SPONSORED BY __: A STUDY ON THE IMPACT OF SPONSORING SOCIAL

MEDIA INFLUENCERS TO PROVIDE BRAND AWARENESS OF SMALL

INSTAGRAM COSMETIC BUSINESSES IN THE PHILIPPINES

A Thesis Proposal

Presented to the Faculty of the

Silliman University Senior High School

Dumaguete City

In Partial Fulfillment of the Requirements

For Research in Daily Life 2

Oona Marie M. Ablir

Jeselle A. Alap-ap

Jasmine Rose N. Jones

Chaewon Lee

Adrienne D. Villafuerte

December 2020
Sponsored by __: A Study on the Impact of Sponsoring Social Media

Influencers to provide Brand Awareness of Small Instagram Cosmetic

Businesses in the Philippines

O.M. Ablir
Silliman University, Senior High School, Sibulan. Philippines
J. Alap-ap
Silliman University, Senior High School, Dauin,Philippines
J.R. Jones
Silliman University, Senior High School, Sibulan. Philippines
C. Lee
Silliman University, Senior High School, Pyeongnae Namyangju-si Gyeonggi-do, Korea
A. Villafuerte
Silliman University, Senior High School, Cebu City. Philippines

ABSTRACT: This research aims to study the impact of small instagram makeup businesses,
located within the Philippines, sponsoring social media influencers to increase brand awareness of
their products and to improve their overall operation performance. As ecommerce has become a
new normal, new brands arise to compete in the market. The influencer marketing strategy has
become a considerable option for online businesses to switch to as customers now prefer to have
interactions with brands through the engagements of the marketer. The Causal Quantitative
research design will be used to understand the impact of sponsorship to the brand’s sales and
customer growth. The participants will be five small instagram cosmetic businesses chosen using
the Quota sampling technique. The research will be conducted online through online survey forms
to assure safety of the participants during the Covid-19 pandemic lockdowns. Data gathered by the
surveys will be analyzed and kept confidential for the study.

