Chapter I

THE PROBLEM AND ITS BACKGROUND

Rationale

Modern digital platforms, including new media, online advertising, and

platforms like social media have become crucial components of marketing plans.

It is imperative to comprehend how these platforms affect Grade 11 students'

purchase decisions as this group represents a sizable consumer base with

increasing purchasing power. According to Hill (2009), globalization is the

process of moving toward a more interconnected and integrated global economy,

which combines historically diverse and independent national markets into one

enormous global marketplace. Changes in currency rates, inflation, and

consumer spending patterns all had an impact on the global economy during the

recession that started in 2007, according to the Economic Intelligence Unit

(2009). These adjustments to the economy prompted businesses to change the

institution’s business plans to better communicate their brands.

Given the fact that there is an increasing body of research on the impact

of new media marketing on consumer behavior, there do not seem to be many

studies specifically focusing on Grade 11 students in the context of these

particular campuses. By conducting a thorough analysis to comprehend how new

media marketing methods affect the purchasing behavior of Grade 11 students in

these specific educational contexts. Social media such as Facebook, Twitter, and

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YouTube are dynamic tools that facilitate online relationships (Golden, 2011). It is

a relatively low-cost form of marketing and allows organizations to engage in

direct and end-user contact (Kaplan and Haenlein, 2010). Given the choices

made available to consumers and the influential role of social media marketing,

the brands and consumers have a changing role to play in the organization's

strategy has now an economic impact (Lindermann, 2004; Mayfield, 2008).

This study aims to close this knowledge gap. By concentrating on this

group of people and area, it will be easier for marketers and educators to modify

specific plans and lesson plans to better suit the requirements and preferences of

this target market. Understanding the impact of new media marketing on buying

behavior is not only relevant from a market perspective but also from an

academic standpoint. If excessive exposure to marketing messages negatively

affects students' academic performance or financial well-being, it becomes a

matter of educational purpose.

A leading brand thus influences consumer’s buying behavior and creates

value by generating demand (through repurchases) and securing future earnings

for the business (Oliveira and Sullivan, 2003). Therefore social media marketing

represents communication opportunities and requires new and unconventional

thinking (Kaplan and Haenlein, 2010; Kweskin, 2007) to ensure that consumers

experience brand orientation and product orientation (Xiaofen and Yiling, 2009).

This new era of social engagement and digital communication is paramount to

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business strategy. As organizations become more globally competitive it is

important for marketing strategy to explore more innovative and compelling

avenues to attract larger pools of customers (Rockendorf, 2011).

Theoretical Background

This study is anchored in three theories, namely, Theory of Marketing was

developed by Pauline Wolfe, 'Theoretical Models of Social Media, Marketing

Implications, and Future Research Directions' was authored by Bing Pan and

John C. Crotts, and Theory of Social Media Marketing by Chaffey. Each of these

theories provides effects of modern media marketing strategies on the

purchasing behavior of Grade 11 students at the University of Cebu campus

The Theory of Marketing was developed by Pauline Wolfe, in the past,

marketing primarily encompassed advertising and sales efforts. However, in

today's landscape, marketing has evolved significantly. It now encompasses

digital research and engaging with customers. Essentially, anything can be a part

of marketing, including events, experiences, individuals, locations, organizations,

information, and concepts. As quoted by Philip Kotler, “In the dynamic field of

marketing management, a unique fusion of science and art is observed.” It

involves the precise processes of segmenting and targeting specific customer

groups, all with the overarching goal of retaining this through the delivery of

exceptional customer value. In this contemporary era, novel opportunities have

emerged, including the effective utilization of social media and plugins for

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marketing purposes. The advent of mobile marketing and mobile shopping has

significantly heightened purchase urgency while simultaneously streamlining the

overall shopping experience. To forge a cohesive marketing strategy, it is

imperative to seamlessly integrate these cutting-edge digital avenues with the

tried-and-true traditional marketing methods (Wolfe, 2019).

