NATIONAL ECONOMICS UNIVERSITY FACULTY OF FOREIGN LANGUAGES DEPARTMENT OF BUSINESS ENGLISH TRAN TUYET MAI A STUDY ON THE INFLUENCE OF SOCIAL MEDIA MARKETING ACTIVITIES ON CUSTOMER LOYALTY TOWARDS HOMEWEAR PRODUCTS IN NARYLEE COMPANY LIMITED NATIONAL ECONOMICS UNIVERSITY FACULTY OF FOREIGN LANGUAGES DEPARTMENT OF BUSINESS ENGLISH TRAN TUYET MAI A STUDY ON THE INFLUENCE OF SOCIAL MEDIA MARKETING ACTIVITIES ON CUSTOMER LOYALTY TOWARDS HOMEWEAR PRODUCTS IN NARYLEE COMPANY LIMITED Hanoi, March 2023 Trân Tuyết Mai - 11193332 - Business English 61B ACKNOWLEDGEMENT First and foremost, I would like to thank my research supervisor, Dr. Tran Thi Dan Huyen from the Faculty of Foreign Languages at National Economics University. Without her assistance and dedicated involvement in every step throughout the process, this report could have never been accomplished. I am extremely grateful to you for supporting and understanding me during the past time.
The internship opportunity I had with Narylee Ltd. was a great chance for learning and professional development. Therefore, I consider myself as a lucky individual as I was provided with an opportunity to be a part of it. I am also grateful for having a chance to meet so many wonderful people and professionals who led me through this internship period.
Bear in mind previous I am using this opportunity to express my deepest gratitude and special thanks to Ms Pham Thi Bich Hue and Ms Tran Thi Quynh - Narylee Ltd. Marketing Leader who in spite of being extraordinarily busy with their duties, took time out to hear, guide and keep me on the correct path and give necessary advices and guidance. Trân Tuyết Mai - 11193332 - Business English 61B EXECUTIVE SUMMARY The objective of this study is to analyze the influence of social media marketing activities on customer loyalty toward homewear products in Narylee Company Limited. Some prior literature was analyzed to emphasize the crucial issues in this Graduation Internship Report.
In which, six main components of social media marketing activities were focused on, including Entertainment, Interaction, Trendiness, Customization, Word Of Mouth and Promotion. The data was collected via questionnaire, with the participation of 100 customers of Narylee Company Limited. Data gathered then analyzed using SPSS version 20. Results presents that Customization, Promotion and Entertainment are the most significant drivers of customer loyalty, while the lowest ones was the Word Of Mouth, Interaction and Trendiness.
All the results were discussed to propose several recommendations to improve the social media marketing activities at Narylee Company Limited. ii Trân Tuyết Mai - 11193332 - Business English 61B LIST OF ABBREVIATIONS CEO: Chief Executive Officer CUS: Customization ENT: Entertainment HTML: Hyper Text Markup Language INT: Interaction PRO: Promotion SEM: Search Engine Marketing SEO: Search Engine Optimization SPSS: Statistical Package for Social Sciences TRE: Trendiness WOM: Word Of Mouth ii Trân Tuyết Mai - 11193332 - Business English 61B LIST OF FIGURES Figure 1. Proportion of active online shoppers conducting at least one online purchase every 2 months. Number of digital buyers worldwide from 2014 to 2021.
Number of smartphone uS€rS. Proposed research framewOork. Duration of using social media platforms. Frequency of using social media pÏatforms.
Years of relationship with Narylee. Social media platforms for interaction with Narylee. Frequency of using social media platforms for interacting with iv Trân Tuyết Mai - 11193332 - Business English 61B LIST OF TABLES Table 1. Range Interval DIVISION.
Demographics of respondenfs. Mean scores for Entertainment component. Mean scores for Interaction compOnent(. Mean scores for Trendiness component.
Mean scores for Customization component. Mean scores for WOM component. Mean scores for Promotion component. Mean scores for Overall componenfs.-:- -- 46 Trân Tuyết Mai - 11193332 - Business English 61B TABLE OF CONTENTS EXECUTIVE SUMMARYY.-- co c cọ HH SH HH ni Ki Hình ni BAii LIST OF ABBREVLA TÍON.
