Social Media Influencing Consumer Buying Behaviour

Abstract

Social media's pervasiveness has drastically changed how customers find, investigate, and finally buy things. Brands are no longer limited to conventional advertising channels; instead, they are utilizing social media to build connections with customers and encourage a feeling of community and brand loyalty. This dissertation sets out to investigate the complex web of effects that social media has on the purchasing decisions of consumers. Understanding the Influence of Likes and User-Generated Content (UGC): User-generated content (UGC) is what makes social media so successful, even more so than traditional advertising. Purchase decisions can be greatly influenced by user reviews, testimonials, and even apparently insignificant "likes" on a product page. The huge number of likes and favorable reviews reinforces the idea of social proof, which holds that people should believe the decisions made by the majority. Consumer decisions inside their social networks can be influenced by regular users becoming micro-influencers thanks to platforms like Instagram stories, which feature product mentions and review sections. Since customers view user-generated material as coming from peers rather than a faceless organization, it resonates with them more profoundly than traditional advertising