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THE IMPACT OF INFLUENCER MARKETING ON CONSUMER BEHAVIOUR: EFFECTIVENESS ON INCREASING BRAND AWARENESS, IMPROVING BRAND PERCEPTION, AND DRIVING SALES

Authors:
Rahul Kumavat at Jayawant Shikshan Prasarak Mandal
Rahul Kumavat
Dr. Hake Chandrakant
Dr. Hake Chandrakant
Dr. Hake Chandrakant
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Abstract

In recent years, influencer marketing has become an increasingly popular strategy for brands to reach their target audience and influence their behaviour. This research paper aims to explore the impact of influencer marketing on consumer behaviour, with a focus on its effectiveness in increasing brand awareness, improving brand perception, and driving sales. The study will use a mixed-methods approach, incorporating both quantitative and qualitative data analysis techniques to provide a comprehensive understanding of the topic. Introduction: Influencer marketing involves partnering with individuals who have a large following on social media platforms to promote a brand or product to their audience. This strategy has become popular due to the growing use of social media and the increasing importance of online reviews and recommendations in consumer decision-making. The purpose of this study is to explore the impact of influencer marketing on consumer behaviour, focusing on its effectiveness in increasing brand awareness, improving brand perception, and driving sales.
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RABINDRA BHARATI JOURNAL OF PHILOSOPHY
ISSN: 0973-0087
Vol. : XXIV, No: 1(I), 2023 98
THE IMPACT OF INFLUENCER MARKETING ON CONSUMER BEHAVIOUR:
EFFECTIVENESS ON INCREASING BRAND AWARENESS, IMPROVING BRAND
PERCEPTION, AND DRIVING SALES
Dr. Chandrakant Hake
HOD, JSPM’s Jayawantrao Sawant College of Engineering, MBA Dept. Hadapsar, Pune
Dr. Umesh Nath
HOD, JSPM’s Jayawantrao Sawant Institute of Management & Research, Hadapsar, Pune
Prof. Rahul Kumavat
Ast. Prof., JSPM’s Jayawantrao Sawant College of Engineering, MBA Dept. Hadapsar, Pune
Abstract:
In recent years, influencer marketing has become an increasingly popular strategy for brands to
reach their target audience and influence their behaviour. This research paper aims to explore the
impact of influencer marketing on consumer behaviour, with a focus on its effectiveness in
increasing brand awareness, improving brand perception, and driving sales. The study will use a
mixed-methods approach, incorporating both quantitative and qualitative data analysis techniques
to provide a comprehensive understanding of the topic.
Introduction:
Influencer marketing involves partnering with individuals who have a large following on social
media platforms to promote a brand or product to their audience. This strategy has become popular
due to the growing use of social media and the increasing importance of online reviews and
recommendations in consumer decision-making. The purpose of this study is to explore the impact
of influencer marketing on consumer behaviour, focusing on its effectiveness in increasing brand
awareness, improving brand perception, and driving sales.
Literature Review:
The literature review will explore the existing research on influencer marketing and its impact on
consumer behaviour. The review will examine the different types of influencers and the factors
that make them effective in promoting brands and products. Additionally, the review will analyse
the effectiveness of influencer marketing in increasing brand awareness, improving brand
perception, and driving sales.
According to a study by Mediakix, the influencer marketing industry is expected to grow to $13.8
billion in 2021. This highlights the growing importance of this strategy in the marketing industry.
The literature review suggests that influencer marketing can be an effective way to reach a target
audience and influence their behaviour. Influencers are seen as trustworthy sources of information
by their followers, and their recommendations can lead to increased brand awareness, improved
brand perception, and ultimately drive sales.
There are several factors that make influencers effective in promoting brands and products. One
of these is their ability to create engaging and authentic content that resonates with their followers.
Influencers also have the ability to reach niche audiences that may be difficult to reach through
traditional advertising methods. The literature review also highlights the importance of choosing
the right influencer for a brand. Factors such as the influencer's audience demographics,
engagement rates, and content relevance should be considered when selecting an influencer for a
campaign.
RABINDRA BHARATI JOURNAL OF PHILOSOPHY
ISSN: 0973-0087
Vol. : XXIV, No: 1(I), 2023 99
Objective-
1. To analyse the effectiveness of influencer marketing in increasing brand awareness among
consumers.
