Asia Pacific Journal of Multidisciplinary Research | Volume X, No. X | Month Year __________________________________________________________________________________________________________________ FACEBOOK AS A MARKETING TOOL STRATEGY OF THE PAPERDOLLS FASHION COMPANY Irenea R. Dela Cruz neadelacruz@gmail.com Abstract – The study aimed to determine the effectiveness of Facebook as a marketing tool strategy of the Paperdolls Fashion Company. Specifically, it sought to identify the profile of the respondents, to assess the level of effectiveness in terms of product, price, place and promotion, and to determine the significant difference in the respondents’ assessment of the effectiveness of the Facebook as a marketing tool strategy of the Paperdolls Fashion Company when respondents were grouped by profile. The researcher used descriptive design wherein a researcher-made questionnaire was employed. Frequency and Percentage Distribution, Weighted Mean, ANOVA, t-Test, and f-ratio were utilized as statistical tools. The respondents’ assessment on the effectiveness of Facebook as a Marketing Tool Strategy of Paperdolls Fashion Company that product, price, and place attained ‘Effective’ remarks from the respondents, while ‘Somehow Effective’ on the aspect of promotion. There is no significant difference in the assessment of the respondents on the effectiveness of Facebook as marketing tool strategy of the Paperdolls when they grouped according to age, civil status, average monthly income, frequency of visit to Paperdolls Facebook page and by number of years as customer of Paperdolls since P-value was greater than the level of significance hence, null hypothesis is accepted. However, the assessment of price, when they grouped according to the frequency of visit to Paperdolls Facebook page and average monthly income are both significantly different since P-value was less than the level of significance of 0.05. Therefore, the null hypothesis is rejected.. Keywords – Facebook, Marketing, Marketing Mix Product, Price, Place and Promotion. Facebook is a social network service and website, which was launched in February 2004 by former-Harvard student of psychology, Mark Zuckerberg, and his college roommates and fellow students Eduardo Saverin, Dustin Moskovitz and Chris Hughes. Mark Zuckerberg (while he was studying at Harvard) ran Facebook as one of his hobby projects with some financial help from Eduardo Saverin. Facebook is one of the most popular social media sites. It is a popular free social networking website that allows registered users to create profiles, upload photos and videos, send messages and keep in touch with friends, family and colleagues. The site, which is available in 37 different languages, includes public features such as: Marketplace which allows members to post, read and respond to classified ads. Groups that allow members who have common interests to find each other and interact. Events that allow members to publicize an event, invite guests and track those who plan to attend. Pages that allow members to create and promote a public page built around a specific topic. And Presence technology that allows members to see which contacts are online and chat. INTRODUCTION The study describes the social networking site Facebook as the fastest growing marketing tool currently and looks at how it is being used effectively. On the other hand, the practical part analyzes how Paperdolls communicates to its market using this social network. Close your eyes and imagine the world just twenty years ago before the age of such incredible technology. Landlines were the norm form of communication. Cell phones were for business professionals only. Computers did not live in every home and office. Internet was not something to be browsed. The Yellow pages were used as a daily resource. In just twenty short years, the way our society acquires information and how that information is transmitted has been completely revolutionized. Today, in the age of smart phones and global positioning systems, people depend on technology for day-to-day activities. It is part of our culture. Since Netscape’s launch in 1994, companies and individuals continue to develop more and more uses for the internet, and businesses notice. 