a product (good/services), a


clearly designed, concise, aesthetically appealing and content-wise accurate communiqu
intended to effectively persuade the target audience(viewers/listeners/readers) to arrive at
a decision as desired by the advertiser often concerning the product (goods/service).
Usually the aim of an advertisement is to increase the sales of a product introduced into
the market. The advertisement will speak about the salient features of the product on offer
and the benefit the customer/consumer can derive out of the product. It can also educate
the target audience about the various other details such as the products cost, availability,
usage modalities, problems that may arise whiles using it and the probable solutions to
those problems etc.

Advertisement also is used to inform a mass of audience about various socially relevant
factors such as employment, upcoming events, contests or elections or a host of other
such events. Now newer media of advertisements are emerging and growing. Internet
based media like social networks, web portals, trade portals etc. are some of those.
Marketing managers conceptualize special event simply to coercively communicate
product related sales communications. Normally the advertisements are prepared in such
a way that they attract the attention of the intended parties easily. Thoughtfully
constructed copy (words/diction of an advertisement), interesting visual or pictures,
attractive colors and designs, a uniquely arrived at theme, the central steam of thought,
etc. arouse interest of the customers, and help to retain the interest. Persuasive elements
of the advertisement drive the customers towards a strong desire to possess the product.
This finally leads them toward buying or possessing the product. Professional managers
dont construe this as the final point in advertising

3.1 History

Egyptians used papyrus to make sales messages and wall posters. Commercial messages
and political campaign displays have been found in the ruins of Pompeii and ancient
Arabia. Lost and found advertising on papyrus was common in Ancient Greece and
Ancient Rome. Wall or rock painting for commercial advertising is another manifestation
of an ancient advertising form, which is present to this day in many parts of Asia, Africa,
and South America. The tradition of wall painting can be traced back to Indian rock art
paintings that date back to 4000 BC. History tells us that Out-of-home advertising and
billboards are the oldest forms of advertising.

As the towns and cities of the Middle Ages began to grow, and the general populace was
unable to read, signs that today would say cobbler, miller, tailor or blacksmith would use
an image associated with their trade such as a boot, a suit, a hat, a clock, a diamond, a
horse shoe, a candle or even a bag of flour. Fruits and vegetables were sold in the city
square from the backs of carts and wagons and their proprietors used street callers (town
criers) to announce their whereabouts for the convenience of the customers.

As education became an apparent need and reading, as well as printing, developed


advertising expanded to include handbills. In the 18th century advertisements started to
appear in weekly newspapers in England. These early print advertisements were used
mainly to promote books and newspapers, which became increasingly affordable with
advances in the printing press; and medicines, which were increasingly sought after as
disease ravaged Europe. However, false advertising and so-called "quack" advertisements
became a problem, which ushered in the regulation of advertising content.

In June 1836, French newspaper La Presse was the first to include paid advertising in its
pages, allowing it to lower its price, extend its readership and increase its profitability and
the formula was soon copied by all titles. Around 1840, Volney B. Palmer established the
roots of the modern day advertising agency in Philadelphia. In 1842 Palmer bought large
amounts of space in various newspapers at a discounted rate then resold the space at
higher rates to advertisers. The actual ad - the copy, layout, and artwork - was still
prepared by the company wishing to advertise; in effect, Palmer was a space broker.

At the turn of the century, there were few career choices for women in business; however,
advertising was one of the few. Since women were responsible for most of the purchasing
done in their household, advertisers and agencies recognized the value of women's insight
during the creative process. In fact, the first American advertising to use a sexual sell was
created by a woman for a soap product. Although tame by today's standards, the
advertisement featured a couple with the message "The skin you love to touch"

In the early 1950s, the DuMont Television Network began the modern practice of selling
advertisement time to multiple sponsors. Previously, DuMont had trouble finding
sponsors for many of their programs and compensated by selling smaller blocks of
advertising time to several businesses. This eventually became the standard for the
commercial television industry in the United States. However, it was still a common
practice to have single sponsor shows, such as The United States Steel Hour. In some
instances the sponsors exercised great control over the content of the showup to and
including having one's advertising agency actually writing the show.

In the 1960s, campaigns featuring heavy spending in different mass media channels
became more prominent. For example, the Essogasoline company spent hundreds of
millions of dollars on a brand awareness campaign built around the simple and
alliterative theme Put a Tiger in Your Tank. Psychologist Ernest Dichter and DDB
Worldwide copywriter Sandy Sulcerlearned that motorists desired both power and play
while driving, and chose the tiger as an easytoremember symbol to communicate those
feelings. The North American and later European campaign featured extensive television
and radio and magazine ads, including photos with tiger tails supposedly emerging from
car gas tanks, promotional events featuring real tigers, billboards, and in Europe station
pump hoses "wrapped in tiger stripes" as well as pop music songs. Tiger imagery can still
be seen on the pumps of successor firm ExxonMobil.

The late 1980s and early 1990s saw the introduction of cable television and particularly
MTV. Pioneering the concept of the music video, MTV ushered in a new type of
advertising: the consumer tunes in for the advertising message, rather than it being a by-
product or afterthought. As cable and satellite television became increasingly prevalent,
specialty channels emerged, including channels entirely devoted to advertising, such as
QVC, Home Shopping Network, and ShopTV Canada.

With the advent of the ad server, marketing through the Internet opened new frontiers for
advertisers and contributed to the "dot-com" boom of the 1990s. Entire corporations
operated solely on advertising revenue, offering everything from coupons to free Internet
access. At the turn of the 21st century, a number of websites including the search engine
Google, started a change in online advertising by emphasizing contextually relevant,
unobtrusive ads intended to help, rather than inundate, users. This has led to a plethora of
similar efforts and an increasing trend of interactive advertising.

The share of advertising spending relative to GDP has changed little across large changes
in media. For example, in the US in 1925, the main advertising media were newspapers,
magazines, signs on streetcars, and outdoor posters. Advertising spending as a share of
GDP was about 2.9 percent. By 1998, television and radio had become major advertising
media. Nonetheless, advertising spending as a share of GDP was slightly lowerabout
2.4 percent.[11]

A recent advertising innovation is "guerrilla marketing", which involves unusual


approaches such as staged encounters in public places, giveaways of products such as
cars that are covered with brand messages, and interactive advertising where the viewer
can respond to become part of the advertising message. Guerrilla advertising is becoming
increasingly more popular with a lot of companies. This type of advertising is
unpredictable and innovative, which causes consumers to buy the product or idea. This
reflects an increasing trend of interactive and "embedded" ads, such as via product
placement, having consumers vote through text messages, and various innovations
utilizing social network services such as Facebook.
3.1.1 A History of Social Network Sites
According to the definition above, the first recognizable social network site launched
in1997. SixDegrees.com allowed users to create profiles, list their Friends and, beginning
in1998, surf the Friends lists. Each of these features existed in some form before Six
Degrees of course. Profiles existed on most major dating sites and many community sites.
AIM and ICQ buddy lists supported lists of Friends, although those Friends were not
visible to others. Classmates.com allowed people to affiliate with their high school or
college and surf the network for others who were also affiliated, but users could not
create profiles or list Friends until years later. Six Degrees was the first to combine these
features.

Six Degrees promoted itself as a tool to help people connect with and send messages to
others. While Six Degrees attracted millions of users, it failed to become a sustainable
business and, in 2000, the service closed. Looking back, its founder believes that Six
Degrees was simply ahead of its time. While people were already flocking to the Internet,
most did not have extended networks of friends who were online. Early adopters
complained that there was little to do after accepting Friend requests, and most users
were not interested in meeting strangers.

