Thesis Chap 1 3
Thesis Chap 1 3
Thesis Chap 1 3
Introduction
In the present time, the international virtual community has been increasing in its
online has been growing as each hour passes. With this, the marketing industry developed
changes, and to capture and continuously hold the attention of the dynamic audience –
Influencer Marketing. The marketers across the globe devised this strategy this to better
connect with their current and potential customers. They maximized the use of social
media as a platform by collaborating with content creators rather than by just merely
relatively new concept, the clients – the companies themselves, are having some
hesitations with regards to adapting and using the strategy for their own businesses.
Social media influencers have a special role to play between the brand and the
customers. To the brand, the role of a social media influencer is to have it introduced to
the customers and feature the products the brand offers or inform the public of what the
company does. To the customers who are the influencer’s followers, the influencer helps
by giving a review of the brand and/or its products s that they may have a better idea and
appreciate the product prior to making a purchase. Declared as “the social media capital
of the world,” there is a lot of potential for influencer marketing here in the Philippines
for as of this year, the country has reached 67 million internet users. However, as it is in
the international scene, most brands in the Philippines are not getting onboard with
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influencer marketing because of the uncertainties that come along with it. The question as
to how the customers will view the brand once reached through influencer marketing still
arises.
slogan, “Be It,” encourages women to express and present themselves the way they want
to, confidently. Colourette Cosmetics is known to tie-up with social media influencers
such as vloggers, celebrities, ad Instagram personalities who believe in and live out the
same advocacy as theirs. They have been extensively using influencer marketing to
promote their products and carry out the message of diversity in beauty. Their most recent
collaboration is with the famous transwoman, Angeline King, and her spouse, a model
mentor and a fashion lifestyle host, Joey Mead King. The two influencers have their own
makeup line under Colourette called “Colourette x The Kings.” This was released back in
June 2018, which is just in time for as it is the Pride Month of the LGBT community.
marketing strategy is not known for sure since the customer reach through this form of
marketing is not easy to quantify. It is difficult to know the level of brand awareness this
strategy produces and therefore, the measure of the return on investment from this is hard
to determine as well. Moreover, the view of people who have come across Colourette
Colourette Cosmetics has come a long way from when it was first founded. From
just operating online before, the business has expanded and started to have more and
more stalls in and out of Metro Manila. Their products have become well-known not just
in the Philippines but in other parts of the world as well. With this, the study could be of
influencer marketing is still the best option for them. Through this study, they could have
a better idea on customers’ perception on this strategy and on its effects to the brand.
Other brands may benefit as well by using this analysis on Colourette Cosmetics’
through influencer marketing and their response, put on paper, may be of aid to
customers toward its use of influencer marketing. Specifically, it aims to answer the
following questions:
1.2 Age;
1.4 Occupation;
terms of its:
3.1 Reliability;
3.3 Relatability?
The researchers believe that the study is significant to the following groups of
gauge the impact of influencer marketing to their brand so that they may decide whether
to keep using this marketing strategy as they are expanding the company.
Advertisers. This study provides them more information so they may consider
incorporating influencer marketing on their future advertising campaigns and that they
Social Media Influencers. With the help of this study, more brands will be
interested in partnering with social media influencers to promote products. More partners
for them means that they get to continue producing quality content and giving valuable
better, more interactive way of advertising. They will also be presented with products that
are more in line with their preferences since they will get to know brands that are trusted
marketing and its effects to customers’ perception and response so that they may be
knowledgeable on this new marketing strategy, and that they may become more creative
Future Researchers. The results and data derived from this study help future
The study will only cover the perception and response of customers on influencer
assessed in terms of its impact on brand awareness, brand relevance, brand equity, and
profitability. Customers’ response on the other hand, will be evaluated based on how
reliability, appeal, and relatability. The researchers will primarily focus on the effects of
Cosmetics as a brand and its use of the said marketing strategy itself.
The researchers will use a questionnaire to assess the customers’ perception and
Cosmetics who have visited the company’s physical store in SM City North EDSA,
Quezon City. The study will be conducted from June 2018 to April 2019.