Hi LIST OF EIGURES.----- - -- -c c cọ HH Họ HH ni Hi HH Hi Bi 0 E8iv LIST OF TABLES. - -- - - - c GB SH Họ Ki Họ Ki Ki BH Ki Bi Bi i9 M INTRODUCTION.- -- cọ KH KH HH Ki Bề 1 IS o‹ nh ae eẮằeằe. HH Họ HH H HH nh 0000009. Research QU€SÍÏOIAS.
ỊH Họ Họ T0 000.- - sec c sóc cm 9 9n Kim 0 1 n8 5 7. Research sfruC(UF€. on con n9 HH HH ni HH Hi Hinh nh Bi6 CHAPTER 1: INTRODUCTION OF NARYLEE COMPANY LIMITED. Overview of Narylee Company ILÏINÏ(€C.
Narylee's Mission, Vision and Core (ŒHW€S. Marketing Department in Narylee Company Limited. 12 CHAPTER 2: THEORETICAL FRAMEWORK.-- - - co c c9 HH HH HH Họ Ki Ki Ki Bi Hi Bi i90 14 2. Definition of Social II€đÏÏAG.
Social media in fahsion [HẨUSÍTV. co cm n1 n ni nen15 2. Social Media ma k€fÏTE. Definition of social media IATFK©ẨLH.
Components of social media HIAT€ÍTE. The importance of social media IHATK€ÍTHE. Overview of customer ÏOiAÌÏẨy. The influence of social media marketing on customer loyaÌfy.- 24 Trân Tuyết Mai - 11193332 - Business English 61B 2.
Research 8i) /0 tố eeee. 26 CHAPTER 3: RESEARCH METHODOLOGY. Data collection insfrumenfS. Data analyzing me(hod.---- - << c2 9 9 S0 0 Vi 11 1Ý 16 1151 29 KK6Wx ¿on nẽe ốe.
29 CHAPTER 4: FINDINGS AND DISCUSSION. The reality of social media. Demographics Of SOCIAL MeCdIA ú. The reality of social media marketing activities in Narylee Lid.
The influence of social media marketing activities on customer loyalty towards homewear products in Narylee Company Limited. The influence of Environment component on customer loyalty towards homewear products in Narylee Company LIIHẲÉ€(Ï.es«=<ss<<se=s 35 4. The influence of Interaction component on customer loyalty towards homewear products in Narylee Company Limited .The influence of Trendiness component on customer loyalty towards homewear products in Narylee Company LÍTHÍÍ€(Í,. The influence of Customization component on customer loyalty towards homewear products in Narylee Company LHẲ€(Ï.
The influence of Word of Mouth component on customer loyalty towards homewear products in Narylee Company Liừmif€d. The influence of Promotion component on customer loyalty towards homewear products in Narylee Company Limif€d.--<-«- 45 CHAPTER 5: RECOMMENDA TIONS. Recommendations for Entertainment C0ompOTRÍ. Recommendation for Interaction C0mpDOTI€TIÍ.
Recommendation for Trendiness componen(f. Recommendation for Customization componenf. Recommendation for Word Of Mouth component. Recommendation for Promotion comp0nen(.
- -‹ < « ‹ « «« « «« «<<50 Trân Tuyết Mai - 11193332 - Business English 61B CONCLUSION REEERENCES APPENDIX Trân Tuyết Mai - 11193332 - Business English 61B INTRODUCTION 1. Background The Internefs quick expansion in today’s culture has changed how companies engage with their customers. In today’s society, the rapid development of the Internet has altered how businesses interact with their customers. Customers would prefer to stay at home to investigate new products, surf some social networking sites or e-commerce platforms to learn about prices or read reviews and feedback before making purchase decision than visit the stores directly as demonstrated in the figures about the proportion of active online shoppers conducting at least one line purchase every 2 months and the number of digital buyers globally from 2014 to 2021: Figure 1: Proportion of active online shoppers conducting at least one online purchase every 2 months % of active online shoppers conducting at least one online purchase every 2 months.