From 1997 to 2001, a number of community tools began supporting various


combinations of profiles and publicly articulated Friends. Asian Avenue, Black Planet,
and MiGente allowed users to create personal, professional, and dating profilesusers
could identify Friends on their personal profiles without seeking approval for those
connections (O.Wasow, personal communication, August 16, 2007). Likewise, shortly
after its launch in 1999, Live Journal listed one-directional connections on user pages.
Live Journal's creator suspects that he fashioned these Friends after instant messaging
buddy lists (B. Fitzpatrick, personal communication, June 15, 2007)on Live Journal,
people mark others as Friends to follow their journals and manage privacy settings. The
Korean virtual worlds site Cyworld was started in 1999 and added SNS features in 2001,
independent of these other sites (see Kim & Yun, this issue). Likewise, when the Swedish
web community Lunar Storm refashioned itself as an SNS in 2000, it contained Friends
lists, guest books, and diary pages (D. Skog, personal communication, September 24,
2007).

The next wave of SNSs began when Ryze.com was launched in 2001 to help people
leverage their business networks. Ryze's founder reports that he first introduced the site to
his friendsprimarily members of the San Francisco business and technology
community, including the entrepreneurs and investors behind many future SNSs (A.
Scott, personal communication, June 14, 2007). In particular, the people behind Ryze,
Tribe.net, LinkedIn, and Fraudster were tightly entwined personally and professionally.
They believed that they could support each other without competing (Festa, 2003). In the
end, Ryzen ever acquired mass popularity, Tribe.net grew to attract a passionate niche
user base, LinkedIn became a powerful business service, and Fraudster became the most
significant, if only as one of the biggest disappointments in Internet history" (Chafkin,
2007, p. 1).

Widespread use of social networking websites has caused an increase in concerns dealing
with distractions in school and sex solicitation. Because social networking sites are so
freely accessible there are many complaints from teachers and schools. There are many
schools and public places that have blocked social networking sites. This poses a
problem for the upkeep of the site itself. If people have issues accessing the sites, it will
create a loss of hits to the site. Since free sites generate revenue through advertisement, a
lack of hits to the site may keep advertisers from wanting to advertise on the site.

3.2Advertising

Advertising is a form of communication that typically attempts to persuade potential


customers to purchase or to consume more of a particular brand of product or service.
While now central to the contemporary global economy and the reproduction of global
production networks, it is only quite recently that advertising has been more than a
marginal influence on patterns of sales and production. The formation of modern
advertising was intimately bound up with the emergence of new forms of monopoly
capitalism around the end of the 19th and beginning of the 20th century as one element in
corporate strategies to create, organize and where possible control markets, especially for
mass produced consumer goods. Mass production necessitated mass consumption, and
this in turn required a certain homogenization of consumer tastes for final products. At its
limit, this involved seeking to create world cultural convergence, to homogenize
consumer tastes and engineer a convergence of lifestyle, culture and behaviors among
consumer segments across the world.
Many advertisements are designed to generate increased consumption of those products
and services through the creation and reinvention of the "brand image". For these
purposes, advertisements sometimes embed their persuasive message with factual
information. Every major medium is used to deliver these messages, including television,
radio, cinema, magazines, newspapers, video games, the Internet, carrier bags and
billboards. Advertising is often placed by an advertising agency on behalf of a company
or other organization.

Money spent on advertising has increased dramatically in recent years. In 2007, spending
on advertising has been estimated at over $150 billion in the United States and $385
billion worldwide, and the latter to exceed $450 billion by 2010.

A recent advertising innovation is "guerrilla marketing", which involve unusual


approaches such as staged encounters in public places, giveaways of products such as
cars that are covered with brand messages, and interactive advertising where the viewer
can respond to become part of the advertising message. This reflects an increasing trend
of interactive and "embedded" ads, such as via product placement, having consumers
vote through text messages, and various innovations utilizing social network services
such as My Space.

3.2.1Types of Advertising

Commercial advertising media can include --wall paintings, billboards, street furniture
components, printed flyers and rack cards, radio, cinema and television adverts, web
banners, mobile telephone screens, shopping carts, web popup, skywriting, bus stop
benches, human billboards, magazines, newspapers, town criers, sides of buses, banners
attached to or sides of airplanes ("logo jets"), in-flight advertisements on seatback tray
tables or overhead storage bins, taxicab doors, roof mounts and passenger screens,
musical stage shows, subway platforms and trains, elastic bands on disposable diapers,
stickers on apples in supermarkets, shopping cart handles (grabertising), the opening
section of streaming audio and video, posters, and the backs of event tickets and
supermarket receipts. Any place an "identified" sponsor pays to deliver their message
through a medium is advertising.

Television Advertising / Music in Advertising

The TV commercial is generally considered the most effective mass-market advertising


format, as is reflected by the high prices TV networks charge for commercial airtime
during popular TV events. The annual Super Bowl football game in the United States is
known as the most prominent advertising event on television. The average cost of a single
thirty-second TV spot during this game has reached US$3.5 million (as of 2012). The
majority of television commercials feature a song or jingle that listeners soon relate to the
product. Virtual advertisements may be inserted into regular television programming
through computer graphics. Infomercials

An infomercial is a long-format television commercial, typically five minutes or longer.


The word "infomercial" is a portmanteau of the words "information" & "commercial".
The main objective in an infomercial is to create an impulse purchase, so that the
consumer sees the presentation and then immediately buys the product through the
advertised toll-free telephone number or website.
Radio Advertising

Radio advertising is a form of advertising via the medium of radio. Radio advertisements
are broadcast as radio waves to the air from a transmitter to an antenna and a thus to a
receiving device. Airtime is purchased from a station or network in exchange for airing
the commercials. While radio has the limitation of being restricted to sound, proponents
of radio advertising often cite this as an advantage.

Online Advertising

Online advertising is a form of promotion that uses the Internet and World Wide Web for
the expressed purpose of delivering marketing messages to attract customers. Online ads
are delivered by an ad server. Examples of online advertising include contextual ads that
appear on search engine results pages, banner ads, in text ads, Rich Media Ads, Social
network advertising, online classified advertising, advertising networks and e-mail
marketing, including e-mail spam.

Product Placements

Covert advertising, also known as guerrilla advertising, is when a product or brand is


embedded in entertainment and media. For example, in a film, the main character can use
an item or other of a definite brand, as in the movie Minority Report, where Tom Cruise's
character John Anderton owns a phone with the Nokia logo clearly written in the top
corner, or his watch engraved with the Bulgari logo. Another example of advertising in
film is in I, Robot, where main character played by Will Smith mentions his Converse
shoes several times, calling them "classics," because the film is set far in the future. I,
Robot and Space balls also showcase futuristic cars with the Audi and Mercedes-Benz
logos clearly displayed on the front of the vehicles.

Press Advertising

Press advertising describes advertising in a printed medium such as a newspaper,


magazine, or trade journal. A form of press advertising is classified advertising, which
allows private individuals or companies to purchase a small, narrowly targeted ad for a
low fee advertising a product or service. Another form of press advertising is the Display
Ad, which is a larger ad (can include art) that typically run in an article section of a
newspaper.

Billboard Advertising
Billboards are large structures located in public places which display advertisements to
passing pedestrians and motorists. Most often, they are located on main roads with a large
amount of passing motor and pedestrian traffic; however, they can be placed in any
location with large amounts of viewers, such as on mass transit vehicles and in stations,
in shopping malls or office buildings, and in stadiums..