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CHAPTER II
The researchers gathered data from relevant sources that were found pertinent to
the study conducted. A number of articles, studies, books, journals, and websites were
customers’ perception and response. These materials helped greatly in achieving the
Local Literature
Viray (2018) recognized that over the past few years, the Philippines has been
signs of slowing down. All these are driven by the growing internet and social media
usage in the country. Filipinos spend an average of 9 hours on the internet and 4 hours
and 17 minutes on social media every day, the most in the world. Consumers have
become more technology-savvy than ever, and their needs are constantly changing.
Brands must be able to keep up with such challenges. They need solid strategies for their
Further, Osorio (2017) said that social media continues to dominate, but content
marketing, influencer marketing, and sponsored content are on the rise. Brands view
social media both paid and organic as the most effective digital channel for marketing,
due to the high number of active users, the enormous amount of time users spend using
the channel, and cost efficiency. Social media in the Philippines are used for searching
and purchasing products or services by nearly a third of the population, with Facebook as
Apart from Facebook and Google Search advertising, the next key digital medium
that delivers undervalued ROI is influencer marketing. Even though it is one of the
trickiest strategies to master, it can potentially deliver fantastic return on ad spend (Ople,
2017).
Moral (2016) noted that today, it seems brands believe that social media, through
microblogging sites like Instagram, Twitter and Facebook, are most effective in reaching
target consumers—such that social-media animals are the new fixtures at hot-ticket
events, product launches and parties. Most, if not all, international brands require at least
one influencer at an event. There is always a budget specified for engaging influencers,
Ferrer (2017) mentioned that social media influence will not only improve the
way a brand is seen by consumers, it will also help get qualified leads since it is forging
connections with people who are genuinely interested in the brand and actually like and
regarded as influential and in the know. He or she is someone who can be looked up to
for advice, direction and knowledge. With this, it can be surmised that influencers have
many faces. They can be journalists, academics, industry analysts, professional advisors,
celebrities and individual brand advocates. In the Philippines, however, the practice is
largely limited to that of celebrities and bloggers with a large social-media following who
Nisay (2016) said that brands must view influencers not as channels where they
can dump their promos or ads onto, but rather as content partners. An authentic
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connection between the brand and the influencer is a major factor that should determine
tie-ups.
Angco (2017) revealed that Filipino influencers, unlike in any other countries, are
more emotional and keen. Emotional in such a way that they would really want to
connect with their followers through the communication that they’ll be posting, they
would want to foster and harbor trust and brand equity, so I can say that most, if not all,
of the local influencers here in the country value the essence of creating real content by
promoting a campaign/ product that is truly close to their hearts and not just because they
Foreign Literature
Belch & Belch (2012) emphasized that the rapid growth of the internet and social
media is changing the nature of how companies do business and the ways they
communicate with consumers. Every day, more consumers are searching the internet’s
worldwide web and nearly every marketer is making the web an integral part of their
Hamman (2013) observed that consumers want information that comes from like-
minded people they trust. They want first-hand information about how peers made
purchase decisions and what their experience was with relevant products and services. A
recommendation from a peer online about a product has more influence than a banner ad
Further, Mokubela (2016) stated that consumers now expect brands to talk with
them rather than at them. Influencer marketing presents an advantageous opportunity for
consumers already follow and admire. Brands can strategically partner with the right
personalities to spark organic conversations and seduce their followers. He explained that
As the volume of data available increases online, the more consumers want
specific information aligned with their unique needs. Working with influencers is a way
for brands to reach people whose interests and demographics represent a highly qualified
Moreover, Bennet et al (2011) recognized that relevancy and timing are key
factors in gaining the attention of social networking sites users. If a company can
engage consumers, they will choose to listen to the messages that are being conveyed and
potentially pass these messages on to others. As social networking sites are built on
their consumer. This relationship would see the company 'pull' consumers in rather than
Bell (2016) discovered that the key to a successful influencer marketing campaign
doesn’t lie with throwing wads of cash at online superstars. It lies in finding well
The reason why relevance tops reach is simple: To be a relevant influencer, one has to
relationships with the majority of one’s followers. Because of these relationships, and
especially if you’ve targeted your influencer correctly, you not only gain the influencer’s
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receptive audience, you gain that audience’s audience as well. In fact, the best influencers
won’t work with a brand unless the opportunity is relevant to their followers.
