Factors Influencing the Choice of Product Promotion Strategies on Facebook: An Empirical Evidence of Small and Medium-Sized Enterprises in Tanzania

Abstract

The study focuses on examining factors which influence the selection of promotion strategies on Facebook among small and medium-size enterprises (SMEs) in Tanzania. The paper asses the influence of promotion objective, content and Facebook user on the selection of promotion strategies on Facebook. Also, it examines the influence of promotion strategies on Facebook. Since many past studies focus on consumer perspective, this study based on SMEs perspective which makes it the only one in Tanzania context as per researcher’s knowledge. The primary data of the study were collected through self-monitored questionnaire from 259 respondents among 24 SMEs in urban Tanzania mainland. The secondary data were obtained from literature such as journals, books and websites. Interview and observation were used to enrich data collection. The study data were analyzed using SPSS software version 22 and SmartPLS 3.0. The structure equation modeling (SEM) used to find the relationships between the study constructs. The study results show that content, Facebook users, and promotion objectives have high positive significant influence on promotion strategies while content shows high significant positive influence on Facebook users. Moreover, promotion strategies found to have high positive significant influence on the selection of Facebook as a social network to carry out product promotion campaign. All study hypotheses supported. The study recommends proper selection of promotion strategies by considering the determinants factors discussed in the study for successful product promotion on Facebook. Also future research direction was recommended.

Keywords: Content, promotion objectives, promotion strategies, Facebook users, Facebook

DOI: 10.7176/EJBM/11-30-03

Publication date:October 31^st 2019