Mobile Billboard Advertising

Mobile billboards are generally vehicle mounted billboards or digital screens. These can
be on dedicated vehicles built solely for carrying advertisements along routes preselected
by clients, they can also be specially equipped cargo trucks or, in some cases, large
banners strewn from planes. The billboards are often lighted; some being backlit, and
others employing spotlights. Some billboard displays are static, while others change; for
example, continuously or periodically rotating among a set of advertisements

In-Store Advertising

In-store advertising is any advertisement placed in a retail store. It includes placement of


a product in visible locations in a store, such as at eye level, at the ends of aisles and near
checkout counters (aka POPPoint Of Purchase display), eye-catching displays
promoting a specific product, and advertisements in such places as shopping carts and in-
store video displays.

Coffee Cup Advertising

Coffee cup advertising is any advertisement placed upon a coffee cup that is distributed
out of an office, caf, or drive-through coffee shop. This form of advertising was first
popularized in Australia, and has begun growing in popularity in the United States, India,
and parts of the Middle East.

Street Advertising

This type of advertising first came to prominence in the UK by Street Advertising


Services to create outdoor advertising on street furniture and pavements. Working with
products such as Reverse Graffiti, air dancer's and 3D pavement advertising, the media
became an affordable and effective tool for getting brand messages out into public
spaces.

Covert advertising

Covert advertising is when a product or brand is embedded in entertainment and media.


For example, in a film, the main character can use an item or other of a definite brand, as
in the movie Minority Report, where Tom Cruise's character John Anderson owns a
phone with the Nokia logo clearly written

Television commercials

The TV commercial is generally considered the most effective mass-market advertising


format, as is reflected by the high prices TV networks charge for commercial airtime
during popular TV events. The annual Super Bowl football game in the United States is
known as the most prominent advertising event on television. The average cost of a single
thirty-second TV spot during this game has reached $3 million (as of 2009).

The majority of television commercials features is a song or jingle that listeners soon
relate to the product.

Infomercials

There are two types of infomercials, described as long form and short form. Long form
infomercials have a time length of 30 minutes. Short form infomercials are 30 seconds to
2 minutes long. Infomercials are also known as direct response television (DRTV)
commercials or direct response marketing.

The main objective in an infomercial is to create an impulse purchase, so that the


consumer sees the presentation and then immediately buys the product through the
advertised toll-free telephone number or website. Infomercials describe, display, and
often demonstrate products and their features, and commonly have testimonials from
consumers and industry professionals.
Celebrities

This type of advertising focuses upon using celebrity power, fame, money, popularity to
gain recognition for their products and promote specific stores or products. Advertisers
often advertise their products, for example, when celebrities share their favorite products
or wear clothes by specific brands or designers. Celebrities are often involved in
advertising campaigns such as television or print adverts to advertise specific or general
products.

Many new advertising opportunities. Popup, Flash, banner, Pop under, advergaming, and
email advertisements (the last often being a form of spam) are now commonplace.
Particularly since the rise of "entertaining" advertising, some people may like an
advertisement enough to wish to watch it later or show a friend. In general, the
advertising community has not yet made this easy, although some have used the Internet
to widely distribute their ads to anyone willing to see or hear them. In the last three
quarters of 2009 mobile and internet advertising grew by 18.1% and 9.2% respectively.
Older media advertising saw declines: 10.1% (TV), 11.7% (radio), 14.8%
(magazines) and 18.7% (newspapers).

The ability to record shows on digital video recorders (such as TiVo) allow users to
record the programs for later viewing, enabling them to fast forward through
commercials. Additionally, as more seasons of pre-recorded box sets are offered for sale
of television programs; fewer people watch the shows on TV. However, the fact that these
sets are sold, means the company will receive additional profits from the sales of these
sets.

Fig
ure (2)

3.3Facebook

Facebook is a social networking service and website launched in February 2004, operated
and privately owned by Facebook Inc. , Facebook has more than 845 million active users.
Users must register before using the site, after which they may create a personal profile,
add other users as friends, and exchange messages, including automatic notifications
when they update their profile. Additionally, users may join common-interest user groups,
organized by workplace, school or college, or other characteristics, and categorize their
friends into lists such as "People from Work" or "Close Friends". The name of the service
stems from the colloquial name for the book given to students at the start of the academic
year by some university administrations in the United States to help students get to know
each other. Facebook allows any users who declare themselves to be at least 13 years old
to become registered users of the site.

Facebook was founded by Mark Zuckerberg with his college roommates and fellow
students Eduardo Saver in, Dustin Moskovitz and Chris Hughes. The Web site's
membership was initially limited by the founders to Harvard students, but was expanded
to other colleges in the Boston area, the Ivy League, and Stanford University. It gradually
added support for students at various other universities before opening to high school
students, and eventually to anyone aged 13 and over. However, based on
ConsumerReports.org in May 2014, there are 7.5 million children under 13 with accounts
and 5 million under 10, violating the site's terms of service.

People treat Facebook as an authentic part of their lives, so you can be sure you are
connecting with real people with real interest in your products. Facebook Ads provided
CM Photographic the ability to target their exact demographic 24-30 year old women
whose relationship status on Facebook indicated that they were engaged.

Over 12 months, CM Photographics generated nearly $40,000 in revenue directly from a


$600 advertising investment on Facebook. Of the Facebook users who were directed to
CM Photographics' website from the ads, 60% became qualified leads and actively
expressed interest in more information.

Flexible pricing and real-time suggested bids provide guidance for cost-effective ad
campaigns.

StorQuest's Total Rentals

Figure(3)

Facebook helped our client target a specific audience and offer a solution for their
specific needs. Offering college students self storage right at the end of the semester with
Facebook Ads helped StorQuest post record-breaking student occupancy rates.
Dan Hobin, CEO, G5 Search Marketing

Facebook Ads makes it easy and cost-effective to quickly set up and manage your
campaign. G5 found success setting up a series of Facebook Ad campaigns targeted to
college students at 21 campuses prior to Summer break for StorQuestself service storage
facilities. Real-time suggested bids for our auction-based system provided guidance that
enabled G5 to hone ad effectiveness based on their various targeting filters (age, college
level and location).

The results from StorQuest's Facebook ad campaign were one of their highest performing
online advertising efforts:

Over 50% increase in total rentals versus prior year at the same store.

10% conversion rate from visits originating from Facebook Ads.

On par with Google AdWords on a cost-per-lead and cost-per-customer basis.

$1.25 CPC delivered $10.25 cost-per-lead.

$100 average rentals; $600 average life time value per customer.

Combining marketing solutions on Facebook for a positive ROI.


When you have a broader presence on Facebook with Facebook Pages or Facebook
Events plus ads for instance, you can turn your advertising message into a trusted referral
by including content from a user's friends who are already affiliated with your products.
ANA took this approach by creating a Facebook Page to acquire interested users for
ongoing messaging opportunities and developing a compelling advertising campaign.
ANA used a creative grouping of keywords to target advertising to users specifically
interested in traveling and Japanese culture and developed ad creative that resonated with
their audience.

Average campaigns for ANA result in CTR of 8 - 12%. Facebook Ads resulted in a 25%
CTR. Conversions resulted in positive ROI which is unique for ANA considering their
product is not an impulse purchase for most people and Japan is not traditionally seen as
a leisure destination.

Reach Your Target Customers


Connect with more than 800 million potential customers
Choose your audience by location, age and interests

Test simple image and text-based ads and use what works

Deepen Your Relationships


Promote your Facebook Page or website

Use our "Like" button to increase your ad's influence

Build a community around your business

Control Your Budget


Set the daily budget you are comfortable with

Adjust your daily budget at anytime

Choose to pay only when people click (CPC) or see your ad (CPM)

3.4Orkut

Orkut is a social networking website that is owned and operated by Inc. The service is
designed to help users meet new and old friends and maintain existing relationships. The
website is named after its creator, Google employee OrkutBykkkten. Although Orkut
is less popular in the United States than competitors Facebook and Myspace, it is one of
the most visited websites in India and Brazil. As of October 2013, 59.1% of Orkut's users
are from Brazil, followed by India with 27.1% and Japan with 6.7%.