1 P-ISSN 2350-7756 | E-ISSN 2350-8442 | www.apjmr.com Asia Pacific Journal of Multidisciplinary Research | Volume X, No. X | Month Year __________________________________________________________________________________________________________________ Facebook does the marketing of companies nowadays. In the world of marketing, it processes and instills the interest of certain potential customers and clients in your products and/or services. The key word in this marketing definition is "process"; marketing involves researching, promoting, selling, and distributing products and/or services. It is a huge topic which is why there are tomes written on marketing, and why people take a four-year marketing degree for this. Essentially marketing involves everything business people want to get their potential customers and pave way for their products and/or services. Similarly, the marketing of Paperdolls Fashion Company includes the basic four key components of a marketing plan, the 4 P’s namely, Products, Price, Place, and Promotion. Background of the study about the Paperdolls Fashion Company is a production company that imports and retails ladies’ ready-to-wear apparel and accessories. Its pricing is at the mid to mid-high range. Also, the company targets the economic classes A, B and C markets with distribution primarily as concessionaire within leading department stores nationwide. Paperdolls also has its independent boutiques namely Scoop Project and Pd & Co. as well as another department store brand, Milly, introducing original wearable pieces and allowing women to embrace their femininity in classic style. Its market share comprises mostly of young professional women, fashionably hip moms, and stylish women who love to wear statement clothes. Paperdolls is now using websites and Facebook account as a competitive advantage to promote globally and inform public on the quality of products they are offering. With this, Paperdolls become closer to customers, easy to reach out to and connect many friends in the community. According to a recent survey of marketers, Facebook remains the single most effective social media marketing platform out there. Marketing the brand or product will include different aspects of manufacturing, promoting and selling products to the customers. Promotion is a key element in putting the benefits of the product or services to the customers. Well-designed marketing and promotional strategies ensure long-term success, bring in more customers and ensure profitability for businesses. Updates in Paperdolls have been part of the business as a marketing strategy among competitors. In the assessment of many fashion industry marketing activities, customers are still looking for other unique strategy which really satisfies their needs and wants that eventually creates customer relationships and loyalty. With that said, the researcher wants to assess the effectiveness and reliability of Facebook as a marketing tool strategy currently used by Paperdolls. OBJECTIVES OF THE STUDY The objective is to study the social networking site Facebook as the fastest growing marketing tool currently and looks at how it is being used effectively. On the other hand, the practical part analyzes how Paperdolls communicates to its market using this social network. MATERIALS AND METHODS The researcher get the names of Facebook followers and customers of the Paperdolls Facebook page. She selected among the gathered names based on their activity log on Facebook; those who are more active are the selected respondents. Then send to the selected respondents the survey questionnaire and asked a little time to the selected respondents to answer the survey questionnaire. The researcher used descriptive type of research in the study to meet its objectives. This is the most appropriate method for the researcher to analyze, describe and interpret the data that gathered in this study. As defined by Clause (2003), Descriptive research methods are used when the researcher wants to describe specific behavior as it occurs in the environment. This means that this type of research can only describe the situation of the research not the cause of it. Thus, the main goal of this method is to describe the data and characteristics being studied. Population, Sample Size and Sampling Technique The population in the study is unknown which stands the Paperdolls Facebook page followers and customers, however the unknown population has a minimum sample size of 385 respondents. And as advised by the statistician the researcher used 400 respondents as a sample size. The purposive sampling technique was used by the researcher to determine and meet the quantity of the required respondents out of undefined population. The survey questionnaire distribution is through online by sending the link to the selected respondents. The data gathered from the survey was tabulated and interpreted for presentation, analysis using statistical treatment and to draw conclusions and recommendations. Description of Respondents 2 P-ISSN 2350-7756 | E-ISSN 2350-8442 | www.apjmr.com Asia Pacific Journal of Multidisciplinary Research | Volume X, No. X | Month Year __________________________________________________________________________________________________________________ Statistical Treatment of Data The respondents are the selected followers and customers of the Paperdolls Facebook page. Starts at the aged of 18 to 54 years old, as Paperdolls target market are adult women and based on Facebook analytics of Paperdolls most of audience are women, with ages 18 years old up to 54 years old. To provide specific answers on the problem in this study and statistical treatment on the data gather, the researcher used the following statistical instruments. 