Cosmetics & Personal care Digital entertainment Agro Food and Beverages Fashion and accessories Pharmaceutical’ Health Media & books (both digital and physical) ICT/electronic goods Home furniture & household products Education and online courses Tools, gardening & do-it-yourself TourismTravel, e. hotel bookings, flight tickets, etc. [I 0 ap 0% 25% 50% 75% 8# Since the outbreak of COVID-19 #2019 Source: UNCTAD and NetComm Suisse e Commerce Association Figure 2: Number of digital buyers worldwide from 2014 to 2021 25 214 2.66 I bDigtal 2014 2015 2016 2017 2018* 2019* 2020* 2021* Source: Statista 2022 Trân Tuyết Mai - 11193332 - Business English 61B Also, compared to traditional customers, internet shoppers tend to use fewer senses, thus they rely less on textual and visual descriptions of goods and services (Koufaris, 2002). Therefore, as a result of the increase in using technological devices like smartphones or tablets, businesses tend to focus more on social media marketing channels than on traditional marketing strategies like leaflets or word-of-mouth that can be considered as effective ways to increase their market share or draw in more customers.
Figure 3: Number of smartphone users 10,000 biSmluarsnteoph 8,000 6.435 4,000 2,000 ° 2017 2018 2019 2020 2021 2022 Source: Statista It may be claimed that the evolution of consumer behavior is significantly influenced by developing digital technology and online platforms, prompting the adoption of new models in marketing operations by firms. This is because in a digitalized environment, it would be simple for buyers to find out various details about the things they want to buy, such as price, quality, delivery fees, or reviews, with just a click. Hence, interacting with potential clients through social networks and mobile devices may be seen as contemporary communication tactics that might improve a relationship with a client and increase sales. As a result of the digital revolution, a wide variety of industries, including fashion, are greatly benefited by this trend.
As social media becomes more widespread, fashion industry is very competitive. Researchers have pointed out that social media platforms like Facebook are superior than other forms of advertising because they maintain data on all of their users, guaranteeing that marketing reaches a retailer’s precise target market (Graham, et al. Thanks to social media sites, retailers have a great opportunity to build up Trân Tuyết Mai - 11193332 - Business English 61B experience and enhance the user experience with their business by making use of the data saved on social media sites. Customer relationship management’s main objective is to increase customer loyalty (Randeni & Wanninayake, 2011).
Customers who are loyal not only make more frequent purchases of products, but they also ignore alternatives or competitors if they make purchasing decisions. Therefore, every interaction a seller has with their customers offers the chance to further the satisfaction they have already felt with prior interactions. Because social media acts as a forum for communication, merchants have an unrivaled opportunity to engage and support clients, thereby strengthening customer loyalty. Yet, since customers can readily talk about their unpleasant experiences with company by sharing it on social media, social media marketing can also have a negative impact on customer loyalty.
Another issue for firms that might reduce customer loyalty is cancel culture, which can occur through social media. Rationale Internet social networks have been one of the most influential services on the internet and Web, which have recently caused a significant shift in the social system all over the world. A new breed of websites called social networks has captured the interest of Internet users. These websites operate on the basis of online organization and each one brings together a group of internet users who have unique characteristics, Social network is an example of a social media that enable new forms of online communication and information sharing.
Nowadays, competition is more intense in the fashion sector, which emphasizes the need of customer loyalty more than in the past. Based on today’s perspective, marketing encompasses customer development, which takes into account consumer happiness and quality, as well as their loyalty and efficient communication (Heidarzadeh and Hoseini, 2008). As a result, companies try to have loyal customers. In today’s competitive markets, gaining and keeping customer loyalty to a brand is considered as a challenge.
The need to take social media marketing into account and plan for it is undeniable given the rising internet penetration rate in the world, the widespread use of these tools, particularly among younger generations, and the growth of social networks in cyberspace with regard to their functions and individuals’ impressionability from similar groups in this space. Trân Tuyết Mai - 11193332 - Business English 61B Numerous marketing scholars, including marketing practitioners, have stressed the importance of interpersonal interactions in shaping consumers’ attitudes toward desirable brands and building strong bonds between them and their customers (Brexendorf et al.