Originally hosted in California, in August 2008 Google announced that Orkut would be
fully managed and operated in Brazil, by Google Brazil, in the city of Belo Horizonte.
This was decided due to the large Brazilian user base and growth of legal issues.

As of October 2011, Alexa traffic ranked Orkut.com 126th and Orkut.com.br 128th in the
world; the web site currently has over 66 million active users worldwide.

Over the years, Orkut has also found great popularity in Estonia as witnessed by a survey
conducted by the independent research center GfK Custom Research Baltic which
showed how Orkut is the most used social network platform in that country. Its
popularity, however, faded in, Google had officially closed the operation of orkut on
September 30, 2014.

3.4.1 Business applications


The use of social networking services in an enterprise context presents the potential of
having a major impact on the world of business and work (Fraser &Dutta 2008).

Social networks connect people at low cost; this can be beneficial for entrepreneurs and
small businesses looking to expand their contact bases. These networks often act as a
customer relationship management tool for companies selling products and services.
Companies can also use social networks for advertising in the form of banners and text
ads. Since businesses operate globally, social networks can make it easier to keep in
touch with contacts around the world.

Two examples of social networking being used for business purposes are LinkedIn.com
and Youngblackprofessionals.org. LinkedIn aims to interconnect professionals. LinkedIn
has over 100 million users in over 200 countries. Youngblackprofessionals.org or YBP
aims to do the same thing, but is targeted toward professional minorities. .

Another is the use of physical spaces available to members of a social network such as
Hub Culture, an invitation-only social network for entrepreneurs, and other business
influential, with Pavilions in major cities such as London, UK. Having a physical
presence allows members to network in the real world, as well as the virtual, adding extra
business value.

Applications for social networking sites have extended toward businesses and brands are
creating their own, high functioning sites, a sector known as brand networking. It is the
idea that a brand can build its consumer relationship by connecting their consumers to the
brand image on a platform that provides them relative content, elements of participation,
and a ranking or score system. Brand networking is a new way to capitalize on social
trends as a ma
3.5 Hi5

Hi5 is a social gaming website based in San Francisco, California. The company was
founded in 2003 by RamuYalamanchi. By 2008, comScore reported that hi5 had become
the third most popular social networking site in terms of monthly unique visitors.

Bill Gossman was appointed CEO in April 2009, and since that time, hi5 has refocused
itself as a social gaming platform and opened itself to new game developers. Gaming
industry veteran Alex St. John joined the company as President and CTO in November
2009., and in early 2010, hi5 acquired social gaming company Big Six. The company
raised $20 million in series A venture capital from Mohr Davidow Ventures, as well as
$15 million in venture debt, in 2007 and announced it had raised $3 million convertible
note from existing investor Mohr Davidow, bringing the funding up to $38 million
Quantcast reports hi5 has 2.7 million monthly US visitors and 46.1 million global
visitors. Software-industry veteran Karen Richardson has served as chairwoman of the
company's board since 2008. In December of 2011, the assets of the company were
acquired by Tagged.

3.5.1 Market share

Due to hi5s shift in focus to social gaming, comScore reclassified hi5 as an online
gaming site in early 2011. According to comScore, hi5 ranked as a 6th most trafficked
online gaming site.

Although created and headquartered in the United States, it is more popular in other
countries, particularly in Latin America, being ranked 37th in the world only among
people who have the Alexa toolbar installed on their browser but only 84th in the US.

3.6Myspace

Myspace (previously styled as Myspace is a social networking service owned by Specific


Media LLC and pop star Timberlake. Myspace launched in August 2003 and is
headquartered in Beverly Hills, California. In August 2011, Myspace had 33.1 million
unique U.S. visitors.

Myspace was founded in 2003 and was acquired by News Corporation in July 2005 for
$580 million. From 2005 until early 2008, Myspace was the most visited social
networking site in the world, and in June 2006 surpassed Google as the most visited
website in the United States. In April 2008, Myspace was overtaken by Facebook in the
number of unique worldwide visitors, and was surpassed in the number of unique U.S.
visitors in May 2009. Since then, the number of Myspace users has declined steadily in
spite of several redesigns. As of December 2011, Myspace was ranked 138th by total web
traffic. As of May 2014, Myspace was ranked 982 by total web traffic.

In June 2009, Myspace employed approximately 1,600 workers. Since then the company
has undergone several rounds of layoffs and by June 2011, Myspace had reduced its staff
to around 200.

3.6.1 Revenue model

Myspace operates solely on revenues generated by advertising as its revenue model


possesses no user-paid features. Through its Web site and affiliated ad networks, Myspace
is second only to Yahoo! in its capacity to collect data about its users and thus in its
ability to use behavioral targeting to select the ads each visitor sees.

On August 8, 2006, search engine Google signed a $900 million deal to provide a Google
search facility and advertising on Myspace. Myspace has proven to be a windfall for
many smaller companies that provide widgets or accessories to the social networking
giant. Companies such as Slide.com, RockYou!, and YouTube were all launched on
Myspace as widgets providing additional functionality to the site. Other sites created
layouts to personalize the site and made hundreds of thousands of dollars for its owners
most of whom were in their late teens and early twenties.

In November 2008, Myspace announced that user-uploaded content that infringed on


copyrights held by MTV and its subsidiary networks would be redistributed with
advertisements that would generate revenue for the companies.
3.6.2 Targeting
Reach your audience with channel targeting. Channel targeting allows you to show ads
on a group of web pages with related content. For instance, if you want to target sports
enthusiasts, you can select the Sports channel and your ad will appear on web pages
with sports related content.

3.6.3 Reporting Insights


Use our reporting tools 24/7 to see how each ad is performing. We provide you with
impressions (views), clicks, conversions (if opted in), placement performance and more.
You can even download reports to Excel.
3.6.4 Reach Millions on Leading Websites
With access to over 195 million users on over 1000 of the best web sites, MyAds is one
of the largest advertising networks today.

3.7LinkedIn

Founded in December 2002 and launched in May 2003,it is mainly used for professional
networking. As of 3 November 2011, LinkedIn reports more than 135 million registered
users in more than 200 countries and territories. The site is available in English, French,
German, Italian, Portuguese, Spanish, Romanian, Russian, Turkish and Japanese.
Quantcast reports LinkedIn has 21.4 million monthly unique U.S. visitors and
47.6 million globally. In June 2011, LinkedIn had 33.9 million unique visitors, up 63
percent from a year earlier and surpassing MySpace. LinkedIn filed for an initial public
offering in January 2011 and traded its first shares on May 19, 2011, under the NYSE
symbol "LNKD".Alexa traffic rating has ranked LinkedIn 13 on Dec, 2014.

Who You Can Target

7.9M Business Decision Makers

5.5M High Tech Managers

1.3M Small Business Owners

4.2M Corporate Executives

LinkedIn Ads is a self-service advertising solution that allows you to create and place ads
on prominent pages on the LinkedIn.com website. People click on your ads and visit your
website. You specify which LinkedIn members view your ads by selecting a target
audience: by job title, job function, industry, geography, age, gender, company name,
company size, or LinkedIn Group. Control your advertising costs by setting a budget and
only pay for the clicks or impressions that you receive.
Where will my ads be shown?

Your ads will be eligible to appear on a variety of prominent pages on the LinkedIn.com
website. Your ads may appear in various positions on any or all of the pages listed below:

Profile Page (when users view the profile of other LinkedIn members)

Home Page (the page that users see when they log in to LinkedIn)

Inbox (the page where users see messages and invitations to connect)

Search Results Page (the page that results when you search for a member by
name)

Groups (on pages in LinkedIn Groups)

An Example: On a user's Home Page, (1) your ad text may appear in a single line across
the top of the page or (2) both your image and ad text may appear with up to 2 other ads
in the rectanglular ad unit in the right column of the page.

