Keywords

Marketing, Customer, Facebook, Price, Satisfaction.

Introduction

With the change and evolution of modern technologies, small and medium businesses are either changing their business model from brick and mortar to an online one or strengthening traditional marketing practices with digital marketing strategies – in an attempt to capture a growing and very lucrative online marketplace. Due to the advancement of information communication technologies (such as telephone, mobile cellphone, android cellphone, iPhone, tablet, laptop, notebook, internet, Wi-Fi and so forth) and social media platform (such as Facebook, Twitter, what’s up, WeChat, imo, Skype, etcetera) people have engaged themselves more in the creation or sharing of information, ideas, career interests and other forms of expression via virtual communities. As people being more connected to social media networks, they are well informed about the social phenomena around the world which are affecting the consumption pattern, lifestyle, interest, personality. As a result, people get the recent news on the latest items of the products, services offered in the market including their features, price, available point, etc. through social media platforms like Twitter, Facebook, Instagram, WeChat, etcetera. On the other, people are no longer interested in traditional method marketing involves typically advertisement through Television, Radio, newspaper, magazine, Billboards and others. Thus, social media is playing a significant role in the business field by ensuring a better understanding of customer needs, personalized communications, customized products or services cost-effectively. Although Facebook had started the journey in 2004 but it has been the most popular social medium network in Bangladesh like other countries as USA, India, Mexico, Brazil, Vietnam, BDNEWS24.COM (2017) reported that Dhaka capital city of Bangladesh ranked 2nd in number of active Facebook users and has 22 million active Facebook users, which is 1.1 percent of the total monthly active users of the social networking site across the globe, the number of social media users rose by 11 million in Bangladesh in past one year, which is the eighth fastest in terms of growth, according to a study conducted by we are Social and Hootsuite. This has opened a new door to Bangladeshi marketers for attracting, motivating and serving the customers better through social media marketing approach since marketers can 0 10o10u10t10 10t0he purchasing pattern, preference from Facebook like other social media such as Instagram, WeChat, Line, and so forth. Facebook being the most popular social network in Bangladesh, major percentage of the commercial organization are employing the Facebook to promote their offerings, exchange ideas with stakeholder and attempt to meet up the personalized requirement of the customers. In addition, some people having entrepreneurial mindset are getting employed by establishing a virtual business organization which requires minimal or zero liquid capital. They display some products of the other companies through their Facebook fan page, receive an order from customers, collect the ordered items from companies or markets without payment finally deliver it to customers, receive payment from the customers. Thus, Facebook has introduced a new scope of employment generation for people having minimal or zero capital except a Facebook fan page. As Facebook marketing has been one of the popular techniques in Bangladesh and a substantial number of people are purchasing the various items through this platform. To make this approach profitable, it should understand what people are thinking on this approach, ensure better service removing the barriers for mass acceptance. This study will focus on Customer perception of purchasing through Facebook in Bangladesh and business model going on Facebook marketing platform.

Review Of Literature

Few studies have been conducted on customer perception on online purchasing; digital marketing or social media marketing were presented below:

