Social Media Marketing Strategies and Consumer Engagement during the COVID-19 Pandemic : An exploratory study of IKEA, including a multiple-case comparison between the UK, Australia and Sweden.

University essay from Jönköping University/IHH, Redovisning, Marknadsföring, SCM, Informatik och Rättsvetenskap

Abstract: ABSTRACT Background: The marketing efforts made by firms have been forced to change dramatically during the past year as a consequence of the COVID-19 pandemic. Online communication and social media platforms have seen a boom in users and firms have been forced to switch both their sales and marketing efforts to the online world. By applying the definition and observable characteristics of Social Media Marketing Strategies (SMMS) in combination with Consumer Engagement Theory, the authors of this paper aim to explore which strategies have been applied by three IKEA Instagram accounts and how social media users are reacting to these applied SMMSs in the context of the COVID-19 pandemic. Problem: It has previously been suggested to conduct further studies on the combination of social media and Customer Relationship Management (CRM) in order to help firms develop stronger and more meaningful consumer relationships. Researchers further suggest that there is a current research gap regarding the factors which might influence user-generated content (such as comments), positive Word of Mouth (WoM) and brand engagement among social media users. Further it was recognized that social media reaches across national borders which leaves room for cross-cultural research to be made on the following consequences.  Purpose: The exploratory purpose of this study aims in developing a deeper understanding of the applied SMMSs by firms and the resulting consumer engagement as well as social media user’s reactions to those strategies. Research Questions: “What social media marketing strategies (SMMSs) are IKEA applying during the COVID-19 pandemic?” and, “How do social media users respond to IKEA’s social media marketing strategies (SMMSs) during the COVID-19 Pandemic?” Method: With a relativist ontology and social constructionist epistemology, the study inductively explores the SMMSs applied by three Instagram accounts from the retailer IKEA in Australia, UK and Sweden. Through a case study-approach and the application of qualitative content analysis, the accounts have been analyzed and coded separately by two independent researchers. Intercoder reliability was measured between the researchers through Cohen’s Kappa. The findings from each case were then compared in a cross-case analysis. Practical Implications: This research will help marketing managers by providing insights into how consumers respond and perceive different SMMS during the COVID-19 pandemic and to enhance their consumer engagement by adapting an appropriate communication strategy to reach their business objectives. Result and Conclusions: Within the chosen timeframe of 6 months during COVID-19, the analyzed IKEA accounts applied disparate SMMS, namely, ‘Social Commerce Strategy’, ‘Social Content Analysis’ and ‘Social Monitoring Strategy’. The Instagram users' reactions differed across the three accounts, where the strategy which received the most positive consumer reactions, as well as the highest level of consumer engagement, was the ‘Social Content Strategy’ which was applied by IKEA Australia. Thus, the findings suggest that the three Instagram accounts apply unique SMMSs adapted to each country and thus achieve distinctive results in terms of consumer engagement.

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