Who will see my ads?

Your ads will be displayed to LinkedIn members who meet your targeting criteria.
Targeting an advertisement means narrowing the scope of members that are eligible to
view your advertisement. Your targeting options include:

Target By: Examples:


Job Title Patent Attorney or Sr. Laboratory Technician or "Re
Nurse"
Job Function Sales or Engineering or "Marketing" functions
Industry Banking or Biotechnology industries
Geography United States or Netherlands or Toronto
Company Size "1-10" or 500-1000" people
Company Name "GE" or "Hewlett-Packard" or "FedEx"
Seniority Vice President or Owners
Age 18-24 or 35-54
Gender "Female" or "Male"
LinkedIn Group "Business Intelligence Group" or "Corporate Real Estate"

Controlling your costs you control how much you spend each day by selecting a bid and
setting a daily budget, which represents the most that youre willing to spend each day.
You can set your budget as low as $10 or as high as $1,000 or more. You can start and
pause your ads at any time. There are two options for how to pay for your ads: Pay per
Click (CPC) and Pay per 1,000 Impressions (CPM). Most people choose CPC, which
means that you pay when someone clicks on your ad. This payment method allows you to
specify a bid the maximum amount youre willing to pay for each click (for example,
$3.00perclick).Each click will cost between $2.00 (the minimum)As you are creating
your ad, we will show you a Suggested Bid Range that represents an estimate of the
current competing bids by other advertisers targeting the same audience. In general, the
higher you bid in the Suggested Bid Range, the more likely you are to receive
impressions and clicks. Because youre competing with other advertisers for impressions
and clicks, there isnt a set .If youre less interested in clicks and care more about the
number of times your ad is shown, you can choose to Pay per 1,000 impressions (CPM).
In this payment option, you pay a set cost for each 1,000 times your ad is shown, no
matter how many clicks you receive. We only recommend this bidding option for people
with past experience advertising on a CPM basis. You can estimate your costs after you
create your first ad and select a target audience. When you reach the page: Set your
budget and bid, youll see a Suggested Bid Range for the target audience youve
selected. Look at the Suggested Bid and determine how much youre willing to spend for
a click. Multiply that amount by the number of clicks that youd like to receive each day
to determine your approximate Daily Budget. For example, if you want 10 clicks each
day and want to spend at most $3.00 per click, you would set your daily budget at
$30/day.

3.7.1.Geography
Choose one or more geographies for your campaign, especially if your products or
services only appeal to users in certain countries or cities. If you narrow your audience to
the city level, note that this will decrease your target audience dramatically.
3.7.2.Industry
Target by categories of companies (also known as Industry) if you're trying to reach
people of various job function within an industry. Examples of industries: Banking, Real
Estate, Internet, and Automotive. Tip: If industries respond better to ad text written just
for that industry, create separate campaigns for each industry that yours targeting. Job
Function Target by job function if you want to limit your ads to people who are in one of
20 broad job functions. If youre offering appeals to multiple job functions, consider
creating a campaign
3.8Google+

The service was launched as an invitation-only "field test". Early invites were soon
suspended due to an "insane demand" for new accounts. On September 20, 2011,
Google+ was opened to everyone 18 years of age or older without the need for an
invitation. It was opened for a younger age group (13+ years old in US and most
countries, 14+ in South Korea and Spain, 16+ in Netherlands) on January 26, 2012.

Google+ integrates social services such as Google Profiles and Google Buzz, and
introduces new services identified as Circles, Hangouts and Sparks. Google+ is available
as a website and on mobile devices. Sources such as The New York Times have declared
it Google's biggest attempt to rival the social network Facebook, which has over 800
million users. Google+ is considered the company's fourth foray into social networking,
following Google Buzz (launched 2010, retired in 2011), Google Friend Connect
(launched 2008, to be retired by March 2012) and orkut (launched in 2004, now operated
entirely by subsidiary Google Brazil).

On January 19, 2012, it was reported that Google+ had surpassed a user base of 90
million.[11] According to independent analysis of its growth in December 2011, the site
was adding an estimated number of 625,000 new users a day, which may total 400
million members by the end of 2012. The site's popularity accelerated in December 2011,
with almost a quarter of its total user base joining in December alone, said Paul B. Allen,
the founder of Ancestry.com, who tracks the numbers as the "unofficial statistician" for
Google+. However, on February 28, 2012 Todd Wasserman from Mashable reported
Google+ users are only spending 3.3 minutes monthly on Google+ which is a downward
trend from 4.8 minutes in December and 5.1 minutes in November compared to
Facebook users currently spending 7.5 hours using Facebook monthly.

They might have the ability to target types of circles, based on the profiles of people in
those circles, or based on updates occurring in those circles. Circles could become
segmented lists that can be targeted by advertisers. Yes, by creating circles, you could be
helping AdWords+ provide more targeted advertising opportunities for marketers. Thats
brilliant, since most people have been focusing on how great it is for controlling privacy
and friend lists (which it is). But, its also naturally segmenting audiences for advertising
purposes.

They mentioned privacy a few times, and I couldnt end this post without addressing the
elephant in the room. You know, the elephant frantically trying to delete its search
history. :) The social advertising opportunities with Google+ bring up serious privacy
concerns. Like Facebook, there are already many people uncomfortable with how much
information Google knows about them. Google knows a lot about you, including what
you search for, sites you visits, where you are located, where you go, etc. Facebook
knows your friends, family, the brands you like, the places you check in, what you are
doing, etc. But Google+ could uniquely combine search and social data to create a hyper-
personalized profile. Im sure excited as an advertiser, but pretty darn concerned as a
consumer. In Jun 28, 2014 - Google claims to have 540 million monthly active Google+
users.
3.9 Twitter

Twitter is an online social networking service and micro blogging service that enables its
users to send and read text-based posts of up to 140 characters, known as "tweets". It was
created in March 2006 by Jack Dorsey and launched that July. The service rapidly gained
worldwide popularity, with over 284 million active users as of 2014, generating over 500
million tweets daily and handling over 1.6 billion search queries per day. It has been
described as "the SMS of the Internet." Unregistered users can read the tweets, while
registered users can post tweets through the website interface, SMS, or a range of apps
for mobile devices.

Twitter Inc. is based in San Francisco, with additional servers and offices in New York
City. The Twitter website is one of the top ten most visited on the Internet.

Now brands can refine their reach by targeting users with platform-specific messages
across Twitter.com, iOS, Android, BlackBerry and other mobile devices. Meanwhile,
BlackBerry users may start to see Promoted Tweets with deals, discounts, news and
information from brands even on the go.
Promoted Tweets on BlackBerry will be displayed at or near the top of the timelines of a
brands followers and users with interests similar to the brand's followers. Promoted
Tweets will appear in a BlackBerry users timeline only once and can be dismissed,
mirroring the experience on Twitter.com. Promoted Tweets on BlackBerry and the ability
to target campaigns to specific devices and platforms will help brands more easily
connect to Twitter users anywhere, anytime.
A panel of marketing and communications professionals from a range of advocacy
organizations also took the stage to talk about how they are using Twitters full suite of
advertising products. They offered their own best practices for using Promoted Trends,
Promoted Accounts and Promoted Tweets to reach an influential audience and keep them
engaged with a candidate, issue or cause. Speakers included Robert Bobo (@robertbobo),
Director of Communications at U.S. Travel Association, Tammy Gordon
(@floridagirlindc), Director of Social Communications at AARP, Mike Harinstein
(@maharinstein), Director of Marketing at Americans for Prosperity and Nick Schaper
(@nickschaper), Executive Director, Digital Strategic Communications at the U.S.
Chamber of Commerce. Their top tip for potential and new Twitter advertisers: embrace
experimentation.

