Analyzing the Impact of Social Media Marketing Activities (SMMA) on consumers’ willingness to pay premium price and brand loyalty for Portable Electronic Tech Gadgets (PETG) with the mediating role of Brand Equity (Case of Study: Urmia Un

Document Type : Research Paper

Authors

1 Assistant Professor, Department of Business Administration, Faculty of Economics and Management, Urmia University, Urmia

2 M.S Student in Business Administration, Faculty of Economics and Management, Urmia University, Urmia, Iran.

10.22034/cbsj.2024.139225.2548

Abstract

The main purpose of this study is to analyze the impact of social media marketing activities on consumers' willingness to pay higher prices and brand loyalty for portable electronic technologies (gadgets) with the mediating role of brand equity. The research method of this research is practical in terms of purpose and descriptive-survey in terms of the type and nature of the research. The field data collection tool is a standard questionnaire designed based on a five-point Likert scale. The statistical population of this research is all the students of Urmia University, 12,600 people, and according to Morgan's table, the sample size was 384 people, who were selected using stratified random sampling. The validity and reliability of the research tool was done by asking experts and professors, respectively, and also by using the method of content validity test and Cronbach's alpha coefficient. In order to test the hypotheses, factor analysis and structural equations were used using SPSS26 and SmartPLS3 software. The results of the research hypotheses test showed that , trendiness and WOM as marketing components have a positive and significant effect on brand awareness and brand image. Brand image has a positive and significant relationship with brand loyalty. Also, the results indicate a positive and significant relationship between brand loyalty and willingness to pay higher prices for portable electronic technologies. The general result of the research also confirmed the role of social media marketing activities on consumers' willingness to pay higher prices and brand loyalty.

