Presenting a Paradigmatic Model to Analyze the Functions of Social Media in Customer Management and Sales

Document Type : Original Article

Authors

1 Ph.D., Department of Business Management, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, Mazandaran, Iran.

2 Assistant Prof., Department of Business Management, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, Mazandaran, Iran.

Abstract

Objective
While most sales and marketing teams believe there is a significant correlation between introducing products through social media channels and improving sales and profit margins, the success process model of social media in attracting customers and increasing sales has not been comprehensively identified. Social media and digital tools have transformed the business environment and business interactions. Understanding the factors affecting the success of these media in attracting customers and increasing sales, and understanding the interaction process of these factors, can lead to agility in the sales structure within today's technology-based context. This article examines this issue, analyzes the results of past research with a content analysis strategy, and through semi-structured interviews with experts, tries to present a multifaceted model for the success of social media in attracting customers and increasing sales for organizations using a grounded theory strategy. For this purpose, 14 in-depth and semi-structured interviews were conducted with experts on the research subject, who were selected through purposive and snowball sampling. The results of the interviews were analyzed using the structured grounded theory method. Then, combined with the model obtained from the content analysis stage, the process model of social media success in attracting customers and increasing sales was presented.
The Internet, social media, mobile applications, and other digital communication technologies have become part of the daily lives of billions of people around the world. According to recent statistics, in January 2020, 4.54 billion people were active Internet users, which comprised 59% of the world's population (Statistica a, 2020). The use of social media has become an integral part of the lives of many people worldwide. Social media technologies have changed people's daily work and personal lives and have transformed the business environment by providing organizations with more attractive opportunities to communicate with customers in a more effective way. In 2019, there were 2.95 billion active social media users worldwide. It is predicted that this figure will increase to 3.43 billion by 2024 (Statistica b, 2020). Digital marketing and social media allow companies to achieve their marketing goals at a relatively low cost (Ajina, 2019). People spend an increasing amount of time online searching for information, products, and services, connecting with other consumers about their experiences, and engaging with companies. Organizations have responded to this shift in consumer behavior by making digital and social media an essential and integral part of their business marketing plans (Stephen, 2016), significantly moving away from social media marketing becoming a separate element that is unable to profit from their business strategy (Dwivedi, 2021). Online media has changed the rules of the game, including purchasing practices for some companies (Singh, 2021). Social media enables companies to communicate with their customers, improve brand awareness, influence consumer attitudes, receive feedback, help improve current products and services, increase sales (Lal, 2020), and use it as a platform to run online campaigns in which marketing actions are carried out (Khang et al, 2012). Also, social media has increased the power of consumers and made them more aware of cultural and social norms, which has created serious challenges for organizations in formulating their social media strategies and plans (Kietzmann et al, 2011). A key goal for managers is to find ways to shape these discussions. However, while most sales and marketing teams believe that there is a strong correlation between introducing products through social media channels and improving sales and profit margins (Kim & Ko, 2012), the process model of social media success in attracting customers and increasing sales has not been comprehensively recognized. In this study, the researchers aim to analyze the role of social media in the purchasing behavior of customers of industrial products. By examining previous studies in this field, they seek to present a success model of social media in attracting and selling to customers, thereby making suggestions for improving strategies and enabling organizations to achieve more favorable results in this regard. Therefore, the purpose of this research is to identify the factors affecting the success of social media in attracting customers and increasing the sales of companies and to present its process model.
Research Methodology
Based on the purpose of this study, it is classified as applied research. It was conducted using a qualitative method and a grounded theory strategy. Data were collected through library research and semi-structured interviews with 14 experts. The resulting data were analyzed using the systematic approach of Strauss and Corbin. In the meta-synthesis stage, a theoretical-comparative analysis, which is the first step of multi-grounded theory, was done to determine valid, reliable, and relevant documents within an appropriate time frame. Finally, 136 related studies were identified, and in the next step, the found documents were qualitatively reviewed. After examining the selected texts, the codes were identified and presented in the form of codes, concepts, and categories after categorization. By extracting the factors affecting the success of social media from the meta-synthesis stage, these factors and concepts were incorporated into the interviews in a zigzag manner, and the interviews were conducted in a semi-structured format. Considering that the meta-synthesis stage focused on identifying factors affecting the success of social media in attracting customers and increasing sales, fewer causal factors, strategies, and consequences were found; after the grounded theory stage, these concepts were identified and the past research was reviewed again for confirmation. In the grounded theory part, the statistical population of this research included all specialists and experts in the field of digital marketing, online sales management, social media management, digital sales assistants, activists in the field of advertising and sales in social media, and university faculty members and professors in the field of business management, who were selected through purposive sampling.
Findings
After extracting the factors affecting the success of social media in attracting customers and increasing sales, these factors were categorized into a model. In the next stage, during interviews with the experts, the research strategy of grounded theory with Strauss and Corbin's approach (structured approach) was used. The structured approach is a systematic and qualitative method to create a theory that, on a broad level, explains the process, action, or interaction of a subject with a specific identity. In the first stage, the data obtained from each interview were analyzed, and the concepts related to the research were identified. The concepts obtained in the next step were placed in more general categories.
Discussion & Conclusion
Factors such as increasing customer engagement, improving customer relationship management, improving after-sales services, increasing profits, increasing customer satisfaction, increasing customer commitment, increasing customer loyalty, monitoring changes in customer tastes, developing competitive intelligence, increasing word-of-mouth advertising, dealing with negative word-of-mouth and destructive rumors, discovering market opportunities, developing branding activities, improving customer experience, and changing customer buying habits shape the consequences of implementing social media strategies to attract customers and increase sales.

Keywords

Main Subjects

References

 
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Media Management Review
Volume 4, Issue 2
2025
Pages 245-281

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