Sl No	Author	Country	Title	Variables
1	Valarmathi (2017)	India	A study on customer perception on online purchase and digital marketing in Coimbatore	Website Design, After sale service, Delivery
2	Gurav & Patil (2016)	India	A study of consumer behavior towards online buying with reference to Ichalkaranji City.	Growth of Internet, Advanced Technologies, Cost saving, Age.
3	Kinker & Shukla (2016)	India	An analysis of consumer behaviors towards online shopping of electronic goods with special reference to Bhopal and Jabalpur city.	Time saving, quality, price, convenience, accessibility
4	Shanthi & Kannaiah (2015)	India	Consumers’ perception on online shopping	Age((Youngsters)
5	Jain et al (2014)	India	Consumer behavior towards online shopping: an empirical study from Delhi.	Perceived Risk, Perceived enjoyment, Perceived usefulness and Perceived ease of use
6	Peterson et al. (1997)	USA	Exploring the implications of the internet for consumer marketing	Market structure, Internet, Attitude
7	Kadir et al. (2017)	Malaysia	A study on customer online purchasing behavior: a Malaysian perspective	Information satisfaction, trust, convenience, security
8	Ha & Stoel (2016)	China	Consumer e-shopping acceptance: Antecedents in a technology acceptance model	Web site design, customer service, privacy/security, and atmospheric/experiential
9	Ali et al. (2016)	Pakistan	To assess the impact of social media marketing on consumer perception	Consumer perception, Social media marketing, Promotional marketing, Door to door Marketing)
10	Yadav & Rahman (2017)	India	Measuring consumer perception of social media marketing activities in e-commerce industry: Scale development & validation	Mass access to internet, Information on product, price option, sharing opinion with other.
11	Hajli (2014)		A study of the impact of social media on consumers	Social media, trust, buying intention, perceived usefulness.
12	Ceyhan (2019)	Turkey	The impact of perception related social media marketing applications on consumers’ brand loyalty and purchase intention	The functional value, hedonic value, self-brand image, social value and co-creation perception
13	Padival et al. (2019)	India	Consumer perception towards social media advertisements: a study done in a semi-urban city of South India	Creativity, informativeness, gender, corporate reputation, emotional appeal, irritation, and materialism
14	Singh (2016)	India	A study of customer’s behavior towards social media marketing	Social media marketing and consumer behavior
15	Daroch (2017)	India	Consumer’s Perception Towards Social Media Advertising	Informative, recall, privacy, perceived interactivity, visibility and planning
16	Bringula et al. 2018	Philippines	Factors influencing online purchase intention of smartphones: A hierarchical regression analysis	Price, Quality, Security, Trust, Profile, capability, Interest, Preference, Convenience, Limitation.
17	Duffett, R. (2017)	South Africa	Influence of social media marketing communications on young consumers’ attitudes	Usage (access, length of usage, log-on frequency, log-on duration and profile update incidence) and demographic (gender, age and population group)

The empirical results from these studies showed that purchasing decision in shopping from online platform or social media networks are determined by the company factors, demographic factors and technological factors. Although these studies highlighted the generic aspects of online shopping and social media marketing but none of them did not specify the customers’ perception on Facebook as a marketing communication. Hence, this study aims to focus on what customers think in shopping from Facebook as marketing platform, what factors motivate them to purchase from Facebook and determinants of customer satisfaction.

Material And Method

This study was carried out following the quantitative and explorative research process to understand the customers’ perception on purchasing through Facebook a popular social media in Bangladesh. I have chosen the Dhaka city for the study because the highest number of the active users of Facebook living in Dhaka, marketing and shopping through Facebook have been popular here. The respondent of the study was selected following the probability and non-probability sampling techniques; people were considered for the study those who purchased through Facebook at least once, finally 120 respondents were selected randomly from people who purchased through Facebook once or more times. The data were collected from 120 respondents through face to face interview by one set of the structured questionnaire. All variables were chosen by using the literature on social media marketing and online shopping. The first section of the questionnaire included questions on internet browsing, frequency and purpose, engagement with social networks, purchasing from Facebook, type of the products etc. The second part consisted of questions relevant to factors determining the customers’ intention on purchasing through Facebook and factors affecting the customer’s satisfaction of the purchased items. All the questions were utilizing on a Likert scale ranging from 1=strongly agree to 5=strongly disagree. The third part consisted of their demographic profile like gender, age, education and income.

Figure 1 this study aimed to show that some factors affect purchasing decisions through Facebook platform and after purchasing, customer satisfaction also is influenced by other determinants. If customer is satisfied with purchasing through Facebook then customer purchase again.