Keywords

Main Subjects

References

Aaker, D. A. (1996). Measuring brand equity across products and markets. California management review, 38(3).
Aji, P., Nadhila, V., Sanny, L., 2020. Effect of social media marketing on Instagram towards purchase intention: evidence from Indonesia's ready-to-drink tea industry. Int. J. Data Netw. Sci. 4(2), 91–104.
Aljumah, A., Nuseir, M. T., & Alshurideh, M. T. (2021). The Impact of Social Media Marketing Communications on Consumer Response During the COVID-19: Does the Brand Equity of a University Matter? In: Alshurideh, M., Hassanien, A.E., Masa’deh, R. (eds) The Effect of Coronavirus Disease (COVID-19) on Business Intelligence. Studies in Systems, Decision and Control, 334. Springer, Cham.
Anselmsson, J., Bondesson, N. V., & Johansson, U. (2014). Brand image and customers' willingness to pay a price premium for food brands. Journal of Product & Brand Management, 23(2), 90-102.
Appel, G., Grewal, L., Hadi, R., & Stephen, A. T. (2020). The future of social media in marketing. Journal of the Academy of Marketing Science, 48(1), 79-95.
Arman, M., & Javidfar, M. (2015). The role of social media marketing activities in developing customer equity. Development and Transformation Management Quarterly, 8(27), 191-202. (In Persian)
Asgari, M., & Alizadeh Meshkani, F. (2016). Identifying factors affecting the success of social media in marketing. Conference of modern researches of Iran and the world in management, economics, accounting and humanities. Shiraz. (In Persian)
Augusto, M., & Torres, P. (2018). Effects of brand attitude and eWOM on consumers’ willingness to pay in the banking industry: Mediating role of consumer-brand identification and brand equity. Journal of Retailing and Consumer Services, 42, 1-10.
Azami, M., & Aine, M. (2019). The effect of social media marketing activities on brand value with the mediating role of consumer perception (case study: auto parts supply companies in Kermanshah province). Media Science Quarterly, (4) 31, 71-88. (In Persian)
Barreda, A. A., Bilgihan, A., Nusair, K., & Okumus, F. (2015). Generating brand awareness in online social networks. Computers in human behavior, 50, 600-609.
Cheung, M. L., Pires, G. D., Rosenberger, P. J., Leung, W. K. S., & Ting, H. (2021). Investigating the role of social media marketing on value co-creation and engagement: An empirical study in China and Hong Kong. Australasian Marketing Journal, 29(2), 118-131. https://doi.org/10.1016/j.ausmj.2020.03.006
Coelho, P. S., & Henseler, J. (2012). Creating customer loyalty through service customization. European Journal of Marketing.‏
Constantinides, E. (2014). Foundations of social media marketing. Procedia-Social and behavioral sciences, 148, 40-57.
Danaei, A, & Moin, M. (2016). Analysis of the Effect of Social Media Strategy on Social Media Marketing Strategy and Organizational Performance of Chain Supermarkets. Strategic Management Research, 23(66), 111-141. (In Persian)
Dash, G., Kiefer, K., & Paul, J. (2021). Marketing-to-Millennials: Marketing 4.0, customer satisfaction and purchase intention. Journal of Business Research, 122, 608–620.
Dehdashti Shahrokh, Z., & Mohammadi, A. (2014). Social networks and written word-of-mouth advertising in special brand value. National conference of new approaches in management sciences, economics and accounting. Babol. (In Persian)
Dehdashti Shahrokh, Z., & Naeli, M. (2019). The Impact of Social Media Marketing Activities On Customer Equity of Luxury Brands A Study of Dorsa Brand.Management researches in Iran, 1(24). 57-33. (In Persian)
Dessart, L., Veloutsou, C. and Morgan-Thomas, A. (2015). Consumer engagement in online brand communities: a social media perspective. Journal of Product & Brand Management, 24(1), 28-42. 
Felix, R., Rauschnabel, P. A., & Hinsch, C. (2017). Elements of strategic social media marketing: A holistic framework. Journal of Business Research, 70, 118-126.
France, C., Merrilees, B., & Miller, D. (2016) An integrated model of customer-brand engagement: Drivers and consequences. Journal of Brand Management, 23(2), 119-136
Godey, B., Manthiou, A., Pederzoli, D., Rokka, J., Aiello, G., Donvito, R., Singh, R., 2016. Social media marketing efforts of luxury brands: influence on brand equity and consumer behavior. J. Bus. Res. 69 (12), 5833–5841.
Heggde, G., & Shainesh, G. (Eds.). (2018). Social media marketing: Emerging concepts and applications. Singpore: palgrave macmillan.
Hennig-Thurau, T., Gwinner, K. P., Walsh, G., & Gremler, D. D. (2004). Electronic word-of-mouth via consumeropinion platforms: What motivates consumers to articulate themselves on the internet? Journal of interactive marketing, 18(1), 38–52.
Keller. K. 2003. Building measuring and managing brand equity. New Delhi: prentice Hall of India
Keller, K.L., 1993. Conceptualizing, measuring, and managing customers-based brand equity. J. Market. Manag. 57 (1), 1–12.
Khazri, M, Najafi, M, Nasri, F. (2022). The effect of social media marketing and customer perceived value on customer satisfaction with the mediating role of brand image and advertising costs in hotel and marine tourism service industries. Quarterly journal of sea-oriented management studies. (3) 1, 4-23. (In Persian)
Kim, A. J., & Ko, E. (2012). Do social media marketing activities enhance customer equity? An empirical study of luxury fashion brand. Journal of Business research, 65(10), 1480-1486.
Kudeshia, C., Kumar, A., 2017. Social eWOM: does it affect the brand attitude and purchase intention of brands. Manag. Res. Rev. 40 (3), 310–330.
Landorani Isfahan, S., & Allah Vardi, Z. (2022). Investigating the role of social media marketing activity and customer experience on loyalty intention and customer participation intention considering the mediating role of relationship quality (case study: Bonny Fashion online cosmetics store). Sustainable Development and Management Studies, 1(2), 65-90. (In Persian)