1 INTRODUCTION
In today’s modern time where digital media is prevalent in almost every aspect of daily life, online
influencers and personalities are a common sight in all forms of media, all having their own
followers who follow and support them for their content. This new technology is readily available
to most if not all who can own a simple smartphone, with nine-in-ten Millennials and 90% of Gen
Xers owning a device such as a smartphone that can connect to the internet and access the many
social media platforms(Vogels, E.2020). These social media provide a multitude of content that all
the users post , share and consume. according to Vogels, E. (2020) , approximately 86% of
millennials , and 76% of Gen Xers use social media. This is already a large audience, considering
the current population count of millennials and Gen Xers.
These social media platforms don't only showcase content from their users but content from
brands and companies who pay for their products and services to be advertised by the platform, and
all its users. With the new and improved algorithms implemented into these platforms , the
advertisements will be showcased to the right audience. Online marketing , especially those in
social media and those that utilize online influencers, relying on word of mouth to market their
products ,are one of the most cheapest methods of marketing and have been proven to be effective
( Javed, L. 2013).
One of these social medias that has an abundance of marketers and influencers is Instagram.
Instagram is a free photo sharing social media platform which allows users to upload short videos
and photos and to caption these photos in a post which can viewed in the user’s public or private
account (Rouse,.M. 2017). Instagram is famous for hosting a multitude of famous online
personalities that have garnered a large amount of followers. The platform is also known for
advertisements from small and large companies. These advertisements may come in paid sponsored
ads by Instagram itself or sponsored content from influencers. These sponsorships all come in
many forms and have different sets of terms and conditions that both the influencer and business
must follow. The influencer may follow up with these sponsors by showcasing the company’s
products and pushing their audience to purchase said product. The influencer may provide links,
tutorials or samples of the product depending on the agreement. Depending on how well the
sponsorship went ,the influencer can improve brand awareness and increase brand preference
(Anjali, C., Vrushali, A., & Sonali, J. 2020).
Brand Awareness is one of the key factors that can aid in the success of a business. And
depending on the reputation and the trustworthiness of the influencer that was sponsored by the
business , the branded or sponsored post will be affected. The more positive and trustworthy the
influencer, the engagement of the post will improve, therefore bringing good brand awareness to
the sponsoring business (Lou, C., & Yuan, S.2019)
The Internet is the key to the new world of business which is important in opening boundless
opportunities. The emerging from traditional to the new style of business was evident over the last
few years, hence, the beginning of online business. It engages in a new way of purchasing and
selling, such an approach would create a big impact in all resources, including in the skills,
financial, learnings, equipment, facilities, and construct new resources, like software and protocols.
On the ground of this, from the processing of product, the shipment, and the service, everything
will change. The benefits of online business are reliance, certain increase of sales, the
development of the business, and brand awareness (Ahmadinejad et al, 2017). The interaction of
people with one another is changing, in gathering information, and changing how business and
governments share information and deliver services. Most of these people used Social Media such
as Facebook, Instagram, and twitter to access the online world. Because of this, Entrepreneurs have
seen the advantage of using these platforms in growing business. Its accessibility to anyone made it
less complicated in reaching potential costumers and promoting their products. Instagram is one of
the most effective platforms that most women entrepreneurs used to sell and promote a business.
(Alkhowaiter, 2016)
Advertising has changed for the past few years, putting pressure on brands to consider new
advertising sources.This is one of the most popular avenues today in the beauty industry that
influences marketing. Social media influencers are a recent addition to the field of advertising and
important is placed on the target audience. Baker (2018) conducted a study to explore social media
influencers as an advertising source for the cosmetics industry. The finding of the research shows
the importance for brands to ensure the life of social media influencers that represent the similarity
with the buyer.
 Social media influencers are people who garner influence and credibility by creating
content on online platforms and gaining large amounts of followers online. They can persuade their
followers based on their recommendations and point of view (DMI,2019).
The Cultivation theory by George Gerbner (1960) states that, “by overemphasizing certain
aspects of social reality (such as violent crime) and under-representing other aspects, television
drama affects people’s perceptions of reality”. This theory implies that the media will focus on the
more specific aspects of the media and ignore certain aspects to sway the perceptions of the
masses. While in the Magic Bullet Theory, also known as Hypodermic Needle Model by Harold
Lasswell (Bajracharya,S. 2018), states, “Armed to the gills, the mighty mass media takes aim and
“shoots” messages at a passive and impressionable audience” which implies that media injects
messages into the masses and determines what the people shall focus on. Influencers often find
their content by riding the trends and gaining views through their content that revolve around the
current trending topic. Influencers use these techniques to garner followers and views. The
cultivation theory explains how trends are popular and at times sway the actions of the masses. The
Magic bullets theory on the other hand explains how media influencers are in a way, sending
messages to those in the general audience.
In the Media Effects theory explains how media influences the perceptions of the masses (Borah,
2016). The theory consists of other theories such as the Uses and Gratification theory of media
where according to Papacharissi (2007) explains that “consumers use the media to satisfy specific
needs or desires.” This means that media is a source of entertainment, information, communication
and self-expression. This theory explains how influencers were even popular. People long for
entertainment, connection and self-expression and one way to have those is in an influencer. In a
way people see influencers as a trusted person who they go to for entertainment and information.
The Cultural Theory of Buying Behavior where the consumer is swayed by their culture
and values. That your social class, occupation, income, education, group membership, family and
friends can influence your buying behavior (Penn,2020). This theory shows how influencers sway
their audiences, since they are technically in one big community where the influencer is the best
source of information. If the influencer provides a recommendation, chances are their audience will
take that recommendation.
The hierarchy-of-effects theory is an advanced advertising strategy in that it approaches the
sale of a good through well-developed, persuasive advertising messages designed to build brand
awareness over time (Lannes, 2018). The theory follows 6 steps to ensure the customer wants to
purchase the service or product. These steps are awareness, interest, evaluation, conviction,
purchase. Influencers can bring all of these to business by simply showing the product to their
audience. They bring brand awareness by showcasing the product. They bring interest and
preference by associating the product to their social media. And lastly purchase due to the audience
having trust with the influencer and in their recommendations.
 Figure 1.1 Conceptual Framework of the study

Many studies have conducted qualitative analysis on the factors (authenticity, engagement
with followers, follower count, and likeability) that determine the impact of Instagram and youtube
influencers to their audience’s behaviour (Woods, 2016 ; Glucksman, n.d.). Another study sought
to find the effectiveness of the influencer marketing strategy through the perspectives of social
network users (Zeljko et al., 2018). However, these studies have all been conducted outside of the
Philippines and studies of using influencer marketing in small online Filipino businesses are
limited. An article by Llamas (2019) enumerated the four main challenges of the Philippine digital
marketing industry that they need to overcome; one of them being that “customers expect an
improved experience with every engagement” (para. 7). This implies that customers desire to have
a personalized interaction with the suppliers through the marketer.
For this reason, this study aims to investigate the overall impact of sponsorship on small
Instagram cosmetic businesses located in the Philippines, its significance in relation to the
businesses’ sales and follower count before and after the influencer promotes a product..
The study aims to examine how the sales, customer growth, and follower count of the
small cosmetic business is affected by influencer sponsorship and by gathering information
through these questions can help identify data:
1. How is the sales of the small cosmetic business affected by the sponsorships?
2. How does the sponsorships affect the customer reach and growth?
3. How is the follower count of the business affected by the sponsorships?
It is generally hypothesized that the influencer marketing strategy will increase the brand
awareness of small online businesses. Specifically, the following hypotheses will be also be tested:
1.) The sales of the businesses will be positively affected by the sponsorships.
2.) The sponsorships will cause a sudden influx of new buyers and customer activity
3.) The sponsorship will increase the follower count of the business.