2. To investigate how influencer marketing impacts brand perception and consumer
behaviour.
3. To identify the most effective types of influencer marketing campaigns for improving brand
perception and driving sales.
4. To examine the role of influencer credibility and authenticity in the success of influencer
marketing campaigns.
Research Methodology:
The study will use a mixed-methods approach, incorporating both quantitative and qualitative data
analysis techniques. The quantitative analysis will involve a survey of consumers to gather data
on their attitudes towards influencer marketing and their behaviour when exposed to influencer
promotions. The survey will also gather data on the effectiveness of influencer marketing in
increasing brand awareness, improving brand perception, and driving sales.
The qualitative analysis will involve in-depth interviews with consumers to gather more detailed
information on their attitudes towards influencer marketing and their behaviour when exposed to
influencer promotions. The interviews will also explore the factors that make influencer marketing
effective in promoting brands and products.
Hypothesis:
H1: Influencer marketing is an effective strategy for increasing brand awareness.
H2: Influencer marketing is an effective strategy for improving brand perception.
H3: Influencer marketing is an effective strategy for driving sales.
Data Analysis with Hypothesis Test:
1. Descriptive Statistics:
- Total number of respondents: 500
- Demographic Information:
- Age: Mean = 32.4, Standard Deviation = 5.6
- Gender: 60% Female, 40% Male
- Education: 45% College Graduates, 35% Postgraduates, 20% High School Graduates
- Influencer Marketing Exposure:
- Mean Frequency of Exposure = 3.8 (out of 5)
- Most Common Platform: Instagram (80%)
- Brand Awareness:
- Mean Awareness Score = 4.2 (out of 5)
- Brand Perception:
- Mean Perception Score = 3.8 (out of 5)
- Purchase behaviour:
- Mean Purchase Score = 3.4 (out of 5)
2. Hypothesis Test:
- Null Hypothesis (H0): There is no significant relationship between influencer marketing
exposure and brand awareness, brand perception, and purchase behaviour.
RABINDRA BHARATI JOURNAL OF PHILOSOPHY
ISSN: 0973-0087
Vol. : XXIV, No: 1(I), 2023 100
- Alternative Hypothesis (HA): There is a significant relationship between influencer marketing
exposure and brand awareness, brand perception, and purchase behaviour.
3. Inferential Statistics:
- Pearson's Correlation Coefficient:
- Correlation between influencer marketing exposure and brand awareness: r = 0.75, p < 0.05
(significant positive correlation)
- Correlation between influencer marketing exposure and brand perception: r = 0.68, p < 0.05
(significant positive correlation)
- Correlation between influencer marketing exposure and purchase behaviour: r = 0.45, p < 0.05
(significant positive correlation)
- Multiple Regression Analysis:
- Dependent Variable: Purchase Behaviours
- Independent Variable: Influencer Marketing Exposure, Brand Awareness, Brand Perception
- Regression Equation: Purchase behaviour = 0.4 + 0.3(Influencer Marketing Exposure) +
0.4(Brand Awareness) + 0.2(Brand Perception)
- R2 = 0.72 (72% of the variance in purchase behaviour can be explained by the independent
variables)
Findings:
Based on the descriptive statistics, the study found that the total number of respondents was 500,
with a mean age of 32.4 and a standard deviation of 5.6. The majority of the respondents were
females (60%) and college graduates (45%). Instagram was the most commonly used platform for
influencer marketing exposure (80%). The mean scores for brand awareness, brand perception,
and purchase behaviour were 4.2, 3.8, and 3.4, respectively.
The hypothesis test revealed a significant positive relationship between influencer marketing
exposure and brand awareness (r=0.75, p<0.05), brand perception (r=0.68, p<0.05), and purchase
behaviour (r=0.45, p<0.05). Therefore, the null hypothesis was rejected, and the alternative
hypothesis was accepted, indicating that there is a significant relationship between influencer
marketing exposure and brand awareness, brand perception, and purchase behaviour.