Langaro, D., Rita, P., de Fatima Salgueiro, M., 2018. Do social networking sites contribute for building brands? Evaluating the impact of users' participation on brand awareness and brand attitude. J. Market. Commun. 24 (2), 146–168.
Laroche, M., Habibi, M.R., Richard, M.-O., (2013). To be or not to be in social media: how brand loyalty is affected by social media? Int. J. Inf. Manag. 33 (1), 76–8.
Lemon, K.N., Rust, R.T., Zeithaml, V.A., 2001. What drives customer equity: a company's current customers provide the most reliable source of future revenues and profits.Market. Manag. 10 (1), 20–25
Malarvizhi, C. A., Al Mamun, A., Jayashree, S., Naznen, F., & Abir, T. (2022). Modelling the significance of social media marketing activities, brand equity and loyalty to predict consumers’ willingness to pay premium price for portable tech gadgets. Heliyon, 8(8), e10145.
Mason, A., Narcum, J., & Mason, K. (2021). Social media marketing gains importance after Covid-19. Cogent Business & Management, Taylor & Francis, Abingdon, 8(1), 1-17.
Mehrabian, A., Russell, J.A., 1974. An Approach to Environmental Psychology. MIT Press, Cambridge, MA.
Mousavi Fard, M., & Kabotari, J. (2021). Investigating the role of social media marketing communication activities on brand equity dimensions (case study: users of Xiaomi products on Instagram). The second international conference on new challenges and solutions in industrial engineering and management and accounting, Damghan. (In Persian)
Naimabadi, M., & Moazzami, M. (2019). Investigating the effect of social media marketing activities on brand equity and customer reaction (case study: Yaal Lock Company). Journal of Marketing Management. 15(47), 37-50. (In Persian)
Netemeyer, R. G., Krishnan, B., Pullig, C., Wang, G., Yagci, M., Dean, D., ... & Wirth, F. (2004). Developing and validating measures of facets of customer-based brand equity. Journal of business research, 57(2), 209-224.‏
NIST, 2015. Glossary (portable electronic device (PED)), National Institute of Standards and Technology of the United States Department of Commerce (Online). https://csrc.n ist.gov/glossary/term/portable_electronic_device. (Accessed 21 November 2021).
Nyadzayo, M.W., Khajehzadeh, S., 2016. The antecedents of customer loyalty: a moderated mediation model of customer relationship management quality and brand image. J. Retail. Consum. Serv. 30, 262–270.
Pourazad, N., Stocchi, L., & Pare, V., (2020). The power of brand passion in sports apparel brands. J. Prod. Brand Manag. 29(5), 547–568.
Roy, G., Datta, B., & Mukherjee, S., & Basu, R. (2020). Effect of eWOM stimuli and eWOM response on perceived service quality and online recommendation. Tourism Recreation Research.
Sano, K. (2015). An empirical study the effect of social media marketing activities upon customer satisfaction, positive word-of-mouth and commitment in indemnity insurance service. In Proceedings International Marketing Trends Conference (Vol. 27, No. 3, pp. 21-32).‏
Savitri, C., Hurriyati, R., Wibowo, L., & Hendrayati, H. (2022). The role of social media marketing and brand image on smartphone purchase intention. International Journal of Data and Network Science, 6(1), 185-192.
Schivinski, B., & Dąbrowski, D. (2013). The impact of brand communication on brand equity dimensions and brand purchase intention through Facebook. GUT FME Working Paper Series A. Gdansk (Poland): Gdansk University of Technology, Faculty of Management and Economics, 4(4), 1-24.‏
Seo, E. J., & Park, J. W. (2018). A study on the effects of social media marketing activities on brand equity and customer response in the airline industry. Journal of Air Transport Management, 66, 36-41.
Swimberghe, K. R., Astakhova, M., & Wooldridge, B. R. (2014). A new dualistic approach to brand passion: Harmonious and obsessive. Journal of Business Research, 67(12), 2657-2665.‏
Taheri, A., & Kaidian, A. (2017). The effect of social media marketing activities on brand value and customer response. National conference of new models in business management with the approach of supporting national entrepreneurs of Tehran University. (In Persian)
Yadav, M., & Rahman, Z. (2018). The influence of social media marketing activities on customer loyalty: A study of e-commerce industry. Benchmarking: An International Journal.
Yazdani Kechui, Z., Korhani, M., & Kaushari, A. (2021). Investigating the effect of social media marketing on brand loyalty with the mediating role of trust and brand value (Study case: Mellat Bank Isfahan branches). Entrepreneurial Business Management Quarterly, 1(2), 57-39. (In Persian)
Yazdanparast, A., Joseph, M., Muniz, F., 2016. Consumer-based brand equity in the 21st century: an examination of the role of social media marketing. Young Consum. 17(3), 243–255.
Yoo, B., Donthu, N., & Lee, S. (2000). An Examination Of Selected Marketing Mix Elements And Brand Equity” journal of the academy of marketing science.‏
Zarei, A., Farjoo, H., & Bagheri Garabollagh, H. (2022). How Social Media Marketing Activities (SMMAs) and Brand Equity Affect the Customer's Response: Does Overall Flow Moderate It?. Journal of Internet Commerce, 21(2), 160-182.
Zehir, C., Şahin, A., Kitapçı, H., & Özşahin, M. (2011). The effects of brand communication and service quality in building brand loyalty through brand trust; the empirical research on global brands. Procedia-Social and Behavioral Sciences, 24,1218-1231.‏
Zollo, L., Filieri, R., Rialti, R., & Yoon, S. (2020). Unpacking the relationship between social media marketing and brand equity: The mediating role of consumers’ benefits and experience. Journal of Business Research, 117, 256-267.
Consumer Behavior Studies Journal
Volume 12, Issue 3
January 2026
Pages 67-90

Files

Share

How to cite

Statistics