The Impact of Instagram on Consumers’ Purchase Intentions in the Fashion Industry in Thailand Proposal

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Introduction

Instagram is an application online social network founded in 2010 and focuses on sharing information amongst individuals. The application allows users both to follow and to be followed making it more distinctive from other apps.

The Instagram has experienced rising popularity within the current market making Face book Inc. to invest more of its capital for instagram in the social media company’s biggest purchase.

The site boasts of increased number of users approximately five million users per week. Instagram provides easier means to upload pictures hence attracting over fifty million users since its inception. Other competitors within the market include Picnik which was Google Inc.’s own photo-editing tool.

However, Picnik did not last long within the market hence suiting down in mid 2010. This has made instagram to outstand within the market with good positioning based on its tremendous valuation.

The other internet applications with the same technology as instagram include Pixlr, Snapsed, Picplz, Streamzoo, Picmonkey and Camera+.

These applications provide users with the opportunity to take photographs using Smartphone and tweak colors hence making it easier to post them on social network such as Facebok and Twitter (Keller and Berry, 2006).

Such applications are relevant within the fashion industry since they allow for widespread sharing of pictures on new arrivals within the market. Applications such as Snapseed, Picplz and Streamzoo have the capability of shooting photos, editing and adjusting in accordance to their desire.

Despite such similarity in applications, the difference comes in the level of charges imposed. Instagram offer most of its components free of charge compared to other applications.

Various search engines have followed the same trend by purchasing and owning various applications. Good example AOL Inc., which purchased Hipster an application capable of providing photo-sharing services in mobile devices.

This application has the capability of allowing users to edit photos taken from application installed within phone’s camera. The other company, Yahoo Inc., acquired flickr availing it to users as mobile application enabling easier uploading, shooting and geo-tagging directly from smart phones.

Such applications enable consumers to easily access new products via the social media and through mobile phones. However, based on the situation within the market, there is still enormous potential for each application yet to be exploited (Gruber, 2008).

Literature Review

According to Agger (1991), consumers within international market make their purchases based on information. Such processes are deemed necessary by consumers since it helps in reduction of perceived risks.

Word of Mouth (WOM) is considered potential source of information having tremendous impact on consumer attitudes, choice and purchase decisions (Bearden and Netemeyer, 1999).

According to Nail (2005), advertising is continually becoming outdated in most scenarios since consumers doubt their reliability and trustworthiness. Such considerations make WOM more popular owing to its stronger effects on consumer choices.

Word of Mouth takes different forms from face-to-face communication to information conveyed through the internet.

According to Kliatchko (2008), use of internet enables real-time sharing of information due to inter-activity and immediate responses. Internet enables consumers to obtain and access lots of information and unlimited access to available entertainment.

Availability of online communities have provided consumers with opportunities of sharing experiences, opinions as well as various dimensions of knowledge with others. Online communities appear in-form of internet forums, bulletin boards as well as newsgroups.

Such instances have enabled participation between the media and audiences, since consumers have the rights of creating media contents through texts, pictures, uploading of videos and pictures of products and services available in the market.

Keller and Berry (2006), argues that bigger percentage of Word of Mouth communication takes place offline, however, online communication is on the growing trend since consumers currently consider internet to be a reliable source of information.

Online communications enable consumers to create fully formed impressions of products, services and people using both written and pictorial content.

Theory of social comparison and that of reasoned action are used to elaborately explain effects of WOM in online forums and the extent to which it influences purchase intentions of various designer products.

Word of Mouth is considered as having same operations in both offline and online environments despite the real context being portrayed as a variable in the application of the theory (Curasi, 2001).

Within the traditional context, Word of Mouth incorporated face-to-face communication especially practiced within social context. As discussed, offline WOM has the capacity of influencing large population within limited boundary.

In the contrary, online information has the capability of reaching millions within the shortest time possible, since people receiving the message replicate it through e-mails and other internet-based media.

Most compelling news and new product designs usually spread like bush fire within the internet making online WOM of great impact (Curasi et al., 2001).

At the same time the use of smart phones within Thai’s urban population makes it easier to apply use of online WOM. This is since many urban dwellers consider it an image of luxury making internet an important element in their lifestyle.

According to Kotler and Armstrong (2012), a market is made up of all people or organization and they all demand for a certain product depending on individual’s tastes and preferences. This also depends on customer’s ability to purchase them.

Market segmentation or fragmentation is a course of action where a given market is divided into unique clusters or firms that have reasonably comparable demands. Analysis of the market and review of various strategies on annual basis is highly recommended for the purposes of increasing revenue.

Prices should remain as they are until close to the end of the year when promotion and advertisements through print and media are always considered to be on the higher trend. Distribution through agents should remain as it is in addition to intermediaries who will do direct personal selling to customers.

Major focus of the study will be on responses towards fashion designer products through internet-based social media.

It is important to focus on such segments since they portray a comprehensive picture on consumer level of aspirations towards new products and services and difficulties encountered based on specific age groups.