Results and Discussion

Table 1 showed that the customers who purchase from the Facebook platform vary according to age and sex. About 48.33 % of customer whose varies from 21-30 years who are student of university-level or recently employed service holder and this segment is an active user of social media network such as Facebook, WeChat, Twitter, Instagram and line being highly occupied with information technology such as android mobile phone, laptop, notebook, etc. (Shanthi & Kannaiah, 2015; Duffett, 2017). The next segment belongs to a 31-40 year group who purchases via Facebook being busy in their professional activities and daily life. Similarly, a smaller percentage of teenagers and people after 40 years purchase their preferred items from Facebook platform. Finally, it has been clear that the major portion of customers who prefer purchasing via Facebook is female (69.16%).

Table 1: Age Distribution With Sex Of The Respondent
	Female	Male	Total	Percentage	Cumulative Percentage
Age (Year)	Frequency	Frequency
0-10	0.00	0.00	0.00	0.00	0.00
11y-20	10.00	5.00	15.00	12.50	12.50
21-30	40.00	18.00	58.00	48.33	60.83
31-40	25.00	12.00	37.00	30.83	91.67
41-50	5.00	2.00	7.00	5.83	97.50
51-60	3.00	0.00	3.00	2.50	100.00
Above 61	0.00	0.00	0.00	0.00	100.00
Total	83.00	37.00	120.00	100.00	100.00

From Table 3, we can summarize that about 33.33% of the customer purchasing via Facebook found to study at the graduate level, 26.67% postgraduate level, about 21% Higher Secondary Level, 12.50% Secondary level and 10% less than secondary level.

From Table 2, we can summarize that about 33.33% of the customer purchasing via Facebook found to study at the graduate level, 26.67% postgraduate level, about 21% Higher Secondary Level, 12.50% Secondary level and 10% less than secondary level.

Table 2: Education Of Respondent
Education	Frequency	Percentage	Cumulative Percentage
Less than SSC	12.00	10.00	10.00
SSC	15.00	12.50	22.50
HSC	21.00	17.50	40.00
Graduate	40.00	33.33	73.33
Post-Graduate	32.00	26.67	100.00
Total	120.00	100.00	100.00

Table 3: Occupation Of The Respondent
Occupation	Frequency	Percentage	Cumulative Percentage
Student	72.00	60.00	60.00
Business	19.00	15.83	75.83
Service	18.00	15.00	90.83
Other (Housewife)	11.00	9.17	100.00
Total	120.00	100.00	100.00

The study described from Table 4 that 83.33% of the customers have owned Facebook account and 16.67% of the customers purchased through another account such as friend, relative, family member etc.

Table 4: Customer Purchases The Product By Using
Particular	Frequency	Percentage	Cumulative Percentage
Owned Account	100.00	83.33	83.33
Another Account	20.00	16.67	100.00
Total	120.00	100.00	100

Table 5 described that female customers purchased various items from a Facebook platform such as 36.14 % of cosmetics and beauty care products; 18.07% of clothing items, 12.05% of footwear, 9.64% toys, 8.43% baby product and 6.02% of home appliances. Similarly, 32.43% of customers purchased clothing items, 21.62% wrist watch, 18.92% footwear, 13.51% cosmetics and beauty care, 8.11% electronic items and 5.41% toys.

Table 5: Product Purchasing According To Gender Distribution
	Female		Male
Items	Frequency	Percentage	Frequency	Percentage
Cosmetics and beauty care	30.00	36.14	5.00	13.51
Clothing items	15.00	18.07	12.00	32.43
Footwear	10.00	12.05	7.00	18.92
Toys	8.00	9.64	2.00	5.41
Jewelry	8.00	9.64	0.00	0.00
Wrist Watch	0.00	0.00	8.00	21.62
Electronics product	0.00	0.00	3.00	8.11
Baby Product	7.00	8.43	0.00	0.00
Home appliances	5.00	6.02	0.00	0.00
Total	83.00	100.00	37.00	100.00

Table 6 indicated that although 60.83% of customers preferred to purchase foreign brands which is almost unavailable in the local market but 23.33% of customer purchased the domestic brands and 15.83% of customer purchased both the foreign and domestic brands through Facebook.

