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These studies suggest that social media marketing generally enhances web traffic, customer engagement, brand performance, and sales, particularly for small businesses and specific retail sectors, though its direct impact on sales income can vary.
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Social media marketing has become an essential tool for businesses, including those in the retail industry, to promote products and engage with customers. This analysis synthesizes findings from multiple research papers to understand the impact of social media marketing on retail sales.
Increased Web Traffic but Mixed Sales Results:
Enhanced Customer Loyalty and Purchase Behavior:
Technology Sourcing and Sales Performance:
Customer Satisfaction and Salesperson Responsiveness:
New Product Introductions:
Impact on Small Businesses:
Network Effects and Firm Size:
General Impact on SMEs:
Social media marketing significantly increases web traffic and can enhance sales, particularly when combined with CRM strategies. Its effectiveness varies by campaign size, technology sourcing, and industry. While larger campaigns and external technology sourcing tend to yield better sales results, smaller firms and those in specific sectors like fashion and green retailing can also see substantial benefits. Active engagement and strategic use of social media are crucial for maximizing its impact on retail sales.
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