To add to that, Smith (2016) pointed out that in today's world, building consumer
trust through branding, marketing and public relations is paramount. One very effective
and strategic way for brands to gain the trust of their consumers is to align with
influencers - those that have a prominent and trusted voice, share values, lifestyle, and
marketing requires a high level of trust between a brand and a third party. Although
influencers are often required to sign lawful contracts, the care of the brand's reputation is
essentially in their keeping. A brand must be sure the influencer’s content aligns with
their overall image. The use of uncanny or offensive content could have negative
consequences on the brand's reputation. This is especially important when working with
The theme of trust comes up over and over again when speaking of influencer
marketing, and there’s reason for that. People have learned that commercials lie and stars
paid to promote things they don’t necessarily care about (Cobain, 2017).
In line with this, Del Rowe (2018) proved that a lack of trust in
traditional marketing methods and the media in general as a reason for marketers to work
suffers from an inherent lack of trust among consumers because it has been manufactured
by the company. This perceived lack of authenticity contrasts with word of mouth. Thus,
the trust between influencers and their audiences is invaluable to marketers. And,
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regardless of how companies choose to work with influencers, few would dispute they
Further, Lee (2017) stated that influencer marketing has expanded exponentially
over the past several years. As such, the industry has evolved from a promising marketing
tactic to an essential part of many marketing budgets. Today it’s a leading priority of huge
brand’s name recognized, but the real value comes from converting potential leads into
viable leads, and hopefully into future customers. By actively learning and gathering
information about an influencer’s audience, a brand can target them for conversion. By
collecting data, marketers give themselves new and valuable information about who their
familial situation is a key disrupter to a marketer’s brand messaging and call to action.
Personal situational factors are typically dictated by proximity, intimacy, and nature of
the consumers’ personal relationships. For example, a woman who is the mother of three
young children makes purchase decisions differently than a woman without children. If
the three children, for example, are grown and off to college instead of young and at
home, purchase decisions take a different form yet again. Thousands of women may
actively follow a popular Mommy-blogger, reading and even commenting on her every
post. Yet, for example, when the blogger recommends a particular game system, the age
and sex of the reader’s children will dramatically impact her decision to purchase that
Local Studies
Amabao (2011) mentioned that the benefits of social interaction seem endless
available on the internet, there are new possibilities for people to communicate on global
Arcebal et al. (2017) pointed out than in an ever more complex retail
environment, customer engagement is essential but also challenging. Thus, retailers must
model in which there is a two-way mutual dialogue and benefit-sharing between provider
and consumer. The use of social media interaction allows brands to receive both positive
and negative feedback from their customers, as well as determining what media platforms
In a study conducted by Bagang et al. (2017), it was found out that the use of
social media sites helps in maintaining brand loyalty. Majority of their respondents
agreed that communicating, presenting, and advertising through social media are
effective.
platforms as a significant venue for their marketing activities because they are accessible
and convenient. The possibility of engaging the customers which could link to a
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sustainable and competitive advantage has become a lot easier in the advent of these
platforms.
Nowadays, the market keeps on changing and it is becoming a problem for some
companies to cope (Durana, 2014). Companies need to develop or formulate results better
than before to be able to compete and have a competitive advantage against other
organizations within the industry. In order to do so, proper managing and analyzing of
are scrambling to adjust to the particular tastes of this generation. He reiterated that
attention is a necessary ingredient for effective advertising. The market for consumer
attention has become so competitive that attention can be regarded as a currency. The
attention span of an average millennial now rests at 8 seconds. Cementing what this data
means for retailers and advertisers, it is asserted that the true scarce commodity of the
near future will be human attention. It is definite that consumer attention has many
Foreign Studies
plays in strengthening and even surpassing conventional marketing strategies (Cal, 2003).
