Professional Documents
Culture Documents
KATHMANDU
Submitted by:
Submitted to:
Apex College
Pokhara University
Kathmandu
October, 2020
DECLARATION
I hereby declare that the project work report entitled “Effects of Instagram on
Buying Behaviour of Youths in Kathmandu” submitted for the BBA is my original
work and the Project Work Report has not formed the basis for the award of any
degree, diploma, or other similar titles.
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CERTIFICATE
This is to certify that the Project Work entitled “Effects of Instagram on Buying
Behaviour of Youths in Kathmandu” submitted by (Name of the Student) (Roll
No.) for the partial fulfilment of the requirements of BBA embodies the bonafide
work done by him/her under my supervision.
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CHAPTER ONE
INTRODUCTION
1. Background
Instagram is an American photo and video sharing social networking service owned
by Facebook, created by Kelvin Sytrom and Mike Krieger and originally launched on
iOS in October 2010. Buying behaviour of consumer is the combination of a
perspectives, choices, and decisions while buying a product. Instagram is a worldwide
used social media network, which has been used as a marketing tool by many global
business companies. Instagram is a significant marketing tool that allows business
communication to take place. Through Instagram, marketers are able to interact with
their customers by sharing photos and videos and leaving comments as a way of
sharing information; receiving comments and likes as a way of gaining feedback from
customers [ CITATION Lim141 \l 1033 ].
There are one billion monthly active Instagram users in the world among them 72%
are teens and 35% are aged between 18 and 24 years and 35% aged between 25 and
34 years. 75.3 % businesses are advertised on Instagram and 70 % of new shopping
enthusiasts turn on Instagram for discovery of product discovery [CITATION Ins20 \t \l
1033 ]. Social media marketing is new trend in business brought by modern
technological environment. As the favoured mobile application platform among
youths, Instagram offers an attractive features and more friendly to be used. Instagram
is a social media that usually used for online shopping purposes, such as marketing,
brand exhibition, and advertisement. Millennial are the majority of online shopper,
due to their activities mostly connected to the Internet and smartphone uses in daily.
Hence, it is crucial to be know how and what is their attitudes and behaviour in online
shopping[CITATION And19 \t \l 1033 ].
3. Objectives of Study
The basic objective of this study is to examine the effects of Instagram on buying
behaviour of youths in Kathmandu. This study aims to explore the relationship of
Instagram on purchasing decision of cloths and foods in youths. Following objectives
are set in this study:
4. Review of literature
Instagram is a place for people to share their lives with friends and to learn more
about themselves. It connects people with business and activities related to lives.
Youths are highly attracted towards Instagram and Instagram links youths with
business.
Consumer behaviour is the study of how individuals, groups and organisations select,
buy, use and dispose of goods, services, ideas, or experiences to satisfy their needs
and wants (Kotler and Keller, 2006). Customers purchase decision is a complex
process. Purchase intention is related to the behaviour, perceptions and attitudes of
consumers. Purchase behaviour is a key point for consumers to access and evaluate
the specific product. Purchase intention may be changed under the influence of price
or perceived quality and value. In addition, consumers are affected by internal or
external motivations during the buying process (Gogoi, 2013). Consumer buying
behaviour refers to the selection, purchase and consumption of goods and services for
the satisfaction of their wants.[ CITATION Ram16 \l 1033 ].
Consumer behaviour refers to the selection, purchase and consumption of goods and
services for the satisfaction of their wants. There are different processes involved in
the consumer behaviour. Initially the consumer tries to find what commodities he
would like to consume, then he selects only those commodities that promise greater
utility. After selecting the commodities, the consumer makes an estimate of the
available money which he can spend. Lastly, the consumer analyses the prevailing
prices of commodities and takes the decision about the commodities he should
consume. Meanwhile, there are various other factors influencing the purchases of
consumer such as social, cultural, personal and psychological[ CITATION Gaj13 \l 1033 ].
Instagram is a free mobile photo-sharing application. It allows users to snap and edit
photos instantly and then share the photos to private photo-sharing community or to
the public which completely to be viewed by strangers who wish to do so on the
Instagram account. Photos and videos posted on Instagram can also be viewed across
various social media platforms such as Facebook and Twitter as long as the account
owner allows it. Instagram defines itself as “a free photo and video sharing app
available on Apple iOS, Android and Windows Phone where people can upload
photos or videos and share them with their followers or with a select group of friends.