1. Frequency and Percentage Distributions. Berenson et all (2004), defined frequency as a summary table in which the data are arranged into numerically ordered class group. Frequency Distribution includes selecting the appropriate number of class groupings for the table, determining a suitable width of a class grouping and establishing the boundaries of each class grouping to avoid overlapping Research Instrument This research used online survey questionnaire and the design is pattern by PUP and MBA Thesis (Madrid, 2017). The researcher made some changes in the profile of the respondents to suit her qualification of respondents for this study. Also, the researcher adopted almost all of the variables found in part 2 of the survey-questionnaire. Some of the sub-variables were altered based on the specification and difference of the products of the company being studied into. Percentage use to tall and compute questionnaires together with the table of frequency. The formula is as follows: Questionnaire has these parts: P = (n/N) x 100 Wher Part I of the questionnaire looks into the profile of the respondents, or the followers and customers of the Paperdolls Fashion Company. P = Percentage Part II focuses on the several aspects to measure the effectiveness of Facebook as marketing tool strategy of the Paperdolls Fashion Company. n = Number of Respondents The researcher used the following Likert scale method as the criteria that would serve as the basis of verbal interpretation of the data. N = Total Number of Respondents 2. Weighted Mean. The researcher will use weighted mean to quantify the respondents’ assessment on the effectiveness of Facebook as a marketing tool strategy of the Paperdolls Fashion Company. Weighted mean score will obtain using this LIKERT SCALE Data-Gathering Procedure The researcher gathered through online by sending the survey questionnaire on Facebook messenger of the selected Facebook page followers and customers of Paperdolls as the respondents on this research. Where: Fx - sum of the product of the frequency The researcher attached the approved letter by the Company owner and by the concerned department of the company prior to conduct survey and to study the Facebook page of Paperdolls as marketing tool strategy of the Fashion Company. N – Number of respondents 3. One-way Analysis of Variance (ANOVA). This formula will use to determine whether there is any significant differences among the means of 3 P-ISSN 2350-7756 | E-ISSN 2350-8442 | www.apjmr.com Asia Pacific Journal of Multidisciplinary Research | Volume X, No. X | Month Year __________________________________________________________________________________________________________________ (3) three or more independent (unrelated) groups including the assumptions of the test. The formula is: N = Total number of observations 4. T-test. This was used to test the hypothesis. The t-test looks at the t-statistic, t-distribution and degrees of freedom to determine a p value (probability) that can be used to determine whether the population means differ. F = MST / MSE Where F 5. F- Ratio. It is the ratio of two mean squares. In this study, it is the value resulting from a standard statistical test used in ANOVA and regression analysis to determine if the variances between the means of two populations were significantly different. = Annova coefficient MST = mean sum of squares due to treatment 6. Ranking. It pertains to the relationship between a set of items such that, for any two items, the first is “ranked higher than”, “ranked lower than”, or “ranked equal to” the second. It refers also to the data information in which numerical or ordinal values are replaced by their rank when data are sorted. MSE = means sum of squares due to error MSE = SST/P -1 RESULTS AND DISCUSSION The study aimed to determine the effectiveness of Paperdolls Facebook page as a marketing tool strategy. Specifically, it sought to identify the profile of the respondents in terms of product, price, place and promotion and to know the significant difference in the respondents’ assessment of the effectiveness of Facebook as a marketing tool strategy of the Paperdolls Fashion Company when they grouped according to profile. SST=∑n(x–x) Where: SST = sum of square due to treatment P = Total number of Populations The study adopted descriptive research method which involved collection of data through online distribution of survey questionnaire to test the hypothesis and answer the general and specific questions in the statement of the problem. Sampling size technique out of selective respondents was applied to determine the sample size and the number of respondents was applied to determine the