Table 6: Brand You Purchased From Facebook
Market	Frequency	Percentage	Cumulative Percentage
Domestic	28.00	23.33	23.33
Foreign	73.00	60.83	84.17
Both	19.00	15.83	100.00
Total	120.00	100.00	100.00

Table 7 demonstrated that 66.67% of the respondents of our study paid through cash in purchasing via Facebook while 18.33% of the respondents paid by mobile banking and Bkas is used by 15% of the respondents.

Table 7: Your Payment Mode
Mode	Frequency	Percentage	Cumulative Percentage
Cash	80.00	66.67	66.67
Bkas	18.00	15.00	81.67
Mobile banking	22.00	18.33	100.00
Other	0.00	0.00	100.00
Total	120.00	100.00	100.00

We can described from the Table 8 that the respondents follow the different procedures for purchasing product through the Facebook such as 8.33% of the customers paid the full amount during placing order, 16.67% of the respondents paid the partial amount before receiving the items while 75% of the respondents paid after receiving the purchased items. The customer paid the full or partial amount before receiving items when they place an order for the renowned brand or the high-priced items.

Table 8: Payment Procedure
Agreement	Frequency	Percentage	Cumulative Percentage
Full payment during placing order	10.00	8.33	8.33
Payment after receiving items	90.00	75.00	83.33
Partial payment before receiving items	20.00	16.67	100.00
Other	0.00	0.00	100.00
Total	120.00	100.00	100.00

Table 9 summarized as 56.67% of the customers agreed that the quality of the product purchased through Facebook is good and 38.33% of the customers opined that the quality of the product was not standard due to being duplicate of the original brand while 5% of respondents did not comment on the product’s quality. The customers informed that they received only the standard quality products from the locally renowned company and established retailers of the foreign brands who sell through Facebook. In contrast, other Facebook marketers do not supply good quality products.

Table 9: The Quality Of Product Purchased Through Facebook Is Standard
Agreement	Frequency	Percentage	Cumulative Percentage
Strongly Agree	55.00	45.83	45.83
Agree	13.00	10.83	56.67
Neutral	6.00	5.00	61.67
Disagree	16.00	13.33	75.00
Strongly Disagree	30.00	25.00	100.00
Total	120.00	100.00	100.00

According to Table 10, the major portion of the customer segment assumes that the marketers charge higher than market going price due to home delivery service while very few customers feel the price is reasonable.

Table 10: Price Of Product Is Reasonable
Agreement	Frequency	Percentage	Cumulative Percentage
Strongly Agree	0.00	0.00	0.00
Agree	12.00	10.00	10.00
Neutral	16.00	13.33	23.33
Disagree	42.00	35.00	58.33
Strongly Disagree	50.00	41.67	100.00
Total	120.00	100.00	100.00

From Table 11, it might be described that 64.17% of the customers received the product from marketers within the promised period, 15% of the customers did not receive the product within the promised period and 20.83% of the customers were neutral.

Table 11: Delivery Of Product Is Done Within Promised Period
Agreement	Frequency	Percentage	Cumulative Percentage
Strongly Agree	35.00	29.17	29.17
Agree	42.00	35.00	64.17
Neutral	25.00	20.83	85.00
Disagree	11.00	9.17	94.17
Strongly Disagree	7.00	5.83	100.00
Total	120.00	100.00	100

The marketers those who do not have owned retail outlet informed that they took more time than promised period for collecting the preferred items from the local markets or other markets.

According to Table 12, we can see that 91.67% of the customers of the study did not receive the product replacement in case of damaged or product failure and only 8.33% of the customers kept themselves in a neutral statement. Although the marketers do not replace products being a failure after using, customers sometimes can refuse to receive the product if it is found damaged during delivery.

Table 12: Product Replacement Incase Failure
Agreement	Frequency	Percentage	Cumulative Percentage
Strongly Agree	0.00	0.00	0.00
Agree	0.00	0.00	0.00
Neutral	10.00	8.33	8.33
Disagree	50.00	41.67	50.00
Strongly Disagree	60.00	50.00	100.00
Total	120.00	100.00	100.00

Table 13 expressed that customers who purchased via Facebook 68.33% of them are treated fairly, 6.67% of the customers were not treated fairly while 25% of the customers remained in neutral position.