The paper 'Theoretical Models of Social Media, Marketing Implications,

and Future Research Directions' was authored by Bing Pan and John C. Crotts

(2012). The growing importance of social media is particularly noticeable in the

hospitality and tourism businesses. This is attributed to the intangible and

experiential nature of offerings in these industries, coupled with the reduced

technological barriers that now empower ordinary travelers to readily share the

experiences online. Notably, social media fosters a two-way interaction among

consumers, a stark departure from the traditional one-way communication of

most mass media platforms. This renewed trend resembles the decision-making

process from an era before mass media became dominant. During that time,

discussions with family, friends, and neighbors held significant influence in

shaping what people chose to buy.

Theory of Social Media Marketing by Chaffey involves overseeing and

enabling customer engagement, involvement, and content sharing via digital

platforms, aiming to foster favorable connections between a company and its

brands that ultimately result in business benefits. These interactions can take

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place on the company's website, social platforms, and other external websites.

(Chaffey, 2002). Online networking showcasing is an essential class of

computerised advertising which includes empowering client correspondences on

an organisation’s own website, or social existences, for example, Facebook or

Twitter or web journals and discussions. It can be connected as a conventional

communicated medium, for instance, organisations can utilise Facebook or

Twitter to send messages to clients or accomplices who have selected it. Be that

as it may, to exploit the advantages of online networking it is imperative to begin

and take an interest in client discussions.

All passages present the evolving landscape of marketing in the digital

age, emphasizing the pivotal role of new media marketing strategies. They

advocate for the integration of digital platforms like social media and websites,

demonstrating a concerted effort to engage with customers in a personalized

manner. The acknowledgment of mobile marketing's influence and the

simplification of the shopping experience underscores the importance of adapting

to technological advancements, a core principle in new media marketing.

Moreover, the recognition of social media's growing significance in the hospitality

and tourism industry aligns with the interactive and shareable nature of content

that characterizes modern marketing approaches. Collectively, these passages

objectively underscore the central tenets of new media marketing, emphasizing

targeted customer engagement, digital integration, and responsiveness to

technological shifts.

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 Conceptual Framework

INPUT PROCESS OUTPUT

Profile of the students

Grade 11 students 1.) Survey The study

according to: 2.) Administrating intends to test the

a.) Age Questionnaires influence of social

a.) Gender 3.) Statistical analysis of media marketing on the

b.) Civil Status data. consumer buying

c.) Year Level 4.) Data collection of behavior of the

students’ profiles. University of Cebu at

Current curriculum used by Pardo and Talisay.

the institution.

a) HUMSS

b) STEM

c) ABM

d) TVL

e) ICT

f) Cookery

g) GAS

Figure 1: Flow Chart

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Statement of the Problem

This study aims to investigate the factors influencing the purchasing decisions of

students buying behavior. This study seeks to answer the following questions:

1. What is the profile of the respondents in terms of:

1.1 gender;

1.2 age;

1.3 number of money spent on needs;

1.4 number of money spent on wants;

2. How grade 11 students manage to spend money in:

2. 1 needs;

2. 2 wants;

3. What are the negative effects of grade 11 students’ spending money

3.1 Lack of savings;

3.2 Reduced Responsibility;

3.3 Financial Stress;

3.4 Limited Future Responsibility;

3.5 Lack of financial literacy

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Hypothesis

This study shows the alternative hypothesis. There is a significant relationship

between these factors and the purchasing behavior of the grade 11 students at the

University of Cebu at Pardo and Talisay Campus.

Significance of the Study

This study aims to know the impact of new media marketing on the buying

behavior of grade 11 students. It holds significant importance for various stakeholders

including students/respondents, parents, teachers, and researchers.

Students. This study will offer the students valuable insight into the students

buying behavior. Students are given the power to make more responsible and educated

spending decisions by comprehending the impact of marketing methods, thus improving

the students' financial independence and financial literacy.