marketing is the reach and engagement it can garner. Influencers are “who the consumers
are looking at," and when they amplify a brand’s message via a virtual word of mouth, it
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can effectively influence potential buyers to take action. While it is known that
influencers receive compensation for their endorsement, they are able to remain a trusted
and authentic source to their followers. The application of a product into a real life
entices their followers to view the product favorably, since it is used by someone they
marketing into a brand’s marketing strategy allows the brand to reach, and to advertise
products or services directly to its target consumers through people—or in this case,
influencers—that these target consumers already follow and trust. Matters such as
audience of an influencer expects that the content shared by the influencer to be relevant,
creative and based on true facts—or in other words, authentic. Transparency, on the other
hand, means that influencers are honest about everything, including, whether they get
paid to post content or not. These two topics are essential to generate trust and credibility.
become more and more apparent today, Rautio (2012) suggested that comprehensive and
profound online and social data analysis skills have become increasingly important.
Staying updated on the newest advertising and campaign trends, latest social media
platforms, analytics tools and technology in general has become a central part of a
The study of Biaudet (2017) proved that if a company cannot measure the success
of its influencer marketing practice, it cannot improve it. Because of this, it’s important to
measure and demonstrate the results of the practice and being able to optimize strategies
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to get it to the next level. There is no actual data on influence, which means explicit data
that tells precisely who influenced whom, at what time, where it happened and how it
happened. Thus, how influencer marketing ROI is measured depends on the objective,
what the goal for the campaign is. If the campaign is growth-oriented and the goal is to
get more visibility, a company’s ROI is the number of new potential customers who
become aware of the brand through the campaign. If the goal is Engagement, a valuable
metric is the cost-per-engagement (CPE) measured in terms of dollars spent per “like”,
comment, or interaction such as video views, shares or clicks. Additionally, the fact that
social media, and this is something that a company using influencer marketing should
acknowledge.
Rautio (2012) mentioned that while social media as a channel and a data insight
tool is of salient importance, metrics and measurements need to consider marketing ROI
more holistically. For successful social media marketing, hence, strategy and
measurements need to go hand in hand. And nevertheless, understanding the value that
social media provides to the company and the brand is salient and significant.
The researchers gathered various related literature and studies from local and
foreign writers and authors. The researchers used these to define influencer marketing
There is a growing social media usage in the country (Viray, 2018), and Belch &
Belch (2012) and Durana (2014) say that this is changing the nature of how companies do
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business. Businesses are scrambling to adjust to the particular tastes of this generation
(Concepcion, 2016).
According to Ferrer (2017) and Bagang et al. (2017), advertising through social
media is effective and it helps get qualified leads since it is forging connections with
people who are genuinely interested in the brand. Moral (2016), Amabao (2011), and
Osorio (2017) noted that brands believe social media to be most effective digital channel
in reaching target consumers, for social networking sites have been proven to be perfect
platforms for communications. And because of this, the integration of digital advertising
such as influencer marketing has become more apparent today (Rautio, 2012).
Arcebal et al. (2017) and Mokubela (2016) pointed out the expectation of
consumers for brands to talk with them, so there must be a shift from a one-way
between provider and consumer. According to Woods (2016) and (Cal, 2003), influencers
amplify a brand’s message via a virtual word of mouth, for it is controllable marketing
be looked up to for advice, direction and knowledge. With this, Nisay (2016) says brands
must view influencers not as channels but rather as content partners, for as recognized by
influencer has to have developed, solid relationships, as well as expertise and subject-
Hamman (2013) observed that consumers want information that comes from like-
minded people they trust. In line with this, Cobain (2017) states that the theme of trust
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are significant in influencer marketing strategy (Fadhila, 2018). Moreover, Angco (2017)
found out that Filipino influencers really want to connect with their followers, and foster
trust.
brand can target them for conversion. Brown, Fiorella (2013) expounded on that, saying
their personal situational factors will miss the mark in brand messaging.
Ople (2017) revealed that influencer marketing delivers an undervalued ROI and
that it can potentially deliver fantastic return on ad spend. How influencer marketing ROI
is measured depends on the objective, and there is a need to measure it more holistically
Lee (2017) stated that influencer marketing has expanded exponentially over the
past several years. And regardless of how companies choose to work with influencers,
few would dispute they have become essential to today's marketing (Del Rowe, 2018).