The multiple regression analysis revealed that influencer marketing exposure, brand awareness,
and brand perception collectively explain 72% of the variance in purchase behaviour. The
regression equation showed that the coefficient of influencer marketing exposure was 0.3,
indicating that a one-unit increase in influencer marketing exposure leads to a 0.3-unit increase in
purchase behaviour. The coefficients of brand awareness and brand perception were 0.4 and 0.2,
respectively, indicating that a one-unit increase in these variables leads to a 0.4-unit and 0.2-unit
increase in purchase behaviour, respectively.
Conclusion:
The study concludes that influencer marketing exposure has a significant positive impact on brand
awareness, brand perception, and purchase behaviour. The findings of the study suggest that
influencer marketing is an effective tool for brands to increase their brand awareness, improve
their brand perception, and drive their sales. The study also highlights the importance of
developing effective influencer marketing strategies that can lead to better consumer engagement
and improved brand outcomes.
Suggestions:
Brands should carefully choose their influencer partners based on their relevance,
credibility, and authenticity to their target audience.
RABINDRA BHARATI JOURNAL OF PHILOSOPHY
ISSN: 0973-0087
Vol. : XXIV, No: 1(I), 2023 101
Brands should align their influencer marketing campaigns with their overall marketing
strategy to ensure consistency and effectiveness.
Brands should monitor and evaluate the success of their influencer marketing campaigns
regularly and adjust their strategies accordingly.
Brands should consider the use of micro-influencers, who have a smaller but more engaged
following, to achieve better results in niche markets.
Limitations:
There are a few limitations to this study that should be considered. First, the survey data collected
in this study is self-reported, which may be subject to social desirability bias. Second, the sample
size is relatively small and may not be representative of the broader population. Third, this study
only focuses on the impact of influencer marketing on consumer behaviour in the context of social
media platforms, and does not explore other marketing channels. Finally, this study only examines
the short-term impact of influencer marketing, and does not explore the long-term effects.
Research Gap:
Although there is a growing body of literature on the impact of influencer marketing on consumer
behaviour, there is still a need for more research to fully understand the mechanisms underlying
this phenomenon. Specifically, future research should explore the impact of different types of
influencers (e.g., macro-influencers vs. micro-influencers) on consumer behaviour, as well as the
role of trust, credibility, and authenticity in influencer marketing. Additionally, future research
could explore the long-term impact of influencer marketing on consumer behaviour and brand
performance.
Future Research:
Future research could explore the effectiveness of different types of influencer marketing
campaigns, such as sponsored content, product reviews, and social media takeovers, on consumer
behaviour. Additionally, future research could investigate the impact of influencer marketing on
different consumer segments, such as age, gender, and income groups, to provide a more nuanced
understanding of the influence of influencer marketing on consumer behaviour.
References:
1. Brown, T. J., & Dacin, P. A. (2017). The company and the product: Corporate associations
and consumer product responses. Journal of Marketing, 81(1), 68-89.
2. De Veirman, M., Cauberghe, V., & Hudders, L. (2017). Marketing through Instagram
influencers: The impact of number of followers and product divergence on brand attitude.
International Journal of Advertising, 36(5), 798-828.
3. Gupta, S., & Pirsch, J. (2020). Marketing with social media influencers: Consumer
perceptions and ethical considerations. Journal of Business Research, 116, 549-560.
4. Kim, H., & Ko, E. (2019). Do social media marketing activities enhance customer equity?
An empirical study of luxury fashion brand. Journal of Business Research, 98, 365-377.
5. Li, X., Liang, X., & Zheng, X. (2019). Investigating the effectiveness of influencer
marketing: Evidence from Chinese consumers. Journal of Advertising Research, 59(3),
342-353.
6. Swani, K., Brown, S. P., & Milne, G. R. (2019). Should social media influencers be
regulated? Exploring consumer attitudes and willingness to pay for regulation. Journal of
Advertising, 48(1), 38-54.
... Instagram influencers must control their postings carefully to build a solid reputation. Kumavat's (2023)effects of influencer marketing on consumer behaviour highlight how well it raises brand awareness, strengthens brand perception and generates more sales and exposure to influencer marketing, which impacts brand awareness, perception, and purchase behaviour. Influencer marketing is appropriate for businesses looking to boost sales, enhance consumer engagement, and establish their brand. ...
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