Table 13: Customer Is Treated Fairly
Agreement	Frequency	Percentage	Cumulative Percentage
Strongly Agree	45.00	37.50	37.50
Agree	37.00	30.83	68.33
Neutral	30.00	25.00	93.33
Disagree	8.00	6.67	100.00
Strongly Disagree	0.00	0.00	100.00
Total	120.00	100.00	100.00

Table 14 indicates that 55% of the respondents disagreed with the above statement, Payment is refunded in case product failure and 20% of the customers were refunded for the product’s failure. On the other hand, 25% of the customers remained neutral.

Table 14: Payment Is Refunded In Case Product Failure
Agreement	Frequency	Percentage	Cumulative Percentage
Strongly Agree	16.00	13.33	13.33
Agree	8.00	6.67	20.00
Neutral	30.00	25.00	45.00
Disagree	23.00	19.17	64.17
Strongly Disagree	43.00	35.83	100.00
Total	120.00	100.00	100

According to Table 15, the estimated results of the Ordinary Least Square (OLS) method denoted that the model fitted well according to R² and F-Value. The coefficient of determinations (R²) was 0.896 which stated that about 89.6 percent of the variation in purchase intention through Facebook was explained by the independent variables mentioned in the model. The F-value 67.68 of the equation was significant at one percent probability level implying that the variation in purchase intention depended upon the explanatory variables such as Security, home delivery, wide range of collection, Reference, price, quality included in the model. Home delivery was found to have a positive effect on purchase intention at 1% level of significance. Valarmathi (2017) opined that customers prefer to purchase through Facebook for homedelivery service due to being unsafe, unhealthy environment of shopping malls or markets.

Table 15: Determinants Of Purchase Intention Through Facebook
	Coefficients	Standard Error	t-statistic
Intercept	2.724***	0.916	2.974
Security	3.489**	1.541	2.264
Home delivery	4.692***	1.207	3.887
After sale service	4.013**	1.392	2.883
Wide Range of Collection	3.484*	1.952	1.785
Reference of Friends and Family	5.036***	2.371	2.124
Price	2.759*	1.892	1.458
Quality	3.279**	1.813	1.809
F-Value=67.68		Prob>F=0.003
R-Square= 0.896

The reference of friends and family influenced the customer to purchase through Facebook significantly at 1% level. Yadav & Rahman (2017) mentioned that friends and family member play a role of spokesperson sharing their previous positive experience relating to product quality, after sale service, behavior of salesperson in purchasing via Facebook which motivate other to purchase from same marketing platform. When the companies and retailers of foreign brands ensure the quality of products advertised through online media is standard according to customer expectation which persuades the customer for online shopping as a reliable source (Bringula et al. 2018; Kinker & Shukla, 2016). The desired quality of the product had a positive significant impact on purchasing decision through Facebook. Wide range collection advertised through Facebook was found to influence the customer in purchasing decision significantly at 10% level. Kadir et al. (2017) mentioned that people feel safe and convenient in shopping from online platforms because they can see a huge collection of the latest items from the local and foreign brands within very few moments which reduces the searching cost.

Although marketer charges a higher price than the market going rate for products marketed through online social media networks, customers feel it reasonable due to home delivery service, reduction of searching cost (Bringula et al., 2018; Kinker & Shukla, 2016). In addition, sometimes marketer offers sales promotions in purchasing through Facebook. Hence, the price was found to affect the purchasing decision of the customer positively through Facebook at 10% level of significance. Security was influencing the purchasing decision through Facebook at 5% level of significance. People prefer in online shopping if they are ensured for privacy of demographic information, safe transaction and purchase deal (Ha & Stoel, 2016; Daroch, 2017; Kadir et al., 2017; Bringula et al., 2018).

After sale Service provided by the companies or retailers was found to affect the customer intention in purchasing through Facebook. Valarmathi (2017) mentioned that customer purchase through social media or online media platform if they are assured in post purchase service in case of product failure, reinstallation required after certain time.