This study will be conducted to observe the quantitative impact of sponsoring social media
influencers to increase brand awareness of small Instagram cosmetic businesses in relation to
change in sales and growth in the follower count of the business. The research for the local
instagram cosmetic businesses will be conducted online through the private messaging of the
Instagram social network with brands only located in the Philippines. The research aims to mainly
focus on the quantitative impact on the businesses’ operation after sponsoring an influencer and the
benefit they gained from the marketing strategy. Finally, prior to the concern of the Covid-19
pandemic safety protocols, this research will be conducted online.
The findings of the study will contribute to the benefit of the following:
The small instagram cosmetic businesses can re-evaluate their marketing methods and take
into consideration the option of influencer marketing and its benefit to having access to a larger
audience provided by the influencer. Choosing this method will attract customers' trust and desire
to buy more through the credibility of influencers being sponsored. Through this, brands may also
be able to gain a healthy collaboration with their partnered influencer and continue making deals in
the future.
Social Media Influencers who are part of the beauty industry will be able to gain monetary
compensation for sharing and reviewing a brands makeup product to their followers. Through this
study, they will acknowledge that their actions will aid in growing the brand’s awareness and
number of customers.

The following terms that are used within the study are provided with their operational
definition
➢ Impact – refers to the score of the cosmetic businesses in terms of the number sales, the
change of the number of customers, and follower count before and after sponsoring a
product.
➢ Brand Awareness – the extent to which consumers are familiar with the distinctive
qualities or image of a particular brand of goods or services.
➢ Social Media Influencer – refers to the Instagram users who have built credibility
from their content and who can influence a large audience with the basis of their
recommendations. These Instagram users have made a brand deal with the cosmetic
brand to advertise their product.
➢ Small Instagram Cosmetic Business – refers to the cosmetic brands that use Instagram as
their platform for the display and transactions of their products. These brands have a
follower count ranging from 2,000 followers to 10,000 followers.
➢ Follower Count- refers to the numbers of the followers appearing the instagram accounts
of the Cosmetic brands and Instagram Influencer.
➢ Demographic Profiles of the Small Cosmetic Businesses – refers to description of the
small cosmetics businesses regarding their brand name, city, province, industry, instagram
account name, follower count, and period of activity.
➢ Sponsoring – the act of negotiating a monetized brand deal with the sponsor to advertise
the sponsor’s products and services.

2 METHODOLOGY

2.1 Research Design

The design that the researchers will use for the research will be the Quantitative Causal-
Comparative research design. The researchers will study the quantitative impact of the small
instagram cosmetic businesses operations in regards to change in sales, growth of customers, and
follower count after sponsoring influencers to promote their products. Through this research
design, the researcher can gain the specific answers and information required to fulfill conclusions
and discuss recommendations.
 2.2 Research Environment
The research will be conducted online to comply with the safety protocols of the COVID-19
pandemic and to insure the health of the participants. The research will be conducted nation-wide
for small cosmetic businesses located within the Philippine Islands. The study will take place
virtually through the social media network of Instagram to communicate privately and directly with
the chosen participants.

2.3 Research Participants

The participants of the study will consist of five small instagram cosmetics businesses located
within the Philippines. These participants will be identified through the Instagram social media
network with consideration of the following requirements: the cosmetic brand’s official instagram
account has a follower count no less than 2,000 followers and no greater than 10,000 followers, the
cosmetic brand has identified its official collaborating influencers through a post, and they must be
based or located within the Philippines. Since the nature of the study requires a specific
population, the participants will be chosen through the Controlled Quota Sampling Technique; a
non-probability sample method in which the researchers create a sample from chosen individuals
that represent a population.

2.4 Research Instruments

The tool needed to gather data will be an online survey questionnaire in the form of a Google Form
to insure safe and non-physical communication during the Covid-19 pandemic. The questions the
researchers gathered for them to answer will be based on the related literature they have searched
about brand awareness and the influencer marketing strategy.

2.5 Data Analysis Procedure

The data will be analyzed separately in accordance with the Causal Quantitative research design.
Data collected will use the Cross Tabulation Quantitative Analysis method.

2.6 Data Gathering Procedure

The researchers will initially contact the participants through direct messaging in Instagram to
confirm their participation in this study. The participants will be provided a letter attached with the
questionnaires in the form of google forms. The data will be collected by the means of structured
questionnaires that correlate to the study. The data gathering will be performed by the researchers
after receiving consent from the local cosmetic brands chosen to be investigated in the study.

2.7 Ethical Considerations

The researchers will personally ask the respondents if they will be allowed to include them in
this research and communicate a clear and honest description of the purpose and the reasoning of
the study, and their involvement in it. If the participants refuse to be included in the study, the
researchers will courteously understand if they wish to be omitted from the project and will
respectfully cooperate and negotiate with their terms if they were to agree. The participants will
be provided and credit them for their part in the study. The researchers will be transparent on their
responses and will not tamper with the given data. Incomplete and dishonest data will not be
included in the research to omit any form of deception and false information, The data collected
will only be available to the researchers and will not be disclosed to anyone outside the research
and to the other participants. Data will only be used only for the study and nothing else.
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