The panelists encouraged organizations testing out different Promoted Products


campaigns to learn what techniques work best for their audiences. They gave examples of
creative Promoted Trend campaigns theyve run on Twitter, like one by AARP around
actress Betty Whites 90th birthday (#HappyBirthdayBetty) and another by the U.S.
Chamber promoting their Free Enterprise advocacy campaign (#TellTheWhiteHouse).
U.S. Travel described how their #VoteTravel campaign depends on Promoted Accounts
and Promoted Tweets to boost their earned media efforts. For more details, read our case
studies on the U.S. Chamber of Commerce and U.S. Travel Association.

All the speakers discussed the unique value of using Promoted Products to amplify the
real-time nature of Twitter in rallying support around their issues at the precise moment
that matters.

Today, American Express will begin to notify eligible Cardmembers and merchants that
they can now start advertising on Twitter. Initially, only a small group of businesses will
have access to this new advertising opportunity we will steadily increase the number
of participating small businesses over the coming weeks.

In the short video below, youll see just how simple weve made it for small business
owners to grow their businesses using our Promoted Tweets and Promoted Accounts
products

Highlights:

Get started in minutes: we provide ongoing management of your advertising.

No previous advertising experience is required. If you can tweet, you can


advertise on Twitter.

Gain new followers: Promoted Accounts helps your small business connect with
new people who want to hear from you and can spread the word about your
business to others.

Amplify your Tweets: Promoted Tweets helps your small business get your
messages in front of more of the right people. Twitter will take out the guesswork
by automatically identifying and promoting your most engaging Tweets.

Pay per follower for Promoted Accounts and per engagement (click, retweet,
reply, and favorite) for Promoted Tweets.

Target the whole world, specific countries, or limit your reach to specific U.S.
metropolitan areas.

If you are an American Express Cardmember or merchant, its not too late toregister for
this unique opportunity on Twitter.

For tips and best practices on using Twitter for your small business, download our Twitter
for Small Business guide.

From the start, small businesses of all types have made their homes on Twitter, using the
platform to interact with current customers and market to new ones. We are excited to
CHAPTER-4
RESULTS, ANALYSIS AND DISCUSSION

The analysis and interpretation of the result is based on the questions and the
corresponding answers of that particular question. The result is been generated based on
the respondent reply to the Questions. Here the analysis and interpretation is given based
on the questions and answers.

4.1. Do you have account in any of the social networking sites?

Account in social media Frequency Percent

Yes 75 75.0

Valid No 25 25.0

Total 100 100.0

Table (1)

Figure(4)

Interpretation

Here we select 100 people randomly for the research. Based on the analysis,75% of the
respondent are aware of social networking medias and they are having accounts in the
social networking sites. The remaining 25% of the respondent do not have accounts in the
social networking sites. But most of them are aware of social networking sites were we
can make friends and socialize with others. Something around 10% of the respondents are
not aware about the social networking sites. Here the target group of my study was the
young people. Now a day the definition of you generation are changing. So I take the age
group from 15-45 are young generation people. The people those who dont have social
media account are around 25%. From this 25% the 15% are aware of the social
networking sites, but they are not willing to create an account in the social medias
because they think that is a burden for their privacy.

4.2.In which social media you have an account?

Name of social media Frequency Percent

Valid Facebook 57 57.0

Google plus 8 8.0

Linked In 4 4.0

Twitter 3 3.0

Others 3 3.0
no account 25 25.0

Total 100 100.0

Table(2)

Figure(5)

Interpretation

From the response of the respondent we find out that most of the people who having
account in Facebook. If we are gone through the statistics around 57% of the account
holders are incorporated with Facebook. In the second position, google + is standing. But
we compared in a large perspective which includes both rural and urban area, the leading
social networking sites is Facebook. Now a day the urban people are more focusing on
the Facebook. The other major players in the social medias are Google+, Twitter,
Myspace, Hi5, LinkedIn etc. The companies are more preferred social networking media
advertising because this can get more attention and it is cost effective when it is
compared to other medias

The people are using the social networking sites for creating friends and find out new
contacts. The companies are identified this as a best medium for advertising. They
identified the potential of the advertising through the social networking sites and the main
attractiveness of the social media advertising is the cost effectiveness. The advertisement
can get more attention than that is published through other medias.
4.3.How long are you using social networking sites?

How long it uses Frequency Percent

less than 6 month 3 3.0

6 month-2 year 25 25.0

2 year-4 year 32 32.0


Valid
more than 4 year 15 15.0

not applicable 25 25.0

Total 100 100.0

Table(3)

Figure(6)

Interpretation

The holding period of an account is an important factor in the social networking medias
because once we enter into the sites; the person is the part of that family. Here we are
given our option to the respondent for indicating their familiarization with the sites. Most
of the respondents having accounts in the social networking media in period of more than
one year. The 25% of the persons dont have any social media accounts. The 32% of the
respondent having account in social networking sites and they are using it for more than 1
year. From this data we can come to a conclusion that most of the people have account in
social networking medias. some of the people are aware about the social networking
sites and they are not willing to create account in any of the social networking sites and
this is the problem of the mindset of the people.

4.4. How many hours a week do you spend on social network websites?

Hours in a week Frequency Percent

less than 2 hrs 5 5.0

2 hrs-5 hrs 25 25.0

5 hrs-8 hrs 20 20.0

more than 8 hrs 25 25.0


not applicable 25 25.0

Total 100 100.0

Table(4)

Figure(7)

Interpretation

The calculation of weekly usage is important because from there we can calculate the
advertising impact through social networking media. Here we had given four time slots
for indicating the weekly usage of the respondent. Most of them are using more than 2
hours in a week. That shows the 70% of the people are using more than 2 hrs. The usage
of social networking media is increasing means they are spending more time in front of
social medias. The more time people spend in front of site is leads to other activities like
searching advertisement. This leads to the purchasing decision.
4.5. Do you notice any add/offers for product/services on social networking sites?

Noticed any ads Frequency Percent

yes 58 58.0

no 42 42.0

Total 100 100.0

Table(5)

Figure(8)

Interpretation

The advertisements are the best way to pass the information about the new products.
There are different medias used for the purpose of advertisement. The social networking
medias are the best way to pass the information about the new product. When we ask this
question to our respondent, the response is great. That means 58% of the respondent are
ready to know about the new entrance in the market. The peoples are ready to purchase
new products, so they are always searching for new products. The people who are
spending more time in front of social networking sites are the target of the
advertisements.

4.6. Any other sites you are visited for getting the review of the product?

Product review Frequency Percent

yes 36 36.0
no 64 64.0

Total 100 100.0

Table (6)

Figure (9)

Interpretation

The peoples are interested to get the details about the new products. So the advertisement
through social networking media becomes effective. When we are asking to the
respondent about the details of the product, they are not able to give the details because
they dont visited any other sites for details. For this question the response of the 64% of
the respondent are negative. Only 36% of the respondents are doing thorough study about
the product before purchase. This shows most of the people who are purchasing a product
based on advertisement or the need for that particular product.
4.7. Are you done any kind of online transaction before?

Online transaction Frequency Percent

Yes 43 43.0

No 57 57.0

Total 100 100.0

Table(7)

Figure(10)

Interpretation

This question was asked only for find out whether the respondent was familiar with
technology. Now a day most of the transactions can be done by using internet. If the
person is very familiar with technology, most probably they always using the internet
facility for transaction. It is time saving and also money saving in the online transaction
mode. This question is only asked for to finding out the familiarization of the respondent.
From the response we find out that 57% of the responded are not done any kind of
transaction. The remaining 43% are doing the online transactions.

