social media trends Feb 23, 20245 min read

How Social Media Shapes Purchase Decisions & Brand Perception

PollPe India

Social media is not just for sharing cat videos anymore. Multibillion brands such as Zomato, Paytm and Netflix equip their powers for viral marketing and influencing purchases.

Platforms like Instagram, LinkedIn, and Facebook are like virtual hangout spots where people of all ages chill, connect, and yes, even shop. But how exactly do these places shape what we think about brands and what we buy?

Let's find out how social media is changing the game of branding. Throughout this blog, we shall grab crucial bits of info from research, poll and survey results.

How has social media shaped branding?

According to SmartInsights, 62.3% of the world's population uses social media. The average daily usage is 2 hours and 23 minutes (January 2024). Most social media platforms have integrated dominant visual features such as Instagram Reels, YouTube Shorts, WhatsApp Status, Snapchat Snaps, TikTok etc. This gave brands an upper hand in shaping their brand through social media.

Visual content is a big deal on social media. Pictures and videos grab attention fast and make brands stand out. Here's how they do it:
Storytelling: Brands use images and videos to tell their story and connect with people emotionally. This makes the brand feel real and trustworthy.
Quality and Desirability: Cool pictures and videos make products look awesome and desirable. This makes people want to buy them.
Standing Out: Brands use unique visuals to be different from competitors. This helps people remember them.
Authenticity: Real-looking pictures and videos show the true side of a brand. This builds trust and loyalty.

In a research conducted by PollPe, it was found that 60.4% of respondents purchase new products through social media ads. The majority of these users are based in tier 2 cities of India.

The human brain is wired to process visual information faster and more efficiently than text, making visual content a potent vehicle for conveying brand messages and eliciting emotional responses. When consumers encounter visually appealing content on social media platforms like Instagram, LinkedIn, and Facebook, they are more likely to stop, take notice, and engage with the brand.

In short, visual content makes brands look good, feel real, and stand out from the crowd on social media. A report by WebFX states that at least one brand is followed on social media by 90% of users. Social media is used by 74% of consumers as a decision-making tool. Young people make up 68% of social media users. Gen Z accounts for 56% of social media users.

How does social media shape buying decisions?

A recent study published by Profile Tree states that “71% of online users are more likely to make purchasing decisions based on reviews on social media. 54% of online users conduct product research on the social media platform they're shopping from. 74% of consumers prefer social media shopping to purchase various goods.”

Social media has a big say in what we buy these days. Here's how:

Product Discovery: We find out about new products and brands while scrolling through our feeds. Whether it's a sponsored post, a friend's recommendation, or a cool video, social media introduces us to stuff we might want to buy.
Reviews and Recommendations: Before making a purchase, we often check out what others are saying on social media. Reviews, ratings, and comments from real people help us decide if a product is worth it.
Influencers and Trends: Social media influencers and trends have a huge impact on what we buy. When we see someone we admire using or endorsing a product, we're more likely to want it too.
FOMO (Fear of Missing Out): Social media feeds into our fear of missing out on the latest trends and deals. Seeing others enjoying a product or event can make us feel like we need it too.
Convenience: Many brands now offer shopping directly through social media platforms, making it super easy to buy stuff without leaving the app. This convenience encourages impulse purchases and quick decision-making.

A poll result by PollPe revealed that 70.8% of respondents feel that reviews of previous buyers are crucially important for them, as it helps them to make a perfect buying decision. The majority of these users were focused on Southeast Asia.

Social media influences our buying decisions by exposing us to new products, providing social proof through reviews and recommendations, leveraging influencers and trends, triggering FOMO, and offering convenient shopping experiences.

How to leverage social media for brand awareness?

Here are some simple ways to make the most of social media:

Choose the Right Platforms: Pick social media platforms where your target audience hangs out the most. Whether it's Instagram, LinkedIn, Facebook, or Twitter, focus your efforts where they'll have the most impact.
Create Engaging Content: Share interesting and relevant content that resonates with your audience. This could be anything from eye-catching visuals to helpful tips and behind-the-scenes glimpses of your brand.
Be Consistent: Consistency is key to building brand awareness on social media. Post regularly and maintain a cohesive brand identity across all your channels to make your brand easily recognizable.
Interact with Your Audience: Engage with your followers by responding to comments, messages, and mentions. Show them that you're listening and value their input, which helps strengthen your brand's connection with your audience.
Collaborate with Influencers: Partnering with influencers in your niche can help amplify your brand's reach and credibility. Find influencers whose values align with your brand and collaborate on content or promotions that introduce your brand to their followers.
Run Social Media Ads: Invest in paid advertising on social media to reach a broader audience and target specific demographics or interests. Experiment with different ad formats and targeting options to find what works best for your brand.
Monitor and Analyze Your Performance: Keep track of your social media metrics to understand what's working and what's not. Use insights from analytics tools to refine your strategy and optimize your content for better results.Read More: New Social Media Trends You Need To Know in 2024

By following these steps, you can effectively leverage social media to increase brand awareness and grow your audience online.

Wrapping it up!

By exploring how social media has shaped branding, influenced buying decisions, and been leveraged for brand awareness, the impact of social media on consumer behaviour cannot be overstated. Brands that understand the power of social media and effectively utilize it to engage with their audience stand to gain a competitive edge in the market.

Did you like our insights? Well, you can explore more of them, or leave a comment below to share viral social media branding tactics. Till then, stay tuned to Humann for in-depth marketing stats that shape global markets.

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