sample size and the number of respondents from Paperdolls Facebook page followers and customers. Prior to this, the researcher sought approval from the company management of the company to conduct survey for the study (Appendix 1). Statistical treatment of data was applied to provide scientific answer to the questions and statement of the problem such as frequency and percentage distributions, weighted mean, One-way analysis of Variance (ANOVA) and independent Sample of T-test which guide the researcher to formulate the findings, conclusions as well as recommendation of the study. n = Total number of samples in a population MSE = S S E N- p S S E = ∑ ( n – 1) S Where SSE = sum of squares due to error S = Standard Deviation of the samples 4 P-ISSN 2350-7756 | E-ISSN 2350-8442 | www.apjmr.com Asia Pacific Journal of Multidisciplinary Research | Volume X, No. X | Month Year __________________________________________________________________________________________________________________ remarks from the respondents, while ‘Somehow Effective’ on the aspect of promotion. The following were the findings of the study based on the analyzed and interpreted data: 1. Profile of the Respondents 3. Significant Difference in Respondents’ Assessment of the effectiveness of Facebook as a Marketing Tool Strategy of the Paperdolls Fashion Company when they grouped according to profile. When the respondents were grouped according to age that Promotion had F=2.611 with p=.051, Place had F=0.981 with p=0.402, Product had F=0.769 with p=0.512 and Price had F=0.172 with p=0.916, hence the null hypothesis was accepted and not significant. When the respondents were grouped according to civil status that Price had t=0.718 with p-0.473, Place had t=0.009 with p=0.993, Promotion had t=-1.049 with p=0.295, and Product had t=-1.314 with p=0.190, All the P value were greater than 0.05, the assumed level of significance, hence the null hypothesis was accepted. When the respondents were grouped according to highest educational attainment that Promotion had F=1.206 with p=0.307, Price had F=1.089 with p=0.353, Place had F=0.473 with p=0.702, Product had F=0.244 with p=0.866, All the P value were greater than 0.05, the assumed level of significance, hence the null hypothesis was accepted. When the respondents were grouped according to average monthly income that Price has an F=3.830 with p=.023. The p-value is less than .05, the assumed level of significance, hence the null hypothesis was rejected. However, their assessments on Promotion (F=.1.387, p=.251), Product (F=.1.111, p=.330), and Place (F=.833, p=.435) was statistically the same. When the respondents were grouped according to frequency of visit to Paperdolls page that Price has an F=2.749 with p=.043 All the P value were greater than 0.05, the assumed level of significance, hence the null hypothesis was rejected. However, their assessments on Promotion (F=.674, p=.569), Product (F=.620, p=.603), and Place (F=.552, p=.647) was statistically the same. When the respondents were grouped according to number of years as Customer of Paperdolls, Product has an F=1.246 with p=.291, Promotion has an F=.745 with p=.562, Price has an F=.254 with p=.907, and Place has an F=.177 with p=.950, All the P value were greater than 0.05, the assumed level of significance, the null hypotheses was accepted. Most of the respondents in this study who visited Paperdolls Facebook Page and customers were 18-28 years old which attained 216 or 54.0% while 13 or 3.3% for 51 years old and above, Single (169 or 42.3%), while legally separated got the lowest (2 or 0.5%), college graduate which were 204 or 51.0% of the respondents while 16 or 4.0% were Masters/Doctorate Graduate, with average monthly income PhP 20,000 below which attained 257 or 64.3% while 10 or 2.5% ranged PhP 31,000 to Php 40,000.In addition, 187 or 46.8% of the respondents weekly visited the Paperdolls Facebook Page while 13 or 3.3% on a seldom basis. 2. Respondents Assessment in Level of Effectiveness of Facebook as a Marketing Tool Strategy of the Paperdolls Fashion Company. As to place aspect which attained the highest grand mean of 4.48, Place in terms of ‘accessible by the Facebook followers and customers’ attained the weighted mean of 4.94 and ranked number 1. Place in terms of store branch address and contact details are shown by the Facebook page followers and customers obtained the weighted mean of 4.03. As to product aspect which attained the grand mean of 4.28, ‘products are well-explained’ obtained the weighted mean of 4.65 and ranked number 1. ‘Company profile information and details are shown/ linked like slogan, brand, mission and vision, core values, company owners’ history and its affiliates’ obtained the lowest mean of 3.43. As to price aspect which attained the grand mean of 3.89, Place commensurate with the quality of product, obtained the weighted mean of 