The various problems and achievements during marketing of goods and services can easily be generalized (Cherrier, 2005; Moisander and Valtonen, 2006).

Such generalization will help in understanding major challenges encountered by consumers and effective strategies used by successful producers within the same line of study. There is high probability that various participants have quite different motivations.

Some of the participants plan to continue their purchasing habits and aspire for information on more products through social media whereas some are not keen on the same. There will be profound need of understanding motivations underlying various group stages and their responses to social media.

Focus will also be made on those individuals lacking confidence or who are not ambitious enough (Denzin and Lincoln, 2003).

Thai consumers attach more value on product images and at the same time seek more value from status. Grey group survey conducted in the year 2009 discovered that most participants preferred the use of image and social status in the process of making their purchases.

This is attributed to vigorous media campaigns which lured consumers into accepting information concerning new product arrivals within the market. Such considerations acted as boost towards luxury and fashion design products since majority yearn for recognizable factors such as success and prestige.

Most consumers within Thai consider purchasing goods based on celebrity-driven culture and image. Various marketing campaigns using celebrities prompt many consumers to increasingly consume such products and services since they consider such products to be of superior quality (Blaikie, 1993).

Objectives

  1. To discover the level of influence of instagram on consumer behavior
  2. To identify various mechanisms through which marketers can effectively use in marketing their products in Thailand
  3. To identify effectiveness of both offline and online Word of Mouth (WOM) in marketing designer products and services
  4. To find out the relationship of how celebrities (opinion leader)’s WOM can stimulate their purchase decision on branded products (in the Fashion industry).

Methodology

This section of the research will provide appropriate research design capable of addressing and justifying the given objectives. The questions provided in the study as well as research design will be used to analyze the relationship between use of instagram and consumer response within Thailand (Strauss and Corbin, 1998).

Mixed method research approach will be used as guidance capable of providing appropriate environment to participants.

Quantitative research method will be used for the purposes of ensuring that accurate data is collected and analyzed in line with dimensions of the problem (Hammersley, 2009; Moisander and Valtonen, 2006).

The principle underlying positivism asserts that researchers are capable of taking scientific perspective in the process of observing social behavior and performing objective analysis.

However, the approaches used by scientific view and positivists philosophy are considered quiet different. Data analysis based on positivist study requires application of quantitative method since large-scale phenomena is covered.

The results from quantitative analysis will be used to reveal the level of influence of online Word of Mouth (WOM) on consumers’ purchase intentions in the fashion industry in Thailand.

On the other hand qualitative method will assist in providing in-depth analysis on issues surrounding participants’ choices, actions, aspirations and motivations towards their intended purchases (Dobscha and Ozanne, 2001).

Such analysis will assist in revealing various ideas concerning factors influencing purchase intentions from online perspective (Bryman and Bell, 2011). Availability of such comprehensive data justifies the use of mixed method analysis capable of addressing all the research questions within this study (Saunders et. al, 2012).

Research Design and Approach

The study will look at the impact of instagram on consumers within fashion industry. Information and communication factor used in this study is divided into two categories; online and offline Word of Mouth.

In such a case, the researcher will use survey instrument for the purposes of collecting data and making inferences regarding consumer responses towards new products within the market.

At the same time, this study will require use of survey instrument for the purposes of convenience and time consciousness (Creswell, 2007; Perry,1998).

The study will utilize quantitative approaches specifically logistical regression strategies and retention. This will include identification of both dependent and independent variables.

The process on data analysis will incorporate qualitative design comprising of such aspects as use of focus groups, observations, and in-depth interviews capable of revealing different personal consumer characteristics influenced by the market environment (Creswell, 2008).

Most of the fieldwork will be done based on Ethnography which usually incorporates all qualities and characteristics surrounding participant’s observation, informant interviewing and artifact collection focused towards understanding cultural knowledge of the people within the target market (Pink, 2009; Pink, 2001).

Such approach reveals much concerning consumers daily experiences with the social media (Denzin, 1997).

Sequential transformative strategy will be used for the purposes of justifying theoretical perspective of the researcher. The strategy normally incorporates two phases capable of providing clear diversified perspectives and at the same time conveys better understanding of the various changes within purported processes.

Ethnography as part of qualitative design will be used to enable researcher to clearly describe and interpret both shared and diverse patterns on consumer behaviors. These quantitative processes enable minimization on the threat posed by level of validity of the results (Butler-Kisber, 2010; Elliott and Jankel-Elliott, 2003).

Setting and Sample

In the process of setting the sample, sequential transformative and Ethnographic designs will be utilized for the purposes of ensuring that all observations and interaction with the participants reveal strategic behaviors and the level of influence of Thai’s culture on consumer response within fashion industry (Firat and Dholakia, 2006).

The use of quantitative and qualitative approach based on social science theory, qualitative theory and advocacy worldview will be ensured.

The participants will not be divided into other smaller groups as environment and community due to the importance attached to effects on domestic as compared to international market (Amoo and Friedman, 2000).