They can also view, comment and like posts shared by their friends on
Instagram[ CITATION Rou19 \l 1033 ].
According to United Nations, for statistical purposes, defines those persons between
the ages of 15 and 24 as youth but youth are understood as a period of transition from
the dependence of childhood to adulthood’s independence in general. Definition of
youths differs from country to country. National youth policy of Nepal 2072 defines
youths as the pioneers and change agents of political, economic, social and cultural
transformation. They remain as the chief heritage of the nation due to courage,
creativity, learning competence and high degree of self-confidence which is also
considered to be the major source of nation building. The total population of the
people belonging to 16 to 40 years age group constitutes 40.3 % of the total
population in Nepal. The youths being the backbone of the nation from qualitative and
quantitative viewpoint, it is essential to make an overall development of the youths
and to bring their competence in the mainstream of national development.
One reason youths like to use Instagram is that it fosters relationships with their
friends and community at large. Instagram is the platform makes them feel more
connected to the people they know and being on Instagram gave them a sense of
community. Brands can tap into that sentiment by posting images that humanize their
brand and showcase their roots to the community[ CITATION Roe20 \l 1033 ].
The majority of user posts on Instagram are selfies. Whereas the primary motive for
Facebook posts is to establish relationships with others, Instagram is more for
personal use. Most people devote a lot of time and focus to Instagram; users first take
numerous pictures before uploading the most important picture to get praise and likes.
Social media users tend to feel good about them and are very sensitive to criticism.
Instagram utilizes the general need to pursue social validation, which gives users a
unique sense of satisfaction [ CITATION Ann \l 1033 ]. Female students notice Instagram
ads more than male students do; heavy users have stronger motives than light users do
and thus mostly gave higher average scores; over half of the design majors followed
artisans and celebrities (including designers); female students use Instagram to escape
awkward situations more than male students do, and male students want to promote
themselves more than female students do[ CITATION Hua18 \l 1033 ].
There are one billion monthly active Instagram users globally. The average post on
Instagram contains 10.7% hashtags.71% of the billion monthly active users on the
Instagram app are under the age of 35 who spend an average of 53 minutes per day.
On average 500 million Instagram accounts use Instagram stories every day. The use
of the ad hashtag(#) on Instagram increased by 133% from February 2018 to February
2019. Instagram can generate over 4 times more interactions on Instagram compared
to Facebook.71% of US businesses use Instagram. Instagram helps 80% of Instagram
users decide to buy a product or service.50% of Instagram users follow at least one
business[CITATION Moh20 \l 1033 ].
Internet provides an opportunity for users to participate, develop and update any
information. Internet provides the platform to generate content where the users
produce content of information by user themselves. Instagram which is initially only
serves as a media for online photography evolve effectively in advertising, promotion,
marketing, distribution ideas/goods and providing information services fast, precise
and accurate (Hoffman & Novak, 1996; Doolin et.al, 2002; Sweeney, 2000).
Social media also provide the marketers an easier way to understand their customers.
In the case of Instagram, leaving comments and receiving comments on the photo
posts can gain more feedback from the customers on the product. Followers are often
interested to see the interaction between the organization and the users, so being
attentive to the comments would help in improving the relationship with customers.
People use Instagram for keep up with friends and marketing and
advertising[ CITATION Den14 \l 1033 ].
Instagram which is initially only serves as a media for online photography evolve
effectively in advertising, promotion, marketing, distribution ideas/goods and
providing information services fast, precise and accurate. The presence and
combination of social media with the integrated mobile technology such as mobile
phone make the capture activities become enjoyable and easier [ CITATION Nov96 \l
1033 ].
Peselle (2016) states that while advertising on Facebook may reach more people and
be cheaper at the moment, Instagram allows reaching especially young demographics
with precise targeting and improving brand image through visually striking
advertisements that are clever in. For example, displaying the advertised product in
the environment in which it is used. Additionally, the 60-second video advertisements
make compelling storytelling possible, and informing customers about current
promotions and sales can take place on Instagram in a way that creates a positive
mental image and encourages participation – increasing engagement even to the point
of advocacy, which is free, yet immensely valuable for any company.