4.8.Do you like to receive information on new products/services or offers via adds on
social network websites?

New product info Frequency Percent

Yes 72 72.0
No 28 28.0

Total 100 100.0

Table(8)

Figure(11)

Interpretation

Every day there are new product coming to the market and there are lot of products is
available in the market. This shows how big the market is and the different products
available in the market also. Advertising is the best medium for transferring the
information about the products. The online advertisement is one of the best cost effective
way of doing advertising in the competitive environment. Here we ask the respondent
about they would like to receive the information about the new product. The responds
which is getting from the respondent is they are ready to know the changes in the market
and also they would like to receive the information about the new products. When we
consider about the statistics 72% of the respondent are ready to know the changes in the
market and the remaining 28% of the respondent are not very keen about the new
changes in the market. This shows that people are waiting for the new products and
advertisement give a chance to them to familiarize the features of the products through
advertisement.
4.9. Have you ever purchased any products/services on the basis of information you
received through a social networking websites?

Buy product based Frequency Percent


on social media ads

yes 47 47.0

no 53 53.0

Total 100 100.0

Table(9)

Figure(12)

Interpretation

The advertisement is the way of conveying information about the existing products and
the new entrance. The advertisement is not able to create any kind of demand for the
product. When I collect information about the purchasing decision of the respondent, the
advertisement gives them a direction about what they really want through the product
features by ads. The responds of the respondent about the influence of the social
networking adds by the purchasing decision, 47% of the respondent told that their
purchasing decision is only based on the social media adds. The remaining 53% of the
people told that they purchase product based on the need of that particular product. Most
of the people purchasing decision is always based on the need of the product, rather than
the other factors.

4.10. Please indicate your age group?.

Age group Frequency Percent

15-22 34 34.0

22-30 32 32.0

30-37 23 23.0
37-45 11 11.0

Total 100 100.0

Table(10)

Figure(13)

Interpretation

The age of the respondent is very important in all the surveys because through the age
group we can identifies the like and dislikes of the respondent in some extent. Here we
classified the respondent into four groups based on their age. In this project work we are
trying to find out the behavior of youngsters. So the age group ranges from 15-45, which
is fall under the category of youths. The first age group is coming under the category of
15-22,34% of the respondents are coming under this category. The 32% of the
respondents are coming under the category of 22-30. The next 23% is coming under the
category of 30-37 and the remaining part is coming under the category of 37-45. From
the percentage of this survey we can find out that 89% of the respondent are coming
under the category of 37 years old.
4.11. Please indicate your qualification?.

Qualification Frequency Percent

Post Graduation 27 27.0

graduation 27 27.0

PUC 26 26.0

Below PUC 20 20.0

Total 100 100.0

Table(11)

Figure(14)

Interpretation
The educational qualification of the respondent is classified into four different categories.
The categories are post graduate level, graduate level, PUC and below PUC. When we
consider the category, the number of respondents is almost equal. 27% of the respondents
are holding post graduate degree. 27% of the respondents are graduates and 26% are PUC
holders. The remaining 20% of the respondent are under the category of below PUC. This
shows that the people who have education are keener about the social networking
activities.

4.12. Please indicate your profession?.

Profession Frequency Percent


Private emp 26 26.0

govtemp 21 21.0

self 30 30.0

student 23 23.0

Total 100 100.0

Table(12)

Figure(15)

Interpretation

The response of the respondent when we are asking about their profession, they
respond according to our options. The options are private employee, government
employee, self employment and students. 26% of the respondents are under the
category of private employee. That means they are working any of the MNCs or any
other companies which is run under the ownership of other than government. 30% of
the respondent is coming under the category of self employment, that means they are
doing works by themselves. 23% of the respondents are students and they are using the
social networking medias only for creating friends. The rest of the 21% of the
respondent are coming under the category of government employees.
Cross Tabulation

1.

Account in Social Medias * Have ever purchased a product based on


social media adds Cross tabulation
Have ever purchased a Total
product based on social
media adds
Yes No
Count 47 28 75
% within
Yes
Account in 62.7% 37.3% 100.0%
Social Medias
Count 0 25 25
% within
No
Account in 0.0% 100.0% 100.0%
Social Medias
Count 47 53 100
% within
Account in 47.0% 53.0% 100.0%
Social Medias

Table(13)

Figure(16)
Interpretation

From the response of the respondent we are find out that 75% of the respondent have
account in social networking sites and the remaining 25% of the respondent do not have
account. The result of the cross tabulation between the accounts in social medias and the
account holders have ever purchased any product based on the social media
advertisement. 62.7% of the social media account holder is purchased products on the
basis of social media advertisement. The remaining 37.3% of the social media account
holders are not purchased based on the basis of the social media adds. When we take the
entire respondent, the percentage of purchase base on the social media adds is only 47%
and the remaining 53% of the respondent are not yet purchased on the basis of social
media adds.

2.

Like to receive information about new product*Have ever purchased product


based on social media ads.

Have ever purchased a Total


product based on social
media adds
yes No
Count 46 26 72
% within Like to
yes receive new
63.9% 36.1% 100.0%
product
information
Count 1 27 28
% within Like to
no receive new
3.6% 96.4% 100.0%
product
information
Count 47 53 100
% within Like to
receive new
47.0% 53.0% 100.0%
product
information

Table(14)

Figure(17)

Interpretation

Here we are cross tabulating the new product information and their purchasing decision
based on the ads through the social networking medias. Here the 46 social media account
holders are ready to receiving information about new product and this received
information is converted into the purchasing of that particular product. That is 63.9% of
the total account holding respondent. The remaining 26 social media account holders are
interested to receive information about the new product but that interest is not converted
into the purchasing decision of the respondent. When we consider the entire data, 72% of
the people are like to receive information about the new product and the remaining 28%
of the respondent are not like to receive information about the new product through social
media ads.

3.

Information about new offers through Adds * Adds are intrusive Cross tabulation
Adds are intrusive Total

Agree Disagree

Count 2 3 5

% within
Strongly disagree Information about
40.0% 60.0% 100.0%
new offers through
Adds

disagree Count 2 5 7
% within
Information about
28.6% 71.4% 100.0%
new offers through
Adds

Count 13 11 24

% within
Agree or Disagree Information about
54.2% 45.8% 100.0%
new offers through
Adds

Count 14 35 49

% within
Agree Information about
28.6% 71.4% 100.0%
new offers through
Adds

Count 6 9 15

% within
Strongly Agree Information about
40.0% 60.0% 100.0%
new offers through
Adds
Count 37 63 100

% within
Information about
37.0% 63.0% 100.0%
new offers through
Adds

Table(15)

Figure(18)

Interpretation

The information about new product and offers and receiving information about new
product are intrusive to the privacy of that particular person are cross tabulated here. We
divide the answer into five different rating scales that is from 1-5. The first one means
highly dissatisfied and the fifth one means highly satisfied. Based on this rating scale we
are calculated it here. 37 people from the 100 respondent are responded that the
information about the new products is intrusive to their privacy. That mean when we
calculated it is on the basis of percentage, 37% of the respondent are think that receiving
information about new product are intrusive to their privacy. The remaining 63% of the
respondent are ready to receive information about new product.

4.