Table 16 shows that customer satisfaction toward purchasing via Facebook is influenced by factors such as After-sale service, home delivery, quality of the product, price and security with less than 5% significant level. Finally, I can conclude that some determinants affect purchasing intention through Facebook and some determinants also influence customer satisfaction. If customers are satisfied with particular products or services marketed through social media like Facebook, then customers decide to purchase again.

Table 16: Analysis Of Variance (Anova)
Variable		Sum of square	Degree of freedom	Mean of square	F-Value	Sig
Customer Satisfaction and After sale Service	Between Group	13.54	1.00	13.54	43.81	0.03
	Within group	36.46	118.00	0.31
	Total	49.99	119.00
Customer satisfaction and Home delivery	Between Group	19.60	1.00	19.60	58.37	0.00
	Within group	39.62	118.00	0.34
	Total	59.22	119.00
Customer satisfaction and Quality of product	Between Group	29.82	1.00	29.82	78.77	0.01
	Within group	44.67	118.00	0.38
	Total	74.49	119.00
Customer satisfaction and Price	Between Group	23.09	1.00	23.09	55.91	0.02
	Within group	48.73	118.00	0.41
	Total	71.82	119.00
Customer satisfaction and Security	Between Group	32.46	1.00	32.46	87.65	0.01
	Within group	43.70	118.00	0.37
	Total	76.16	119.00

The business model1(Figure 2) is very common in Bangladesh in which the local company, retailers of domestic and foreign brands advertise their marketing items by opening a Facebook page besides other marketing communication media to interact with customers directly through more engagement. Customers visit the Facebook and choose the products. After choosing the marketing items, customers place an order via Facebook. When customer places an order of the renowned brand product(s), needs to pay full or partial during placing order. The marketers deliver the products to the door of the customer through home delivery service run by the marketers or other agents and customers pay the due amount during receiving the products.

The occasional or seasonal businessmen advertise products on Facebook Page. In addition, some businesses without permanent establishment advertise the product(s) of the foreign brand or locally renowned brand (products (cosmetics, clothing, footwear, electronic items, sporting items) on the Facebook page. A customer chooses products from the Facebook page and places an order without payment. If the businessmen have the product on hand, they supply it through home delivery service run by themselves and receive a cash payment. On the other hand, they collect the product from the local market or importers of foreign brands. The most important aspect of the business model 2 (Figure 3) is that business is run without owned liquid credit because these retailers collect the product from a supplier, manufacturer, importer on account and pay the due amount after sale.

Policy Recommendation

As a part of social media marketing, Facebook has transformed the business orientation from brick & mortar platform to online shopping platform. Although credit is considered as the lifeblood of business but business model 2 requires less liquid capital to run the business because marketers sell other products and pay the due amount to product entitled agent after receiving payment of the final customer.

As we have huge unemployed having higher education in Bangladesh, business model 2 can motivate young people having lower capital to start a business and sell the latest items through Facebook platform. Thus, Facebook marketing can open a new door of employment generation and satisfy the customer requirement by delivering the desired items to the door of the customers within the shortest possible time. Finally, the government can set some practical rules & regulations to validate social media marketing which will work as a safeguard for marketers and customers.

Conclusion

There is no doubt that social media network is influencing the perception of consumers which shifted the customers from shopping at market or shopping mall to e-shopping at some extent. These e-shopping decisions is determined by the company factors, demographic factors of the customers and technological environment. Social media have opened a new opportunity for marketers to understand the real need of the customers and deliver the products or services meeting up the expectation at optimum level. On the other hand, customers claim that they are exploited by providing the duplicate of the famous brand, charging an extremely higher price than the market going rate and they are not refunded in case of cheating by marketers. Sometimes it is not possible to locate the markers who conduct business seasonally or occasionally. Since the customers prefer shopping through social media networks, the policymakers should set up some rules and regulations for ensuring the betterment of the customers and reasonable profit for the businessmen.

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