4.4 Instagram As a Marketing Tool
Various visual contents are bringing about profound changes to human social systems.
In the era of social media, this marks a significant omission in our understanding of
visual analysis regarding consumer behaviour. Framing the visual as a feature of the
attention economy has shifted the unconscious observation to an insightful
explanation for how digital instrument positions the social media users to view and
post content in traceable ways. Driven by attention economy, image posts on
Instagram encourage capital-seeking behaviour of influencers, which in turn brings
them financial and social success, not to mention the possibility that any user can
strategic item placement and capitalize on selfies. The effects of image-based dietary
communication provide implications for visual communication to replicate and
expand upon the successes of the influencers in the public interest. The results also
have implications for advertising and the use of social media within
marketing[ CITATION Yan19 \l 1033 ].
5. Methodology
Research methodology covers the type of research design used for undertaking,
population and sample, sampling process, source of data, data collection procedures
and analytical tools that will be used to analyse the data and develop the relationship
between purchase decision influencing factors and buying behaviour of youths in
Kathmandu. Research design is an overall framework or plan for the activities to be
undertaken during the course of research activities. The research design of this study
is descriptive and correlational. This study investigates the effects of Instagram on
buying behaviour of youths in Kathmandu. Nepalese people who reside in Kathmandu
valley will be the sample frame of the study. The appropriate sample size of the
respondents will be taken through convenient sampling method. This study is based
on primary source of data. The questionnaire will be used to collect the data required
for undertaking the proposed study. Sample size for the study will be 50. Correlation
Analysis will be carried out to examine the association between independent variables
and dependent variable.
6. Theoretical Framework
There are psychological factors, sociological factors, design factors and Information
factors which affect the purchasing behaviour of youths but here we are particularly
diagnosing the factors or features Instagram have which may affect the purchasing
behaviour of modern customers. The tools on Instagram like Instagram Ads,
Partnership with influencers, Hastags & product tags and Instagram stories helps in
marketing activities through Instagram. So, in this research Instagram Ads,
Partnership with influencers, Hastags & product tags and Instagram stories are
considered as independent variables and purchasing behaviour of youths are
considered as Dependent variable. Relationship between independent and dependent
variable can be illustrated by following figure;
Instagram
Advertisement
Partnership with
Influencers Purchasing
Behaviour of
Product tags
Instagram stories
7. Operational Definition
Instagram Ads- Instagram Ads have a high conversion rate, helping you gain more
customers. It is easy to target your ideal audience with Instagram Ads creating Ads is
not expensive.
Use Stories- Engage with your Audience by using Instagram stories, utilizing features
such as polls, quizzers and questions to interact with your followers. This is also a
great way to go behind the scenes and humanize your brand.
Hastage- Relevant Hastags(#) will help categorize your post and get them in the hands
of your target audience.
8. Research Hypothesis
Based on the theoretical framework following hypothesis are proposed as follows:
H1: There is significant relationship between Instagram Ads and buying behaviour of
youths in Kathmandu.
H3: There is significant relationship between hastag(#) & product tag on Instagram
and buying behaviour of youths in Kathmandu.
H4: There is significant relationship between Instagram stories and buying behaviour
of youths in Kathmandu.
CHAPTER II
DATA PRESENTATION AND ANALYSIS
The purpose of this study is to explore as to how Instagram affect the youths’ buying
behaviour. This exploratory research is trying to understand how these social
influencers play a vital role in the Instagram in the dissemination of information to
their targeted audience base (in this case, Youth). All the information that is gathered
for the study to answer the research questions and to meet the objectives of the study,
are thoroughly analysed and interpreted.
2.1.1Gender
Table 1: Gender
Male 20 40.00%
Female 30 60.00%
Other 0 0.00%
Total 50 100.00%
Figure 1: Gender
Gender
40% Male
Female
60% Other
35
30
30
25
Frequency
20
20
15
10
5
0
Male Female Other
There were total fifty respondents from which data were collected. Among them total
number of females were 30 and males were 20. The table 1 and fig 1, data displays
that 60% of the total respondents were female and 40% of them were male.
