Review of Related Literature

Social media are interactive technologies that allow people to create and share
information, ideas, interests, and other kinds of expression through virtual communities and
networks. According to Salipsip, Lucero & Llanera (2020), Social Media plays an important role
nowadays in the lives of millions of people all over the world; thus, it shifts many of the
industries operations in order to cope up with the rise of technological advancement that keeps
on driving the consumers and business owners in dealing through different platforms.
Users usually access social media services via web-based apps on desktops and laptops,
or download services that offer social media functionality to their mobile devices
(e.g., smartphones and tablets). As users engage with these electronic services, they create highly
interactive platforms through which individuals, communities, and organizations can share, co-
create, discuss, participate, and modify user-generated content or self-curated content posted
online (Kietzmann & Hermkens, 2011). Social media can help to improve an individual's sense
of connectedness with real or online communities and can be an effective communication (or
marketing) tool.
According to CNN Philippines (2019), Philippines climbed to the top of the list of the
most amount of time spent on the internet with an average of 10:02 hours a day on any device.
As of 2020, around 80 million out of 108 million inhabitants had internet access. While 81
percent of the 18- to 24-year-olds were already online, only twelve percent of those aged 55
years and older were able to access the internet (Statista Research Department, 2021).
The Boston Consulting Group's Center for Customer Insight (CCI), 2018, conducted a
survey among 15,000 internet users in nine countries: Brazil, China, India, Indonesia, Kenya,
Morocco, Nigeria, the Philippines, and South Africa. The findings show that the next-most votes
for preferred shopping format are social media. Peer-to-peer buying is especially popular in
Indonesia, the Philippines, and Thailand. Consumers see peer to-peer commerce as a way to find
bargains and unique products that would otherwise not come to their attention (The Boston
Consulting Group’s Center for Customer Insight (CCI), 2018).
In the article of Go (2019), he said that “Social media has piggybacked on the explosion of
the internet and the widespread use of smartphones to reach unprecedented levels of popularity.
Global statistics show that there are over 3.2 billion active social media users. Facebook alone,
the world’s largest social media network, has over 2.32 billion monthly active users, a number
that accounts for nearly 30 percent of the worldwide population.” Furthermore, Facebook has
achieved widespread popularity among users since its debut in 2004. Indeed, Facebook has over
800 million active members, with over 350 million people using it on mobile devices each
month, making it the world's most popular social network (Giles, 2011).