For the purposes of ensuring that observations are accurate and comprehensive, a research journal will be used where all stages of the study will be depicted in detail. The research journal will also contain interview transcripts.

Notably, apart from interviews, additional group or individual meetings may be included in the process. Transcripts of these meetings will also be included into the research journal. The meetings will help obtain more insights into participants’ responses to purchases.

An observational journal will be utilized whereby all participants’ profile and purchase patterns will be noted. The threat to validity may be posed by the researcher’s personal experiences and background. Such incident requires external auditor for the purposes of validating results (Benton and Craib, 2001).

Participants

All participants will be chosen from different market segments. The sample will consider 250 respondents in their 18-30, young adults living in urban areas such as Bangkok, in middle class.

Research and discussion will prove on how best participants can rhyme under the method of sequential transformative strategy based on strong cultural influence within native background (Silverman, 2001). Parallel and similar experiences with the researcher will also be included.

Identification of consumers will be based on a range of dimensions including fulfillment of special needs, this allows for the opportunity of observing participants with similar purchasing backgrounds yet differing level of income.

The fact that the researcher is also one of the buyers will ensure that the same methodology is used within each segment (Donoghue, 2000).

The participants will be chosen randomly irrespective of age. The majority of the participants will come from middle-class families living within Thailand’s urban and rural communities. Data analysis will be derived from different segments depending on consumers’ need.

Survey will be based on Celebrities Influence on Purchase decisions Scale and the question will focus on how individuals felt about such influences at the moment of experiment with an eight-point Likert scale represented as 1= Definitely False and 8= Definitely True. There will be 6 items to give a total score.

The second section will focus on the question of how respondents responded to level of influence of instagram on purchases within Fashion industry in the course of the year or the level of influence based on offline WOM.

This will be based on the Word of Mouth Scale with a five point Likert Scale represented as 1=Not at all true and 5= True all time. In this case there will be 10 items to give a total score (Carson et al, 2005; Crotty, 2005).

Data Collection

The data collection process will begin with a request to be submitted to institution’s administration for the purposes of conducting and collecting data. And at the same time disclosures of tests and surveys results of individuals involved in the research study.

For the initial meeting, rules and time lines will be established of which the whole research will be undertaken within a period of six months. The researcher will pull all participants from various market segments (De Vaus, 2001).

Data Analysis and Validation

The researcher will be deeply involved based on personal experiences within international market environment. This will ensure that participants are well understood based on underlining behavior. Methodology applied within fashion industry will involve first hand information.

Nature of market environment will be handled with equal seriousness based on consumer responses. The relationship between participants and researcher will be considered as that of instructor and nurturer.

It will be important to enquire about participant’s background and goals for future applications (King and Horrocks, 2010).

The researcher will fulfill several roles for the present research. First, he will continue being a potential supplier of design goods and at the same time observe participant’s progress assessing their overall purchasing power and attitude towards designer products.

This is important so as to understand what makes consumers change their purchasing choices within the same market.

At the same time, it’s important to understand how exactly participants are performing. It is also necessary to observe participant’s behavior in case of any new product arrival within the market (Denzin and Lincoln, 2005). The researcher has a great opportunity to observe consumers within their various market segments.

It is possible to observe whether participants cooperate, or whether they assist one another during learning lessons.

Finally, participant’s attitude towards various design products is important since it assists in working out effective patterns on individual relationships between consumer and buying patterns (Murray and Ozanne, 1991). The kind of quantitative data collected will result in a number of tests.

Such data will help define the dimension of the problem. The data will reveal motivational level of consumers based on their performance. The researcher will act as an advisor to participants during interview process assisting them whenever necessary.

Finally, the researcher will conduct interviews and ask particular questions concerning participant’s background (Belk, 2008; Guba & Lincoln, 2000).

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IvyPanda. (2019, July 3). The Impact of Instagram on Consumers' Purchase Intentions in the Fashion Industry in Thailand. https://ivypanda.com/essays/the-impact-of-instagram-on-consumers-purchase-intentions-in-the-fashion-industry-in-thailand/

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"The Impact of Instagram on Consumers' Purchase Intentions in the Fashion Industry in Thailand." IvyPanda, 3 July 2019, ivypanda.com/essays/the-impact-of-instagram-on-consumers-purchase-intentions-in-the-fashion-industry-in-thailand/.

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IvyPanda. 2019. "The Impact of Instagram on Consumers' Purchase Intentions in the Fashion Industry in Thailand." July 3, 2019. https://ivypanda.com/essays/the-impact-of-instagram-on-consumers-purchase-intentions-in-the-fashion-industry-in-thailand/.

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IvyPanda. "The Impact of Instagram on Consumers' Purchase Intentions in the Fashion Industry in Thailand." July 3, 2019. https://ivypanda.com/essays/the-impact-of-instagram-on-consumers-purchase-intentions-in-the-fashion-industry-in-thailand/.

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