Account in Social Medias * Have you notice any adds in Social media
Crosstabulation
Have you notice any Total
adds in Social media
yes No
Count 58 17 75
Yes % within Account
77.3% 22.7% 100.0%
in Social Medias
Count 0 25 25
No % within Account
0.0% 100.0% 100.0%
in Social Medias
Count 58 42 100
% within Account
58.0% 42.0% 100.0%
in Social Medias
Table(16)

Figure(19)

Interpretation

The social medias are using for different purposes. Most of the people are used this for
the personal purpose. Here we are cross tabulated two things, they are the respondent
have any social media account and they were noticed any ads in the social medias. We
already find out that out of 100, 75% of the people only having the social media account.
From that 58 respondent are noticed ads in the social networking medias that is the
77.3% of the account holders. The remaining 17 respondent are not at all saw any ads in
the social medias when they were enter into the sites. This 17 respondent is around
22.7% of the total account holders.
5.

Do u notice any benefits in the advertisement * Adds are convenient Cross tabulation
Adds are convenient Total
Agree Disagree
Count 1 2 3
% within Do u notice
Strongly disagree
any benefits in the 33.3% 66.7% 100.0%
advertisement
Count 4 7 11
% within Do u notice
Disagree
any benefits in the 36.4% 63.6% 100.0%
advertisement
Count 14 12 26
% within Do u notice
Agree or disagree
any benefits in the 53.8% 46.2% 100.0%
advertisement
Count 42 6 48
% within Do u notice
Agree
any benefits in the 87.5% 12.5% 100.0%
advertisement
Count 10 2 12
% within Do u notice
Strongly agree
any benefits in the 83.3% 16.7% 100.0%
advertisement
Count 71 29 100
% within Do u notice
any benefits in the 71.0% 29.0% 100.0%
advertisement

Table(17)

Figure(20)
Interpretation
Here we are going to find out the relationship between the advertisements their
convenience. From this calculations we are cross tabulated the benefits of ads and their
convenience. Most of the people believe that the advertisements are convenient and they
are always ready to notice the benefits of the benefits of new products. 71% of the
respondent believes that the ads are convenient and we can trust the information available
from the ads. The remaining 29% of the respondent are not consider ads are holding the
convenient information about the products. So they are not ready to believe the
information available in the ads is not so accurate.

6.
Age of the respondent * Have ever purchased a product based on social media
adds Cross tabulation
Have ever purchased a Total
product based on
social media adds
yes No
Count 17 17 34
15-25 % within Age of
50.0% 50.0% 100.0%
the respondent
Count 13 19 32
25-35 % within Age of
40.6% 59.4% 100.0%
the respondent
Count 13 10 23
35-45 % within Age of
56.5% 43.5% 100.0%
the respondent
Count 4 7 11
45-55 % within Age of
36.4% 63.6% 100.0%
the respondent
Count 47 53 100
% within Age of
47.0% 53.0% 100.0%
the respondent
Table(18)

Figure (21)

Chi square test to determine whether there is any relationship between age and purchase
of product through the advertisements in social Medias.

Hypothesis

Ho: - There is no significant relationship between age and purchase of product through
the advertisements in social Medias.

H1:- There is significant relationship between age and purchase of product through the
advertisements in social Medias.

Level of significance = 0.05

The chi square test was conducted to test whether there is any significant relationship
between age and purchase of product through the advertisements in social Medias.

Chi- square tests


AGE OF THE LIKENESS OF

RESPONDANT RESPONDANT

Chi-Square 38.172a 3.646b

Df 3 1
Asymp. Sig. .000 .056

a. 0 cells (.0%) have expected frequencies less than 5.

The minimum expected cell frequency is 24.8.

b. 0 cells (.0%) have expected frequencies less than 5.

The minimum expected cell frequency is 49.5.

Interpretation
Since p value >0.05, accept Ho and reject H1
Conclusion
So it can be concluded that there is no significant relationship between age and the online
purchase of product through the advertisements in social Medias.

The age group of the respondent is important because here we are targeting only the
young generation people. Here we cross check the relationship of the age group and the
purchasing decision. The age group 15-22 includes 34 respondent, from that 17
respondent are purchased products based on the social media ads and remaining 17
respondent are not purchased product based on the online ads. From age group 22-30,
there are 32 people belonging in this group and 19 people are not purchase product based
on social media ads and 13 people are purchased product based on social media ads. The
age group 30-37 have 23 respondent and from that 10 people are not purchased product
based on ads and 13 respondent are purchased product based on social media ads.
CHAPTER- 5
SUMMARY OF FINDINGS, CONCLUSION&
RECOMMENDATION
5.1 Summary and Findings
75% of the respondents have accounts in social networking medias.
57% of the people have account in Facebook which is the most popular social
networking media.
Some people have accounts in different social networking sites.
76% of the social media account holders ware started to use the social networking
sites within last 4 years.
More than 70% of the social media account holders are using the networking sites
on a regular basis and they are using social medias at least 5-7 hrs in a week.
Around half (48%) of the social media account holders are spend time for finding
out the review of the product that they saw in the advertisement.
More than half (57%) of the social media account holders done the online
transactions like purchasing various products, ticket booking etc.
Most of the social media account holders (96%) are interested to know about the
new product. So they are updating their market knowledge day by day.
The 67% of the social media account holders are purchasing the product based on
the social medias advertisement.
62% of the social media account holders are purchasing the products based on the
new product information available in the social networking medias.
A very less number of social media account holders (16%) are thought that the
advertisements are intrusive to their privacy.
77% of the account holders have noticed ads in the social networking sites.
71% of the social media account holders believes that the benefits offered with the
product through ads are true.
More than half (62%) of the social media account holders purchasing decisions is
influenced by the social media ads.
5.2 Conclusion.
The topic of my study was related to the advertisement and its effectiveness when we use
this media for advertisement. Now a day the advertisement and the medium of
advertisement is also important because the cost of the advertisement and the reach
ability of the medium should be consider. The main objective of the study was fulfilled at
the end of the study. That means, the advertisement through social networking media is
influencing the purchasing decision of the people who have social media account. From
the study 67% of the social media account holders were purchased products based on the
social media ads. 71% of the social media account holders believes that the benefits
offered with the product through ads are true. This is a very big statistics when we
consider it in the marketing views because it represents more than the 2/3 rd of the total
account holders. From this study we can conclude that the advertising through social
networking media for targeting the young generation is one of the most effective ways.
5.3 Recommendations
This is one of the best ways of advertising of a product. If the organizations use
this media, the ads are reached maximum number of people in a short span of
time because 77% of the social media account holders are noticing the ads.
Therefore companies can definitely use this media for advertisement.
The more people are interested to do online transaction because it saves the time
and can access a lot of products through internet. So companies should give
importance to the online transactions also.
People are very interested to receive the information about new products. So
companies can send product information through internet and social networking
sites instead of palm lets.
The social medias are one of the best medium for influencing people, so the
companies should use this influence of social medias for increasing their
products sales.
25% of the people are still out of the social networking world, but they are not out
of the internet world, so find out some new methods for influencing that people
also.
5.4 Further Scope of Study& Policy implication
The study is conducted based on the young generation and that locality for selecting the
study is also in the urban area. That itself shows the scope of the further study because
the characteristics of the urban people and the rural people are entirely different. The
study is conducted only on the academic purpose, so the time limitations and the samples
are very limited. This study is not focusing on any other age group people and that also
leads to the scope of the further study. In this study, there is no focus on the cost
effectiveness. The social media ads are one of the best cost effective ways of
advertisement; there is big scope for studying the cost effectiveness of the advertisement
through the social networking medias.

The organizations can implement the findings of the study because the study is trying to
find out the effectiveness of the social media advertisement. This is one of the best ways
to reach the information to the people in short span of time. So the companies can use this
medium for advertisement. Now a day more people are interested to the online
transactions, so the important of the social media advertisement are increasing day by day
because, in social media advertisement we can give a link to the website which provides
the online product purchase and also we can do the online payment or the delivery time
payment.

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