Significant findings of the study conducted by Rana (2018), Facebook is a highly

successful platform for businesses. There is the prospect of attracting new consumers,
establishing online relationships, and using Facebook as an online marketing communication
channel. Facebook has become an essential marketing place for marketers these days, thanks to
its highly focused marketing capabilities and its easy ability to disseminate information across
each other's networks. Customers and prospects may use Facebook to interact directly with brand
representatives or to share information about your company with their friends. Facebook has
become the most well - known of the social networking sites. Indeed, "Facebook continues to
increase in popularity with small businesses to the point that it's no longer a matter of 'if' you
should be utilizing this platform, but rather 'how’ (Jantschn, n.d)
Furthermore Facebook can strengthen relationships with customers and followers
depending on the different cultures (Minton et. al., 2012). Although there is an overall
importance or need for the use of Facebook the following statistics underline that there are big
cultural differences within users. For example in 2011 people in Russia (10 hours per month)
used social media twice as much as people in the United States (5,2 hours). Today the numbers
are much more higher because of smartphone or tablets. (Minton et. al., 2012). From all social
media platforms Facebook is the the most popular one (Meiselwitz, 2016). The following review
concentrates only on Facebook and marketing. In this case Facebook is representative for social
media. Due to the point that Facebook is a big field, the literature review can’t implement all
things in detail.
Marketing is a well-developed methodological science and is constantly changing its rules
according to the needs and developments taking place in and around it. To establish itself in the
new eta, it has begun adapting the new methods of virtues to come to terms with the new
paradigms of business. The role of marketing in the development of business is intact but the
way it was executed is radically changing due to contributions made by satellite communication
and extensively developed scientific devices (Saravanakumar & SuganthaLakshmi, 2012)
In today's technologically driven world, social networking sites have evolved into a
channel through which businesses may expand their marketing campaigns to a broader variety of
consumers. Chi (2011), defines social media marketing is a “connection between brands and
consumers, [while] offering a personal channel and currency for user centered networking and
social interaction”. The tools and approaches for communicating with customers have changed
greatly with the emergence of social media; therefore, businesses must learn how to use social
media in a way that is consistent with their business plan (Mangold and Faulds, 2009).
According to a survey conducted by a business assistance firm, over 75% of small firms
with 25 or fewer workers have already joined the social media marketing bandwagon. Facebook
emerged as the most popular social media platform for marketing among the respondents, with
95% of them saying they use it and 82% saying it is successful. However, the poll also said that
social media marketing is only a supplement to traditional marketing efforts and does not replace
them. As a result, it was discovered that 91% of small companies use e-mail marketing, 95% use
website marketing, 77% use print advertising, 69% use internet advertising, and 53% use event
marketing. As a result of the study, it was revealed that, despite social media's enormous
popularity as a marketing tool, the usage of traditional marketing methods has not decreased
(Constant Contact, 2011).
 Nielsen Philippines revealed that Southeast Asian consumers are highly influenced by
online advertising where three quarters of them are either highly or somewhat influenced by
advertisements on social media compared to only three-fifths of global consumers. On a global
scale, four out of every five consumers are influenced on a social context, such as by their
friends who liked or followed an advertised brand (Webb, 2011). The same report also disclosed
that consumers in the Philippines and in Vietnam were most receptive to such ads at 83% and
82%, respectively. Numerous other accounts reported successful product and brand campaigns
using Facebook as the marketing vehicle, such as in GMA News Online (2011), Hamlin (2011),
Ihubmedia (2011), and Netbooster Asia (2011). A number of research studies from around the
world also found warm reception of consumers to social media advertisement, particularly on
Facebook (Gupta & Udupa, 2011; Neti, 2011; Owen & Humphrey, 2011; Stelzner, 2009; and
Brown, Broderick & Lee, 2007).
A previous study by Zeng et. al (2009) found that responses to online advertising via social
network heavily depended on perceptions of advertising relevance and value, as well as being
influenced by social identity and group norms. Unlike, Hadija (2008) found perceived
interactivity as an important influence in consumers’ responses to the same subject. Other
dimensions such as advertising avoidance, credibility and privacy were used in the past to
measure consumers’ perceptions towards online advertising (Kelly, 2008; Roberts, 2010). In
addition, the results show that online advertising value depends positively on its informativeness,
credibility and entertainment value. They also indicate that credibility and online advertising
value affect consumers’ attitude towards this type of advertising (Brahim, 2016).
According to (Madiha, 2020), Smartly, a firm that provides social media services,
performed research and discovered that Facebook advertisements will be the talk of the town,
with shops and companies planning to spend around 52 percent of their marketing budget on
Facebook advertisements. Approximately 96% of survey respondents indicated they prefer
Facebook for advertisement, followed by Twitter and Instagram. In addition, Duffet (2014)
confirms that advertising on Facebook has a positive influence on the behavioural attitudes
(intention-to-purchase and purchase) of Millennials who reside in South Africa. The usage
characteristics, log on duration and profile update incidence, as well as the demographic
influence of ethnic orientation also resulted in more favourable perceptions of Facebook
advertising.
The most recently found coronavirus, Covid-19, causes an infectious disease. This novel
virus and disease were unknown until December 2019, when they were found. COVID-19 is now
a pandemic that has spread to numerous countries throughout the world. As a result, it has had an
impact all over the world, particularly economically, along with the current events of staying at
home, it shows the declining consequences of going outside for traditional shopping. As a result,
the community has shifted its focus to online buying, and the number of online shoppers has
increased sharply.

