PEOPLE’S PERCEPTION ON THE IMPACT OF SOCIAL MEDIA IN MANAGING BRAND REPUTATION IN CRISIS
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TITLE PAGE
Certification
Dedication
Acknowledgement
Table of Content
List of Tables
ABSTRACT
CHAPTER ONE: INTRODUCTION
1.1 Background of the study
1.2 Statement of the problem
1.3 Objective of the study
1.4 Research Questions
1.5 Research hypotheses
1.6 Significance of the study
1.7 Scope of the study
1.8 Limitation of the study
1.9 Definition of terms
CHAPTER TWO: REVIEW OF LITERATURE
2.1 Conceptual Framework
2.2 Theoretical Framework
2.3 Review of Empirical studies
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Introduction
3.2 Research Design
3.3 Population of the study
3.4 Sample size determination
3.5 Sample size selection technique and procedure
3.6 Research Instrument and Administration
3.7 Method of data collection
3.8 Method of data analysis
3.9 Validity of the study
3.10 Reliability of the study
3.11 Ethical consideration
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
4.1 Data Presentation
4.2 Answering Research Questions
4.3 Test of Hypotheses
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION
5.1 Summary
5.2 Conclusion
5.3 Recommendation
References
Appendix
ABSTRACT
The aim of this study to examine People’s perception on the Impact of social media in managing brand reputation in crisis using MINIMIE Chin-Chin in Portharcourt metropolis of Rivers State. Survey research design was employed for the study and with the aid of convenient sampling technique 80 respondent who are consumers of MINIMIE Chi-Chin in Portharcourt metropolis was selected as the participant for the study. 80 well structured questionnaire was issued to the respondent of 70 were retrieved and validated for the study. The data obtained were analyzed using frequency, simple percentage, mean and standard deviation. Hypothesis test was conducted using Chi-Square statistical tool (SPSS v.23).
Findings from the study reveals that a high level of social media integration with the management of other media is a sufficient condition for high levels of perceived improvement of both brand awareness and brand reputation during crisis. Findings from the study also revealed that the importance of social media cannot be overemphasized as good brand reputation implies soar in sales, profit, high competitive edge, brand loyal and customer satisfaction. the study therefore recommends that Corporate organizations should embrace the use of social media in planning their marketing communication and as well use it as tool to resolve possible crisis affecting their reputation.
CHAPTER ONE
INTRODUCTION
- BACKGROUND OF THE STUDY
Portraying a positive image and maintaining a good reputation is arguably an important part of long term planning in every organization. By managing a crisis effectively and efficiently, the positive perceptions of stakeholders and the public are vital to an organization. An important strategy in managing a crisis is the use of various types of social media in order to communicate with the public to convey current information about an issue or crisis in the fastest and easiest way while building and maintaining the trust of and relationships with the stakeholders.
Due to the emergence of social media consumers are increasingly taking an active role in the co-creation of marketing content and their sharing of experiences about companies, their brands and their corresponding products and services. Text messages, tweets, Facebook protest sites, blogs and digital videos enable individuals to create, share and recommend information (Gaines-Ross, 2010). Social media enables firms to engage in a dynamic two-way communication with the customer. However, companies adopting social media as a means of communicating and information exchange must accept that they are losing a part of their control to the consumer (O’Brien, 2011).
As social media represents a huge opportunity for marketers in terms of word-of-mouth referrals, it additionally has to be considered that negative word-of-mouth on the web is a severe phenomenon which has to be prevented by all means. When online complaints or negative online interactions between consumers occur on social networking sites, anti-brand communities or micro blogs, it can have a negative impact on the perception and evaluation of brands and a detrimental effect on the consumer’s decision-making process (Noort & Willemsen, 2011).
Since the rise of the Internet and mobile Internet, worldwide communication has become accessible at nearly no cost, for almost everyone, almost everywhere and at almost all times (Nitzan & Libai, 2011). This technological development was the basis for the establishment and of social media interaction. Social media applications are basic instruments for interpersonal communication, communication from persons to audiences or even communication with institutions. They enable to share experiences with products or services publicly by providing a certain degree of anonymity (Krishnamurthy & Kucuk, 2009).
