Social Media Marketing and the Impact on Sales : A case study of Prisma

In this age of social media, most marketers have been using social media marketing to improve their brand visibility and develop strong customer relationships. The reason behind using social media marketing by retailers includes low costs, strong interactivity, and the increasing number of subscribers that lead to increased sales. This research study evaluates social media marketing and its impact on sales focusing on a renowned Finnish retail chain supermarket named Prisma. This study tries to identify the most significant factors impacting the use of social media marketing on sales in the Prisma retail chain. To research objectives, primary data has been collected using an exploratory survey in which the sample consists of 50 respondent’s employees of Prisma supermarkets with experience in implementing social media marketing on their business sales. In this study, six important independent variables have been identified such as brand awareness, customer engagement, content sharing, customers’ feedback, communication, and customer relationship, and measured their impact on sales of Prisma. To realize the relationship between independent variables and dependent variables Pearson’s correlation analysis has been applied using SPSS software. Moreover, descriptive statistical analysis, descriptive frequency analysis, and multiple regression analysis have been used here to realize the impact of independent variables on Prisma's dependent variable (sales performance). The research results depict that brand awareness and customer engagement, communication, and customer relationship significantly affect the sales of the retail chain whereas content sharing and customer feedback have not significantly affected the sales of Prisma however, there is a moderate correlation with the sales. Overall, customer relationships, brand awareness, communication, and engagement have proved the most significant factors of social media marketing impacting sales of Prisma