We found out that the COVID-19 pandemic affected the lives of billions of people as well
as the numbers of online shoppers. Hence, the community look towards online shopping and the
rates of online shoppers has increased drastically. Based on the related literature and studies, we
discovered that one of the factors influencing consumers’ purchasing behavior is browsing the
Facebook newsfeed and seeing an encouraging advertisement that influences them to purchase a
product or items.

The Facebook application has a lot of users. Before the pandemic, Facebook really
influenced customers' purchasing behavior because of its good-looking advertisements. The goal
of this study is to determine if Facebook advertisements are still influencing consumers'
purchasing behavior now that there is a pandemic. The researchers will measure if normal days
and pandemic days influence the customer's purchasing behavior through Facebook advertising.

Brahim, S.B. (2016). The Impact of Online Advertisement on Tunisan Consumers’ Purchase
Intention. IBIMA Publishing
http://www.ibimapublishing.com/journals/JMRCS/jmrcs.html Vol. 2016 (2016), Article ID
357783, 13 pages DOI: 10.5171/2016.357783

Duffet, R. (2014). Facebook advertising’s influence on intention-to-purchase and purchase

amongst Millenial. Retrieved from Emerald
https://www.emerald.com/insight/content/doi/10.1108/IntR-01-2014-0020/full/pdf?
title=facebook-advertisings-influence-on-intention-to-purchase-and-purchase-amongst-
millennials

Salipsip, D., Lucero, J., & Llanera, S. (2020). Facebook as an Effective Tool. Philippine
EJournals
https://ejournals.ph/article.php?id=15076

Jan H. Kietzmann, Kristopher Hermkens, Ian P. McCarthy, Bruno S. Silvestre (2011).

Social media? Get serious! Understanding the functional building blocks of social media.
Business Horizons, Volume 54, Issue 3, 2011, Pages 241-251, ISSN 0007-6813,
https://doi.org/10.1016/j.bushor.2011.01.005.
(https://www.sciencedirect.com/science/article/pii/

CNN Philippines. (2019). PH takes spot as heaviest internet users worldwide – report. Retrieved
from CNN Philippines:
https://cnnphilippines.com/lifestyle/2019/02/01/2019-digital-hootsuite-we-are-social-internet-
philippines-facebook.html

Statista Research Department (2021). Number of Social Network users in the Philippines from
2018-2023. Retrieved from Statista
https://www.statista.com/statistics/489180/number-of-social-network-users-in-philippines/

The Boston Consulting Group’s Center for Customer Insight (CCI). (2018). Digital Consumers,
Emerging Markets, and the $4 Trillion Future. Retrieved from The Boston Consulting Group’s
Center for Customer Insight (CCI):
https://www.bcg.com/publications/2018/digital-consumers-emerging-markets-4-trillion-dollar-
future.aspx

Rana, A. (2018). Facebook Marketing and its Influence on Consumer Buying Behavior in
Kathmandu. Retrieved from Research Gate.
https://www.researchgate.net/publication/327391230_Facebook_Marketing_and_its_Influence_o
n_Consumer_Buying_Behaviour_in_Kathmandu
DOI:10.3126/jbssr.v1i1.20952
Go, P. (2019). Scroll. Refresh. Repeat. Retrieved from Sunday Inquirer
https://opinion.inquirer.net/120997/scroll-refresh-repeat

Constant Contact. (2011). Nearly three-quarters of small businesses are doing social media
marketing. Retrieved from Constant Contact.
http://www.constantcontact.com/about-constant-contact/press/press_2011_0516survey.jsp

Chi, Hsu-Hsien. 2011. “Interactive Digital Advertising VS. Virtual Brand Community:
Exploratory Study of User Motivation and Social Media Marketing Responses in Taiwan.”
Journal of Interactive Advertising 12: 44-61.
https://www.tandfonline.com/doi/abs/10.1080/15252019.2011.10722190