For the field of reputation management this implicates that stakeholders are able to communicate about issues concerning a particular company nearly effortless by using social media. The importance for businesses of this change becomes clear when they realize that “Anyone can say anything about any topic” (Allemang & Hendler, 2011). As Osswald, Portmann, and
Meier (2011) mention, this means that even if a person does not have explicit knowledge about a topic he talks about online, his word can be spread around the world. Another important, and maybe the most important, change is the shift of control about an organizations’ information that is discussed publicly.
The study of brands has been gaining relevance once the strengthening of brand equity could represent an increase in the productivity of marketing investments (Aaker, 1996a; Keller, 1993). People understand brands by observing their manifestations and the more these are coherent and consistent with their initial proposal, the better the consumer will understand the design of the brand (Semprini, 2010). However, a manifestation that fails to be consistent with the design of the brand could weaken it, as in cases of brand crisis. Brand crisis could be caused by product failure, social responsibility gap, corporate misbehavior, executive misbehavior, poor business results, spokesperson misbehavior and controversy, loss of public support or controversial ownership (Greyser, 2009). Therefore, this study focuses on People’s perception on the Impact of social media in managing brand reputation in crisis, using Agege local government as a case study.
1.2 STATEMENT OF THE PROBLEM
Many businesses and especially marketers still underestimate the tremendous effect of the power and influence social media can have. Although companies recognize the need to be active in social media, they do not truly understand how to do so effectively (Hanna et al, 2011). Companies have been observed to either do nothing, hire a social media manager or to outsource social media communication to an agency (vor dem Esche & Henning-Thurau, 2013).
Nowadays, in crisis situations, technological advances are transforming and disseminating information to the affected communities in the fastest and easiest ways (Veil, Buehner & Palenchar, 2011). These methods include micro blogging, blogs, social networking sites (Facebook, Twitter, LinkedIn, Instagram, YouTube), video sharing, content driven communities as well as professional networks (Walaski, 2013). During a crisis, it is important for an organization to communicate their response regarding the crisis with the organization’s stakeholders (Modeus, Paulsson & Olsson, 2012). These problems make it glaring that there is a need to carry out a study on People’s perception on the Impact of social media in managing brand reputation in crisis.
1.3 OBJECTIVES OF THE STUDY
The general objective of this study is to examine People’s perception on the Impact of social media in managing brand reputation in crisis. The specific objectives of the study are:
1. To find out if organizations uses the social media in managing brand reputation in crisis
2. To investigate the advantages and disadvantages of social media in managing brand reputation in crisis.
3. To ascertain the credibility of the social media in managing brand reputation in crisis
4. To determine the impact on the organization’s reputation and image when utilizing social media as a platform during a crisis.
1.4 RESEARCH QUESTIONS
The relevant research questions related to this study are:
1. Do organizations uses the social media in managing brand reputation in crisis?
2. What are the advantages and disadvantages of social media in managing brand reputation in crisis?
3. What is the credibility of the social media in managing brand reputation in crisis?
4. What is the impact on the organization’s reputation and image when utilizing social media as a platform during a crisis?
1.5 RESEARCH HYPOTHESIS
H1 – organizations utilize the social media in managing brand reputation in crisis.
H0 – organizations do not utilize the social media in managing brand reputation in crisis.
1.6 SIGNIFICANCE OF THE STUDY
This study will be relevant to readers because it will provide the reader with a dense understanding of the research field of reputation management in crisis situations in the age of social media. This understanding will be based on the ‘seven functional building blocks of social media’ as discussed by Kietzmann, Hermkes, McCarthy and Silvestre (2011), which serves as base frame for the understanding how organizations are or can be affected by social media. Through this study, key concepts such as crisis, crisis management, crisis communication and social media will be defined and explored with recent insight and overviews from academic practices in order to clarify the importance of why an organisation should consider social media as a crisis communication platform.
1.7 SCOPE OF THE STUDY
The scope of this study borders on People’s perception on the Impact of social media in managing brand reputation in crisis. The specific objectives of the study are: To investigate the advantages and disadvantages of social media in managing brand reputation in crisis. The study is therefore delimited to customer’s of minimie chin-chin in Portharcourt metropolis of Rivers State.
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