2.1.2 Age
Table 2 Ages
Fig 2 Ages
90%
90%
80%
70%
Age (in years)
60%
50%
40%
30%
20% 8%
2%
10%
0%
13- 17 years 18- 29 years 30- 40 years
Age Group
Age is one of the major demographic factors to affect population characteristics. In
this research majority of the respondents are of young age which is also has been
mentioned as the limitation of the research. Table 2 represents that out of 50 samples
4 of the respondents were of age 13 years to 17 years, 45 of them were of age group
18 to 29 years and one of them was of 30 to 40 years of age group. Fig 2 displays 8
%, 90% and 2% of the total sample for age group 13 to 17, 18 to 29 years and 30 to
40 years respectively. Data shows that Maximum Instagram users are from the age
group of 18 to 29 years.
2.1.3 Education
Table No 3: Education
Bachelor 19 38.00%
Masters 0 0.00%
Ph.D. 0 0.00%
Figure No 3: Education
There are 50 total respondents in sample survey among them 19 are from university
level and 31 are from high school degree. Which comprises 38% respondents are on
bachelor degree are 62 % are on high school degree. It shows that all the Instagram
users are from either high school or bachelor degrees. Youths from school level and
above the bachelor degree are zero.
Married 3 6.00%
Single 46 92.00%
Divorced 0 0.00%
Separated 1 2.00%
Total 50 100.00%
Among 50 respondents 46 are single, 3 are married and 1 is separated. It shows that
majority of Instagram users are single and only 8% respondents are married who use
Instagram.
Among 50 total
respondents 30
respondents spend
less than Rs 1000 on
online shopping, 15
respondents Rs 1000 to Rs 5000 and 5 respondents spend more than Rs 5000 on
online shopping. It shows that majority of respondents spend less than Rs 1000 on
online shopping.
The questionnaire was based on 5- point Likert scale ranging from “5- strongly agree
to 1- strongly disagree”. Following is the categorization of scale:
1- Strongly disagree
2- Disagree
3- Neutral
4- Agree
5- Strongly agree
Altogether twenty-two opinion statements were to measure four different variables
and they are “Instagram Advertisement”, “Partnership with influencers”, “Instagram
stories”, and “Hastag(#) and product tag ”. Mean and Standard deviation is calculated
to summarize and interpret the collected data.
Instagram Advertisement is one of the variables which influence the buying behaviour
of youths. There are six statements presented on the research to measure the
relationship between Instagram Advertisement and buying behaviour of youths. In
this research likert scale is used to measure the relationship.
As mentioned in table 7 Respondents responded that they don’t tap on Hastag product
name and price. Respondents have reported as neutral on the statement that they tap
on the # product name and price because they reported that they are unfamiliar with
Hastag(#) have mean of 2.9183 and standard deviation 1.2388 but respondents have
agreed upon the statement that photos and videos shared in Instagram attracts them
and they share the post with friends and also follow the pages for new updates with
mean respectively 3.54, 3.9 and 3.62. Among four statement related to Hastag and
product tag majority of respondents agreed that photo and video quality on Instagram
attract them with highest mean 3.9 and lowest standard deviation 0.8390. In
conclusion majority of respondents are not familiar with Hastag(#) facility On
Instagram but photos and videos quality posted on the Instgram attract them.
2.2.4 Descriptive Analysis of Instagram Stories
Above mentioned table 8 shows that Instagram stories of product and services on
Instagram are usually checked by respondents. They agree that respondents usually
check their Instgram stories without skipping the Ads stories mean 3.82 and standard
deviation 0.8497. Majority Respondents swipe up the stories posted by business to
check products and they also find that Instgram stories and polls are interactive. On
the other hand Photos and videos used in Instgram encourage the most as majority of
respondents strongly agreed with average score 3.9 and lowest standard deviation
0.8114. Quizzers and polls are also found to be encouraging interactive as majority of
agreed on the statement. In conclusion, Instagram stories are Interactive, effective,
encouraging and that is supported by quality of photos and videos posted On
Instgram.
Bibliography
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consumer behaviour. Sultan Qaboos University, Information System
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Anwar, R. K., Khadijah, u. L., Fatma, D., & Rahman, M. T. (2020). The Impact of
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Ashley Ha. (2015, 6). An Experiment: Instagram Marketing Techniques and Their
Effectiveness. Retrieved from CAL POLY:
https://digitalcommons.calpoly.edu/comssp/185