Parents. This study will benefit, particularly in the context of new media

marketing, it gives the parents a deeper awareness of the elements affecting the child's

purchasing choices. Parents may provide the children with more specialized advice on

wise financial management and spending habits.

Teachers. This study will be useful to teachers since it provides the teachers

with information about the purchasing habits of grade 11 students, particularly about

new media marketing. Having this expertise enables the teachers to include ideas and

examples from the actual world in the classes, improving the relevance and practicality.

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 Researchers. This study offers a specific and relevant study on the purchasing

behavior influenced by new media marketing among grade 11 students, providing a

helpful foundation for researchers.

Future Researchers. This study helps future researchers in the field of

marketing and consumer behavior. The creation of more complete theories and models

can be facilitated by using empirical data and insights as a basis for further research.

Scope and Limitation

This study is designed to investigate the effects of modern media marketing

strategies on the purchasing behavior of Grade 11 students at the University of Cebu

campus located in Pardo and Talisay. The primary focus of this research centers on

Grade 11 students due to the unique position in the educational system, representing a

crucial stage of adolescence marked by increasing independence and decision-making

capacity.

The study is limited to the University of Cebu at Pardo and Talisay, making sure

the researchers are looking at the situation in a specific area and understanding the

people in a place that might see advertisements differently. The investigation will

explore a range of buying behavior parameters including product preferences,

frequency of purchases, decision-making processes, and brand loyalty. While the study

provides a comprehensive analysis within these specified parameters, it acknowledges

that external factors beyond the scope of this research may also contribute to students'

buying behavior. These could include cultural influences, family dynamics, and

economic conditions, which, while relevant, will not be the primary focus of this study.

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Definition of Terms

The following defines how terms are used in specifications of the research study.

Academic- things that relate to the work done in schools, colleges, and

universities.

Achievement- a great accomplishment, something achieved with great effort or

skill.

Adolescence- the period of change and development that bridges childhood and

adulthood.

Balance- enabling someone or something to remain upright and steady.

Behavior- the way in which one acts or conducts oneself, especially towards

others.

Comprehend- to mentally grasp something's complete nature or meaning.

Consumer- a person who purchases goods and services for personal use.

Digital Marketing- known as online marketing, involves the promotion of brands

through internet-based platforms and various digital communication channels to

engage potential customers.

Digital Platform- the software and technology used to unify and streamline

business operations.

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F

Financial literacy- is the understanding of financial terminology, statements, and

concepts, and knowing how to use this information to make a financial impact.

Global Marketplace- the exchange of goods, services, and labor across global

markets by international borders.

Green Marketing- refers to the promotion of products that are believed to be

environmentally friendly.

Guerilla Marketing- is an advertising approach where a company employs

unexpected and unconventional interactions to promote a product or service. It

falls under the category of publicity tactics.

Influence- the capacity to have an effect on the character, development, or

behavior of someone or something, or the effect itself.

Influencer Marketing- a facet of social media marketing that entails

endorsements and the placement of products by individuals or organizations with

a perceived high level of expertise or social influence within their respective field.

Management- the systematic way of planning, organizing, coordinating and

controlling time for activities.

Marketing- the activity or business of promoting and selling products or services,

including market research and advertising.

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 Marketing Campaign- an organized course of action to promote and sell a

product or service.

Marketing Strategy- a comprehensive, enduring plan aimed at attaining a

company's objectives through a deep comprehension of customer needs and the

establishment of a unique and lasting competitive edge.

New Media Marketing- the promotion of brands to connect with potential

customers using the internet and other forms of digital communication.

Pandemic- a disease outbreak that spans several countries and affects a large

number of people.

Students- a person who is studying at a school.

Study- the devotion of time and attention to acquiring knowledge on an

academic subject.

Time- plan, schedule, or arrange when (something) should happen or be done.

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