Mangold, Glynn W., and David J. Faulds. 2009. “Social Media: The New Hybrid Element of the
Promotion Mix.” Business Horizons 52: 357-365.
https://www.sciencedirect.com/science/article/abs/pii/S074756321500223X

Madiha. (2020). Advertisement is the Key. Retrieved from Digital Information World:
https://www.digitalinformationworld.com/2020/01/businesses-to-increase-their-social-media-
marketing-budget-in-the-year-2020.html

Saravanakumar, M. & SuganthaLakshmi T. (2012). Social Media Marketing. Life Science

Journal
https://www.lifesciencesite.com/lsj/life0904/670_13061life0904_4444_4451.pdf

Jantsch, J. (n.d) Let’s talk social media for small business. Retrieve from
http://designdamage.com/wp-content/uploads/2009/04/socialmediaforbusiness.pdf

Hamlin, M.A. (2011). Bottomline Social media relevance. Retrieved from

http://www.mb.com ph/ articles/316040/social-media-relevance.

GMA News Online. (2009). Companies turn to social media for ad campaigns. Retrieved from
http://www.gmanews.tv/story/177442/

ihubmedia (2011). Columbia Pictures Philippines reaches fans faster with Facebook. Retrieved
from http://www.ihubmedia.com/columbia-pictures-philippines-reaches-fans-faster-with-
facebook/

Netbooster Asia (2011). News. Retrieved from http://www.netboosterasia.com/news.php

Gupta, P. & Udupa, A. (2011). "Social media marketing by pharmaceutical industry: Perception
and attitudes of key stakeholders." Business and Economics Journal, 20. Retrieved from
http://astonjournals.com/manuscripts/Vol2011/BEJ-20_Vol2011.pdf.

Neti, S. (2011). "Social media and its role in marketing International Journal of Enterprise
Computing and Business Systems 1(2). Retrieved from http://www.ijecbs.com/July2011/13.pdf

Owen, R. & Humphre,y P. (2011). The structure of online marketing communication channels.
Journal of Management and Marketing Research. Retrieved from
http://www.aabri.com/manuscripts/09135.pdf

Stelzner, M. A. (2009). "How marketers are using social media to grow their businesses: Social
media marketing industry report. Retrieved from
http://marketingwhitepapers.s3.amazonaws.com/smss09/SocialMediaMarketing Industry
Report.pdf
Brown, J. Broderick, A.J. & Lee, N. (2007). Word-of-mouth communication within online
communities: Conceptualizing the online social network. Retrieved from
http://apgsweden.typepad.com/apgsweden/files/viralzzz.pdf
Meiselwitz, G. (2016), Social Computing and Social media: 8th International Conference,
SCSM, 2016, Toronto, The Springer International Publishing AG Switzerland.

Minton, E., Lee, C., Orth, U., Kim, C.-H. and Kahlee, L. (2012), Sustainable Marketing and
Social media: A Cross-country analysis of motives for sustainable behaviors, Journalof
Advertising, Vol. No. 4, pp. 69-84.

Webb, D. (2011). Southeast Asian “like” ads on social media sites. Retrieved from
https://www.nielsen.com/us/en/insights/article/2011/southeast-asians-like-ads-on-social-media-
sites/

Zeng et al. (2009). Social Factors in User Perceptions and Responses to Advertising in Online Social
Networking Communities. Journal of Interactive Advertising, 10(1), 1-13.

Roberts (2010). Privacy and Perceptions: How Facebook Advertising Affects its Users. The Elon Journal of
Undergraduate Research in Communications, 1(1).

Hadija, Z. (2008). Perceptions of Advertising in Online Social Networks: In Depth Interviews. The
Rochester Institute of Technology, Department of Communication, College of Liberal Arts.

Kelly, L. (2008). Teenagers' perceptions of advertising in the online social networking environment: An
exploratory study. Masters by Research thesis, Queensland University of Technology. Retrieved from
http://eprints.qut.edu.au/26966/