4.55 and ranked number 1. And ‘Prices are well-displayed’ obtained the lowest weighted mean of 2.79. As to Promotion aspects which attained the grand mean of 3.20, ‘create activity that promotes brand awareness obtained the weighted mean of 4.18 and ranked number 1. ‘Promotional update links/connects/mails directly to customers’ obtained the lowest weighted mean of 2.69. And the summary of grand mean in terms of aspects of product, price and place attained ‘Very Effective’ Table 1. The Arrangement of Channels 5 P-ISSN 2350-7756 | E-ISSN 2350-8442 | www.apjmr.com Asia Pacific Journal of Multidisciplinary Research | Volume X, No. X | Month Year __________________________________________________________________________________________________________________ page to ensure that promotional messages and updates will be send to the correct customers. CONCLUSION AND RECOMMENDATION Based on the findings the following conclusions were dawn: 2. Ensure that there is a personnel in-charge to handle costumer’s inquiry or concerns and addressing complaints immediately in a most polite and professional manner for video calls or messenger account. 1. It can be concluded the most respondents visited the Paperdolls Facebook page and customers were 18-28 years old, Married in status, and College graduate holder. 64.3% of the respondents have an average monthly income of PhP 20, 000 and below, most of them visited Weekly the Paperdolls Facebook page and 4-7 years as customer of Paperdolls Fashion Company. 3. To create a link or connection on the Facebook page on the total payment / computations or total discount in purchasing bulk or volume orders. This is for the customers to easily compute their savings as they are comparing it to other RTW stores. 2. Three (3) of the four (4) Ps of marketing mix are verbally interpreted as ‘Effective’ as assessed by the respondents. These are Product, Price and Place with corresponding grand mean values of 4.28, 3.89 and 4.48 respectively. However, Promotion is verbally interpreted as ‘Somehow Effective; which attained 3.20 grand mean. 4. Creating link on the customer personal or company email after viewing the Paperdolls Facebook page to ensure that promotional messages and updates will be send to the correct customers. 5. Management must regularly review all the pricing strategy of every stock especially for bulk quantity and the pricing strategy of the competitors to know how it was negotiated with suppliers. With this management can competitively adjust the prices and can implement action plan effectively. 3. There is no significant difference in the assessment of the respondents on the effectiveness of Facebook as marketing tool strategy of the Paperdolls when they grouped according to age, civil status, average monthly income, frequency of visit to Paperdolls Facebook page and by number of years as customer of Paperdolls since P-value were greater than the level of significance hence, null hypothesis is accepted. However, the assessment of price, when they grouped according to the frequency of visit to Paperdolls Facebook page and average monthly income are both significantly different since P-value were less than the level of significant of 0.05. Therefore, null hypothesis is rejected. 6. Management may take into consideration the number of frequency visiting or shopping in Paperdolls Facebook page and store branches and the reason why customer is looking for the needed and wanted products. Paperdolls must ensure that whatever advertisement posted or updated in Facebook page must always available in the designated store branches. Top saleable items must always in complete sizes and colors. Recommendations 7. Paperdolls has moved forward in its marketing communication with Facebook. The company created its official fan page and launched a couple other advertising campaigns. However, there are still many opportunities offered by Facebook. Based on the analysis of Paperdolls’ competitors, here are the following marketing tips that researcher will recommend; invite all customers to follow the page, add more photos and videos and make a frequent update. Based on the findings and conclusions of the study, the researcher has come up with the recommendations in which Paperdolls Fashion Company may take into consideration in using Facebook as marketing tool strategy. 1. Among the principles of marketing mix, only the promotion remarked as ‘somehow effective’ (3.20 grand mean). To become more effective or very effective on this aspect, let the company improve on executing and enticing the advertisement and promotional update links/connects/mails directly to customers. Creating link on the customer personal or company email after viewing the Paperdolls Facebook 8. Creating a program in ensuring the connection of Facebook is reachable and accessible 24/7 even on holidays. 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