Using these related literatures and studies, it can be inferred that most brands
perceive influencer marketing as a strategy that will help them thrive in their respective
industries, for it is one of the most effective marketing tools in today’s digital age.
more reliable compared to the more conventional marketing methods due to the
Conceptual Framework
The conceptual framework presents the flow of the study to be performed. The
study will use the system approach which comprises of three major stages namely; input,
The input consists of the following: customer type, age, educational attainment,
occupation, income level, social media accounts used, and medium where brand was
to target market, brand equity: customer’s view of the brand, and profitability. It also
On the other side, the process includes determining the demographic profile of the
respondents, describing how customers perceive the use of influencer marketing strategy
The output will be a development plan on the advertising campaigns and strategy of
the company.
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-Customer perception on
influencer marketing as a
company strategy for
Colourette Cosmetics:
-Determine Customer
2.1 Brand Awareness: Response to Colourette
Customer Reach Cosmetics’ Influencer
2.2 Brand Relevance: Marketing.
Sustainability to Target
Market
2.3 Brand Equity:
Customer’s View of the
Brand
2.4 Brand Purchase
3.1 Reliability
3.2 Appeal
3.3 Relatability
Feedback
Figure 1. Research Paradigm
Research Hypothesis
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The researchers will be guided by the null hypothesis that there is no significant
for a company.
of familiarity a customer holds toward the attributes or qualities that make up a particular
Brand Equity. The customers’ view of the brand and its value.
Colourette Cosmetics did, it may be in a form of a feedback, an impulse to buy, and the
like.
Cosmetics. Products that are used to enhance or alter the facial appearance.
Deliver. On this study, this term is pertaining to how the productswere introduced
collaboration with a social media influencer so that it may reach its potential customers
Managers. Those who oversee and manage the whole business. They decide on
Social Media. Applications that enable users to share information and content
personalities, and artists who have gained a substantial amount of followers on any social
Social Media Users. People who have one or more social media account/s. They
CHAPTER III
Methodology
Research Design
The study employed the descriptive method of research using the questionnaire in
strategy for Colourette Cosmetics in terms of its impact. According to Aquino (2010),
method is something more beyond just data gathering. The true meaning of the data
collected should be reported from the point of view of the objectives and the basic
assumption of the project under way. This follows logically after careful classification of
data.
This method and technique is adopted due to the appropriateness of the problem
postulated of the study. This approach collects a large amount of data for detailed
analysis, thus this will provide a snapshot on how customers perceive and respond to the
The researchers used the purposive sampling for gathering data. The study is
limited to customers of Colourette Cosmetics who have visited the company’s physical
store in SM City North EDSA, Quezon City. The purposive sampling can be very useful
in situations where there is a need to reach a targeted sample quickly, and where sampling
major advantage of this type of sampling is that it is easier to make generalizations about
a sample compared to a random sample where not all participants have the characteristics
Research Locale
The study will be conducted in SM City North EDSA, Quezon City where the
Method or Procedure
researchers for data gathering to offer some possible solutions to the problem. The
1. Preparing and constructing of the questionnaires that will be a tool for obtaining
of Colourette Cosmetics.
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Separation of the questionnaires into two parts that will be answered according to
Occupation, Income level and Social media accounts, while the last part will
Instruments
instrument for this study. The questionnaire included a variety of questions that will
which includes Customer type, Age, Educational attainment, Occupation, Income level,
Social media accounts used, and Medium where brand was discovered. Section B aims to
in terms of its Brand awareness, Brand relevance, Brand equity, and Profitability, and
The data gathered were tabulated and calculated in accordance with the purpose
of the study. The responses for each item were categorized based on the specific problems
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raised. To develop the interpretation and presentation of the results, the researchers used
level, social media accounts used, and medium where brand was discovered.
Where : P = percentage
2. Weighted Mean
various parts of the survey questionnaire. The method is used in conjunction with
N = number of cases
Likert Scale
statements given.
3. Correlation Ratio
The researchers used the correlation ratio to determine the significant
relationship between the level of satisfaction and work values of the two groups
of respondents.
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Formula :