Impacts of Social Media Advertising on Purchase Intention and Customer Loyalty in E-Commerce Systems

Abstract

The emergence of new technologies has had a noteworthy impact on communication systems, leading to the importance of conducting research in this area due to the significant influence of social media. Marketing operators must implement the necessary infrastructure to identify and fulfill customers' expectations, considering the advantages and the increasing number of users in social networks. This paper presents a comprehensive framework for evaluating the purchase intention of electronic commerce systems, taking into account the impact of social media advertising and customer loyalty. The paper aims to enhance purchase intention in e-commerce through social media advertising and examine influential factors that improve online shopping performance, including social media advertising's effectiveness on customer purchase behavior and brand loyalty. The paper develops a theoretical framework of nine hypotheses to evaluate purchase intention in e-commerce systems, with a focus on the effect of social media advertising on brand loyalty and purchase intention. To validate the proposed model and test the research hypotheses, we make use of information obtained from an international company located in China. The results demonstrate the positive effect of pleasurable motivation on purchase intention, with a significance level of 3.776 and a path coefficient of 0.279. Moreover, an investigation of the positive effect of customer loyalty on the recommended advertisement confirms the hypotheses, with a significance of 32.815 and a path coefficient of 0.788.